Annual Report 2012
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A-Plus
Fraport at a Glance
Group Financial Figures
€ million
Revenue
Total revenue
EBITDA
EBIT
EBT
Group result
Profit attributable to shareholders of Fraport AG
Year-end closing price of the Fraport share (€)
Earnings per share (basic) (€)
Dividend per share (€)
Dividend yield on December 31 (%)
Operating cash flow
Free cash flow
Capital expenditure
Total assets
Shareholders’ equity
Shareholders’ equity without non-controlling interests and
profit earmarked for distribution
Group liquidity 2)
Net financial debt 2)
Capital employed 2)
Fraport assets
Return on revenue (%)
Return on shareholders’ equity (%)
EBITDA margin (%)
EBIT margin (%)
ROCE 2) (%)
ROFRA (%)
Gearing ratio 2) (%)
Traffic Figures
Passengers: Fraport Group 3) (million)
thereof in Frankfurt (million)
Cargo volume: Fraport Group 3) (thousand metric tons)
thereof in Frankfurt (thousand metric tons)
Aircraft movements: Fraport Group 3) (thousand)
thereof in Frankfurt (thousand)
Employees
Average number of employees
thereof in Germany
Personnel expenses (€ million)
2012
2011
Change
2,442.0
2,549.2
850.7
498.0
366.1
251.6
238.3
43.94
2.59
1.25 1)
2.8 1)
553.0
– 162.4
1,059.7
9,640.6
2,945.5
2,794.3
1,663.1
2,934.5
5,728.8
5,152.3
15.0
8.5
34.8
20.4
8.7
9.7
105.0
2,371.2
2,452.8
802.3
496.6
347.3
250.8
240.4
38.00
2.62
1.25
3.3
618.8
– 350.1
1,440.2
9,224.4
2,850.8
2,706.0
1,606.9
2,647.0
5,353.0
4,447.3
14.6
8.9
33.8
20.9
9.3
11.2
97.8
3.0 %
3.9 %
6.0 %
0.3 %
5.4 %
0.3 %
– 0.9 %
15.6 %
– 1.1 %
0.0 %
– 0.5 PP 4)
– 10.6 %
–
– 26.4 %
4.5 %
3.3 %
3.3 %
3.5 %
10.9 %
7.0 %
15.9 %
0.4 PP 4)
– 0.4 PP 4)
1.0 PP 4)
– 0.5 PP 4)
– 0.6 PP 4)
– 1.5 PP 4)
7.2 PP 4)
Table 1
2012
2011
Change
188.2
57.5
3,392.4
2,066.4
1,676.5
482.2
2012
20,963
18,939
947.8
180.8
56.4
3,573.1
2,215.2
1,636.9
487.2
4.1 %
1.9 %
– 5.0 %
– 6.7 %
2.4 %
– 1.0 %
Table 2
2011
Change
20,595
18,391
906.3
1.8 %
3.0 %
4.6 %
Table 3
1) Proposed dividend (2012).
2) Liquidity adjusted for accrued interest income, previous year figures adjusted.
3) Without traffic figures for the airports in Riyadh and Jeddah (management contracts) as well as Dakar
(management/consulting contract until end of July 2012. Fraport in addition holds a 60 % share in the new Dakar airport,
which is currently under construction). Those figures were not available until the editorial deadline.
4) Percentage points.
Fraport Segments
Aviation
€ million
Revenue
Personnel expenses
EBITDA
EBITDA margin
EBIT
Average number of employees
2012
2011
Change
823.4
278.9
199.9
774.9
263.9
187.8
24.3 %
24.2 %
77.6
6,298
96.1
6,088
6.3 %
5.7 %
6.4 %
0.1 PP 1)
–19.3 %
3.4 %
Table 4
Revenue split 2012
€ million
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Retail & Real Estate
Revenue split 2012
€ million
2012
2011
Change
€ million
Revenue
Personnel expenses
EBITDA
EBITDA margin
EBIT
Average number of employees
452.9
46.6
333.9
444.7
42.6
305.3
1.8 %
9.4 %
9.4 %
73.7 %
68.7 %
5.0 PP 1)
251.5
629
232.1
596
8.4 %
5.5 %
Table 5
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2
Ground Handling
€ million
Revenue
Personnel expenses
EBITDA
EBITDA margin
EBIT
Average number of employees
2012
2011
Change
€ million
Revenue split 2012
2
649.3
403.3
43.6
6.7 %
4.7
8,924
655.5
390.8
54.5
8.3 %
20.3
8,899
– 0.9 %
3.2 %
– 20.0 %
– 1.6 PP 1)
– 76.8 %
0.3 %
Table 6
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External Activities & Services
Revenue split 2012
€ million
2012
2011
Change
€ million
Revenue
Personnel expenses
EBITDA
EBITDA margin
EBIT
Average number of employees
1) Percentage points.
516.4
219.0
273.3
496.1
209.0
254.7
4.1 %
4.8 %
7.3 %
52.9 %
51.3 %
1.6 PP 1)
3
4
164.2
5,112
148.1
5,012
10.9 %
2.0 %
Table 7
AVIATION
1 Lima
2 Antalya
3 Twin Star
4 Others
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2
1 Airport charges
2 Security services
3 Others
673.6
98.3
51.5
AVIATION
1 Retail
2 Real Estate
3 Parking
4 Others
Graphic 1
179.8
175.2
73.5
24.4
Graphic 2
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AVIATION
1 Ground handling services 393.3
2 Infrastructure charges
256.0
3 Others
0.0
Graphic 3
191.3
150.5
63.3
111.3
Graphic 4
Contents
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To our Shareholders
Letter of the CEO
The Fraport Executive Board
Corporate Governance
Report of the Supervisory Board
Statement on Corporate Governance and
Corporate Governance Report
Group Management Report
Overview of the Situation of the Fraport Group
The Fraport Group
Business Development 2012
The Fraport Share and Investor Relations
Non-financial Performance Indicators
Significant Events after the Balance Sheet Date
Outlook Report
Consolidated Financial Statements
Consolidated Income Statement
Consolidated Statement of Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Statement of Cash Flows
Consolidated Statement of Changes in Equity
Consolidated Statement of Changes
in Non-current Assets
Segment Reporting
Group Notes
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Further Information
Responsibility Statement
Auditor’s Report
7-year Overview
List of Graphics and Tables
Glossary
Imprint
Financial Calendar 2013
Traffic Calendar 2013
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U5
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Fraport Annual Report 2012
“A plus for our passengers”
“Added value for our customers”
“An increase in terminal capacity in Frankfurt”
“An increase in shopping opportunities”
“A step into the future” or simply:
“The new Pier A-Plus.”
On October 10, 2012, after a construction period of approximately 4 years, Fraport took
Pier A-Plus at Frankfurt Airport into operation. The almost 800-meter long pier increases
the annual terminal capacity of the airport by around 6 million passengers and offers
additional terminal positions for 7 wide-body aircraft which can also be flexibly utilized
for up to 11 smaller aircraft. With its newly created retail spaces, the pier will significantly
contribute to increase the net retail revenue per passenger at Frankfurt Airport from currently
€ 3.32 in the direction of € 4 in fiscal year 2013. The construction costs of the pier came to
approximately € 700 million.
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Fraport Annual Report 2012
Aviation With the inauguration of Pier A-Plus, the terminal capacity in Frankfurt increased
from around 58 million passengers annually to approximately 64 million. Fraport is thus taking into
account the expected growth in the aviation market. In order to ensure smooth processes, along
with Pier A-Plus Fraport created space for more than 40 new security control lanes. In addition,
fast lanes and an innovative route guidance guarantee fast boarding and transfer processes. As a
part of the “Great to have you here!” passenger service initiative, children‘s play areas, a modern
lighting concept and high-quality sanitary installations provide the highest level of travel comfort.
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To our Shareholders
Letter of the CEO
The Fraport Executive Board
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from left to right:
Oya Telli (FraSec GmbH, Airport Security Assistant Section 5
Aviation Security Act)
Claudia Uhe (Fraport AG, Head of Airport Security Management)
Marc Heller (FraSec GmbH, Airport Security Assistant Section 5
Aviation Security Act)
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012
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Letter of the CEO
Dr. Stefan Schulte
Chairman of the Executive Board Fraport AG
Fraport Annual Report 2012 To our Shareholders / Letter of the CEO
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On the occasion of the presentation of this year’s Annual Report, I would like to warmly welcome
you to our new Pier A-Plus at Frankfurt Airport! This pier, which we opened in October, last
year, sets new standards in product quality and functionality. This is already reflected by the
highly positive reception of the Pier A-Plus by the airlines and our passengers, whether they
are departing from, passing through or arriving in Frankfurt. With a capacity of approximately
six million passengers, the pier can accommodate as many passengers annually as, for instance,
our entire affiliate airport in Hanover. It also has approximately 12,000 square meters of retail
space, a space that is available exclusively for shopping and food and beverages, which is
larger than a football field. This, on the one side, is doubling our previously available shop-
ping space in Frankfurt on the airside and, on the other side, offers our passengers a world of
shopping never available before, offering new brands and concepts. The pier is also a trend-
setter from an ecological point of view, among others, due to its modern façade technology.
This reduces the CO2 emissions of the building by some 40 percent compared to traditional
construction methods and makes an important contribution to protecting the environment –
whilst at the same time saving costs for us and your company.
Although the pier only started operations gradually in the last quarter of the past fiscal year,
our Retail & Real Estate segment in particular achieved first positive effects from its inaugura-
tion. We increased the key figure “Net retail revenue per passenger” by almost five percent
to 3.32 Euros compared to the previous year. Just looking at the fourth quarter, we recorded
growth of more than ten percent compared to the quarter of the previous year.
However, dear shareholders, your company made good progress in more than just this
aspect in the past 2012 fiscal year. In a difficult environment, Frankfurt Airport achieved a
clear increase in passenger numbers compared to many other German and European airports
of just under two percent. Throughout the Group, the number of passengers increased by
around three percent to almost 100 million at those airports in which we have a share of at
least 50 percent. The reason for this slightly higher growth was in particular our investment
in Lima Airport, which continued to record strong growth in air traffic due to the economic
prosperity of Peru.
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceTo our ShareholdersFraport Annual Report 2012 6
Despite the growth in passenger numbers and the before-mentioned positive development
on the retail side, Group revenue increased slightly lower than our forecast of over 2.5 billion
Euros, by three percent to 2.44 billion Euros. The sole reason for this difference is, however,
an accounting effect that had no effect on profits. The operating result before interest, taxes,
depreciation and amortization, in other words, EBITDA, in contrast increased substantially
by six percent to a good 850 million Euros. We thus fully met our guidance of improving the
operating result by at least five percent. The Group result of some 252 million Euros was also
consistent with our forecast of a stable development. This result also gives us, dear share-
holders, the reason to again propose to you a dividend of 1.25 Euros per share at this year’s
Annual General Meeting.
At this point, also on behalf of my colleagues on the Executive Board, I would like to thank all
our employees who made this result possible with their commitment in the past year.
Looking forward, the situation of the European air traffic industry in fiscal year 2013 is still
characterized by economic and structural challenges. The macroeconomic environment will
also remain challenging in 2013. The industry-specific burdens from the further on planned
emissions trading scheme for airlines within the European Union and the German air traffic
tax have dampening effects on air traffic demand. Consequently, airlines are taking capacities
out of the market and a number of airports occasionally are expecting significant declines in
passenger numbers. For Frankfurt Airport, in contrast, we are nevertheless expecting a largely
stable passenger number this fiscal year.
In view of this environment, we will keep on managing business from a very cost-conscious
point of view this year, and at the same time ensure that the high quality of operational
processes and level of passenger satisfaction achieved are retained. In order to ensure that we
achieve this, we have put important wheels into motion with our “Great to have you here!”
service initiative. The continuously increasing customer satisfaction figures attest to this.
Fraport Annual Report 2012
To our Shareholders / Letter of the CEO
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Air traffic has time and again gone through challenging phases in previous decades. The
subsequent years were then usually characterized by significant increases in passenger numbers.
This is also being confirmed by current air traffic forecasts – despite the current challenges. In
the medium- to long-term, the average increase in European passenger numbers is expected
to be between 2.5 and over four percent per year, depending on the study. It is, however,
also true that stronger growth is expected outside of Europe.
We are correctly positioned here with our international airport investments, which we have
bundled into the “External Activities & Services” segment. This segment is already today
responsible for approximately one third of our operating result. We plan to continue to
develop our international activities by creating value, even though we were not awarded
the contracts in Brazil and Portugal in the past fiscal year. New projects are already currently
being reviewed.
I wish to extend my sincere gratitude to you for the trust that you have placed in us in the
past year. I look forward to your continued loyalty, as does our share.
Sincerely yours,
Stefan Schulte
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012
8
The Fraport Executive Board
The strategic and operational responsibility of the Fraport Group is borne by the Executive Board,
comprised of Dr. Stefan Schulte (Chairman), Anke Giesen (since January 1, 2013), Michael Müller
(since October 1, 2012), Peter Schmitz and Dr. Matthias Zieschang. The Supervisory Board of
the company is responsible for appointing the Executive Board and the Annual General Meeting
formally approves its actions.
Dr. Matthias Zieschang
Executive Director Controlling and Finance
Born in 1961
Appointed until March 31, 2017
Peter Schmitz
Executive Director Operations
Born in 1950
Appointed until August 31, 2014
Anke Giesen
Executive Director Ground Handling
Born in 1963
Appointed until December 31, 2017
Fraport Annual Report 2012 To our Shareholders / The Fraport Executive Board
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Dr. Stefan Schulte
Chairman of the Executive Board
Born in 1960
Appointed until August 31, 2014
Michael Müller
Executive Director Labor Relations
Born in 1957
Appointed until September 30, 2017
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012
1 0
Retail & Real Estate On approximately 12,000 square meters of retail space,
the new Pier A-Plus offers not only more than 60 food and shopping areas, but also space for
rest, orientation and relaxing breaks. The multi functional construction concept includes shopping
and lounge areas on several levels for arriving, departing and transferring passengers. The new
market places offer shopping and excitement 365 days a year.
Fraport Annual Report 2012 11
2
Corporate Governance
Report of the Supervisory Board
Statement on Corporate Governance
and Corporate Governance Report
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from left to right:
Nadine Brauckmann (Gebr. Heinemann Frankfurt, Head of Sales Team)
Volker Moser (Gebr. Heinemann Frankfurt, Retail Manager)
Ute Pohl (Fraport AG, Retail and Properties – Head of Retailing)
Christian Sültemeyer (Fraport AG, Retail and Properties – Head of Category
Management Duty Free)
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 1 2
Report of the Supervisory Board
Karlheinz Weimar
Chairman of the Supervisory Board Fraport AG
Fraport Annual Report 2012 Corporate Governance / Report of the Supervisory Board
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The Supervisory Board performed all the tasks incumbent on it under law, the company statutes and rules of inter-
nal procedure and continuously monitored the management of the company in fiscal year 2012. The Supervisory
Board obtained regular, timely and comprehensive information from the Executive Board, in writing and orally, on
the proposed business policies, fundamental questions concerning future management and corporate planning,
the situation and development of the company and the Group as well as significant business transactions, and
consulted with the Executive Board on these matters. Deviations in the development of business from the planning
were explained in detail to the Supervisory Board. Based on the reports of the Executive Board, the Supervisory
Board has extensively discussed the business transactions of significance to the company. The Supervisory Board
harmonized the strategic alignment of the company with the Executive Board. In addition, the Chairman of the
Executive Board maintained regular contact with the Chairman of the Supervisory Board and informed him about
the current developments concerning the business situation as well as significant business transactions. The Super-
visory Board was directly involved in all the decisions that were of fundamental importance to the company. Where
required by law, the company statutes or rules of internal procedure, the Supervisory Board voted on the relevant
proposals made by the Executive Board after having thoroughly examined and consulted on those matters.
During the reporting period, the Supervisory Board convened four ordinary meetings, one strategy session
and one special meeting. On average of all of the meetings 92.5 % of the members took part in the meetings.
No member of the Supervisory Board took part in less than half of the meetings of the Board.
Focal points of the discussion of the Supervisory Board
The business development of the Fraport Group and its investments, with a particular emphasis on the traffic and
earnings development at Frankfurt Airport, were the subject of regular discussions by the Supervisory Board. The
European economic crisis and its effects on air traffic played an increasingly important role during the course of
the year.
Besides this regular reporting, the following topics were extensively discussed in particular:
> After the inauguration of the new runway at Frankfurt Airport at the end of 2011, the topic of “Noise disturbances in
the surrounding areas” became more of a focal point of discussion than before. The Supervisory Board obtained
extensive information on various measures and initiatives to improve the active and passive noise abatement. A
key area was the “Together for the Region – Alliance for Noise Abatement 2012” agreement, which was concluded
on February 29, 2012 with the participation of the state of Hesse, Deutsche Lufthansa, the Forum Flughafen und
Region, Deutsche Flugsicherung, the Board of Airline Representatives in Germany (BARIG) and Fraport AG and
which provides among others for the allocation of funds in particular by the state of Hesse and Fraport AG. The total
amount of the “Passive noise abatement” program of the Alliance for Noise Abatement amounts to 335 million Euros.
> In addition, information was received on a regular basis about the modification and expansion of the existing
terminals as well as the plans for Terminal 3 on the south side of Frankfurt Airport.
> An additional issue concerning the Frankfurt location was the wage disputes in the areas of apron control
(Vorfeldkontrolle), traffic control (Verkehrszentrale), and apron supervision (Vorfeldaufsicht) as well as the
appropriate handling of the strike initiated by the air traffic controllers’ trade union (Gewerkschaft der
Flugsicherung [GdF]) at the beginning of 2012.
> As a continuation of the internationalization strategy of the Group, the Supervisory Board agreed to the participation
in the tender process for the airport concession company, ANA S.A., Lisbon, at its special meeting held on
December 10, 2012.
> With respect to the investment in Manila, the Supervisory Board continued to support the efforts in and out of
court in reaching an appropriate compensation agreement with the Philippine government for the investments
made in connection with the construction of Terminal 3 at the Manila Airport. Particular focus here was on the
filing and prosecution of actions of the new ICSID request for arbitration, which became possible subsequent to
the annulment of the ICSID arbitration award from 2007 (which was not in favor of Fraport) by the ICSID ad hoc
committee in Washington on December 23, 2010.
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 1 4
> Furthermore, the Supervisory Board dealt with the financial statements and management reports of the company
and the Group as at December 31, 2011, the agenda and the resolution proposals for the Annual General Meet-
ing (AGM) on May 11, 2012, as well as the 2011 Annual Report. Furthermore, the Supervisory Board has decided
to propose to the AGM that KPMG AG Wirtschaftsprüfungsgesellschaft, Berlin, be appointed as the auditor for
fiscal year 2012. In order to implement the cyclical foreseen change in auditors, the Supervisory Board intends to
propose to the AGM a change to PricewaterhouseCoopers AG, Frankfurt am Main, for fiscal year 2013.
> In addition, the Supervisory Board agreed to increase the issue limit for bid and performance guarantees at the
subsidiary Air-Transport IT Services Inc. and approved
- a further capital increase for use by Fraport Malta Ltd. for granting loans to Fraport’s majority and minority
holdings through Fraport Malta Business Services Ltd.,
- an additional reserve for flexible loan assumption in 2013
- and the 2013 Business Plan.
> The Supervisory Board also agreed to some individual measures, including the signing of a Memorandum of
Understanding (MoU Cargo) with Deutsche Lufthansa AG and Lufthansa Cargo AG for the further development
of Frankfurt as a cargo location.
> In its strategy session, the Supervisory Board also dealt in more detail with the opportunities and perspectives
arising from the changing aviation market across all locations.
Work of the committees
The Supervisory Board continued its successful work with the committees it had formed to increase the efficiency
of its work and to prepare for the Supervisory Board meetings. In individual cases and in accordance with law,
decision-making powers of the Supervisory Board were granted to the committees. The chairmen of the committees
provided regular reports at the next Supervisory Board meeting to the plenum of the Supervisory Board on the
work of the committees. The composition of the individual committees can be found in the section “Statement
on Corporate Governance and Corporate Governance Report” as well as on the Group’s website www.fraport.com
under the section The Fraport Group.
The finance and audit committee met seven times during the reporting period and discussed significant business
transactions, the annual and consolidated financial statements, the management reports and the profit utilization
proposal to the AGM, respectively, the amount of dividends. The meetings of the finance and audit committee took
regularly place in the presence of representatives from the auditors. The finance and audit committees prepared
the determination of the focal points of the 2012 audit for the Supervisory Board. The half-year financial report
and the other quarterly reports were discussed in detail prior to their publication. Comments were also made on
the 2013 Business Plan of Fraport AG (prepared in accordance with the German Commercial Code, HGB) and the
2013 Group Plan (prepared in accordance with IFRS). Furthermore, the finance and audit committee dealt with the
issuance of awarding the audit mandate to the auditor and made a proposal to the plenum for the election of the
auditor for fiscal year 2012. In this context, the auditor’s confirmation of independence pursuant to Section 7.2.1 of
the German Corporate Governance Code (GCGC) was obtained, the qualification of the auditor monitored and the
remuneration of same discussed. Furthermore, the issue of orders for non-audit-related services to the auditor was
discussed. In addition, the decision for a proposal to the AGM for a change of auditor in 2013 was prepared.
Further discussion points related to the topic of risk and asset management. In addition, the committee discussed
in detail the examination of the risk management system, the internal control system, the internal audit system as
well as the compliance management system and ensured that the Supervisory Board was appropriately informed.
Fraport Annual Report 2012 Corporate Governance / Report of the Supervisory Board
15
In its four meetings, the focal points of the discussions of the investment and capital expenditure committee
in fiscal year 2012 were again the further business development of the investment business and the area of capital
expenditure. With respect to the investments, the committee made, among others, resolution recommendations
to the Supervisory Board on the issues of “Increase in the limit for bid and performance guarantees at the subsidi-
ary Air Transport IT Services” and “MoU Cargo”. In addition, the already existing investments were regularly the
center of attention, whereas the planned expansions to Lima Airport were discussed by several Supervisory Board
members in the context of a personal site visit in spring 2012, meeting among others the Peruvian Prime Minister
Mr. Oscar Valdes, the Minister for Foreign Trade and Tourism, Mr. Jose Luis Silva as well as the Deputy Minister for
Transport, Mr. Alejandro Chang. New investment opportunities were also evaluated and discussed. Furthermore,
the committee assisted with the capital expenditure at the Frankfurt am Main site and commented on the invest-
ment plan in the context of the 2013 Business Plan.
The human resources committee met four times in fiscal year 2012 and again was regularly involved with the staffing
situation within the Group. Further issues discussed were health management, management remuneration within
the Group, the results of an age structure analysis and child support facilities at Fraport and in the region. Other
discussion focal points were the counteractions supported by the entire Supervisory Board to the planned Euro-
pean Union (EU) directive on the further liberalization of ground handling services and the transfer of undertakings
in the areas of apron control, traffic control, and apron supervision as a result of the strike organized by the trade
union, GdF.
The executive committee met four times during the reporting period. It dealt with Executive Board matters arising
in fiscal year 2012 and, in particular, the determination of the performance-related remuneration components. In
addition, the executive committee prepared the resolutions of the Supervisory Board on the appointment of the
new Executive Board members, Ms. Anke Giesen and Mr. Michael Müller.
The nomination committee formed for preparing for the new election of shareholder representatives met twice
in fiscal year 2012, to prepare for the changes in the Supervisory Board after the resignation of Dr. Manfred Bischoff,
Ms. Jutta Ebeling and Prof. Klaus-Dieter Scheurle. The nomination committee initially recommended to the plenum
of the Supervisory Board that Prof. Dr.-Ing. Katja Windt should be proposed to the AGM 2012 as the successor to
Dr. Manfred Bischoff. In addition, the committee recommended to the plenum of the Supervisory Board after the
AGM 2012, that the Lord Mayor of the city of Frankfurt am Main, Mr. Peter Feldmann, and the State Secretary
Mr. Michael Odenwald be court appointed by the Frankfurt am Main local court to replace the members who
had resigned.
It was not necessary to convene the mediation committee in accordance with the German Co-Determination Act
in fiscal year 2012.
Corporate governance and statements of compliance
The Executive Board and the Supervisory Board have addressed in detail the further developments of the GCGC,
that was presented by the Government Commission on May 15, 2012. Based on the new recommendation of
the nomination of concrete targets for the composition of the Supervisory Board in Section 5.4.1 of the GCGC,
the Supervisory Board decided in its meeting on December 14, 2012 that the committee must comprise at least
three independent shareholder representatives within the meaning of Section 5.4.2 of the GCGC. The current
composition of the Supervisory Board complies with this request with the result that, pursuant to Section 5.4.2
of the GCGC the Supervisory Board now, in its estimation, has an appropriate number of independent members.
As the new version of Section 5.4.6 (2) of the GCGC in addition no longer provides for a recommendation of the
introduction of performance-related remuneration for Supervisory Board members, it was established that Fraport AG
now complies with the recommendations of the current GCGC without any deviations.
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 1 6
The Supervisory Board has reviewed the efficiency of its activities in fiscal year 2012 with external assistance. As a
result, the Supervisory Board made a number of decisions, among others, to regularly review the rules of internal
procedures, to organize the monitoring of the effectiveness of the compliance management system, to evaluate
the auditors and to guide the annual strategy session in terms of thematic focus.
Further details on corporate governance as well as the text of the current statement of compliance pursuant to
Section 161 of the German Stock Corporation Act (AktG) made by the Executive Board and Supervisory Board on
December 14, 2012 can be found in the section “Statement on Corporate Governance and Corporate Governance
Report” starting on page 18. The Fraport code and the current and past statements of compliance can also be
found on the Group’s website www.fraport.com under the section The Fraport Group.
Conflicts of interest and their treatment
In order to avoid any potential conflicts of interest, Mr. Stefan H. Lauer did not participate in the discussions and
voting of the “Signing of a Memorandum of Understanding (MoU) with Deutsche Lufthansa AG and Lufthansa
Cargo AG for the further development of Frankfurt as a cargo location” (December 14, 2012) against the back-
ground of his Executive Board activity for Deutsche Lufthansa AG.
Annual and consolidated financial statements
KPMG AG Wirtschaftsprüfungsgesellschaft audited the annual financial statements of Fraport AG and the consoli-
dated financial statements as at December 31, 2012 as well as the management report and Group management
report and issued unqualified audit reports. The Supervisory Board issued the audit mandate on November 21,
2012 in accordance with the resolution passed by the AGM on May 11, 2012.
The annual financial statements and the management report were prepared and audited by the auditor in accord-
ance with the regulations of the HGB applicable to large capital companies, the consolidated financial statements
and the Group management report in accordance with IFRS as they apply in the EU. The consolidated financial
statements and the Group management report meet the conditions for exemption from the preparation of con-
solidated financial statements in accordance with German law. The auditor established that an early risk warning
system that meets the legal requirements and which makes it possible to identify at an early stage developments
that may put the continued existence of the Company at risk was in place.
The documents mentioned as well as the proposal by the Executive Board for the utilization of profits have been
sent to the Supervisory Board by the Executive Board without delay. The finance and audit committee of the Super-
visory Board examined these documents extensively and the Supervisory Board reviewed them also personally. The
audit reports of KPMG AG Wirtschaftsprüfungsgesellschaft and the financial statement documentation were avail-
able to all the members of the Supervisory Board, and were comprehensively dealt with in the accounting meeting
of the Supervisory Board in the presence of the auditors who reported on significant results of their audit, and were
available to respond to additional questions and provide further information. The chairman of the audit committee
provided a comprehensive report on the treatment of the annual financial statements and the consolidated financial
statements in the finance and audit committee. The Supervisory Board approved the results of the annual audit.
After the completion of the audit by the finance and audit committees and its own review, the Supervisory Board
did not raise any objections. The Supervisory Board approved the annual financial statements prepared by the
Executive Board; the annual financial statements were thus adopted.
The Supervisory Board approved the proposal by the Executive Board to use the profit earmarked for distribution to
pay a dividend of 1.25 Euro per no-par value share with dividend entitlement.
The report prepared by the Executive Board on the relationships of Fraport AG with affiliated companies pursuant
to Section 312 of the AktG was submitted to the Supervisory Board. The report concludes with the following state-
ment by the Executive Board, which is also included in the management report:
Fraport Annual Report 2012 Corporate Governance / Report of the Supervisory Board
17
“The Executive Board declares that Fraport AG received an appropriate consideration for every legal transaction in
accordance with the circumstances known to us at the time that the legal transactions were undertaken. During the
reporting year, measures were neither taken nor omitted at the request of or in the interests of the state of Hesse
and the city of Frankfurt am Main and their affiliated companies.”
The auditor reviewed the report on the relationships with affiliated companies and issued the following opinion:
“Based on our audit and the conclusions reached, we confirm that
1. the disclosures made in the report are correct,
2. the consideration paid by the company for the legal transactions referred to in the report was not
unreasonably high.”
The auditor participated in the discussions with the Supervisory Board on March 22, 2013 on the report regarding
the relationships with affiliated companies and was available to the Supervisory Board to provide any additional
information. After conducting its own review, the Supervisory Board agreed with the assessment by the auditor and
raised no objections to the statement by the Executive Board regarding the relationships with affiliated companies
provided at the end of the report and included in the management report.
Personal particulars
The AGM elected Prof. Dr.-Ing. Katja Windt as a new member of the Supervisory Board on May 11, 2012. The
professor for global production logistics in Bremen replaced Dr. Manfred Bischoff, who resigned his mandate on
the Supervisory Board with the conclusion of the 2012 AGM.
In addition, the competent trade registry court of the city of Frankfurt am Main appointed the Lord Mayor of the
city of Frankfurt, Mr. Peter Feldmann, to the Supervisory Board on September 3, 2012. Mr. Feldmann assumes the
mandate of Ms. Jutta Ebeling, who left the Supervisory Board on August 31, 2012. Likewise, State Secretary
Mr. Michael Odenwald was appointed by the court to replace Prof. Klaus-Dieter Scheurle, who resigned his mandate
on November 30, 2012.
As regards employees, Ms. Petra Rossbrey, as representative for Senior Managers, resigned her mandate on the
Supervisory Board on July 31, 2012. Dr. Roland Krieg took her place on August 1, 2012. Furthermore, Mr. Mario A. Bach
on October 5, 2012 succeeded Mr. Peter Wichtel, who left the Supervisory Board on October 4, 2012, and on
February 1, 2013, Mr. Detlev Draths replaced Ms. Gabriele Rieken, who left on January 31, 2013.
On June 19, 2012, the Supervisory Board also decided to appoint Ms. Anke Giesen and Mr. Michael Müller as members
of the Executive Board.
In view of the successful 2012 fiscal year – despite an increasingly difficult environment – the Supervisory Board
thanks the Executive Board and the company’s employees for their dedicated commitment in the interests of the
company.
Frankfurt am Main, March 22, 2013
Karlheinz Weimar
(Chairman of the Supervisory Board)
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 1 8
Statement on Corporate Governance
and Corporate Governance Report
In the following statement on corporate governance, pursuant to Section 289a of the German Commercial Code (HGB)
and corporate governance report pursuant to Section 3.10 of the German Corporate Governance Code (GCGC), the
Executive Board – and simultaneously for the Supervisory Board in summary (see also Section 3.10 of the GCGC) –
reports on the company’s management and the corporate governance of Fraport.
The term “corporate governance” at Fraport means responsible corporate management and control, the objective of
which is sustainable value creation. Good corporate governance has highest priority at Fraport. In this context, efficient
collaboration between the Executive Board and the Supervisory Board is as important as protecting shareholders’
interests and maintaining open and transparent corporate communications. Fraport follows the national and interna-
tional developments in this area and regularly modifies its own corporate code to the new regulations of the GCGC.
In accordance with Section 317 (2) of the HGB, the following disclosures under Section 289a of the HGB were not
included in the audit by the auditor.
Statement of compliance pursuant to Section 161 of the AktG
On December 14, 2012, the Executive Board and the Supervisory Board of Fraport AG issued the following statement
of compliance for the year 2012 in accordance with Section 161 of the AktG:
“The last statement of compliance was made on December 12, 2011. Since then, Fraport AG has complied with the
recommendations made by the Government Commission German Corporate Governance Code (GCGC) as amended
on May 26, 2010 with the following exception:
‘The remuneration of members of the Supervisory Board does not provide for a performance-related variable com-
ponent (Code Section 5.4.6 [2] as amended on May 26, 2010).’
In accordance with Section 12 of the Company Statutes, the members of the Supervisory Board receive a fixed
remuneration and an attendance fee for meetings. In view of the intensive supervision activity of the Supervisory
Board, the company considers this to be appropriate. This opinion was confirmed by the revision of Section 5.4.6 (2)
(elimination of the recommendation of performance-related remuneration for members of the Supervisory Board) in
the new version of the Code presented by the Government Commission German Corporate Governance Code on
May 15, 2012 and published in the Federal Gazette (Bundesanzeiger) on June 15, 2012.
Fraport AG also complied with the recommendations of the new version of the Code dated May 15, 2012, with the
exception of the revised Section 5.4.1.
On the basis of the revised recommendation for the statement of specific goals for the composition of the Supervisory
Board in Section 5.4.1, the Supervisory Board adopted a resolution at its meeting on December 14, 2012 stating that
a minimum of 3 independent representatives of the shareholders within the meaning of Section 5.4.2 GCGC should
be members of the Supervisory Board.
Since the new version of Section 5.4.6 (2) GCGC no longer contains a recommendation with respect to the introduc-
tion of a performance-related component of remuneration for members of supervisory boards, Fraport AG is now in
compliance with the current recommendations of the GCGC without exception and will continue to be in compli-
ance in the future.”
The statement of compliance was promptly made permanently available to the shareholders on the company’s home-
page at www.fraport.com under the section The Fraport Group.
Fraport Annual Report 2012
Corporate Governance / Statement on Corporate Governance and Corporate Governance Report
19
GCGC recommendations
Fraport AG also voluntarily complies with the recommendations of the GCGC, solely with the following exceptions:
Transmission of the Annual General Meeting via modern communication media (Section 2.3.4 GCGC).
Primarily for security reasons, Fraport published only the welcoming speeches of the Chairman of the Supervisory
Board and the Chairman of the Executive Board at the 2012 Annual General Meeting on the Internet.
Availability of a proxy exercising shareholder’s voting rights during the Annual General Meeting (Section 2.3.3 sen-
tence 2 GCGC).
Shareholders who did not take part directly in the Annual General Meeting were able to appoint a proxy up until the
evening before the 2012 Annual General Meeting. Since the transmission of the meeting on the Internet ended fol-
lowing the speeches of the Chairmen of the Supervisory and Executive Boards, it was not necessary for the proxies to
be available for these shareholders during the Annual General Meeting. For shareholders who took part in the Annual
General Meeting, the proxy was also available during the meeting.
First-time appointment of members of the Executive Board (Section 5.1.2 [2] GCGC).
All Executive Board members were initially appointed for a term of 5 years, indicating the company’s willingness to
enter into a long-term arrangement. Furthermore, an initial term of 5 years represents the common practice among
experienced professionals and is therefore in line with the expectations of many potential Executive Board members.
Objectives for the composition of the Supervisory Board
Pursuant to Section 5.4.1, the Supervisory Board has set the following unchanged objective for its composition in
fiscal year 2010:
“Fraport AG is committed to forward-looking, equal opportunity cooperation across genders. It will continue to
promote the employment of women according to qualification and skill at all levels and areas of responsibility in a
targeted manner. This also applies to the Supervisory Board that aims to achieve a gender ratio in the coming years
that reflects the gender ratio within the overall workforce.”
The ratio of female employees to the total number of employees at Fraport AG (single entity) is approximately 19 %.
The Supervisory Board of Fraport AG comprises 20 members, with the number of female members currently at 3. The
reduction from recently 5 to currently 3 female members resulted from the fact that, since the last Annual General
Meeting 2 female members, Ms. Jutta Ebeling and Ms. Petra Rossbrey, resigned from the Supervisory Board and were
replaced by Messrs. Lord Mayor Peter Feldmann and Dr. Roland Krieg. With a view to the pending elections to the
Supervisory Board in 2013, the aim, however, is to increase the ratio of women on the board to again reach at least
the target level.
In addition, there is an adequate number of members on the Supervisory Board who have international experience.
When proposing candidates, the nomination committee and the Supervisory Board will continue to take the interna-
tional experience of Supervisory Board candidates appropriately into account.
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 2 0
Furthermore, based on the new provision in Section 5.4.1 of the GCGC, the Supervisory Board decided in its meeting
on December 14, 2012 that at least 3 independent shareholder representatives within the meaning of Section 5.4.2
of the GCGC should be members of the board.
With Ms. Dr. Margarete Haase, Mr. Christian Strenger and Ms. Prof. Dr.-Ing. Katja Windt, there are already at least
3 independent shareholder representatives on the Supervisory Board.
Notes on corporate governance practices
Beyond the statutory provisions, Fraport AG utilizes the following corporate governance practices:
Own corporate governance code
The Supervisory Board of Fraport AG has adopted its own corporate governance principles for the company. The
Fraport Corporate Governance Code describes the fundamental principles for the management and control of the
company as well as the responsible corporate governance that the company has undertaken to uphold. Furthermore,
it clarifies the material rights of shareholders.
The Fraport Corporate Governance Code is closely modeled after the GCGC and is regularly monitored and adapted
where necessary in light of new legal regulations as well as revised national and international standards (last amended
on December 14, 2012). It can be downloaded from the company website www.fraport.com in the section The
Fraport Group.
Values-based compliance management system
In order to secure and promote integrity in business conduct, Fraport AG introduced a values management system
in 2003. The system focuses on strict compliance with the law on the part of employees, integrity in dealing with
gifts and benefits and loyalty to corporate interests. The guiding light is the code of conduct, which is binding on all
employees and has been an integral component of employment contracts since 2005. In addition, Fraport AG expects
initiatives promoting the highest standards of business practice from its business partners. Fraport AG makes the sign-
ing of integrity declarations a prerequisite for suppliers as a component of contractual relationships. The effectiveness
of values management is monitored and improved through regular online surveys.
In January 2009, an electronic whistleblower system was introduced by Fraport AG as an additional channel of infor-
mation about compliance violations. Employees and business partners can report bad behavior via this online-based
system. The system protects the anonymity of the whistleblower and permits the filing of reports that cannot be linked
to a particular time and place. Besides the Frankfurt site, the whistleblower system is in place at all foreign companies
of the Fraport Group with a shareholding of more than 50 %. In conjunction with the further development of the
values-based compliance process, Fraport AG supplemented the function of the existing internal contact point for
confidential information with the addition of an external ombudsperson. Annette Parsch, an attorney specializing in
criminal law, has served in this function for Fraport AG since December 2011. The central task of the ombudsperson
is to confidentially receive and legally examine tips on serious legal violations such as corruption, misappropriation
or fraud within Fraport AG. She is available as a confidential contact person to all employees of the Fraport Group as
well as persons outside the Group.
Since October 2012, Fraport AG has bundled the values management system and compliance areas into the central
unit “Compliance, Risk and Values Management” and, since the beginning of fiscal year 2013, has trained 3,500
employees on value-based compliance via e-learning. For the remaining employees, the e-learning training is avail-
able for information purposes.
In February 2013, Fraport AG additionally adopted 2 new codes of conduct in the area of compliance. The new code
of conduct for employees covers the areas of compliance, working conditions and human rights. It also includes the
values and responsibility of Fraport AG. The new code of conduct for suppliers addresses the topics of compliance,
working conditions, human rights and environment along the supply chain. Both codes are being gradually imple-
mented within the Fraport Group.
Fraport Annual Report 2012 Corporate Governance / Statement on Corporate Governance and Corporate Governance Report
21
Application of internationally accepted standards
In the spirit of responsible corporate governance at all Group locations, Fraport has obligated itself to comply with
the most important, internationally recognized standards of conduct – the principles of the UN Global Compact,
the OECD Guidelines and the ILO core labor standards. Based on these guidelines, Fraport developed the afore-
mentioned codes of conduct for employees and suppliers in 2012, which are gradually implemented in the Fraport
Group in 2013. Further information on corporate governance practices can be accessed on the company website at
www.fraport.com in the section Sustainability.
Structure and functioning of the management and control bodies
For Fraport AG, a responsible, transparent corporate governance and control structure is the central foundation for
creating value and trust. In accordance with the provisions of law, Fraport AG is subject to a “dual governance system”,
which is achieved through strict separation of the personnel in the management and control bodies (two-tier board).
While the Executive Board manages the company, the Supervisory Board supervises the Executive Board. The members
of the Executive Board and the Supervisory Board work closely together in the interests of the company.
The structure of the management and control bodies at Fraport AG is a follows:
Executive Board
The Executive Board of Fraport AG has comprised 5 members since January 1, 2013: the Chairman Dr. Stefan Schulte,
Ms. Anke Giesen as well as Messrs. Michael Müller, Peter Schmitz and Dr. Matthias Zieschang. As a management body,
it conducts the business of the company. Within the framework of the stock corporation law, the Executive Board is
bound by the company’s interests and corporate socio-political principles. Beyond this, the rules of procedure, which
the Executive Board established for itself and presented to the Supervisory Board for approval, form the basis of its
work. The schedule of responsibilities for the Executive Board, which governs the allocation of responsibilities, is also
attached to the rules of procedure as an annex.
On this basis, the Executive Board reports to the Supervisory Board in a regular, timely and comprehensive manner
concerning all relevant matters of business development, corporate strategy and possible risks. In addition, the Execu-
tive Board must have the prior approval of the Supervisory Board for several matters, particularly for the assumption
of obligations above a value of € 5 million to the extent such is not provided for in a business plan approved by the
Supervisory Board. The length of the appointment of Executive Board members is oriented toward the long-term and
– as already mentioned – is as a rule 5 years. Remuneration of the Executive Board comprises fixed and performance-
related components. A detailed schedule of the remuneration is provided in the remuneration report in the Group
notes (see note 52).
The Executive Board usually meets weekly and constitutes a quorum if at least half of its members participate in the
meeting. Resolutions are adopted by a simple majority of all the participating members of the Executive Board. In the
case of a tie vote, the vote of the chairman is deciding.
Supervisory Board
The Supervisory Board of Fraport AG supervises the activities of the Executive Board. It is composed of an equal number
of representatives of shareholders and employees and comprises 20 members. The 10 shareholder representatives
are elected by the Annual General Meeting and the 10 representatives of the employees are elected for 5 years by
the employees in accordance with the provisions of the German Co-Determination Act (MitbestG). The Supervisory
Board has created rules of procedure, under which it has a quorum if – on the basis of a proper notice of meeting
– at least half of its members participate in the voting in person or through submission of written votes. Resolutions
are adopted with a simple majority unless otherwise mandated by law. In the event of a tie vote, the chairman of
the Supervisory Board, who must be from among the shareholder representatives, is entitled to a second vote. The
rules of procedure also regulate, in particular, the appointment and powers of committees of the Supervisory Board.
As a rule, the Supervisory Board meets 4 times a year (2012: 6 times) and monitors the efficiency of its activities on a
regular basis with respect to both their effectiveness and their appropriateness in view of new challenges. In its Report
of the Supervisory Board, the Supervisory Board reviews its activities in the past fiscal year.
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 2 2
A detailed schedule of its remuneration is included in the remuneration report in the Group notes (see note 52).
At the time of the adoption of the annual financial statements, the Supervisory Board was comprised as follows:
Composition of the Supervisory Board
Representatives of the shareholders
Representatives of the employees
Former State Minister Karlheinz Weimar (Chairman)
Gerold Schaub (Vice Chairman)
Lord Mayor Peter Feldmann
Dr. Margarete Haase
State Minister Jörg-Uwe Hahn
Former State Minister Lothar Klemm
Stefan H. Lauer
State Secretary Michael Odenwald
Dr. h. c. Petra Roth
Christian Strenger
Prof. Dr.-Ing. Katja Windt
Ismail Aydin
Mario A. Bach
Detlev Draths
Erdal Kina
Dr. Roland Krieg
Arno Prangenberg
Hans-Jürgen Schmidt
Werner Schmidt
Edgar Stejskal
Committees of the Supervisory Board
On the basis of statutory provisions and the provisions of its rules of procedure, the Supervisory Board has formed
the following committees:
Table 8
Committees of the Supervisory Board
Committee
Functions
Finance
and audit
committee
Investment
and capital
expenditure
committee
Human
resources
committee
> Preparation of Supervisory Board resolutions in the area
of finance and audit-related resolutions
> Monitoring of the accounting process, the effectiveness
of the internal control system, the risk management
system, the internal audit system, the audit of the
accounts – particularly the independence of the external
auditor and the auxiliary services rendered by the
external auditor
> Statement of opinion on the business and development
plan, the annual and consolidated financial statements,
the proposal of the Executive Board for the appropriation
of profits and the audit report of the external auditor
and other auditors
> Preparation of resolutions relating to capital expenditure,
resolutions or decisions concerning the founding, acqui-
sition and sale of associated companies and ongoing
monitoring of the economic development of existing
associated companies
> Final decision to the extent the obligation or entitlement
of Fraport AG arises from an investment-related action
that is between € 5,000,000.01 and € 10,000,000
> Statement of opinion on the capital expenditure plan
and on capital expenditure reporting
> Preparation of resolutions in the area of human resources
> Statement of opinion, in particular, on the development
of the number of workforce, fundamental issues relating
to collective bargaining law, payment systems, emplo-
yee investment plan, matters concerning company
retirement plan
Number
of regular
meetings
Meetings
2012
Number
of regular
members
Members
4
7
8 Christian Strenger (Chairman)
Dr. Margarete Haase
Lothar Klemm
Dr. Roland Krieg
Arno Prangenberg
Hans-Jürgen Schmidt
Edgar Stejskal
Prof. Dr.-Ing. Katja Windt
4
4
8 Jörg-Uwe Hahn (Chairman)
4
4
Detlev Draths
Lothar Klemm
Dr. h. c. Petra Roth
Gerold Schaub
Werner Schmidt
Edgar Stejskal
Christian Strenger
8 Jörg-Uwe Hahn
(Vice Chairman)
Ismail Aydin
Mario A. Bach
Detlev Draths
Erdal Kina
Lothar Klemm
Michael Odenwald
Dr. h. c. Petra Roth
The chair of the committee
is currently vacant; the
vice chairman therefore is
currently responsible for
heading it.
Table 9
Fraport Annual Report 2012
Corporate Governance / Statement on Corporate Governance and Corporate Governance Report
23
Committees of the Supervisory Board
Committee
Functions
Executive
committee
> Preparations for the appointment of members of the
Executive Board and the conditions of employment
contracts, including remuneration
> Final decision concerning outside activities of members
of the Executive Board which require the approval of
the Supervisory Board
Number
of regular
meetings
Meetings
2012
Number
of regular
members
Members
As needed
4
6 Chairman of the
Supervisory Board
Karlheinz Weimar (ex officio)
Vice Chairman of the
Supervisory Board
Gerold Schaub (ex officio)
Dr. Margarete Haase
Dr. h. c. Petra Roth
Edgar Stejskal
N. N.
Mediation
committee
in accordance
with Section
27 MitbestG
> Preparation of a recommendation for the appointment
As needed
0
4 Chairman of the
or dismissal of members of the Executive Board, if
the entire Supervisory Board does not conclude such
decision
Supervisory Board
Karlheinz Weimar (ex officio)
Vice Chairman of the
Supervisory Board
Gerold Schaub (ex officio)
Dr. h. c. Petra Roth
The successor of the departed
Peter Wichtel will be elected
in the next meeting of the
Supervisory Board.
Nomination
committee
> Recommendation of suitable candidates to the Super-
visory Board for its recommendations to the Annual
General Meeting
As needed
2
4 Karlheinz Weimar (ex officio)
Dr. Margarete Haase
Dr. h. c. Petra Roth
Table 9
Shareholders and the Annual General Meeting
The shareholders of Fraport AG exercise their rights in the company at the Annual General Meeting and exercise their
right to speak and to vote there. With sufficient time prior to the meeting, the shareholders are informed of business
developments in the past year and the company’s forecasts for the following 2 years through the management report.
During the year, the shareholders are provided with comprehensive and timely information about current business
developments through interim reports and other company publications on its website. The Annual General Meet-
ing of Fraport AG is held each year in the first 6 months of the fiscal year and makes decisions concerning the tasks
assigned to it by law, such as the appropriation of profits, elections and approving of the actions of the members of
the Supervisory and the Executive Boards, the selection of the independent auditor, amendments to the Company
Statutes, and other tasks. The shareholders can exercise their right to vote in person or can authorize third parties to
exercise their right to vote.
Remuneration of the Executive Board and Supervisory Board
The disclosures on the essential features of the remuneration system as well as the disclosures on the remuneration
of the Executive Board and the Supervisory Board can be found in a separate remuneration report. In compliance
with Section 4.2.5 and Section 5.4.6 (3) GCGC, this is part of the Group notes (see note 52) and simultaneously the
Group management report.
Acquisition or disposal of shares of the company
Pursuant to Section 15a of the WpHG, management and persons closely related thereto are obliged by law to disclose the
acquisition or disposal of shares of Fraport AG or any financial instruments related thereto, if the value of the transactions
undertaken exceeds the sum of € 5,000 within one calendar year. The notifications in this respect are disclosed by
Fraport AG without delay.
Shareholdings of the bodies
The total shareholdings of all members of the Executive Board and Supervisory Board are less than 1 % of the total
number of shares issued by Fraport.
Further InformationGroup Management ReportConsolidated Financial StatementsCorporate GovernanceFraport Annual Report 2012 2 4
Ground Handling 6 million additional passengers a year present new organiza-
tional, technical and logistics challenges: The new baggage conveyor system can sort an additional
5,000 pieces of baggage per hour, which are transported to their destination at a speed of up to
5 meters per second. At more than 7 kilometers in length this state-of-the-art expansion of the
existing system improves transport volume, organization and reliability.
Fraport Annual Report 2012 25
3
Group Management Report
Overview of the Situation
of the Fraport Group
The Fraport Group
Business Development 2012
The Fraport Share and Investor Relations
Non-financial Performance Indicators
Significant Events
after the Balance Sheet Date
Outlook Report
26
28
37
50
53
56
57
from left to right:
Stefan Weist (Fraport AG, Corporate Infrastructure
Management – Project Management Modernization
and Airport Expansion)
Holger Jentsch (Fraport AG, Ground Services – Project
Coordination Baggage Conveyor System Maintenance)
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 2 6
Group Management Report for the Fiscal Year 2012
The following graphics and notes provide an overview of the situation of the Group in the fiscal
year 2012 as well as a comparison with the previous years. For more detailed information, please
see the further chapters of the management report and the Group notes.
Overview of the Situation of the Fraport Group
Passenger development at Group airports
in which an interest of at least 50 % is held
in millions
0
10
20
30
40
50
60
Frankfurt
Antalya
Lima
Burgas
Varna
57.5
56.4
53.0
50.9
25.0
25.0
22.1
11.0
13.3
11.8
10.3
8.8
2.4
2.3
1.9
1.7
1.2
1.2
1.2
1.2
2012
2011
2010
2009
Graphic 5
Development of Group revenue,
Group EBITDA and Group result
€ million
0
500
1,000
1,500
2,000
2,500
Group revenue
Group EBITDA
Group result
2,442.0
2,371.2
2,194.6
2,010.3
850.7
802.3
710.6
569.7
251.6
250.8
271.5
152.0
2012
2011
2010
2009
Graphic 6
> Growth in Frankfurt especially in intercontinental
and transfer traffic
> Passenger figure in Antalya at the level of the previous year
despite high comparison basis
> Continuing economic growth in Peru causes passenger figures
to increase significantly again
> Solid passenger development in Burgas and Varna
> Increase in Group revenue resulting from positive business
development in Germany and abroad
> Group EBITDA at all-time high mainly due to good
development of operational revenue
> Group result at level of the previous year also as a result
of higher tax ratio
Fraport Annual Report 2012
Group Management Report / Overview of the Situation of the Fraport Group
27
> Operating cash flow at € 553.0 million
> Free cash flow again negative due to further capital expenditure
in Frankfurt
> Slight increase in Group liquidity as a result of additional bor-
rowing
> Higher net financial debt as a result of continuing high cash
outflows
> Gearing ratio at 105.0 %.
Development of key figures of the
Group cash flow statement and Group financial position
€ million
Operating
cash flow
Free cash
flow
Group
liquidity 1)
Net financial
debt 1)
Gearing ratio
in % 1)
– 500
0
500
1,000 1,500 2,000 2,500 3,000
553.0
618.8
567.5
426.5
– 162.4
– 350.1
– 291.1
– 711.4
1,663.1
1,606.9
2,384.0
2,601.3
2,934.5
2,647.0
2,024.4
1,644.5
105.0 %
97.8 %
77.8 %
67.3 %
0 %
50 %
100 %
2012
2011
2010
2009
Graphic 7
1) Group liquidity adjusted for accrued interest income;
for reasons of comparison, Group liquidity, net financial debt
and gearing ratio of fiscal year 2011 were adjusted.
Target/actual comparison of major forecasts for 2012
Fraport Group
Outlook 2012
Passengers in Frankfurt
Growth lower than 4 %
Target attainment
1.9 % passenger growth
Revenue
Group EBITDA
Group result
Increase above € 2.5 billion
Group revenue at € 2.44 billion
Increase of at least 5 %
€ 850.7 million (+6.0 %)
About level of the previous year
€ 251.6 million (+0.3 %)
Dividend per share
Stable dividend
Unchanged dividend recommendation
of € 1.25 per share
> Outlook for 2012 essentially met
> Revenue below forecast due to lower revenue in the context of IFRIC 12, but without effect on earnings
> Unchanged dividend recommendation to the Annual General Meeting (AGM)
Graphic 8
Major forecasts for 2013
Fraport Group
Actual 2012
Forecast 2013
Passengers in Frankfurt
57.5 million passengers
At about level of the previous year
Revenue
Group EBITDA
Group result
Dividend per share
€ 2.44 billion
€ 850.7 million
€ 251.6 million
€ 1.25 1)
Increase up to 5 %
Between € 870 million and € 890 million
Decrease
Stable dividend recommendation
1) 2012: Recommendation to the AGM.
Graphic 9
> Macroeconomic uncertainties influence the accuracy of the forecast
> EBITDA growing to between € 870 million and € 890 million
> Group result forecast essentially below the level of 2012 due to higher depreciation
and amortization and worsening interest result
> Unchanged dividend recommendation forecasted
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 2 8
The Fraport Group
Operating Activities and Organization
A leading international Airport Group
With its international portfolio of airport investments, the Fraport
Group (hereinafter also referred to as: Fraport) is among the lead-
ing global airport operators. The spectrum of services of the Group
comprises all aspects of flight and terminal operation, as well as
the further development of airports as integrated mobility, event
and real estate locations.
The Frankfurt Airport, one of the largest passenger and cargo
airports in the world, is Fraport’s main location and key driver of
revenue and earnings. In contrast to concession models that will
expire, the Group parent company, Fraport AG Frankfurt Airport
Services Worldwide (short: Fraport AG), owns and operates
the Frankfurt Airport independently and with no time limits. It
directly or indirectly holds the interests in the Group companies
(companies pursuant to Section 313 of the German Commercial
Code [HGB]) and is its largest operating company. Fraport AG is
headquartered in Frankfurt am Main. In addition to the Frankfurt Air-
port, the Group is involved in 12 other airports on four continents
through majority or minority holdings and management contracts.
Strategic and operative responsibility at the Executive Board
The strategic and operative responsibility of the Group lies with the
Executive Board of Fraport AG. In 2012, the Executive Board was
composed of the members Dr. Stefan Schulte (Chairman), Herbert
Mai (until September 30, 2012), Michael Müller (since October 1,
2012), Peter Schmitz and Dr. Matthias Zieschang. Since January 1,
2013, the Executive Board has been expanded by the addition of
Anke Giesen. It thus is made up of the 5 members Dr. Stefan Schulte
(Chairman), Anke Giesen (Executive Director Ground Handling),
Michael Müller (Executive Director Labor Relations), Peter Schmitz
(Executive Director Operations) and Dr. Matthias Zieschang
(Executive Director Controlling and Finance).
Division of the Group into 4 segments
For the purpose of reporting and managing the Group’s results,
the strategic business, service and central units have been divided
into 4 segments: Aviation, Retail & Real Estate, Ground Handling
and External Activities & Services.
The Aviation segment incorporates the strategic business units
“Airside and Terminal Management, Corporate Safety and Security”
and “Airport Security Management” at the Frankfurt site. The stra-
tegic business unit “Retail and Properties,” which mainly handles
retailing activities, parking facility management, as well as leasing
and marketing of real estate at the Frankfurt site, is assigned to the
Retail & Real Estate segment. The Ground Handling segment
comprises the strategic business unit “Ground Services” and the
Group companies involved in these activities at the Frankfurt site.
The “Global Investments and Management” central unit, which
is mainly responsible for airport services and airport management
for Group companies that are not integrated into the business pro-
cesses at the Frankfurt site, is assigned to the External Activities
& Services segment, as are also the service units “Facility Manage-
ment”, “Information and Telecommunications” and “Corporate
Infrastructure Management”, including the Group companies of
all of the above.
Segments of the Fraport Group
Fraport Group
Segment
Aviation
Retail & Real Estate
Ground Handling
External Activties & Services
Business units
Airside and Terminal
Management, Corporate
Safety and Security
Airport Security Management
Retail and Properties
Ground Services
Global Investments and
Management
Information and
Telecommunications
Facility Management
Corporate Infrastructure
Management
Graphic 10
Fraport Annual Report 2012 In addition, 12 central units render among others Group-wide
services that span departments, such as “Corporate Compliance,
Risk and Values Management”, “Central Purchasing, Construction
Contracts”, “Human Resources”, “Corporate Development and
Sustainibility Management”, or “Finance and Investor Relations”.
Changes on the Supervisory Board
The following changes with respect to the Supervisory Board
took place:
> Prof. Dr.-Ing. Katja Windt was elected by the 2012 AGM as a
new member of the Supervisory Board. The professor of global
production logistics from Bremen replaced Dr. Manfred Bischoff
who resigned his mandate on the Supervisory Board with the
conclusion of the 2012 AGM.
> On September 3, 2012, the competent trade registry court of
the city of Frankfurt am Main appointed the Lord Mayor of the
city of Frankfurt, Peter Feldmann, to the Supervisory Board. Peter
Feldmann is assuming the mandate of Jutta Ebeling, who left the
Supervisory Board as of August 31, 2012. The appointment of
Peter Feldmann will initially apply until the end of the 2013 AGM.
> Petra Rossbrey resigned her position on the Supervisory Board
as representative of the Senior Manager as of July 31, 2012.
Dr. Roland Krieg, head of the “Information and Telecommunications”
service unit, succeeded her as of August 1, 2012.
> In addition, Mario A. Bach, team leader of Group Idea Manage-
ment, succeeded Peter Wichtel, who left the Board on October 4,
2012, as substitute member on October 5, 2012.
> Succeeding Prof. Klaus-Dieter Scheurle, who resigned his man-
date on November 30, 2012, is State Secretary Michael Oden-
wald who was appointed by court effective December 11, 2012.
> Gabriel Rieken, who separated from the Supervisory Board
on January 31, 2013, was replaced on February 1, 2013 by
Mr. Detlev Draths.
Group Management Report / The Fraport Group
29
Group Strategy
Despite short-term unfavorable conditions, the strategy
has been directed toward long-term positive market
development
The strategy of the Fraport Group is based on the forecasted long-
term development of global air traffic and market trends. Follow-
ing significant growth in passenger traffic in fiscal years 2010 and
2011, globally weakening economic growth and in particular the
results of the European debt crisis, led to a perceptible weakening
of growth in the course of the year 2012. In the area of air freight
volume, a softness of demand has set in primarily due to economic
factors since the middle of 2011. The aviation tax and the planned
emissions trading scheme in the European Union (EU) also had a
dampening effect on demand.
Despite these deteriorating short-term general conditions, leading
aviation associations such as Airports Council International (ACI)
and the major aircraft manufacturers Airbus and Boeing, continue
to expect long-term stable growth rates in global air traffic. The
Fraport Group at the Frankfurt site will profit from the future growth
of the market in particular due to the additional capacity resulting
from the Northwest Runway, Pier A-Plus and the planned Terminal 3.
In harmony with the forecast growth in air traffic, Fraport also
expects long-term positive traffic development for the airport
investments outside of Frankfurt.
Strategic challenges summarized in Agenda 2015
Taking these anticipated developments in global air traffic into
account, the Fraport Group has described the challenges it faces
in Agenda 2015, which consists of 5 areas of activity:
> Manage capital expenditure
> Strengthen profitability
> Increase customer satisfaction
> Secure sustainability
> Utilize growth potentials
Agenda 2015
Utilize growth potentials
Strengthen
profitability
Increase customer
satisfaction
Secure
sustainability
Manage capital expenditure
Graphic 11
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 3 0
Manage capital expenditure
The foundation for the future development of the Fraport Group
and therefore the central element of Agenda 2015 is the expansion
and modernization of the Frankfurt site. With the inauguration of
the Northwest Runway in October 2011, the opening of the new
Pier A-Plus last October and the completion of the remodeling of
Pier B and of the CD-Pier, 4 key parts of the capital expenditure
program have already been completed on time and as they were
needed. The focus for the coming years will continue to be plan-
ning based on needs and the construction of the new Terminal 3
in the southern part of Frankfurt Airport.
Strengthen profitability
Additional expenses from depreciation and amortization and interest
expense are being incurred as a result of the extensive and capital-
intensive investment program of the Fraport Group. As a result,
Fraport must face the challenge of continually improving efficiency
and increasing its operating result. In this context, Fraport in past
years has, e.g., driven the following areas forward:
> Sustained traffic growth through the inauguration of the North-
west Runway and Pier A-Plus
> Gradual increase of airport charges until 2015
> New ground handling services agreement with Deutsche Luft-
hansa until 2018
> Optimizing internal processes and structure (implementation of
Corporate Infrastructure Management, remodeling of corporate
business processes, conclusion of the Pact for the Future 2018)
Increase customer satisfaction
Fraport sees the sustained increase of customer satisfaction as a
challenge for all Group units. The Frankfurt site as well as the entire
Group will benefit from passengers considering Group airports
as their airports of choice. This applies to departing and arriving
passengers, as well as transfer passengers and those using our
retail areas. Satisfied customers are a prerequisite for fully realiz-
ing the potential of the business. The results of customer surveys
underscore that the quality improvements made at the Frankfurt
site in the past years have been positively received by customers.
To continue this trend in the coming years, Fraport is at the Frank-
furt site continuing to intensively pursue the “Great to have you
here!” program begun in 2010.
Secure sustainability
Fraport understands sustainability as responsibly developing the
concept for its future through the consistent linking of economic,
environmental and social targets with the company’s long-term
interests. With its central unit “Corporate Development and
Sustainability Management”, Fraport makes provision for a sustain-
able corporate policy. More detailed information on the topic of
sustainability in the Fraport Group can be found in the chapter
titled “Non-financial Performance Indicators” starting on page 53.
Utilize growth potentials
With the completion of the Northwest Runway, Pier A-Plus and the
CD-Pier, Fraport was able to significantly increase its capacity at
the Frankfurt site in the past years. To ensure quick and profitable
utilization of its new capacities, Fraport has further intensified its
sales activities. In addition, there are 3 essential growth drivers
group-wide:
Growth driver 1: Retail business
The expansion and modernization of the shopping and food &
beverages areas in the terminals are central elements of growth
plans for retail business. Through the inauguration of in total about
12,000 m² of retail space in Pier A-Plus last year, Fraport created
an essential foundation for further retail growth at the Frankfurt
Airport. The company’s goal is to increase net retail revenue per
passenger in the current fiscal year in the direction of € 4 (2012:
average of € 3.32).
Fraport Annual Report 2012 Group Management Report / The Fraport Group
31
Growth driver 2: External business
In addition to the Frankfurt Airport, Fraport currently operates 4
other international airports with an interest of 50 % or more. Fraport
is also involved in 8 other airports as a minority shareholder or
through management contracts. The expected positive develop-
ment of the existing portfolio will continue to increase the profit
contribution of external business to the Group result over the
next several years. In addition, the company is focusing on further
expanding its external business.
Growth driver 3: Airport City
Around the world, hub airports are developing into airport cities.
Fraport recognized this trend at an early stage and identified
sites that are worth consideration for real estate development.
Depending on the project, Fraport decides if and to what extent
the Group will participate in its development. Examples of the
further development of Frankfurt Airport City are:
Components of the value added calculation
Weighted average cost of capital
Fraport calculates the weighted average cost of capital (WACC)
from the sum of the return on equity expected by investors and
the interest expected by creditors on the share of interest-bearing
debt in total capital according to the Capital Asset Pricing Model.
Given the continuously changing economic environment, inter-
est rate levels and/or Fraport’s risk and financing structure, Fraport
regularly reviews and, if needed, adjusts its WACC. Fraport’s WACC
before taxes was determined at 9.5 % as of January 1, 2009 and
based on regular reviews was kept at this level for 2012.
Fraport assets
Fraport’s assets are defined as the average of the company’s interest
bearing capital required for operations, which is calculated as
follows:
> Mönchhof site
> Gateway Gardens
> CargoCity South
Group Value Management
Fraport value added as performance and steering item
To sustainably increase the company’s value, Fraport plans and
manages the Group’s development according to the principles of
value management. At Fraport, the central figure used to guide
this approach is the “Fraport value added” figure. This is calculated
as the difference between the Group’s EBIT and its capital costs
(= Fraport assets x weighted average cost of capital):
Calculation of the Fraport value added
EBIT
–
Fraport assets
x
Weighted average
cost of capital
=
Fraport value
added
Cost of capital
Graphic 12
Calculation of the Fraport assets
Goodwill
Other intangible assets at cost/2
Investments in airport operating projects at cost/2
Property, plant and equipment at cost/2
Inventories
Trade accounts receivable
Construction in progress at cost/2
Current trade accounts payable
Fraport assets
+
+
+
+
+
–
–
=
Graphic 13
To avoid value creation coming solely from depreciation and amor-
tization in calculating its value-added figure, Fraport’s depreciable
assets are generally recognized at half of their historical acquisi-
tion/manufacturing costs (at cost/2) and not at residual carrying
amounts. Goodwill is an exception in this context and is recognized
at its carrying amount in accordance with IFRS. Contrary to the
calculation of Fraport value added at the Group and segment level,
calculating this figure for the External Activities & Service segment
is expanded to include the results of associated and other Group
companies assigned to the segment, as well as the Group compa-
nies’ corresponding assets. This allows Fraport to also include its
minority-owned investments in its value management.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
3 2
Development of value added in 2012
€ million
Fraport Group
Aviation
Retail & Real Estate
Ground Handling
External Activities &
Services 1)
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
EBIT
Fraport
assets
Cost of capital
before taxes
Value added
before taxes
ROFRA
498.0
496.6
77.6
96.1
251.5
232.1
4.7
20.3
174.7
158.1
5,152.3
4,447.3
2,045.4
1,576.7
1,636.2
1,470.3
549.0
508.5
1,118.6
1,087.4
489.5
422.5
194.3
149.8
155.4
139.7
52.2
48.3
106.3
103.3
8.5
9.7 %
74.1
– 116.7
11.2 %
3.8 %
– 53.7
6.1 %
96.1
92.4
15.4 %
15.8 %
– 47.5
0.9 %
– 28.0
4.0 %
68.4
54.8
15.6 %
14.5 %
1) EBIT and Fraport assets are adjusted by the results from associated and other investments allocated to the segment.
As a result of this adjustment on the segment level, there can be discrepancies with respect to addition for the Group level.
Table 10
Return on Fraport assets (ROFRA)
Fraport has expanded its Group and segment value added items
with the Return on Fraport Assets (ROFRA) control factor, to allow
comparisons between business units of varying size. ROFRA is
determined from the ratio of EBIT to Fraport assets and shows
whether the business units created value (ROFRA > WACC) or not
(ROFRA < WACC).
At 9.7 %, the ROFRA of the Fraport Group was again higher than
the Fraport WACC of 9.5 %. Thus it was possible on a Group-wide
basis to both service the cost of capital before taxes and reflect
value creation for the past fiscal year. A detailed explanation of
the course of business of the Fraport Group and of the Fraport
segments can be found in the chapters “Results of Operations”
and “Fraport Segments” beginning on page 42.
Fraport created value in fiscal year 2012
The operating development in fiscal year 2012 resulted in a posi-
tive value added in the amount of € 8.5 million. This figure fell
in comparison with 2011 by € 65.6 million. The development of
value added in the Aviation segment decreased to € – 116.7 million
from € – 53.7 million and that of the Ground Handling segment
fell from € – 28.0 million to € – 47.5 million. The main cause of
decline in value added in both segments was a decrease in EBIT
development. In the aviation segment, the decline was also due
to the significant rise in Fraport assets and thus in the cost of
capital before taxes, which was attributable to the first-time full-
year utilization of the Northwest Runway. The segments Retail
& Real Estate (€ + 3.7 million) and External Activities & Services
(€ + 13.6 million) were able to increase their value added. The
reason for this was the disproportionately large EBIT development
of the segments in relation to the cost of capital before taxes.
Group value added before taxes and ROFRA
€ million
– 62.0
7.9
49.0
10.7
74.1
11.2
in %
8.5
9.7
0
9.5
2009
2010
2011
2012
Group value added before taxes
ROFRA
Graphic 14
Fraport Annual Report 2012
Group Management Report / The Fraport Group
33
Finance Management
Principles: securing liquidity the main objective
Fraport’s finance management encompasses the strategic goals
of securing liquidity, limiting financial risks, profitability and flex-
ibility, with securing liquidity being the top priority. Based on
the Group’s solid equity base, it is secured through both internal
financing via operating cash flow and external financing measures
in the form of debt. Within the context of securing liquidity, Fraport
showed liquidity at December 31, 2012 composed of liquid funds
and freely negotiable securities totaling € 1,663.1 million (2011:
€ 1,606.9 million, figure adjusted for accrued interest income). In
the other direction, there were short-term and long-term financial
liabilities in the amount of € 4,597.6 million (2011: € 4,253.9 million).
As of the balance sheet date, additional credit lines totaling an amount
of close to the mid three-digit-€-millions were available to Fraport.
Source of funds: broad portfolio of financing sources
with mid- and long-term repayment profiles
In the context of external financing through borrowing, Fraport puts
a high value on a balanced repayment profile. At the balance sheet
date, the average remaining term of liabilities from banks and bonds
was 6.5 years (2011: about 6.5 years). The key features of Fraport AG’s
financing instruments in terms of type, maturity, currency and
interest rate structure are presented in the following table:
Including hedged interest, around 40 % of the interest in relation
to gross debt of Fraport AG is floating and 60 % is fixed.
Financing in Group companies in which an interest of at
least 50 % is held
For Group companies in which an interest of at least 50 % is held,
there are mainly bank liabilities relating to project financing and
a corporate bond issue. These amount to a total nominal vol-
ume of € 394.4 million. Liabilities of Group companies to banks
(€ 273.8 million) are in each case denominated in € and are mainly
subject to ongoing repayment during the term of the loans. Terms
of loans are generally long term. Interest rates in most cases are
based on the respective EURIBOR plus a commensurate margin
for financing. A bond issue (US-$ 164.9 million) was issued by
Lima Airport Partners (LAP) in 2007 with a term of 15 years. It is
denominated in US-$, since 2012 subject to ongoing repayments
during the term (balance as of December 31, 2012: US-$ 159.0 mil-
lion) and the interest is charged with a fixed coupon at 6.88 % p.a.
Customary covenants
The contractual agreements for all financial liabilities of Fraport AG
include 2 non-financial covenants consisting of a negative pledge
and a pari passu clause. In addition, the public loans include com-
monly accepted credit clauses regarding, among other things,
changes in shareholder structure and in the control of the com-
pany (so-called change-of-control clause). If these should have a
proven negative effect on the borrowing capacity of Fraport AG,
the creditors have – above a certain threshold – the right to call
the loans due ahead of time.
Financial debt structure of Fraport AG
Type
Year of origin
Nominal volume
in € million
Maturity Repayment structure
Interest
Interest rate
Promissory note loans
Public loans
EIB/WIBank
Bond issue
Private placement
Bilateral loans
2008
2009
2010
2012
2012
2009
2009
2009
463
257
86
14
35
300
60
2015
2017
2014
2017
2020
2020
2022
2030
2020
2022
end of term
end of term
floating
6-month-EURIBOR + margin
floating
6-month-EURIBOR + margin
end of term
mainly floating
6-month-EURIBOR + margin
end of term
mainly floating
6-month-EURIBOR + margin
end of term
end of term
floating
6-month-EURIBOR + margin
mainly fixed
6-month-EURIBOR + margin
end of term
fixed
2.74 % p. a.
3.06 % p. a.
980
2016 – 2019
ongoing repayment
during the term
of the loans
floating 6-month-EURIBOR + margin
800
150
2019
2029
end of term
end of term
fixed
fixed
5.25 % p. a.
5.875 % p. a.
3/6/12-month-
EURIBOR + margin
Table 11
1993 – 2012
1,031.2
(mainly denominated
in €)
2013 – 2028
mainly end of term
mainly floating
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
3 4
Independent project financing arrangements of Group companies
with an interest of at least 50 % contain a series of credit clauses
typical for this type of financing. These include, among other
things, certain debt service coverage ratios and key figures for debt
ratio and loan periods which must be complied with. Failure to
comply with the agreed credit clauses may lead to restrictions on
the distribution of dividends and/or to the financing being called
due for repayment early or a request for an additional injection of
equity. Compliance with these criteria is examined on an ongo-
ing basis. As of the balance sheet date, they are complied with.
Liquidity: diversification and overweighting of
corporates in the investment of money are continued
In the light of risk spreading and outflows at different times, Fraport
Group’s liquidity is invested broadly. For payments expected
shortly, particularly in the framework of current outflows as a result
of capital expenditure at the Frankfurt site, Fraport AG has time
deposits, securities with short remaining terms and commercial
paper available. The established strategy for broad diversification
of investments in corporate bonds was continued in the reporting
period. The mid-term and long-term investment horizon corre-
sponds largely to the expected outflow of funds according to the
five-year plan. The key characteristics of Fraport AG’s investment
instruments in terms of type, term to maturity and interest structure
are presented in the table:
Financial asset structure of Fraport AG
Investment type
Market value in € million 1)
Remaining term in years
Interest rate
Promissory note loans
Overnight deposits
Time deposits
Bonds
thereof government bonds
thereof financials
thereof industrials
Commercial paper
1) As a result of roundings, there can be discrepancies when summing-up.
32.5
46.3
39.0
200.0
345.0
247.6
445.0
10.5
192.5
103.4
55.2
331.0
69.8
2.06
1.18
–
–
0.29
1.01
2.32
4.38
1.03
2.36
0.96
2.26
0.31
floating
fixed
floating
fixed
fixed
floating
fixed
fixed
floating
fixed
floating
fixed
fixed
Table 12
Distribution of Fraport AG’s liquidity by investment class
(nominal value: € 1,399.0 million)
in %
3
4
2
AVIATION
1 Time deposits
2 Fixed income – banks
41.7
25.1
3 Fixed income – industrials
32.5
4 Government bonds
0.7
1
Graphic 15
Fraport Annual Report 2012 Group Management Report / The Fraport Group
35
As of December 31, 2012, industrial bonds and industrial com-
mercial papers are distributed across the following industry sectors
(nominal value: € 454.6 million):
Distribution of industrial bonds and industrial commercial papers
in %
9
1
8
7
6
2
3
AVIATION
1 Automotives
2 Industrials
3 Food and beverages
4 Telecommunications
5 Chemicals
6 Infrastructure
7 Utilities
5
4
8 Transport and logistics
9 Remaining shares
< 5 %
14.1
13.8
11.9
11.3
10.2
6.0
6.0
5.9
20.8
Graphic 16
Within the framework of diversification there is, alongside invest-
ments in industry bonds, a broad diversification of counterparties
in the financial sector. With regard to the collaboration with banks
in various business sectors, total limits are determined that are
continuously monitored concerning, among other things, the
development of the credit-worthiness of the banks. Initial invest-
ments within the framework of asset management is generally
only permitted in the investment grade range. If the credit rating
is downgraded to non-investment grade during the asset’s holding
period, a decision is made on a case-by-case basis on the further
course of action with the asset taking into account its remaining
term. In addition, internally adopted investment criteria are exam-
ined and evaluated prior to an investment decision. The ratings
of all investment types are presented in the graphic. Commercial
papers are assigned to the long-term rating equivalent of the issuers’.
Since the beginning of 2013, however, investments without ratings
have also been possible in individual cases.
Rating structure of financial assets
0
20
40
60
in %
AAA
AA
A
BBB
BB
1.1
12.4
59.9
25.9
0.7
Graphic 17
Fraport continues not to have an external rating
In light of Fraport’s always very healthy liquidity supply combined
with its comfortable portfolio of unused, approved credit lines,
there has not been a need for an external rating to this point.
Statement on Corporate Governance pursuant to
Section 289a of the HGB and Corporate Governance
Report
Acting also for the Supervisory Board, the Executive Board prepares
a Statement on Corporate Governance in accordance with Sec-
tion 289a of the HGB and Section 3.10 of the German Corporate
Governance Code (GCGC) for the Group. The Statement on Cor-
porate Governance including the Corporate Governance Report
is published in the separate section of the Annual Report and on
the corporate website www.fraport.com under the section The
Fraport Group.
Remuneration of the Executive Board and the
Supervisory Board
Executive Board remuneration at Fraport is set by the Supervisory
Board upon the recommendation of its executive committee. Since
January 1, 2010, the remuneration of members of the Executive
Board has been as follows:
> Non-performance-related components
(fixed salary and compensation in kind)
> Performance-related components with short- and mid-term
incentive effect (bonus)
> Performance-related components with long-term incentive effect
(Long-Term Strategy Award and Long-Term Incentive Program)
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 3 6
In addition to these components, there are still stock options that
have a long-term incentive effect within the scope of the still run-
ning stock options plan. These stock options were issued for the
last time for the year 2009 (see Group notes, note 45). In addition,
Executive Board members received contributions for pension
benefit commitments.
Supervisory Board members receive fixed remuneration exclusively.
The detailed remuneration report for the Executive Board and the
Supervisory Board is presented in Group notes, note 52 and is also
a component of the management report.
Takeover-related disclosures in accordance with
Section 315 (4) of the HGB
The capital stock of Fraport AG is € 922,117,560 (as of Decem -
ber 31, 2012). It is divided into 92,211,756 no-par-value bearer
shares. The company holds treasury shares (77,365 shares) which
are offset from capital stock on the balance sheet. The subscribed
capital less treasury shares was recognized at € 921,343,910
(92,134,391 no-par-value shares) in the commercial balance sheet.
There are no differing classes of shares.
The total voting rights in Fraport AG held by the state of Hesse
and Stadtwerke Frankfurt am Main Holding GmbH calculated in
accordance with Section 22 (2) of the German Securities Trading
Act (WpHG) amounted to 51.45 % as of December 31, 2012. At
that time, they were attributed as follows: state of Hesse 31.40 %
and Stadtwerke Frankfurt am Main Holding GmbH 20.05 %. The
voting rights in Fraport AG owned by the city of Frankfurt am Main
are held indirectly via the subsidiary Stadtwerke Frankfurt am Main
Holding GmbH. According to the last official report in accordance
with the WpHG and disclosures by individual shareholders, the
other voting rights in Fraport AG were attributable as follows (as of
December 31, 2012): Deutsche Lufthansa AG 9.89 %, Lazard Asset
Management LLC 3.16 % and RARE Infrastructure Limited 3.06 %.
The relative ownership interests were adjusted to the current total
number of shares as of the balance sheet day and therefore may
differ from the figures given at the time of reporting or from the
respective shareholders’ own disclosures.
The appointment and dismissal of Executive Board members is car-
ried out in compliance with the relevant provisions of the German
Stock Corporation Act (AktG) (Sections 84 and 85). Pursuant to Sec-
tion 179 (1) sentence 2 of the AktG in conjunction with Section 11 (3)
of the company statutes, the Supervisory Board is entitled to
amend the company statutes only with respect to the wording.
Other amendments to the company statutes require a resolution of
the AGM, which, according to Section 18 (1) of the company stat-
utes, must be passed by a simple majority of the votes cast and the
capital stock represented at the time of passage of the resolution.
If, by way of exception, the law requires a higher capital majority
(e.g., when changing the purpose of the company as stated in
the company statutes, Section 179 (2) sentence 2 of the AktG; or
when creating contingent capital, Section 193 (1) sentence 1
of the AktG), the resolution of the AGM has to be passed by a
three-quarter majority of the represented capital stock.
Pursuant to Sections 202 et seq. of the AktG, the Executive
Board is authorized by resolution of the AGM held on May 27,
2009 to increase the capital stock by up to € 5.5 million on
one or more occasions until May 26, 2014 with the approval of
the Supervisory Board. The statutory subscription rights of the
shareholders can be excluded. In 2012, a total of € 542,390 of
authorized capital was used for issuing shares within the scope
of the employee investment plan. Thus authorized capital in
the amount of € 3,986,230 remains as of December 31, 2012,
which can be used for purposes of issuing shares to the employ-
ees of Fraport AG. In addition to the employees of Fraport AG,
employees of 7 Group companies have the possibility of partici-
pating in the employee investment plan. For further details, see
Group notes, note 31.
A contingent capital increase of € 13.9 million was approved under
Sections 192 et seq. of the AktG at the AGM held on March 14,
2001. The purpose of the contingent capital was expanded at
the AGM on June 1, 2005. The contingent capital increase also
serves to fulfill subscription rights under the Fraport Management
Stock Options Plan 2005 (MSOP 2005). The Executive Board and
Supervisory Board were authorized to issue up to 1,515,000 stock
options to beneficiaries entitled to subscribe until August 31, 2009,
in accordance with more detailed provisions in this regard. Some
of the shares issued to members of the Executive Board as part of
performance-related remuneration before 2010 are subject to a
holding period of 12 or 24 months.
Contingent capital totaled € 3.7 million as of December 31, 2012.
In 2012, subscription rights in the amount of € 2,016,500 (201,650
options) were exercised under MSOP 2005.
Under a resolution of the 2010 AGM, the Executive Board is author-
ized to purchase treasury shares of up to 3 % of the capital stock
available at the time of the 2010 AGM. The Executive Board may
only use these treasury shares to service subscription rights under
MSOP 2005, while the Supervisory Board may use them as a share-
based portion of the Executive Board’s remuneration. No treasury
shares were purchased in 2012 based on these authorizations.
The provisions set under Section 315 (4) of the HGB are rules
customarily applied by similar listed companies and are not
intended to hinder any takeover attempts.
Fraport Annual Report 2012 Group Management Report / The Fraport Group / Business Development 2012
37
Report on the relationships with affiliated companies
Business Development 2012
Fraport AG is a public-controlled enterprise
Due to the interest of 31.40 % (2011: 31.49 %) held by the state
of Hesse and 20.05 % held by Stadtwerke Frankfurt am Main Hold-
ing GmbH (2011: 20.11%) as well as the consortium agreement
concluded between these shareholders on April 18/23, 2001,
Fraport AG is a public-controlled enterprise. There are no control
or profit transfer agreements.
The Executive Board of Fraport AG therefore compiles a report on
the relationships with affiliated companies in accordance with Sec-
tion 312 of the AktG. At the end of the report, the Executive Board
made the following statement: “The Executive Board declares
that under the circumstances known to us at the time, Fraport
AG received fair and adequate compensation for each and every
legal transaction conducted. No action was taken or not taken at
the behest or in the interests of the state of Hesse and the city of
Frankfurt am Main and companies affiliated with them in the year
under review.”.
General statement of the Executive Board
Group targets attained despite difficult environment
In a difficult economic environment, Fraport mainly reached its
forecast goals in the past fiscal year (see also 2011 Annual Report
beginning on page 82). At the Frankfurt Airport, the increase in
passenger figures, the adjustment of airport charges and the good
retail development in particular contributed to increases in revenue
and earnings. Beyond the Frankfurt site, the Group companies
Lima and Antalya in particular contributed to the positive business
development. As a result of continuing stable sources of liquidity,
the financial position of the Fraport Group at the end of the past
fiscal year can again be regarded as stable.
There were deviations from the forecast results for 2012 in particu-
lar in the area of Group revenue and in the results of the Aviation
and Ground Handling segments. Contrary to original planning,
lower capacity investments in the Group companies Twin Star
and Lima in connection with the application of IFRIC 12 led to a
lower increase in revenue. Due to the required recognition on the
cost side, however, this effect did not have any impact on Group
EBITDA. The creation of a provision in connection with noise
abatement measures specifically hindered the planned increase
in segment EBIT for Aviation, while in the Ground Handling seg-
ment, EBITDA and EBIT declined despite a release of provision in
the personnel area of just under € 10 million. This was mainly due
to the higher-than-expected collective wage agreement in the
public sector, the decline in cargo volumes and lower maximum
take-off weights.
Comparison of key 2012 forecasts with the actual business development
Outlook for 2012
Actual development 2012
Passengers
Growth in Frankfurt below 4 %
Frankfurt: + 1.9 %
Growth in Group airports (interest of at least 50 %)
Antalya: 0.0 %, Lima: + 13.0 %, Burgas: + 5.6 %, Varna: + 3.4 %
Group earnings
Revenue growth in excess of € 2.5 billion
€ 2.44 billion
EBITDA growth of at least 5 %
EBIT growth
Group result at about previous year’s level
€ 850.7 million (+ 6.0 %)
€ 498.0 million (+ 0.3 %)
€ 251.6 million (+ 0.3 %)
Positive value contribution, but below the previous year
€ 8.5 million (– 88.5 %)
Fraport segments
Aviation: Increase in revenue, EBITDA, EBIT
Revenue: + 6.3 %, EBITDA: + 6.4 %, EBIT: – 19.3 %
Retail & Real Estate: Increase in revenue, EBITDA, EBIT
Revenue: + 1.8 %, EBITDA: + 9.4 %, EBIT: + 8.4 %
Ground Handling: Increase in revenue, EBITDA, EBIT
Revenue: – 0.9 %, EBITDA: – 20.0 %, EBIT: – 76.8 %
External Activities & Services: Increase in revenue, EBITDA, EBIT
Revenue: + 4.1 %, EBITDA: + 7.3 %, EBIT: + 10.9 %
Net assets
and financial position
Around € 700 million capital expenditure for property,
plant and equipment
Free cash flow still negative
Gearing ratio exceeding 100 %
€ 602.9 million
€ – 162.4 million
105.0 %
Table 13
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
3 8
Significant Events
“Together for the region” noise abatement package
adopted
On February 29, 2012, a joint declaration entitled “Together for
the region – Alliance for better noise abatement 2012” was signed
by Fraport AG, the state of Hesse and representatives of the avia-
tion industry. Within the framework of this declaration, additional
active and passive noise abatement measures will be implemented
or investigated. The package also includes the expansion of the
Casa program. A regional fund of € 335 million was set up to
finance additional passive noise abatement measures. Fraport AG
will contribute a total of € 15 million to € 20 million to this fund,
with payments graduated over a period of approximately 2 years.
In addition, Fraport’s voluntary Casa program for the acquisition
of properties in Flörsheim, which experience very low-altitude
fly-overs, is to be expanded. Extending the possibility of sale to
the entire width of the Casa area doubles the program volume in
terms of the number of residential properties affected. Fraport has
allocated a total of more than € 100 million to the whole package
of measures in the Casa program.
The effects of the noise abatement package on Group earnings
have been taken into account in the financial statements for 2012
through the creation of appropriate provisions. The effects on
Group assets and financial position arise through the actual utiliza-
tion of the packet of measures.
Strikes cause flight cancellations at Frankfurt Airport
Due to strikes, there have been around 3,350 flight cancellations
at Frankfurt Airport in the past fiscal year. The correlated number of
passengers lost is estimated at around 370,000 which – taking into
account the total number of passengers in Frankfurt – represents
a negative effect of around a half percentage point. In February
2012, approximately 1,700 flights were canceled following a wage
dispute between Fraport AG and the union of air traffic controllers
(GdF – Gewerkschaft der Flugsicherung). In March 2012, a public
sector strike led to 450 flight cancellations. In August and Septem-
ber 2012, the number of strike-related flight cancellations due to
strikes of Deutsche Lufthansa cabin personnel was roughly 1,200. In
the past fiscal year, the flight cancellations and the accompanying
lower passenger figures had a negative effect on Group earnings
in the middle to higher single digit million euro range.
German Federal Administrative High Court confirms
zoning decision on airport expansion
With its appellate decision, issued on April 4, 2012, the German
Federal Administrative High Court – as had the Hesse Administra-
tive High Court before it – essentially confirmed that the zoning
decision for the expansion of Frankfurt Airport complied with legal
requirements. Thus the likelihood of the occurrence of a significant
risk was reduced for the Fraport Group. Further information on the
rulings of the Federal Administrative High Court and the effects of
the judgment can be found in the “Opportunity and Risk Report”
under the section “Risks in connection with airport expansion”
beginning on page 63 of this report.
Pier A-Plus in Frankfurt opened
After about 4 years of construction work, Fraport opened Pier A-Plus
at Frankfurt Airport on October 10, 2012. Pier A-Plus increases the
airport’s annual terminal capacity from around 58 million passen-
gers to about 64 million. In total, the expansion of Terminal 1 has 7
handling positions for wide-body aircraft: 4 of these are designed
for type A380 aircraft, while another 3 positions are available for
aircraft up to the size of type B747-8 and A340. Alternatively for
maximum flexibility, 11 narrow-body aircraft can be processed at
the same time. Through its newly created terminal positions, the
new pier significantly simplifies and speeds up transfer processes
in Frankfurt.
Pier A-Plus also sets a new standard with its retail concept: A retail
area of in total about 12,000 m² offers room for 60 shops and
food service facilities which are primarily concentrated at 2 cen-
tral market places. The inauguration of Pier A-Plus is an essential
prerequisite for the possibility of further growth in Frankfurt in the
coming years with respect to both passenger traffic and raising the
net retail revenue per passenger at Frankfurt Airport from € 3.32 in
the direction of € 4 in fiscal year 2013. In addition, the opening of
new lounge areas within the pier will lead to an increase in revenue
in the real estate sector.
New terminal and runway inaugurated in Xi’an
Following a construction period of around 3 years, the third pas-
senger terminal at Xi’an Airport, China, was placed into service on
May 3, 2012. At the same time, the airport’s second runway was
also opened. The third terminal has a planned capacity of around
21 million passengers per year and takes into account the vigorous
traffic growth at the airport. The airport now has a total terminal
capacity of up to 40 million passengers and a mid-term take-off
and landing capacity of around 65 aircraft per hour. Fraport has
held a 24.5 % share in Xi’an Airport since August 2008. Since the
entry of Fraport, passenger traffic has increased from 11.9 million
passengers in 2008 to 23.4 million in 2012. The facilities placed
into operation during the past year will make it possible for the
location to continue to participate in China’s dynamic development
of air traffic in the future.
Fraport Annual Report 2012 Group Management Report / Business Development 2012
39
Economic conditions
Global air traffic
Slackening economic momentum also impacts air traffic
The slowing economic development was also reflected in a slowing
of momentum in global passenger traffic. While global passenger
figures still increased perceptibly by 3.9 %, according to provisional
values of the ACI for 2012 (February 7, 2013), the growth rate
in the more economically unstable European area reached only
1.8 %. According to the figures of the German Airports Associa-
tion (Arbeitsgemeinschaft Deutscher Verkehrsflughäfen, ADV), the
increase in passenger volume at German airports in 2012 of 1.1 %
was actually below this figure. The reasons for the greater decline
in German passenger traffic were primarily supply management
by German airlines, geared toward consolidation and the nega-
tive effects arising from the aviation tax. This was also reflected in
a reduction in aircraft movements of 3.1 % at German airports.
At the end of the year, stabilization was perceptible in the – as
in the previous year – slightly reduced global air freight volume
(– 0.2 %) but there was still no drastic trend reversal. Due to the
crisis, air freight in European aviation fell by 3.0 %. At – 2.2 %,
cargo throughput at German airports came out only slightly better.
Group airports
Solid growth of the Fraport portfolio
The Fraport Group’s airports (those in which an interest of
50 % or more is held) handled some 99.4 million passengers in
2012 – an increase of 2.9 %. Aircraft movements increased mod-
erately by 0.4 % to approximately 819,000. Cargo throughput
fell significantly at – 5.8 % to just under 2.4 million metric tons. In
total, about 188.2 million passengers (+ 4.1 %) used the Fraport
airports (including minority-owned airports and the management
contract at Cairo Airport).
Record number of passengers at Frankfurt Airport
At 57.5 million passengers in fiscal year 2012, never before were
so many passengers transported by Frankfurt Airport. The previ-
ous year’s value was exceeded by about 1.1 million passengers
(+ 1.9 %). Strike- and weather-related flight cancellations prevented
greater growth. Without these disruptive events, growth would
have been at 2.5 % – adjusted for the leap-year effect.
Slowdown in global conditions
With growth of about 3 %, the global economy was not able to
fully meet expected development of about 3.5 % in the past year
and lost momentum during the course of the year. The economic
development in individual regions was very different. While the
countries in the Euro zone as a whole suffered a drop in total eco-
nomic performance of approximately 0.4 %, the Asian countries
– essentially Japan, China and India – and the countries of Latin
America and Africa developed significantly more strongly, but also
lagged behind expectations.
The growth rate in global trade dropped to approximately 2.8 %. In
particular, the European debt crisis and the continuing high price
level on the raw materials markets, particularly for crude oil, had a
negative effect on economic growth momentum in 2012 (average
global market price per barrel in 2012 and 2011: about US-$107).
Gross domestic product (GDP)/world trade
Real changes compared to the
previous year in %
2012
2011
Germany
Euro zone
Great Britain
USA
Japan
Russia
China
India
World
World trade
0.7
– 0.4
– 0.1
2.3
2.0
3.8
7.7
4.8
3.0
2.8
3.0
1.4
0.9
1.8
– 0.6
4.3
9.3
7.9
3.9
5.9
2012 figures based on: International Monetary Fund
(IMF, January 2013), Organisation for Economic Co-operation and
Development (OECD, November 2012), Deutsche Bank (February 2013),
DekaBank (February 2013), German Federal Statistical Office (January 2013),
www.tecson.de (oil prices). 2011 figures: International Monetary Fund
(IMF, January 2013) and German Federal Statistical Office for GDP of
Germany (January 2013).
Table 14
Moderate growth in German GDP
With a plus of 0.7 %, the German economy showed only moder-
ate growth in 2012, but still stood out clearly from the average
growth rate in the Euro zone. After a good start (+ 1.7 % in the first
quarter), the German economy increasingly lost momentum over
the course of the year. The last quarter of the year actually closed
with a slight minus, due among other things, to the lower number
of working days due to the holidays. Drivers of the slightly posi-
tive result for the year were, in addition to exports, the state and
private consumer demand which at 1.0 % and 0.8 %, respectively,
made a slightly above-average contribution to the real growth in
German GDP.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 4 0
The primary growth driver was intercontinental traffic (+ 3.6 %),
which significantly increased for connections with Latin America
(+ 10.1 %), Africa (+ 7.3 %) and the Middle East (+ 5.1 %), above all.
The high volume markets of Asia and North America with + 2.4 %
and + 1.3 %, respectively, reflected comparatively lower growth.
Strike- and weather-related flight cancellations as well as reductions
in supply led to a slightly below average growth in European
traffic (+ 1.7 %). While traffic to and from Great Britain (+ 9.6 %)
benefited among others from hosting the Olympic Summer
Games, in particular a few markets in the Balkans reflected high
growth rates (among others: Serbia + 16.6 % and Croatia + 12.0 %).
Falling passenger numbers were recorded among other places on
routes into Switzerland (– 3.6 %), from and to Belgium (– 2.6 %)
and Spain (– 1.9 %). Domestic traffic, affected particularly strongly
by the strike- and weather-related cancellations, saw a – 4.2 %
decrease in the number of passengers. Also reductions in supply
had a negative effect on Hamburg traffic.
Based on passenger figures, Frankfurt Airport continues to hold
third place within Europe behind London-Heathrow (70.0 million,
+ 0.9 %) and Paris-Charles de Gaulle (61.6 million, + 1.1 %).
Given its strong involvement in the global flow of commodities,
Frankfurt Airport could not detach itself from the worldwide
weakness in air freight. The night flight ban intensified this
negative effect. Cargo throughput in Frankfurt (about 2.1 million
metric tons) was down by 6.7 %, which was largely attributable
to a decline in European traffic (– 17.6 %) and Asian and North
American traffic (– 8.4 % and – 4.9 %, respectively). While pure
air freight handling fell by 6.9 % to about 2 million metric tons,
air mail volume at a good 80,000 metric tons was down 2.3 % in
comparison to the previous year.
Because of the flight cancellations and reductions in supply,
the number of aircraft movements in 2012 fell by 1.0 % to
approximately 482,000. The maximum take-off weights slightly
decreased disproportinately by 1.2 % to 28,913 metric tons as a
result of strongly reduced heavy freighter flights (– 9.2 %). The
proportion of transfer passengers was about 55 % (2011: about
54 %).
Fraport airports partly faced significant increases
in passengers
At about 25.0 million passengers, passenger volume at the Antalya
Airport was at the same level as that of the previous year. While
there was a continuing positive trend in domestic Turkish traffic
(+ 7.8 % to 4.5 million passengers) the number of international
passengers dropped by 1.6 % to 20.4 million. In the previous year,
the airport benefited from the switching of destinations from the
politically instable North Africa and the Gulf region into Turkey.
The switch back of traffic into these countries had the effect of
reducing traffic in the reporting period.
At Lima Airport, passenger figures increased significantly by
13.0 % to some 13.3 million in the past fiscal year. Both domestic
and international traffic recorded positive development, rising by
+ 16.4 % and + 9.5 % respectively. Cargo throughput increased to
more than 290,000 metric tons (+2.5 %).
At Burgas Airport, passenger traffic grew in 2012 by 5.6 % to almost
2.4 million passengers. The primary reasons for this were more
travelers from Eastern Europe and Great Britain and the closing of
the Varna Airport between October 2011 and the end of February
2012 due to a runway refurbishment. Despite the refurbishment,
capacity utilization of the Varna Airport increased by 3.4 % to
more than 1.2 million passengers due to the good summer season.
2012 passenger and cargo development at Frankfurt Airport (% change over 2011)
in %
5.5
– 15.9
0.7
– 8.4
4.1
– 10.9
2.8
– 10.5
1.4
– 10.3
5.4
– 3.4
3.7
– 7.6
4.6
– 4.1
1.0
– 2.5
1.3
– 7.0
– 2.7
2.6
– 6.3
– 1.6
0
0
January
February
March
April
May
June
July
August
September
October
November
December
Passengers
Cargo
Graphic 18
Fraport Annual Report 2012 Group Management Report / Business Development 2012
41
The Delhi Airport recorded a 2.3 % drop in passenger traffic to
34.2 million passengers in the past fiscal year. While there contin-
ued to be growth in international traffic, lower domestic passenger
figures led to the decline in 2012.
Xi’an Airport, whose passenger volume rose by 10.7 % to more
than 23.4 million in 2012, continued its positive development.
Despite unfavorable macro-economic conditions, passenger
growth thus again was significantly above the national average.
At 11.2 million travelers, the passenger traffic at the St. Peters-
burg Airport achieved an increase of 16.1 % in 2012. There was
significant growth of about 20 %, particularly in international traffic
– including the CIS.
With 5.3 million passengers handled, Hanover Airport recorded
a slight 1.0 % decline in passenger volume in comparison to the
previous year. This was mainly due to a drop in the number of
passengers served by Air Berlin. This drop, however, was partly
offset by rising traffic developments of other airlines.
Airports with a Fraport share of at least 50 %
Fraport share
in %
2012
% change
over 2011
2012
% change
over 2011
Passengers 1) Cargo (air freight and air mail in m.t.)
Frankfurt
Antalya
Lima
Burgas
Varna
Group
100.00
57,520,001
51.00/50.00 2)
24,954,422
70.01
60.00
60.00
13,324,379
2,380,536
1,221,468
99,400,806
1.9
0.0
13.0
5.6
3.4
2.9
2,066,431
n.a.
293,675
2,281
33
2,362,420
– 6.7
n.a.
2.5
– 61.9
– 18.3
– 5.8
1) Commercial traffic only, in + out + transit.
2) Proportionate consolidation, 51 % voting rights and 50 % equity share.
Airports with minority share or under management contracts 2)
Fraport share
in %
2012
% change
over 2011
2012
% change
over 2011
Passengers 1) Cargo (air freight and air mail in m.t.)
Delhi
Xi’an
Cairo
St. Petersburg
Hanover
Total
10.00
24.50
0.00
35.50
30.00
34,211,608
23,420,905
14,711,500
11,154,560
5,288,327
88,786,900
– 2.3
10.7
13.0
16.1
– 1.0
5.5
560,434
174,794
278,877
n.a.
15,869
1,029,974
– 5.6
1.3
– 0.8
n.a.
– 6.4
– 3.2
1) Commercial traffic only, in + out + transit.
2) Without traffic figures for the airports in Riyadh and Jeddah (management contracts) as well as Dakar
(management/consulting contract until end of July 2012. Fraport in addition holds a 60 % share in the new Dakar airport,
which is currently under construction). Those figures were not available until the editorial deadline.
2012
482,242
159,253
148,325
18,856
10,739
819,415
2012
305,249
203,321
142,674
125,715
80,139
857,098
Movements
% change
over 2011
– 1.0
– 2.7
9.8
– 1.9
– 4.7
0.4
Table 15
Movements
% change
over 2011
– 1.8
11.0
10.1
8.4
– 0.7
4.5
Table 16
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
4 2
Key revenue and earnings figures
€ million
Revenue
EBITDA
EBITDA margin
EBIT
EBT
Group result
Profit attributable to shareholders of Fraport AG
Basic earnings per share in €
1) Percentage points.
Results of Operations
For further details on the computation of the key figures of the net
assets, financial position and earnings, see the glossary.
Increase in revenue through higher traffic volume
and price effects
In the fiscal year 2012, the Fraport Group generated € 2,442.0 million
in revenue. This represents a year-on-year increase of € 70.8
million or 3.0 %. Adjusted for the recognition of capacitive
capital expenditure, neutral on earnings, in the Group com-
panies Lima and Twin Star in connection with the application
of IFRIC 12, revenue of € 2,413.3 million was higher than the
corresponding value for fiscal year 2011 by € 74.5 million
(+ 3.2 %).
While the segments Aviation (€ +48.5 million), External Activities &
Services (€ + 20.3 million) and Retail & Real Estate (€ + 8.2 million)
benefited from the increased passenger numbers, the segment
Ground Handling recorded a decline in revenue (€ – 6.2 million).
Alongside higher passenger figures and associated additional
revenue from airport charges, the increase in airport charges as of
January 1, 2012, together with base-year effects from increases in
the previous year’s airport charges had a revenue-increasing effect
in the Aviation segment. In the segment Retail & Real Estate, there
were positive effects on retail business resulting from the increased
net retail revenue per passenger as well as increased revenue in real
estate. Acting in the other direction was lower revenue from the
proceeds of real estate sales on the Mönchhof site (revenue from
2012
2011
Change
2,442.0
850.7
34.8 %
498.0
366.1
251.6
238.3
2.59
2,371.2
802.3
33.8 %
496.6
347.3
250.8
240.4
2.62
70.8
48.4
1.0 PP 1)
1.4
18.8
0.8
– 2.1
– 0.03
Change
in %
3.0
6.0
–
0.3
5.4
0.3
– 0.9
– 1.1
Table 17
the sale of land 2012: € 16.4 million, 2011: € 27.9 million). The
revenue decline in the Ground Handling segment was principally
a result of the continued significant downward trend in the cargo
business as well as lower maximum take-off weights. The External
Activities & Services segment, which mainly comprises Group
companies outside Frankfurt, posted a revenue increase due in par-
ticular to the positive traffic development in Lima and the solid retail
development in Antalya. Adjusted for the application of IFRIC 12,
the segment’s revenue rose above the level of the previous year
by € 24.0 million. The sale of the Group company Fraport Ground
Services Austria GmbH in December 2011, in particular, had a
revenue-reducing effect (revenue 2011: € 15.3 million).
Other income grew in the past fiscal year by € 25.6 million to
€ 107.2 million (+ 31.4 %), mainly due to reversals of provisions,
among others, in the Ground Handling segment. At € 2,549.2 million,
total revenue was up 3.9 % over the previous year (€ + 96.4 million).
Group revenue and return on revenue
€ million
in %
2,010.3
9.7
2,194.6
12.7
2,371.2
14.6
2,442.0
15.0
0
0
2009
2010
2011
2012
Group revenue
Return on revenue
Graphic 19
Fraport Annual Report 2012
Group Management Report / Business Development 2012
43
Disproportionate development of operating expenses
Personnel expenses increased € 41.5 million to € 947.8 million
(+ 4.6 %) in the past fiscal year. The increase at the Frankfurt site
was mainly a result of the collective wage agreement in the public
sector and higher traffic-related staff demand. Total non-staff costs
(material and other operating expenses) increased slightly by
€ 6.5 million to € 750.7 million (+ 0.9 %). While higher traffic-related
concession fees increased material costs in Lima, lower contribu-
tions to provisions in comparison with the previous year reduced
other operating expenses. Total operating expenses increased
from € 1,650.5 million to € 1,698.5 million (+ 2.9 %).
Improvement in other financial result
Within the financial result, the significant deterioration of the
interest result – due primarily to lower capitalized interest expenses
related to construction work (2012: € 28.2 million compared with
2011: € 63.3 million) – was offset by a significant improvement
in other financial result. The reasons for the positive development
of other financial result included proceeds from the disposal of
investments as part of financial asset management, foreign cur-
rency effects and the market valuation of derivatives. Overall,
the financial result improved during the past fiscal year from
€ – 149.3 million to € – 131.9 million (€ + 17.4 million).
EBITDA and EBIT increase based on revenue
Because of the positive revenue development, Group EBITDA rose
€ 48.4 million to € 850.7 million (+ 6.0 %). The EBITDA margin
rose by 1.0 percentage point to 34.8 %. Adjusted for the revenue
and expenses from long-term construction activities in connection
with the application of IFRIC 12, the EBITDA margin rose from 34.3 %
to 35.3 %. Despite the impairment losses posted in the previous
year on land and buildings in the segments Aviation and Retail &
Real Estate, depreciation and amortization rose by 15.4 % to
€ 352.7 million (€ + 47.0 million) in the reporting period, mainly
due to the full-year use of the Northwest Runway. Group EBIT
thus increased slightly by € 1.4 million to € 498.0 million (+ 0.3 %).
Group result and earnings per share at about previous
year‘s level
The positive operating development and the improvement of the
financial result were expressed in a perceptible increase of the EBT
from € 347.3 million to € 366.1 million (+ 5.4 %). Due to a higher
tax rate, – 31.3 % compared to 27.8 % in the previous year –,
Group result increased only slightly in 2012 by € 0.8 million to
€ 251.6 million (+ 0.3 %). The profit attributable to shareholders
of Fraport AG fell slightly from € 240.4 million to € 238.3 million
(– 0.9 %). Correspondingly, basic earnings per share declined
slightly by € 0.03 to € 2.59.
Group EBITDA and EBITDA margin
Group result and earnings per share
€ million
in %
€ million
569.7
28.3
710.6
32.4
802.3
33.8
850.7
34.8
152.0
1.60
271.5
2.86
250.8
2.62
251.6
2.59
0
0
0
2009
2010
2011
2012
2009
2010
2011
2012
in €
0
Group EBITDA
EBITDA margin
Graphic 20
Group result
Earnings per share in € (basic)
Graphic 21
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 4 4
Fraport Segments
Aviation
€ million
Retail & Real Estate
€ million
685.1
117.3
41.2
693.9
131.6
56.4
774.9
187.8
96.1
823.4
199.9
77.6
362.4
282.9
225.0
403.1
294.7
227.9
444.7
305.3
232.1
452.9
333.9
251.5
0
0
2009
2010
2011
2012
2009
2010
2011
2012
Revenue
EBITDA
EBIT
Graphic 22
Revenue
EBITDA
EBIT
Graphic 23
The higher passenger figure and associated higher proceeds
from airport charges led to an increase in revenue in fiscal year
2012 in the Aviation segment by € 48.5 million to € 823.4 million
(+ 6.3 %). The increase in airport charges as of January 1, 2012, as
well as base-year effects resulting from the adjustments of airport
charges in the previous year, contributed substantially to revenue
growth. Despite an increase in staff costs due to increased security
services and higher other operating expenses attributable primarily
to the creation of a € 10.5 million provision for noise abatement
measures, EBITDA for the segment rose 6.4 % to € 199.9 million
(€ + 12.1 million). Due to significantly increased depreciation and
amortization, which was attributable primarily to the full-year use
of the Northwest Runway, segment EBIT fell by € 18.5 million to
€ 77.6 million (– 19.3 %). In the previous year, an impairment on
land in the amount of € 6.7 million led to an one-time charge.
Revenue in the segment Retail & Real Estate increased slightly
in the past fiscal year from € 444.7 million to € 452.9 million
(+ 1.8 %). Retail business and the real estate division in particular
recorded higher revenue. Working in the other direction was
lower revenue from the sale of land of the Mönchhof site (revenue
from the sale of land 2012: € 16.4 million, 2011: € 27.9 million).
Mainly thanks to higher shopping revenue, the key performance
indicator “net retail revenue per passenger” improved from
€ 3.17 to € 3.32 (+ 4.7 %). Increased revenue in high-margin retail
business alongside with, mainly, lower other operating expenses,
essentially resulting from higher creations of provisions in 2011 in
connection with the real estate purchase and compensation pro-
gram, led to an improvement in segment EBITDA by € 28.6 million to
€ 333.9 million (+ 9.4 %). Despite increased depreciation and
amortization in comparison with the previous year, segment EBIT
rose by 8.4 % to € 251.5 million (€ + 19.4 million). In the previous
year, an impairment on land and buildings in the amount of
€ 6.1 million led to an one-time charge.
Fraport Annual Report 2012 Group Management Report / Business Development 2012
45
Ground Handling
€ million
619.9
14.1
– 40.1
658.6
44.1
11.0
655.5
54.5
20.3
649.3
43.6
4.7
External Activities & Services
€ million
342.9
155.4
74.8
439.0
240.2
135.6
496.1
254.7
148.1
516.4
273.3
164.2
0
0
2009
2010
2011
2012
2009
2010
2011
2012
Revenue
EBITDA
EBIT
Graphic 24
Revenue
EBITDA
EBIT
Graphic 25
In the previous fiscal year, revenue in the Ground Handling seg-
ment declined slightly by € 6.2 million to € 649.3 million (– 0.9 %).
The main reasons for this were the decrease in cargo volume and
lower maximum take-off weights. Despite a released staff-related
provision of just under € 10 million, the negative revenue develop-
ment as well as increased personnel expenses – mainly due to the
collective wage agreement in the public sector – led to a drop in
the segment EBITDA by € 10.9 million to € 43.6 million (– 20.0 %).
Also as a result of higher depreciation and amortization, segment
EBIT fell by € 15.6 million to € 4.7 million (– 76.8 %).
In the past fiscal year, revenue in the segment External Activities &
Services increased by € 20.3 million to € 516.4 million (+ 4.1 %).
Drivers of revenue growth were the strong traffic growth in Lima
and the solid retail growth in Antalya. Lower capacitative capital
expenditure in the Group companies Lima and Twin Star in com-
parison with the previous year led as a result of the application
of IFRIC 12 to a reduction in revenue. Adjusted for the applica-
tion of IFRIC 12, segment revenue improved by € 24.0 million to
€ 487.7 million (+ 5.2 %) in the reporting period. The sale of the
Group company Fraport Ground Services Austria GmbH in Decem-
ber 2011, in particular, had a revenue-reducing effect (revenue
2011: € 15.3 million), which due to its low margin, however, had
only minor effects on the earnings development of the segment.
Operating expenses rose mainly as a result of increased traffic-related
concession fees in Lima. Primarily contributing to an increase in
the segment EBITDA of € 18.6 million to € 273.3 million (+ 7.3 %)
were the positive EBITDA contributions of the Group companies
Lima, Antalya and Twin Star. As a result of the almost unchanged
depreciation and amortization, segment EBIT improved signifi-
cantly by 10.9 % to € 164.2 million (€ + 16.1 million).
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
4 6
Development of the Fraport Group’s Airports
The following shows the pre-consolidation business figures for
the Fraport Group’s key companies outside Frankfurt:
With high passenger figures at a level unchanged in comparison
with the previous year, higher retail revenue in the Group company
Antalya led mainly to the growth in revenue in the past fiscal year
of 2.4 % to € 301.1 million. Correspondingly, the EBITDA and EBIT
of the Group company grew by 2.1 % and 2.3 %, respectively and
reflected an increase of € 5.4 million and € 3.7 million, respectively.
266.9
216.9
122.8
293.9
254.2
158.0
301.1
259.6
161.7
Antalya
€ million
157.3
69.3
17.0
0
2009
2010
2011
2012
Revenue
EBITDA
EBIT
Graphic 26
Proportionate consolidation with 51 % voting interests and 50 % equity share;
values correspond to 100 % figures before proportionate consolidation.
Revenue adjusted for IFRIC 12: Antalya 2012: € 301.1 million, 2011: € 293.9 million,
2010: € 258.3 million, 2009: € 94.4 million.
As a result of the significantly positive development in traffic,
Group company Lima recorded strong growth in revenue to
€ 191.3 million (€ + 32.0 million), a 20.1 % increase compared
to the previous year. The EBITDA and EBIT also demonstrated
strong increases and rose by 23.1 % and 23.0 %, respectively
(€ + 12.3 million and € + 9.8 million, respectively).
Lima
€ million
116.2
41.4
29.9
135.4
49.1
37.6
159.3
53.2
42.7
191.3
65.5
52.5
0
2009
2010
2011
2012
Revenue
EBITDA
EBIT
Graphic 27
Figures in accordance with IFRS; local GAAP figures may differ.
Revenue adjusted for IFRIC 12: Lima 2012: € 180.0 million,
2011: € 146.0 million, 2010: € 130.7 million, 2009: € 109.9 million.
In the 2012 fiscal year, revenue of the Group company Twin Star
increased from € 62.8 million to € 63.3 million (+ 0.8 %). Adjusted
for the application of IFRIC 12, revenue of the Group company
improved by € 2.2 million to € 45.9 million (+ 5.0 %). EBITDA
and EBIT increased in comparable amounts by € 2.1 million and
€ 1.6 million, respectively (+ 8.8 % and + 9.3 %, respectively).
Twin Star
€ million
35.4
19.0
11.9
0
40.2
21.1
13.9
62.8
23.8
17.2
63.3
25.9
18.8
2009
2010
2011
2012
Revenue
EBITDA
EBIT
Graphic 28
Revenue adjusted for IFRIC 12: Twin Star 2012: € 45.9 million, 2011: € 43.7 million,
2010: € 38.0 million, 2009: € 35.4 million.
Segment share in Group revenue and Group EBITDA
The clearly positive revenue development in the segments Aviation
and External Activities & Services was also manifested in the past
fiscal year in their higher shares of Group revenue. While the Avia-
tion segment recorded an increase in share of 1 percentage point
to 33.7 %, the External Activities & Services segment contributed
21.2 % to Group revenue (+ 0.3 percentage points). Despite higher
revenue, the relative share of the Retail & Real Estate segment
in Group revenue dropped slightly by 0.3 percentage points to
18.5 %. The reason for this was the relatively higher sales growth
in the Aviation and External Activities & Services segments. As a
result of its decline in revenue, the share of the Ground Handling
segment in Group revenue fell by 1 percentage point to 26.6 %.
Fraport Annual Report 2012
Group Management Report / Business Development 2012
47
With a share of 39.3 %, the Retail & Real Estate segment was again
the driver of the Group-wide EBITDA development in the past
fiscal year (+ 1.2 percentage points). At 32.1 % and 23.5 %, the
segments External Activities & Services and Aviation were also able
to increase their impact on Group EBITDA in 2012 (+ 0.4 percent-
age points and + 0.1 percentage points, respectively). Only the
Ground Handling segment, due to its EBITDA decline, recorded
a smaller share in the Group EBITDA (– 1.7 percentage points).
Segment share in Group revenue
0
10
20
30
40
in %
Aviation
Retail &
Real Estate
Ground Handling
External Activities
& Services
33.7
32.7
31.6
34.1
18.5
18.8
18.4
18.0
26.6
27.6
30.0
30.8
21.2
20.9
20.0
17.1
Net Assets and Financial Position
Capital expenditure
Reduced capital expenditure at the Frankfurt site
and in financial assets
In fiscal year 2012, the Fraport Group made capital expenditure
in the amount of € 1,059.7 million (2011: € 1,440.2 million).
This included € 602.9 million of additions to property, plant
and equipment (2011: € 876.1 million), € 400.1 million of finan-
cial assets (2011: € 440.4 million), € 44.5 million of intangible
assets and airport operating projects (2011: € 61.1 million) and
€ 12.2 million in investment property (2011: € 62.6 million). Capi-
talized interest expenses related to construction work amounted
to € 28.2 million (2011: € 63.3 million).
The capacity expansion of the Frankfurt Airport, Pier A-Plus and
the modernization of the terminals and taxiways were the major
emphasis in capital expenditure in property, plant and equipment.
Investments in financial assets were mainly focused on securities
and the associated companies.
Split of capital expenditure
€ million
0
500
1,000
1,500
2012 2011 2010 2009
Graphic 29
2012
659.6
400.1
999.8
440.4
810.8
223.1
1,081.0
357.3
Capital expenditure without financial investments
Financial investments
Graphic 31
2011
2010
2009
Segment share in Group EBITDA
0
20
40
in %
Aviation
Retail &
Real Estate
Ground Handling
External Activities
& Services
23.5
23.4
18.5
20.6
39.3
38.1
41.5
49.6
5.1
6.8
6.2
2.5
32.1
31.7
33.8
27.3
2012 2011 2010 2009
Graphic 30
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
4 8
Net asset and capital structure
Increase in total assets, shareholder equity and net debt
The Fraport Group’s total assets as of December 31, 2012
increased € 416.2 million to € 9,640.6 million (+ 4.5 %) compared
to the 2011 balance sheet date, mainly due to an increase in non-
current assets and non-current liabilities.
Non-current assets increased in particular due to capital invest-
ments at the Frankfurt site (item “Property, plant and equipment”)
from € 7,765.6 million to € 8,140.8 million (+ 4.8 %). In addi-
tion, the increase in the item “Other financial assets” relating to
investments as part of financial asset management also added to
the increase. Reclassifications within non-current assets resulted
mainly in a reduction of “Investment property” (reclassification
to “Property, plant and equipment”) and an increase in the item
“Other receivables and financial assets” (reclassification from
“Property, plant and equipment”). Current assets increased by
2.8 % to € 1,499.8 million. While the cash flow used in investing
activities resulted in a decrease in cash and cash equivalents, the
reclassification of non-current financial assets to current financial
assets due to their scheduled maturity and an increase in trade
accounts receivable, mainly due to the reporting date, caused an
increase in current assets.
Shareholders’ equity increased in comparison with the balance
sheet date for 2011 by € 94.7 million to € 2,945.5 million (+ 3.3 %).
The equity ratio (shareholders’ capital less non-controlling inter-
ests and profit earmarked for distribution) at 29.0 % was almost
at the level of the previous year (December 31, 2011: 29.3 %).
The increase in non-current financial liabilities, which resulted from
additional borrowings and an increase in provisions for income taxes
led to an increase in non-current liabilities from € 5,512.6 million to
€ 5,895.8 million (+ 7.0 %). Current liabilities fell by € 61.7 million
to € 799.3 million (– 7.2 %). Major causes for the drop were lower
current financial liabilities, reduced other liabilities and a reduction
in trade accounts payable due to the reporting date.
As of December 31, 2012, gross financial debt stood at
€ 4,597.6 million, an increase of € 343.7 million over the level on
December 31, 2011 (+ 8.1 %). After subtracting Group liquidity
of € 1,663.1 million (December 31, 2011: € 1,606.9 million, figure
adjusted for accrued interest income), net financial debt was
€ 2,934.5 million, an increase in comparison with the 2011 bal-
ance sheet date of 10.9 % (previous year value of net financial debt
adjusted, because accrued interest income was adjusted from
Group liquidity). The gearing ratio reached a value of 105.0 %
(December 31, 2011: 97.8 %, amount adjusted in agreement
with the new Group liquidity and net financial debt, respectively).
Structure of financial position
€ million
2012
Assets
Liabilities
& Equity
2011
Assets
Liabilities
& Equity
2010
Assets
Liabilities
& Equity
2009
Assets
Liabilities
& Equity
8,140.8
1,499.8
2,945.5
5,895.8
799.3
7,765.6
1,458.8
2,850.8
5,512.6
861.0
6,777.0
2,393.5
2,739.3
5,608.4
822.8
6,353.0
2,512.2
2,557.8
5,575.4
732.0
9,640.6
9,224.4
9,170.5
8,865.2
Non-current assets
Current assets
Shareholders’ equity
Non-current liabilities
Current liabilities
Graphic 32
Statement of cash flows
Operating cash flow below previous year,
free cash flow improved
Cash flow from operating activities (operating cash flow) of
€ 553.0 million in the fiscal year 2012 resulted from cash inflows
of € 809.8 million from operational activities. In the other direc-
tion were higher cash outflows of € 135.5 million from financing
activities and € 121.3 million for income taxes paid. Compared
with the previous year, operating cash flow thus declined by
€ 65.8 million (– 10.6 %).
Fraport Annual Report 2012 Group Management Report / Business Development 2012
49
Cash flow used in investing activities without investments in
cash deposits and securities totaled € 736.2 million, a decrease
of € 333.0 million (– 31.1 %) from the previous year. The causes
for the reduction were primarily lower investments in property,
plant and equipment, which in fiscal year 2011 were primarily
attributable to the completion of the Northwest Runway and lower
investments in “Investment property” and “Associated compa-
nies”. Higher financial investments in securities and promissory
note loans, higher proceeds from the disposal of securities and
promissory note loans and a decline in returns from cash and cash
equivalents with maturities of more than 3 months resulted in the
past fiscal year in overall cash flow used in investing activities
of € 779.2 million. In the previous year, high returns from cash
and cash equivalents with a term of more than 3 months resulted
in a value of € 309.8 million, which is lower than the current one
by € 469.4 million.
As a result of ongoing expansion and modernization investments,
in particular at Frankfurt Airport, free cash flow was in the past
year at € – 162.4 million (2011: € – 350.1 million).
Cash flow from financing activities reached a value of
€ 218.2 million (2011: cash outflow of € – 274.6 million). The
reasons for positive flow of funds were primarily additional bor-
rowings and lower repayments of non-current financial liabilities
in comparison with the previous year.
In connection with the financing for the portion of the Antalya
concession attributable to Fraport, bank deposits in the amount of
€ 110.8 million were subject to drawing restrictions as of Decem -
ber 31, 2012. Compared with the previous year value, cash and
cash equivalents of the Fraport Group as of December 31, 2012
fell slightly from € 132.8 million to € 127.1 million (– 4.3 %).
The following table shows a reconciliation to cash and cash
equivalents as shown in the Group financial position:
Reconciliation to the cash and cash equivalents as of the financial position
€ million
December 31, 2012
December 31, 2011
Cash and cash equivalents as of the statement of cash flows
Cash and cash equivalents with a duration of more than 3 months
Restricted cash
Cash and cash equivalents as of the financial position
127.1
584.0
110.8
821.9
132.8
680.0
114.3
927.1
Table 18
Summary of the cash flow statement and reconciliation to the Group liquidity (changes to the previous year)
553.0
(– 65.8)
– 736.2
(+ 333.0)
– 43.0
(– 802.4)
218.2
(+ 492.8)
2.3
(+ 1.6)
127.1 1)
(– 5.7)
1,536.0
(+ 61.9 2))
1,663.1
(+ 56.2 2))
€ million
132.8
(+ 33.7)
0
Cash and cash
equivalents as of
January 1,
2012
Cash flow
from operating
activities
Cash flow used
in investing
activities without
investments in
cash deposits and
securities
Cash flow used
in investing
activities in cash
deposits and
securities
Cash flow from
financing activities
Changes due to
consolidation and
currency translation
effects as well as
restricted cash
Cash and cash
equivalents as of
December 31,
2012
Short-term
realizable assets
Liquidity as of
December 31,
2012
1) The difference to cash and cash equivalents as of the financial position is due to the change of the cash and cash equivalents
with a duration of more than 3 months and restricted cash.
2) Short-term realizable assets and Group liquidity 2011 adjusted for purposes of comparability.
Graphic 33
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
5 0
The Fraport Share and Investor Relations
The Fraport share 2012
Positive share development, trade volume below the
previous year
At a price of € 43.94, the Fraport share ended the past fiscal year at
15.6 % above the previous year’s closing price of € 38.00. During
the first quarter of 2012 the share recorded a strong price increase
of 23.6 % to € 46.95, but fell by 9.6 % in the second quarter to
€ 42.42. The reasons for the overall positive development in the
first half year were, among other things, the Group-wide growth
in traffic and the positive development of Group EBITDA. The
weaker share price development in the second quarter of 2012
was attributable, in particular, to the intensifying Euro crisis. A
more favorable overall economic environment caused the share
to rise again in the third quarter. With a closing share price of
€ 45.01, the third quarter closed up 6.1 % above the closing price
for the half year. In the fourth quarter, lower traffic volume at the
Frankfurt site, mainly attributable to reduced service by Deutsche
Lufthansa in the winter flight schedule, was the primary influence
on the year-end closing price.
With an average daily trading volume of 156,604 shares, the trad-
ing volume of the Fraport share in the past fiscal year was 17.9 %
below the previous year’s level of 190,671 and reflected the general
weakness in sales in the share market. The market capitalization of
Fraport AG in terms of the closing share price was approximately
€ 4.1 billion (2011: € 3.5 billion). Thus, based on market capitali-
zation, the Fraport share ranked 12th among the 50 stocks of the
MDAX (2011: 9th place). Measured by traded stock exchange
volume (XETRA trade), the Fraport share as in the previous year
ranked 31st.
Monthly development of the Fraport share in fiscal year 2012
in €
50
45
40
35
Jan
Feb Mar
Apr May
Jun
Jul
Aug
Sep
Oct Nov
Dec
Range between high and low values
Average price
Graphic 34
Benchmark indices and European competitors also
gaining value
The DAX and MDAX benchmark indices also recorded percepti-
ble increases in 2012, closing the fiscal year 29.1 % and 33.9 %,
respectively, above the previous year’s levels. The shares of
Fraport’s European competitors showed the following develop-
ment in 2012: Aéroports de Paris + 10.1 %, Vienna Airport + 46.2 %
and Zurich Airport + 29.7 %.
Development of the Fraport share compared to the market and European competitors
in % (index base 100)
150
100
80
January 2012
Fraport AG
DAX
MDAX
Aéroports de Paris
Vienna Airport
Zurich Airport
Source: Bloomberg
December 2012
Graphic 35
Fraport Annual Report 2012
Group Management Report / The Fraport Share and Investor Relations
51
The following table shows the key information about the share of Fraport AG in the 2012 fiscal year:
Fraport share key figures and data
Fraport AG capital stock
Total number of shares on December 31
Number of floating shares on December 31 1)
Number of floating shares (weigthed average of period under review)
Absolute share of capital stock
Year-end closing price
Highest price 2)
Lowest price 3)
Annual performance (including dividend)
Beta relative to the MDAX
Market capitalization on December 31
Average trading volume per day (XETRA)
Earnings per share (basic)
Earnings per share (diluted)
Price-earnings ratio
Dividend per share 4)
Profit earmarked for distribution
Dividend yield on December 31 4)
ISIN
Security identification number (WKN)
Reuters ticker code
Bloomberg ticker code
1) Total number of shares on the balance sheet date less treasury shares.
2) Closing price on March 16, 2012, and July 8, 2011 respectively.
3) Closing price on January 2, 2012, and December 21, 2011 respectively.
4) Proposed dividend (2012).
€ million
number
number
number
per share, €
€
€
€
%
€ million
number
€
€
€
€ million
%
2012
2011
922.1
92,211,756
92,134,391
92,012,909
10.00
43.94
49.37
38.41
18.9
0.95
4,052
919.6
91,955,867
91,878,502
91,858,474
10.00
38.00
58.10
37.60
– 16.8
0.88
3,494
156,604
190,671
2.59
2.58
17.0
1.25
115.5
2.8
2.62
2.60
14.5
1.25
115.4
3.3
DE 000 577 330 3
577330
FRAG.DE
FRA GR
Table 19
Development in shareholder structure
In the past fiscal year, the following changes in shareholder structure were reported to Fraport AG:
Development in shareholder structure
Holder of voting rights
Artio Global Investors Inc. 1)
Lazard Asset Management 2)
Artio Global Investors Inc. 3)
RARE Infrastructure Limited 4)
Date of change
Type of change
New percentage
of voting rights
February 29, 2012
May 30, 2012
Dropped below the
5 % threshold
Exceeded the
3 % threshold
July 2, 2012
Dropped below the
3 % threshold
November 28, 2012
Exceeded the
3 % threshold
4.90 %
3.17 %
2.94 %
3.06 %
1) Of which 4.90 % of the voting rights were attributable to Artio Global Investors Inc. under Section 22 (1) sentence 1 no. 6 of the WpHG.
2) Of which 3.17 % of the voting rights were attributable to Lazard Asset Management LLC under Section 22 (1) sentence 1 no. 6 of the WpHG.
3) Of which 2.94 % of the voting rights were attributable to Artio Global Investors Inc. under Section 22 (1) sentence 1 no. 6 of the WpHG.
4) Of which 3.06 % of the voting rights were attributable to RARE Infrastructure Limited under Section 22 (1) sentence 1 no. 6 in combination with sentence 2 of the WpHG.
Table 20
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
5 2
As of December 31, 2012, the shareholder structure adjusted to
the current total number of shares therefore was as follows:
Investor Relations (IR)
Shareholder structure as of December 31, 2012 1)
in %
6
5
4
3
1
2
AVIATION
1 State of Hesse
31.40
2 Stadtwerke Frankfurt
am Main Holding GmbH 20.05
3 Deutsche Lufthansa AG
9.89
4 Lazard Asset
Management LLC
5 RARE Infastructure
Limited
6 Free Float
3.16
3.06
32.44
Graphic 36
1) The relative ownership interests were adjusted to the current total
number of shares as of December 31, 2012 and may therefore differ
from the figures given at the time of reporting or from the respective
shareholders’ own disclosures. Holdings below 3 % are classified under
“Free Float“.
Intensive capital market communication continued
In 2012, Fraport’s IR activities again focused on proactive communi-
cation with investors and analysts. In more than 300 one-on-ones,
the strategy and the current and expected business development
of the Fraport Group were explained to interested parties. The
focus of discussions in connection with the Frankfurt site were, in
particular, construction progress and the inauguration of Pier A-Plus
as well as the planning of Terminal 3. With respect to external busi-
ness, potential acquisition projects were discussed – in addition to
current business developments of the existing Group companies.
The activities of the IR department in the previous fiscal year were
rounded off by the AGM, an analyst conference on the publica-
tion of preliminary full-year results, 3 conference calls regarding
the additional quarterly publications, the provision of current
information on the IR homepage www.meet-ir.com and investor
meetings at the Frankfurt site and Group companies.
Distribution of dividends
For fiscal year 2012, the Supervisory Board and the Executive Board
wish to recommend to the AGM a dividend unchanged from the
previous year of € 1.25 per share. Compared to the share closing
price at year-end 2012, this would correspond to a dividend yield
of 2.8 % (2011: 3.3 %). The pay-out ratio would thus equal 65.6 %
of Fraport AG’s result for the year 2012 of € 176.0 million (2011:
63.3 %) and would equal 48.5 % of the Group result attributable
to Fraport AG’s shareholders of € 238.3 million (2011: 48.0 %).
Allocation of free float 1)
in %
9
1
AVIATION
1 Australia
2 USA
3 Germany
4 Great Britain
2
5 Denmark
6 Norway
7 Canada
8 France
8
6 7
45
3
18.6
18.6
6.1
4.9
2.8
2.5
2.5
2.0
Dividends per share and dividend yield
(2012: Dividend recommendation and the yield
resulting therefrom)
1.15
3.2
1.25
2.7
1.25
3.3
1.25
2.8
9 Countries under 2 %
42.0
in %
1) Free float without the shares of State of Hesse, Stadtwerke Frankfurt
am Main Holding GmbH and Deutsche Lufthansa AG,
source: own estimates Fraport AG.
Graphic 38
One-on-Ones on roadshows and conferences,
according to company headquarters
in %
2009
2010
2011
2012
0
8
1
Dividend per share
Dividend yield
Graphic 37
7
6
5
4
2
3
AVIATION
1 Great Britain
2 USA
3 Germany
4 Switzerland
5 France
6 Australia
7 Rest of Europe
8 Asia
17.1
14.4
12.0
9.6
8.6
6.5
20.9
10.9
in €
0
Source: own estimates Fraport AG.
Graphic 39
Fraport Annual Report 2012
Group Management Report / The Fraport Share and Investor Relations / Non-financial Performance Indicators
53
Non-financial Performance Indicators
Sustainability
Focus on sustainable Group development
At Fraport, sustainability is one of the primary Group goals (see
also the chapter “Group Strategy”, p. 29). In the framework of
sustainability management, Fraport sets targets for strategically
important issues, such as noise abatement, climate protection or
resource efficiency and defines the measures necessary to meet
them. In 2010 these targets and measures were assembled for the
first time in the form of a sustainability program which is revised
and updated annually. A presentation of the measures taken and
their effectiveness as well as more detailed information beyond the
disclosures provided subsequently can be found in the separate
sustainability report “Connecting Sustainably” which is available
at the Group Internet site www.fraport.com under the section
Sustainability.
Employees
The Fraport Group adds employees
In the previous fiscal year, the increased volume of traffic Group-
wide was also reflected in an increase in the average number of
employees by 368 to 20,963 (employees excluding apprentices
and employees on leave). While the higher number of employees
in Germany was attributable, in particular, to the Group company
FraSec Fraport Security Services GmbH (+ 267 employees) and
Fraport AG (+ 76 employees), personnel abroad decreased – almost
exclusively due to the sale of the Group company Fraport Ground
Services Austria GmbH in December 2011 (– 257 employees).
On the segment level, the increased number of employees in
the Aviation segment resulted primarily from the increase at the
Group company FraSec Fraport Security Services GmbH. While in
the Retail & Real Estate segment there were new hires primarily
at Fraport AG, the number of personnel in the Ground Handling
segment was almost at the level of the previous year. Despite the
sale of the Group company Fraport Ground Services Austria GmbH,
the number of employees in the External Activities & Services
segment increased. The reasons for this were additional personnel
outside of Germany in the Group companies Lima and Twin Star
as well as in the Group company GCS Gesellschaft für Cleaning
Service mbH & Co. and in the service units at the Frankfurt site.
Further development and training of employees
With 381 apprentices in fiscal 2012, the Fraport Group continued
to ensure it has the next generation of employees it will need
(2011: 343). This increase in the number of apprentices compared
with the previous year was a result in particular of above-average
recruitment of technical personnel and on-site firefighters for the
Frankfurt site. In fiscal year 2012, the employees of the Fraport
Group averaged 5.7 days of advanced training (2011: 5.0).
Average number of employees
Segment Aviation
Segment Retail & Real Estate
Segment Ground Handling
Segment External Activities & Services
Fraport Group
thereof Fraport AG
thereof in Germany
thereof abroad
Employees as of the balance sheet date 1)
1) According to Global Reporting Initiative (GRI), previous year value adjusted.
2012
2011
Change
Change
in %
6,298
629
8,924
5,112
20,963
11,302
18,939
2,024
22,276
6,088
596
8,899
5,012
20,595
11,226
18,391
2,204
21,445
210
33
25
100
368
76
548
– 180
831
3.4
5.5
0.3
2.0
1.8
0.7
3.0
– 8.2
3.9
Table 21
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 5 4
Promoting the health of employees
Only healthy employees can devote their full capacity to the
company. Fraport recognized this early. With its employee safety
and health management programs, Fraport is further developing
2 effective systems for the protection of its employees and the
promotion of their health, wellbeing and work motivation on a
continuous basis. Fraport has set itself the goal of continuously
reducing the number of accidents and the resulting days missed
due to accidents.
Parallel with this, the attendance rate shall be stabilized in the
medium term and increased in the long term. In order to achieve
these goals, Fraport continued its efforts in both areas in the fiscal
year 2012 and intensified them, for example, through an increased
number of health workshops and health circles.
In order to promote diversity, it was agreed during the fiscal year
2011 to raise the share of women in management positions in
the Fraport AG from currently 20.5 % to around 25 % to 35 %
by 2018 and to improve compatibility of work and family, for
example through provision of additional childcare slots. In 2012,
the percentage of women in management positions within the
Group was approximately 29.6 % (2011: 31.4 %); the percentage
of persons with major disabilities reached 7.3 % on a Group-wide
basis (2011: 7.2 %); and 20.1 % (2011: 20.4 %) of employees had
foreign citizenship (excluding German citizens with an immigration
background). The average age of employees in the Fraport Group
in the past fiscal year was 41.2 (2011: 40.8).
Employees, Fraport Group, and percentage of women 1)
Total number of work accidents, Fraport Group 1)
20,905
23.2
21,445
23.3
0
500
1,000
1,500
in %
22,276
23.4
2012
2011
2010
1,445
1,475
0
1,601
2010
2011
2012
0
Employees, Fraport Group (as of December 31)
Graphic 41
1) Since Fraport Group in-depth survey.
Graphic 40
Percentage women, Fraport Group
1) Since Fraport Group in-depth survey.
Diversity that pays
Fraport values the diversity of its employees. Diversity manage-
ment is a central component of its personnel strategy. The basis
for this is a Group agreement that includes the establishment of
principles of anti-discrimination, advancement of women into
managerial positions and diversity for Fraport. These principles
are an integral part of recruitment strategies, personnel decisions
and training. They also underlie extensive opportunities to arrange
flexible working hours.
Benefits beyond the agreed-upon salary
Compensation of Group employees is geared to the applicable
collective pay agreements. Beyond this, Fraport offers its employ-
ees a broad spectrum of attractive additional benefits which range
from company pension benefits to participation in the employee
investment plan to job tickets. In the past fiscal year, a total of 7,140
employees took advantage of the opportunity to acquire company
shares on preferential terms within the framework of an employee
investment program and subscribed to 54,239 new shares (in
2011, 7,066 employees subscribed to 40,279 new shares). Fraport
acquires the shares for this program by utilizing the authorized
capital from capital increases against cash contributions and
transfers them to the employees. The percentage of participating
employees remained at an unchanged high level of around 60 %.
Fraport Annual Report 2012
Group Management Report / Non-financial Performance Indicators
55
In addition to the progress in punctuality, it was possible to hold
the baggage performance indicator at an unchanged low level at
Frankfurt Airport.
Baggage Performance Indicator
Misdirected pieces of baggage per 1,000 baggages
0
0.5
1.0
1.5
2012
2011
2010
2009
1.31
0.91
1.10
0.97
Graphic 44
80.0
77.0
70.0
Through consistent utilization of the knowhow gained in Frankfurt
throughout the Group, Group companies will also benefit from
the service knowledge and skills obtained in Frankfurt.
Customers and quality
Customer focus and quality of service
as major competitive advantages
The quality of our services and the accompanying satisfaction of
our customers are of overriding importance for the success of our
business activity (see also chapter “Group Strategy,” p. 29). In this
context, the goal at the Frankfurt site continues to be increasing
the average perceived satisfaction of our passengers by 10 percent-
age points by 2015 – with the year 2010 as the starting point – to
at least 80 %. In the past year, an average value of 80 % satisfied
passengers was achieved.
Average perceived service quality at Frankfurt Airport 1)
40
60
80
in %
2012
2011
2010
1) Since introduction of the service initiative “Great to have you here!”.
Graphic 42
Research and Development
Using ideas and innovations
Since Fraport, as a service-sector group, does not engage in
research and development in the strict sense, suggested improve-
ments and innovations, in particular, serve as success factors for
retaining its international competitiveness.
While Fraport consistently utilizes its own employees’ potential
within the framework of its Group-wide idea management, it
networks along the lines of “open innovation” with companies in
its own value-added chain as well as “best practice” companies in
other sectors . In this way, Fraport ensures that trends are spotted
early on and transferred to the company. In 2012, innovation man-
agement focused, in particular, on passenger services and mobility.
Here, in particular, Fraport was able to set the tone through the
PASS project (Personalized Assistance System and Services for
Mobility into Advanced Age) and through the awarding of the first
Group innovation prize. In 2012, “Idea Day” was also established
for the first time, at which employees and evaluators of improve-
ment suggestions were honored for their special commitment.
Alongside general passenger satisfaction, quality factors such as
the “punctuality rate” and the “baggage performance indica-
tor”— i.e. information on how many flights took off or landed on
time and how many pieces of baggage did not arrive directly at
the destination location due to the fault of Fraport AG — are of key
importance to our airline customers. The opening of the North-
west Runway and the expansion of terminal capacity through Pier
A-Plus, in particular, made it possible for the punctuality rate at
the Frankfurt Airport to be significantly improved in the past year.
At 81.5 %, this indicator was at a multi-year high.
Punctuality rate at Frankfurt Airport
in %
2012
2011
2010
2009
65
70
75
80
85
81.5
75.9
70.7
79.9
Graphic 43
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
5 6
Environment and society
Certified environmental management systems
The purpose of environmental management systems is to rec-
ognize and minimize risks and to improve environmental perfor-
mance. Since 1999, Fraport AG has operated an environmental
management system for its operations at the Frankfurt Airport in
accordance with the European directive on the Eco-Management
and Audit Scheme (EMAS). Additionally, it has been certified under
the ISO 14001 standard since 2002. Along with Fraport AG, other
Group companies including those in Lima and Antalya are also
certified under ISO 14001.
Measuring and controlling energy consumption
Efficient climate protection requires the measurement and control
of energy consumption. For this purpose, Fraport is introducing
an accounting-based system of control and reporting of energy
consumption and CO2 emissions. With the reporting of this data
on a regular basis, Fraport can determine whether the strategic
CO2 goals are met. Negative developments can be recognized
early and energy measures can be reviewed for effectiveness.
The energy consumption recorded for Fraport AG’s buildings and
facilities serves as a database. For this purpose all relevant energy
media such as electricity, remote cooling and heating, natural gas
and fuels are taken into consideration. The CO2 emissions of the
Fraport Group are currently assessed retrospectively once a year.
In 2012, however, the system for capturing the required data was
converted and now uses the reporting and consolidation software
that supports the preparation of the annual accounts. As a result,
the data can be recorded and validated more quickly in the future.
Environmental fund for climate and nature protection
With the establishment of the environmental fund in 1997, Fraport
made a commitment to nature and environmental protection out-
side of the Frankfurt Airport as part of its sponsorship programs.
In addition to environmental education, the program specifically
supports projects for climate protection and climate change as well
as the preservation and further development of biodiversity in the
Rhine-Main region. In the past fiscal year, Fraport provided around
€ 2 million, increasing the total funding since the establishment
of the fund to a total of € 32 million. The largest single support
project among the total of more than 750 supported initiatives is
the Rhine-Main Regional Park.
Active on behalf of the region
Fraport is committed to an extensive annual program of donations
and sponsorship of programs in the public interest primarily in
the Rhine-Main region. In the past fiscal year, Fraport supported
around 580 projects with a total amount of € 6.1 million. The
primarily educational and integrative projects programs include
education for children and adolescents, particularly from financially
disadvantaged families and programs for the prevention of addic-
tion and violence.
Procurement
Order volume below the previous year
All contract awards of Fraport AG are made through the “Central
Purchasing, Construction Contracts” business unit: the procure-
ment of goods and services as well as the award of construction
contracts. Through active market development and strategic
purchasing management, the central unit contributes to the
competitiveness of the company.
During the past fiscal year, Fraport AG awarded contracts with a
total volume of around € 750 million, approximately € 200 million
less than in 2011. More than 98 % of the contracts were below the
€ 100,000 limit and were deemed to be small-and-middle-sized-
enterprise friendly. At a good 66 %, the percentage of contractors
in the surrounding Rhine-Main region continued unchanged at a
high level.
The new supplier code of conduct of the Fraport AG drafted dur-
ing the past fiscal year which regulates the areas of compliance,
working conditions, human rights and the environment along the
supply chain has been a mandatory component of all requests
for bids and awards since the beginning of the fiscal year 2013.
Further information on procurement in the Fraport Group can be
accessed on the company website at www.fraport.com in the
section Our Expertise.
Significant Events
after the Balance Sheet Date
There were no significant events after the balance sheet date for
the Fraport Group.
Fraport Annual Report 2012 Group Management Report / Non-financial Performance Indicators /
Significant Events after the Balance Sheet Date / Outlook Report
57
Outlook Report
This objective is the basis for the following risk policy principles:
General statement on the outlook
Weakened growth due to short-term uncertainties
and market consolidation
The weakening of the world economy expected in the short-term
– in particular in the Euro zone – will have a braking effect on pas-
senger growth of the Fraport Group. In addition there are negative
developments resulting from the restrictive supply behavior of the
airlines which started in 2011/2012 and are geared toward consoli-
dation. At Frankfurt Airport, this applies in particular to the major
customer Deutsche Lufthansa in domestic and continental traffic.
Further challenges are posed by the German aviation tax and the
currently suspended emissions trading in the EU. Leading aviation
associations such as the ACI and the large aircraft manufacturers
Airbus and Boeing, however, continue to expect stable growth
rates in global air traffic in the long-term.
Independent of passenger development, price effects in airport
and infrastructure charges as well as higher revenue in the retail
area will have a positive effect on the course of business at the
Frankfurt site in coming years. Following a decline in Group result
in 2013, the Fraport Group anticipates sustained improvement in
the Group result in the following years.
Currently no risks can be recognized that could jeopardize the
Fraport Group as a going concern.
Opportunity and Risk Report
The Fraport Group has a comprehensive risk management system.
It ensures that significant risks are identified, constantly monitored
and limited to an acceptable level as far as possible.
Risk policy principles
Fraport actively seeks out opportunities and seizes them, provided
that the potential benefits of doing so are in an acceptable relation-
ship to the risks involved. Controlled risk exposure is the primary
objective of Fraport’s risk management system.
> The risk strategy is coordinated with the corporate strategy and
is required to be consistent with it, as the strategy specifies to
what extent the company’s operations are exposed to risks.
> Risk management is integrated into the ongoing business
processes.
> Risks are primarily managed by the organizational units, which
operate locally.
> The aim of the risk management process is to ensure that
significant risks are identified, constantly monitored and limited
to an acceptable level.
> Actively and openly communicating risks is a major success factor
in the risk management system.
> All of Fraport’s employees are expected to actively participate in
risk management in their area of responsibility.
The risk management system
The Executive Board of Fraport AG approved the risk management
system of Fraport, its risk policy principles and the risk strategy for
the Group. The Executive Board appoints the members of the Risk
Management Committee (RMC), approves the rules of procedure
for the RMC and is the addressee for the quarterly reporting of
relevance to the Group and ad hoc reports in the risk manage-
ment system.
The RMC is the highest executive body in the risk management
system below the Executive Board. It is made up of Senior Managers
from the company’s units. It is responsible for implementing the
central risk management system, developing it in line with business
processes and reporting to the Executive Board. The RMC has set
up a committee office to provide support in executing its tasks.
The identification, evaluation and management of risks takes place
primarily through the strategic business units and service and
central units, which operate locally, as well as through the Group
companies. Division Managers are responsible for the accuracy of
the information received from their units that is processed in the risk
management system. They are obliged to constantly monitor and
control risk areas and to submit a report to the RMC office about
all risks in their particular area of responsibility on a quarterly basis.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 5 8
Risk policy principles
and strategies
Organization of risk management
Risk control and monitoring
Risk reporting
Risk analysis
Risk monitoring
> Definition of tasks and responsibilities
> Monitoring by RMC and RMC office
Risk control
> Preventative and reactive measures
> Cost/benefit analysis
> Controlling of measures
> Internal risk reporting
> Risk reporting to Supervisory Board/
Finance and Audit committee
> Management report to capital market
Risk aggregation
> Qualitative determination
of total risk position (risk map)
> Reporting of material risks
to Executive Board
Documentation, risk management software
Risk identification
> Definition of risk areas
> Risk inventory bottom-up
and top-down process
Risk evaluation
> Evaluation by damage amount and
probability of occurrence (risk portfolio)
> Evaluation of scenarios
> Priorization by material risks
Graphic 45
Besides regular quarterly reporting, material new risks must be
immediately reported to the RMC office on an ad hoc basis. Fol-
lowing consultation with the administration of the RMC, significant
changes to the overall risk situation of the Group resulting from
new material risks are to be reported to the Executive Board.
On a quarterly basis, the RMC aggregates the risks of the individual
organizational units and Group companies for a qualitative repre-
sentation of the risk situation of the Fraport Group, monitors and
ensures a risk management process in conformity with the system
and reports material risks to the Group to the Executive Board.
This process ensures the early detection of risks that could jeopard-
ize Fraport Group as an ongoing concern.
An integral component of Fraport’s risk management system is
assessing financial risks with a risk management process that moni-
tors and manages the presentation of financial instruments overall
and hedging transactions, in particular, in accounting. This process
is described in the financial risks section (“risk report”). At Fraport,
this process represents a subsection of the accounting-related
internal control system.
The risk management system is documented in writing in a separate
guideline, which conforms to the requirements of Section 91 (2)
of the AktG. The proper operation of the risk management system
is tested regularly by the Internal Auditing department.
Risk transfer through the purchase of insurances is controlled by
the Group company Airport Assekuranz Vermittlungs-GmbH.
Fraport Annual Report 2012 Group Management Report / Outlook Report
59
Evaluation of risks
Risk evaluation determines the scope of the risks that have been
identified, i.e., it makes an assessment of the extent to which the
individual risks may jeopardize the Fraport Group in achieving its
corporate objectives. For this reason the magnitude of the risk and
the risk occurance are determined. The risk evaluation is conserva-
tive, i.e., the greatest possible loss for Fraport is assessed. The
RMC aggregates the risk reports from the divisions and evaluates
Fraport’s risk situation at the company level on the basis of a “risk
map”. Risks are reported to the Executive Board when they are clas-
sified as “material” according to systematic evaluation standards
used throughout the Group. Risks that jeopardize the company
as an ongoing concern or risks that exceed defined thresholds in
the potential damage they may cause and in the probability of
their occurrence are considered to be material. A distinction is
made here between gross assessment and net assessment, i.e.,
after appropriate countermeasures have been taken into account.
Twice a year the Executive Board reports the material risks in the
finance and audit committee of the Supervisory Board.
The following graphic shows the addressees of risk reporting
depending on the evaluation of the risks:
Risk management of Group companies
The guideline for the Fraport risk management system also includes
rules for Fraport Group companies, which are incorporated in
the risk management system to a varying extent depending on
their importance in reporting the net assets, financial and earning
positions of Fraport AG. The separate guideline used for invest-
ments specifies the organizational structure and process of the
risk management system and commits the companies to ongoing
reporting about material risks.
Accounting-related internal control system in accordance
with Section 315 (2) no. 5 of the HGB
The accounting system of the Fraport Group covers the processing
of transactions, records for the documentation of assets and liabili-
ties and processes for the consolidation of the separate financial
statements of parent and subsidiary companies and joint ventures
and for the inclusion of associated companies and the recording
of the required information for the disclosures in the Group notes
and Group management report. The company applies principles,
processes and measures aimed at safeguarding the effectiveness
and compliance of the Group’s accounting system, which Fraport
designed to conform to “COSO” standards, in an effort to ensure
that the recognition, measurement and presentation of assets and
liabilities is in line with the legal guidelines and the principles of
proper accounting.
Reporting matrix
“C”: probable
≥ 50 %
“B”: possible
≥ 10 % – 50 %
“A”: low
up to 10 %
e
c
n
e
r
r
u
c
c
o
f
o
y
t
i
l
i
b
a
b
o
r
P
Strategic business,
service and central units/
Group companies
Finance and
Audit committee/
Executive Board
Strategic business,
service and central units/
Group companies
Risk Management
Committee
Strategic business,
service and central units/
Group companies
Risk Management
Committee
Finance and
Audit Committee/
Executive Board
Finance and
Audit Committee/
Executive Board
Finance and
Audit Committee/
Executive Board
“1”: slight
≥ € 0.5 million
“2”: moderate
≥ € 2.5 million
“3”: material
≥ € 10.0 million
Risk potential
Graphic 46
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
6 0
Group accounting at Fraport is generally organized on a local
basis. The reconciliation of the local individual financial statements
of the parent company and subsidiaries and joint ventures (trade
balance sheet I) to the individual financial statements prepared in
accordance with Group-wide accounting and valuation methods
(trade balance sheet II) is done locally at the respective companies.
In individual cases, the bookkeeping and preparation of financial
statements for Group companies at the Frankfurt site is carried
out by the accountants of the Group parent company Fraport AG
within the framework of service agreements. In doing so, separa-
tion on an organizational and system level from the accounting
of the single entity Fraport AG is ensured. To ensure consistent
Group-wide accounting policies, Fraport has developed a guide-
line on IFRS Group-accounting principles, on the basis of which
the companies included in the Group financial statements perform
the reconciliation of trade balance sheet I to trade balance sheet II.
The effectiveness and properness of the Group accounting pro-
cess is confirmed by the companies included in the consolidated
financial statements within the framework of an internal statement
of completeness.
The SAP BPC system is primarily used for the accounting-related
Group reporting process between the companies included in the
consolidated financial statements and the Group parent company,
Fraport AG. The accounts to be consolidated are recognized in
this system, as is required information for tax accruals and for the
Group notes. Access authorization on the level of the consolidated
companies is awarded and administered by Fraport on the basis
of a user authorization concept. Group reporting in SAP BPC
is adapted by Group Accounting on a regular basis to the
changes in accounting-relevant legal regulations. A Group chart
of accounts in the SAP BPC system is set up and administered by
Group Accounting.
Accounting-related internal controls are, as far as possible, carried
out within the SAP BPC system. Manual application and monitor-
ing controls, especially regarding completeness and quality of
the reported data, are carried out in the context of the operating
accounting processes in Group Accounting.
Quality assurance is carried out by Fraport Group Accounting for
complex accounting issues or basic questions, also at local com-
panies included in the consolidated financial statements.
The consolidated financial statements are prepared by Fraport AG
Group Accounting. The reporting process for Fraport AG’s con-
solidated financial statements is laid down in a schedule detailing
each individual step, including deadlines and responsibilities.
Group Accounting monitors progress, reporting deadlines and
the completeness of the Group reporting process.
In the run-up to the preparation of the consolidated financial state-
ments, a Group questionnaire is sent to all consolidated companies
in order to identify any issues relevant to the accounting process
in due time. The consolidated companies are also questioned
about any events after the balance sheet date so that these can
be recorded in detail.
Liabilities, expenses and income are consolidated and informa-
tion relevant to segment reporting is processed in the SAP BPC
system. Prior to consolidating liabilities, internal balances are
reconciled. Capital consolidation, including the updating of the
valuation of investments in associated companies, the elimination
of intercompany profits and losses and the preparation of the cash
flow statement as well as the statement of changes in equity are
mainly carried out manually with the help of the system. Capital
consolidation is entered in SAP BPC after the system supported
manual implementation. Deferred and accrued taxes are calculated
and recognized by Group Accounting in coordination with the
Group tax department.
Group guidelines, which are available to all consolidated compa-
nies, ensure that consolidation processes and the reconciliation
of internal balances are carried out properly.
Assets and liabilities from the acquisition or sale of shares in com-
panies are generally measured on the basis of an external value
analysis prepared by experts (e.g., calculation of acquisition costs
or purchase price allocation).
Hidden reserves and liabilities (purchase price allocations) uncov-
ered during initial consolidation are updated through Group
Accounting centrally.
The Group notes are created by Group Accounting as part of the
Group financial reporting process. After creation of the Group
notes, the information given in them is verified by central or local
departments, where required.
The Finance and Investor Relations department is generally respon-
sible for preparing the Group management report in which the
information provided by the relevant departments is compiled. Con-
solidated information is again verified by the relevant departments.
The Group parent company Fraport AG prepares its own individual
financial statements in accordance with German commercial and
stock market regulations. Fraport AG has developed an HGB
accounting guideline to ensure that its financial statements are
prepared consistently and in accordance with the principles of
proper accounting.
Fraport Annual Report 2012 Group Management Report / Outlook Report
61
Accounting at the Group parent company Fraport AG is, as far as
possible, kept local through sub-ledgers (for creditors, debtors,
asset accounting, treasury, accounts of local departments). During
the preparation of financial statements, the Accounting division/
Accounting creates any closing entries in the general ledger which
cannot be entered by local departments. The Accounting division
also performs internal controls in the framework of preparation
of financial statements for important local accounting processes.
In order to ensure standardized procedures, important operational
processes of the sub- and general ledgers have been documented
(among others policies, process descriptions, manuals and guide-
lines). The effectiveness and properness of the sub-ledger pro-
cesses are verified by the responsible departments, which issue
an internal declaration of completeness.
The Group parent company Fraport AG uses the SAP/R3 system
for preparing its accounts. Accounting-related internal controls
are carried out where possible with the help of the SAP/R3 sys-
tem. Manual application and monitoring controls are carried out
during the operational accounting processes in the sub-ledgers
and also during the preparation of the financial statements by the
Accounting division.
Functions in the departments involved in the accounting process
are separated on a system, personnel and organizational level. A
SAP authorization concept is used for issuing and administering
access authorization for accounting-related systems.
The aim of the controls carried out within the framework of
accounting is to ensure completeness, correctness, existence,
ownership and presentation of the assets and liabilities and items
in the income statement recorded in the accounting process.
During the preparation of the financial statements by the Account-
ing division, subsequent and mainly manual controls are carried
out for the purpose of ensuring the completeness and correctness
of items recognized in the sub-ledgers. Preventative, system-aided
controls and a dual control (four eyes) principle are implemented
as subsequent controls of closing entries in order to achieve the
purposes of the monitoring mentioned.
In order to ensure that all financial statements are complete, the
Group parent company Fraport AG has implemented a contract
management process that evaluates contracts recognized in the
financial statements to obtain a complete and correct view of all
facts relevant to the accounting process. In addition, the head of
Group Accounting is a member of the RMC. As a result Fraport’s
risk management system is classed as part of the accounting
system to principally ensure that issues identified during the risk
management process are assessed for their effect on the financial
statements and reported, if applicable. The contract management
and risk management processes are both regulated in a separate
guideline.
An implemented process monitors risks associated with the recog-
nition of financial instruments in the accounting system, particularly
hedging transactions.
The reporting process for the financial statements of the Group par-
ent Fraport AG is laid down in a schedule detailing each individual
step, including deadlines and responsibilities. Accounting division
monitors the progress and schedule system-assisted.
The major steps in the accounting process are the closing of the
sub-ledgers, which in the case of the receivables accounting
process includes the valuation of receivables, i.e., the creation
of allowances. In asset accounting, the closed sub-ledger reflects
scheduled depreciation and amortization and impairment losses
on property, plant and equipment. The Treasury department is
responsible for the operational processes of its own sub-ledger
(including cash pooling) and for providing the information
required for recognizing financial instruments in the general ledger.
After the closing of the sub-ledgers, the Accounting division/
Accounting of Fraport AG carries out the necessary closing entries
and also implements subsequent manual controls. This mainly
relates to other provisions and personnel provisions, financial assets
and instruments, equity and expense and income accruals. The
tax department calculates and posts income taxes and performs
manual application and monitoring controls.
Fraport regularly uses external service providers within the
framework of the preparation of the annual financial statements
for evaluating provisions, mainly personnel provisions as well as
financial instruments and assets.
The Internal Auditing department regularly assesses major sub-
processes of the accounting process, including accounting-related
internal controls.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 6 2
Business risks
The risks which could have material influence on the business
activity of Fraport are explained subsequently.
General economic risks
Economic fluctuations can have a considerable effect on the eco-
nomic development of the Fraport Group and air traffic in general.
According to calculations by various economic institutes (see
sources listed under “Economic conditions”), following the strong
recovery in the years 2010 and 2011 (world: 5.2 % and 3.9 %;
Germany: 3.7 % and 3.0 %), the global and national economy (real
GDP) both leveled off again noticeably in 2012 to approximately
3 % and 0.7 %, respectively, with declining momentum during the
course of the year. As a result, the current economic forecasts for
2013 have also been adjusted downward. The causes of this were
and are, the persisting financial and debt crises.
Uncertainties remain concerning the debt crisis in the European
Monetary Union as well as the financial policies and stability of the
US economy. These uncertainties are manifested in the relatively
large ranges in the various economic forecasts. These economic
risks may become more manifest, impairing development in air
traffic, which would have a negative effect on the net assets, finan-
cial and earnings position of Fraport AG. New trade barriers and
political unrest could increase worldwide. As a result, supply and
demand development is closely monitored, so that countermeas-
ures can be introduced if required and along with possibilities.
Effects on the supply and demand of air traffic could also result
from the further changes in oil and kerosene prices. Since 2004,
the surge in prices for oil and kerosene has led to ticket price
surcharges and corresponding price increases in cargo that often
are not reduced even if energy prices fall.
In times of crisis and war, Fraport faces the direct threat of flight
cancellations and route shut-downs. This also applies in the case
of strikes and natural catastrophes that relate to air traffic. Reduc-
ing demand risk can only be accomplished to a certain extent. As
an international air traffic hub, Frankfurt Airport benefited in the
past from the fact that airlines tend to return to their local bases
and concentrate their business on hubs in times of crisis. Fraport
has been able to at least compensate for the effects of crises in a
relatively short time. Structural changes in business travel (e.g.,
reduction in the number of business trips) could, however, have
a direct or indirect impact on Fraport’s business.
Currency rate fluctuations, unemployment and changes in consum-
er behavior which influence passengers’ shopping habits can also
impact the development of the Fraport Group particularly in the
retail business. The buildings and areas that Fraport AG currently
lets are mainly used by airlines or companies whose business largely
depends on the development of air traffic at Frankfurt Airport. This
sector of the real estate business is therefore not directly tied to
general real estate market developments.
In current planning, Fraport anticipates a continued weakening in
economic growth in 2013. The moderate global economic growth
of around 3 % and the expected growth in the German economy
of between 0.3 % and 1 % will have only a slight positive impact
on air traffic in 2013, particularly since it is expected that the Euro
zone will continue to be in a recession. The pressure on airlines
to consolidate further in view of the competition and the situation
of the industry is leading to a selective shut down of routes and a
reduction in flight frequencies.
Market risks
The business relationship with Fraport’s main customer Deutsche
Lufthansa AG and its Star Alliance partners makes a substantial con-
tribution to revenue. A deterioration of this business relationship
would have significant adverse impacts on Fraport. The low-cost
segment continues to increase the competitive and cost pressure
on traditional carriers and their hub systems in continental traffic.
On the other hand, Deutsche Lufthansa AG successfully stimulated
European and domestic traffic and therefore also the transit sector
in Frankfurt with its inexpensive special offers. If these special fares
were to be limited or cancelled, passenger traffic would suffer.
Fraport Annual Report 2012 Group Management Report / Outlook Report
63
The amount of transfer traffic will adjust itself according to the avail-
ability and attractiveness of direct intercontinental flights offered.
Due to new EU emissions regulations and environmental standards,
there is a risk that airlines in the medium-term will increasingly use
alternative locations and routes outside of the EU and therefore
away from Frankfurt. Fraport sees more in the medium-term risks
in the form of a weaker competitive advantage among European
airlines and consequently among European airports.
Moreover, the creation of new hub systems in the Middle East
and in the longer-term also in Turkey, may lead to a shift in the
global flows of transfer passengers. Some airlines remain in a dif-
ficult financial situation. Acute weaknesses could force individual
airlines to partially or completely discontinue their flight operations
or to merge with others and in doing so, realign their flight offers
to other airports.
We have reported continuously in recent years that the European
Commission plans to further liberalize airport ground handling ser-
vices. In 2001, the European Commission had already announced
its plans for a further liberalization of ground handling services.
After a new study conducted in 2010, the Commission brought
the issue to the forefront again, giving concrete shape to its plans
in October 2011. With the aim of revising the current directive on
ground handling services, the European Commission plans to put
forward a direct EU regulation, with no leeway regarding imple-
mentation in national law, for the further opening of the market
for ground handling services at European airports. The European
Commission adopted the draft regulation on November 30, 2011
and submitted it to the European Parliament and European
Council for decision. The proposed regulation contains the fol-
lowing changes that might have negative implications for Fraport:
obligation of a legal separation of ground handling services from
the parent company; the permitting of a third and independent
provider of ground handling services on the apron; unrestricted
access for self-handling airlines; restrictions on the subcontracting
practices of airport operators and airlines. The responsible com-
mittees at the European Parliament (the traffic and employment
committees) examined the content of the European Commission
proposal in 2012 and adopted numerous proposals for changes.
Among these was sovereignty for, by way of example, labor law
issues in the employment committee, while the major critical
issues for Fraport were primarily handled by the traffic committee.
In the plenary session on December 12, 2012, the draft directive
of the EU Commission was rejected by the European Parliament
and was sent back to the traffic committee for revision. Therefore
the Commission draft will have to be taken up again in 2013. If
the EU regulation as planned by the European Commission was
adopted, negative economic consequences for Fraport may not
be insignificant.
On December 31, 2011, we reported that the establishment of a
noise protection area for the airport Frankfurt Main pursuant to an
order by the state government of Hesse, it could incur costs for
Fraport in the coming years estimated at around € 150 million in
connection with compensation payments related to noise protec-
tion measures on buildings and claims for losses of residential qual-
ity in outdoor areas. The cost estimate continues to be unchanged
and the amount of the outdoor living area compensation must still
be settled by a Federal regulation. As a result, the amount of the
compensation for damages to outdoor living areas is particularly
difficult to estimate. In accordance with Section 19b of the Air Traffic
Act (LuftVG), these costs will be financed through airport charges.
There is still considerable protest against the new runway, despite
the € 150 million program of noise abatement measures. Fraport is
therefore intensively examining further noise reduction measures
that could be associated with additional costs or investments.
Investigations are currently underway to determine whether
investments in a state-of-the-art drainage system will be required
for the operation of Runway West and the existing parallel take-off
and landing runway system due to the required official approval.
Depending on the results of the examination capital investments
of up to € 130 million could be necessary.
Risks in connection with the airport expansion
The construction and inauguration of the Northwest Runway and
the planned third passenger terminal represent the opportunity
for Frankfurt Airport to maintain and bolster its status as an inter-
national hub airport in the future. The expansion of the airport
is one of the main prerequisites for Fraport’s participation in the
long-term growth of global air traffic.
With its appellate decision, issued on April 4, 2012, the German
Federal Administrative High Court confirmed – as had previously
the Hesse Administrative High Court – essentially that the zoning
decision and thus the expansion of Frankfurt Airport complied
with legal requirements. However, the German Federal Admin-
istrative High Court also confirmed the doubts expressed by the
Hesse Administrative High Court regarding the decision to allow
17 flights between 11 p.m. and 5 a.m. As a consequence of the
German Federal Administrative High Court’s decision, the Hesse
Ministry of Economics, Transport, Urban and Regional Develop-
ment, as the zoning authority, adapted the zoning decision on
May 29, 2012, imposing a complete ban on all scheduled flights
between 11 p.m. and 5 a.m. For the hours immediately before
and after the night flight ban, from 10 p.m. to 11 p.m. and from
5 a.m. to 6 a.m., the number of aircraft movements was limited
to an annual average of 133 take-offs and landings per night.
Previously, 150 aircraft movements were permitted, including,
however, the above-mentioned 17 flights allowed for the core
night-time period.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 6 4
simulations are regularly carried out by Risk Controlling using vari-
ous worst-case and market scenarios. The Chief Financial Officer
is regularly informed about the results. The Fraport AG Treasury
department is responsible for efficient market risk management.
Generally, only risks which affect the Group’s cash flows are man-
aged. There can only be open derivative positions in connection
with hedging transactions in which the underlying transaction is
cancelled or not carried out as planned.
Interest rate risks arise in particular from the capital requirements
associated with capital expenditure and from existing floating-
interest rate financial liabilities and assets. As part of the interest rate
risk management policy, interest rate derivatives were concluded
in order to limit the interest rate risk. Following the commitment
to these interest rate hedging positions, there is the risk that the
market interest rate level will decrease and as a result there will
be a negative fair value of the interest rate hedging instruments
or that a negative value will be intensified.
Foreign currency risks mainly arise from revenue planned in foreign
currencies which is not covered by expenses in matching curren-
cies. Such risks are hedged, to the extent necessary, by entering
into currency forward transactions.
Fraport’s credit risks stem on the one hand from primary financial
instruments. Such risks arise, for example, upon the purchase of
securities in the framework of asset management and comprise
the default risk of the issuer. Furthermore, credit risks arise in con-
nection with derivative financial instruments with a positive fair
value and the current risk that the counterparty will not be able to
meet the obligations that are advantageous for Fraport. This risk is
generally countered by using financial investments and conclud-
ing derivatives only with issuers and counterparties who have an
investment-grade rating. Since the beginning of 2013, however,
investments without ratings have also been possible in individual
cases. If the credit rating is downgraded to non-investment grade
during the asset’s holding period or the term of the derivative, a
decision is made on a case-by-case basis on the further progress
of the asset or derivative, taking into account the remaining term.
There is a risk that the existing night flight ban will have a long-
term impact on the conditions for the development of the site. The
momentum of the traffic development, in particular in the cargo
sector, may weaken and the possibility of reductions in cargo traffic
cannot be ruled out.
If additional restrictions of airport operation – demanded in some
cases in the political discussion – were implemented into law, a
further weakening of the competitive position of the Frankfurt
Airport would result.
This would significantly impact traffic volume as well as traffic
structures at the Frankfurt site, creating adverse effects on Fraport.
The zoning authority will have to make a new decision regarding
noise abatement measures for commercial properties since the
German Federal Administrative High Court has criticized the zon-
ing authority on this point.
The ruling by the German Federal Administrative High Court
means that no legal recourse to test cases through the courts will
be permitted. However, it is impossible to completely exclude
the possibility of residual legal risks to the airport expansion in
light of the announced constitutional complaints and possible
appeals to the European Court of Justice and/or the European
Court of Human Rights as well as the still outstanding decisions
in the suspended proceedings.
Because of ongoing construction work and the continued awarding
of contracts and orders, the total volume of capital expenditure
for the expansion of Frankfurt Airport to date had increased to
approximately € 2,365 million as of December 31, 2012.
Financial risks
“Risk management report” according to
Section 315 (2) no. 2 of the HGB
With regard to its balance sheet items and planned transactions,
Fraport is subject in particular to credit risks, interest rate and
foreign exchange rate risks and other price risks. Fraport covers
interest and foreign exchange rate risks mainly by establishing
naturally hedged positions, in which the values or cash flows of
primary financial instruments offset each other in their timing
and amount and/or by using derivative financial instruments to
hedge the business transactions. The scope, responsibilities and
controls for the use of derivatives are specified in binding internal
guidelines. The existence of a risk which needs to be hedged is
the prerequisite for using derivatives. Derivatives are not used for
trading or speculative purposes. To monitor the risk positions,
Fraport Annual Report 2012 Group Management Report / Outlook Report
65
The issuers’ ratings and those of issues are regularly monitored, as
are the CDS spreads of the counterparties. Moreover, the upper
limits are continuously adjusted to the credit-rating development
and where necessary reduced and financial assets are diversified
further under risk considerations.
Other price risks result from the fair value measurement of finan-
cial assets. This, however, does not affect cash flows at the time
of measurement.
Financial assets with a fixed maturity are assumed to be subject
to temporary market fluctuations which reverse automatically by
the end of the products’ maturities, since a repayment in the full
nominal amount is expected.
Regarding further information about the nature of risks arising
from the use of financial instruments and the scope of risks from
open risk positions in the context of financial instruments, please
see notes 40 and 47 in the Group notes.
Other financial risks
Risks for Fraport’s net assets, financial and earnings position may
arise from the current financial market situation and its effects on
the overall economy and particularly on liquidity and future bank
lending practices. As a countermeasure, Fraport has as part of its
“pre-financing” strategy already secured a major portion of the
planned borrowing for future capital expenditure through external
financing in the last few years, most recently in the second half
of the year 2012.
The difficult economic situation of some airlines might lead to
defaults. Fraport deals with this risk as far as possible through active
credit control and by formation of valuation allowances.
Legal risks
Manila project
The investment in Manila, the capital of the Philippines, to build
and operate an airport terminal (NAIA IPT3 project) was written
off completely in the financial statements for the year ended
December 31, 2002. The major ongoing risks and legal disputes
in connection with the project are presented subsequently.
As already reported, on December 23, 2010 an ad hoc committee
of the International Centre for Settlement of Investment Disputes
(ICSID) unanimously decided in appeal proceedings to set aside
the initial ICSID arbitral award of August 16, 2007. Following this,
Fraport petitioned on March 30, 2011 for initiation of new arbi-
tration proceedings against the Republic of the Philippines at the
ICSID. The basis for the arbitration proceedings is the investment
protection treaty between the Federal Republic of Germany and the
Republic of the Philippines which opens recourse to an ICSID court
of arbitration in the event of disputes concerning expropriation and
unfair and unlawful treatment of German investors in the Philip-
pines. In the new arbitration proceedings, Fraport is again claiming
compensation for the expropriation of the investment project at
Manila Airport in the amount of approximately US-$ 425 million
plus interest. As previously in the first arbitration proceedings, the
Republic of the Philippines disputes the competency of the court
of arbitration and the merits of the complaint and furthermore
has raised a contingent counterclaim against Fraport AG which
is partially in unstated amount. Fraport is of the opinion that the
investments were lawfully made and the demands of the Philippine
government are unfounded.
In the proceedings initiated by the Philippine government against
Philippine International Air Terminals Co., Inc. (PIATCO) in 2004 for
the expropriation of the terminal, the expropriation court decided
on May 23, 2011 that PIATCO was entitled to full compensation for
the expropriation of Terminal 3 in Manila of almost US-$ 176 million,
which would be credited against the “estimated value” of the
terminal of around PHP 3 billion which had already been paid. In
the meantime, all parties to the proceedings have filed appeals
against the decision with differing objectives, with the result that
the decision is not yet final. Moreover, the expropriation court
ordered on October 11, 2011 that the Philippine government
could be freed from its payment obligation through escrow. This
ruling was also challenged by PIATCO, among others. A decision
has not yet been issued concerning these appeals.
At the beginning of 2003, the shareholders and directors of
PIATCO – against Fraport’s votes and those of the PIATCO directors
it appointed – resolved to prepare a complaint for damages against
Fraport and its directors for alleged improper and harmful action
against the company. Fraport rejects these accusations. Moreover
it is disputed whether these resolutions are legally valid. PIATCO
has not further pursued the claims asserted.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
6 6
As reported, a Philippine law firm as well as a former Philippine
minister filed claims for damages against Fraport, 2 former board
members and 2 Philippine attorneys of Fraport for alleged defa-
mation for PHP 100 million (around € 1.6 million) each. Accord-
ingly, motions to seize Fraport assets on the Philippines were
initially granted. To avoid the seizure, Fraport, as reported earlier,
deposited guarantees as collateral, whereupon the responsible
courts revoked the seizures. Appeals filed by the plaintiffs against
this revocation have remained unsuccessful. The main suit is still
pending, but in the meantime the claim in 1 of the 2 suits has been
rejected without possibility of appeal to the extent it was directed
against the Philippine lawyers of Fraport. These complaints against
Fraport were rejected as well. The plaintiffs have filed appeals
against these rulings, which have not yet been decided. In the same
matter, the plaintiffs filed a complaint leading to public charges in
3 proceedings. The court has already rejected the charges in all
3 proceedings, in the court of appeal in 2 of the 3 cases. In all the
cases, appeals are pending at various levels in which no final deci-
sions have been made to date. A fourth suit is still in preliminary
proceedings. Fraport rejects these allegations.
As we have already reported in the previous years, various criminal
proceedings and investigations have also been initiated against for-
mer board members and employees of Fraport in the Philippines, in
which Fraport, in the majority of cases, is not a directly involved or
affected party. On January 21, 2011, the Philippine Department of
Justice ordered an arraignment in the suit against various persons
associated with the Fraport Group due to a suspected violation of
the “Anti-Dummy Law”, which has not been conducted yet. The
outcome of these proceedings could put the legality of Fraport’s
investment in the Philippines in question and could, in the case
of conviction, serve as the basis for proceedings to seize Fraport’s
assets in the Philippines. With reference to the allegations made
in the proceedings, to the extent they are known to the company,
Fraport is still of the opinion that these allegations are false.
In addition, cases relating to the NAIA IPT3 project are pending
in Germany.
Other legal risks
There is the risk of back tax payments in connection with tax audits
that are still to be carried out.
Risks from capital expenditure projects
Fraport’s capital expenditure program is subject to a range of risks.
Increases in construction costs, suppliers going out of business,
changes in planning figures, or weather-related delays could all
lead to extra costs.
Due to the increasing market and competitive pressures, future
capital costs from the necessary investment programs may only
be partially covered by obtainable charges.
Risks attributable to investments and projects
Investment companies and airport operating projects, like
Fraport AG, are subject to general economic and company-specific
risks as well as industry-specific market risks. In addition, there are
general political risks at individual locations abroad.
In Bulgaria – where the operation of the airports in Varna and
Burgas is managed by Twin Star Airport Management AD – there
seems to be further sustained growth following the economic cri-
sis. GDP growth of around 1.9 % is expected in 2013 and a positive
trend is also in sight in the medium-term. This provides a solid basis
for further growth of air traffic. The most relevant considerations
for growth, however, in tourism are the economic situation in the
origin countries of tourists and the price structure compared to
other vacation destinations. It can therefore be assumed that while
the financial crisis in Europe continues, low-cost destinations will
continue to grow.
Should a trend away from low-cost tourism again begin to develop,
there would be a relatively minor risk that favorably-priced vaca-
tion destinations such as Varna and Burgas will lose tourism to
expensive vacation destinations in southern Spain, Portugal or
southern France.
The majority of air passengers in Burgas and Varna are from Russia
and Germany. In addition, a growth trend from central and eastern
European destinations is beginning to emerge. In 2012, nearly
2.4 million passengers were recorded for Burgas Airport (2011:
2.3 million passengers) despite the reduced passenger volume
from Israel due to the bomb attack in July 2012.
Fraport Annual Report 2012
Group Management Report / Outlook Report
67
In conjunction with the current deregulation of ground handling
services in the EU and the requirements of the Bulgarian Civil Avia-
tion Act, the market was opened following the attainment of the
threshold of 2 million passengers for a second ground service pro-
vider in Burgas. As a result, in 2012 a market share of approximately
4 % was lost to the competition. In 2013, a market share decline
of in total about 30 % is expected, which accordingly will result
in a decrease in revenue for ground handling services in Burgas.
In Varna, it is not expected that the two million passenger mark
will be met in the next few years.
Currently, new passenger terminals are being built in Varna and
in Burgas at a price of € 65 million each. Completion is planned
for the summer of 2013. At present, all involved parties are work-
ing intensively on the challenging mission of completing both
terminals on time.
As at January 1, 2013, an increase in airport charges has been
implemented.
Fraport Twin Star is subject to the Bulgarian economic, legal and
political conditions and is dependent on the reliability of the
grantor state and local authorities. The risk of political and/or
economic instability in Bulgaria, a relatively stable EU member
state, is classified as low. The same applies to the overall risk of
adverse changes in the regulatory or legal framework for public/
private partnerships in Bulgaria.
For the Jorge Chavez Airport in Lima, Peru, operated by Lima
Airport Partners (LAP), the increasing number of domestic pas-
sengers, which is closely linked to the country’s economic upturn,
is a major pillar of passenger growth. The entry of low-cost carriers
into the Peruvian market intensified this trend. The combination of
these two components has made the use of aircraft travel possible
mainly for the less wealthy layers of the population.
Economic growth in Peru is tied to the development of the raw
materials market and the increase in exports from the country. A
drop in the price of raw materials or a decrease in exports would
have a detrimental effect on the consumer behavior of residents
and therefore a negative impact on domestic air traffic. However,
the IMF prediction of GDP growth for 2013 of 5.8 % and of 6.0 %
in the medium-term for 2017, anticipates continued sustainable
economic growth for Peru.
In addition to economic conditions, LAP is also subject to legal
and political conditions and is dependent on the reliability of the
franchiser state and local authorities. The Humala government
elected in 2011 is proving to be “business-friendly”.
Following strong economic growth in Turkey of 8.5 % in 2011, a
cooling of growth to approximately 3.0 % began to emerge in the
past fiscal year, which was essentially attributable to the effects of
the economic and financial crisis in Europe. In relation to the EU
economic area, however, this continues to represent a respect-
able level of growth. The sustained growth trend of Turkey thus
continues unbroken. In addition to strong domestic demand and
rising exports, the favorable demographic structure – average age
of the entire population is currently below 29 – and the geographi-
cal position of Turkey constitute a foundation for future growth.
Despite weaknesses in the education sector, a social system partly
in need of reform and infrastructure in need of upgrade in remote
regions, Turkey continues to offer a stable political landscape and
with that the key to potential future economic growth.
The relatively high deficits in foreign trade and current account
together with high rates of inflation, which in the medium- to
long-term could be a problem for the general economic situation
of Turkey, however, represent risk factors for continued economic
development.
On the whole, the finances of the state continue to be relatively
sound and the business-friendly tax system provides incentives for
capital investment. In comparison with many European countries,
Turkey’s budget deficit is relatively low. In 2011, it was 2.1 % of GDP.
The forecast for 2013 is approximately 2.3 %. Turkey, as a non EU
member, even meets the key indicators of the Maastricht criteria.
The current account deficit and the relatively high inflation were
significantly reduced in 2012. Though the prices rose in April 2012
by more than 11.0 %, the inflation rate in October 2012 was only
7.8 %. The current account deficit of 10.0 % in 2011 was reduced
to 7.7 % in August 2012. As a result of the reduction of the current
account deficit and the dampening of inflation last year, Turkey
for the first time in 18 years again received the “investment grade
rating”. The rating for long-term instruments in foreign currency
was raised by 1 grade to “BBB–” and the rating for bonds in
the domestic currency was raised by 2 grades to “BBB”. Further
grounds for this decision were the falling debt burden (currently
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 6 8
Other risks
Fraport intends to continue utilizing the growth in global air
traffic to create sustainable and attractive jobs at all Group sites.
Fraport is aware that the current demographic shift will intensify
the competition for high quality professionals and managers, par-
ticularly in Frankfurt. To this end, Fraport will make every effort to
maintain a reputation as a responsible, attractive and competitive
employer. Fraport believes that the qualification, commitment and
work satisfaction of its employees is a key factor in the success of
the Group. Fraport combines attractive company benefits with
opportunities for employees to participate in the success of the
Group and tops it off with a range of measures for balancing the
work/life mix. Fraport’s goal is to attract new employees and retain
existing ones on a long-term basis. This purpose is also served by
airport-specific and universal qualification programs for its employ-
ees and managers, trainee programs and short- and medium-term
assignments at Fraport’s foreign sites.
Fraport invests in the safety, health and wellbeing of its employees.
Training and sensitizing managers play a key role in ensuring
Fraport’s sustained success in reducing and minimizing employ-
ment-related and health risks. In-depth employee surveys are
conducted as a rule every 1 or 2 years in all Group companies
with a substantial workforce. They provide Fraport with important
insights and opportunities to improve the working environment
on all levels. The results of the surveys are reported widely and
in a transparent fashion. Numerous conclusions drawn from the
results analysis are extrapolated jointly with employees themselves
and converted into measures for sustained improvement of work
processes and work satisfaction.
As a result of turnover-induced changes in the number of employ-
ees at Fraport AG, there is a risk of significant increases in contri-
butions to the pay-as-you-go company pension plan covering
Fraport AG employees.
at less than 40.0 %, based on GDP), the stable banking system and
the favorable growth prospects. For the short- and medium-term,
this is a further incentive for investments in Turkey. One of the
main foundations of the Turkish economy is the tourism sector,
which has continuously expanded in recent years. This has been
underpinned by the disproportionate number of attractively priced
new and high-quality hotels. As a result, Turkey has already become
a serious competitor to traditional holiday destinations in the
Mediterranean or the Canary Islands. In 2012, the Antalya Airport
recorded around 25.0 million passengers. The traffic volume thus
reached the high level of the previous year, which benefited from
the political unrest in Northern Africa.
In the parliamentary elections in June 2011, the conservative
AK party again retained its absolute majority. The government has
proven to be reliable and has ensured the high domestic political
stability of recent years. More recently, Turkey’s aspirations to fur-
ther strengthen its position in the Islamic world have been a source
of concern in the Western world. Despite this, the pro-Western
orientation of Turkey and its position as a strategically important
partner also for the EU are unquestionable. Domestically, the
primary topics continue to be the unresolved Kurdish issue and
the role of Islam in politics and society.
In view of terrorist attacks against military and police establish-
ments in the past (mainly in the urban centers of Istanbul and
Ankara) and conflicts in the border area with Iraq and Syria, security
measures throughout the country remain at a high level. To this
extent there continues to be a latent risk of terrorist activity in all
parts of Turkey. In the event of escalation, it cannot be ruled out that
the tourism sector could be influenced. However, political unrest
in the Arabian region, the Middle East and Northern Africa in past
years have not had any perceptible effects on the development
of tourism in Turkey (and in particular in the greater Antalya area).
Risks in connection with the airport operating projects, which
are generally long-term arise primarily in connection with the
estimation of future development of air traffic. A lack of growth or
downturn in air traffic could have a negative effect on the earn-
ings development of concessionary companies, which could also
result in risks to project financing. Additional risks, such as delays in
connection with the construction of airport infrastructure, which
as a rule adheres to a contractually stipulated schedule, may also
occur from this.
Fraport Annual Report 2012 Group Management Report / Outlook Report
69
Operations in Frankfurt and other Group airports may be impaired
by local events such as accidents, terrorist attacks, fires or techni-
cal malfunctions, as well as events that influence the operation
of national and international air traffic (such as natural disasters,
extreme weather events and epidemics). Fraport’s insurance policy
covers the standard risks faced by airport companies. In particular
it includes occurrences of damage that result in the loss or damage
of assets, including any consequential business interruption costs,
as well as claims for damages by third parties arising from Fraport’s
corporate liability risks.
Insurance protection regularly also covers the risks from terrorism
regarding property and third-party liability. Coverage for Group
companies abroad is provided only to a limited extent through
inclusion in the policies of Fraport AG; it is predominantly provided
through the companies’ own policies. Fraport AG and the domestic
Group companies in which an interest of at least 50 % is held are
covered against risks of environmental damage from accidents for
up to € 32 million. For the Group companies abroad there is insur-
ance protection with respect to environmental damages through
accidents depending on the local requirements.
All of the IT systems of critical importance to the company are
configured redundantly and are optionally housed at separate
locations. The possibility of residual risks resulting from the
architecture and operation of the IT facilities naturally cannot be
completely ruled out.
Due to the ongoing development of new technologies and the
expansion program, there is an underlying risk potential for IT
systems. Fraport takes this situation into account with an active IT
security management system. The requirements for IT security are
specified in the IT security policy and security guidelines which
must be followed throughout the Group. Compliance with these
guidelines is monitored regularly. Insurance protection is obtained
for damage claims relating to residual risks wherever possible and
appropriate.
Overall risk evaluation
The overall evaluation of the risk situation revealed that the
continued existence of the Fraport Group is not at risk as far as
its assets and liquidity are concerned and that no risks which
might jeopardize the company’s existence are apparent for the
foreseeable future. However, if the airport expansion should not
be feasible as planned due to the remaining legal risks, most of
the capital expenditure already capitalized would be impaired and
Frankfurt Airport would be weakened in its market position as an
international hub in the long-term.
Business opportunities
Opportunities from the development of the general
economic situation
After the 2008/2009 global financial and economic crisis which
had, at times, dramatic consequences on global air traffic, there was
an unexpectedly strong economic upturn during 2010 and 2011,
especially in the Federal Republic of Germany. With the strong
growth in passenger traffic accompanying this upturn – Frankfurt
achieved average annual growth in 2010 and 2011 of 5.3 % – the
company was able to substantially exceed its pre-crisis level. The
current European credit crisis, which began in early summer 2011,
however, has led to a new downturn in the forces driving the global
economy and in particular, global air freight operations and the
economy in the Euro zone in 2012 overall went into a recession
which may well persist in 2013.
According to expert opinion, the German economy, in comparison
with other European economies, is robust enough to avoid a reces-
sion and after only moderate growth in 2013 to pick up momentum
again on a medium-term basis. In the short-term, stronger traffic
development is expected for major German airports, including
Frankfurt, than for the other airports. In the medium-term, global
and national economic conditions are to be viewed as positive
for a continued upward trend for air traffic at Frankfurt Airport.
Largely independent of the current dampened economic situation,
the international integration of the globalized world economy
continues to increase. There is no foreseeable change in the trend
of purchasing, production and sales being distributed across
the entire globe. Global air traffic provides the key infrastructure
required for continuing the internationalization process.
This trend is supported by the dynamic development of numer-
ous emerging nations, e.g., the BRIC countries (Brazil, Russia,
India and China), in which new markets with sustained favorable
growth prospects are being established. The rise in the standard
of living in these countries is key to the disproportionately high
growth of air travel, not the least because ground-side transport
infrastructure is often underdeveloped in these areas. Compared
to Central Europe and North America, economic development
in these countries was far less impacted by the last financial and
economic crises and the current debt crisis, if at all.
Experience with the growth cycles has shown that market turbu-
lences can interrupt the upward development of world air traffic
in general temporarily, but so far not indefinitely. The possibility
of a degree of dragging out of the volume expectations cannot
be ruled out.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 7 0
Opportunities in corporate strategy
Through the completion of the Northwest Runway and Pier A-Plus,
Fraport was able to significantly increase the airside as well as
landside capacities at the Frankfurt location in the past two years
and thus create the basis for a dynamic development of passen-
ger volume. On top of that, Fraport has identified 3 main growth
engines for the future:
Airport retail
Extending and modernizing the retail, catering and service areas
in the terminals, in particular on the airside, continue to be central
elements for increasing retail revenue. With the opening of around
12,000 m² of retail space in Pier A-Plus, Fraport last year created
an essential foundation for further retail growth at the Frankfurt
Airport. The focus in addition lies on the development and imple-
mentation of sales promoting measures for the passengers who
have an extraordinarily high purchasing power.
External business
Fraport’s know-how is now represented on 4 continents. In addition
to Frankfurt, 4 further airports are operated or managed through
Group companies in which Fraport holds an interest of at least
50 %. The Group rounds out its portfolio with minority shares or
through management contracts in numerous airports. The profit
contribution of external business to the overall profit of the Fraport
Group is set to continue to rise in the next years through positive
development in the existing investment portfolio. In addition, the
clear target is to expand the external business.
Airport city
Around the world, hub airports are developing into airport cit-
ies. Fraport recognized this trend at an early stage and identified
sites that are worth consideration for real estate development. For
instance, Fraport is intensively developing and marketing high-
quality commercial space in direct proximity to Frankfurt Airport.
A second project involves an expansion of CargoCity South to
meet the high demand for additional logistics space. Depending
on the particular project, Fraport decides if and to what extent
the Group will participate in the development of the real estate.
Business outlook
The business outlook is based on the assumption that the inter-
national economy and air traffic will not be impaired by external
shocks such as terrorist attacks, wars, epidemics, natural catastro-
phes, or additional turbulence on the financial markets. Moreover,
statements concerning the anticipated net assets, financial and
earnings position reflect the accounting standards applied in the
EU at the present time.
Increasing uncertainties surround the development
of the economic environment
Banks and leading economic institutes forecast that the global
economy will grow between 2.4 % and 3.5 % in 2013. There will
be continued risks from the European financial crisis, which can
strongly influence the banks’ refinancing capability and have rami-
fications for the real economy. For the Asian emerging countries,
the Middle East, Africa and parts of Latin America, disproportionate
growth continues to be expected, even if at a slower pace than
in the previous years in some cases. For the countries of the Euro
zone, stagnation to further shrinkage of the economy (around
0.3 % to – 0.9 %) is assumed. The German GDP, with growth
between 0.3 % and 1 %, should show better development, with
a slight acceleration of growth being expected in the course of
the year. The US economic performance is generally expected to
increase by around 2 %.
Growth in global trade in 2013 of around 4 % is assumed. The
average global market price per barrel of crude oil in 2012 as well
as in 2011 was around US-$107. Due to the continuing weak-
ened economic growth and thus falling demand for crude oil, an
almost unchanged development of the oil price is assumed for
2013. Sources: Tecson (January 2013), IMF (January 2013), OECD
(November 2012), DekaBank (February 2013).
Fraport Annual Report 2012 Group Management Report / Outlook Report
71
Changes in the general legal environment
for German aviation
Since the start of 2012, all flights which begin or land in an EU
airport have been included in the EU emissions trading system.
However, in November 2012, the EU Commission recommended
that the obligation of airlines to purchase certificates for non-
member-state flights be delayed until autumn 2013. The reason
for this was stated to be the resolutions of the International Civil
Aviation Organization (ICAO) under which a global convention for
the lowering of CO2 emissions in air traffic is to be developed by
the next ICAO Assembly in September 2013. Generally, the inclu-
sion of air traffic in the greenhouse gas emissions trading system
will first and foremost affect airlines. Airports, however, will also be
indirectly affected since additional costs of air traffic could result
in a limited growth dynamic. If individual countries or airlines do
not participate in emissions trading, the relative competitiveness
of European airlines (and as an indirect consequence, European
airports) could also be impacted.
With respect to the aviation tax on passenger flights that originate
from German airports introduced in 2011, the Deutsche Bundesrat
passed a motion on November 23, 2012 under which the German
Federal Government is to present an act for elimination of the avia-
tion tax still in the current legislative period. At the present time,
however, no such activities of the German Federal Government
are known. If the Federal Government should retain the nationally
levied tax, this would lead to a continued burden on the German
aviation market – due to its competition-distorting character.
At the beginning of December 2011, the EU Commission pub-
lished a draft with regard to the so-called “Airport Package.” It
includes various liberalization elements, including regulations
about market access for ground handling services at EU airports,
a revision of the existing Slot Regulation and a draft for a regula-
tion concerning the noise-related restrictions on operations. On
December 12, 2012, the Plenum of the European Parliament voted
on the Airport Package on the first reading. The legislation pro-
posed for the revision of the Slot Regulation and for revision of the
directive on noise-related restrictions on operations was accepted
by the majority of the Parliament with few changes. The proposed
legislation to revise the directive concerning ground handling
services was sent back to the respective committee and will have
to be addressed again in the current year. If the EU regulation is
adopted as planned by the European Commission, there could be
significant negative economic consequences for Fraport.
Directive 2009/12/EC came into effect in March 2009 due to a
legislative initiative by the EU Commission concerning a uniform
legal framework for airport charges. The directive was implemented
into national law on May 12, 2012, with the repeal of Section 43a
of the German Air Traffic Licensing Act (LuftVZO) and the coming
into effect of Section 19b of the Air Traffic Act (LuftVG). Fraport
has already made the resulting changes in the legal environment
the basis for discussions of airport charges until 2015. For future
negotiations of airport charges, Fraport does not expect any sig-
nificant effects on Group results from operations due to the new
legal situation.
In September 2009, the EU Commission adopted a resolution
expanding its influence on airports and aircraft movements/air
traffic control. Based on this resolution, the European Aviation
Safety Agency (EASA), as the highest European aviation authority,
assumed responsibility for security oversight for all European air-
ports in the past year. In order to guarantee uniformly high security
standards in all EU member states and thus realize a partial aspect
of the Single European Sky (SES) Program, national legislation and
regulations with regard to the licensing and operation of airports,
air traffic management and air traffic controlling services shall be
replaced by unified EU legislation. To ensure that general legal
conditions build on one another and a functioning European air
traffic system can be created, the EU Commission plans to create
new principles for the harmonization and better meshing of the
legislative projects with the SES II+ Program. Since the legislative
process has not yet been concluded, the specific effects on airports
cannot yet be definitively estimated.
Overall, the emerging changes in the Fraport Group’s legal envi-
ronment could strongly impact the German aviation industry in
general and therefore Fraport as well in the future.
Continued positive development of air traffic forecast
despite short-term uncertainty
The restrictive supply behavior of the airlines, begun already in
2011/2012 and geared toward consolidation – which at the Frank-
furt Airport applies in particular to its major customer Deutsche
Lufthansa in domestic and continental traffic – will continue in
2013 and will negatively impact passenger development as well as
forecast accuracy. Over and beyond this, the European debt crisis,
the German aviation tax and the currently suspended emissions
trade in the EU will continue to have negative effects for European
air traffic. The positive supply-side effects resulting from the new
Northwest Runway and Pier A-Plus thus will initially be offset in
Frankfurt. Despite these short-term uncertainties, leading aviation
associations such as Airports Council International (ACI) and the
major aircraft manufacturers Airbus and Boeing continue to expect
long-term stable growth rates in global air traffic.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012 7 2
Based on the short-term negative general conditions, the Execu-
tive Board expects passenger volume for the Frankfurt Airport in
2013 as a whole to be at about the level of the previous year. For
the following years, a positive passenger development continues
to be expected.
Based on the expected economic developments, stagnation to
also a slight rise is expected for cargo volume in 2013. If economic
production should prove to be poorer than expected, the 2013
figure can also turn out to be below the 2012 level. In the inter-
mediate term, significant growth rates for cargo volume at the
market level are again expected.
In connection with the positive revenue development, Fraport
expects – despite additional expenses resulting from the full-year
operation of Pier A-Plus and the collective wage agreement in the
public sector – Group EBITDA that will be above that of 2012
and is expected to be in a range from € 870 million to € 890 mil-
lion. Depreciation and amortization for 2013 will significantly
exceed that of 2012 in particular due to the full-year utilization of
Pier A-Plus. In the event the upper expectation for Group EBITDA
is attained, Group EBIT of up to around € 520 million is forecast
for 2013. If the growth of Group EBITDA should be at the lower
end of the range, it is also possible that Group EBIT will be at about
the level of the previous year.
On the basis of positive economic assumptions and a sustained
optimistic outlook for tourism, an increase in passenger figures
over the coming years is expected for the Group airports with a
Fraport share of at least 50 %: Antalya, Lima, Varna and Burgas.
As in past fiscal years, the political situation in North Africa and the
Gulf Region can affect Antalya, Varna and Burgas over and beyond
their organic growth. In Lima, in addition to the international traf-
fic, the increase in domestic traffic will also have an impact on the
increase in volume.
Revenue and earnings outlook
of the Fraport Group for 2013
Despite the uncertain traffic estimate for the fiscal year 2013,
Fraport expects an increase in Group revenue of up to 5 %. The
reasons for this at the Frankfurt site are particularly the increase in
airport and infrastructure charges as well as additional revenue in
the Retail and Real Estate divisions as a result of the full-year utiliza-
tion of Pier A-Plus. In external business, a positive development in
business based on traffic is expected in Antalya, Lima and Twin Star.
Moreover, rising capacitive investments in the Group companies
Lima and Twin Star will increase the reported segment revenue as a
result of application of IFRIC 12. As a result of corresponding items
in non-staff costs, however, this effect will overall be EBITDA neutral.
The Group financial result will develop negatively in 2013 pri-
marily as a result of the declining other financial result, which in
2012 was essentially influenced by additional proceeds resulting
from the disposal of assets as part of financial asset management
as well as foreign currency effects, and higher interest expense.
The latter effect will particularly be the result of lower capitalized
interest expense related to construction work. As a result of the
inauguration of Pier A-Plus in 2012, the possibility of capitalizing
interest on borrowings during the construction phase of the asset
is gone, which will increase the reported interest expense for 2013.
A decrease in the Group result for 2013 is expected. In view of
the long-term positive outlook for earnings, the Executive Board
intends to hold the dividend per share stable for the fiscal year
2013 at € 1.25. The 2013 Group value added will be below that
of 2012.
Revenue and earnings outlook
of the Fraport segments for 2013
In spite of the uncertain traffic forecast, a slight increase in revenue
is expected for the Aviation segment in the fiscal year 2013. This
will be due in particular to the increase in airport charges by an
average of 2.9 % as of January 1, 2013. The positive development
of revenue will also positively impact the EBITDA and EBIT of the
segment, for which a slight growth in 2013 is also forecast. The
value contribution of the segment will still be negative in 2013.
The Retail & Real Estate segment in the current fiscal year will
achieve in particular higher retail revenue as a result of the full-year
operation of Pier A-Plus. Operation of the pier will also result in
increased revenue from energy supply services and rents. Revenue
in 2013 therefore will be significantly above the level of 2012. A
significant increase is also expected for the segment EBITDA and
EBIT. The value contribution of the segment will continue to be
positive in the current fiscal year.
Fraport Annual Report 2012 Group Management Report / Outlook Report
73
Net financial debt will increase further as of the 2013 balance
sheet date as a result of the negative free cash flow and the payment
of dividends. Due to a slightly disproportionately high increase in
net debt in relationship to shareholders’ equity, the gearing ratio
is expected at around 110 % to be slightly above that of 2012.
If, in the course of its efforts, Fraport should expand external
business in fiscal year 2013 and carry out relatively large acquisi-
tions, the actual development of net assets, financial and earnings
position could deviate significantly from the mentioned forecast.
Preview of revenue and earnings development of the
Fraport Group for 2014
In fiscal year 2014, the Fraport Group expects a continuing positive
organic development. Alongside the forecasted growth in traffic
in Frankfurt and the Group airports in which an interest of more
than 50 % is held, at the Frankfurt site in particular the renewed
increase in airport charges as of January 1, 2014 and the other
price increases for ground handling and infrastructure charges
will have a revenue-increasing effect. In addition, extra revenue
is expected in the retail sector. As a result of the application of
IFRS 11, the proportionate consolidation of, among others, the
Group company Antalya as of January 1, 2014 will cease, so that
the company will be accounted for using the equity method and
will be included in the Group financial result. Accordingly, a drop
is expected for planned Group revenue, Group EBITDA and
Group EBIT in 2014 in comparison with 2013.
As a result of the application of IFRS 11 and the resulting inclusion of
the Group company Antalya in the results from associated compa-
nies, the financial result will improve significantly in comparison
with 2013. On the basis of the forecasted organic growth, a slight
increase in Group result is expected in 2014 in comparison with
2013. For fiscal year 2014, the Executive Board intends to keep the
dividend per share at least at the level of 2013. The 2014 Group
value added will be at approximately the level of 2013.
In the Ground Handling segment, there will be a minor increase
in revenue in 2013 as a result of price increases for ground handling
as well as for infrastructure charges. Despite the revenue growth,
the EBITDA and EBIT in the current fiscal year will be at about the
level of 2012. The reason for this will be in particular the provision in
the personnel area released in 2012 which will result in a negative
base-year effect for the EBITDA and EBIT in the fiscal year 2013. The
value contribution of the segment will again be negative in 2013.
If there should be another decline in maximum take-off weights,
despite nearly constant passenger figures, in 2013, the revenue,
EBITDA and EBIT development of the segment could also turn out
below the before-mentioned forecast.
The continuing positive expected business development in
Antalya, Lima and Twin Star will lead to an increase in the fiscal
year 2013 organic revenue in the segment External Activities
& Services. Moreover, increased capacitative investments in the
Group companies Lima and Twin Star will increase the reported
segment revenue as a result of application of IFRIC 12. Correspond-
ingly, increasing expenses from investment expenses will result in
the additional revenue having a neutral effect on results due to the
application of IFRIC 12. EBITDA and EBIT are forecast at about the
level of 2012. The value contribution will continue to be positive.
Expected net assets and financial position for 2013
The net assets and financial position of the Fraport Group will be
characterized in fiscal year 2013 by additional capital expenditure
at the Frankfurt site which, however, will be significantly lower
as a result of the completion of Pier A-Plus in 2012. The focus of
investment will continue to be on modernization and maintenance
projects. Investments in property, plant and equipment of around
€ 450 million are expected. Investments in airport operating pro-
jects will be between € 100 million and € 150 million.
The lower capital expenditure activity will have a positive effect on
the statement of cash flows and on free cash flow of the Fraport
Group in the fiscal year 2013. Free cash flow will improve in com-
parison with 2012, but will continue to be in the negative range.
Total assets will increase as a result of the positive Group result as
well as the planned investment activity in 2013 and will increase
up to € 9,800 million. While shareholders’ equity will increase
slightly in fiscal year 2013 as a result of additions to revenue
reserves, the equity ratio will be at about the level of the previous
year as a result of the rise in total assets.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
7 4
Preview of net assets and financial position for 2014
The net assets and financial position of the Fraport Group will
be characterized by continuing capital expenditure in moder-
nization and maintenance of the Frankfurt site. Depending on
the construction progress of Terminal 3, the investment volume
is expected to be above the level of 2013.
The forecasted increase in investment activity will tend to increase
the outflow of funds in the statement of cash flows and to nega-
tively affect free cash flow. Therefore a deterioration is expected
for free cash flow in 2014 in comparison to 2013.
In connection with planned repayments on non-current liabilities
and the application of IFRS 11, total assets for 2014 are expected
to be below the level of 2013. Shareholders’ equity will increase
further in 2014 as a result of additions to revenue reserves. The
equity ratio will therefore exceed the 2013 figure, but this will
be due to the decline in total assets as well.
The reduced free cash flow, dividend payment and application
of IFRS 11 will result in constant to slightly rising net financial
debt in 2014. A gearing ratio for 2014 at about the level of the
previous year is expected.
The preview of net assets, financial and earnings position again in
the fiscal year 2014 is with reservation for relatively large acquisi-
tion projects in external business.
Preview of revenue and earnings development
of the Fraport segments for 2014
In the fiscal year 2014, Fraport Group expects a further increase
in revenue in the Aviation segment. In addition to the renewed
increase in airport charges as of January 1, 2014 of an average
of 2.9 %, the expected positive development of traffic will have
a revenue-increasing effect. The revenue increase will positively
impact EBITDA and EBIT of the segment for which growth in 2014
is also forecast. The value contribution of the segment will improve
in 2014, but will continue to be negative.
Expected for the segment Retail & Real Estate in the fiscal year
2014 is a continued positive development which above all is
attributable to the higher expected passenger volume and the
accompanying increasing retail revenue. Segment revenue, EBITDA
and EBIT will be above the values of 2013. The value contribution
of the segment will further improve in 2014.
The expected growth in traffic as well as price increases for ground
handling and infrastructure charges will have a positive effect on
the development of result of the segment Ground Handling in
the fiscal year 2014. For revenue, EBITDA and EBIT, higher values
are expected in comparison with the fiscal year 2013. The value
contribution of the segment will increase in 2014, but will continue
to be negative.
For the segment External Activities & Services, a positive organic
development is also expected in 2014. As a result of the applica-
tion of IFRS 11, the proportionate consolidation of, among others,
the Group company Antalya as of January 1, 2014 will cease, so
that the company will be accounted for using the equity method.
Accordingly, a drop is expected for reported segment revenue,
segment EBITDA and segment EBIT in 2014 in comparison with
2013. On the organic level, the Group companies Antalya, Lima
and Twin Star will continue to develop positively in 2014. The
value contribution in the fiscal year 2014, compared with that in
2013, will fall as a result of the application of IFRS 11.
Fraport Annual Report 2012 Group Management Report / Outlook Report
75
Key figures of the business outlook
Actual 2012
Outlook 2013
Preview 2014
Passengers
Frankfurt: 57.5 million
Antalya: 25.0 million,
Lima: 13.3 million, Burgas: 2.4 million,
Varna: 1.2 million
At approximately the previous
year’s level
Growth compared with 2013
Growth in Antalya, Lima, Burgas and
Varna
Growth in Antalya, Lima, Burgas
and Varna compared with 2013
Group earnings
Revenue € 2.44 billion
Increase up to 5 %
Reduction due to IFRS 11,
organic growth
EBITDA: € 850.7 million
Between € 870 million and € 890 million Reduction due to IFRS 11,
Fraport segments
EBIT: € 498.0 million
organic growth
Reduction due to IFRS 11,
organic growth
In the event of attainment of the lower
EBITDA range: At approximately the
level of 2012
In the event of attainment of the upper
range: Increase to around
€ 520 million possible
Result: € 251.6 million
Value added: € 8.5 million
Decrease
Decrease
Slight increase compared with 2013
At approximately the level of 2013
Aviation: Revenue: € 823.4 million,
EBITDA: € 199.9 million,
EBIT: € 77.6 million
Retail & Real Estate:
Revenue: € 452.9 million,
EBITDA: € 333.9 million,
EBIT: € 251.5 million
Ground Handling: Revenue:
€ 649.3 million, EBITDA: € 43.6 million,
EBIT: € 4.7 million
External Activities & Services:
Revenue: € 516.4 million,
EBITDA: € 273.3 million,
EBIT: € 164.2 million
Slight increase in revenue, EBITDA
and EBIT
Further increase in revenue,
EBITDA and EBIT
Significant increase in revenue, EBITDA
and EBIT
Further increase in revenue,
EBITDA and EBIT
Minor increase in revenue, EBITDA
and EBIT at about the level of 2012
Increase in revenue, EBITDA and
EBIT in comparison with 2013
Organic growth of revenue, EBITDA
and EBIT at about the level of 2012
Reduction due to IFRS 11,
organic growth
Net assets and financial position
Capital expenditure for property,
plant and equipment: € 602.9 million
Around € 450 million
Increase compared with 2013
Free cash flow: € – 162.4 million
Improvement, but still negative
Decline compared with 2013
Gearing ratio: 105.0 %
Around 110 %
About the level of 2013
Table 22
Frankfurt am Main, March 5, 2013
Fraport AG
Frankfurt Airport Services Worldwide
The Executive Board
Dr. Schulte
Giesen
Müller
Schmitz
Dr. Zieschang
Where the statements made in this document relate to the future rather than the past, these statements are based on a number of assumptions about future events and are subject to
a number of uncertainties and other factors, many of which are beyond the control of Fraport AG Frankfurt Airport Services Worldwide and which could have the effect that the actual
results will differ materially from these statements. These factors include, but are not limited to, the competitive environment in deregulated markets, regulatory changes, the success
of business operations and a substantial deterioration in basic economic conditions in the markets in which Fraport AG Frankfurt Airport Services Worldwide and its Group companies
operate. Readers are cautioned not to rely to an inappropriately large extent on statements made about the future.
Further InformationGroup Management ReportConsolidated Financial StatementsFraport Annual Report 2012
7 6
from left to right:
Andrea Pal (Northern Capital Gateway LLC, CFO)
Alexander Zinell (Fraport AG, Head of Global Investments and Management)
Volker Wendefeuer (Northern Capital Gateway LLC, COO)
Fraport Annual Report 2012 77
4
Consolidated Financial Statements
Consolidated Income Statement
Consolidated Statement of
Comprehensive Income
Consolidated Statement of Financial Position
Consolidated Statement of Cash Flows
Consolidated Statement of Changes
in Equity
Consolidated Statement of Changes
in Non-current Assets
Segment Reporting
Group Notes
78
79
80
81
82
84
86
88
External Activities & Services With 12 international airport
investments, Fraport is among the world‘s most important airport operators. Alongside concession
contracts in Eastern Europe, Asia and South America, the Fraport investment portfolio includes,
among other things, management contracts in the Middle East and airport shares in China and
Germany. Fraport can selectively utilize and market know-how for techniques and processes
which are gained at the new Pier A-Plus in Frankfurt on a worldwide basis.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 7 8
Consolidated Financial Statements
for the Fiscal Year 2012
Consolidated Income Statement
€ million
Revenue
Change in work-in-process
Other internal work capitalized
Other operating income
Total revenue
Cost of materials
Personnel expenses
Depreciation and amortization
Other operating expenses
Operating result
Interest income
Interest expenses
Result from associated companies
Other financial result
Financial result
Result from ordinary operations
Taxes on income
Group result
thereof profit attributable to non-controlling interests
thereof profit attributable to shareholders of Fraport AG
Earnings per € 10 share in €
basic
diluted
EBIT ( = Operating result)
EBITDA ( = EBIT + Depreciation and amortization)
Notes
2012
2011
(5)
(6)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
(13)
(14)
(15)
(16)
(17)
2,442.0
2,371.2
0.5
44.0
62.7
2,549.2
– 558.1
– 947.8
– 352.7
– 192.6
498.0
52.6
– 226.7
11.7
30.5
– 131.9
366.1
– 114.5
251.6
13.3
238.3
2.59
2.58
498.0
850.7
0.4
40.3
40.9
2,452.8
– 541.1
– 906.3
– 305.7
– 203.1
496.6
47.3
– 191.7
11.5
–16.4
– 149.3
347.3
– 96.5
250.8
10.4
240.4
2.62
2.60
496.6
802.3
Table 23
Fraport Annual Report 2012
Consolidated Financial Statements / Consolidated Income Statement / Consolidated Statement of Comprehensive Income
79
Consolidated Statement of Comprehensive Income
€ million
Group result
Fair value changes of derivatives
Changes directly recognized in equity
thereof realized gains (+)/losses (–)
(Deferred taxes related to those items
Fair value changes of financial instruments held for sale
Changes directly recognized in equity
thereof realized gains (+)/losses (–)
(Deferred taxes related to those items
Foreign currency translation of Group companies outside Germany
Income and expenses from associated companies accounted for using
the equity method directly recognized in equity
(Deferred taxes related to those items
Deferred taxes on other result
Other result after deferred taxes
Comprehensive income
thereof attributable to non-controlling interests
thereof attributable to shareholders of Fraport AG
2012
2011
251.6
250.8
– 62.0
– 29.7
– 32.3
9.6
14.8
26.6
– 11.8
2.4
– 3.1
– 8.2
1.5
13.5
– 41.9
209.7
13.0
196.7
– 70.0
– 24.9
– 45.1
13.5)
10.6
– 0.4
11.0
– 6.6)
3.2
– 3.2
1.9)
8.8
– 25.3
225.5
10.9
214.6
Table 24
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
8 0
Consolidated Statement of Financial Position as at December 31, 2012
Assets
€ million
Non-current assets
Goodwill
Investments in airport operating projects
Other intangible assets
Property, plant and equipment
Investment property
Investments in associated companies
Other financial assets
Other receivables and financial assets
Income tax receivables
Deferred tax assets
Current assets
Inventories
Trade accounts receivable
Other receivables and financial assets
Income tax receivables
Cash and cash equivalents
Liabilities and equity
€ million
Shareholders’ equity
Issued capital
Capital reserve
Revenue reserves
Equity attributable to shareholders of Fraport AG
Non-controlling interests
Non-current liabilities
Financial liabilities
Trade accounts payable
Other liabilities
Deferred tax liabilities
Provisions for pensions and similar obligations
Provisions for income taxes
Other provisions
Current liabilities
Financial liabilities
Trade accounts payable
Other liabilities
Provisions for income taxes
Other provisions
Notes
December 31,
2012
December 31,
2011
(18)
(19)
(20)
(21)
(22)
(23)
(24)
(25)
(26)
(27)
(28)
(29)
(25)
(26)
(30)
38.6
1,031.2
44.2
5,927.3
34.4
136.6
742.7
117.1
19.5
49.2
38.6
1,067.1
43.6
5,643.8
74.6
138.0
648.6
33.5
29.6
48.2
8,140.8
7,765.6
77.7
180.0
385.2
35.0
821.9
1,499.8
9,640.6
81.4
163.9
280.2
6.2
927.1
1,458.8
9,224.4
Table 25
Notes
December 31,
2012
December 31,
2011
(31)
(31)
(31)
(31)
(32)
(33)
(34)
(35)
(36)
(37)
(38)
(39)
(33)
(34)
(35)
(38)
(39)
921.3
588.0
1,400.5
2,909.8
35.7
2,945.5
4,401.0
64.4
1,006.4
101.3
27.4
80.2
215.1
5,895.8
196.6
214.4
163.2
5.3
219.8
799.3
918.8
584.7
1,317.9
2,821.4
29.4
2,850.8
4,034.0
64.9
1,001.0
106.9
22.9
68.1
214.8
5,512.6
219.9
228.9
187.4
2.4
222.4
861.0
9,640.6
9,224.4
Table 26
Fraport Annual Report 2012
Consolidated Financial Statements / Consolidated Statement of Financial Position / Consolidated Statement of Cash Flows
81
Consolidated Statement of Cash Flows
€ million
Notes
2012
2011
Profit attributable to shareholders of Fraport AG
Profit attributable to non-controlling interests
Adjustments for
Taxes on income
Depreciation and amortization
Interest result
Gains/losses from disposal of non-current assets
Others
Fair value changes in associated companies
Changes in inventories
Changes in receivables and financial assets
Changes in liabilities
Changes in provisions
Operating activities
Financial activities
Interest paid
Interest received
Taxes on income paid
Cash flow from operating activities
Investment in airport operating projects
Capital expenditure for other intangible assets
Capital expenditure for property, plant and equipment
Investment property
Capital expenditure for associated companies
Dividends from associated companies
Loans to affiliated companies 1)
Proceeds from disposal of non-current assets
Disposal of consolidated Group companies
Cash flow used in investing activities without investments
in cash deposits and securities
Financial investments in securities and promissory note loans
Proceeds from disposal of securities and promissory note loans
Decrease of time deposits with a duration of more than 3 months
Cash flow used in investing activities
Dividends paid to shareholders of Fraport AG
Dividends paid to non-controlling interests
Capital increase
Cash inflow from long-term financial liabilities
Repayment of long-term financial liabilities
Changes in short-term financial liablities
Cash flow from/ used in financing activities
Change in restricted cash
Change in cash and cash equivalents
Cash and cash equivalents on January 1
(16)
(11)
(13)
(14)
(28)
(25)
(34 – 35)
(37 – 39)
(42)
(19)
(20)
(21)
(22)
(23)
(23)
(23)
(2)
(24)
(30)
(42)
(31)
(31)
(33)
(42)
(30)
Foreign currency translation effects on cash and cash equivalents
Cash and cash equivalents as at December 31
(42), (30)
1) This refers to joint ventures, associated companies and investments.
238.3
13.3
114.5
352.7
174.1
– 33.2
1.7
– 11.7
3.7
– 20.6
– 42.7
19.7
809.8
– 167.3
31.8
– 121.3
553.0
– 89.4
– 5.4
– 598.6
– 22.0
0.0
6.4
– 31.2
4.0
0.0
240.4
10.4
96.5
305.7
144.4
4.8
1.6
– 11.5
– 3.5
7.4
– 20.6
10.0
785.6
– 133.7
59.6
– 92.7
618.8
– 101.4
– 10.0
– 794.9
– 62.6
– 31.6
3.9
– 77.9
2.1
3.2
– 736.2
– 1,069.2
– 563.0
424.0
96.0
– 779.2
– 385.0
223.3
921.1
– 309.8
– 114.8
– 114.8
– 6.7
2.3
652.7
– 163.7
– 151.6
218.2
3.5
– 4.5
132.8
– 1.2
127.1
– 2.7
2.1
0.0
– 261.9
102.7
– 274.6
– 1.9
32.5
99.1
1.2
132.8
Table 27
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
8 2
Consolidated Statement of Changes in Equity
€ million
Notes
Issued capital
Capital reserve
Revenue reserve
Foreign currency
Financial
Revenue reserve
Equity
Non-controlling
Equity (total)
Balance at January 1, 2012
Foreign currency translation effects
Income and expenses from associated companies directly recognized in equity
Fair value changes of financial assets held for sale
Fair value changes of derivatives
Net income (+)/Net costs (–) directly recognized in equity
Issue of shares for employee investment plan
Management-Stock-Options-Plan
Capital increase for exercise of options
Value of performed services (fair value)
Distributions
Group result
Consolidation activities/other changes
Balance at December 31, 2012
Balance at January 1, 2011
Foreign currency translation effects
Income and expenses from associated companies directly recognized in equity
Fair value changes of financial assets held for sale
Fair value changes of derivatives
Net income (+)/Net costs (–) directly recognized in equity
Issue of shares for employee investment plan
Management-Stock-Options-Plan
Capital increase for exercise of options
Value of performed services (fair value)
Distributions
Group result
Consolidation activities/other changes
Balance at December 31, 2011
918.8
584.7
1,384.9
1,317.9
2,821.4
–
–
–
–
0.0
0.5
2.0
–
–
–
–
–
–
–
–
0.0
1.8
1.3
0.2
–
–
–
(31), (32)
921.3
588.0
918.4
582.0
1,217.7
2,718.1
–
–
–
–
0.0
0.4
–
–
–
–
–
–
–
–
–
0.0
1.7
–
1.0
–
–
–
(31), (32)
918.8
584.7
11.5
– 78.5
reserve
instruments
(total)
interests
attributable to
shareholders of
Fraport AG
0.0
– 3.1
–
–
–
–
–
–
–
–
–
–
–
–
–
–
– 114.8
238.3
0.7
1,509.1
1,258.9
0.0
– 114.8
240.4
0.4
1,384.9
11.5
– 2.8
– 0.3
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
8.4
2.5
2.7
6.3
9.0
– 78.5
–
– 6.4
– 9.4
– 22.7
– 38.5
– 117.0
– 43.7
–
– 7.6
4.4
– 31.6
– 34.8
–
–
–
–
–
–
–
–
–
–
–
–
– 2.8
– 6.7
– 9.4
– 22.7
– 41.6
–
–
–
–
–
–
– 114.8
238.3
0.7
1,400.5
2.7
– 1.3
4.4
– 31.6
– 25.8
– 114.8
240.4
0.4
1,317.9
– 2.8
– 6.7
– 9.4
– 22.7
– 41.6
2.3
3.3
0.2
– 114.8
238.3
0.7
2,909.8
2.7
– 1.3
4.4
– 31.6
– 25.8
2.1
0.0
1.0
– 114.8
240.4
0.4
2,821.4
29.4
– 0.3
– 0.3
–
–
–
–
–
–
–
–
–
–
–
–
–
–
– 6.7
13.3
35.7
21.2
0.5
0.5
– 2.7
10.4
29.4
2,850.8
– 3.1
– 6.7
– 9.4
– 22.7
– 41.9
2.3
3.3
0.2
– 121.5
251.6
0.7
2,945.5
2,739.3
3.2
– 1.3
4.4
– 31.6
– 25.3
2.1
0.0
1.0
– 117.5
250.8
0.4
2,850.8
Fraport Annual Report 2012
Consolidated Financial Statements / Consolidated Statement of Changes in Equity
83
Consolidated Statement of Changes in Equity
Balance at January 1, 2012
Foreign currency translation effects
Income and expenses from associated companies directly recognized in equity
Fair value changes of financial assets held for sale
Fair value changes of derivatives
Net income (+)/Net costs (–) directly recognized in equity
Issue of shares for employee investment plan
Management-Stock-Options-Plan
Capital increase for exercise of options
Value of performed services (fair value)
Distributions
Group result
Consolidation activities/other changes
Balance at December 31, 2012
Balance at January 1, 2011
Foreign currency translation effects
Issue of shares for employee investment plan
Management-Stock-Options-Plan
Capital increase for exercise of options
Value of performed services (fair value)
Distributions
Group result
Consolidation activities/other changes
Balance at December 31, 2011
Income and expenses from associated companies directly recognized in equity
Fair value changes of financial assets held for sale
Fair value changes of derivatives
Net income (+)/Net costs (–) directly recognized in equity
(31), (32)
921.3
588.0
918.4
582.0
0.0
0.5
2.0
0.0
0.4
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
–
0.0
1.8
1.3
0.2
0.0
1.7
1.0
(31), (32)
918.8
584.7
€ million
Notes
Issued capital
Capital reserve
Revenue reserve
Foreign currency
reserve
Financial
instruments
Revenue reserve
(total)
Equity
attributable to
shareholders of
Fraport AG
Non-controlling
interests
Equity (total)
918.8
584.7
1,384.9
–
–
–
–
0.0
–
–
–
– 114.8
238.3
0.7
1,509.1
1,258.9
–
–
–
–
0.0
–
–
–
– 114.8
240.4
0.4
1,384.9
11.5
– 2.8
– 0.3
–
–
– 3.1
–
–
–
–
–
–
8.4
2.5
2.7
6.3
–
–
9.0
–
–
–
–
–
–
– 78.5
–
– 6.4
– 9.4
– 22.7
– 38.5
–
–
–
–
–
–
– 117.0
– 43.7
–
– 7.6
4.4
– 31.6
– 34.8
–
–
–
–
–
–
11.5
– 78.5
1,317.9
2,821.4
– 2.8
– 6.7
– 9.4
– 22.7
– 41.6
–
–
–
– 114.8
238.3
0.7
1,400.5
– 2.8
– 6.7
– 9.4
– 22.7
– 41.6
2.3
3.3
0.2
– 114.8
238.3
0.7
2,909.8
1,217.7
2,718.1
2.7
– 1.3
4.4
– 31.6
– 25.8
–
–
–
– 114.8
240.4
0.4
1,317.9
2.7
– 1.3
4.4
– 31.6
– 25.8
2.1
0.0
1.0
– 114.8
240.4
0.4
2,821.4
29.4
– 0.3
–
–
–
– 0.3
–
–
–
– 6.7
13.3
–
35.7
21.2
0.5
–
–
–
0.5
–
–
–
– 2.7
10.4
–
29.4
2,850.8
– 3.1
– 6.7
– 9.4
– 22.7
– 41.9
2.3
3.3
0.2
– 121.5
251.6
0.7
2,945.5
2,739.3
3.2
– 1.3
4.4
– 31.6
– 25.3
2.1
0.0
1.0
– 117.5
250.8
0.4
2,850.8
Table 28
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
Goodwill
Investments
in airport
operating
projects
Other
intangible
assets
Technical
equipment
and
machinery
Other
equipment,
operating
and office
equipment
Lands, land
rights and
buildings
including
buildings
on leased
lands
Construc-
Property,
Investment
Investments
tion in
plant and
property
in associated
progress
equipment
companies
Other
invest -
ments
Available
At fair value
Loans to
Other loans
for sale
securities
affiliated
securities
companies 1)
Other
financial
assets
(total)
8 4
Consolidated Statement of Changes in Non-current Assets
(Notes 18 – 24)
€ million
Acquisition/production costs
Balance at January 1, 2012
Foreign currency translation effects
Additions
Disposals
Reclassifications
135.2
1,322.3
136.4
5,273.4
2,567.7
– 6.9
39.1
– 0.1
5.4
– 5.4
4.0
232.8
– 5.1
198.4
86.3
– 40.8
326.4
Balance at December 31, 2012
135.2
1,354.5
140.3
5,699.5
2,939.6
Accumulated depreciations
Balance at January 1, 2012
Foreign currency translation effects
Impairment losses in accordance with IAS 36
Additions
Disposals
Reclassifications
Write-ups
96.6
255.2
– 2.9
71.0
92.8
1,975.0
1,367.2
8.6
– 5.3
154.5
– 2.7
6.0
85.2
– 37.2
0.9
135.2
1,260.3
120.2
4,407.3
1,758.4
10.9
51.1
Acquisition/production costs
Balance at January 1, 2011
Foreign currency translation effects
Additions
Disposals
Changes in consolidation
Reclassifications
Balance at December 31, 2011
135.2
1,322.3
Accumulated depreciations
Balance at January 1, 2011
Foreign currency translation effects
Impairment losses in accordance with IAS 36
Additions
Disposals
Changes in consolidation
Reclassifications
Write-ups
96.6
186.9
3.1
65.2
10.0
– 5.3
11.5
136.4
177.8
– 23.8
– 0.9
713.0
268.4
– 23.7
– 5.1
569.7
5,273.4
2,567.7
87.8
1,865.9
1,324.9
10.6
– 5.0
– 0.6
6.0
121.0
– 16.7
– 0.6
– 0.6
66.9
– 22.2
– 3.5
1.1
395.7
– 0.2
53.5
– 24.7
12.3
436.6
265.6
– 0.1
32.9
– 24.3
369.1
0.2
38.8
– 18.9
– 0.3
6.8
395.7
255.1
0.2
28.9
– 18.6
– 0.1
0.1
1,015.9
9,252.7
87.5
208.7
52.4
418.9
0.9
161.8
62.1
675.7
9,751.4
207.3
52.4
0.9
189.9
1.1
3,608.9
12.9
70.7
– 7.9
– 27.3
0.0
64.2
18.5
230.3
– 11.5
– 559.0
391.1
– 10.8
– 1,289.9
(total)
– 0.2
602.9
– 82.1
– 21.9
– 0.1
0.0
272.6
– 64.2
6.9
0.0
0.2
876.1
– 77.2
– 6.3
– 0.4
0.2
6.0
216.8
– 57.5
– 4.2
0.6
0.0
– 0.3
12.1
– 6.8
– 6.4
9.3
43.1
– 3.9
– 7.6
208.7
12.2
– 59.2
40.5
0.3
0.2
– 6.9
– 0.4
6.1
62.6
– 0.1
– 15.1
87.5
6.1
6.8
0.3
– 0.3
12.9
34.2
1.4
– 19.2
– 10.9
– 2.7
– 10.6
318.1
– 101.5
– 149.4
486.1
294.2
– 12.2
– 84.7
418.9
0.4
– 20.4
– 7.9
8.8
– 27.3
1,925.5
8,460.3
40.1
167.8
52.4
221.6
0.9
84.1
94.3
1,015.9
9,252.7
52.4
0.9
161.8
1.1
3,447.0
70.7
12.5
– 36.5
0.0
64.2
18.5
58.7
31.2
– 3.1
– 2.7
77.9
– 0.2
38.7
– 0.8
– 28.2
71.8
– 0.1
18.4
25.2
– 2.0
– 55.4
62.1
696.1
0.0
388.0
– 105.4
– 177.6
801.1
47.5
0.0
0.0
0.0
31.5
1.4
– 22.0
58.4
453.3
0.0
397.3
– 14.4
0.0
– 140.1
696.1
0.0
0.0
0.0
0.4
0.0
0.0
– 11.6
47.5
Balance at December 31, 2012
96.6
323.3
96.1
2,132.8
1,416.1
274.1
1.1
3,824.1
70.7
0.0
61.5
Net book values
Balance at December 31, 2012
38.6
1,031.2
44.2
3,566.7
1,523.5
162.5
674.6
5,927.3
34.4
136.6
63.0
497.0
0.9
128.4
53.4
742.7
Balance at December 31, 2011
96.6
255.2
92.8
1,975.0
1,367.2
265.6
1.1
3,608.9
70.7
0.0
64.2
18.5
Net book values
Balance at December 31, 2011
38.6
1,067.1
43.6
3,298.4
1,200.5
130.1
1,014.8
5,643.8
74.6
138.0
60.3
446.2
0.9
97.6
43.6
648.6
1) This refers to joint ventures, associated companies and investments.
Fraport Annual Report 2012
Consolidated Financial Statements / Consolidated Statement of Changes in Non-current Assets
85
Consolidated Statement of Changes in Non-current Assets
(Notes 18 – 24)
€ million
Goodwill
Investments
Other
Lands, land
Technical
Other
intangible
rights and
equipment
equipment,
in airport
operating
projects
assets
and
machinery
operating
and office
equipment
buildings
including
buildings
on leased
lands
Construc-
tion in
progress
Property,
plant and
equipment
(total)
Investment
property
Investments
in associated
companies
Other
invest -
ments
Available
for sale
securities
At fair value
securities
Loans to
affiliated
companies 1)
Other loans
Other
financial
assets
(total)
135.2
1,322.3
136.4
5,273.4
2,567.7
1,015.9
9,252.7
87.5
208.7
52.4
418.9
0.9
161.8
62.1
Balance at December 31, 2012
135.2
1,354.5
140.3
5,699.5
2,939.6
675.7
9,751.4
230.3
– 11.5
– 559.0
– 0.2
602.9
– 82.1
– 21.9
12.2
– 59.2
40.5
– 0.3
12.1
– 6.8
– 6.4
207.3
52.4
318.1
– 101.5
– 149.4
486.1
31.2
– 3.1
0.9
189.9
38.7
– 0.8
– 28.2
71.8
96.6
92.8
1,975.0
1,367.2
1.1
3,608.9
12.9
70.7
– 7.9
– 27.3
0.0
64.2
18.5
Balance at December 31, 2012
96.6
323.3
96.1
2,132.8
1,416.1
274.1
1.1
3,824.1
– 0.1
0.0
272.6
– 64.2
6.9
0.0
0.3
0.2
– 6.9
– 0.4
6.1
70.7
– 2.7
– 10.6
34.2
1.4
– 19.2
– 10.9
– 2.7
0.0
61.5
– 0.1
18.4
696.1
0.0
388.0
– 105.4
– 177.6
801.1
47.5
0.0
0.0
0.0
31.5
1.4
– 22.0
58.4
Balance at December 31, 2012
38.6
1,031.2
44.2
3,566.7
1,523.5
162.5
674.6
5,927.3
34.4
136.6
63.0
497.0
0.9
128.4
53.4
742.7
Acquisition/production costs
Balance at January 1, 2012
Foreign currency translation effects
Additions
Disposals
Reclassifications
Accumulated depreciations
Balance at January 1, 2012
Foreign currency translation effects
Impairment losses in accordance with IAS 36
Additions
Disposals
Reclassifications
Write-ups
Net book values
Acquisition/production costs
Balance at January 1, 2011
Foreign currency translation effects
Additions
Disposals
Changes in consolidation
Reclassifications
Accumulated depreciations
Balance at January 1, 2011
Foreign currency translation effects
Impairment losses in accordance with IAS 36
Additions
Disposals
Changes in consolidation
Reclassifications
Write-ups
Net book values
– 6.9
39.1
255.2
– 2.9
71.0
10.9
51.1
186.9
3.1
65.2
– 0.1
5.4
– 5.4
4.0
232.8
– 5.1
198.4
86.3
– 40.8
326.4
8.6
– 5.3
154.5
– 2.7
6.0
85.2
– 37.2
0.9
10.0
– 5.3
11.5
136.4
10.6
– 5.0
– 0.6
177.8
– 23.8
– 0.9
713.0
268.4
– 23.7
– 5.1
569.7
6.0
121.0
– 16.7
– 0.6
– 0.6
66.9
– 22.2
– 3.5
1.1
395.7
– 0.2
53.5
– 24.7
12.3
436.6
265.6
– 0.1
32.9
– 24.3
369.1
0.2
38.8
– 18.9
– 0.3
6.8
395.7
255.1
0.2
28.9
– 18.6
– 0.1
0.1
Balance at December 31, 2011
135.2
1,322.3
5,273.4
2,567.7
1,015.9
9,252.7
96.6
87.8
1,865.9
1,324.9
1.1
3,447.0
391.1
– 10.8
– 1,289.9
0.2
876.1
– 77.2
– 6.3
– 0.4
0.2
6.0
216.8
– 57.5
– 4.2
0.6
0.0
Balance at December 31, 2011
96.6
255.2
92.8
1,975.0
1,367.2
265.6
1.1
3,608.9
9.3
43.1
– 3.9
– 7.6
208.7
294.2
– 12.2
– 84.7
418.9
52.4
77.9
– 0.2
0.9
161.8
25.2
– 2.0
– 55.4
62.1
0.4
– 0.3
12.9
70.7
– 20.4
– 7.9
8.8
– 27.3
0.0
64.2
18.5
135.2
1,260.3
120.2
4,407.3
1,758.4
1,925.5
8,460.3
40.1
167.8
52.4
221.6
0.9
84.1
94.3
62.6
– 0.1
– 15.1
87.5
6.1
6.8
0.3
70.7
12.5
– 36.5
0.0
64.2
18.5
58.7
453.3
0.0
397.3
– 14.4
0.0
– 140.1
696.1
0.0
0.0
0.0
0.4
0.0
0.0
– 11.6
47.5
Balance at December 31, 2011
38.6
1,067.1
43.6
3,298.4
1,200.5
130.1
1,014.8
5,643.8
74.6
138.0
60.3
446.2
0.9
97.6
43.6
648.6
1) This refers to joint ventures, associated companies and investments.
Table 29
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
8 6
Segment Reporting
(Note 41)
€ million
Revenue
Other income
Third-party revenue
Inter-segment revenue
Total revenue
Segment result EBIT
Depreciation and amortization
of segment assets
EBITDA
Share of result from associated
companies accounted for using the
equity method
Income from investments
Book value of segment assets
Segment liabilities
Acquisition cost of additions to
property, plant and equipment,
investments in airport operating
projects, goodwill, intangible assets
and investment property
Other significant non-cash
effective expenses
Share of associated companies
accounted for using the equity
method
Aviation Retail & Real
Estate
Ground
Handling
External
Activities &
Services
Adjustments
Group
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
823.4
774.9
40.4
31.7
863.8
806.6
73.1
67.6
936.9
874.2
77.6
96.1
122.3
91.7
199.9
187.8
0.0
0.0
0.0
0.0
452.9
444.7
14.4
14.8
467.3
459.5
217.3
195.2
684.6
654.7
251.5
232.1
82.4
73.2
333.9
305.3
0.0
0.0
0.0
0.0
4,142.0
4,023.2
2,670.9
2,483.1
2,681.0
2,531.9
1,858.4
1,665.1
290.6
526.0
64.2
136.1
0.0
0.0
199.4
269.7
32.7
38.3
0.0
0.0
649.3
655.5
24.9
17.9
674.2
673.4
31.4
27.7
705.6
701.1
4.7
20.3
38.9
34.2
43.6
54.5
1.2
1.5
0.0
0.0
777.6
705.9
567.3
538.9
86.5
78.4
8.3
8.4
2.6
2.6
516.4
496.1
27.5
17.2
543.9
513.3
338.6
327.6
882.5
840.9
164.2
148.1
109.1
106.6
273.3
254.7
10.5
10.0
0.0
0.0
1,946.4
1,928.2
1,401.6
1,460.3
83.1
125.7
3.7
9.3
134.0
135.4
–
–
–
–
–
–
– 660.4
– 618.1
– 660.4
– 618.1
0.0
0.0
–
–
–
–
–
–
–
–
2,442.0
2,371.2
107.2
81.6
2,549.2
2,452.8
–
–
2,549.2
2,452.8
498.0
496.6
352.7
305.7
850.7
802.3
11.7
11.5
0.0
0.0
103.7
84.0
186.8
177.4
9,640.6
9,224.4
6,695.1
6,373.6
–
–
–
–
–
–
659.6
999.8
108.9
192.1
136.6
138.0
Table 30
Fraport Annual Report 2012
Consolidated Financial Statements / Segment Reporting
87
Geographical Information
€ million
Revenue
Other income
Third-party revenue
Book value of segment assets
Acquisition cost of additions to
property, plant and equipment,
investments in airport operating pro-
jects, goodwill, intangible assets and
investment property
Germany
Rest of
Europe
Asia
Rest of
World
Adjustments
Group
2012
2011
2012
2011
2012
2011
2012
2011
2,000.9
1,953.3
96.4
77.0
2,097.3
2,030.3
7,889.6
7,586.2
69.8
83.9
0.3
3.3
70.1
87.2
377.9
215.5
164.8
159.8
6.6
1.0
171.4
160.8
926.4
983.9
206.5
174.2
3.9
0.3
210.4
174.5
343.0
354.8
2,442.0
2,371.2
107.2
81.6
–
–
2,549.2
2,452.8
103.7
84.0
9,640.6
9,224.4
2012
2011
614.6
937.9
27.9
38.5
6.3
9.0
10.8
14.4
–
–
659.6
999.8
Table 31
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
8 8
Group Notes for the Fiscal Year 2012
Notes to the Consolidation and Accounting Policies
1
Basis for the preparation of the consolidated financial statements
Fraport AG Frankfurt Airport Services Worldwide, Frankfurt/Main (hereinafter: Fraport AG) prepared its consolidated
financial statements as of December 31, 2012 in accordance with the standards issued by the International Accounting
Standards Board (IASB).
We have applied the International Financial Reporting Standards (IFRS) for the consolidated financial statements and
the interpretations about them issued by the International Financial Reporting Committee (IFRC) as adopted in the
European Union (EU), in force on the balance sheet date, completely and without any restriction in recognition,
measurement and disclosure in the 2012 consolidated financial statements. Pursuant to Section 315a (1) of the German
Commercial Code (HGB), the supplementary disclosures in the notes to the financial statements were provided
applying Sections 313, 314 of the HGB.
As the capital market-oriented parent company of the Fraport Group, Fraport AG must prepare its consolidated financial
statements in accordance with IFRS pursuant to Directive (EC) No. 1606/2002 of the European Parliament and the
Council dated July 19, 2002 (new version dated April 9, 2008), regarding the application of IFRS.
The consolidated income statement is prepared according to the nature of expenditure method.
The consolidated financial statements are prepared in Euros (€). All figures are in € million unless stated otherwise.
The business activities and the organization of the Fraport Group are presented in the management report.
The consolidated financial statements of Fraport AG for the 2012 fiscal year were approved for publication by the
Executive Board on March 5, 2013.
2
Companies included in consolidation and balance sheet date
Fraport AG and all affiliated companies are included in the consolidated financial statements in full and joint ventures
are consolidated on a proportionate basis. Investments in associated companies are accounted for using the equity
method in the consolidated financial statements.
Companies whose financial and business policies can be determined by Fraport AG are considered affiliated com-
panies. Inclusion in the consolidated financial statements commences on the date when control is obtained. Joint
ventures are directly or indirectly managed by Fraport AG in conjunction with other partners. Associated companies
are companies in which the Fraport Group has invested and where it is able to exercise major influence on financial
and business policies.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidation and Accounting Policies
89
The fiscal year of Fraport AG and all consolidated companies is the calendar year.
The consolidated financial statements of Fraport AG are dominated by the parent company. The companies included
in the consolidated financial statements changed as follows during the fiscal year 2012:
Companies included in consolidation
Germany Other countries
Total
Fraport AG
Fully consolidated subsidiaries
Dec. 31, 2011
Additions
Disposals
Dec. 31, 2012
Joint ventures using proportionate consolidation
Dec. 31, 2011
Additions
Disposals
Dec. 31, 2012
Companies consolidated excluding associates on Dec. 31, 2011
Companies consolidated excluding associates on Dec. 31, 2012
Investments in associated companies using the equity method for accounting
Dec. 31, 2011
Additions
Disposals
Dec. 31, 2012
Companies consolidated including associates on Dec. 31, 2011
Companies consolidated including associates on Dec. 31, 2012
1
24
0
0
24
7
0
0
7
32
32
3
0
0
3
35
35
0
14
0
– 1
13
6
0
0
6
20
19
3
0
0
3
23
22
1
38
0
– 1
37
13
0
0
13
52
51
6
0
0
6
58
57
Table 32
The subsidiary Fraport Airport Operations India Private Ltd., Bangalore, India, was disposed of. The deconsolidation
of the company had no significant impact on the consolidated financial statements of the Fraport Group.
The companies GCS Gesellschaft für Cleaning Service mbH & Co. Airport Frankfurt/Main KG, Frankfurt am Main, and
FSG Flughafen-Service GmbH, Frankfurt am Main, in which Fraport AG holds 40 % and 33.33 %, respectively, have
been included in the consolidated financial statements as affiliated companies. Due to contractual stipulations, Fraport AG
has actual control over these companies.
Fraport AG holds a 52 % capital share in the equity of the company N*ICE Aircraft Services & Support GmbH, Frankfurt
am Main. The company is only included in the consolidated financial statements on a proportionate basis of 52 % due
to joint management and control, which were contractually agreed.
A complete list of shareholdings for the Fraport Group pursuant to Section 313 (2) of the HGB is found at the end of
the Group notes.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
9 0
The joint ventures have the following proportional impact on the consolidated financial position and the consolidated
income statement (before consolidation adjustments):
Joint ventures
€ million
Non-current assets
Current assets
Shareholders’ equity
Non-current liabilities
Current liabilities
Income
Expenses
2012
2011
599.8
152.9
– 7.2
667.1
92.8
191.0
161.6
630.6
152.7
– 32.4
728.9
86.9
182.3
158.2
Table 33
3
Consolidation principles
Acquisition accounting of all business combinations uses the purchase method.
All identifiable acquired assets and the acquired liabilities, including contingent liabilities, are recorded at fair value
on the acquisition date. The acquisition cost for corporate acquisitions corresponds to the fair value of the transferred
assets and liabilities. Incidental acquisition costs are recorded as expenses as they are incurred. Conditional purchase
price payments are recorded at fair value on the acquisition date. Subsequent changes in the fair value of a condi-
tional consideration which is deemed to be an asset or a liability will be recognized either through profit or loss or as
a change in other income. Non-controlling interests are valued at fair value or the corresponding proportion of the
identifiable net assets of the acquired company. In the case of step-by-step company acquisitions, the shares already
held in the acquired company are revalued through profit or loss at fair value on the date that control is obtained.
Goodwill is recorded insofar as the sum of the consideration that is transferred, the amount of all non-controlling
interests in the acquired company and the equity that was previously held and revalued on the acquisition date is
higher than the balance of the acquired and revalued identifiable assets and liabilities. If the comparison results in a
lower amount, a gain on acquisition at a price below the fair value is recorded after the assigned values are reviewed.
Fraport has included its share of the assets, liabilities and shareholders’ equity (after consolidation) and the income
and expense items of joint ventures using proportionate consolidation in the consolidated financial statements.
Associated companies are in the consolidated financial statements accounted for using the equity method. Initial
measurements of associated companies are carried out at fair value at the time of acquisition, similarly to acquisition
accounting for subsidiaries and joint ventures. Subsequent changes in the shareholders’ equity of the associated
companies and the adjustment of the difference from initial valuation change the amount accounted for at equity.
Inter-company profits and losses on trade accounts payable between companies included in the consolidated financial
statements were minimal. Elimination was waived based on immateriality, since the impact on the assets and earnings
of the Group would have been negligible.
Loans, receivables and liabilities, contingencies and other financial commitments between companies included in
the consolidated financial statements, internal expenses and income as well as income from Group investments are
eliminated.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidation and Accounting Policies
91
Currency translation
Annual financial statements of companies outside Germany denominated in foreign currencies are translated on the
basis of the functional currency concept in accordance with IAS 21. The assets and liabilities of the consolidated
companies are translated at the exchange rate on the balance sheet date and equity at the historical exchange rate,
whereas simplifying the expenses and income are translated at annual average exchange rates, since the companies
are financially, economically and organizationally independent. Foreign currency translation differences are included
directly in equity without affecting profit or loss.
The following exchange rates were used for the material currency translation purposes:
Exchange rates
Unit/Currency in €
1 US Dollar (US-$)
1 Turkish New Lira (TRY)
1 Renminbi Yuan (CNY)
1 Hong Kong Dollar (HKD)
1 New Sol (PEN)
100 Russian Roubles (RUB)
Exchange rate
Dec. 31, 2012
Average
exchange rate
2012
Exchange rate
Dec. 31, 2011
Average
exchange rate
2011
0.7579
0.4246
0.1216
0.0978
0.2971
2.4796
0.7783
0.4322
0.1234
0.1003
0.2948
2.5046
0.7729
0.4093
0.1226
0.0995
0.2863
2.3943
0.7184
0.4278
0.1112
0.0923
0.2608
2.4459
Table 34
Business transactions in foreign currencies are accounted at the exchange rate on the date of the business transaction.
Measurement of the resulting assets and liabilities that are nominally bound in the foreign currency on the balance
sheet date takes place at the exchange rate on the balance sheet date. Translation differences were generally recorded
through profit or loss.
4
Accounting principles
Uniform accounting policies
The financial statements of the Fraport Group are based on accounting policies that are applied consistently through-
out the Group.
Recognition of income and expenses
Revenue and other income are recognized in accordance with IAS 18 when the goods have been delivered or the
service rendered, when it is reasonably probable that an economic benefit will be received and when this benefit can
be quantified reliably. In addition, the significant risks and rewards must have been transferred to the buyer.
Income and expenses from the same transactions and/or events are recognized in the same period.
Traffic charges for the provision of the airport infrastructure are divided into those subject to regulation (according to
Section 19b of the German Air Traffic Act [LuftVG]), which include among others landing and take-off charges, parking
charges, passenger and security charges and other charges not subject to authorization, such as ground handling
services and ground handling infrastructure.
In addition, the Fraport Group mainly generates revenue from revenue-based payments, renting, car parking and
security services.
In the context of the airport operating projects in other countries (see note 49), income and expenses from the opera-
tion of airport infrastructure and the provision of construction and expansion services are generated.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
9 2
Revenue from the operation of airport infrastructure is recognized in accordance with IAS 18 when the services have
been rendered, when it is reasonably probable that an economic benefit will be received and when this benefit can
be quantified reliably.
Income and expenses from the provision of construction and expansion services are recorded pursuant to IAS 11.
The contract costs are expensed as incurred according to IAS 11.32, since the result of production orders cannot be
estimated reliably. Revenue from customer-specific contract production is recorded in the amount of the incurred
contract costs expected to be recovered.
Judgment and uncertainty of estimates
The presentation of the net assets, financial and earnings position in the consolidated financial statements depends on
accounting and valuation methods as well as assumptions and estimates. Actual amounts may deviate from the estimates.
The listed material estimates as well as the uncertainties associated with the accounting and valuation methods selected
are essential in order to understand the underlying financial reporting risks as well as the impact these estimates,
assumptions and uncertainties may have on the consolidated financial statements.
These assumptions and estimates relate, amongst other things, to accounting policies and the measurement of provi-
sions. Material parameters for the measurement of provisions for pensions and similar obligations are the anticipated
return on plan assets and the discount factor as well as trend factors of key valuation parameters.
When an acquired company is consolidated for the first time, all identifiable assets, liabilities and contingent liabilities
are to be recognized at their fair value at the time of acquisition. One of the main estimates relates to the determina-
tion of the fair value of these assets and liabilities at the time of acquisition. The measurement is usually based on
independent expert reports. Marketable assets are recognized at market or stock exchange prices. If intangible assets
are identified, the fair value is usually measured by an independent external expert using appropriate measurement
methods which are primarily based on future expected cash flows. These measurements are considerably influenced
by assumptions about the developments of future cash flows as well as the applied discount rates.
The impairment test for goodwill and other assets within the scope of IAS 36 is based on assumptions about future
developments. Fraport AG carries out these tests annually as well as when there are reasons to believe that goodwill
has been impaired. In the case of cash generating units, the recoverable amount is determined. This corresponds to
the higher of fair value less costs to sell and value in use. The measurement of the value in use includes adjustments
and estimates regarding the forecasting and discounting of future cash flows. The underlying assumptions could
change on account of unforeseeable events and may therefore impact the asset, financial and earnings positions.
In connection with the write-down on items of property, plant and equipment in the Ground Handling segment car-
ried out in previous years (€ 20.0 million), it may be possible for the underlying assumptions to change in the future,
which would make it necessary to considerably adjust the carrying amount of these assets.
Deferred tax assets are recognized if it is probable that future tax benefits can be realized. The actual tax on earnings
in future fiscal years and therefore the actual usability of deferred tax assets could differ from the forecasts at the time
the deferred tax assets are recognized.
In addition, material estimates and assumptions are each presented in relation to the accounting and valuation methods
for specific end-of-year items listed subsequently.
Fraport Annual Report 2012 Group Notes / Notes to the Consolidation and Accounting Policies
93
Goodwill
After the initial recognition of goodwill acquired in the course of a business combination (see note 3), it is measured
at acquisition cost less any accumulated impairment losses.
For the purpose of impairment testing, goodwill acquired in the course of a business combination is assigned to the
cash generating units of the Group on the acquisition date. The Group companies within the Fraport Group constitute
independent cash generating units to which goodwill is allocated. Goodwill impairment testing is performed by com-
paring the recoverable amount of a cash generating unit to its carrying amount, including goodwill. The recoverable
amount corresponds to the higher of the fair value less costs to sell and the value in use. Since net selling prices for
the cash generating units in the Fraport Group cannot be reliably determined, the value in use is based on a company
valuation model (discounted cash flow method). All goodwill items are tested for impairment at least once a year in
accordance with IAS 36.88 – 99. In case of an impairment an impairment loss is recognized. Goodwill is not written
up when the reasons for impairment are eliminated. Goodwill is not subject to regular depreciation and amortization.
Investment in airport operating projects
To allow for better transparency, investments in airport operating projects are presented separately. These consist of
concessions for the operations of airports in Varna and Burgas (Bulgaria), Lima (Peru) and Antalya (Turkey) acquired
within the scope of service concession agreements (see note 49). The service concession agreements for the airport
and/or terminal operating projects fall under IFRIC 12.17 and are recognized according to the intangible asset model,
since Fraport receives the right in each case to charge airport users a fee in exchange for the obligation to pay conces-
sion fees and provide construction and expansion services. The contractual obligations to pay concession fees that are
not variable but are fixed in the amount based on the contract are recorded as financial liabilities. These liabilities are
initially recognized at fair value using a risk-adjusted discount rate. Airport operation rights received as consideration
are recorded as intangible assets at the same amount and reported under investments in airport operating projects.
The rights received as consideration for construction and expansion services are recognized at the cost of production
in the period in which the production costs are incurred. Income and expenses from construction and expansion
services are generally recorded pursuant to IFRIC 12.14 and in accordance with IAS 11.
The recognized financial liabilities are subsequently measured at amortized cost using the effective interest method.
Subsequent measurement of the capitalized rights is at the cost of acquisition or production less cumulative regular
depreciation and amortization over the term of the concessions.
Where necessary, impairment losses are recognized in accordance with IAS 36.
Intangible assets
Acquired intangible assets (IAS 38) are recognized at acquisition cost. Their useful life is limited. They are amortized
over their useful lives using straight-line depreciation. Where necessary, impairment losses are recognized in accord-
ance with IAS 36. If the recoverable amount of the asset later exceeds the carrying amount after an impairment loss
has been recognized, the asset is written up to a maximum of the recoverable amount. The write-up through profit
or loss is limited to the amortized carrying amount that would have resulted if no impairment losses had been rec-
ognized in the past.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 9 4
Property, plant and equipment
Property, plant and equipment (IAS 16) are recognized at the cost of acquisition or production less straight-line
depreciation and any impairment losses under IAS 36, where applicable. If the recoverable amount of the asset later
exceeds the carrying amount after an impairment loss has been recognized pursuant to IAS 36, the asset is written
up to a maximum of the recoverable amount. The write-up through profit or loss is limited to the amortized carrying
amount that would have resulted if no impairment losses had been recognized in the past. Subsequent acquisition costs
are capitalized. Production costs essentially include all direct costs including appropriate overheads. As of January 1,
2009, the borrowing costs of all property, plant and equipment that constitutes qualifying assets produced after
January 1, 2000 (see IAS 23 “borrowing costs”), are recognized.
Each part of an item of property, plant and equipment with a acquisition cost that is significant in relation to the total
value of the item is measured and depreciated separately with regard to its useful life and the appropriate deprecia-
tion method.
Government grants and third-party grants related to assets are included in liabilities and are released straight-line over
the useful life of the asset for which the grant has been given. Grants related to income are included as other operating
income through profit or loss (IAS 20).
Investment property
Investment property (IAS 40) includes property held to earn long-term lease revenue or capital appreciation, which
is not owner-occupied; it also consists of land held for a currently undetermined future use.
If land as yet held for an undetermined use is now defined as being held for sale and development has begun, it is
transferred to inventories; if it is intended for owner-occupation, it is transferred to property, plant and equipment.
Investment property is measured initially at the cost of acquisition or production. Subsequent measurement is at the
cost of acquisition or production less regular straight-line depreciation and impairment losses under IAS 36, where
applicable. As of January 1, 2009, the borrowing costs of all investment property that constitutes qualifying assets
produced after January 1, 2000 (see IAS 23 “borrowing costs”) are recognized.
Borrowing costs
Effective January 1, 2009, borrowing costs (IAS 23) that relate to the acquisition, construction or production of a
qualifying asset are required to be capitalized as part of the acquisition/production cost of such assets. Qualifying
assets whose production began after January 1, 2000, are recognized. Due to the scope of Fraport’s capital expen-
ditures, qualifying assets are determined on the basis of planned investment measures. If the volume of the planned
measures exceeds € 25 million and if the construction period is more than 1 year, all assets produced as part of the
measure are recognized as qualifying assets. Fraport includes interest, financing charges in respect to financing leases
and exchange differences in borrowing costs to the extent that they are regarded as an adjustment to interest costs.
Fraport Annual Report 2012 Group Notes / Notes to the Consolidation and Accounting Policies
95
Regular depreciation
Regular depreciation is determined by the straight-line method on the basis of the following useful lives, which apply
throughout the Group:
Regular depreciation
Investments in airport operating projects
Other intangible assets
Buildings (structural sections)
Technical buildings
Building equipment
Ground equipment
Flight operating areas
Take-off/landing runways
Aprons
Taxiway bridges
Taxiways
Other technical equipment and machinery
Vehicles
Other equipment, operating and office equipment
17 – 35 years
3 – 25 years
30 – 80 years
20 – 40 years
12 – 38 years
5 – 50 years
20 years
50 years
80 years
20 years
3 – 33 years
4 – 20 years
4 – 25 years
Table 35
The expected useful life of investment property corresponds to the expected useful life of the property which is part
of property, plant and equipment.
Impairment of assets according to IAS 36
Impairment losses on assets are recognized according to IAS 36. Assets are tested for impairment in case of indica-
tions of an impairment loss. An impairment loss is recognized for assets when the recoverable amount of the asset
has fallen below its carrying amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and
its value in use. The value in use is the present value of the estimated future cash in- and outflows from the use and
subsequent disposal of the asset.
Regardless of indicators for possible impairment losses, assets are subject to an annual impairment test pursuant to IAS 36.
Since it is not generally possible in the Fraport Group to allocate cash flows to individual assets, so-called cash generat-
ing units are recognized. A cash generating unit is defined as the smallest identifiable group of assets that generates
cash in- and outflows that are largely independent of the cash in- and outflows from other assets or groups of assets.
Leasing
Agreements that transfer the right to use a specific asset for a specified period of time in exchange for compensation
are deemed to be leases. Fraport is both a lessor and a lessee. A decision whether economic ownership is assigned to
the lessor (operate lease) or the lessee (finance lease) is made based on which party bears the risks and opportunities
associated with the respective leased asset.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
9 6
Finance lease
If economic ownership can be attributed to the Fraport Group as lessee, the lease is recognized at the inception of the
lease at the present value of the minimum lease payments plus any incidental costs that are paid or at the fair value of
the lease object if this value is lower. This asset is depreciated straight-line over its useful life or the lease term, if this
is shorter. Impairment losses are recorded against the carrying amount of the capitalized leased asset. If economic
ownership cannot be attributed to the Fraport Group as the lessor, a receivable equivalent to the present value of the
lease payments is recognized.
Operate lease
If economic ownership of the leased assets remains with the lessor and Fraport AG assumes the role of the lessee,
lease payments are considered on a linear basis over the lease term. If Fraport assumes the role of the lessor, leased
assets are recognized at the cost of acquisition or production and amortized accordingly. Lease revenue is generally
recognized on a linear basis over the lease term.
Investments in associated companies
Investments in associated companies are recognized at the pro rate share of equity, including goodwill.
Other financial assets
Other financial assets include securities in non-current assets, loans and other investments. Other financial assets are
recognized at fair value on the settlement date, i.e. at the time the asset is created or transferred. Non-current low-
interest or interest-free loans are recognized at their present value.
The subsequent measurement of financial assets depends on the respective category according to IAS 39 (see note 40).
Loans are assigned to the “loans and receivables” category. These financial instruments are measured at amortized
cost using the effective interest method.
Other investments are assigned to the “available for sale” category on the balance sheet date. Due to a lack of an
active market, they are generally measured at acquisition cost. They will be assigned at fair values as long as they can
be reliably calculated and the gains or losses are included directly in equity without affecting profit or loss.
Other securities are assigned to the “available for sale” category. Subsequent measurement is at fair value, taking into
account the effective interest method and gains or losses are included directly in equity without affecting profit or loss.
Inventories
In addition to work-in-process, raw materials, consumables and supplies, the inventories include property held for
sale within the normal operating cycle.
Work-in-process, raw materials, consumables and supplies are measured at the lower of acquisition or production
cost or net realizable value. Acquisition or production cost is generally calculated using the average cost method.
Production costs include direct costs and production overheads.
Property held for sale within the ordinary course of business is also measured at the lower of acquisition or production
cost or net realizable value.
Fraport Annual Report 2012 Group Notes / Notes to the Consolidation and Accounting Policies
97
The subsequent production cost required for land development is estimated for the entire marketable land area on
the basis of specific cost unit rates for individual development measures. Depending on the land sales recognized in
the respective reporting year, the development costs are allocated on a pro rata basis to the remaining land area to
be sold. Net realizable value is the estimated selling price less the costs incurred until the time of sale, discounted
over the planned selling period.
The opinion of an external expert regarding the fair value of the land being sold, as well as information about previous
land sales, forms the basis for the calculation of the estimated selling price.
As of January 1, 2009, the borrowing costs of all inventories that constitute qualifying assets produced after January 1,
2000 (see IAS 23 “borrowing costs”), are recognized.
If a write-down made in previous periods is no longer necessary, a write-up is recognized (IAS 2).
Receivables and other assets
Receivables and other assets mainly consist of trade accounts receivable, receivables from banks, other receivables,
derivatives and marketable securities. These assets are recognized at cost, which is usually the same as fair value, on
the settlement date, i.e. at the time the asset is created or economic ownership is transferred. Non-current low-interest
or non-interest bearing receivables are recognized at their present value at the time of origination or acquisition.
Trade accounts receivable, receivables from banks and all other receivables with fixed or ascertainable payments that
are not listed in an active market are assigned to the “loans and receivables” category. Subsequent measurement is
carried out at amortized cost, based on the effective interest method. Receivables in foreign currencies are translated
at the exchange rate on the balance sheet date.
Securities are allocated to the “available for sale” category. They are measured at fair value, according to the effective
interest method. Gains or losses are included directly in equity without affecting profit or loss.
Impairment of financial assets
On each balance sheet date, the carrying amounts of financial assets which are not measured at fair value through
profit or loss are assessed to see whether there is any objective evidence (such as considerable financial difficulties
of the debtor, high probability of insolvency proceedings against the debtor, a permanent decline of the fair value
below amortized cost) that the asset may be impaired.
In general, impairment losses are recognized by reducing the value of the receivable or the financial asset.
The impairment of trade accounts receivable is recognized in an item-by-item allowance account through profit or
loss. If there is an indication in subsequent periods that the reasons for an impairment loss no longer exist, a write-up
is recognized through profit or loss. If a receivable already impaired is designated as non-recoverable, the asset is
derecognized.
Cash and cash equivalents
Cash and cash equivalents basically include cash, cash accounts and short-term cash assets with banks maturing in
3 months or less. Cash and cash equivalents with a term to maturity of more than 3 months from the time of acquisition
are recorded in this item if their values do not fluctuate significantly and they can be liquidated at any time without
deduction for risk. Cash and cash equivalents are recognized at nominal value. Cash in foreign currencies is translated
at the exchange rate on the balance sheet date.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 9 8
Treasury shares
Repurchased treasury shares are deducted from the issued capital and the capital reserve (IAS 32).
Recognition of income taxes
Income taxes are recognized using the liability method according to IAS 12. All tax expenses and refunds directly
related to income are recorded as income taxes. These also include penalties and interest on arrears from the date it
appears probable that a reduction of taxes will be denied.
Current taxes are recognized on the date when the liability for income taxes is incurred.
Deferred taxes are accounted for under IAS 12 using the liability method based on temporary differences on a case
by case basis. Deferred taxes are recognized for temporary differences between the IFRS balance sheets of the single
entities and their tax bases and differences arising from unused loss carry-forwards and consolidation adjustments.
The recognition of goodwill that is not deductible for tax purposes does not lead to deferred taxes.
If the carrying amount of an asset in the IFRS financial position exceeds its tax base (e.g. non-current assets depreciated
on a linear basis) and if the difference is temporary, a deferred tax liability is recognized. Under IFRS deferred tax assets
are recognized for financial position differences and for the carry forward of unused tax losses, to the extent that it is
probable that taxable profit will be available against which the unused tax losses and unused tax credits can be utilized.
Deferred taxes are calculated at future tax rates insofar as these have already been legally established and/or the
legislative process is largely completed. Changes in deferred taxes on the balance sheet generally lead to deferred
tax income or expense. When transactions resulting in a change to deferred taxes are recorded directly in equity, the
change to deferred taxes is also included directly in equity.
Provisions for pensions and similar obligations
The provisions for pensions relate to defined benefit plans and have been calculated in accordance with IAS 19 under
the application of actuarial methods and an interest rate of 3.17 % (previous year: 4.49 %). Actuarial gains or losses are
recognized directly through profit or loss. As in the previous year, the calculations did not include salary increases for
the active members of the Executive Board. As far as former members of the Executive Board are concerned, pension
increase assumptions are based on German legislation about the adjustment of salary and pension payments by the
federal and state governments for 2003/2004 (BBVAnpG). In the dynamic sampling of the relevant remuneration for
employees not subject to collective agreements and managing employees, 11.0 % was included in the calculation as
in the previous year. The calculation of provisions for pensions was based on the 2005G mortality tables of Professor
Heubeck.
Please refer to notes 37 and 52 for a description of the plan.
Provisions for taxes
Provisions for current tax are recognized for tax expected to be payable in the reporting year and/or previous years
taking into account anticipated risks.
Other provisions
Other provisions are recognized in the amount required to settle the obligations. They are recognized to the extent
that there is a current commitment to third parties. In addition, they must be the result of a past event, lead to a future
outflow of resources and more likely than not be needed to settle the obligation (IAS 37).
Non-current provisions with terms of more than 1 year are discounted at a capital market interest rate with a matching
maturity, taking future cost increases into account, provided that the effect of the time value of money is material.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidation and Accounting Policies
99
Liabilities
Liabilities are recognized in the amount of the consideration received. Liabilities in foreign currencies are translated
at the exchange rate on the balance sheet date. Non-current low-interest or non-interest bearing liabilities are carried
at their present value at the time of addition.
Finance lease liabilities are reported at the lower of the present value of the minimum lease payments and the fair
value of the leased asset.
Subsequent measurement is based on the effective interest method at amortized cost.
Derivative financial instruments, hedging transactions
The Fraport Group uses derivative financial instruments to hedge existing and future interest and exchange rate risks
as well as raw material price risks (diesel). Derivative financial instruments with positive or negative market values are
measured at fair value in accordance with IAS 39. Gains or losses on cash flow hedges are recorded in the reserve for
financial instruments without affecting profit or loss. Corresponding to this, deferred taxes on the fair value of cash
flow hedges are also included directly in shareholders’ equity. The effectiveness of the cash flow hedges is assessed
on a regular basis. Ineffective cash flow hedges are recorded through profit or loss.
If the criteria for a cash flow hedge are not met, the derivative financial instruments are designated as held for trading.
In this case, the changes in the fair value and the related deferred taxes are recognized through profit or loss.
Derivative financial instruments are recognized at the trade date.
Stock options
The subscription rights issued on shares of Fraport AG in connection with the contingent capital have been recog-
nized and measured in accordance with IFRS 2. Performance takes place by issuing shares. The measurement of the
share-based payments is based on fair value on the date the option is granted. The cost of the payment is allocated as
personnel expenses over the period during which employees have an unrestricted claim to the instruments.
Virtual stock options
Virtual stock options are being issued effective January 1, 2010, as part of compensation for the Executive Board and
Senior Managers. This virtual stock options program (LTIP) replaces the previous stock options program (Fraport
Management Stock Options Plan 2005). They are paid out in cash immediately at the end of the performance period
of 4 years. The measurement of virtual shares is at fair value under IFRS 2. Up to the end of the performance period,
the fair value is determined on each reporting date and on the date of performance and is recorded in personnel
expenses on a pro rata basis.
New standards, interpretations and changes
Of the new standards, interpretations and changes, Fraport has first applied those for which application was manda-
tory; i.e. those applicable to fiscal years beginning on or before January 1, 2012. Fraport did not exercise the option
to apply standards, interpretations and changes early.
On October 7, 2010, the IASB published changes to IFRS 7 “Financial Instruments: Disclosures”. The changes relate to
expanded disclosure requirements in the context of transferring financial assets. With that, the link between financial
assets that are not completely derecognized and the corresponding financial liabilities will become more compre-
hensible. Furthermore, the type and, especially, the risk of continuing involvement of derecognized financial assets
can be better rated. Application of the changes to IFRS 7 is mandatory for fiscal years beginning on or after July 1,
2011. Comparative figures are not required in the first year of application. The application of the changes to IFRS 7
did not have a material impact on the reporting of the net asset, financial and earnings positions of the Fraport Group.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 0 0
Standards which have not been applied prematurely
For the following new or amended standards and interpretations, which the Fraport Group is not obliged to adopt
until future fiscal years, there will be no early application. Unless otherwise specified, the effects on the Fraport Group’s
financial statements are assessed presently.
Standards, interpretations and amendments published and accepted into European law by the
EU Commission
On December 20, 2010, the IASB published changes to IAS 12 “Income Taxes”. This is an amendment in regards to
calculating deferred taxes on investment property recognized at fair value (IAS 40.33). The change also includes SIC 21
“Income Taxes – Recovery of Revalued Non-Depreciable Assets”. With investment properties it is often difficult to
assess whether to reverse existing taxable temporary differences in the context of ongoing use or in the course of sale.
The amendments to IAS 12 clarify that the value of deferred taxes on the basis of the rebuttable presumption is still
to occur and that the reversal by sale is occurring now. The amendments are to be first applied in fiscal years start-
ing on or after January 1, 2013. Earlier application is permitted. The amendments were first adopted into EU law on
December 29, 2012. In the Fraport Group, investment property is recognized according to the acquisition cost model
(IAS 40.56). The changes to IAS 12 do not impact the net asset, financial and earning position of the Fraport Group.
On June 16, 2011, the IASB published changes to IAS 1 “Presentation of Financial Statements”. The way other income
is presented in the statement of comprehensive income is to be changed. Going forward, the other income items
that may be subsequently reclassified to profit and loss (recycling) should be kept separate from the other income
items that are not reclassified. If the items are shown gross i.e., without netting with an effect on deferred taxes, they
may no longer be shown as one total; instead, they should be allocated to both groups of items. The amendment was
adopted under EU law on June 6, 2012 and is applicable for the first time for fiscal years starting on or after July 1, 2012.
On June 16, 2011, the IASB published a revised version of IAS 19 “Employee Benefits”. In addition to extensive ben-
efit disclosure requirements for employees, the following amendments are to be especially noted: IAS 19 currently
permits choices on how so-calledactuarial gains and losses were accounted for in financial statements. They can be
listed in the income statement, under other income or on a deferred basis, using the so-called “corridor approach”.
These options will be abolished in the revision of IAS 19 and the actuarial profit and loss must be reported directly
under other comprehensive income (OCI). Furthermore, the expected revenue from the plan assets were previously
calculated using the subjective expectations of management regarding the performance of the investment portfolio.
With the application of the amendments to IAS 19, only typed of interest will be permitted for plan assets at the level
of the current discount rate of the pension obligations. The amendments were first adopted into EU law on June 6,
2012. IAS 19 is to be first applied to fiscal years starting on or after January 1, 2013. The future application of IAS 19
will have no material impact on the reporting of the net asset, financial and earnings position of the Fraport Group.
On December 16, 2011, the IASB published amendments to IAS 32 and IFRS 7. The amendment to IAS 32 clarified the
requirements for the offsetting of financial instruments. The definition of the current legal right to offsetting has been
expanded and clarified by the amendment. It sets out which gross settlement procedures (in relation to standards) can
be accounted for as net settlements. Given this clarification, the regulations regarding the disclosures in IFRS 7 have
also been expanded. The amendments to IAS 32 are to be first applied to fiscal years starting on or after January 1,
2014. The amendments to IFRS 7 are to be first applied to fiscal years starting on or after January 1, 2013. Both amend-
ments were adopted into EU law on December 29, 2012. The future application of the changes to IFRS 32 and IFRS 7
will not have a material impact on the reporting of the net asset, financial and earnings position of the Fraport Group.
Fraport Annual Report 2012 Group Notes / Notes to the Consolidation and Accounting Policies
101
On May 12, 2011, the IASB published 5 new and revised standards that amend the regulations on the consolidation
and accounting of associated companies and joint venture investments and the associated disclosures. They are: IFRS 10
“Consolidated Financial Statements”, IFRS 11 “Joint Arrangements”, IFRS 12 “Disclosure of Interests in Other Entities”,
IAS 27 “Separate Financial Statements” (revised 2011) and IAS 28 “Investments in Associates and Joint Ventures”
(revised 2011).
IFRS 10 replaces the consolidation guidelines in the IAS 27 “Consolidated and Separate Financial Statements” and SIC 12
“Consolidation – Special Purpose Entities”. In the future, the new IAS 27 “Separate Financial Statements” (revised
2011) will only contain the regulations on accounting for subsidiaries, joint ventures and associated companies in
separate financial statements under IFRS. In the revised IFRS 10, the term “control” has been comprehensively rede-
fined. It now states that control is given if the potential parent company holds the decision-making power over the
subsidiary, based on voting or other rights, it contributes to positive or negative variable returns from the subsidiary
and can influence these returns with its decision-making powers. From this standard, the effects on the extent of the
scope of consolidation including, among other things, special purpose entities can arise. The Fraport Group does
not foresee any significant future changes to the scope of consolidation as a result of the application of IFRS 10. The
effects of the new IFRS 10 regulation on the scope of consolidation will continue to be investigated on a case-by-
case basis. The new standard is to be first applied to fiscal years starting on or after January 1, 2013. IFRS 10 will be
applied retroactively if the classification as subsidiary is established differently between IAS 27/SIC-12 and IFRS 10 for
an investment. Early application is currently only permitted simultaneously for IFRS 11 and IFRS 12, as well as for IAS
27 and IAS 28, which were revised in 2011.
While establishing IFRS 11 “Joint Arrangements”, adjustments were also made to IAS 28. Like before, IAS 28 continues
to regulate the use of the equity method. The adoption of IFRS 11 will greatly increase its scope, as in the future all joint
ventures and not just investments in associated companies will have to be accounted for using the equity method. The
use of proportionate consolidation for joint ventures is therefore inapplicable. The new standard is to be first applied to
fiscal years starting on or after January 1, 2013. There are specific transition rules, for example for the transition from pro-
portionate consolidation to the equity method. Early application is currently only permitted simultaneously for IFRS 10
and IFRS 12, as well as for IAS 27 and IAS 28, which were revised in 2011. Currently, all joint ventures have been
included proportionally in the Fraport Group. The abolishment of proportionate consolidation and the compulsory
use of the equity method for joint ventures will have a significant impact on the future reporting of net asset, financial
and earnings position. Indications of the extent to which the amendments will have an effect on the future application
of IFRS 11 are covered in the report “influence of joint ventures on the consolidated financial statements” (see note 2).
IFRS 12 “Disclosure of Interests in Other Entities” summarizes the regulations for subsidiaries, joint ventures and
associated companies as well as unconsolidated structured entities. The required declarations are considerably more
extensive compared to the previous requirements of IAS 27, IAS 28 and IAS 31. The objective of IFRS 12 is to allow the
users of financial statements to find the quantitative and qualitative information they require to evaluate the nature
of and risks associated with and the interests in other entities as well as the effects of those interests on the net asset,
financial and earnings position. The new standard is to be first applied to fiscal years starting on or after January 1, 2013.
On December 29, 2012, the EU Commission adopted IFRS 10 “Consolidated Financial Statements”, IFRS 11 “Joint
Arrangements”, IFRS 12 “Disclosure of Interests in Other Entities”, IAS 27 “Separate Financial Statements” and IAS 28
“Investments in Associates and Joint Ventures” into EU law. The standards are to be first applied in fiscal years starting
on or after January 1, 2014. (Voluntary) early application will only be permitted for these new consolidation stand-
ards after EU endorsement. The mandatory initial application for EU IFRS adopters of the IASB effective date therefore
deviates from January 1, 2013.
The standard IFRS 13 “Fair Value Measurement” was published on May 12, 2011. IFRS 13 sets out, in a single standard,
uniform measurement bases to measure fair value. There will be further regulations only for IAS 17 and IFRS 2. According
to IFRS 13, fair value is defined as the price that would be received through selling an asset or the price paid to transfer
a liability. As currently known from the fair value measurement of financial assets, a 3-tiered “fair value hierarchy” will
be introduced, that will rank them according to observed market prices. The new fair value measurement may lead
to different values compared to the previous system. The new standard is to be first applied to fiscal years starting on
or after January 1, 2013. Earlier application is permitted. The future application of IFRS 13 should not have a material
impact on the reporting of the net asset, financial and earnings position of the Fraport Group.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 0 2
Standards, interpretations and amendments that have been published but not yet adopted into
European law by the EU Commission
On November 12, 2009 the IASB published changes to IFRS 9 “Financial Instruments: Classification and Measurement”
and on October 28, 2010, it released amendments to the standard. The accounting and measurement of financial
instruments according to IFRS 9 will replace IAS 39. In the future, financial assets will be classified and measured in 2
groups only: at amortized cost and fair value. The amortized cost group of financial assets comprises those financial
assets that are only expected to give rise to interest and redemption payments on specified dates and those that will
be held in the context of a business model with the objective of retaining assets. All other financial assets will form the
fair value group. Under certain circumstances, financial assets in the amortized cost group may – as before – instead be
designated as fair value (fair value option). Value changes of financial assets in the fair value group are to be generally
recognized in profit or loss. However, for particular equity instruments it is possible to exercise the right to recognize
value changes under other income. Claims for dividends from these financial assets are, however, recognized in profit
or loss. The regulations for financial liabilities are covered principally by IAS 39. The most significant difference concerns
the recognition of value changes in financial liabilities measured at fair value. In the future these will be divided as
follows: the part apportionable to own credit risk is to be recognized under other income, while the remaining part
of value changes is to be recognized in profit or loss. Subject to its adoption into EU law, IFRS 9 is to be first applied
in fiscal years starting on or after January 1, 2015.
On December 16, 2011, the IASB published the amendments to IFRS 9 and IFRS 7 “Mandatory Effective Date and Tran-
sition Disclosures”. There are to be no adjustments to previous year figures in the first-time application of IFRS 9. This
relief results in additional disclosures having to be made in the notes to the annual financial statements in accordance
with IFRS 7 during the transition period. This should make it possible for investors to assess the effects of the first-time
application of IFRS 9 to the recognition and valuation of financial instruments. Subject to their adoption into EU law,
the amendments are to be first applied to fiscal years starting on or after January 1, 2015.
On May 17, 2012, the IASB published the “Improvements to IFRS 2009 – 2011” (Annual Improvements), which amended
5 International Financial Reporting Standards (IFRSs). These changes affect the following regulations: IFRS 1 relating
to borrowing costs, IAS 1 for details of comparative information from previous years, IAS 16 regarding the accounting
principles for maintenance equipment, IAS 32 regarding the accounting principles for tax effects on distributions to
equity shareholders and transaction costs of an equity transaction and IAS 34 regarding segment information for the
total assets and liabilities of interim financial reporting. Subject to their adoption into EU law, the new regulations will
come into force for reporting years starting on or after January 1, 2013. Earlier application is permitted.
On June 28, 2012, IASB published amendments to the transitional provisions of IFRS 10, 11 and 12. The amendment
clarifies that the date of the initial application of IFRS 10 is the start of the reporting period in which the standard
is first applied. In addition, the mandatory disclosures of IFRS 12 are only applicable to the immediately preceding
period. Structured companies that are not to be consolidated are released from the obligation to disclose comparative
information for periods prior to the first application of IFRS 12. Subject to their adoption into EU law, the amendments
are to be first applied in fiscal years starting on or after January 1, 2014.
On October 31, 2012, the IASB published the standard “Investment Companies” as a further amendment to IFRS 10,
IFRS 12 and IAS 27. The changes include the definition of terms for investment entities, exempt these investment
companies from the scope of IFRS 10 and provide for mandatory disclosures for investment companies. Investment
companies are exempt from the mandatory inclusion of the companies controlled by them in their consolidated
financial statements. Instead, the shareholdings held for investment purposes shall be valued at fair value through
profit and loss. Subject to their adoption into EU law, the new regulations are to be first applied in fiscal years starting
on or after January 1, 2014.
Fraport Annual Report 2012 Group Notes / Notes to the Consolidation and Accounting Policies / Notes to the Consolidated Income Statement
103
Notes to the Consolidated Income Statement
5
Revenue
Revenue
€ million
Aviation
Airport charges
Security services
Other revenue
Total
Retail & Real Estate
Real Estate
Retail
Parking
Other revenue
Total
Ground Handling
Ground handling services
Infrastructure charges
Other revenue
Total
External Activities & Services
Total
2012
2011
673.6
98.3
51.5
823.4
175.2
179.8
73.5
24.4
452.9
393.3
256.0
0.0
649.3
516.4
634.7
92.0
48.2
774.9
168.3
167.9
74.8
33.7
444.7
406.1
246.7
2.7
655.5
496.1
2,442.0
2,371.2
Table 36
For information on revenue please refer to the management report under chapter “Results of Operations” as well as
the segment reporting (see note 41).
The segment Retail & Real Estate includes proceeds from operating leases. The revenue-related surface rentals rec-
ognized in the fiscal year amount to € 175.5 million (previous year: € 161.6 million).
The operating leases mainly relate to the leasing of buildings, land, terminal areas and offices. The contract periods
end in 2070 or earlier. No purchase options have been agreed upon. The residual term of hereditary building rights
contracts is 46 years on average. No purchase options exist for them, either.
The acquisition or production cost of the leased buildings and land amounts to € 423.2 million. Accumulated depre-
ciation and amortization totals to € 275.7 million and the depreciation and amortization amounted to € 6.8 million
for the fiscal year (previous year: € 15.9 million).
Revenue in the External Activities & Services segment includes contract revenue from construction and expansion
contracts related to airport operating projects abroad in the amount of € 28.7 million (previous year: € 32.4 million).
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 0 4
The total amount of future income from minimum lease payments arising from non-cancellable leases is as follows:
Minimum lease payments
€ million
< 1 year
1 – 5 years
> 5 years
Residual term
Total
2012
Minimum lease payments
76.3
157.4
861.6
1,095.3
€ million
< 1 year
1 – 5 years
> 5 years
Residual term
Total
2011
Minimum lease payments
83.5
164.7
663.3
911.5
6
Change in work-in-process
Change in work-in-process
€ million
Change in work-in-process
7
Other internal work capitalized
Other internal work capitalized
€ million
Other internal work capitalized
Table 37
2012
2011
0.5
0.4
Table 38
2012
2011
44.0
40.3
Table 39
The other internal work capitalized primarily relates to engineering, planning and construction services, procured
services of employees and services of commercial project managers, as well as other work performances. The other
internal work capitalized was incurred essentially in connection with the extension, remodeling and modernization
of the terminal buildings at Frankfurt Airport and their fire protection systems. Other internal work also related to the
airport expansion program and the expansion of the airport infrastructure at Frankfurt Airport.
8
Other operating income
Other operating income
€ million
Release of provisions
Passive noise abatement
Release of special items for investment grants
Income from compensation payments
Gains from disposal of non-current assets
Release of allowances
Income from deconsolidation
Other items
Total
2012
2011
30.3
18.4
8.1
2.2
1.7
1.1
0.8
0.0
18.5
62.7
0.0
2.2
1.9
1.2
0.2
2.6
14.4
40.9
Table 40
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Income Statement
105
The release of provisions mainly relates to current provisions for rebates and refunds as well as personnel-related
provisions.
The income from compensation payments mainly relates to proceeds from insurance claims.
For information on income from passive noise abatement, please refer to note 39.
9
Cost of materials
Cost of materials
€ million
Cost of raw materials, consumables and supplies
Cost of purchased services
Total
2012
2011
– 103.4
– 454.7
– 558.1
– 106.5
– 434.6
– 541.1
Table 41
Among other things, the cost of raw materials, consumables and supplies includes production cost for finished real
estate. The realized sales proceeds are included under the real estate revenue.
In the context of the airport operating projects abroad (see note 49), the cost of purchased services includes revenue-
related concession payments in the amount of € 87.7 million (previous year: € 70.6 million), as well as contract cost
for construction and extension services in the amount of € 28.7 million (previous year: € 32.4 million).
10
Personnel expenses and number of employees
Personnel expenses and average number of employees
€ million
Wages and salaries
Social security and welfare expenses
Pension expenses
Total
2012
2011
– 762.4
– 137.1
– 48.3
– 947.8
– 732.1
– 134.3
– 39.9
– 906.3
Average number of employees
2012
2011
Permanent staff
Temporary staff (interns, students and scholars)
Total
19,793
1,170
20,963
19,401
1,194
20,595
Table 42
The average number of staff employed during the fiscal year (excluding apprentices and employees on leave) was
20,535 in the fully consolidated companies (previous year: 20,199) and 428 (previous year: 396) in the companies
using proportionate consolidation.
Fraport AG accounts for € 24.3 million of the increase in personnel expenses and € 8.3 million is attributed to FraSec
Fraport Security Services GmbH, Frankfurt am Main.
Additions to pension provisions and obligations arising from time-account models are included in personnel expenses.
The interest cost of the additions to pension provisions is included in personnel expenses.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 0 6
11
Depreciation and amortization
Depreciation and amortization
€ million
Composition of depreciation and amortization
Investments in airport operating projects
Other intangible assets
Property, plant and equipment
regular
non-regular
Investment property
regular
non-regular
Total
2012
2011
– 71.0
– 8.6
– 272.6
0.0
– 0.2
– 0.3
– 65.2
– 10.6
– 216.8
– 6.0
– 0.3
– 6.8
– 352.7
– 305.7
Table 43
Regular depreciation and amortization
The useful lives of some assets were re-estimated in the year under review, resulting in increased net depreciation and
amortization of € 15.5 million (previous year: reduced net depreciation and amortization of € 5.0 million).
Impairment of assets pursuant to IAS 36
Impairment tests pursuant to IAS 36 conducted during the year under review resulted in a recognized impairment loss
of € 0.3 million. All of this is related to investment property. Please refer to note 22 for more information.
The valuation of assets reflects future earnings expectations. The recoverable amount is the higher of the value in use or
the fair value less cost to sell. Only the value in use was applied in the year under review. The value in use is determined
by the entity applying the discounted cash flow method, as the fair value less cost to sell cannot be reliably determined.
Determination of the future cash flows of the cash generating units is based on the planning figures. The value in use
is generally determined based on the future cash flows estimated on the basis of the planning figures for the years
between 2013 to 2018 and approved by the Executive Board and valid at the time the impairment tests are made (in
December of the year under review) and on the basis of the current long-term plans until 2020 or over the respective
contractual periods in the case of investments in airport operating projects. These forecasts are based on past experi-
ences and the market performance expected. A growth rate (of between 0.0 % and 2.0 %) based on the planning
assumptions is taken into account in the perpetual annuity. The discount factor was a country-specific, weighted
average cost of capital (WACC) of between 6.20 % and 10.18 % (previous year: between 6.3 % and 10.94 %).
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Income Statement
107
12
Other operating expenses
Other operating expenses
€ million
Insurances
Rental and lease expenses
Expenses from commitments to the environment and local areas
Consulting, legal and auditing expenses
Advertising costs
Losses from disposal of non-current assets
Other taxes
Write-downs of trade accounts receivable
Other items
Total
2012
2011
– 26.1
– 24.7
– 21.0
– 18.9
– 18.5
– 5.5
– 5.8
– 2.0
– 70.1
– 192.6
– 25.6
– 25.4
– 22.5
– 22.0
– 21.2
– 6.0
– 5.5
– 4.6
– 70.3
– 203.1
Table 44
Rental and lease expenses include minimum lease payments in the amount of € 14.6 million (previous year: € 14.5 million)
as well as conditional lease payments in the amount of € 3.0 million (previous year: € 3.1 million).
The Group’s obligations to the environment and the local areas during the fiscal year include provision for the financial
involvement of Fraport AG in the regional fund as part of the Allianz für Lärmschutz 2012 package of noise reduction
measures, as well as provisions for promoting environmental projects.
Among other things, other operating expenses include travel costs, office supplies, course and seminar fees, entertain-
ment expenses, administration fees, postage and costs for additions to various provisions.
The consulting, legal and audit expenses include Group auditor fees (disclosed in accordance with Section 314 (1)
no. 9 of the HGB) amounting to € 1.9 million (previous year: € 2.0 million). They are comprised as follows:
Group auditor fees
€ million
Audit
Other certification or valuation services
Tax audit fees
Other services
13
Interest income and interest expenses
Interest income and interest expenses
€ million
Other interest and similar income
Other interest and similar expenses
2012
Consolidated
companies
2011
Consolidated
companies
Fraport AG
Fraport AG
1.1
0.2
0.1
0.1
0.4
0.0
0.0
0.0
0.9
0.5
0.2
0.0
0.4
0.0
0.0
0.0
Table 45
2012
2011
52.6
– 226.7
47.3
– 191.7
Table 46
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 0 8
Interest income and expenses include interest paid on non-current loans and time deposits as well as interest income
and expenses from interest cost added back on non-current liabilities and provisions and on non-current assets. The
net interest payments of derivative financial instruments and interest income from securities are recorded as interest
income and expenses.
Interest income and interest expenses for financial instruments that are not recognized in income at fair value:
Interest from financial instruments not recognized in income at fair value
€ million
Interest income from financial instruments
Interest expenses from financial instruments
14
Result from associated companies
The result from associated companies breaks down as follows:
Result from associated companies
€ million
Thalita Trading Ltd./Northern Capital Gateway LLC
Xi'an Xianyang International Airport Co., Ltd.
Airmail Center Frankfurt GmbH
ASG Airport Service Gesellschaft mbH
Flughafen Hannover-Langenhagen GmbH
Total
15
Other financial result
The other financial result breaks down as follows:
Other financial result
€ million
Income
Foreign currency gains, unrealized
Foreign currency gains, realized
Measurement of derivatives
Fair value measurement of securities in financial assets
Gains from the disposal of financial assets
Other income
Total
Expenses
Foreign currency losses, unrealized
Foreign currency losses, realized
Measurement of derivatives
Fair value measurement of securities in financial assets
Losses from the disposal of financial assets
Other expenses
Total
Total other financial result
2012
2011
49.7
– 218.5
45.7
– 187.4
Table 47
2012
2011
8.1
2.8
0.7
0.5
– 0.4
11.7
3.4
6.6
0.8
0.7
0.0
11.5
Table 48
2012
2011
1.1
15.1
0.4
0.0
23.2
4.9
44.7
– 2.8
– 1.1
– 10.0
0.0
0.0
– 0.3
– 14.2
30.5
1.1
0.2
0.6
0.2
0.0
3.1
5.2
– 5.6
– 0.6
– 12.6
– 0.6
– 0.4
– 1.8
– 21.6
– 16.4
Table 49
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Income Statement
109
16
Taxes on income
Income tax expense breaks down as follows:
Taxes on income
€ million
Current taxes on income
Deferred taxes on income
Total
2012
2011
– 109.6
– 4.9
– 114.5
– 92.0
– 4.5
– 96.5
Table 50
Current income tax expense consists of current income tax for the year under review and income tax for previous
years. Most of the income tax expense results from the activities of Fraport AG.
Current income tax for Fraport AG for the 2012 fiscal year amounts to € 80.4 million (previous year: € 70.9 million).
This includes taxes on income for previous years in the amount of € 6.8 million (previous year: gain of € 1.1 million,
item “taxes previous years”).
The tax expenses include the corporation and trade income taxes as well as the solidarity surcharge of the companies
in Germany and comparable taxes on income of the companies outside Germany. The actual taxes result from the
taxable profits or losses of the fiscal year and any revisions to previous assessment periods, to which the local tax rates
of the respective Group company are applied.
Deferred taxes are generally measured on the basis of the tax rate applicable in the respective country. A combined
income tax rate of around 31 % including trade tax has been applied to German companies.
Deferred taxes are recognized for all temporary differences between the IFRS financial statements and their tax bases
and for the carry-forwards of unused tax losses.
The Fraport Group had tax losses carried forward in the amount of some € 4.8 million (previous year: € 7.1 million)
as of December 31, 2012, which could not be used based on current information. This decrease in tax loss carry-
forwards, which are not expected to be utilized, is mainly due to the Group internal transfer of the shareholding in
Pantares Tradeport Asia Ltd.
Loss carry-forwards that are not expected to be utilized are mainly due to Fraport Immobilienservice und -entwicklungs
GmbH & Co. KG and can be carried forward indefinitely. The recoverability of deferred tax assets depends essentially
on the probability of the future use of the losses carried forward. This depends on whether future taxable profit will
be available in the periods in which the carry forward of unused tax losses can be utilized.
No deferred tax liabilities were recognized for temporary differences in connection with shares in subsidiaries, joint
ventures and associated companies in the amount of € 144.0 million, as Fraport can control the timing of the reversal
and it is not expected that these differences will reverse in the foreseeable future. These deferred tax liabilities are,
however, limited to 1.55 % of the difference as well as local withholding taxes in the case of future dividend payments
from certain foreign subsidiaries. The amounts are not material from the Group’s point of view.
In addition, deferred taxes also result from consolidation adjustments. No deferred tax is determined for goodwill
recognized and any impairment of goodwill is calculated in accordance with IAS 12.
Deferred tax assets and liabilities are netted insofar as these tax claims and obligations relate to the same tax authority
and to the same taxable entity or a group of different taxable entities that, however, are assessed jointly for income
tax purposes.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 1 0
Deferred taxes resulting from temporary differences between tax bases and assets/liabilities reported according to
IFRS are to be assigned to the following balance sheet items:
Allocation of deferred taxes
€ million
Property, plant and equipment including investments in airport
operating projects
Financial assets
Receivables and other assets
Accruals
Pension provisions
Other provisions
Liabilities
Derivatives
Losses carried forward
Total individual financial statements
Offsetting
Consolidation adjustments
Consolidated financial position
2012
2011
Deferred tax
assets
Deferred tax
liabilities
Deferred tax
assets
Deferred tax
liabilities
2.4
0.0
22.8
31.3
3.9
49.1
165.6
51.5
1.3
327.9
– 278.7
0.0
49.2
– 282.0
0.0
– 18.9
– 0.7
0.0
– 41.7
– 14.1
– 4.2
0.0
– 361.6
278.7
– 18.4
– 101.3
1.1
0.0
2.9
33.2
2.7
16.3
179.8
48.5
3.9
288.4
– 244.0
3.8
48.2
– 280.3
– 10.1
– 1.3
– 0.1
0.0
– 1.2
– 26.7
– 11.5
0.0
– 331.2
244.0
– 19.7
– 106.9
Table 51
In the fiscal year, deferred taxes increasing equity in the amount of € 12.0 million (previous year: € 6.9 million) from the
change in the fair values of Derivatives and securities were recognized directly in equity without affecting profit or loss.
The following reconciliation shows the relationship between expected tax expense and tax expense in the consoli-
dated income statement:
Tax reconciliation
€ million
Earnings before taxes on income
Expected tax income/expense 1)
Tax effects from differences in tax rates outside Germany
Taxes on non-deductible expenses
Taxes relating to previous years
Permanent differences including non-deductible tax provisions
Tax effects on consolidation adjustments that affect earnings
Tax effects on tax-free and taxable income from other periods
First-time application of deferred taxes on losses carried forward
Trade tax and other effects from local taxes
Other
2012
2011
366.1
– 113.5
11.0
– 2.4
– 6.8
– 12.2
0.0
15.2
– 0.1
– 5.2
– 0.5
347.3
– 107.7
8.8
– 1.1
1.1
– 4.9
– 0.3
9.4
0.0
– 3.8
2.0
Taxes on income according to the income statement
– 114.5
– 96.5
1) Expected tax rate around 31 %, for corporation tax 15.0 % plus solidarity surcharge 5.5 % and trade tax of around 15.5 %
Table 52
The consolidated tax rate for the fiscal year is 31.3 % (previous year: 27.8 %).
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Income Statement / Notes to the Consolidated Financial Position
111
17
Earnings per share
Earnings per share
Basic
2012
Diluted
Basic
2011
Diluted
Profit for the year attributable to shareholders of Fraport AG
(€ million)
238.3
238.3
240.4
240.4
Weighted average number of shares
92,012,909
92,443,382
91,858,474
92,311,336
Earnings per € 10 share in €
2.59
2.58
2.62
2.60
Table 53
The basic earnings per share for the 2012 fiscal year are calculated using the weighted average number of issued
shares corresponding to € 10 of share capital each. Due to the capital increase, the number of shares outstanding
during the period rose from 91,878,502 to 92,134,391 on December 31, 2012. With a weighted average number of
92,012,909 shares, the basic earnings per € 10 share amounted to € 2.59.
As a result of the rights granted to employees to buy shares (authorized capital) within the scope of the employee
investment plan and of the issue of subscription rights in connection with the stock options plan (contingent capital),
the diluted number of shares amounts to 92,443,382 (weighted average) and the diluted earnings per € 10 share
are therefore € 2.58.
Notes to the Consolidated Financial Position
A breakdown and the development of the individual non-current asset items can be found in the consolidated state-
ment of changes in non-current assets.
18
Goodwill
Goodwill arising on consolidation developed as follows:
Goodwill
€ million
Antalya Group
FraSec
Media
Total
19
Investments in airport operating projects
Investments in airport operating projects
€ million
Investments in airport operating projects
Carrying
amount
Dec. 31, 2012
Carrying
amount
Dec. 31, 2011
15.9
22.4
0.3
38.6
15.9
22.4
0.3
38.6
Table 54
Dec. 31, 2012
Dec. 31, 2011
1,031.2
1,067.1
Table 55
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 1 2
The investments in airport operating projects are based on the application of IFRIC 12 (see note 4 and note 49) and relate
to capitalized concession payments of € 785.0 million (previous year: € 833.4 million) and incurred capital expenditure
of € 246.2 million (previous year: € 233.7 million), for the terminal operation at Antalya Airport of € 597.8 million
(previous year: € 647.6 million) and the concession airports in Lima of € 274.7 million (previous year: € 282.8 million)
as well as Varna and Burgas of € 158.7 million (previous year: € 136.7 million).
20
Other intangible assets
Other intangible assets
€ million
Other intangible assets
Other intangible assets essentially relate to software.
21
Property, plant and equipment
Property, plant and equipment
€ million
Land, land rights and buildings, including buildings on leased property
Technical equipment and machinery
Other equipment, operating and office equipment
Construction in progress
Total
Dec. 31, 2012
Dec. 31, 2011
44.2
43.6
Table 56
Dec. 31, 2012
Dec. 31, 2011
3,566.7
1,523.5
162.5
674.6
5,927.3
3,298.4
1,200.5
130.1
1,014.8
5,643.8
Table 57
Additions to property, plant and equipment in the 2012 fiscal year amounted to € 602.9 million, of which € 187.4 million
was from projects related to the expansion of Frankfurt Airport and € 157.6 million was attributed to Pier A-Plus, which
opened in October and its associated infrastructure.
During the fiscal year, € 78.0 million relating to the accounting of obligations to reimburse the costs for noise abate-
ment construction projects was reclassified out of “property, plant and equipment” and into item “other receivables
and financial assets”. For additional information, please see note 39.
Borrowing costs totaling € 27.4 million were recognized (previous year: € 62.3 million). Of this amount, € 18.2 million
(previous year: € 54.7 million) was used for capital expenditure whose financing could not be clearly classified for the
purpose of creating a specific qualifying asset. The cost of debt for general project finance was approximately 4.7 %
on average (previous year: approximately 4.6 %). Borrowing costs were mainly incurred for projects relating to the
expansion of Frankfurt Airport.
Additional specific project financing was obtained for measures in connection with the expansion of Pier A-Plus at Frank-
furt airport. Borrowing costs totaling € 8.2 million were capitalized for this project in 2012 (previous year: € 7.6 million).
The average cost of debt was around 2.4 % (previous year: 2.5 %).
Borrowing costs of € 1.0 million were recognized for the specific financing of the New Passenger Terminals and the
runways in Varna and Burgas. The average cost of debt for this project was 3.8 %.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
113
As of the balance sheet date, property, plant and equipment with a book value totaling € 22.9 million carry mortgages
(previous year: € 17.4 million).
Finance lease assets amounting to € 69.5 million (previous year: € 75.1 million) were recognized in property, plant
and equipment, as well as other intangible assets, in the year under review.
Finance lease assets
€ million
Other intangible assets
Land, land rights and buildings,
including buildings on leased property
Technical equipment and machinery
Other equipment, operating and
office equipment
Total
€ million
Other intangible assets
Land, land rights and buildings,
including buildings on leased property
Technical equipment and machinery
Other equipment, operating and
office equipment
Total
Carrying
amount
Jan. 1, 2012
0.2
27.4
47.1
0.4
75.1
Carrying
amount
Jan. 1, 2011
0.6
29.9
31.7
0.5
62.7
Additions
Disposals
Depreciation
Carrying
amount
Dec. 31, 2012
0.0
0.0
4.3
0.0
4.3
0.0
0.0
0.0
0.0
0.0
0.1
2.5
7.2
0.1
9.9
0.1
24.9
44.2
0.3
69.5
Additions
Disposals
Depreciation
Carrying
amount
Dec. 31, 2011
0.0
0.0
23.0
0.0
23.0
0.0
0.0
0.6
0.0
0.6
0.4
2.5
7.0
0.1
10.0
0.2
27.4
47.1
0.4
75.1
Table 58
Other intangible assets include an agreement on the use of software licenses, which will become the property of
Fraport AG after the contract expires. The contract will expire in 2013.
Land, land rights and buildings, including buildings on leased property, include an energy plant located on the
premises of Fraport AG. Given the exclusive use by Fraport AG and the existence of a special lease contract, Fraport AG
is considered to be the beneficial owner of the plant. The contract will expire in 2020.
This item also includes a cargo handling and office building leased from Fraport Cargo Services GmbH to the end
of 2023. The contract includes 2 options to extend the term of the lease for 5 additional years each. Since virtually
all economic rights and obligations have been transferred and the contract term exceeds the material portion of the
useful life, beneficial ownership of the building is assigned to the tenant.
Technical equipment and machinery includes an IT service agreement between the company and operational services
GmbH & Co. KG for the provision of an IT structure on the Frankfurt Airport site and all related services. As the network
is located on the premises of Fraport AG and is of no reasonable commercial use to any other party, Fraport AG is
considered to be the beneficial owner. Technical equipment and machinery also includes another IT service agreement
with operational services GmbH & Co. KG for the provision of server and data storage capacities. The computer center
required for this purpose is located on the premises of Fraport AG and Fraport AG is the sole recipient of the server
and data storage services. Both contacts run until 2018. Over the course of various investment projects, the quantity of
infrastructure supplied to the Group during the year under review increased significantly, so the leases were adjusted
accordingly during the fiscal year. The asset and the financial lease liabilities were increased by € 4.3 million as a result.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 1 4
Most of the remaining lease contracts relate to special vehicles. They expire at the earliest in 2014 and at the latest
in 2017 (see note 35).
22
Investment property
Investment property
€ million
Investment property
Dec. 31, 2012
Dec. 31, 2011
34.4
74.6
Table 59
Investment property includes the following land and buildings situated in direct proximity to the airport:
Breakdown of investment property
€ million
Property in the city of Flörsheim situated in immediate initial approach area
Parts of the Gateway Gardens site
Parts of the Taubengrund site in Kelsterbach
Parts of the Mönchhof site
Ticona site
Other
Total
Dec. 31, 2012
Dec. 31, 2011
16.2
7.2
6.6
3.9
0.0
0.5
34.4
4.2
7.2
13.3
3.8
45.7
0.4
74.6
Table 60
From the voluntary purchase program of property in Flörsheim (an area in the flight zone of the Northwest Runway),
additions of € 12.1 million were acquired in the year under review. The book value of acquired property corresponds
to the market value, which was calculated by an independent assessor using the capitalization of earnings method.
The book value of the land on the Gateway Gardens site corresponds to the purchase price paid in 2009.
The properties and buildings at the Taubengrund site in Kelsterbach are located in areas of low levels of flight altitude.
An external market value opinion was carried out for these properties in 2011. The market value corresponded to the
book value on the balance sheet date. Fraport AG made a decision during the year under review to use part of the
property for its own purposes, for which € 6.6 million was reclassified to “property, plant and equipment”.
The fair value of the lands on the Mönchhof site in Kelsterbach during the year under review was determined using
internal comparative appraisals based on standard ground values published by a committee of experts. This resulted
in impairments of € 0.3 million and the need to reverse impairments of € 0.4 million. The book values correspond
to the market values on the balance sheet date with the exception of one land whose market value is € 0.9 million
higher than its book value.
Based on a decision made during the year under review to appropriate the property and buildings on the Ticona site
for the Group’s own use, the entire item was reclassified to property, plant and equipment.
Foreseeable restrictions on the salability arise principally for major parts of the investment property from the fact that
these areas are located in the immediate vicinity of the Northwest Runway. Parts of the Mönchhof site are also within
a bird sanctuary.
Lease revenue from investment property during the 2012 fiscal year amounted to € 1.2 million. The total costs incurred
for the maintenance of investment property totaled € 0.6 million, of which € 0.2 million was incurred for property for
which no lease revenue was earned in 2012.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
115
23
Investments in associated companies
Investments in associated companies
€ million
Flughafen Hannover-Langenhagen GmbH
Xi’an Xianyang International Airport Co., Ltd.
ASG Airport Service Gesellschaft mbH
Thalita Trading Ltd.
Airmail Center Frankfurt GmbH
Tradeport Hong Kong Ltd.
Total
Dec. 31, 2012
Dec. 31, 2011
15.2
104.8
0.9
14.0
1.7
0.0
15.8
107.8
0.8
11.8
1.8
0.0
136.6
138.0
Table 61
The additions in the consolidated statement of changes in non-current assets include not only shareholdings acquired,
but also earnings of the associated companies; the disposals include dividends (this year Xi’an with € 5.2 million, ASG
with € 0.4 million and ACF with € 0.8 million) and negative earnings.
For Tradeport Hong Kong Ltd., Hong Kong, the cumulative amount of unrecorded pro-rata losses is € – 2.4 million
as of December 31, 2012 (previous year: € – 2.9 million). The proportionate earnings in the reporting period total
€ + 0.5 million (previous year: € + 0.4 million).
Additional summarized financial information regarding the associated companies is found in the following table. This
information refers to 100 % of the shares in associated companies.
Information regarding associated companies
€ million
Assets
Shareholders’ equity
Liabilities
Total income
Result of the accounting period
24
Other financial assets
Other financial assets
€ million
Available for sale financial assets
Investment securities
Other investments
Fair value option
Securities
Loans
Loans to affiliated companies
Other loans
Total
Dec. 31, 2012
Dec. 31, 2011
2,163.3
596.5
1,566.8
910.5
37.8
1,341.5
601.5
740.0
543.6
41.9
Table 62
Dec. 31, 2012
Dec. 31, 2011
497.0
63.0
446.2
60.3
0.9
0.9
128.4
53.4
742.7
97.6
43.6
648.6
Table 63
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 1 6
Financial investments in securities of € 318.1 million, which were classified as available for sale, were carried out in the
year under review. Other changes resulted from reclassifications due to securities of € 149.4 million maturing in 2013
and changes from early disposals of € 101.5 million. Fair value decreases of € 19.2 million were also recorded in the
year under review without affecting profit or loss. These fair value changes are not based on creditworthiness since
the issuers and/or issues ratings remained unchanged.
Investment securities include fund units that have been acquired exclusively for the insolvency protection of credits
from the time-account models and partial retirement claims of employees of Fraport AG. In fiscal year 2012, fund units
were increased by € 5.7 million, bringing total acquisition cost to € 64.0 million. These securities are measured at fair
value and charged against the corresponding provisions in the amount of € 65.9 million (see note 39).
The change in other investments available for sale relates to shares in Delhi International Airport Private Ltd., New
Delhi, India, which resulted in a newly derived price as fair value in the year under review.
Changes in other loans in the amount of € 38.7 million relate to additions resulting from financial investments in promis-
sory note loans. Maturing promissory note loans in the amount of € 28.2 million were reclassified under current assets.
Increases in loans to affiliated companies mainly relate to payments in the amount of € 29.5 million to Northern Capital
Gateway LLC (NCG), St. Petersburg, Russia, due to a shareholder loan (see note 44). The Federal Republic of Germany
has assumed a guarantee for direct investments abroad for this shareholder loan. Should the loan be cancelled prior to
maturity, the interests of the Federal Republic of Germany must be considered in order to protect the guarantee claims.
25
Non-current and current other receivables and financial assets
Non-current and current other receivables and financial assets
€ million
Residual term 2012
Total
Residual term 2011
Total
up to 1 year
over 1 year
Dec. 31, 2012
up to 1 year
over 1 year
Dec. 31, 2011
Receivables from
joint ventures
Receivables from
associated companies
Receivables from
other investments
Financial assets
available for sale
Positive fair value of
derivatives
Refunds from “Passive
noise abatement”
Other assets
Accruals
Total
3.6
0.8
2.2
265.4
–
12.0
90.7
10.5
385.2
–
18.1
–
–
–
73.5
–
25.5
117.1
3.6
18.9
2.2
0.2
5.3
3.4
265.4
138.2
–
85.5
90.7
36.0
502.3
0.9
–
119.3
12.9
280.2
–
7.7
–
–
–
–
3.1
22.7
33.5
0.2
13.0
3.4
138.2
0.9
–
122.4
35.6
313.7
Table 64
Accruals essentially relate to grants given for building costs. At Fraport AG, grants for building costs are mainly awarded
to suppliers installing equipment to meet the specialized requirements of Fraport AG. The suppliers own the equipment.
Promissory note loans maturing in 2012 were reclassified from other financial assets to current assets (see note 24).
No effects arose from changes in credit ratings as the credit ratings of the issuers and issues did not change.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
117
Changes in financial assets in the “available for sale” category resulted from the reclassification of some of these items
from non-current to current financial investments in securities and additions to short-term financial investments amount-
ing to € 355.5 million and disposals of securities maturing in the year under review of € 228.7 million.
The item “refunds from noise abatement expenses” includes the expected full reimbursement amount for noise abate-
ment costs from the airlines, which were recognized in compliance with IAS 37.53 in connection with the provisions
set aside for the obligation of Fraport AG to reimburse costs for noise abatement construction measures as other assets.
The value was determined based on the estimated expenses for reimbursing the costs of noise abatement construction
measures. For additional information, please see note 39.
Where applicable, the appropriate allowance was recognized for other receivables and financial assets as of the report-
ing date. There are no other material past due items.
26
Income tax receivables
Income tax receivables
€ million
Residual term 2012
Total
Residual term 2011
Total
up to 1 year
over 1 year
Dec. 31, 2012
up to 1 year
over 1 year
Dec. 31, 2011
Income tax receivables
35.0
19.5
54.5
6.2
29.6
35.8
Table 65
The major items in income tax receivables relate to receivables from creditable taxes, the 2012 trade tax overpayment
and the corporation tax credit recognized in the 2006 fiscal year.
On December 12, 2006, the revised Section 37 of the German Corporation Tax Act (KStG) became legally effective
in connection with the amendments based upon the departmental draft of SE-Introductory Legislation (SEStEG).
According to Section 37 (4) of the KStG (new version), the corporation tax credit of Fraport AG had last to be estab-
lished on December 31, 2006. In accordance with Section 37 (5) of the KStG (new version), Fraport AG is entitled to
a refund of its corporation tax credit in 10 equal annual installments during the payout period from 2008 to 2017. The
refund claim generally accrued after the end of December 31, 2006 and is non-interest bearing. The first installment
was refunded in 2008 and is payable on September 30th of each year.
The corporation tax credit totaled € 30.5 million on December 31, 2012 (previous year: € 36.6 million), discounted
at an interest rate of 3.75 % due to its long-term nature. The present value of this claim to a tax refund amounts to
€ 24.9 million as of the balance sheet date (previous year: € 29.3 million). This refund claim is substantially an over-
payment in the meaning of IAS 12.12.
27
Deferred tax assets
Deferred tax assets
€ million
Deferred tax assets
Dec. 31, 2012
Dec. 31, 2011
49.2
48.2
Table 66
Deferred tax assets are recognized in accordance with IAS 12. Further explanations are given in the “taxes on income”
section (see note 16).
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 1 8
28
Inventories
Inventories
€ million
Land and buildings for sale
Raw materials, consumables and supplies
Work-in-process
Other
Total
Dec. 31, 2012
Dec. 31, 2011
57.4
17.3
2.0
1.0
77.7
61.4
17.2
1.9
0.9
81.4
Table 67
Land and buildings in the immediate vicinity of Frankfurt Airport includes real estate held for sale, including the Gate-
way Gardens site amounting to € 30.3 million (previous year: € 31.2 million) and the Mönchhof site amounting to
€ 27.1 million (previous year: € 30.2 million).
Based on the ongoing development of the investment property, € 3.6 million (previous year: € 6.3 million) was capital-
ized in the year under review. Carrying amount reductions in the amount of € 7.6 million (previous year: € 8.7 million)
are the result of property sale transactions. Borrowing costs totaling € 0.7 million were recognized (previous year:
€ 0.9 million). The applied cost of debt was between 1.7 % and 3.1 %, approximately (previous year: 1.9 % and 3.3 %,
approximately).
The net selling price of the parts of the Mönchhof site that are held for sale was calculated on the basis of an external
fair value opinion using the discounted cash flow method over the remaining planned selling period of 7 years, with
a discount factor of 5 %, adequate for the risk and related to the term. In addition to the risks accounted for in the
expertise, other discounts, particularly for unknown environmental and selling risks, were recognized. The net sell-
ing price of the parts of the Gateway Gardens site held for sale was calculated on the basis of an external fair value
opinion of the enterprise value of the company conducted in 2010. The calculations reflect the sales prices of already
conducted sales transactions and the already planned expenses for development and sales and have been discounted
by 6.5 % in accordance with the expert opinion.
Additional costs incurred up to the date of sale mainly relate to expenses for the further development of the property
held for sale on the Mönchhof and the Gateway Gardens sites.
Property with a carrying amount of around € 8.1 million (previous year: 8.6 million) is to be sold in 2013. The sale of
other land and property for sale (€ 49.2 million) should be realized in 2013 and later.
The development areas of Grundstücksgesellschaft Gateway Gardens GmbH carry mortgages.
Expenses for the maintenance of real estate inventories during the year under review were minor. Selling costs mainly
consist of personnel expenses incurred by Immobilienservice und -entwicklungs GmbH & Co. KG and Grundstücks-
gesellschaft Gateway Gardens GmbH.
Raw materials, consumables and supplies mainly relate to consumables for the airport operation.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
119
29
Trade accounts receivable
Trade accounts receivable
€ million
From third parties
Dec. 31, 2012
Dec. 31, 2011
180.0
163.9
Table 68
The maximum default risk equaled the carrying amount of € 180.0 million as of the reporting date. The following table
provides information on the extent of the default risk.
Default risk analysis
€ million
Carrying
amount
Thereof not
overdue or
impaired
Thereof in stated term overdue and not impaired
< 30 days
30 – 180 days
> 180 days
Dec. 31, 2012
Dec. 31, 2011
180.0
163.9
95.4
81.4
44.9
21.8
9.7
3.3
30.0
24.2
Table 69
With regard to trade accounts receivable, which are neither impaired nor in default, there is no indication as of the
reporting date that the debtors will not meet their payment obligations. There is no risk concentration of open trade
accounts receivable.
Cash security in the amount of € 8.8 million (previous year: € 5.3 million) and non-cash security (mainly loan guaran-
tees) in the nominal amount of € 22.7 million (previous year: € 18.0 million) were accepted as collateral for unsettled
trade accounts receivable. The collateral received by the reporting date was neither sold nor passed on as security
and will be returned to the respective debtor after termination of the business relationship. The collateral received
will be used only in the event of the debtor’s default.
As of the balance sheet date, trade accounts receivable of € 6.8 million were pledged as securities for financial liabilities
(previous year: € 3.5 million).
Allowances for trade accounts receivable developed as follows in the fiscal year:
Allowances
€ million
Balance on January 1
Net additions/releases
Availment
Balance on December 31
2012
2011
31.9
8.6
– 5.4
35.1
22.1
9.9
– 0,1
31.9
Table 70
Net additions include expenses from allowances amounting to € 2.0 million (previous year: € 4.6 million) recognized
in other operating expenses, as well as revenue-reducing individual allowances and reversals.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 2 0
30
Cash and cash equivalents
Cash and cash equivalents
€ million
Cash in hand, bank balances and checks
Dec. 31, 2012
Dec. 31, 2011
821.9
927.1
Table 71
The bank balances mainly include short-term deposits as well as overnight deposits.
Cash and cash equivalents include time deposits of € 584.0 million (previous year: € 680.0 million) with a term of
more than 3 months from the time of acquisition. These funds are not subject to any significant fluctuations in value
and can be realized at any time.
In connection with financing the concession in Antalya, € 110.8 million of bank balances (previous year: € 114.3 million)
are subject to a drawing restriction.
31
Equity attributable to shareholders of Fraport AG
Equity attributable to shareholders of Fraport AG
€ million
Issued capital
Capital reserves
Revenue reserves
Total
Dec. 31, 2012
Dec. 31, 2011
921.3
588.0
1,400.5
2,909.8
918.8
584.7
1,317.9
2,821.4
Table 72
Issued Capital
Issued capital (less treasury shares) increased by € 2.5 million in the fiscal year and is fully paid up as of the balance
sheet date. With an amount of € 0.5 million this increase relates to the partial use of the authorized capital after the
capital increase in return for the injection of cash to issue shares in connection with the employee investment plan.
Contingent capital was used to acquire additional shares totaling € 2.0 million during the fiscal year to satisfy stock
options from the Fraport Management Stock Options Plan 2005 (MSOP 2005).
Number of floating shares and treasury shares
The issued capital consists of 92,211,756 (previous year: 91,955,867) bearer shares with no par value, each of which
accounts for € 10.00 of the issued capital.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
121
Floating and treasury share movements in accordance with Section 160 of the Stock Corporation Act (AktG):
Floating and treasury share movements in accordance with section 160 of the AktG
Issued
capital
Number
Floating
shares
Number
Amount of
capital stock
in €
Share in
capital stock
in %
Number
Treasury shares
Balace on Jan. 1, 2012
91,955,867
91,878,502
77,365
773,650
0.0841
Management Stock Options Plan:
Capital increase
Employee investment plan:
201,650
201,650
Capital increase (June 28, 2012)
54,239
54,239
Balance on Dec. 31, 2012
92,211,756
92,134,391
77,365
773,650
0.0839
Issued
capital
Number
Floating
shares
Number
Amount of
capital stock
in €
Share in
capital stock
in %
Number
Treasury shares
Balance on Jan. 1, 2011
Employee investment plan:
91,915,588
91,838,223
77,365
773,650
0.0842
Capital increase (June 29, 2011)
40,279
40,279
Balance on Dec. 31, 2011
91,955,867
91,878,502
77,365
773,650
0.0841
Table 73
The new shares created under the employee investment plan were transferred on June 28, 2012 to the employees
for € 42.53 each.
Authorized capital
At the Annual General Meeting on May 27, 2009, the existing authorized capital was cancelled and a new authorized
capital of € 5.5 million created. The new authorized capital entitles the Executive Board, with the approval of the Super-
visory Board, to increase the company’s issued capital once or several times by up to € 5.5 million until May 26, 2014,
by issuing new shares in return for cash.
Of this authorized capital, € 542,390.00 was used in 2012 for the issue of shares within the scope of the employee
investment plan.
Changes in authorized capital
Authorized capital December 31, 2011
Use of authorized capital for employee investment plan
Remaining authorized capital on December 31, 2012
Number of
shares
Value per share
in €
452,862
–54,239
398,623
10.0
10.0
10.0
Table 74
Therefore, € 4.0 million of authorized capital remained as of December 31, 2012, which can be used for issuing shares
to employees of Fraport AG and companies controlled by the company. The subscription rights of the shareholders
may be excluded.
Contingent capital
A contingent capital increase of € 13.9 million was approved under Sections 192 et seq. of the AktG at the Annual General
Meeting held on March 14, 2001. The purpose of the contingent capital was expanded at the Annual General Meeting
on June 1, 2005. The contingent capital increase also serves to fulfill subscription rights under the adopted Fraport
MSOP 2005. The Executive Board and Supervisory Board were authorized to issue up to 1,515,000 stock options to
beneficiaries entitled to subscribe until August 31, 2009, in accordance with the conditions regulating the allocation
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 2 2
of stock options. Some of the shares which were issued as part of performance-related remuneration to members of
the Executive Board are subject to a vesting period of 12 or 24 months.
Contingent capital totaled € 3.7 million as of December 31, 2012. The fifth tranche of the MSOP 2005 was employed
to exercise 201,650 options for a total of € 2.0 million in 2012.
The capital increase to satisfy subscription rights within the framework of the MSOP 2005 is only being carried out
to the extent that the holders of subscription rights exercised their subscription rights granted in the MSOP 2005 on
the basis of the authorization referred to above and the company satisfied the stock options without using treasury
shares, the transfer of shares by a third party, or a cash payment.
A total of 2,016,150 subscription rights were issued from the MSOP 2001 and 2005 by the balance sheet date.
Capital reserve
The € 3.3 million increase in the capital reserve resulted from the € 1.8 million excess in the issue amount (€ 32.53 per
share) of new shares issued under the employee investment plan (54,239 shares in total) and the € 1.3 million excess
in the issue amount (€ 6.58) of new shares issued for contingent capital to satisfy stock options (201,650 shares).
Personnel expenses in the amount of € 0.2 million (previous year: € 1.0 million) were incurred through the MSOP 2005
in the year under review. This amount was recognized in the capital reserve.
Revenue reserves
The revenue reserves consist not only of the reserves of Fraport AG (including the statutory reserves of € 36.5 million),
but also the revenue reserves and retained earnings of the subsidiaries incorporated in the consolidated financial
statements, as well as effects of consolidation adjustments.
Currency translation differences total € 8.4 million (previous year: € 11.5 million). This figure includes currency translation
differences of € – 9.2 million for the Philippine companies accounted for using the equity method, which are not
charged to Group results until the companies are disposed of in accordance with IAS 21.
The derivative valuation reserve is € – 144.7 million as of the balance sheet date (previous year: € – 115.6 million). The
reserve for the fair value valuation of available for sale financial assets totals € 27.7 million (previous year: € 37.1 million).
The Executive Board and Supervisory Board of Fraport AG is submitting a proposal to the Annual General Meeting for
the distribution of € 115.5 million out of the net profit. This equates to € 1.25 per share.
In the 2012 fiscal year, it was decided at the Annual General Meeting of May 11, 2012, to pay a dividend of € 1.25 per
no-par share entitled to dividend. The distributed amount came to € 114.8 million (previous year: € 114.8 million).
32
Non-controlling interests
Non-controlling interests
€ million
Equity attributable to non-controlling interests (excluding the attributable profit for the year)
Profit for the year attributable to non-controlling interests
Total
Dec. 31, 2012
Dec. 31, 2011
22.4
13.3
35.7
19.0
10.4
29.4
Table 75
The non-controlling interests include allocated equity and earnings of Fraport Twin Star Airport Management AD,
FraCareServices GmbH, Fraport Peru S.A.C., FSG Flughafen-Service GmbH, FPS Frankfurt Passenger Services GmbH,
Media Frankfurt GmbH and Lima Airport Partners S.R.L.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
123
33
Non-current and current financial liabilities
Non-current and current financial liabilities
€ million
Residual term
Total
Residual term
Total
up to 1 year
over 1 year
Dec. 31, 2012
up to 1 year
over 1 year
Dec. 31, 2011
Financial liabilities
196.6
4,401.0
4,597.6
219.9
4,034.0
4,253.9
Table 76
There is a general interest rate risk for fixed-interest loans that are extended on expiry.
The fixed-rate loans include also those floating-interest rate loans whose interest rate was fixed by contracting an
interest rate hedge.
Please refer to the presentation of the finance management and the net asset and financial situation in the Group
management report for additional explanations regarding the financial liabilities.
34
Trade accounts payable
Trade accounts payable
€ million
Residual term
Total
Residual term
Total
up to 1 year
over 1 year
Dec. 31, 2012
up to 1 year
over 1 year
Dec. 31, 2011
To third parties
214.4
64.4
278.8
228.9
64.9
293.8
Table 77
35
Non-current and current other liabilities
Non-current and current other liabilities
€ million
Residual term
Total
Residual term
Total
up to 1 year
over 1 year
Dec. 31, 2012
up to 1 year
over 1 year
Dec. 31, 2011
Prepayment for orders
To joint ventures
To associated companies
To investments
Grants for assets
Other accruals
In connection with
concession obligations
Negative fair value
of derivative financial
instruments
Liabilities in connection
with compensatory
measures under nature
conservation laws
Other liabilities
Total
2.1
2.4
0.8
1.7
2.2
7.3
–
–
–
–
13.4
65.0
2.1
2.4
0.8
1.7
15.6
72.3
31.5
643.3
674.8
17.9
5.6
0.2
4.3
2.2
13.0
46.8
–
–
–
–
15.2
65.4
17.9
5.6
0.2
4.3
17.4
78.4
608.2
655.0
–
244.2
244.2
–
203.0
203.0
3.8
111.4
163.2
28.7
11.8
32.5
123.2
1,006.4
1,169.6
6.0
91.4
187.4
29.4
79.8
35.4
171.2
1,001.0
1,188.4
Table 78
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 2 4
Investment grants to the non-current assets include, in particular, grants for additional services provided by Fraport AG,
which are billed to the users. Investment grants include government subsidies of € 9.2 million (previous year: € 11.0 million)
and other grants of € 6.4 million (previous year: € 6.4 million). The government grants relate, in particular, to capital
expenditures incurred for baggage controls at Frankfurt Airport. Special items are released according to the useful life
of the subsidized assets using linear amortization.
The liabilities in connection with the compensatory measures under the nature conservation law relate to the contrac-
tual obligations to carry out environmental compensatory measures based on the work performed to clear the land
south of the airport and near the Northwest Runway as was necessary for the airport expansion.
Accruals are income received and relating to future accounting periods.
The liabilities in connection with concession obligations relate to the obligatory fixed and variable airport operation
concession fees paid for the airports in Antalya, Lima, Varna and Burgas.
The remaining other liabilities consist essentially of lease liabilities, wage and church tax, outstanding social security
contributions, liabilities from accrued interest and liabilities to company employees.
The following lease payments are due from the leases:
Residual terms of lease payments
€ million
Lease payments
Discount amounts
Present value
€ million
Lease payments
Discount amounts
Present value
up to 1 year
1 – 5 years
over 5 years
Dec. 31, 2012
Residual term
Total
13.9
4.0
9.9
53.0
9.9
43.2
25.0
4.5
20.5
91.9
18.4
73.6
up to 1 year
1 – 5 years
over 5 years
Dec. 31, 2011
Residual term
Total
13.3
4.3
9.0
50.3
11.7
38.6
36.7
5.9
30.8
100.3
21.9
78.4
Table 79
Discount rates are between 5.0 % and 8.6 %. Contingent lease payments in the amount of € 0.1 million were recog-
nized in 2012.
36
Deferred tax liabilities
Deferred tax liabilities
€ million
Deferred tax liabilities
Dec. 31, 2012
Dec. 31, 2011
101.3
106.9
Table 80
Deferred tax liabilities are recognized in compliance with IAS 12 using the temporary concept. Further explanations
of deferred tax liabilities can be found in note 16 “taxes on income”.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
125
37
Provisions for pensions and similar obligations
Reconciliation of the assets and liabilities recognized in the financial position:
Provisions for pensions and similar obligations
€ million
2012
2011
2010
2009
2008
Present value of the obligation as of January 1
Interest cost
Current service cost
Past service cost
Benefits paid
Actuarial (gain)/loss
Present value of the obligation as of December 31
Fair value of plan assets (qualifying insurance policy)
as of December 31
Offsetting
Reconciliation to assets and liabilities recognized
in the financial position
Present value of funded financial obligations
Fair value of plan assets
Underfunding/Overfunding
Present value of unfunded financial obligations
Unrecognized actuarial gains/(losses)
Unrecognized past service cost
(Net) liabilities recognized in the financial position
Amounts recognized in the income statement
Current service cost
Interest cost
Income expected from plan assets
Net actuarial (gain)/loss from pension provision
recognized in the current year
(Gain)/loss on plan assets
Past service cost
Expenses recognized in the income statement
Reconciliation of recognized net liabilities in the period
Net liabilities at the beginning of the year
Change in overfunding
Expenses recognized in the income statement
Benefits paid
Asset value of insurance policy paid
Net liabilities at the end of the year
Reconciliation development of plan assets
Fair value of plan assets (qualifying insurance policy)
at the beginning of the year
Income expected from plan assets
(Gain)/loss on plan assets
Asset value of insurance policy paid
Fair value of plan assets (qualifying insurance policy)
as of December 31
37.6
1.6
1.7
0.0
– 2.3
7.2
45.8
18.3
18.9
– 18.3
0.6
26.8
0.0
0.0
27.4 2)
1.7
1.6
– 0.4
7.2
0.2
0.0
10.3
22.9
– 2.3
10.3
– 2.3
– 1.2
27.4
16.9
0.4
– 0.2
1.2
18.3
35.8
1.6
1.6
0.0
– 1.6
0.2
37.6
16.9
14.7
– 16.9
– 2.2
22.9
0.0
0.0
22.9
1.6
1.6
– 0.4
0.2
0.4
0.0
3.4
22.1
0.2
3.4
– 1.6
– 1.2
22.9
15.7
0.4
– 0.4
1.2
16.9
32.6
1.6
1.6
0.0
– 1.6
1.6
35.8
15.7
13.7
– 15.7
– 2.0
22.1
0.0
0.0
22.1
1.6
1.6
– 0.4
1.6
0.3
0.0
4.7
20.3
0.5
4.7
– 1.6
– 1.8
22.1
13.8
0.4
– 0.3
1.8
15.7
26.5 1)
1.5
1.5
0.9
– 1.8
4.0
32.6
13.8
12.3
– 13.8
– 1.5
20.3
0.0
0.0
20.3
1.5
1.5
– 0.3
4.0
0.1
0.9
7.7
18.3 1)
– 2.7
7.7
– 1.8
– 1.2
20.3
12.4
0.3
– 0.1
1.2
13.8
27.6
1.4
1.5
0.1
– 1.5
– 1.8
27.3
12.4
8.3
– 12.4
– 4.1
19.0
0.0
0.0
19.0
1.5
1.4
– 0.2
– 1.8
0.2
0.1
1.2
19.4
0.7
1.2
– 1.5
– 0.8
19.0
11.6
– 0.2
0.2
0.8
12.4
1) The opening financial position has changed compared to the previous year as a result of changes
to the companies included in consolidation.
2) Including underfunding.
Table 81
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 2 6
The pension obligations essentially include 20 (previous year: 18) vested pension benefits promised in individual
agreements to the members of the Fraport AG Executive Board and their dependents. A total of 335 further benefits
(166 of them non-vested) become payable to Senior Managers and employees not covered by collective bargaining
agreements in connection with the Fraport AG company benefit plan. These pension commitments depend on years of
service and salary. The present value of the non-vested benefits amounts to € 0.8 million (previous year: € 0.9 million).
In 2012, reinsurance policy contributions of around € 1.2 million (previous year: € 1.2 million) were paid. Contribu-
tions of € 1.2 million are expected for 2013.
There are commitments to employee-financed pension benefits of € 4.0 million (previous year: € 3.3 million) for
Senior Managers (15 vested rights, previous year: 15) of Fraport AG. The calculation is based on an actuarial opinion
dated December 12/15, 2012.
Valuation is based on the provisions under IAS 19. The pension obligations on December 31, 2012, were calculated
on the basis of actuarial opinions of December 15, 2012. The calculations are based on Professor Dr. Klaus Heubeck’s
fundamental biometric data (RT 2005 G).
A reinsurance policy was already obtained in 2005 to reduce actuarial risks and to protect pension obligations for the
former and current members of the Executive Board against insolvency. The reinsurance benefits are recognized at
the active value reported by the insurance company in the amount of € 18.3 million (previous year: € 16.9 million).
A part (€ 18.3 million) of the present value of the defined benefit obligation (DBO) attributable to the members of
the Executive Board has been offset against the asset of the reinsurance policy. The anticipated return on the reinsur-
ance claims for the next fiscal year amounts to approximately 3.17 %. This amount corresponds to the current interest
rate in the year under review. The actual income from plan assets amounts to € 0.7 million in the year under review
(previous year: € 0.5 million).
Fraport AG has insured its employees for purposes of granting a company pension under the statutory insurance scheme
based on a collective bargaining agreement (Altersvorsorge-TV-Kommunal – [ATV-K]) with the Zusatzversorgungskasse
(top-up provision insurance scheme) for local authority and municipal employers in Wiesbaden (ZVK). The contribu-
tions are collected based on a pay-as-you-go model. The contribution rate of the ZVK is as in the previous year at
6.2 % on compensation subject to mandatory top-up; thereof, the employer pays 5.7 %, with the contribution paid
by the employee amounting to 0.5 %. In addition, a tax-free restructuring charge of 2.3 % of compensation subject to
mandatory top-up is levied by the employer in accordance with Section 63 of the ZVK Statutes (ZVKS). An additional
contribution of 9 % is paid for some employees included in the statutory social security insurance scheme (generally
employees exempted from collective bargaining agreement and Senior Managers) for the consideration subject to ZVK
that, according to Section 38 of the ATV-K, exceeds the upper limit defined in the collective bargaining agreement.
Consideration subject to pay-as-you-go contributions totaled € 460.6 million in 2012 (previous year: € 437.7 million).
This plan is a multi-employer plan (IAS 19.7), since the companies involved share the risk of the investment and also
the biometric risk.
The ZVK insurance policy is generally to be classified as a defined benefit plan (IAS 19.27). Since the plan is a defined
benefit plan, the company has to account for its proportionate share of its benefit obligations in the total obligations
and for the exact share in the total assets of ZVK under IAS 19.29.
If there is no sufficient information on the plan and a company also covers the risks of other insured companies
(IAS 19.32b), only the regular contributions are accounted for as if it was a defined contribution plan.
For this reason, Fraport AG treated this plan as a defined contribution plan.
In the fiscal year, € 26.8 million (previous year: € 25.1 million) were recorded as contributions to defined contribution
plans.
Furthermore, in accordance with German statutory provisions, contributions are also made to state-administered pen-
sion funds. The current contributions are shown as expenses for the respective year (IAS 19.46). Employer contributions
made by the Fraport Group to state-administered pension funds totaled € 71.7 million (previous year: € 70.0 million).
Fraport Annual Report 2012 Group Notes / Notes to the Consolidated Financial Position
127
38
Non-current and current income tax provisions
Non-current and current income tax provisions
€ million
Residual term
Total
Residual term
Total
up to 1 year
over 1 year
Dec. 31, 2012
up to 1 year
over 1 year
Dec. 31, 2011
Income tax provisions
5.3
80.2
85.5
2.4
68.1
70.5
Table 82
Tax provisions amounting to € 85.5 million were accrued for unassessed corporation tax and trade tax, as well as for
tax audit risks.
39
Non-current and current other provisions
The movements in the non-current and current provisions are shown in the following tables:
Personnel-related provisions
€ million
Personnel
thereof non-current
thereof current
Jan. 1, 2012
Use
Release
Additions
Dec. 31, 2012
– 46.8
– 13.4
42.5
97.4
35.5
61.9
79.7
16.0
63.7
Table 83
A large part of the personnel-related provisions were recognized for partial retirement obligations, incentive schemes
for the employees of Fraport AG, as well as time account credits.
Other provisions
€ million
Environment
Passive noise abatement
Nature conservation law
compensation
Other
Total
thereof non-current
thereof current
Jan. 1, 2012
Use
Release
Additions
Interest effect
Dec. 31, 2012
– 5.1
– 0.9
– 0.8
– 26.4
– 33.2
– 0.1
0.0
– 2.0
– 14.8
– 16.9
9.5
0.0
0.0
44.9
54.4
0.0
5.8
4.0
1.3
11.1
33.3
86.1
56.7
163.7
339.8
179.3
160.5
37.6
91.0
57.9
168.7
355.2
199.1
156.1
Table 84
The environmental provisions have been formed essentially for probable restoration costs for the elimination of
groundwater contamination on the Frankfurt Airport site in Frankfurt/Main, as well as for environmental pollution in
the southern section of the airport.
Given the obligation to reimburse residents living near the airport for the costs of noise abatement construction
measures (passive noise abatement), based on the legal decree by the Hessian Government dated September 30, a
provision for passive noise abatement measures in the amount of € 86.1 million was set aside in the previous year. Of
that, expenses linked to the expansion program of € 78.0 million were capitalized as production costs for the North-
west Landing Runway. The remaining € 8.1 million was recorded as expenses independent of the expansion projects.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 2 8
In the year under review, after consultation with the airlines and a review by the HMWVL, approval was granted to levy
passive noise abatement charges to the airlines to offset the expenses for reimbursing the costs of noise abatement
construction measures; the full amount of the expenses will be reimbursed by the airlines. Therefore, in accordance
with IAS 37.53, the expected total reimbursement to be paid by the airlines in the form of passive noise abatement
charges was capitalized as other asset (see note 25). The other asset contains both the partial amount capitalized
last year in non-current assets and the partial amount recorded as expenses, since the reimbursement via the passive
noise abatement charges also covers this amount. Capitalizing this partial amount led to other operating income of
€ 8.1 million in the fiscal year.
A provision for environmental protection compensating measures was set aside in the previous year due to the long-
term obligation to implement ecological compensating measures resulting from the performed clearing of land in the
south of the airport and in the area of the Northwest Runway required for the airport expansion.
Other provisions include the provision of € 19.4 million (previous year: € 27.5 million) for the purchase and compen-
sation program for residences (Fraport Casa), as well as provisions established mainly for rebates and refunds, legal
disputes and damage claims.
40
Financial instruments
Disclosures on carrying amounts and fair values
The following tables present the carrying amounts and fair values of the financial instruments as of December 31,
2012 and 2011, respectively:
Financial instruments as of December 31, 2012
€ million
Measured at
amortized cost
Measured at fair value
Dec. 31,
2012
Recognized
in income
Measurement category according
to IAS 39
Nominal
volume
Loans and
receivables
Fair
value
option
Held for
trading
Available
for sale
Hedging
deriva-
tive
Total
fair value
Liquid
funds
Carrying
amount
Fair
value
Carrying
amount 1)
Carrying
amount 1)
Carrying
amount 1)
Carrying
amount 1)
Assets
Cash and cash equivalents
Trade accounts receivable
Other financial receivables and assets
821.9
180.0
110.2
180.0
110.2
Other financial assets
Securities
Other investments
Loans to investments
Other loans
Derivative financial assets
Hedging derivative
Other derivatives
Total assets
0.9
265.4
497.0
63.0
821.9
180.0
375.6
497.9
63.0
128.4
53.4
0.0
0.0
128.4
128.4
53.4
53.4
821.9
472.0
472.0
0.9
0.0
825.4
0.0
2,120.2
Table 85
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
129
Other financial
liabilities
Fair
value
option
Held for
trading
IAS 17 liability Hedging
deriva-
tive
Total
fair value
Carrying
amount
Fair
value
Carrying
amount 1)
Carrying
amount 1)
Carrying
amount
Fair
value
Carrying
amount 1)
Liabilities and equity
Trade accounts payable
Other financial liabilities
Financial liabilities
Liabilities from finance leases
Derivative financial liabilities
Hedging derivatives
Other derivatives
278.8
718.6
284.8
752.7
4,597.6
4,791.3
73.6
85.1
199.0
284.8
752.7
4,791.3
85.1
199.0
45.2
73.6
85.1
199.0
6,158.1
45.2
45.2
Total liabilities and equity
5,595.0
5,828.8
1) The carrying amount equals the fair value of the financial instruments.
Table 85
Financial instruments as of December 31, 2011
€ million
Measured at
amortized cost
Measured at fair value
Dec. 31,
2011
Recognized
in income
Measurement category according
to IAS 39
Nominal
volume
Loans and
receivables
Fair
value
option
Held for
trading
Available
for sale
Hedging
deriva-
tive
Total fair
value
Liquid
funds
Carrying
amount
Fair
value
Carrying
amount 1)
Carrying
amount 1)
Carrying
amount 1)
Carrying
amount 1)
Assets
Cash and cash equivalents
Trade accounts receivable
Other financial receivables and assets
927.1
163.9
163.9
97.8
97.8
Other financial assets
Securities
Other investments
Loans to investments
Other loans
Derivative financial assets
Hedging derivatives
Other derivatives
Total assets
Liabilities and equity
Trade accounts payable
Other financial liabilities
Financial liabilities
Liabilities from finance leases
Derivative financial liabilities
Hedging derivatives
Other derivatives
0.9
138.2
446.2
60.3
927.1
163.9
236.0
447.1
60.3
97.6
43.6
0.9
0.0
0.9
97.6
43.6
97.6
43.6
927.1
402.9
402.9
0.9
0.0
644.7
0.9
1,976.5
Other financial
liabilities
Fair
value
option
Held for
trading
IAS 17 liability Hedging
deriva-
tive
Total
fair value
Carrying
amount
Fair
value
Carrying
amount 1)
Carrying
amount 1)
Carrying
amount
Fair
value
Carrying
amount 1)
293.8
750.9
295.9
734.4
4,253.9
4,201.8
78.4
83.8
167.8
295.9
734.4
4,201.8
83.8
167.8
35.2
78.4
83.8
167.8
5,518.9
35.2
35.2
Total liabilities and equity
5,298.6
5,232.1
1) The carrying amount equals the fair value of the financial instruments.
Table 86
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 3 0
Given the short maturities for cash, trade accounts receivables and other financial receivables and assets, the carrying
amounts as of the reporting date correspond to the fair value.
The valuation of unlisted securities is based on market data applicable on the valuation date using reliable and special-
ized sources and data providers. The values are determined using established valuation models.
The derivative financial instruments mainly relate to interest rate hedging transactions. The fair values of these finan-
cial instruments are determined on the basis of discounted, future anticipated cash flows, using market interest rates
corresponding to the terms to maturity.
In order to determine the fair value of financial liabilities, the future expected cash flows are determined and discounted
based on the yield curve on the reporting date. The market risk premium for the term and respective borrower on
the reporting date is added to the cash flows.
The fair values of listed securities are identical to the stock market prices on the reporting date.
There is no price quotation or market price for shares in partnerships and other unlisted investments, as there is no
active market for them. The carrying amount is assumed to equal the fair value, since the fair value cannot be deter-
mined reliably. These assets are not intended for sale as of the balance sheet date.
The carrying amounts of other loans and loans to investments correspond to the respective fair values. Some of the
other loans are subject to a market interest rate and their carrying amounts therefore represent a reliable valuation for
their fair values. Another part of the other loans is reported at present value on the balance sheet date. Here, it is also
assumed that the present value corresponds to the fair value. The other remaining loans are promissory note loans
with a remaining term of less than 5 years. Due to the lack of an active market, no information is available on the risk
premiums of their respective issuers. As a result, their carrying amounts were used as the most reliable valuation for
their fair values. These is no intend for sale as of the balance sheet date.
Non-current trade accounts payable are recognized at their present value. Interest rates with similar terms on the
date of addition are used as a basis for discounting future cash outflows. To determine fair value, the respective cash
outflows are discounted at interest rates with similar terms on the reporting date. The carrying amounts of current
trade accounts payable correspond to the fair value.
Fraport Annual Report 2012 Group Notes / Notes to the Consolidated Financial Position
131
The financial instruments recognized at fair value in the balance sheet belong to the following input levels of the
hierarchy within the meaning of IFRS 7.27A:
Measurement categories according to IFRS 7.27A (2012)
€ million
Assets
Other financial receivables and financial assets
Available for sale
Fair value option
Other financial assets
Securities available for sale
Securities fair value option
Other investments
Derivative financial assets
Derivatives without hedging relationships
Derivatives with hedging relationships
Total assets
Liabilities and equity
Derivative financial liabilities
Derivatives without hedging relationships
Derivatives with hedging relationships
Total liabilities and equity
Dec. 31, 2012
Level 1
Level 2
Level 3
Quoted price
Derived price
Prices that
cannot be
derived
265.4
0.0
497.0
0.9
62.6
0.0
0.0
825.9
45.2
199.0
244.2
265.4
0.0
497.0
0.0
0.0
0.0
0.0
762.4
0.0
0.0
0.0
0.0
0.0
0.0
0.9
62.6
0.0
0.0
63.5
45.2
199.0
244.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Table 87
As of December 31, 2011 the financial instruments recognized at fair value in the balance sheet belong to the following
input levels of the hierarchy within the meaning of IFRS 7.27A:
Measurement categories according to IFRS 7.27A (2011)
€ million
Assets
Other financial receivables and financial assets
Available for sale
Fair value option
Other financial assets
Securities available for sale
Securities fair value option
Other investments
Derivative financial assets
Derivatives without hedging relationships
Derivatives with hedging relationships
Total assets
Liabilities and equity
Derivative financial liabilities
Derivatives without hedging relationships
Derivatives with hedging relationships
Total liabilities and equity
Dec. 31, 2011
Level 1
Level 2
Level 3
Quoted price
Derived price
Prices that
cannot be
derived
138.2
0.0
446.2
0.9
60.0
0.0
0.9
646.2
35.2
167.8
203.0
138.2
0.0
446.2
0.0
0.0
0.0
0.0
584.4
0.0
0.0
0.0
0.0
0.0
0.0
0.9
60.0
0.0
0.9
61.8
35.2
167.8
203.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Table 88
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 3 2
Net gains and losses of the measurement categories
€ million
Financial assets
Loans and receivables
Fair value option
Held for trading
Available for sale
Financial liabilities
At amortized cost
Held for trading
2012
2011
1.1
0.0
0.0
49.3
– 2.8
– 10.0
– 6.0
0.1
0.0
– 7.6
– 3.1
– 12.6
Table 89
Net gains and losses consist of changes in fair value, impairment losses and write-ups recognized through profit or
loss, foreign currency changes and gains and losses on disposals.
Interest and dividend income to which the fair value option applies, or which are available for sale, are also included
in the computation of net gains and losses. Interest and dividend income of the other categories are not included in
the net gains and losses disclosed. These are included in interest income and expenses.
Gains from the valuation at fair value of financial instruments in the “available for sale” category to the amount of
€ 14.8 million (previous year: € 10.6 million) were recorded directly in equity without affecting profit or loss during
the year under review.
In addition to the recognized fair value changes, losses on financial liabilities in the “held for trading” category also
include the fair values of 2 interest rate swaps for which there were no hedged items in the course of the fiscal year.
Derivative financial instruments
With regard to its balance sheet accounts and planned transactions, Fraport is, in particular, subject to interest rate
and currency exchange risks. Fraport covers interest rate and currency risks by establishing naturally hedged positions,
in which the values or cash flows of primary financial instruments offset each other in their timing and amount and/
or by using derivative financial instruments to hedge the business transactions. Derivatives are not used for trading
or speculative purposes.
Interest rate risks arise in particular from the capital requirements for capital expenditure and from existing floating
interest rate financial liabilities and assets. As part of the interest rate risk management policy, interest rate derivatives
were concluded in order to limit the interest rate risk arising from financial instruments with floating interest rates and
assure planning security.
Within the Group, foreign currency risks mainly arise from sales in foreign currencies, which are not covered by expenses
in matching currencies. This results in a cash flow risk between foreign currency revenue and the functional currency.
Fraport hedges such risks by entering into currency forwards.
The Group holds 50 interest rate swaps and 1 interest rate/currency swap as of the reporting date. Furthermore,
options were sold on 5 interest rate swaps in order to optimize financing costs. The value of the options is taken into
account in the fair value of the interest rate swaps. There are also 9 currency forwards.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position
133
Derivative financial instruments
€ million
Nominal volume
Fair value
Credit risk
Dec. 31, 2012
Dec. 31, 2011
Dec. 31, 2012
Dec. 31, 2011
Dec. 31, 2012
Dec. 31, 2011
Interest rate swaps
1,447.5
1,463.1
– 243.9
– 202.5
Interest rate/
currency swap
Diesel fuel swaps
Currency forwards
1) metric tons.
15.0
0.0
3.9
15.5
3,600 mt 1)
2.1
– 0.3
0.0
0.0
– 0.4
0.9
– 0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.9
0.0
Table 90
A credit risk (counterparty risk) arises from positive fair values of derivative transactions that have been concluded.
The total of all the positive fair values of the derivatives also corresponds simultaneously to the maximum default risk
of these business transactions. In accordance with financial risk guidelines, derivative contracts are only concluded
with counterparties that have an investment grade sector rating in order to minimize the default and credit risks.
The fair values of the derivative financial instruments are recorded as follows in the balance sheet:
Fair values of derivative financial instruments
€ million
Other assets
Other liabilities
Dec. 31, 2012
Dec. 31, 2011
Dec. 31, 2012
Dec. 31, 2011
Interest rate swaps – cash flow hedges
Interest rate swaps – trading
Interest rate/currency swap – cash flow hedges
Diesel fuel swaps
Currency forwards – cash flow hedges
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.9
0.0
198.7
45.2
0.3
0.0
0.0
167.3
35.2
0.4
0.0
0.1
Table 91
43 of the interest rate swaps are already assigned to existing floating-interest-bearing liabilities. One interest rate/
currency swap is assigned to a floating-interest-bearing asset denominated in a foreign currency in order to limit both
the resulting interest rate and currency risks.
A total of 43 interest rate swaps, the interest rate/currency swap and the currency forwards are accounted for as cash
flow hedges according to IAS 39. Changes in the fair values of these instruments are recorded in an equity sub-account
without affecting profit or loss. The effectiveness of these cash flow hedges has been verified and is confirmed and
documented at regular intervals. 7 interest rate swaps are classified as “held for trading.” All gains or losses resulting
from this classification are recorded through profit or loss.
The payments under the cash flow hedges become due in the following years. This is also the time when the respective
hedged item affects profit or loss.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 3 4
Interest rate swaps and interest rate/currency swap
€ million
Beginning of term
End of term Nominal volume
Fair value
2005
2006
2007
2007
2008
2009
2009
2009
2009
2010
2010
2010
2010
2011
Total
Currency forwards
€ million
Maturing date
2013
2014
2016
2017
2019
2018
2015
2016
2017
2019
2013
2015
2017
2020
2015
60.0
70.0
60.0
187.5
115.0
45.0
100.0
25.0
220.0
15.0
85.0
100.0
85.0
70.0
– 2.2
– 8.9
– 10.2
– 32.0
– 21.6
– 4.6
– 12.7
– 4.3
– 47.7
– 0.3
– 8.9
– 17.5
– 21.5
– 6.6
1,237.5
– 199.0
Table 92
Nominal volume
Fair value
3.9
0.0
Tabelle 93
Unrealized losses of € 32.3 million were recorded in equity from the change in fair value of derivatives in the fiscal
year (previous year: € 45.1 million). During the year under review realized losses of € 30.7 million were transferred
from equity to the financial result (previous year: € 25.6 million) and € 1.0 million realized gains to the operating result
(previous year: € 0.7 million). In addition, the ineffectiveness of the interest rate swaps amounting to € 0.1 million
was recorded through profit and loss as in the previous year.
The diesel fuel swaps expired and came off on December 31, 2012.
Fraport Annual Report 2012
Group Notes / Notes to the Consolidated Financial Position / Notes to the Segment Reporting
135
Notes to the Segment Reporting
41
Notes to the segment reporting
Segment reporting in the Fraport Group according to IFRS 8 is based on internal reporting to the Executive Board.
The strategic business units of Fraport AG in Frankfurt are clearly assigned to the Aviation, Retail & Real Estate and
Ground Handling segments. In addition, these segments include investments integrated in the business processes
at the Frankfurt site.
The strategic business unit Terminal and Traffic Management in Frankfurt and the airport expansion are allocated to the
Aviation segment. The Aviation segment also encompasses the strategic business unit Airport Security Management,
combining airport and aviation security at the Frankfurt site.
The Retail & Real Estate segment consists of the strategic business unit Retail and Properties, comprising the retailing
activities, parking facility management and the rental and marketing of real estate at the Frankfurt site.
The Ground Handling segment combines the strategic business unit Ground Services and the investments involved
in these operations at the Frankfurt site.
The External Activities & Services segment encompasses the internal service units of Facility Management and Central
Infrastructure Management, as well as the Information and Telecommunication services and their subsidiaries. Invest-
ments that are not integrated in the processes at the Frankfurt site and investments that carry out their business
operations outside of Frankfurt are also allocated to the External Activities & Services segment.
Corporate data at Fraport AG is divided into market-oriented business and service units on the one hand and into
central units on the other hand. All the business and service units are allocated clearly to one segment each. The
central units are categorized appropriately.
The data about the investments that are not integrated in the processes at the Frankfurt site and investments that
carry out their business operations outside Frankfurt are allocated to the External Activities & Services segment dur-
ing reporting. The investments that are integrated in the processes at the Frankfurt site are allocated to the relevant
segment according to their business operations.
Inter-segment income is primarily generated by the inter-company allocation of rent for land, buildings and space, as
well as maintenance services and energy supply by Fraport AG. The corresponding assets are allocated to the Retail &
Real Estate segment. The relevant units are charged on the basis of the costs incurred, including imputed interest.
Inter-segment income also reflects income that has been generated between the companies included from different
segments.
Goodwill from business combinations and the appropriate impairment losses, where applicable, have been allocated
clearly to a segment according to the segment structure.
The reconciliation of the segment assets/segment liabilities column includes the income tax assets/liabilities (including
the deferred tax assets/liabilities) of the Group.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 3 6
In the additional disclosures “Geographical Information,” allocation is according to the current main areas of opera-
tion: Germany, rest of Europe, Asia and rest of the world. The figures shown under Asia relate mainly to Turkey and
the People’s Republic of China. The figures shown under rest of the world relate mainly to the USA and Peru.
Depreciation and amortization for the segment assets include impairment losses under IAS 36 to the amount of € 0.3 million
(previous year: € 12.8 million). Impairments put pressure on the Retail & Real Estate segment (in the previous year,
impairments had accounted for € 6.7 million in the Aviation segment and € 6.1 million in the Retail & Real Estate segment).
Segment assets of the Retail & Real Estate segment include real estate inventories of € 57.4 million (previous year:
€ 61.4 million).
During the fiscal year 2012, revenue of € 861.0 million was generated in all 4 segments from one customer (previ-
ous year: € 823.5 million). Further explanations about segment reporting can be found in the management report.
Notes to the Consolidated Statement of Cash Flows
42
Notes to the consolidated statement of cash flows
Cash flow from operating activities
Cash flow from operating activities of € 553.0 million (previous year: € 618.8 million) is the balance of cash inflows of
€ 809.8 million (previous year: € 785.6 million) due to the positive trend in operational activities. They are counter-
balanced with greater cash outflows of € 135.5 million (previous year: € 74.1 million) from financing activities and
€ 121.3 million (previous year: € 92.7 million) relating to income tax.
Cash flow used in investing activities
Major capital expenditure on property, plant and equipment were once again made as part of the airport expansion
program and the extension projects at Frankfurt Airport.
Cash flow used in investing activities without investments in cash deposits and securities amounted to € 736.2 million
in the reporting period, a decrease of € 333.0 million year-on-year. The proceeds from the disposal of non-current
and current securities and promissory note loans, investment of the proceeds in new financial assets and changes
to cash and cash equivalents with a term of more than 3 months resulted in cash flow used in investing activities of
€ 779.2 million, which was considerably more than the previous year (€ 309.8 million).
Cash flow from/used in financing activities
Cash flow from financing activities of € 218.2 million mainly resulted from additional borrowings of non-current financial
liabilities (previous year: cash outflow in the amount of € 274.6 million).
Reconciliation to cash and cash equivalents as of the financial position
€ million
Dec. 31, 2012
Dec. 31, 2011
Cash and cash equivalents according to cash flow statement
Time deposits with a residual term of more than 3 months
Restricted cash
Cash and cash equivalents according to the financial position
127.1
584.0
110.8
821.9
132.8
680.0
114.3
927.1
Table 94
Fraport Annual Report 2012
Group Notes / Notes to the Segment Reporting / Notes to the Consolidated Statement of Cash Flows / Other Disclosures
137
Other Disclosures
43
Contingent liabilities
Contingent liabilities
€ million
Guarantees
Warranty contracts
thereof performance guarantees
Others
Total
Dec. 31, 2012
Dec. 31, 2011
4.7
186.0
127.3
23.7
214.4
4.6
200.9
128.5
23.8
229.3
Table 95
The performance guarantees include a joint and several liability to the Hong Kong Airport Authority in connection
with the Tradeport Hong Kong Ltd. investment project amounting to € 3.9 million (US-$ 5.2 million). Previous year:
€ 4.0 million/US-$5.2 million.
A performance guarantee, excluding recourse against Fraport AG, was signed between GMR Holdings Private Ltd.,
Fraport AG and ICICI Bank Ltd. to the amount of € 41.4 million (INR 3,000 million) to modernize, expand and operate
Delhi Airport (India). If, however, the party to the contract, GMR Holdings Private Ltd., fails to meet its contractual
obligations under the contract, Fraport AG’s liability may not be excluded – given the fact that Fraport AG is party to
the contract.
In the context of operating the airports in Varna and Burgas (Bulgaria), Fraport AG guaranteed the contractual perfor-
mance of its subsidiary Fraport Twin Star Airport Management AD, established in 2006, to the amount of € 9.0 million.
The existing contract performance guarantee related to the concession agreement for the operation of the airport in
Lima, Peru, amounts to € 8.7 million (US-$ 11.4 million) on the balance sheet date.
In connection with the terminal operation at Antalya Airport (Turkey), Fraport AG assumed a contract performance
guarantee of € 35.6 million for the investment in the Antalya operating company.
The other warranties mainly include guarantees assumed by Fraport AG in connection with the contractual financing
arrangements signed by the Antalya operating company. As a result the Fraport Group incurred contingent liabilities
to the amount of € 29.5 million.
Fraport AG is held liable to the amount of € 12.8 million for rentals payable by Lufthansa Cargo Aktiengesellschaft to
Tectum 26. Vermögensverwaltungs GmbH, if Lufthansa Cargo Aktiengesellschaft exercises an extraordinary right to
terminate the contract.
44
Other financial commitments
Order commitments
€ million
Orders for capital expenditure in property, plant and equipment, intangible assets and
investment property/others
Orders for energy supply
Total
Dec. 31, 2012
Dec. 31, 2011
359.3
83.0
442.3
640.0
79.8
719.8
Table 96
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 3 8
Operating leases
€ million
Rental and leasing contracts
up to 1 year
1 to 5 years
more than 5 years
Total
Dec. 31, 2012
Dec. 31, 2011
10.4
10.6
26.3
47.3
14.5
11.9
26.7
53.1
Table 97
Other financial commitments include future expenses arising from rental agreements and leases. The contracts entered
into relate to building rental agreements and the lease of equipment. The equipment leases indicate an average remain-
ing term of 2 years on the reporting date. The building rental agreements can generally be terminated at short notice.
In view of their financial content, the relevant leases qualify as operating leases, i.e. the leased asset is attributable to
the lessor.
Other commitments
Revenue-related concession charges and additional obligations for capital expenditure of unspecified amounts on
airport infrastructure have been agreed based on the existing concession agreements related to the operation of the
airports in Varna and Burgas, Bulgaria (term until 2041) and Lima, Peru (minimum term until 2031) (see note 49).
There are additional financial obligations as of the balance sheet date to the amount of € 192.4 million (previous
year: € 229.3 million). These mainly consist of a loan commitment to Northern Capital Gateway LCC to finance the
development and modernization of Pulkovo Airport in St. Petersburg to the amount of € 45.5 million. There were
further capital contribution obligations to finance capital expenditure for Delhi Indira Gandhi International Airport in
India to the amount of € 20.7 million (INR 1.5 billion). The obligation arising from a long-term heat supply contract
constitutes another significant component.
45
Stock options
Fraport Management Stock Options Plan 2005
In order to meet the requirements for variable compensation paid to Senior Managers, the Supervisory Board and the
Executive Board resolved during fiscal year 2005 to submit a proposal to the Annual General Meeting of Fraport AG
for a new Fraport Management Stock Options Plan 2005 (MSOP 2005).
On June 1, 2005, the Annual General Meeting of Fraport AG passed a resolution to adopt the main points of the MSOP
2005 proposal and the necessary capital measures to implement the plan. On the whole, it was possible to issue a
total volume not exceeding 1,515,000 stock options to all eligible employees up until August 31, 2009, within the
scope of the Fraport MSOP 2005.
The stock options could be granted to eligible beneficiaries once a year in up to 5 annual tranches. The prerequisite
for participation in the MSOP 2005 was the direct investment in shares by employees entitled to participate (blocked
deposit).
In accordance with the aforementioned resolution, the subscription rights can be satisfied either with shares issued
on the basis of contingent capital or with treasury shares or by cash settlement.
The subscription rights for the MSOP 2005 can only be exercised after a vesting period of 3 years within a further
period of 2 years.
Fraport Annual Report 2012
Group Notes / Other Disclosures
139
The stock options under the MSOP 2005 can only be exercised if the closing price of the Fraport share on the trading
day that immediately precedes the day of exercise (“valuation day”) exceeds the original exercise price by at least 20 %.
In contrast to the previous plan, the new plan not only includes an absolute exercise limit but also a relative exercise
limit linked to the performance of a specific stock basket. The amount of the resulting profit attributable to the ben-
eficiary arising from the exercise of stock options is also limited. Thus, 150 % of the original exercise price for each
stock option must not be exceeded.
The conditions to exercise the 1st tranche of the MSOP 2005 were first met in the 2008 fiscal year, when 44,700
options were drawn. In fiscal year 2010, 132,700 options expired because the exercise limit was not reached; while
20,900 options expired during the entire exercise period due to job terminations.
The vesting period for the 2nd tranche of the MSOP 2005 ended on April 18, 2009. However, the requirements for
exercising this tranche were not met, also as a result of the exercise limit. Therefore, 148,300 options expired in fiscal
year 2011. Another 68,100 options expired in the exercise period due to job terminations.
The vesting period for the 3rd tranche of the MSOP 2005 ended on April 17, 2010. However, in common with the
previous tranche, the requirements for exercising this tranche were not met, also as a result of the exercise limit.
Therefore, 187,150 options expired in fiscal year 2012. Another 32,800 options expired in the exercise period due
to job terminations.
The vesting period for the 4th tranche of the MSOP 2005, ended on June 3, 2011. Likewise, the requirements for
exercising this tranche were not met this time, also as a result of the exercise limit. As a total of 61,600 options have
already expired as a result of termination of employment, only 188,350 options – or around 75.4 % of the originally
issued options – remain.
The vesting period for the 5th tranche of the MSOP 2005 ended on April 10, 2012. The requirements for exercising this
tranche were met. 201,650 stock options were exercised in the past fiscal year. 25,000 options have already expired in
previous years due to termination of employment and so there are currently 31,850 options left. This is approximately
12.3 % of the options originally issued.
As the authorization to issue subscription rights expired in 2009, no further stock options were issued in 2010, 2011
and 2012.
For more information on contingent capital, see note 31.
Development of subscription rights issued:
Development of the subscription rights issued
Total
Weighted
average of
exercise price
in €
Thereof to
Executive Board
members
Thereof to
Directors of
affiliated
companies
Thereof to
Senior
Managers of
Fraport AG
Rights issued on January 1, 2012
Exercised in 2012
Expired in 2012
Rights issued on December 31, 2012
627,300
– 201,650
– 205,450
220,200
29.00
16.58
47.70
30.87
148,000
– 47,000
– 47,000
54,000
93,800
– 35,350
– 29,100
29,350
385,500
– 119,300
– 129,350
136,850
Table 98
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 4 0
Since the exercise period of the 3rd tranche from 2005 ended in 2012, the remaining 187,150 subscription rights that
have not been exercised have expired. Of these, 47,000 subscription rights relate to the Executive Board, 117,550 to
Senior Managers and 22,600 to Directors of affiliated companies.
31,850 of the outstanding options can be exercised in the 5th tranche (previous year: 0). With regard to the 188,350
options in the 4th tranche, the exercise requirements were not met by the end of the reporting period. If the absolute
exercise limit had at least been reached, it would also have been possible to exercise these options. The weighted
average share price for the fiscal year was € 44.67 (previous year: € 49.15). The key data for the MSOP tranches issued
in the years 2005 to 2009 are shown in the table below:
Key data for the MSOP tranches
Grant date
End of
vesting period
End of exercise
period
Exercise
threshold
in €
Exercise
price
in €
Fair value 2)
in €
Tranche 2005
Tranche 2006
Tranche 2007
Tranche 2008
Tranche 2009
June 6, 2005
June 6, 2008 March 25, 2010
April 18, 2006
April 18, 2009 March 26, 2011
April 17, 2007
April 17, 2010 March 24, 2012
June 3, 2008
June 3, 2011
June 3, 2013
April 10, 2009
April 10, 2012 March 28, 2014
39.49
75.60
66.12
54.30
30.20
32.91 1)
63.00 1)
55.10 1)
45.25 1)
25.17 1)
1) Original exercise price at the grant date, subject to an adjustment by the relative performance goal.
2) At the grant date.
10.96
19.27
18.42
13.40
8.55
Table 99
Personnel expenses in the amount of € 0.2 million (previous year: € 1.0 million) were incurred through the MSOP
2005 in the year under review. This amount was recognized in the capital reserve.
Recognition of the stock options through profit or loss is based on the fair value of each option of a tranche. A Monte-
Carlo simulation is used to determine fair value. In the process, the log-normal distributed processes of the Fraport
share price and the MSOP basket price are simulated to mirror, based on the performance goals, the respective per-
formance of the Fraport share and the comparative index and the increase in the closing price of the Fraport share by
at least 20 % vs. the original exercise price.
The computation of whether the Fraport share outperforms or underperforms the index is made on the basis of a
total shareholder return; i.e. on the basis of the respective share performance, taking into account cash dividends,
subscription rights, capital adjustments and other exceptional rights. In addition, the Monte-Carlo simulation allows
for an early exercise, taking into account blocked periods and the early exercise procedure for those so entitled.
The fair value of all options to be measured in fiscal year 2012 was computed on the following basis.
Interest rate
The basis of the computations on the valuation date was a continuous zero interest rate. The interest rates were com-
puted from the interest rate structures of government bonds maturing between one and 10 years.
Dividends
Discrete dividends are used in the Monte-Carlo simulation. The computation basis for future dividend payments is
public estimates made by 10 banks. The arithmetic mean of these estimates is taken to determine the dividends.
Volatilities and correlation
To ensure an objective procedure, historic data is used to measure volatilities and correlations. They are determined
on the basis of the daily XETRA closing rates of the Fraport share and the daily rates of the MSOP basket index. The
price history of the index was computed using the current weighting of the index as at the grant date and taking into
consideration the historical closing rates of the index components.
Fraport Annual Report 2012
Group Notes / Other Disclosures
141
The time frame for determining volatilities and correlations is the remaining maturity of the options.
The fair values at the time of issue are as follows:
Fair value of the MSOP tranches
Tranche 2005
Tranche 2006
Tranche 2007
Tranche 2008
Tranche 2009
Grant date
Fair value
in €
Closing price
in €
June 6, 2005
April 18, 2006
April 17, 2007
June 3, 2008
April 10, 2009
10.96
19.27
18.42
13.40
8.55
33.00
58.15
55.92
43.40
27.93
Table 100
The following volatilities and correlations were used for the computation as of the respective issue date:
Volatilities and correlations
Tranche 2005
Tranche 2006
Tranche 2007
Tranche 2008
Tranche 2009
Grant date
Volatility
Fraport
Volatility
MSOP basket
Correlation
Fraport/
MSOP basket
June 6, 2005
April 18, 2006
April 17, 2007
June 3, 2008
April 10, 2009
34.04 %
32.34 %
29.69 %
27.69 %
33.75 %
22.55 %
20.78 %
21.18 %
15.03 %
20.38 %
0.2880
0.2925
0.3095
0.4215
0.5382
Table 101
The computation for measuring the 1st tranche of the MSOP 2005 was made using a continuous zero interest rate
of 2.57 % as of the issue date. Dividends were estimated to be € 0.86 in 2006 and € 0.94 in 2007.
The computation for measuring the 2nd tranche of the MSOP 2005 was made using a continuous zero interest rate
of 3.65 % as of the issue date. Dividend estimates were € 1.00 for 2007 and € 1.10 for 2008.
The computation for measuring the 3rd tranche of the MSOP 2005 was made using a continuous zero interest rate
of 4.06 % as of the issue date. Dividend estimates were € 1.16 for 2008 and € 1.17 for 2009.
The computation for measuring the 4th tranche of the MSOP 2005 was made using a continuous zero interest rate
of 4.25 % as of the issue date. Dividend estimates were € 1.14 for 2009 and € 1.15 for 2010.
The computation for measuring the 5th tranche of the MSOP 2005 was made using a continuous zero interest rate
of 2.51 % as of the issue date. Dividend estimates were € 1.15 for 2010 and € 1.18 for 2011.
An annual increase of € 0.01 was expected for the years to come.
46
Long-Term Incentive Program (LTIP)
The LTIP for the Executive Board and Senior Managers was introduced effective January 1, 2010, to replace the previous
MSOP 2005.
A certain number of virtual shares (so-called performance shares) is allocated annually depending on certain perfor-
mance objectives. Target achievement is measured over 4 years (performance period); payment in cash takes place
immediately at the end of the 4-year performance period.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 4 2
The number of virtual shares actually allocated depends on the extent to which 2 performance targets are met:
> Earnings per share (EPS) (target weighting 70 %)
This internal performance target is determined by comparing the actual average EPS in the performance period with
the weighted average budget EPS at the start of the period.
> Total shareholder return MDAX (TSR) (target weighting 30 %)
The TSR measures the development of shares over a certain period of time subject to dividends and share price
developments. Therefore, it constitutes a market-dependent performance target.
The amount of the actual tranche is limited to 150 % of the target tranche (virtual shares awarded).
A total of 79,225 virtual shares were issued in the 2012 fiscal year. A provision for the LTIP in the amount of € 5.9 million
(previous year: € 2.9 million) is reported as of December 31, 2012.
Expenses reported in the fiscal year amount to € 3.0 million (previous year: € 1.6 million).
Development of virtual shares issued
Tranche
Issued
Thereof
Executive
Board
Thereof
Senior
Managers of
Fraport AG
Thereof
Directors
of affiliated
companies
Thereof
expired
Additional
options
issued
Balance at
Dec. 31,
2012
Fair value
Dec. 31,
2012
Fiscal year 2010
Fiscal year 2011
Fiscal year 2012
Amount of issued
virtual shares as of
Dec. 31, 2012
94,185
77,825
79,225
29,550
29,550
29,550
51,585
37,650
38,800
13,050
10,625
10,875
12,291
11,876
12,217
3,411
7,176
6,095
85,305
73,125
73,103
57.38
45.40
36.41
251,235
88,650
128,035
34,550
36,384
16,682
231,533
Table 102
Virtual share conditions
The virtual shares in the 2012 tranche were issued on January 1, 2012. Their term is 4 years up to December 31, 2015.
The payout per virtual share corresponds to the weighted average closing price of the Fraport share in XETRA trading
on the first 30 stock market trading days immediately following the last day of the performance period.
A claim to LTIP payments is established with the approval by the Supervisory Board of the consolidated financial state-
ments for the last fiscal year of the performance period. Payments are then made within one month.
The valuation of the virtual shares takes place on the basis of the fair value per share for a tranche. A Monte-Carlo
simulation is used to determine the fair value. In the process, the log-normal distributed processes of the Fraport share
price are simulated to determine the relevant payment according to the respective performance goals.
The fair value of virtual shares to be measured in the 2010 and 2011 fiscal years is calculated based on the following
assumptions:
The basis of the computations on the respective valuation date is a continuous zero interest rate. The interest rates
were computed from the interest rate structures of government bonds maturing between one and 10 years.
The computation basis for future dividend payments is public estimates made by 10 banks. The arithmetic mean of
these estimates is taken to determine the dividends.
Fraport Annual Report 2012
Group Notes / Other Disclosures
143
Historic volatility is used for the calculations. The calculations are based on the daily XETRA closing price for Fraport AG.
The remaining term of the LTIP is used as the time horizon to determine volatility.
Valuation parameters (LTIP)
Fair value
Target achievement,
earnings per share
Rank total shareholder return MDAX
Interest rate end of period share price
Interest rate at time of payment
Dividend 2010
Dividend 2011
Dividend 2012
Dividend 2013
Dividend 2014
Dividend 2015
Volatility Fraport
47
Risk management
Tranche 2012
Tranche 2011
Tranche 2010
Jan. 1, 2012 Dec. 31, 2012
Jan. 1, 2011 Dec. 31, 2012
Jan. 1, 2010 Dec. 31, 2012
€ 32.42
€ 36.41
€ 42.34
€ 45.40
€ 31.68
€ 57.38
100.00 %
94.66 %
100.00 %
107.95 %
100.00 %
203.18 %
25
0.59 %
0.63 %
€ 1.27
€ 1.31
€ 1.49
€ 1.56
27
0.04 %
0.06 %
€ 1.26
€ 1.31
€ 1.41
25
1.60 %
1.65 %
€ 1.15
€ 1.18
€ 1.23
€ 1.24
26.5
– 0.04 %
– 0.03 %
€ 1.26
€ 1.31
€ 1.41
25
2.23 %
2.28 %
€ 1.15
€ 1.15
€ 1.17
€ 1.18
26
– 0.04 %
– 0.04 %
€ 1.26
€ 1.31
€ 1.41
37.66 %
27.00 %
37.83 %
28.43 %
38.55 %
25.52 %
Table 103
Fraport is exposed to market price risks mainly due to changes in exchange rates and interest rates. The Group is
additionally exposed to credit risks. There are also liquidity risks arising in connection with credit and market price
risks or resulting from a worsening of the operating business or disturbances on the financial markets. It is the objec-
tive of financial risk management to limit these risks by current operating and finance-related activities. Depending
on a risk assessment, selected hedging instruments are used. In general, Fraport hedges only those risks that affect
the Group’s cash flows. All derivative financial instruments are used as hedging instruments; i.e. they are not used for
trading purposes.
Reporting to the Executive Board of updated risk positions is made once per quarter as part of the early risk recogni-
tion system. In addition, updated reporting of all material financial risk positions is provided in the monthly finance
report to the Chief Financial Officer and in the monthly Treasury Committee Meeting (TCM) held between Treasury,
Financial Risk Controlling and the Chief Financial Officer (CFO).
Fraport has prepared internal guidelines that deal with the processes of risk control and regulate the use of financial
instruments; they include the unambiguous segregation of functions in respect of operating financial activities, their
settlement and accounting and the control of the financial instruments. The guidelines, which are the basis of the risk
management processes, aim to limit and control the risks appropriately and monitor them. Both the guidelines and
the systems are regularly reviewed and adjusted to current market and product developments.
Credit risk
Fraport is subject to default risks from its operating business and certain financial positions. The default risks arising
from financial positions are controlled by a broad diversification of counterparties and issuers, as well as regular veri-
fication of their credit ratings. It is the company’s risk policy that financial assets and derivative transactions are only
carried out with issuers and counterparties with an investment grade credit rating. If the credit rating is downgraded
to non-investment grade during the asset’s holding period or the term of the derivative, a decision will be made on
a case-by-case basis on how to deal with the asset or derivative in future, taking into account the remaining term.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 4 4
The maximum credit risk on the balance sheet date is mainly reflected by the carrying amounts of the assets reported
in the balance sheet. The credit risk on securities in non-current and current assets is equal to the amount of debt
instruments. On the balance sheet date, the breakdown of the securities was as follows:
Breakdown of securities
€ million
Equity instruments
Debt instruments
Dec. 31, 2012
Dec. 31, 2011
0.0
841.1
73.7
606.1
Table 104
Securities that represent debt instruments have the following long-term issuer ratings:
Issuer ratings, debt representing securities (2012)
€ million
AAA
AA+
AA
AA –
A+
A
A –
BBB+
BBB
BBB –
BB+
Total
In the previous year, the securities had the following issuer ratings:
Issuer ratings, debt representing securities (2011)
€ million
AAA
AA+
AA
AA –
A+
A
A –
BBB+
BBB
BBB –
BB+
N/A (short-term A-3)
Total
Dec. 31, 2012
15.7
48.5
0.0
29.0
165.1
140.5
158.3
91.5
97.2
85.3
10.0
841.1
Table 105
Dec. 31, 2011
20.5
23.3
0.0
0.0
156.4
148.4
49.2
86.9
42.1
54.4
10.0
14.9
606.1
Table 106
Fraport Annual Report 2012
Group Notes / Other Disclosures
145
The credit risk on liquid funds applies solely with regard to banks. Current cash investments are maintained with banks.
The banks where liquid funds are deposited have the following short-term issuer ratings:
Issuer ratings, liquid funds (2012)
€ million
A-1+
A-1
A-2
A-3
P-1
P-2
P-3
F-1+
N/A
Total
In the previous year, the banks where liquid funds were deposited had the following issuer ratings:
Issuer ratings, liquid funds (2011)
€ million
A-1+
A-1
A-2
A-3
P-1
P-2
P-3
F-1+
N/A
Total
Dec. 31, 2012
113.6
314.0
3.4
0.0
132.3
229.5
2.3
1.0
25.8
821.9
Table 107
Dec. 31, 2011
56.7
615.2
1.4
0.6
11.7
237.6
1.2
0.7
2.0
927.1
Table 108
Liquidity risk
Fraport generates financial funds mainly through its operating business and external financing. The funds are primarily
used to finance capital expenditure for items of property, plant and equipment.
The operating cash flows, the available liquid funds (including cash and cash equivalents and short-term realizable
securities and other financial instruments), as well as current and non-current credit lines and loan commitments, give
sufficient flexibility to ensure the liquidity of the Fraport Group.
Given the diversity both of the financing sources and the liquid funds and financial assets, there is no risk of concen-
tration in liquidity.
The operating liquidity management comprises a cash concentration process, which combines daily the liquid funds
of most of the companies headquartered in Germany. This allows optimum control of liquidity surpluses and require-
ments in line with the needs of individual companies. Short- and medium-term liquidity management includes the
maturities of financial assets and financial liabilities and estimates of the operating cash flow.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 4 6
The following list of maturities shows how the liability cash flows as of December 31, 2012, influence the Group’s
future liquidity.
Liquidity profile as of December 31, 2012
€ million
Total 1)
Interest
2013
Repay-
ment
2014
2015 – 2019
2020 – 2024
2025 et seq.
Interest
Repay-
ment
Interest
Repay-
ment
Interest
Repay-
ment
Interest
Repay-
ment
Primary financial
instruments
Financial liabilities
5,505.8
117.5
157.8
114.6
284.9
519.1
3,185.1
114.3
673.4
70.0
269.0
Finance leases
92.0
Concessions payable
1,242.4
Trade accounts payable
Loan commitments
Derivative financial
instruments
288.1
45.5
Interest rate swaps
253.0
Thereof trading
Thereof hedge
accounting
Currency forwards
4.0
45.0
9.9
31.5
1.1
214.4
35.5
58.3
8.5
49.8
3.4
43.4
1.0
56.4
8.5
47.9
Incoming payments
Outgoing payments
3.9
3.8
3.9
3.8
1) Total of interest and repayments.
8.0
43.5
1.8
4.9
1.2
5.2
186.8
161.0
118.9
235.5
173.5
217.6
4.1
12.4
2.4
8.2
0.6
5.1
10.1
29.2
38.8
10.0
133.6
24.9
108.7
4.6
3.2
1.4
0.2
0.2
Table 109
The liquidity profile as of December 31, 2011, was as follows:
Liquidity profile as of December 31, 2011
€ million
Total 1)
Interest
2012
Repay-
ment
2013
2014 – 2018
2019 – 2023
2024 et seq.
Interest
Repay-
ment
Interest
Repay-
ment
Interest
Repay-
ment
Interest
Repay-
ment
Primary financial
instruments
Financial liabilities
5,241.6
142.9
187.2
122.3
185.4
573.0
2,344.7
114.7
1,368.5
52.9
150.0
Finance leases
100.3
Concessions payable
1,297.1
Trade accounts payable
Loan commitments
Derivative financial
instruments
303.7
75.4
Interest rate swaps
214.5
Thereof trading
Thereof hedge
accounting
Diesel fuel swaps
Currency forwards
4.3
21.3
9.0
46.8
1.1
228.9
29.5
39.8
5.6
34.2
3.8
24.5
1.0
48.8
7.0
41.8
Incoming payments
Outgoing payments
2.1
2.1
2.1
2.1
9.6
43.8
38.7
35.5
10.2
46.8
2.1
7.4
1.5
5.6
162.7
182.7
212.7
139.5
220.9
242.2
4.2
11.9
10.4
2.7
8.0
1.0
6.2
117.0
19.0
98.0
8.5
3.5
5.0
0.4
0.4
1) Total of interest and repayments.
Table 110
Fraport Annual Report 2012
Group Notes / Other Disclosures
147
All financial instruments that are subject to contractual agreements as of the reporting date were included to determine
the undiscounted payments. If a contractual partner can release a payment at different points of time, the earliest
deadline is taken into account. The respective forward interest rates derived from the interest rate on the balance
sheet date were used to determine the interest payments on primary financial liabilities bearing interest at floating
rates and the net payments on derivative financial instruments. For payments in connection with currency forwards,
the corresponding fixed reference prices as on the balance sheet date were used.
Financial liabilities of certain Group companies abroad arising from project financing with a nominal value of € 368.2 million
include numerous of credit clauses that are typical for this type of financing. These financial liabilities result from
independent project financing activities. These clauses include inter alia regulations under which certain debt service
coverage ratios and control indicators for debt ratio and credit periods must be complied with. Failure to comply with
the agreed credit clauses may lead to restrictions on the distribution of dividends and/or to the early redemption of
loans or to the additional payment of equity. Additionally, there are contractually agreed credit clauses for specific
earmarked and/or project-related public loans issued by public business development banks and taken out by Fraport
AG in the amount of € 1,230 million. These clauses relate, among other things, to changes in the shareholder structure
and control of the company. If these have a proven effect on the borrowing capacity of Fraport AG, the creditors have
the right to recall the loans early.
There are currently no indications of any failure to comply with the essential agreed borrowing terms and conditions.
Currency risk
The international focus of the Fraport Group makes its operating business, the financial results reported and the cash
flows subject to foreign currency fluctuation risks. Only the transaction risks affecting cash flows are actively controlled.
These mainly apply between the € and Turkish New Lira (TRY) or Saudi Riyal (SAR), as well as between the US Dollar
(US-$) and Peruvian Nuevo Sol (PEN). Transaction risks primarily originate from business operations when cash
receipts from revenue are not offset by expenditures in matching currencies. To reduce the foreign currency effects
in the operating business, the transaction risk is assessed on an ongoing basis and hedged in part by using derivative
financial instruments. Entering into financial instrument transactions is the responsibility of the Group companies in
close coordination with the Treasury of Fraport AG. Hedging mainly involves the use of currency forwards.
Transaction risks are assessed by means of sensitivity analyses. The calculation rates on which the analyses are based
are the result of the mean value for the respective exchange rate in the period under review, less or in addition to a
standard deviation. If we take these assumptions as a basis, the profit for the period would have been affected in the
year under review as follows:
Currency sensitivity
Risk in € million
€/TRY
US-$/PEN
€/SAR
Dec. 31, 2012
Dec. 31, 2011
Gain
0.15
0.27
0.07
Loss
0.16
0.28
0.07
Gain
0.47
0.50
0.16
Loss
0.53
0.52
0.16
Table 111
There are no essential sensitivities in relation to shareholders’ equity.
In addition there are effects in the Group from the translation of foreign currency assets or liabilities in € and/or from
the consolidation of Group companies not accounted for in €. These risks are met as far as possible by applying
natural hedging.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 4 8
Interest rate risk
The Fraport Group is exposed to interest rate risk on a variety of primary and derivative financial assets and liabilities,
as well as future planned capital requirements.
In regard to assets and liabilities that are currently held, the objective of refinancing at matching maturities is gener-
ally pursued. The interest rate risk arising in the next 12 months is relevant for control. It is assessed every quarter and
reported to the financial risk committee. Sensitivity analyses are prepared to determine the risk. These show the effects
of changes in market interest rates on interest payments, interest income and expenses, other profit or loss portions
and equity. Interest rate changes are defined to be the maximum fluctuation of the key interest rate in the past for the
respective currency and the respective period of time and/or the maximum fluctuation of the 10-year swap rate in the
past. The deviation in absolute terms is taken into consideration.
To limit the interest rate risks, derivative financial instruments, such as interest rate swaps and swap options, are used.
The sensitivity analyses are based on the following assumptions:
Changes in market rates of primary financial instruments with fixed interest rates affect profit or loss, or equity, only
if the instruments are measured at fair value. The sensitivity analysis for these financial instruments assumes a parallel
shift of the interest rate by 169 basis points in a period of 12 months.
As a result, the financial instruments measured at amortized cost with fixed interest rates do not affect profit or loss
for the period or the equity of the Fraport Group.
Market rate changes in primary floating-rate financial instruments, which are not designated hedged items in a cash
flow hedge of interest rate exposures, affect net interest income and expense and are therefore included in profit-or-
loss-related sensitivities. The respective net financial position for each currency is taken into account in the process.
The interest rate sensitivity analyses are based on the following assumptions: €: 3.25 percentage points; US $: 4.75
percentage points; TRY: 10.25 percentage points; Swiss francs (CHF): 2.50 percentage points; PEN: 7.10 percentage
points; Saudi Riyal (SAR): 4.50 percentage points; Canadian Dollar (CAD): 3.75 percentage points; Bulgarian Lew
(BGN): 5.22 percentage points. The individual sensitivities are then aggregated to become one profit or loss related
sensitivity in €.
Changes in market rates of financial instruments which were designated as hedging instruments in an interest rate
related cash flow hedge affect equity and are therefore included in the equity-related sensitivity computations. The
maximum variability is taken to be a parallel shift of the interest rate by 169 basis points over a period of 12 months.
Changes in market rates of interest rate derivatives, which are not part of a hedging relationship under IAS 39, affect
the other financial result and are therefore included in the profit or loss related sensitivities. The maximum variability
is taken to be a parallel shift of the interest rate by 169 basis points over a period of 12 months.
Based on the portfolios and the structure of the consolidated financial position as of December 31, 2012 and the
assumptions made, the profit or loss related sensitivity is € 8.1 million in the event of an increase (decrease) in the market
interest rate (previous year: € 10.7 million). This means that the financial result could hypothetically have increased
(decreased) by € 8.1 million. This hypothetical effect on profit or loss would result from the potential effects of interest
rate derivatives of € 25.3 million (previous year: € 24.5 million) and an increase (decrease) in the interest result from
primary floating-rate net financial positions of € – 17.2 million (previous year: € – 13.8 million).
Interest sensitivity
€ million
Interest sensitivity
thereof derivative financial instruments
thereof primary financial instruments
Dec. 31, 2012
Dec. 31, 2011
8.1
25.3
– 17.2
10.7
24.5
– 13.8
Table 112
Fraport Annual Report 2012
Group Notes / Other Disclosures
149
The equity-related sensitivity is € 73.3 million (previous year: € 97.6 million). By applying the assumptions made, an
increase (decrease) in interest rates would result in an increase (decrease) in equity of € 73.3 million.
Capital management
The Group’s objectives with a view to capital management are ensuring the Group’s continued existence and a sus-
tained increase in the company’s value. As a capital market-oriented company with continuing capital expenditure
requirements, the company monitors the development of its debt using financial ratios, which relate EBITDA to its net
debt and/or interest expenses. As long as the company remains within the following margins, the company’s present
view is that there is sufficient access to debt capital sources at reasonable cost.
The components of the control indicators are defined as follows:
Components of control indicators
Net Debt
EBITDA
Interest expense
Current financial liabilities
+ Non-current liabilities
– Liquid funds
– Current realizable assets in “other financial assets” and
“other receivables and financial assets”
Operating result + depreciation and amortization
Interest expense
The financial ratios developed as follows in the period under review:
Table 113
Financial debt ratios
Net Debt/EBITDA
EBITDA/Interest Expense
48
Related party disclosures
Corridor
Dec. 31, 2012
Dec. 31, 2011
max. 4 – 6 x
min. 3 – 4 x
3.4
3.8
3.3
4.2
Table 114
Under IAS 24 (Related Party Disclosures), Fraport must disclose relationships to related parties, unless they are already
included as consolidated companies in the consolidated financial statements of Fraport AG.
A related party is a person or entity that is related to the entity preparing its financial statements (the reporting entity).
A person or a close member of that person’s family is related to a reporting entity if that person has control or joint
control over the reporting entity, has significant influence over the reporting entity or is a member of the key manage-
ment personnel of the reporting entity or of a parent of the reporting entity.
An entity is also related to a reporting entity if, among other things, both entities belong to the same group or one
entity is an associate or joint venture of the other entity (IAS 24.9 a, b).
A related party transaction is a transfer of resources, services, or obligations between the reporting entity and a related
party or person, regardless of whether a price is charged for such transfer.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 5 0
The shareholdings of the state of Hesse and Stadtwerke Frankfurt am Main Holding GmbH and the consortium agree-
ment signed between these shareholders, mean that Fraport AG is a company controlled by these shareholders.
Fraport AG has numerous business relationships with the state of Hesse and the city of Frankfurt and their majority-
owned investments. Related companies and authorities with which major business relations are maintained include
Landesbetrieb Hessen-Forst, Mainova AG and Messe Frankfurt Venue GmbH & Co. KG.
Furthermore, the disclosure requirements according to IAS 24 extend to business transactions with associated compa-
nies as well as business transactions with persons exercising significant influence on the financial and business policies
of Fraport AG, including close relatives or intermediate companies.
All transactions between the related parties have been concluded under conditions customary in the market as between
unrelated third parties. The services rendered to authorities are generally based on cost prices. Prices are reviewed by
Federal government authorities. The following table shows the scope of the business relationships:
Related party disclosures
€ million
Majority shareholders
Stadtwerke
Frankfurt am
Main Holding
GmbH
State of Hesse
Joint ventures
Associated
companies
Companies
controlled
by majority
shareholders
Revenue
Purchased goods
and services
Interest
Accounts receivable
Loans
Accounts payable
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
1.6
1.3
2.4
9.9
– 0.9
– 0.9
–
–
–
–
26.3
27.5
0.2
0.2
8.2
8.2
–
–
–
–
–
–
–
–
3.1
3.0
7.9
7.6
0.3
0.1
0.2
0.2
8.0
6.7
2.5
5.6
6.1
6.8
13.5
10.6
10.4
6.7
19.0
13.0
120.3
90.9
0.8
0.2
13.3
12.8
92.5
88.5
–
–
0.5
0.2
–
–
26.6
26.3
Table 115
Total compensation of € 1,725 thousand (previous year: € 1,785 thousand) was paid to level one Managers (Busi-
ness Unit Managers) and the Managers of the Strategic Service Divisions. See notes 52, 53 and 54 for relationships to
members of the Executive Board and Supervisory Board.
49
Operating permit and service concession arrangements
The following companies in the Fraport Group have been granted service concessions or similar permits, which give
the public access to important economic and social facilities:
Fraport AG
In agreement with the German Federal Minister of Transport, the Minister of Labor, Economics and Transport for the state
of Hesse approved operations at Frankfurt Main airport in accordance with Section 7 as amended on August 21, 1936,
of the German Air Transport Law on December 20, 1957. This permit does not expire at any specific time and was
last time amended by the decision of October 29, 2012 based on the outcome of the planning approval process for
the expansion of the airport, in particular regarding the Northwest Landing Runway, taking into account the relevant
ruling of the German Federal Administrative High Court.
Fraport Annual Report 2012
Group Notes / Other Disclosures
151
The right to operate the airport is linked to various obligations that are specified in the permit. Fraport AG is required,
among other things, to keep the airport in good operating condition at all times, to provide and maintain the equip-
ment and signs needed to monitor and control air traffic at the airport and to guarantee the availability of fire preven-
tion and protection systems that take account of the special operating conditions. The restrictions on night flights that
were initially imposed in 1971 and subsequently updated have been tightened by the aforementioned amendment
and extension to the permit. Daytime operational restrictions on aircraft for civil aviation purposes at Frankfurt/Main
airport that do not comply with ICAO noise protection regulations have also been further tightened. Furthermore,
there are statutory requirements for passive noise abatement as a result of the construction work around the airport
and the Northwest Landing Runway.
The company charges airlines that fly to Frankfurt am Main airport what are known as “traffic charges” for provision
of the transport infrastructure. These traffic fees are broken down into airport charges that require approval and other
fees that do not require approval.
> The airport charges that require approval under Section 19b of the German Air Traffic Law (LuftVG) are divided into take-
off and landing charges, including noise components and emission charges, parking charges and passenger and secu-
rity charges as well as charges for the financing of passive noise abatement measures (noise surcharges). The amount
of the charges is specified in a related fee table.
In December 2009, Fraport AG and airline representatives agreed on adjustments to airport charges for 2010 and
2011 at Frankfurt Airport. The charges were raised by 4 % on July 1, 2010 and by 3 % on October 1, 2010. On April 1,
2011, they were increased by an additional 3 % and another 2.5 % on October 1, 2011. On February 19, 2010, an
agreement was also reached on airport charges for 2012 to 2015. The contract is based on anticipated traffic devel-
opment at Frankfurt Airport and stipulates an annual charge increase of 2.9 % for 2012 through 2015. If passenger
development exceeds or falls below forecast figures, the contract calls for a bonus/penalty approach to be used.
The charge table effective January 1, 2012 was approved by Hesse’s Ministry of Economics, Transport and Regional
Development (HMWVL) and published in the Air Transport Bulletin (NfL). In addition, charges for the financing of
passive noise abatement measures (noise surcharges) have been levied since July 1, 2012. The noise surcharges
were approved by the HMWVL on May 8, 2012. Airport charges accounted for 35.48 % of Fraport AG’s revenue in
the year under review.
> The remaining charges not subject to approval are classified as charges for central ground handling infrastructure
facilities and ground handling charges. In accordance with EU regulations, ground services on the apron were
opened up to competition on November 1, 1999 (opened up in practice on April 15, 2000), by issuing a permit
to another third-party ground handling company along with Fraport AG. The services in the area of central ground
handling infrastructure facilities continue to be excluded from competition (monopoly sector) and are completely
segregated from the ground handling services when they are offset with the airlines. Of Fraport AG’s revenue in
2012, 17.18 % was generated by ground handling services and 13.53 % by infrastructure fees.
Above and beyond the traffic charges, Fraport AG generates revenue essentially from revenue-based payments, renting
and parking and security services. The proceeds from these operations – which do not require approval – accounted
for 33.81 % of Fraport AG’s entire revenue in the year under review.
Fraport IC Ictas Antalya Airport Terminal Investment and Management Inc. (franchisee)
In April 2007, the consortium in which Fraport AG holds an interest won the bidding procedure to operate the ter-
minals at Antalya Airport for 17 years. The consortium and the Turkish airport authority (DHMI – franchisor) signed
the concession agreement on May 22, 2007. Since September 14, 2007, Fraport AG and IC Yatirim Holding A.S. have
been jointly managing the International Terminal 1 previously managed by Fraport AG, as well as the domestic and CIP
terminals. On September 23, 2009, the Fraport consortium also took over operation of the 2nd international terminal
previously operated by IC Holding and Celebi Holding. The concession for the operation of all 3 terminals and the
right to use all assets listed in the concession agreement extends to the end of 2024.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 5 2
The franchisee is obliged in this context to provide terminal services in compliance with international standards, as
well as the procedures and principles specified in the concession agreement. With regard to the authorized use of
infrastructure, the franchisee is obligated to perform maintenance and capacity expansions (as required). Distributed
over the term of the concession agreement, the franchisee also pays a concession fee of € 2.01 billion net.
In exchange, the franchisee receives the right to use the existing and future terminal infrastructure to operate the
airport and the right to generate revenue from passenger charges paid by the airlines and from other services related
to terminal operations. Passenger charges are regulated by the franchisor.
At the end of the concession term, the franchisee is required to return all assets specified in the concession agreement
to the franchisor in proper operating condition.
In accordance with the concession agreement, the franchisee deposited a performance bond amounting to € 142.8
million at the beginning of the concession period for the benefit of the franchisor. This performance bond was issued
by a Turkish bank, secured in part by corporate guarantees given by the shareholders. The proportion guaranteed to
the bank by Fraport AG in the form of a corporate guarantee was € 35.7 million. Following official approval of the new
domestic terminal (Terminal 3) by the franchisor, the performance bond was reduced to € 142.3 million as agreed.
The proportion guaranteed by Fraport AG thus amounts to € 35.6 million.
Fraport Twin Star Airport Management AD
Fraport Twin Star Airport Management AD (franchisee) and the Republic of Bulgaria (franchisor), represented by its
Minister of Transport, signed a concession agreement on September 10, 2006, for the operation and management
of the Bulgarian airports in Varna and Burgas on the Black Sea.
According to the concession agreement, the franchisee is obligated to render various airport services and to improve
services in line with international standards, national laws and the provisions stipulated in the concession agreement.
In addition, the franchisee is obligated to invest € 287.5 million in the expansion and a capacity increase of the airports
in Varna and Burgas and to maintain the assets ceded for use. In addition, the franchisee pays an annual concession
charge of 19.2 % of total revenue, at least 19.2 % of BGN 57 million (€ 29.1 million), adjusted by increases or decreases
in the national inflation rate, to the franchisor. The franchisee paid an additional non-recurring concession charge in
the amount of € 3.0 million to the franchisor after the agreement was signed. In return, the franchisee receives the
right to use the existing and future infrastructure for airport operations and the right to generate revenue, in particular
through airport charges (passenger, landing and parking charges) and for ground handling services. Airport charges
are regulated by the franchisor.
The concession agreement started on November 10, 2006 and has a duration of 35 years.
The franchisee undertakes to furnish a performance bond to the franchisor, issued by a bank rated BB – or higher, in the
annual amount of € 15.0 million in the first 10 years and in the annual amount of € 7.5 million during the remaining
term of the agreement.
At the end of the concession term, the infrastructure pursuant to the contract that is essential for airport operations
must be returned to the franchisor in proper operating condition without receiving any consideration in return.
Lima Airport Partners S.R.L. (LAP)
On February 14, 2001, LAP (franchisee) and the Peruvian Government (franchisor), represented by its Minister of
Transportation (MTC), signed the concession agreement for Jorge Chavez International Airport for the operation,
expansion, maintenance and use of the Jorge Chavez International Airport in Lima (Peru).
Fraport Annual Report 2012 Group Notes / Other Disclosures
153
The term of the concession agreement is 30 years. The contract may be renewed for another 10 years. Further renewals
are possible under certain conditions; the overall concession term must not exceed 60 years, however.
In addition to operating and maintaining the airport infrastructure, the franchisee is obligated vis-a-vis the franchisor
to invest at least US-$100 million for the remodeling of the airport and in particular the terminal and to build a 2nd
landing runway. The contractual amount of US-$100 million has been invested already. Construction work on the 2nd
landing runway has not yet begun.
The franchisee is also obligated to pay concession charges. The concession fee is the higher of 2 amounts: either the
contractually fixed minimum payment (basic payment of US-$15 million per year, adjusted for inflation by US CPI) or
46.511 % of total revenue after deduction and transfer to Corpac (Aviation Regulatory Authority) of 50 % of the landing
charges and 20 % of the international passenger charges (TUUA). In addition, a regulatory charge of 1 % of the same
assessment basis is payable. In return, the franchisee receives the right to use the existing and future infrastructure
for airport operations and the right to generate revenue, in particular through airport charges (passenger, landing
and parking charges) and for ground handling and other services. Airport charges are regulated by the franchisor.
At the end of the contract term, the infrastructure pursuant to the contract that is essential for airport operations must
be returned to the franchisor by the franchisee in the contractually defined operational condition. The franchisee has
the right to have the residual carrying amount of said infrastructure reimbursed by the franchisor for a limited period
of time. This does not apply if the concession agreement is terminated early.
50
Information on shareholdings pursuant to the Securities Trading Act (WpHG)
Changes in Fraport AG’s shareholder structure in fiscal year 2012 were as follows:
Artio Global Holdings LLC, New York, USA, informed us in accordance with Section 21 (1) of the WpHG that on Feb-
ruary 29, 2012 its voting rights in our company fell below the threshold of 5 % and on that day amounted to 4.90 %
(4,509,210 voting shares). Of these, 4.90 % of the voting shares (4,509,210 voting shares) are allocatable to it in accord-
ance with Section 22 (1) sentence 1, no. 6 of the WpHG in conjunction with Section 22 (1) sentence 2 of the WpHG.
Artio Global Investors Inc. (previously Julius Baer Americas, Inc.), New York, USA, informed us in accordance with Sec-
tion 21 (1) of the WpHG, that on February 29, 2012, that its voting rights in our company fell below the threshold of
5 % and on that day amounted to 4.90 % (4,509,210 voting shares). Of these, 4.90 % of the voting shares (4,509,210
voting shares) are allocatable to it in accordance with Section 22 (1) sentence 1, no. 6 of the WpHG in conjunction
with Section 22 (1) sentence 2 of the WpHG.
Artio Global Management LLC (previously Julius Baer Investment Management LLC), New York, USA, informed us in
accordance with Section 22 (1) of the WpHG that on February 29, 2012, that its voting rights fell below the threshold
of 5 % and on that day amounted to 4.90 % (4,509,210 voting shares). Of these, 4.90 % of the voting shares (4,509,210
voting shares) are allocatable to it in accordance with Section 22 (1) sentence 1 no. 6 of the WpHG.
Lazard Asset Management LLC, New York, USA, informed us in accordance with Section 21 (1) of the WpHG that on
May 30, 2012 its voting rights in Fraport AG Frankfurt Airport Services Worldwide exceeded the threshold of 3 % and
on that day amounted to 3.17 % (2,917,330 voting shares). Of these, 3.17 % of the voting shares (2,917,330 voting
shares) are allocatable to it in accordance with Section 22 (1) sentence 1 no. 6 of the WpHG.
Artio Global Holdings LLC, New York, USA, informed us in accordance with Section 21 (1) of the WpHG that on July 2,
2012 its voting rights in our company fell below the threshold of 3 % and on that day amounted to 2.94 % (2,709,809
votes). Of these, 2.94 % of the voting shares (2,709,809 voting shares) are allocatable to it in accordance with Section
22 (1) sentence 1, no. 6 of the WpHG in conjunction with Section 22 (1) sentence 2 of the WpHG.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 5 4
Artio Global Investors Inc. (formerly Julius Baer Americas, Inc.), New York, USA, informed us in accordance with Sec-
tion 21 (1) of the WpHG, that on July 2, 2012, the voting rights in our company fell below the threshold of 3 % and
on that day amounted to 2.94 % (2,709,809 voting shares). Of these, 2.94 % of the voting shares (2,709,809 voting
shares) are allocable to it in accordance with Section 22 (1) sentence 1, no. 6 of the WpHG in conjunction with Sec-
tion 22 (1) sentence 2 of the WpHG.
Artio Global Management LLC (previously Julius Baer Investment Management LLC), New York, USA, informed us in
accordance with Section 21 (1) of the WpHG that on July 2, 2012, that its voting rights fell below the threshold of
3 % and on that day amounted to 2.94 % (2,709,809 voting rights). Of these, 2.94 % of the voting shares (2,709,809
voting shares) are allocable to it in accordance with Section 22 (1) sentence 1, no. 6 of the WpHG.
RARE Infrastructure Limited, Sydney, Australia, informed us in accordance with Section 21 (1) of the WpHG that on
November 28, 2012 its voting rights in Fraport AG Frankfurt Airport Services Worldwide exceeded the threshold of 3 %
and on that day amounted to 3.062 % (2,822,978 voting shares). Of these, 3.062 % of the voting shares (2,822,978
voting shares) are allocable to it in accordance with Section 22 (1) sentence 1 no. 6 of the WpHG.
As of December 31, 2012, the shareholder structure of Fraport AG was as follows:
The total voting rights held by the state of Hesse and Stadtwerke Frankfurt am Main Holding GmbH in Fraport AG
calculated in accordance with Section 22 (2) of the WpHG amounted to 51.45 % as of December 31, 2012. They were
attributed as follows: state of Hesse 31.40 % and Stadtwerke Frankfurt am Main Holding GmbH 20.05 %.
The voting rights in Fraport AG owned by the city of Frankfurt am Main are held indirectly via the Stadtwerke Frankfurt
am Main Holding GmbH subsidiary.
According to the latest official report in accordance with the WpHG or disclosures from individual shareholders, the
remaining voting rights in Fraport AG were allocated as follows (as of December 31, 2012): Deutsche Lufthansa AG
9.89 %, Lazard Asset Management LLC 3.16 % and RARE Infrastructure Limited 3.06 %. The relative holdings of the
shareholders were adapted to the current total number of shares on the balance sheet date and may therefore differ
from the figures given at the time of reporting or from shareholders’ own disclosures.
There are no reports for the remaining 32.44 % (free float).
51
52
Statement issued by the Executive Board and the Supervisory Board of Fraport AG pursuant to
Section 161 of the AktG
On December 14, 2012, the Executive Board and the Supervisory Board of Fraport AG issued the Statement of
Compliance with the Corporate Governance Code pursuant to Section 161 of the AktG and made it available to the
public on a permanent basis on the company website www.fraport.com in the Corporate Compliance subsection of
the Group section.
Information concerning the Executive Board, Supervisory Board and Economic Advisory Board
Remuneration report
The following remuneration report is part of the management report and describes the main features of the compensa-
tion system for the Executive Board and Supervisory Board of Fraport AG in accordance with the statutory regulations
and the recommendations of the Corporate Governance Code as amended on May 15, 2012 (DCGK). It summarizes
which principles apply in determining the total compensation of the members of the Executive Board and explains
the structure and amount of the compensation of the Executive Board and Supervisory Board members.
Fraport Annual Report 2012 Group Notes / Other Disclosures
155
Remuneration of the Executive Board members in fiscal year 2012
Remuneration system
Executive Board compensation shall be set by the Supervisory Board upon the recommendation of its executive
committee and shall be reviewed on a regular basis. The compensation of the Executive Board members of Fraport
AG is to be in proportion to the tasks of the position and the company’s situation and in line with a transparent and
sustainable corporate governance approach which focuses on the long-term.
Compensation is comprised as follows:
> Non-performance-related components (fixed salary and compensation in kind)
> Performance-related components with a short- and mid-term incentive effect (bonus)
> Performance-related components with a long-term incentive effect (Long-Term Strategy Award and Long-Term
Incentive Program)
Generally, the Supervisory Board has been guided by the principle that in the ordinary course of business, members of
the Executive Board shall receive a fixed annual salary, which makes up approximately 35 % of total compensation. The
bonus payment should also amount to approximately 35 % of total compensation. The Long-Term Strategy Award should
account for approximately 10 % of total compensation and the share of the Long-Term Incentive Program about 20 %.
In addition to these components, there are still stock options outstanding, issued in previous years, that have a long-
term incentive effect as part of the stock option plan still running (see note 45).The last time stock options were issued
was in 2009. In addition, Executive Board members received endowments to pension benefit payments.
Non-performance-related components
During the term of their employment agreement (generally 5 years), Executive Board members, as a rule, receive a
fixed annual salary for the entire period. The amount of the fixed annual salary is reviewed on a regular basis, gener-
ally annually, to ensure that it is appropriate. The fixed annual compensation also covers any activity performed by an
Executive Board member for companies in which Fraport AG holds an indirect or a direct interest of more than 25 %
(so-called “other board functions related to Group companies”).
If an Executive Board member has such other board functions at Group companies, the compensation he or she receives
from such companies is credited against the bonus. The compensation received by Dr. Zieschang for his activities
performed as a member of the Supervisory Board of Flughafen Hannover-Langenhagen GmbH were credited against
his bonus payment of 2012 from Fraport AG.
In addition, the compensation for Executive Board members includes compensation in kind and other payments.
Compensation in kind is the pecuniary benefit subject to income tax from using a company car with driver. This com-
pensation in kind is generally available to all Executive Board members in the same way; the amount of compensation
depends on the personal situation.
Executive Board members also receive half of the total contributions toward their pension insurance in the case of
voluntary insurance and in the case of statutory insurance, half of the total statutory contributions.
Performance-related components
Without a long-term incentive effect (bonus)
The bonus is dependent on EBITDA and ROFRA of the Fraport Group for the respective fiscal year. EBITDA is the Group
operating result, ROFRA the interest on Group assets; i.e. the total return on capital (Return on Fraport assets). Both key
figures (EBITDA and ROFRA) are recognized business management parameters for measuring the success of a company.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 5 6
The actual bonus for an Executive Board member is calculated by multiplying EBITDA and ROFRA, each minus a basic
allowance, by an individual multiplier for each Executive Board member, stipulated in each employment contract
and adding the aforementioned parameters. The bonus amount for one fiscal year is capped at 175 % of the bonus
paid for 2009 or if the member was appointed during the year or the employment contract was amended in 2009,
an amount extrapolated for the entire year. For Executive Board members appointed as of 2012 the maximum bonus
amount for a fiscal year is limited to 140 % of the bonus calculated pro forma for fiscal year 2011. 50 % of anticipated
bonus payments are paid out monthly during the fiscal year. The remaining bonus payments are payable within one
month after the Supervisory Board has approved the respective consolidated annual results.
50 % of the calculated bonus payments have a conditional payback provision. If EBITDA and ROFRA in the following
year do not reach at least an average of 70 % of the corresponding key figures for the fiscal year in question, the Execu-
tive Board member has to pay back 30 % of the bonus to Fraport AG. Should the same apply to the second year after
the relevant fiscal year, 20 % of the bonus has to be repaid. A possible repayment obligation exists for each following
year separately and must be individually reviewed each year for compliance.
If the Supervisory Board is of the opinion that the relevant business figures have decreased due to influences outside
of the Executive Board’s control, it can grant a bonus at its discretion or waive the full or partial repayment, based on
the Executive Board member’s performance. If an Executive Board member holds an active position for less than one
fiscal year, a pro rata bonus payment is made.
With a long-term incentive effect (Long-Term Strategy Award, LSA)
The LSA creates an additional long-term incentive effect that takes into reasonable consideration the long-term interests
of the main stakeholders of Fraport AG, specifically employees, customers and shareholders.
As part of the LSA, each Executive Board member is promised a prospective financial reward for one fiscal year – the
first being in 2013 for the year 2010. After three fiscal years have expired (the fiscal year in question and the two fol-
lowing years), the extent to which the targets have been met is determined and the actual payment is calculated based
on these results. The paid amount can exceed or fall below the prospective amount but is capped at 125 % of the
originally stated amount. Performance targets are customer satisfaction, sustained employee development and share
performance. All three targets are equally important under the LSA. As in the previous year, for 2015 a prospective
sum of € 120,000 has been promised to the Chairman of the Executive Board, while a prospective sum of € 90,000
each has been promised to the other members of the Executive Board. Michael Müller and Anke Giesen participate
in the Plan Award for 2011 and 2012 on a pro rata basis.
Customer satisfaction is evaluated on an annual basis using an established assessment system for airlines, real estate
management, retail properties and passengers. Whether or not a target has been met is determined by comparing
the corresponding data (in percentage points) at the beginning of the three-year period with the average achieved
over the same period. If the actual result exceeds or falls below the target by two full percentage points, the bonus
paid for customer satisfaction is increased or decreased correspondingly.
Sustained employee development relates to employee satisfaction and the changes in headcount. The Supervisory
Board decides the extent to which the target has been met. Its decision is based on the results of the employee satis-
faction barometer (a survey among Fraport AG employees carried out as a rule every 1 or 2 years) and the responsible
development of headcount in view of the economic situation of the Group.
For the share performance target, the Fraport share price development over the corresponding three-year period is
compared with the average development of the MDAX and a share basket, which includes the shares of the opera-
tors of the Paris, Zurich and Vienna airports. The payment for this share performance target is again determined by
comparing the reference value calculated at the beginning of the three-year period with the actual development.
Positive or negative deviations increase or decrease the prospective bonus correspondingly.
Fraport Annual Report 2012
Group Notes / Other Disclosures
157
Entitlement to LSA payments is established by approval by the Supervisory Board of the consolidated financial state-
ments for the last fiscal year of the performance period.
If an Executive Board member leaves Fraport AG before the end of a three-year period, the performance targets for
such Executive Board member are not calculated until after this period has expired. The award for the entire period is
then paid on a pro rata basis for the amount of time the Executive Board member actually worked for the company.
There is no right to payment for a three-year period which has not yet expired at the time the employment contract
has been legally terminated due to extraordinary circumstances that are within the control of the Executive Board
member (termination by request of the Executive Board member without cause pursuant to Section 626 of the Ger-
man Civil Code [Bürgerliches Gesetzbuch – BGB], termination for cause within the control of the Executive Board
member in accordance with Section 626 BGB) or if the Executive Board member has been removed from his or her
office for cause pursuant to Section 84 (3) of the AktG. If an Executive Board member joins the company during the
course of a fiscal year, the Supervisory Board shall decide if and to what extent the Executive Board member may be
entitled to participate in the LSA program for this fiscal year.
Long-Term Incentive program (LTIP)
The LTIP is a virtual stock options program. Beginning in fiscal year 2010, the Executive Board members of Fraport AG
are promised each fiscal year a contractually stipulated amount of virtual shares within their employment agreements,
so-called performance shares, on the condition that and depending on whether they meet pre-defined performance
targets (the so-called target tranche). After four fiscal years – the performance period – it will be determined to what
extent these performance targets have been met and the number of performance shares actually due to the Execu-
tive Board member, the so-called actual tranche. The actual tranche can exceed or fall below the target tranche but is
capped at 150 % of the target tranche. The value of the allocated performance shares is calculated on the basis of the
average current share price at the end of the performance period and converted into the actual LTIP cash payment.
The two performance targets “earnings per share” (EPS) and “rank total shareholder return MDAX” are relevant for
deriving the actual tranche from the target tranche, with earnings per share (EPS) being weighted at 70 % and rank
total shareholder return MDAX at 30 %. For the fiscal year 2012, as in 2011, 9,000 performance shares were allocated to
Dr. Stefan Schulte as a target tranche, while Peter Schmitz and Dr. Matthias Zieschang each received 6,850 perfor-
mance shares. Anke Giesen and Michael Müller participated in the target tranche pro rata temporis for 2011 and
2012. Thus, Ms. Giesen was awarded from a total of 6,850 performance shares as a target tranche of 3,425 perfor-
mance shares (24/48) for fiscal year 2011 and 5,138 performance shares (36/48) for fiscal year 2012. From a total of
3,550 performance shares Mr. Müller was awarded as a target tranche of 1,997 performance shares (27/48) for fiscal
year 2011 and 2,884 performance shares (39/48) for fiscal year 2012.
In order to determine to what extent the EPS performance target has been met, the weighted average target EPS
during the performance period, based on the strategic development planning applicable at the time of the award, is
compared with average EPS actually achieved during the performance period. For the calculation, the first fiscal year
accounts for 40 %, the second for 30 %, the third for 20 % and the fourth for 10 %. If targets have been met 100 %
over the performance period, the actual tranche corresponds to the target tranche. If the actual EPS differs from
the target EPS, the number of allocated performance shares is adjusted accordingly. If the actual EPS falls below the
target EPS by more than 25 percentage points, no performance shares are issued for the EPS performance target. If
the actual EPS falls below the target EPS by 25 percentage points, the actual tranche amounts to 50 % of the target
tranche. If the actual EPS exceeds the target EPS by 25 percentage points, the actual tranche amounts to 150 % of the
target tranche. Intermediate values can be calculated using a straight-line method. Any performance exceeding the
targets by more than 25 percentage points is not taken into account. The extent to which the rank total shareholder
return MDAX performance target has been met is calculated by determining the weighted average rank of Fraport AG
amongst all companies listed in the MDAX in relation to the total shareholder return (share price development and
dividends) over the performance period. Just as with the EPS performance target, the four relevant fiscal years will be
weighted downwards. The actual tranche shall equal the target tranche if Fraport AG, during the performance period,
ranks number 25 among total shareholder return MDAX with its weighted average. For each rank exceeding or falling
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 5 8
below 25, the actual tranche is increased or reduced by 2.5 percentage points. If Fraport AG ranks worse than 45,
no performance shares will be issued for the rank total shareholder return MDAX performance target; if Fraport AG
ranks better than 5, there will not be a further increase in the number of performance shares issued over 5th place.
The relevant share price used for calculating the LTIP payment shall correspond to the weighted average of the com-
pany’s closing share price in XETRA or a similarly situated trading system at the Frankfurt Stock Exchange during the
first 30 trading days immediately subsequent to the last day of the performance period. Entitlement to LTIP payments
is established by the approval by the Supervisory Board of the consolidated financial statements for the last fiscal year
of the performance period.
The rules for LTIP entitlements of former Executive Board members are largely the same as for the LSA. In addition, a
former Executive Board member is not entitled to any performance shares for a target tranche whose performance
period has lasted less than 12 months at the time the employment contract was legally terminated. Thus, after the
end of his employment on September 30, 2012, Herbert Mai is not entitled to the target tranche for fiscal year 2012.
The LTIP fair value accrual allocation resulted in the following expenses for the fiscal year: Dr. Stefan Schulte
€ 370.5 thousand (previous year: € 181.9 thousand), Michael Müller € 50.2 thousand, Peter Schmitz € 256.3 thousand
(previous year: € 138.5 thousand), Dr. Matthias Zieschang € 256.3 thousand (previous year: € 138.5 thousand),
Herbert Mai € 112.8 thousand (previous year: € 138.5 thousand).
Pension commitments
The Executive Board members are entitled to pension benefits and provision for surviving dependents. An Execu-
tive Board member is generally entitled to retirement benefits if he or she becomes permanently unable to work or
retires from office during the duration of, or upon expiry of, his or her employment agreement. If an Executive Board
member dies, benefits are paid to his or her surviving dependents. These amount to 60 % of the retirement pension
for the widower or widow; children entitled to receive benefits receive 12 % each. If no widow’s pension is paid, the
children each receive 20 % of the retirement pension.
Upon retirement, income from active employment as well as retirement pension payments from previous or, where
applicable, later employment relationships shall be credited against accrued retirement pay up until reaching 60
years of age, insofar as without such credit the total of these emoluments and the retirement pension would exceed
75 % of the fixed salary (100 % of the fixed salary if Fraport AG wishes the employment to be terminated or not be
extended). Effective January 1 of each year, the pensions are adjusted at discretion, taking into account the interests of
the former Executive Board member and the company’s performance. The adjustment obligation shall be considered
to be satisfied if the adjustment does not fall below the increase in the consumer price index for the cost of living for
private households in Germany.
The retirement pension of an Executive Board member is defined by the percentage of a contractually agreed basis
of assessment, with the percentage rising annually by 2 % up to a limit of 75 %, dependent on the duration of time
an Executive Board member is appointed.
As of December 31, 2012, Dr. Schulte is entitled to 56.0 % of his fixed annual gross salary. Mr. Schmitz is entitled
to 36.0 % of his fixed annual gross salary as of December 31, 2012. The basic account commitment (guideline 2 of
the Fraport capital account plan – “Kapitalkontenplan Fraport” – concerning the company benefit plan for Senior
Managers, dated February 26, 2002), to which Mr. Schmitz is entitled under Fraport AG’s company benefit plan up
to December 31, 2008, shall be credited pro rata temporis against pension payments over a period of eight years
after the employment contract has been terminated or expires. As of December 31, 2012, Dr. Zieschang is entitled
to 40.0 % of his fixed annual gross salary.
As of the end of September 2012, Mr. Mai no longer works for Fraport AG. His retirement benefits amount to 57.0 %
of his contractually agreed basis of assessment.
Fraport Annual Report 2012 Group Notes / Other Disclosures
159
In the event of occupational disability, the pension rate for Dr. Schulte, Mr. Schmitz and Dr. Zieschang shall amount
to at least 55 % of their respective fixed annual gross salaries or of the contractually agreed basis of assessment.
For Executive Board members appointed as of 2012, the pension benefits and provision for surviving dependents
as well as provision for long-term disability are governed by a separate benefit agreement. This calls for a one-time
pension capital or life-long retirement payments after the benefits become due. The pension capital is generated
when Fraport AG annually credits 40 % of the fixed annual gross salary paid to a pension account. The pension capital
accumulated at the end of the previous year pays interest annually at the interest rate used for the valuation of the
pension obligations in the German balance sheet of Fraport AG at the end of the previous year pursuant to Section
253 (2) of the German Commercial Code (HGB), which is at least 3 % and at most 6 %. This is increased by 1.0 % on
January 1 of each year for life-long retirement payments. No further adjustment is made. In the event of long-term
disability within the first 5 years of their activities performed as members of the Executive Board, it is foreseen that
Executive Board members receive a monthly pension of € 2.5 thousand until the end of these 5 years. In addition,
the pension capital generated until the onset of long-term disability should be increased in monthly amounts of € 10
thousand to € 600 thousand. This risk of pension payments in the increase phase and of payments for the increase
should be covered by an occupational disability insurance policy. The full amount of all income within the meaning
of the Income Tax Act from employment or self-employment is credited against the retirement benefits paid until the
end of the month in which the Executive Board member reaches the age of 62.
The surviving dependents of Executive Board members appointed from 2012 receive the following benefits: If there is
no prior event giving rise to retirement benefits, the benefits for the widow or widower is the pension capital generated
so far, for half-orphans 10 % and for full orphans 25 % of the pension capital generated so far as a one-time payment.
If an Executive Board member dies within the first 5 years of his or her activities as a member of the Executive Board,
it is foreseen that the pension capital generated up until the time of death is increased in one sum to € 600 thousand.
The payment risk of this increase should be covered by a term life insurance policy. If an Executive Board member dies
while collecting retirement benefits, the widow or widower is entitled to 60 % of the last retirement benefits paid.
Half-orphans receive 10 % and full orphans receive 25 % of the last retirement benefits paid. If there are no surviving
dependents as set forth above, the heirs receive a one-time death grant in the amount of € 8.0 thousand.
Moreover, each member of the Executive Board has entered into a two-year restrictive covenant. During this term,
reasonable compensation in the form of an annual gross salary (fixed salary) pursuant to Section 90a of the HGB
shall be paid. Payments shall be made monthly. The compensation shall be generally credited against any retirement
payments owed by Fraport AG, inasmuch as the compensation together with the retirement payments and other
generated income exceed 100 % of the last fixed salary received.
No other benefits have been promised to Executive Board members, should their employment be terminated.
The retirement pension entitlement of former Executive Board members is determined by a percentage of a contractu-
ally agreed fixed basis of assessment.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012 1 6 0
Detailed information on the compensation components and amount of compensation of the Executive Board members
of Fraport AG in 2012 is shown in the following tables:
Executive Board remuneration 2012
The following remuneration was paid to the members of the Executive Board:
Remuneration of the Executive Board 2012
in €’000
Remuneration paid out in cash
Total
Dr. Stefan Schulte
Michael Müller from Oct. 1, 2012
Peter Schmitz
Dr. Matthias Zieschang
Herbert Mai until Sept. 30, 2012
Total
Non-performance-related
components
Fixed salary
In kind
and other
415.0
75.0
300.0
320.0
225.0
22.3
10.3
37.5
40.1
30.2
Performance-
related
component
without long-
term incentive
effect
Bonus
662.4
72.7
467.5
514.3
350.6
1,099.7
158.0
805.0
874.4
605.8
1,335.0
140.4
2,067.5
3,542.9
Table 116
Remuneration of the Executive Board 2012
in €’000
Performance-related component with long-term incentive effect
Share-related remuneration
Dr. Stefan Schulte
Michael Müller from Oct. 1, 2012
Peter Schmitz
Dr. Matthias Zieschang
Herbert Mai until Sept. 30, 2012
Total
LTIP
291.8
201.8
222.1
222.1
0.0
937.8
Table 117
The bonus includes the payments on account for the fiscal year 2012 and the addition to the bonus provision in 2012.
The Supervisory Board will decide on the final bonus for 2012 in fiscal year 2013.
LTIP is carried at fair value as of the time of offer.
Fraport Annual Report 2012
Group Notes / Other Disclosures
161
The following total compensation was paid to the members of the Executive Board in 2011:
Remuneration of the Executive Board 2011
in €’000
Remuneration paid out in cash
Total
Dr. Stefan Schulte
Peter Schmitz
Dr. Matthias Zieschang
Herbert Mai
Total
Non-performance-related
components
Fixed salary
In kind and
other
415.0
300.0
320.0
300.0
24.4
37.5
38.7
33.7
Performance-
related
component
without long-
term incentive
effect
Bonus
682.9
482.0
530.2
482.0
1,122.3
819.5
888.9
815.7
1,335.0
134.3
2,177.1
3,646.4
Table 118
Remuneration of the Executive Board 2011
in €’000
Performance-related component with long-term incentive effect
Share-related remuneration
Dr. Stefan Schulte
Peter Schmitz
Dr. Matthias Zieschang
Herbert Mai
Total
LTIP
381.1
290.0
290.0
290.0
1,251.1
Table 119
Previous year components with long-term incentive effects are divided among Executive Board members as follows:
Previous years components with long-term incentive effects (MSOP)
MSOP 2005
3. Tranche
(2007)
Number
MSOP 2005
4. Tranche
(2008)
Number
MSOP 2005
5. Tranche
(2009)
Number
Portfolio
total
Number
Expenses
in 2012
in €’000
Dr. Stefan Schulte
Peter Schmitz
Dr. Matthias Zieschang
Herbert Mai until Sept. 30, 2012
Total
17,000
0
15,000
15,000
47,000
17,000
0
15,000
15,000
47,000
17,000
7,000
15,000
15,000
54,000
51,000
7,000
45,000
45,000
148,000
13.3
5.5
11.7
11.7
42.2
Table 120
Expenses in the amount of € 42.2 thousand (previous year: € 243.6 thousand) resulted from the stock options that
were recognized as expenses in accordance with IFRS 2. These are the fourth and fifth tranches from MSOP 2005 that
remain in the portfolio.
Provisions for pensions and similar obligations
Of the future pension obligations of € 32,894 thousand, € 22,494 thousand relates to pension obligations owed to former
Executive Board members and their dependents. Current pension payments amounted to € 1,590 thousand in 2012.
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 6 2
Pension obligations to currently active Executive Board members are as follows:
Pension obligations active Executive Board members
in €’000
Dr. Stefan Schulte
Michael Müller from Oct. 1, 2012
Peter Schmitz
Dr. Matthias Zieschang
Herbert Mai until Sept. 30, 2012
Total
Obligation
Dec. 31, 2011
Change 2012
Obligation
Dec. 31, 2012
2,606
0
1,332
1,002
2,217
7,157
1,413
33
467
652
678
4,019
33
1,799
1,654
2,895
3,243
10,400
Table 121
Other agreements
Each member of the Executive Board has entered into an obligation to purchase shares in Fraport AG amounting to
at least half a year’s fixed gross salary (cumulative cost at the time of purchase) and hold them for the duration of
their contract of employment. Already existing holdings of Fraport AG shares are taken into account. The obligation
to purchase and hold shares is reduced pro rata if the employment contract has a term of less than five years. If the
Executive Board member is reappointed, the equivalent value of the shares an Executive Board member is obliged to
hold is increased to at least a full year’s gross salary.
The employment contract of Herbert Mai provides for a two-year post-employment restrictive covenant following the
end of his employment on September 30, 2012. The compensation to be paid to Mr. Mai by Fraport AG as set out in
Section 90a of the HGB is € 37.5 thousand for 2012. Mr. Mai also received retirement benefit payments in the amount of
€ 33.5 thousand. Pursuant to the employment contract, the above-mentioned compensation shall be credited against
the retirement payments inasmuch as the compensation together with other generated income received exceeds
100 % of the last fixed annual gross payment received.
The former Chairman of the Executive Board, Prof. Dr. Wilhelm Bender, continues to render consulting services to
Fraport AG even after his departure from the company. The consulting agreement, which ended in the previous year,
was extended for another two years and now ends on August 31, 2013. For this and other tasks, Fraport AG shall supply
Prof. Dr. Bender with offices, office equipment and supplies and an assistant until August 31, 2013. Prof. Dr. Bender
does not receive any compensation from Fraport AG for his activities. Until August 31, 2011, travel expenses were
reimbursed upon authorization and approval of the trip according to the applicable company guidelines. After this
time, travel expenses were no longer reimbursed.
Prof. Dr. Bender also receives pension payments of € 247.3 thousand. Prof. Dr. Bender has agreed that the post-
employment restrictive covenant, which applies for two years after the employment agreement ends, shall be extended
for an additional two years up to August 31, 2013. Prof. Dr. Bender waives the right to compensation as set out in
Section 90a of the HGB payable by Fraport AG from January 2011.
Other benefits
Executive Board members have as other benefits the option of private use of a company vehicle with a driver, private
use of a company cell phone, a D & O liability insurance with a deductible pursuant to Section 93 (2) sentence 3 of
the AktG, an accident insurance and a life-time entitlement to use the VIP service of Fraport AG, as well as access to
a parking spot at Frankfurt Airport. Fraport AG reimburses travel costs for company trips and other business expenses
in line with the regulations in general use at Fraport AG.
Disclosures pursuant to Section 15a of the WpHG
Transactions with Fraport AG shares and stock options by members of the Executive Board and their spouses as well
as first-degree relatives in fiscal year 2012 were published in accordance with Section 15a of the WpHG.
Fraport Annual Report 2012
Group Notes / Other Disclosures
163
Remuneration of the Supervisory Board in fiscal year 2012
The remuneration of the Supervisory Board is laid down in Section 12 of the Statutes of Fraport AG. It is provided solely
as fixed remuneration. According to this, every member of the Supervisory Board shall receive a fixed compensation
of € 22.5 thousand for each full fiscal year payable at the end of the fiscal year, the Chairman and the Chairman of
the finance and audit committee shall receive twice that amount, the Vice Chairman and the Chairmen of the other
committees shall each receive one and a half times this amount. For their membership of a committee, Supervisory
Board members receive an additional, fixed compensation of € 5,000 per committee for each full fiscal year. This
additional compensation is paid for a maximum of two committee memberships. Supervisory Board members that
become members of or leave the Supervisory Board during the current fiscal year receive prorata compensation. The
same holds true in the case of any change in the membership of committees. Each Supervisory Board member shall
receive € 800 for every Supervisory Board meeting they attend and every committee meeting attended of which they
are a member. Accrued expenses will also be reimbursed (see also note 54).
All active members of the Supervisory Board received an aggregate compensation of € 853.4 thousand in 2012
(previous year: € 534.7 thousand).
The following remuneration was paid to the members of the Supervisory Board for fiscal year 2012:
Remuneration 2012
in €
Supervisory Board Member
Fixed salary
remuneration Attendance fees
Total
Committee
Ismail Aydin
Mario A. Bach
Dr. Manfred Bischoff
Jutta Ebeling
Peter Feldmann
Dr. Margarete Haase
Jörg-Uwe Hahn
Erdal Kina
Lothar Klemm
Dr. Roland Krieg
Stefan H. Lauer
Michael Odenwald
Arno Prangenberg
Gabriele Rieken
Petra Rossbrey
Dr. h. c. Petra Roth
Gerold Schaub
Prof. Klaus-Dieter Scheurle
Hans-Jürgen Schmidt
Werner Schmidt
Edgar Stejskal
Christian Strenger
Karlheinz Weimar
Peter Wichtel
Prof. Dr.-Ing. Katja Windt
22,500.00
5,383.06
8,165.28
15,000.00
7,500.00
5,000.00
241.94
3,629.02
6,666.67
0.00
8,000.00
1,600.00
2,400.00
3,200.00
2,400.00
35,500.00
7,225.00
14,194.30
24,866.67
9,900.00
22,500.00
8,198.91
12,000.00
42,698.91
33,750.00
10,000.00
10,400.00
54,150.00
22,500.00
5,000.00
8,000.00
35,500.00
22,500.00
10,000.00
16,800.00
49,300.00
9,375.00
1,583.35
22,500.00
1,270.16
0.00
241.94
4,800.00
3,200.00
800.00
15,758.35
25,700.00
2,312.10
22,500.00
5,000.00
10,400.00
37,900.00
22,500.00
10,000.00
11,200.00
43,700.00
13,125.00
2,916.67
4,000.00
20,041.67
22,500.00
10,000.00
10,400.00
42,900.00
33,750.00
10,000.00
11,200.00
54,950.00
20,625.00
22,500.00
22,500.00
0.00
3,200.00
23,825.00
5,000.00
5,000.00
10,400.00
37,900.00
8,000.00
35,500.00
22,500.00
10,000.00
16,000.00
48,500.00
45,000.00
10,000.00
12,800.00
67,800.00
45,000.00
10,000.00
25,312.50
14,395.08
7,500.00
241.94
9,600.00
8,000.00
3,200.00
64,600.00
40,812.50
17,837.02
Tabelle 122
Compensation of the Economic Advisory Board in fiscal year 2012
For membership of the Economic Advisory Board, a compensation of € 2,500 is paid for every year of membership
and € 2,000 per meeting attended, with the Chairman receiving twice that amount. Travel expenses are reimbursed
independently.
In fiscal year 2012, aggregate compensation of the Economic Advisory Board amounted to € 93 thousand (previous
year: € 92.5 thousand).
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 6 4
53
Executive Board
Mandates of the Executive Board
Members of the Executive Board
Chairman of the Executive Board
Dr. Stefan Schulte
Executive Director Ground Handling
Anke Giesen
(from January 1, 2013)
Executive Director Labor Relations
Michael Müller
(from October 1, 2012)
Executive Director Operations
Peter Schmitz
Memberships in mandatory Supervisory Boards
and comparable control bodies
Member of the Supervisory Board:
> Deutsche Post AG
Chairman of the Supervisory Board:
> APS Airport Personal Services GmbH
> FraSec Fraport Security Services GmbH
> Fraport Cargo Services GmbH (until December 31, 2012)
Member of the Shareholders’ Meeting:
> Airport Cater Service GmbH
> Medical Airport Service GmbH
> N*ICE Aircraft Services & Support GmbH (until December 31, 2012)
Vice Chairman of the Supervisory Board:
> Fraport Cargo Services GmbH (until December 31, 2011)
Member of the Shareholders’ Meeting:
> Fraport Cargo Services GmbH (until December 31, 2011)
Executive Director Controlling and Finance
Dr. Matthias Zieschang
Chairman of the Supervisory Board:
> Flughafen Hannover-Langenhagen GmbH (from March 1, 2012)
Executive Director Labor Relations
Herbert Mai
(until September 30, 2012)
Vice Chairman of the Supervisory Board:
> Shanghai Frankfurt Airport Consulting Services Co. Ltd.
Member of the Supervisory Board:
> Fraport IC Ictas Antalya Havalimani Terminal
> Flughafen Hannover-Langenhagen GmbH (until February 29, 2012)
Member of the Shareholders’ Meeting:
> Flughafen Hannover-Langenhagen GmbH
Member of the Administrative Board:
> Frankfurter Sparkasse
Chairman of the Supervisory Board:
> Fraport Cargo Services GmbH (until September 30, 2012)
Member of the Supervisory Board:
> Gateway Gardens Projektentwicklungs GmbH (until September 30, 2012)
Chairman of the Shareholders’ Meeting:
> Airport Cater Service GmbH (until September 30, 2012)
Member of the Shareholders Committee:
> MIRUS Grundstücks-Verwaltungsgesellschaft KG
(until September 30, 2012)
Table 123
Fraport Annual Report 2012
Group Notes / Other Disclosures
165
54
Supervisory Board
Mandates of the Supervisory Board
Members of the Supervisory Board
Memberships in mandatory
Supervisory Boards and comparable control bodies
Chairman
Karlheinz Weimar
Former Finance Minister of the State of Hesse
(Compensation 2012: € 64,600; 2011: € 38,550)
Member of the Executive Committee:
> Bundesanstalt für Finanzmarktstabilisierung
Member of the Advisory Board:
> Höchster Porzellan-Manufaktur GmbH
Vice Chairman
Gerold Schaub
Regional Director Traffic
ver.di Hesse
(Compensation 2012: € 54,950; 2011: € 33,450)
Ismail Aydin
Vice Chairman of the Works Council
(Compensation 2012: € 35,500; 2011: € 22,750)
Mario A. Bach
Team Leader of Group Idea Management, Fraport AG
(from October 5, 2012)
(Compensation 2012: € 7,225)
Dr. Manfred Bischoff
Chairman of the Supervisory Board of Daimler AG
(until May 11, 2012)
(Compensation 2012: € 14,194.30; 2011: € 21,550)
Detlev Draths
Member of the Works Council relieved of duty
(from February 1, 2013)
Jutta Ebeling
Former Mayor of the City of Frankfurt am Main
(until August 31, 2012)
(Compensation 2012: € 24,866.67; 2011: € 13,825)
Peter Feldmann
Lord Mayor of the City of Frankfurt am Main
(from September 3, 2012)
(Compensation 2012: € 9,900)
Vice Chairman of the Supervisory Board:
> LSG Lufthansa Service Holding AG
> APS Airport Personal Services GmbH (from March 29, 2012)
> LSG Sky Chefs Frankfurt ZD GmbH (from November 26, 2012)
Member of the Works Commission:
> Kommunale Wohnungsgesellschaft Ginsheim-Gustavsburg
Chairman of the Supervisory Board:
> Daimler AG
> SMS GmbH
> Voith GmbH
Member of the Board or Supervisory Board:
> Royal KPN N. V.
> Unicredit S.p.A.
Member of the Supervisory Board:
> Alte Oper Frankfurt Konzert- und Kongresszentrum GmbH
> Gas-Union GmbH
> Mainova AG
> Messe Frankfurt GmbH (until April 30, 2012)
> Wirtschaftsförderung Frankfurt – Frankfurt Economic Development –
GmbH (until July 22, 2012)
Chairperson of the Works Commission:
> Kita Frankfurt (until March 14, 2012)
> Volkshochschule Frankfurt am Main (until March 14, 2012)
Member of the Works Commission:
> Kommunale Kinder-, Jugend- und Familienhilfe Frankfurt am Main
(until March 14, 2012)
Chairman of the Supervisory Board:
> ABG Frankfurt Holding Wohnungsbau- und Beteiligungsgesellschaft
mbh (from July 23, 2012)
> Messe Frankfurt GmbH (from July 23, 2012)
> Stadtwerke Frankfurt am Main Holding GmbH (from July 23, 2012)
Member of Voluntary Control Bodies of Business Enterprises:
> Alte Oper Frankfurt Konzert- und Kongresszentrum GmbH
(from July 1, 2012)
> FrankfurtRheinMain GmbH International Marketing of the Region
(from August 15, 2012)
> Schirn Kunsthalle Frankfurt am Main GmbH (from July 23, 2012)
> Wirtschaftsförderung Frankfurt – Frankfurt Economic Development –
GmbH (from November 16, 2012)
Member of the Executive Board:
> Sparkassenzweckverband Nassau
Member of the Supervisory Board:
> Nassauische Heimstätte Wohnungsbau- und Entwicklungsgesellschaft
mbH (from July 23, 2012)
Member of the Advisory Board:
> Thüga AG (from September 13, 2012)
Table 124
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 6 6
Mandates of the Supervisory Board
Members of the Supervisory Board
Memberships in mandatory
Supervisory Boards and comparable control bodies
Dr. Margarete Haase
Member of the Executive Board DEUTZ AG
(Compensation 2012: € 42,698.91; 2011: € 26,750)
Member of comparable domestic and foreign control bodies
within the meaning of Section 125 of the AktG:
> DEUTZ (Dalian) Engine Co. Ltd.
> Deutz Engines (Shandong) Co. Ltd. (Chairperson)
(from February 16, 2012)
Jörg-Uwe Hahn
Hessian Minister of Justice for Integration and Europe
Member of the Hessian Parliament
(Compensation 2012: € 54,150; 2011: € 32,250)
Erdal Kina
Member of the Works Council
(Compensation 2012: € 35,500; 2011: € 22,750)
Lothar Klemm
Former Hessian State Minister
(Compensation 2012: € 49,300; 2011: € 30,350)
Dr. Roland Krieg
Head of the Service Unit Information and
Telecommunications, Fraport AG
(from August 1, 2012)
(Compensation 2012: € 15,758.35)
Member of the Supervisory Board:
> ElringKlinger AG
> ZF Friedrichshafen AG
Vice Chairman of the Supervisory Board:
> ALEA Hoch- und Industriebau AG
Member of the Supervisory Board:
> HA Hessen Agentur GmbH
> hr-Senderservice GmbH
> WV Energie AG (from June 7, 2012)
Member of the Advisory Board:
> ÖD-Beirat DBV-Winterthur
Chairman of the Supervisory Board:
> Dietz AG
> Variolog AG
Member of the Supervisory Board:
> IQB Career Services AG
Chairman of the Supervisory Board:
> AirIT Services AG
> operational services GmbH & Co. KG
Member of the Shareholders’ Meeting:
> AirITSystems GmbH
> operational services GmbH & Co. KG
Chairman of the Board (BoD):
> Air-Transport IT Services, Inc. (USA)
Stefan H. Lauer
Member of the Executive Board Deutsche Lufthansa AG
(Compensation 2012: € 25,700; 2011: € 16,600)
Chairman of the Supervisory Board:
> Austrian Airlines AG
> Lufthansa Flight Training GmbH
> Germanwings GmbH (until December 31, 2012)
Member of the Supervisory Board:
> LSG Lufthansa Service Holding AG
> Lufthansa Cargo AG
> Pensions-Sicherungs-Verein VVaG
> ESMT European School of Management and Technology GmbH
Member of the Administrative Board:
> Landesbank Hessen-Thüringen Girozentrale
Vice Chairman of the Administrative Board:
> Swiss International Air Lines AG
Member of the Board of Directors:
> Aircraft Maintenance and Engineering Corp. (Vice Chairman)
> SN Airholding SA/NV
> Günes Ekspres Havacilik A.S. (Sun Express) (Vice Chairman)
Michael Odenwald
State Secretary of the German Federal Ministry for Transport,
Building and Urban Development
(from December 11, 2012)
Chairman of the Supervisory Board:
> DFS Deutsche Flugsicherung GmbH (from October 9, 2012)
> Verkehrsinfrastrukturfinanzierungsgesellschaft mbH
(until October 31, 2012)
(Compensation 2012: € 2,312.10)
Arno Prangenberg
Auditor, Tax Consultant
(Compensation 2012: € 37,900; 2011: € 25,550)
Member of the Supervisory Board:
> Flughafen Köln/Bonn GmbH (until November 15, 2012)
> Flughafen München GmbH (until November 30, 2012)
> DFS Deutsche Flugsicherung GmbH
(September 27, 2012 – October 8, 2012)
> Deutsche Bahn AG (from October 11, 2012)
> DB Mobility Logistics AG (from October 11, 2012)
Table 124
Fraport Annual Report 2012
Group Notes / Other Disclosures
167
Mandates of the Supervisory Board
Members of the Supervisory Board
Gabriele Rieken
Member of the Works Council
(until January 31, 2013)
(Compensation 2012: € 43,700; 2011: € 24,350)
Petra Rossbrey
Managing Director of GCS,
Gesellschaft für Cleaning Services mbH & Co.
Airport Frankfurt/Main KG
(until July 31, 2012)
(Compensation 2012: € 20,041.67; 2011: € 26,750)
Dr. h. c. Petra Roth
Former Mayor of the City of Frankfurt am Main
(Compensation 2012: € 42,900; 2011: € 25,950)
Prof. Klaus-Dieter Scheurle
Former State Secretary at the German Federal Ministry for Transport,
Building and Urban Development
(until November 30, 2012)
(Compensation 2012: € 23,825; 2011: € 16,600)
Hans-Jürgen Schmidt
1st State Vice Chairman komba gewerkschaft Hessen
Chairman komba gewerkschaft Kreisverband
Flughafen Frankfurt/Main
(Compensation 2012: € 37,900; 2011: € 26,750)
Memberships in mandatory
Supervisory Boards and comparable control bodies
Member of the Advisory Board:
> Energy Air GmbH (until July 31, 2012)
Chairperson of the Supervisory Board:
> Frankfurter Aufbau AG (Group mandate) (until July 22, 2012)
> Mainova AG (Group mandate)
> ABG Frankfurt Holding Wohnungsbau und Beteiligungsgesellschaft
mbH (Group mandate) (until June 30, 2012)
> Messe Frankfurt GmbH (Group mandate) (until July 22, 2012)
> Stadtwerke Frankfurt am Main Holding GmbH (Group mandate)
(until June 30, 2012)
> Stadtwerke Verkehrsgesellschaft Frankfurt am Main GmbH
(Group mandate) (until June 30, 2012)
> Thüga Holding GmbH & Co. KGaA
Member of Voluntary Control Bodies of Business Enterprises:
> Alte Oper Frankfurt Konzert- und Kongresszentrum GmbH
(until June 30, 2012)
> Dom Römer GmbH (until June 30, 2012)
> Gas-Union GmbH
> House of Logistics & Mobility GmbH (HOLM) (until June 30, 2012)
> Grontmij A & T GmbH
> Rhein-Main-Verkehrsverbund GmbH (until June 30, 2012)
> Rhein-Main-Verkehrsverbund Service GmbH (until June 30, 2012)
> FIZ Frankfurter Innovationszentrum
> Biotechnologie GmbH (until June 30, 2012)
> Städtische Bühnen Frankfurt am Main GmbH (until July 22, 2012)
> The Forsythe Company gGmbH (until May 31, 2012)
Member of the Administrative Board:
> Landesbank Hessen-Thüringen Girozentrale (until June 30, 2012)
Member of the Support Commission:
> Sparkassenzweckverband Nassau (until June 30, 2012)
Member of the Executive Board:
> Deutscher Sparkassen- und Giroverband (until June 30, 2012)
Member of the Advisory Board:
> Deutsche Vermögensberatung AG
> Thüga AG
Member of the Television Board:
> Zweites Deutsches Fernsehen (until June 30, 2012)
Chairman of the Supervisory Board:
> DFS Deutsche Flugsicherung GmbH (until October 8, 2012)
Member of the Supervisory Board:
> Deutsche Bahn AG
> DB Mobility Logistics AG
Werner Schmidt
Member of the Works Council
Chairman of the Executive Board:
> Arbeitsgemeinschaft unabhängiger Flughafenbeschäftigter (AUF e.V.)
(Compensation 2012: € 35,500; 2011: € 24,750)
Vice Chairman of the Executive Board:
> komba gewerkschaft, Kreisverband Flughafen Frankfurt/Main
Edgar Stejskal
Chairman of the Group Works Council
(Compensation 2012: € 48,500; 2011: € 29,550)
Member of the Supervisory Board:
> FraSec Fraport Security Services GmbH
Member of the Supervisory Board:
> Airmail Center Frankfurt GmbH
Table 124
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 6 8
Mandates of the Supervisory Board
Members of the Supervisory Board
Christian Strenger
(Compensation 2012: € 67,800; 2011: € 44,550)
Peter Wichtel
Member of the German Bundestag
(until October 4, 2012)
(Compensation 2012: € 40,812.50; 2011: € 31,050)
Prof. Dr.-Ing. Katja Windt
Professor of Global Production Logistics Jacobs University
Bremen gGmbH
(from May 11, 2012)
(Compensation 2012: € 17,837.02)
Memberships in mandatory
Supervisory Boards and comparable control bodies
Chairman of the Supervisory Board:
> The Germany Funds (USA)
Member of the Supervisory Board:
> DWS Investment GmbH
> Evonik Industries AG
> TUI AG
Member of the Executive Board:
> Unfallkasse Hessen
Member of the Supervisory Board:
> operational services GmbH & Co. KG
Member of the Executive Board:
> Bundesvereinigung Logistik (BVL) e.V.
Member of the Supervisory Board:
> Deutsche Post AG
Member of the Advisory Board:
> BLG LOGISTICS GROUP AG & Co. KG (from May 1, 2012)
Member of the Scientific Board:
> Bundesvereinigung Logistik (BVL) e.V.
Table 124
55
Disclosure of shareholdings according to Section 313 (2) of the HGB
Subsidiaries
Name and registered office
AirlT Services AG, Lautzenhausen
Airport Assekuranz Vermittlungs-GmbH, Frankfurt am Main
Airport Cater Service GmbH, Frankfurt am Main
Air-Transport IT Services, Inc., Orlando/USA
Antalya Havalimani Uluslararasi Terminal Isletmeciligi
Anonim Sirketi, Istanbul/Turkey
APS Airport Personal Service GmbH, Frankfurt am Main
Energy Air GmbH, Frankfurt am Main
Flughafen Frankfurt Main (Greece) Monoprosopi EPE,
Athens/Greece
FraCareServices GmbH, Frankfurt am Main
Fraport Asia Ltd., Hong Kong/China
Fraport Cargo Services GmbH, Frankfurt am Main
Fraport Casa GmbH, Neu-Isenburg
Shareholdings %
Equity
(according
to IFRS)
in €’000
Earnings
(according
to IFRS)
in €’000
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
51.0
51.0
100.0
100.0
100.0
100.0
100.0
100.0
2,019
1,748
135,703
97,786
26
26
5,673
5,037
47,028
45,547
1,276
2,831
3,485
2,700
66
77
1,343
1,427
89,017
90,533
31,753
30,302
20,824
20,979
326
324
8,461
5,351
0
0
744
742
– 226
362
726
2,281
3,387
2,601
– 12 1)
– 5 1)
116
139
4,394
2,814
3,963
16,074
– 155
– 21
Table 125
Fraport Annual Report 2012
Group Notes / Other Disclosures
169
Subsidiaries
Name and registered office
Fraport Immobilienservice und -entwicklungs GmbH & Co,
KG, Flörsheim am Main
Fraport Malta Business Services Ltd., St, Julians/Malta
Fraport Malta Ltd., St. Julians/Malta
Fraport Objekte 162 163 GmbH, Flörsheim am Main
Fraport (Philippines) Services, Inc., Manila/Philippines
Fraport Peru S.A.C., Lima/Peru
FPS Frankfurt Passenger Services GmbH, Frankfurt am Main
Fraport Objekt Mönchhof GmbH, Flörsheim am Main
Fraport Real Estate Mönchhof GmbH & Co, KG,
Flörsheim am Main
Fraport Real Estate Verwaltungs GmbH, Flörsheim am Main
Fraport Real Estate 162 163 GmbH & Co, KG,
Flörsheim am Main
Fraport Saudi Arabia for Airport Management and
Development Services Company Ltd,, Riyadh/Saudi Arabia
FraSec Fraport Security Services GmbH, Frankfurt am Main
FRA – Positionsaufsicht GmbH, Neu-Isenburg
FRA – Verkehrszentrale GmbH, Neu-Isenburg
FRA – Vorfeldaufsicht GmbH, Neu-Isenburg
FRA – Vorfeldkontrolle GmbH, Neu-Isenburg
Fraport Twin Star Airport Management AD, Varna/Bulgaria
FSG Flughafen-Service GmbH, Frankfurt am Main
GCS Gesellschaft für Cleaning Service mbH & Co,
Airport Frankfurt/Main KG, Frankfurt am Main
International Aviation Security (UK) Ltd.,
London/Great Britain
International Aviation Security, Lda, Lisbon/Portugal
Lima Airport Partners S.R.L., Lima/Peru
Media Frankfurt GmbH, Frankfurt am Main
VCS Verwaltungsgesellschaft für Cleaning Service mbH,
Frankfurt am Main
Shareholdings %
Equity
(according
to IFRS)
in €’000
Earnings
(according
to IFRS)
in €’000
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
99.99
99.99
99.99
99.99
51.0
51.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
100.0
60.0
60.0
33.33
33.33
40.0
40.0
100.0
100.0
100.0
100.0
70.01
70.01
51.0
51.0
100.0
100.0
11,863
11,533
77,243
68,033
80,450
70,961
24
23
– 3,494
– 3,331
424
405
443
412
24
23
4,698
4,406
27
24
4,903
4,515
8,419
14,420
6,584
5,382
28
25
28
25
42
25
13
25
54,623
42,199
155
154
3,231
2,869
0
0
0
0
32,277
30,301
6,603
5,059
38
38
5,718 2) 3)
11,158 2) 3)
1,745
1,561
3,489
2,258
1
1
0 1)
0 1)
165
84
210
178
1
1
4,115 2) 3)
9,282 2) 3)
2
3
1,715
1,212
4,148
3,577
1,203
145
0 1)
0
0 1)
0
15
0
– 15
0
12,424
11,334
80
79
2,083 3)
1,721 3)
0 1)
0 1)
0 1)
0 1)
24,523
15,111
1,544
2,259
0
2
Table 125
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 7 0
Joint ventures
Name and registered office
AirITSystems GmbH, Hanover
Fraport IC Ictas Havalimani Isletme Anonim Sirketi,
Antalya/Turkey
Fraport IC Ictas Antalya Havalimani Terminal Yatirim ve
Isletmeciligi Anonim Sirketi, Antalya/Turkey
Fraport IC Ictas Havalimani Yer Hizmetleri Anonim Sirketi,
Antalya/Turkey
Gateway Gardens Projektentwicklungs-GmbH,
Frankfurt am Main
Grundstücksgesellschaft Gateway Gardens GmbH,
Frankfurt am Main
IC Ictas Uluslararasi Insaat Sanayi ve Ticaret Anonim Sirketi,
Ankara/Turkey
Medical Airport Service GmbH, Kelsterbach
Multi Park II Mönchhof GmbH, Walldorf (Baden)
N*ICE Aircraft Services & Support GmbH,
Frankfurt am Main
Pantares Tradeport Asia Ltd., Hong Kong/China
Shanghai Frankfurt Airport Consulting Services Co. Ltd.,
Shanghai/China
Terminal for Kids gGmbH, Frankfurt am Main
Associated companies
Name and registered office
Airmail Center Frankfurt GmbH, Frankfurt am Main
ASG Airport Service Gesellschaft mbH, Frankfurt am Main
Flughafen Hannover-Langenhagen GmbH, Hanover
Xi’an Xianyang International Airport Co. Ltd.,
Xianyang City/China
Thalita Trading Ltd., Lakatamia/Cyprus;
Northern Capital Gateway LLC, St, Petersburg/Russia
Tradeport Hong Kong Ltd., Hong Kong/China
Shareholdings
%
Equity
(according
to IFRS)
in €’000
Earnings
(according
to IFRS)
in €’000
50.0
50.0
50.0
50.0
50.0
50.0
50.0
50.0
16.66
16.66
33.33
33.33
50.0
50.0
50.0
50.0
50.0
50.0
52.0
52.0
50.0
50.0
50.0
50.0
50.0
50.0
3,214
3,070
23,050
23,090
– 74,400
– 122,299
275
349
211
230
3,312
3,582
6,738
5,776
5,381
4,783
761
47
17,031
16,791
5,713
4,856
299
288
1,460
1,138
999
830
– 39
– 154
54,436
44,214
– 89 1)
27 1)
– 19
31
– 256
– 417
1,203 1)
4 1)
1,054
1,140
– 34
11
1,404
1,193
964
783
13
7
322
414
Table 126
Shareholdings
%
Equity
(according
to IFRS)
in €’000
Earnings
(according
to IFRS)
in €’000
40.0
40.0
49.0
49.0
30.0
30.0
24.5
24.5
35.5
35.5
18.75
18.75
4,274
4,628
1,946
1,623
136,166
138,052
427,634
439,857
39,391
33,052
– 12,781
– 15,587
1,683
1,965
1,073
1,517
– 1,344
– 97
11,417
26,722
22,293
9,709
2,606
2,122
Table 127
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
2012
2011
Fraport Annual Report 2012
Group Notes / Other Disclosures
171
Other investments
Name and registered office
Afriport S.A., Luxemburg/Luxemburg
Compañía de Economia Mixta de Valor y Seguridad CIVAS
EQUADOR, Quito/Ecuador
Delhi International Airport Private Ltd., New Delhi/India
Gateways for India Airports Private Ltd., Bangalore/India
Ineuropa Handling Alicante, U.T.E., Madrid/Spain
Ineuropa Handling Madrid, U.T.E., Madrid/Spain
Ineuropa Handling Mallorca, U.T.E., Madrid/Spain
Ineuropa Handling Teneriffa, U.T.E., Madrid/Spain
operational services GmbH & Co. KG, Frankfurt am Main
Perishable-Center Frankfurt GbR, Frankfurt am Main
Perishable-Center Verwaltungs-GmbH Zentrum für
verderbliche Güter Frankfurt, Frankfurt am Main
Perishable-Center Verwaltungs-GmbH Zentrum für
verderbliche Güter Frankfurt GmbH & Co, Betriebs-KG,
Frankfurt am Main
Philippine Airport and Ground Services Terminals
Holdings, Inc., Pasay City/Philippines (PTH)
Philippine Airport and Ground Services Terminals, Inc.,
Manila/Philippines (PTI)
Philippine Airport and Ground Services, Inc.,
Manila/Philippines (PAGS)
Philippine International Air Terminals Co., Inc.,
Pasay City/Philippines (PIATCO)
THE SQUAIRE GmbH & Co. KG, Frankfurt am Main
Shareholdings
%
Equity
(according to
local regulations)
in €’000
Earnings
(according to
local regulations)
in €’000
3.24
10.0
35.0
35.0
10.0
10.0
13.51
13.51
20.0
20.0
20.0
20.0
20.0
20.0
20.0
20.0
50.0
50.0
0.0
0.0
10.0
10.0
4.0
4,0
40.0
40.0
40.0
40.0
40.0
40.0
30.0
30,0
2.4
2.4
1,476
264
–
–
144,130
295,743
2
2
–
– 575
–
– 1,282
–
871
–
1,642
9,364
5,024
–
2,265
–
972
–
1,204
–
– 1,590
–
– 2,937
–
4,533
–
98,747
–
– 39
– 22
– 1) 4) 5)
– 1) 4) 5)
– 156,948 6)
– 69,636 6)
– 1)
– 1)
– 1) 7)
– 786 1) 4)
– 1) 7)
– 2,604 1) 4)
– 1) 7)
270 1) 4)
– 1) 7)
– 762 1) 4)
2,668 8)
1,897 8)
– 4) 9)
1,441
– 4)
254 4)
– 4)
1,243 4)
– 1) 4)
833
– 1) 4)
1,390
– 1) 4)
9
– 1) 4)
4,761
– 3) 4)
– 497,319
– 176,890 3)
2012
2011
2012
2011
2012
2011
2012
2011
2012
2007
2012
2007
2012
2007
2012
2007
2012
2011
2012
2011
2012
2011
2012
2011
2012
2005
2012
2005
2012
2005
2012
2005
2012
2011
1) Company inactive or in liquidation.
2) IFRS earnings before consolidation.
3) In the equity capital of shares in commercial partnerships, capital shares as well as shares in profit and loss of the limited partners are recognized
(according to IAS 32, these represent debt).
4) Current financial statements not yet available.
5) There is no influence on financial and business policies.
6) Fiscal year of the company ends on March 31.
7) Equity has been largely or wholly repaid.
8) A control and profit transfer agreement is in place between the company and the other shareholders;
Fraport has no influence on financial and business policies.
9) Company without cash contributions.
Table 128
Frankfurt am Main, March 5, 2013
Fraport AG Frankfurt Airport Services Worldwide
The Executive Board
Dr. Schulte
Giesen
Müller
Schmitz
Dr. Zieschang
Further InformationConsolidated Financial StatementsFraport Annual Report 2012
1 7 2
Fraport Annual Report 2012 5
Further Information
Responsibility Statement
Auditor’s Report
7-year Overview
List of Graphics and Tables
Glossary
Imprint
Financial Calendar 2013
Traffic Calendar 2013
173
174
175
176
178
180
U5
U5
U5
Among all European major airports, Frankfurt Airport has the highest share of transfer passengers –
more than half of the passengers who land and depart here daily are transfer passengers. Through
its multiple level design, Pier A-Plus guarantees the fastest possible processing of passengers. While
the second level of the pier is reserved for Schengen traffic, flights from the third level are exclu-
sively to non-Schengen destinations. Due to the mandatory separation of arriving and departing
non-Schengen passengers, passengers landing from non-Schengen countries use the fourth level
for arrival or for transfer. The first level of the pier is reserved for baggage handling.
Further InformationFraport Annual Report 2012 1 7 4
Responsibility Statement
To the best of our knowledge and in accordance with the applicable accounting principles, the consolidated financial
statements give a true and fair view of the assets, financial and earnings position and profit or loss of the Group. Fur-
thermore, the management report of the Group includes a fair review of the development and performance of the
business and the position of the Group, together with a description of the principal opportunities and risks associated
with the expected development of the Group.
Frankfurt am Main, March 5, 2013
Fraport AG
Frankfurt Airport Services Worldwide
The Executive Board
Dr. Schulte
Giesen
Müller
Schmitz
Dr. Zieschang
Fraport Annual Report 2012 Further Information / Responsibility Statement / Auditor’s Report
175
Auditor’s Report
We have audited the consolidated financial statements prepared by the Fraport AG Frankfurt Airport Services World-
wide, Frankfurt/Main, comprising the consolidated income statement, the consolidated statement of comprehensive
income, the consolidated balance sheet, the consolidated statement of cash flows, the consolidated statement of
changes in equity, and the group notes, together with the group management report for the business year from
January 1 to December 31, 2012. The preparation of the consolidated financial statements and the group manage-
ment report in accordance with IFRSs, as adopted by the EU, and the additional requirements of German commercial
law pursuant to § 315a Abs. 1 of the HGB [Handelsgesetzbuch “German Commercial Code”] are the responsibility
of the parent company’s Executive Board. Our responsibility is to express an opinion on the consolidated financial
statements and on the group management report based on our audit.
We conducted our audit of the consolidated financial statements in accordance with § 317 of the HGB and German
generally accepted standards for the audit of financial statements promulgated by the IDW [Institut der Wirtschaft-
sprüfer “Institute of Public Auditors in Germany”]. Those standards require that we plan and perform the audit such
that misstatements materially affecting the presentation of the net assets, financial position and results of operations
in the consolidated financial statements in accordance with the applicable financial reporting framework and in the
group management report are detected with reasonable assurance. Knowledge of the business activities and the
economic and legal environment of the Group and expectations as to possible misstatements are taken into account
in the determination of audit procedures. The effectiveness of the accounting-related internal control system and the
evidence supporting the disclosures in the consolidated financial statements and the group management report are
examined primarily on a test basis within the framework of the audit. The audit includes assessing the annual financial
statements of those entities included in consolidation, the determination of entities to be included in consolidation,
the accounting and consolidation principles used and significant estimates made by the Executive Board, as well as
evaluating the overall presentation of the consolidated financial statements and group management report. We believe
that our audit provides a reasonable basis for our opinion.
Our audit has not led to any reservations.
In our opinion, based on the findings of our audit, the consolidated financial statements comply with IFRSs, as adopted
by the EU, the additional requirements of German commercial law pursuant to § 315a Abs. 1 of the HGB and give a
true and fair view of the net assets, financial position and results of operations of the Group in accordance with these
requirements. The group management report is consistent with the consolidated financial statements and as a whole
provides a suitable view of the Group’s position and suitably presents the opportunities and risks of future development.
Frankfurt am Main, March 5, 2013
KPMG AG
Wirtschaftsprüfungsgesellschaft
Wagenseil
German Public Auditor German Public Auditor
Kunz
Further InformationFraport Annual Report 2012
1 7 6
7-Year Overview 1)
€ million
Revenue
Change in work-in-process
Other internal work capitalized
Other operating income
Total revenue
Cost of materials
Personnel expenses
Other operating expenses
EBITDA
Depreciation and amortization
Operating result/EBIT
Interest result
Result from associated companies
Income from investments
Write-down on financial assets
Other financial result
Financial result
Result from ordinary operations/EBT
Taxes on income
Group result
thereof profit attributable to non-controlling interests
thereof profit attributable to shareholders
of Fraport AG
Earnings per € 10 share in € basic
Earnings per € 10 share in € diluted
2012
2011
2010
2009
2008
2007
2006
2,442.0
2,371.2
2,194.6
2,010.3
2,101.6
2,329.0
2,143.9
0.5
44.0
62.7
0.4
40.3
40.9
0.4
36.9
52.1
0.9
39.1
45.3
0.4
33.8
66.1
2,549.2
2,452.8
2,284.0
2,095.6
2,201.9
– 558.1
– 947.8
– 192.6
850.7
– 352.7
498.0
– 174.1
11.7
0.0
0.0
30.5
– 131.9
366.1
– 114.5
251.6
13.3
238.3
2.59
2.58
– 541.1
– 906.3
– 203.1
802.3
– 305.7
496.6
– 144.4
11.5
0.0
0.0
– 16.4
– 149.3
347.3
– 96.5
250.8
10.4
240.4
2.62
2.60
– 491.1
– 880.4
– 201.9
710.6
– 279.7
430.9
– 137.7
7.0
0.0
0.0
– 21.5
– 152.2
278.7
– 7.2
271.5
8.6
262.9
2.86
2.85
– 471.6
– 866.9
– 187.4
569.7
– 268.8
300.9
– 99.7
4.3
0.1
– 7.2
– 3.9
– 106.4
194.5
– 42.5
152.0
5.6
146.4
1.60
1.59
– 471.1
– 925.6
– 204.5
600.7
– 241.5
359.2
– 71.0
– 15.1
0.1
0.0
24.2
– 61.8
297.4
– 100.5
196.9
7.2
189.7
2.07
2.05
0.5
24.6
71.7
2,425.8
– 461.4
0.0
23.1
83.3
2,250.3
– 353.3
– 1,143.3
– 1,076.9
– 240.6
580.5
– 245.2
335.3
– 25.3
2.5
5.3
0.0
0.9
– 16.6
318.7
– 90.5
228.2
5.0
223.2
2.44
2.42
– 241.7
578.4
– 248.0
330.4
– 11.1
5.6
6.8
0.0
23.3
24.6
355.0
– 115.9
239.1
– 0.4
239.5
2.63
2.59
Group key figures
2012
2011
2010
2009
2008
2007
2006
EBITDA margin in %
EBIT margin in %
Return on revenue in %
Fraport assets in € million
ROFRA in %
Year-end closing price of Fraport share in €
Dividend per share in €
34.8
20.4
15.0
33.8
20.9
14.6
32.4
19.6
12.7
28.3
15.0
9.7
28.6
17.1
14.2
24.9
14.4
13.7
27.0
15.4
16.6
5,152.3
4,447.3
4,019.7
3,820.2
3,419.1
3,075.0
2,802.9
9.7
43.94
1.25 2)
11.2
38.00
1.25
10.7
47.16
1.25
7.9
36.28
1.15
10.5
30.91
1.15
10.9
53.87
1.15
11.8
54.02
1.15
Average number of employees
20,963
20,595
19,792
19,970
23,079
30,437
28,246
Consolidated statment of financial position
key figures
December
31, 2012
December
31, 2011
December
31, 2010
December
31, 2009
December
31, 2008
December
31, 2007
December
31, 2006
Profit earmarked for distribution in € million
Net financial debt in € million
Capital employed in € million
Gearing ratio in %
Debt-to-equity ratio in %
Dynamic leverage ratio in %
Working capital in € million
115.5
2,934.5
5,728.8
105.0
30.4
530.7
1,057.8
115.4
2,647.0
5,353.0
97.8
28.7
427.8
977.6
115.6
2,024.4
4,626.9
77.8
22.1
356.7
106.2
1,614.5
4,043.5
66.5
18.2
378.5
1,878.4
2,030.0
1) Due to new accounting policies or shifts in Group definitions previous years figures may differ.
2) Proposed dividend.
105.6
925.6
105.3
338.0
105.2
– 49.8
3,328.0
2,734.5
2,196.0
38.5
14.1
187.9
919.7
14.1
5.9
67.6
218.0
– 2.2
– 1.1
– 10.0
568.2
Table 129
Fraport Annual Report 2012
Further Information / 7-Year Overview
177
December
31, 2012
December
31, 2011
December
31, 2010
December
31, 2009
December
31, 2008
December
31, 2007
December
31, 2006
Investments in airport operating projects
1,031.2
1,067.1
1,073.4
1,098.4
Other intangible assets
44.2
43.6
32.4
34.0
38.6
38.6
38.6
40.0
22.7
597.6
33.3
22.7
570.3
43.9
97.1
3.2
39.1
Property, plant and equipment
5,927.3
5,643.8
5,013.3
4,486.4
3,968.6
3,628.6
2,768.3
€ million
Goodwill
Investment property
Investments in associated companies
Other financial assets
Other receivables and financial assets
Income tax receivable
Deferred tax assets
Non-current assets
Inventories
Trade accounts receivable
Other receivables and financial assets
Income tax receivable
Cash and cash equivalents
Non-current assets held for sale
Current assets
Issued capital
Capital reserve
Revenue reserves
Equity attributable to shareholders of Fraport AG
Non-controlling interests
Shareholders’ equity
Financial liabilities
Trade accounts payable
Other liabilities
Deferred tax liabilities
Provisions for pensions and similar obligations
Provisions for income taxes
Other provisions
Non-current liabilities
Financial liabilities
Trade accounts payable
Other liabilities
Provisions for income taxes
Other provisions
Liabilities in the context of assets held for sale
Current liabilities
Total assets
34.4
136.6
742.7
117.1
19.5
49.2
74.6
138.0
648.6
33.5
29.6
48.2
34.0
97.1
394.6
20.9
29.6
43.1
34.7
72.9
474.7
20.0
23.6
68.3
9.0
72.4
205.4
42.4
26.6
30.4
10.1
37.1
252.2
58.5
33.5
7.2
66.9
56.2
302.1
36.8
32.2
16.4
8,140.8
7,765.6
6,777.0
6,353.0
5,008.4
4,664.1
3,418.3
77.7
180.0
385.2
35.0
821.9
–
81.4
163.9
280.2
6.2
927.1
–
77.9
178.3
319.2
5.5
54.0
158.4
492.2
5.3
47.4
154.9
205.1
7.8
1,812.6
1,802.3
1,154.8
–
–
–
39.5
154.6
76.6
13.2
651.3
165.6
1,499.8
1,458.8
2,393.5
2,512.2
1,570.0
1,100.8
921.3
588.0
1,400.5
2,909.8
35.7
2,945.5
4,401.0
64.4
918.8
584.7
1,317.9
2,821.4
29.4
2,850.8
4,034.0
64.9
1,006.4
1,001.0
101.3
27.4
80.2
215.1
106.9
22.9
68.1
214.8
918.4
582.0
1,217.7
2,718.1
21.2
2,739.3
4,256.6
60.0
949.2
105.5
22.1
68.0
147.0
917.7
578.3
1,039.2
2,535.2
22.6
2,557.8
4,126.9
114.7
904.7
143.9
20.3
135.0
129.9
916.1
573.1
1,018.8
2,508.0
60.2
2,568.2
1,685.3
192.9
514.8
123.5
19.0
170.0
101.0
32.9
185.5
62.3
2.0
632.5
0.1
915.3
913.7
558.8
878.5
2,351.0
22.1
914.6
565.2
1,022.0
2,501.8
33.0
2,534.8
2,373.1
830.6
365.6
451.7
108.3
19.4
163.0
136.2
718.8
–
106.1
139.7
20.6
166.2
101.4
5,895.8
5,512.6
5,608.4
5,575.4
2,806.5
2,074.8
1,252.8
196.6
214.4
163.2
5.3
219.8
–
219.9
228.9
187.4
2.4
222.4
–
151.8
274.6
180.5
12.9
203.0
–
118.9
219.8
147.7
6.7
238.9
–
555.5
393.8
63.6
1.9
188.9
–
367.8
441.5
75.7
14.2
185.3
70.8
799.3
861.0
822.8
732.0
9,640.6
9,224.4
9,170.5
8,865.2
1,203.7
6,578.4
1,155.3
5,764.9
125.2
229.0
118.1
16.4
218.8
0.2
707.7
4,333.6
Change over the previous year in %
December
31, 2012
December
31, 2011
December
31, 2010
December
31, 2009
December
31, 2008
December
31, 2007
December
31, 2006
Non-current assets
Shareholders’ equity (less non-controlling interests
and profit earmarked for distribution)
Share of total assets in %
Non-current assets
Shareholders’ equity ratio
4.8
3.3
84.4
29.0
14.6
4.0
84.2
29.3
6.7
7.1
73.9
28.4
26.8
1.1
71.7
27.4
7.4
0.2
76.1
36.5
36.4
6.7
80.9
41.6
9.5
8.1
78.9
51.8
Table 129
Further InformationFraport Annual Report 2012
1 7 8
List of Graphics and Tables
List of Graphics
Cover
Page
U3
U3
U3
U3
Graphic
1
2
3
4
Fraport Segments – Aviation – Revenue split 2012
Fraport Segments – Retail & Real Estate – Revenue split 2012
Fraport Segments – Ground Handling – Revenue split 2012
Fraport Segments – External Activities & Services – Revenue split 2012
Group Management Report
Graphic
Page
5
26
6
26
7
27
8
27
9
27
10
28
11
29
12
31
13
31
14
32
15
34
16
35
17
35
18
40
19
42
20
43
21
43
22
44
23
44
24
45
25
45
26
46
27
46
28
46
29
47
30
47
31
47
32
48
33
49
34
50
35
50
36
52
37
52
38
52
39
52
40
54
41
54
42
55
43
55
44
55
45
58
46
59
Passenger development at Group airports in which an interest of at least 50 % is held
Development of Group revenue, Group EBITDA and Group result
Development of key figures of the Group cash flow statement and Group financial position
Target/actual comparison of major forecasts for 2012
Major forecasts for 2013
Segments of the Fraport Group
Agenda 2015
Calculation of the Fraport value added
Calculation of the Fraport assets
Group value added before taxes and ROFRA
Distribution of Fraport AG’s liquidity by investment class
Distribution of industrial bonds and industrial commercial papers
Rating structure of financial assets
2012 passenger and cargo development at Frankfurt Airport (% change over 2011)
Group revenue and return on revenue
Group EBITDA and EBITDA margin
Group result and earnings per share
Fraport Segments – Aviation
Fraport Segments – Retail & Real Estate
Fraport Segments – Ground Handling
Fraport Segments – External Activities & Services
Group company Antalya
Group company Lima
Group company Twin Star
Segment share in Group revenue
Segment share in Group EBITDA
Split of capital expenditure
Structure of financial position
Summary of the cash flow statement and reconciliation to the Group liquidity (changes to the previous year)
Monthly development of the Fraport share in fiscal year 2012
Development of the Fraport share compared to the market and European competitors
Shareholder structure as of December 31, 2012
Dividends per share and dividend yield
Allocation of free float
One-on-Ones on roadshows and conferences, according to company headquarters
Total number of work accidents, Fraport Group
Employees, Fraport Group, and percentage of women
Average perceived service quality at Frankfurt Airport
Punctuality rate at Frankfurt Airport
Baggage Performance Indicator
Risk policy principles and strategies
Reporting matrix
Fraport Annual Report 2012 Further Information / List of Graphics and Tables
179
Group Notes
Page
114
115
115
115
116
117
117
118
119
119
119
120
120
121
Table
60
61
62
63
64
65
66
67
68
69
70
71
72
73
121
122
123
123
123
124
124
125
127
127
127
128
129
131
131
132
133
133
134
134
136
137
137
138
139
140
141
141
142
143
144
144
144
145
145
146
146
147
148
149
149
150
160
160
161
161
161
162
163
164
165
168
170
170
171
176
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
Breakdown of investment property
Investments in associated companies
Information regarding associated companies
Other financial assets
Non-current and current other receivables and financial assets
Income tax receivables
Deferred tax assets
Inventories
Trade accounts receivable
Default risk analysis
Allowances
Cash and cash equivalents
Equity attributable to shareholders of Fraport AG
Floating and treasury share movements in accordance
with section 160 of the AktG
Changes in authorized capital
Non-controlling interests
Non-current and current financial liabilities
Trade accounts payable
Non-current and current other liabilities
Residual terms of lease payments
Deferred tax liabilities
Provisions for pensions and similar obligations
Non-current and current income tax provisions
Personnel-related provisions
Other provisions
Financial instruments as of December 31, 2012
Financial instruments as of December 31, 2011
Measurement categories according to IFRS 7.27A (2012)
Measurement categories according to IFRS 7.27A (2011)
Net gains and losses of the measurement categories
Derivative financial instruments
Fair values of derivative financial instruments
Interest rate swaps and interest rate/currency swap
Currency forwards
Reconciliation to cash and cash equivalents as
of the financial position
Contingent liabilities
Order commitments
Operating leases
Development of the subscription rights issued
Key data for the MSOP tranches
Fair value of the MSOP tranches
Volatilities and correlations
Development of virtual shares issued
Valuation parameters (LTIP)
Breakdown of securities
Issuer ratings, debt representing securities (2012)
Issuer ratings, debt representing securities (2011)
Issuer ratings, liquid funds (2012)
Issuer ratings, liquid funds (2011)
Liquidity profile as of December 31, 2012
Liquidity profile as of December 31, 2011
Currency sensitivity
Interest sensitivity
Components of control indicators
Financial debt ratios
Related party disclosures
Remuneration of the Executive Board 2012
Remuneration of the Executive Board 2012
Remuneration of the Executive Board 2011
Remuneration of the Executive Board 2011
Previous years components with long-term
incentive effects (MSOP)
Pension obligations active Executive Board members
Remuneration 2012
Mandates of the Executive Board
Mandates of the Supervisory Board
Subsidiaries
Joint ventures
Associated companies
Other investments
7-Year Overview
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List of Tables
Cover
Page
U2
U2
U2
U3
U3
U3
U3
Table
1
2
3
4
5
6
7
To our Shareholders
Page
22
22
Table
8
9
Group Financial Figures
Traffic Figures
Employees
Fraport Segments – Aviation
Fraport Segments – Retail & Real Estate
Fraport Segments – Ground Handling
Fraport Segments – External Activities & Services
Composition of the Supervisory Board
Committees of the Supervisory Board
Group Management Report
Table
Page
10
32
11
33
12
34
13
37
Consolidated Financial Statements
Page
78
79
80
Table
23
24
25
Development of value added in 2012
Financial debt structure of Fraport AG
Financial asset structure of Fraport AG
Comparison of key 2012 forecasts with the
actual business development
Gross domestic product (GDP)/world trade
Airports with a Fraport share of at least 50 %
Airports with minority share or under management contracts
Key revenue and earnings figures
Reconciliation to the cash and cash equivalents
as of the financial position
Fraport share key figures and data
Development in shareholder structure
Average number of employees
Key figures of the business outlook
Consolidated Income Statement
Consolidated Statement of Comprehensive Income
Consolidated Statement of Financial Position
as at December 31, 2012 – Assets
Consolidated Statement of Financial Position
as at December 31, 2012 – Liabilities and equity
Consolidated Statement of Cash Flows
Consolidated Statement of Changes in Equity
Consolidated Statement of Changes in Non-current Assets
Segment Reporting
Geographical Information
Companies included in consolidation
Joint ventures
Exchange rates
Regular depreciation
Revenue
Minimum lease payments
Change in work-in-process
Other internal work capitalized
Other operating income
Cost of materials
Personnel expenses and average number of employees
Depreciation and amortization
Other operating expenses
Group auditor fees
Interest income and interest expenses
Interest from financial instruments not recognized
in income at fair value
Result from associated companies
Other financial result
Taxes on income
Allocation of deferred taxes
Tax reconciliation
Earnings per share
Goodwill
Investments in airport operating projects
Other intangible assets
Property, plant and equipment
Finance lease assets
Investment property
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51
51
53
75
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15
16
17
18
19
20
21
22
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81
82
84
86
87
26
27
28
29
30
31
Group Notes
Page
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90
91
95
103
104
104
104
104
105
105
106
107
107
107
108
Table
32
33
34
35
36
37
38
39
40
41
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108
108
109
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Fraport Annual Report 2012
1 8 0
Glossary
Capital employed
Net financial debt + Shareholders’ equity 1)
Gearing ratio
Net financial debt/Shareholders’ equity 1)
Debt-to-equity ratio
Net financial debt/Total assets
Dividend yield
Dividend per share/Year-end closing price of the share
Dynamic leverage ratio
Net financial debt/Cash flow from operating activities
EBIT
Abbreviation for: Earnings before interest and taxes
EBIT margin
EBIT/Revenue
EBITDA
Abbreviation for: Earnings before interest, taxes, depreciation
and amortization
EBITDA margin
EBITDA/Revenue
EBT
Abbreviation for: Earnings before taxes
EURIBOR
Abbreviation for: European Interbank Offered Rate = Interest
rate used by European banks, when trading fixed-term deposits
with each other. It is one of the most important reference
interest rates, among European bonds, bearing floating
interest payments
Fraport assets
Capital required for the Fraport Group’s operations
Liquidity
Cash and cash equivalents (as of financial position)
+ Short-term realizable assets in “Other financial assets”
and “Other receivables and financial assets”
Market capitalization
Year-end closing price of the Fraport share x Number of
outstanding shares
Net financial debt
Non-current financial liabilities+Current financial liabilities –
Liquidity
P/E ratio (Price-earnings ratio)
Year-end closing price of the Fraport share/Earnings per share
(basic)
Return on revenue
EBT/Revenue
Return on shareholders’ equity
Profit attributable to shareholders of Fraport AG/Shareholders’
equity 1)
ROCE
Abbreviation for: Return on capital employed = EBIT/Capital
employed
ROFRA
Abbreviation for: Return on Fraport assets = EBIT/Fraport assets
Shareholders’ equity ratio
Shareholders’ equity 1)/Total assets
Free cash flow
Cash flow from operating activities – Investment in airport
operating projects – Capital expenditure for other intangible
assets – Capital expenditure for property, plant and equipment
– Investment property
Working capital
Current assets – Trade accounts payable – Other current liabilities
Yearly performance of the Fraport share
(Year-end closing price of the Fraport share + Dividend per
share)/Previous year’s closing price
1) Shareholders’ equity less non-controlling interests and profit earmarked for distribution.
Fraport Annual Report 2012
Imprint
Financial Calendar 2013
Publisher
Fraport AG
Frankfurt Airport Services Worldwide
60547 Frankfurt am Main
Germany
Phone: 01805 3724636 1)
or: 01805 FRAINFO 1)
from outside Germany: + 49 69 690-0
Internet: www.fraport.com
Contact Investor Relations
Stefan J. Rüter
Head of Finance & Investor Relations
Phone: + 49 69 690-74840
Fax: + 49 69 690-74843
Internet: www.meet-ir.com
E-mail: investor.relations@fraport.de
Concept and Design
heureka Profitable Communication GmbH, Essen
Photography
Michael Rast, St. Gallen
Publication Date
March 27, 2013
Editorial Deadline
March 5, 2013
Disclaimer
In case of any uncertainties which arise due to errors
in translation, the German version of the Annual
Report is the binding one.
1) 14 cents per minute within German landline network;
mobile phone rates vary (maximum 0,42/min within Germany).
Wednesday, May 8, 2013
Group Interim Report January 1 to March 31, 2013
Friday, May 31, 2013
Annual General Meeting 2013
Wednesday, August 7, 2013
Group Interim Report January 1 to June 30, 2013
Wednesday, November 6, 2013
Group Interim Report January 1 to September 30, 2013
Traffic Calendar 2013
Thursday, April 11, 2013
March 2013/3M 2013
Tuesday, May 14, 2013
April 2013
Wednesday, June 12, 2013
May 2013
Wednesday, July 10, 2013
June 2013/6M 2013
Monday, August 12, 2013
July 2013
Wednesday, September 11, 2013
August 2013
Friday, October 11, 2013
September 2013/9M 2013
Tuesday, November 12, 2013
October 2013
Wednesday, December 11, 2013
November 2013
Wednesday, January 15, 2014
December 2013/FY 2013