SPAIN. In a key development that Dufry says will have a “positive financial impact” on its activities, the Spanish Congress of Deputies (Parliament) yesterday passed a law that changes the basis on which concession fees are calculated at all airports, linking them to the actual passengers. circulation. The changes will remain in place until passenger numbers return to 2019 levels.
In a big boost to airport concessionaires across the network, the new law stipulates that the minimum guaranteed annual rents (MAG) payable at Spanish airports are not due for the period between March 15, 2020 and March 20, 2020. June 2020. In addition, they will be proportionally reduced from June 21, 2020 by comparing the lower passenger volume at Spanish airports to the passenger levels of 2019. This formula will remain in place until the number of passengers returns to that of 2019.
Dufry operates duty-free and duty-free shops at 26 Spanish airports. The new law is expected to significantly reduce the MAG claimed by the airport company AENA.
The number of passengers at Spanish airports fell by around -72% in 2020 and by around -68% from January to August 2021, compared to 2019 in each case. Dufry said the impact on the income statement in 2021 and in the future will depend on the recovery in passenger numbers at Spanish airports. The company stated that the specific accounting treatment under IFRS 16 and its timing as well as the impact on cash flows are currently under review.