Newly-elected council to make airport decisions

Auckland City Council will not make a decision on voting for the directors of Auckland Airport until after the local body elections, despite media reports to the contrary.

Airport shareholders will elect board members at its annual general meeting on 20 November 2007, and the council wants to stress that it does not currently have a position on who it will vote for.

The council, which has a 12.75 per cent shareholding in the airport, will base its decision on an objective review of the skills and experiences of nominees and identified strengths and skill gaps with the current board.

In light of this, the council recently agreed to nominate Richard Didsbury to the board of the airport. The council is taking a more active role in its shareholding in the airport following recent public consultation.

In reviewing the skills and experience of current directors, the council believes that the airport board and all shareholders will benefit from a director with strengths in property development, retail and stakeholder relations. Following a search process, the council believes Mr Didsbury is an excellent candidate that would add significant value in these key areas and general governance.

Mr Didsburyhas been the instigator of some of New Zealand's most innovative property developments. He is one of the founders of the Kiwi Income Property Trust, where he led the Sylvia Park project team that successfully completed the country's largest retail development.

Mr Didsbury has also served in a number of public sector positions, including board roles with Infrastructure Auckland and as a founding trustee of The Committee for Auckland.

Council chief executive David Rankin says as the council voted to retain its shareholding, Richard's nomination is just one of the steps we are taking to maximise benefits from this investment.

"Richard recognises that Auckland Airport is one of New Zealand's most important infrastructure assets, and is a significant driver of Auckland's economy. He will be focused on adding value to the company's four core businesses - aviation, retail, car parking and property - and providing an appropriate return to all shareholders."

The new council will also consider any formal proposal from Canada Pension Plan Investment Board (CPPIB). The CPPIB concept that has been reported in the media appears to meet key council objectives and criteria, and any formal offer will warrant close scrutiny.

The council has had high-level discussions with various parties but has not made agreements with any of them.

ENDS

© Scoop Media