Page 47 - ENAV eng_Relazione_Finanziaria_Annuale_2014

Report on Operations 45

third band, with 43 airports, a lower than normal charge was applied in
order to support the air transport market in the current crisis. This lower
charge resulted in the release of ¤24.3 million to the income statement
from the charge stabilization provision, with an increase of ¤4.6 million
compared to the previous year. Revenues from third party customers had a
positive effect on revenues from operations, increasing by ¤4.2 million for
consulting services provided by the Group in Dubai and Libya.

The balance reduced total revenues by ¤16 million due to smaller balances
recorded in 2014 (mainly due to inflation, which generated a negative
balance of ¤7.9 million as opposed to a positive ¤14.2 million in 2013) and
to the effect of discounting, which amounted to a negative ¤4 million, ¤3
million higher than in 2013.

Other operating income, generally in line with the previous year, does not
include the share of equipment grants linked to financial investments of
¤12.3 million, entered in direct reduction of depreciation.

Operating costs amounted to ¤611.9 million, increasingby 1.6% compared
to the previous year due to an increase of ¤6.6 million in personnel costs,
mainly attributable to the fixed part of remuneration due to: i) increased
remuneration provided by the National Collective Bargaining Agreement
(CCNL), effective as of July 2013 and therefore affecting the entire year in
question as opposed to only six months in 2013, and increased minimi and
superminimi effective October 2014 in conformity to the CCNL; ii) changes
in qualification and increases in the superminimi due to salary restructuring
of CTA personnel; iii) physiological increase in remunerations. On the
other hand, the variable part of remuneration decreased by ¤1.9 million
mainly due to a smaller allocation for vacation leave accrued but not yet
taken, thanks to the Company’s policy of having both office and operating
personnel take vacation leave. Other net costs show an increase of 2.2%,
mainly due to lower capitalized costs on investment initiatives and to
internal costs amounting to a positive ¤24.7 million compared to ¤28.1
million in 2013. External costs increased in connection to professional
services for European projects and to the transition to international
accounting standards, with work performed on the Group’s IT systems in
2014.

These figures affected the calculation of EBITDA generating a 5.7%
reduction compared to the previous year, to ¤224 million. EBIT was ¤73
million, decreasing by 21.7% compared to 2013 due to the above-described
events and to increased depreciationcharged onthe investments, such as
Coflight, made in 2014.

Financial income and expenseamounted to negative ¤5.6 million, a charge
¤2.3 million higherthan in 2013, referring mainly to the parent company
as a result of the adjustment of the present value of the “balances”
recognizedin previous years following the change to charge recovery plans.
On the other hand, there was a ¤1.8 million decrease in financial expense
linked to bank debt due to decreased use of short-term credit lines and to
lower interest rates.