A N N U A L R E P O R T

2 0 1 4

OUR VISION

our mission

DESTINATIONS

destination and flying time

MESSAGES

message from the Chairman

message from the GM and CEO

MCIAA PROFILE

historical background / location

OUR OPERATIONS

aircraft movements/passengers/cargoes/financial statement/projects completed

OUR VISION

By 2020 we shall be a major Airport Hub in the Asia Pacific Region adhering to the Standards of the Convention on International Civil Aviation

and the International Standards Organization Integrated Management System manned by professional, competent, and dedicated men and

women.

OUR MISSION

To encourage, promote and develop international and domestic air traffic in the Central Visayas and Mindanao regions as a means of making the regions centers of international trade and tourism and accelerating the

development of the means of transportation and communications in the country;

To upgrade the services and facilities of the airports and to formulate internationally acceptable standards of airport accommodation and

service .

DESTINATIONS

DOMESTIC ROUTES AND FLYING TIME

Bacolod - 50 minutes Kalibo - 45 minutes

Busunga - 1 hour & 20 minutes Legaspi - 1 hour & 15 minutes

Butuan - 55 minutes Manila - 1 hour & 15 minutes

Cagayan - 50 minutes Ozamis - 55 minutes

Camiguin - 50 minutes Pagadian - 1 hour & 10 minutes

Caticlan - 1 hour & 10 minutes Puerto Princesa - 1 hour & 20 minutes

Clark - 1 hour & 20 minutes Siargao - 1 hour

Davao - 1 hour and 5 minutes Surigao - 55 minutes

Dipolog - 55 minutes Tacloban - 50 minutes

Dumaguete - 40 minutes Tandag - 1 hour & 5 minutes

Gen Santos - 1 hour & 10 minutes Zamboanga - 1 hour & 5 minutes

Iloilo - 55 minutes

INTERNATIONAL ROUTES AND FLYING TIME

Bangkok - 4 hours

Changsha - 5 hours & 55 minutes

Hongkong - 2 hours & 35 minutes

Incheon - 4 hours & 25 minutes

Kota Kinabalu - 1 hour & 45 minutes

Kuala Lumpur - 5 hours

Narita - 4 hours & 20 minutes

New Guinea - 6 hours & 50 minutes

Niigata - 4 hours & 20 minutes

Pusan - 4 hours & 35 minutes

Singapore - 3 hours & 20 minutes

Taipei - 2 hours & 30 minutes

MESSAGES

THE CHAIRMAN’S MESSAGE

Aviation industry at Mactan-Cebu International Airport plays a very important role in

our daily living, be it travel for business, leisure or education. Also in the transportation

of goods it is so much faster when transported by air.

For the past years until the present, Mactan Cebu airport’s operations have been

instrumental for the growth of aviation in our country. With the 6,839,849 passengers

that passed through Mactan last year means income was generated. This income of

the airport contributed to economic growth of Cebu and the Philippines as a whole.

We will continually support future generations of travelers by improving our airport to

welcome more passengers, more airlines and new services. This has begun last

November 1, 2014 when Mactan airport was turned-over to GMR Mega wide, the

winning bidder of Private Public Partnership.

The team who made the successful operations of Mactan Cebu International Airport is

composed of 476 personnel headed by our vibrant and hardworking General

Manager Nigel Paul C. Villarete.

Income for 2014 was 5% lower than the previous year. This minimal decrease of the

airport’s revenue was due to the fact that GMR Mega wide took over the airport two

(2) months before the year ends. Last year’s revenue of 1.4B was already good .

gEneral mANAgeR’S MESSAGE

Last year 2014, international aircraft movements and volume of passengers was doing

well despite loss of Airphil’s international operation on January 2014. Total aircraft

movements handled by Mactan-Cebu International was 11,630 with a positive growth

rate of six percent (6%) while the volume of passengers that passed by was 1,679,740

or three percent (3%) higher compared a year ago. There was a decline in the

domestic side of both aircraft and passenger movements because Airphil ceased their

domestic operation last March 2014.

Among the new services added was the increase of boarding bridges from four (4) to

six (6) and expansion of an area in the passenger terminal building. A total of 2,250

square meter was completed last December 2014. The damages of the strong

earthquake that struck Bohol and affected our airport was repaired, rehabilitated and

restored.

Mactan-Cebu International Airport also passed the annual audit done by CAAP in

compliance with ICAO standards for the year 2014.

MCIAA PROFILE

Historical Background

Cebu’s airfield was in Warwick Barracks established during the American occupation. At the country’s turn the facility which served only government officials and personnel came to be permanently based in Lahug.

With its strategic role in the country’s economic and political landscape, the landing facilities soon became closely linked with Cebu’s development direction. Don Sergio Osmena, Sr. who recognized the importance of commercial air travel initiated the drawing up of a development blue print for Cebu which included air transport facilities as one of the crucial infrastructures.

Far Eastern Transport, Inc. (FEATI) was the first airline company to establish between Cebu and the rest of the country in 1946. The Philippine Airlines (PAL) as well as other commercial airlines followed suit.

Location

The Mactan Cebu International Airport is located in historic Mactan Island, Province of Cebu in Central Philippines and is connected to Cebu City, the provincial capital 20 kilometers due southwest, through the Mactan-Mandaue Bridge and Marcelo Fernan Bridge. The airport is around 600 kilometers of the Ninoy Aquino International Airport (NAIA) and serves as the southern hub of the air transportation system of the Philippines. Its strategic location in the international transport system is such that the MCIA is only 3 to 4 hours away from major cities in the Asia Pacific Region. MCIA’s total land area comprises approximately 1,020 hectares, 475 of which are utilized for commercial operations. Of the remainder, 255 hectares are occupied by the Philippine Air Force, and approximately 90 has. Have been transferred to the Mactan Export Processing Zone Authority (MEPZA). The MCIAA property is bordered by the Magellan Bay on the North, the barangays of Buaya, Bangkal and Agus on the East, the barangay of Basak on the South and the barangays of Pajo and Pusok and the MEPZA on the west. The average elevation throughout is about 10 meters.

Operations report

MACTAN CEBU INTERNATIONAL AIRPORT AUTHORITY

AIR CARRIERS

AIRLINE OPERATORS

HISTORICAL TRAFFIC STATISTICS

1991 - 2014

AIRCRAFT MOVEMENTS

0

10,000

20,000

30,000

40,000

50,000

60,000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14

Domestic

International

0

2000

4000

6000

8000

10000

12000

14000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14

PASSENGER MOVEMENTS

-

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14

Domestic

International

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

1,400,000

1,600,000

1,800,000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14

VOLUME OF CARGO

Domestic

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

35,000,000

40,000,000

45,000,000

50,000,000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14

International

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

'91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14

AIRLINE’S SHARE

5J 68%

PR 15%

Z2 9% DG

5%

2P 3%

AIRCRAFT MOVEMENTS

5J 22%

PR 18%

MI 9% KE

8%

Z2 8%

OZ 7%

7C 6%

CX 6%

BX 6%

LI 5%

TR 3%

PX 2%

FE 0%

2P 0%

Domestic

International

5J 64%

PR 19%

Z2 10%

DG 6%

2P 1%

5J 20%

PR 18%

KE 12%

CX 10%

OZ 8%

7C 7%

BX 6%

Z2 5%

MI 5%

LI 5%

TR 3%

PX 1%

FE 0%

2P 0%

International

PASSENGER MOVEMENTS

Domestic

ROUTES’ SHARE

Aircraft - International

3

20

25

25

43

178

183

1,424

1,458

1,632

2,197

4,442

0 500 1000 1500 2000 2500 3000 3500 4000 4500 5000

Niigata

Changsha

Kota Kinabalu

Taipei

Bangkok

New Guinea

Kuala Lumpur

Narita

Hongkong

Pusan

Singapore

Incheon

450

1,683

2,985

3,286

6,859

10,012

18,982

176,138

219,820

243,351

269,367

726,807

0 100000 200000 300000 400000 500000 600000 700000 800000

Niigata

Kota Kinabalu

Taipei

Bangkok

Changsha

New Guinea

Kuala Lumpur

Narita

Pusan

Singapore

Hongkong

Incheon

Passenger - International

Aircraft - Domestic

136

268

310

355

519

562

633

643

648

676

695

780

836

914

1,093

1,146

1,374

1,805

1,819

1,840

2,385

3,388

21,826

0 5000 10000 15000 20000 25000

Tandag

Busunga

Clark

Legaspi

Kalibo

Camiguin

Dipolog

Dumaguete

Siargao

Pagadian

Gen Santos

Ozamis

Zamboanga

Puerto Princesa

Surigao

Butuan

Iloilo

Caticlan

Tacloban

Bacolod

Cagayan

Davao

Manila

Passenger - Domestic

7,084

11,763

19,812

28,214

30,076

33,021

33,067

34,929

38,940

56,327

60,214

60,699

75,683

91,593

94,104

109,826

118,313

132,383

143,263

149,567

244,896

436,376

3,149,959

0 500000 1000000 1500000 2000000 2500000 3000000 3500000

Tandag

Busunga

Legaspi

Camiguin

Siargao

Dumaguete

Dipolog

Clark

Pagadian

Ozamis

Surigao

Kalibo

Caticlan

Zamboanga

Gen Santos

Puerto Princesa

Butuan

Tacloban

Iloilo

Bacolod

Cagayan

Davao

Manila

FINANCIAL REPORTS

2013 2014 growth rate

Jan 134.89 139.17 3%

Feb 127.60 140.03 10%

Mar 103.20 122.20 18%

Apr 297.87 130.11 -56%

May (67.43) 155.93 -331%

Jun 144.18 154.40 7%

Jul 134.03 135.94 1%

Aug 120.46 155.99 29%

Sep 149.43 130.68 -13%

Oct 125.97 105.71 -16%

Nov 110.22 33.49 -70%

Dec 134.27 34.69 -74%

Total 1,514.69 1,438.34 -5%

Revenue

(100)

(50)

-

50

100

150

200

250

300

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2013 2014

Current Total

Month To date

Gross Revenues

Aeronautical P 15.22 P 932.31

Non- Aeronautical 18.21 430.25

Total Gross Revenues 33.43 1,362.56

Less: Operating Expenses

Personal Services 34.25 238.83

M O O E 36.82 295.25

Total Operating Expenses 71.07 534.08

Net Income Before Taxes & Depreciation (37.64) 828.48

Less: Taxes (29.87) 191.93

Depreciation 47.31 186.11

Total Taxes and Depreciation 17.44 378.04

Net Income/(Loss) P (55.08) P 450.44

Add: Non Operating Income 1.27 75.80

Net Income Subject to Tax (53.81) 526.24

Provision for Income Tax P 157.87

INCOME STATEMENT

For the month of December 2014

PROJECTS COMPLETED

Name of Project Amount Status

1Complet ion of t he expansion of t he exist ing

Passenger Terminal Building37,158,505.52 Complet ed

2 Veget at ion Termit e Colony Cont rol Maint enance 8,851,958.04 Complet ed

3One (1) Lot - Supply of Labor, Mat erials, Tools, &

Supervision f or oil dissolut ion and cleaning

maint enance at main apron

4,385,091.54 Complet ed

4One (1) Lot - Supply of Labor, Mat erials,Tools, and

Supervision f or Pavement Surf ace Cleaning

4,035,221.84Complet ed

5

One (1) Lot - Supply of Labor, Mat erials, Tools,

Equipment and Supervision f or Rehabilit at ion of

Roof deck at Pre-depart ure Area of Int ernat ional

Terminal Building of MCIA

3,838,400.45 Complet ed

6

One (1) Lot - Repair and Renovat ion of Int elligence

and ID/ Pass Cont rol & Division & Const ruct ion of

Ext ension Bldg. f or t he Cent ral Biomet r ic Finger

Scan & Timekeeping St at ion f or airport employees

1,523,925.58 Complet ed

Name of Project Amount Status

7

One (1) Lot -Suppl y of Labor , M ater i al s, T ool s, Equi pment &

Super vi si on f or the Emer gency Repai r , Rehabi l i tat i on &

Restor at i on Wor ks f or the Damages i n the T er mi nal Bui l di ng of

M CIA Resul t i ng f r om the M 7.2 Bohol Ear thquake that af f ected

Cebu

1,818,302.86 Compl eted

8

One (1) Lot - Suppl y of Labor , M ater i al s, Equi pment and Super vi si on

f or the Const r uct i on of Water l i ne and Communi cat i ons Li ne System

f or Futur e Expansi on Use, Instal l at i on of New St r eet l i ght P i pi ng

and Wi r i ng and other Rel ated Wor ks

2,470,192.06 Compl eted

9One (1) Lot - T o Suppl y Labor , M ater i al s and Equi pment f or

Jani tor i al Ser vi ces23,836,862.00 Compl eted