The Shannon Airport Group Annual Report and Accounts 2024

Annual Report and Accounts | 2024

Annual Report and Accounts | 2024

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

2024

2023

Term Years

Face value €’000

Carrying value €’000

Face value €’000

Carrying value €’000

Currency

-

-

-

Secured bank loan (a) Secured bank loan (b) Secured bank loan (c)

EUR EUR EUR

11,917

11,901

< 5

2,930 7,588

2,922 7,576

3,893 8,515

3,864 8,483

22. PROVISIONS (Continued)

5-10

Other provision €’000

Total €’000

10,518

10,498

24,325

24,248

Total interest-bearing liabilities (Note 25)

Company At 1 January 2023

241

241

Provisions used during the year Provisions made during the year

(259)

(259)

61 43

61 43

The Group’s bank loans comprise borrowings by its subsidiary companies, Shannon Commercial Enterprises and Shannon Airport. (a) In 2017 Shannon Airport obtained a long-term bank loan to fund the cost of the runway rehabilitation. This loan was repaid in full in 2024. (b) In 2018 Shannon Commercial Enterprises obtained a development loan and long-term loan to partially fund its capital investment programme. During 2019, the development loan was repaid with an additional long-term loan. As security for its borrowings the company has granted its lender an assignment and charge over three investment properties and an assignment of the rental income from the secured properties. The outstanding loans have fixed interest rates. All loans are amortising facilities with periodic repayments of both principal and interest. The company is subject to financial covenants: debt service cover ratio, interest cover and loan to value ratio. These will remain in place until the loans are repaid in full. (c) During 2019 Shannon Airport obtained a long-term bank loan to partially fund the cost of development of a new aircraft hangar. As security for its borrowings the company has granted its lender an assignment and charge over the hangar, an assignment of the rental income from the hangar and an assignment and charge over a bank account, with a €1,254,446 balance at year end (2023: €1,247,300) (Note 18). The loan is an amortising facility with periodic repayments of both principal and interest. The interest rate is fixed with a pre-agreed increase post year 10 if the loan remains outstanding. The company is subject to a debt service cover ratio financial covenant, which will remain in place until the loan is repaid in full.

At 31 December 2023

43

43

At 1 January 2024

(143)

(143)

Provisions used during the year Provisions made during the year

114

114

14

14

At 31 December 2024

At 31 December 2023 Current provisions Non-current provisions

43

43

-

-

43

43

Total provisions

At 31 December 2024 Current provisions Non-current provisions

14

14

-

-

14

14

Total provisions

Other provision At 31 December 2024 the Company has recorded a provision for certain legal matters. The amounts recorded represent management’s best estimate of the expenditure required to settle the relevant obligations.

23. LOANS AND BORROWINGS

All companies are in compliance with their applicable financial covenants at the year-end date.

2024 €’000

2023 €’000

Group Secured bank loans

10,498 10,498

24,248 24,248

Total loans and borrowings

2024 €’000 1,832 1,832 8,666 8,666

2023 €’000 2,465 2,465

Secured bank loans

Current loans and borrowings

21,783 21,783

Secured bank loans

Non-current loans and borrowings

10,498

Total loans and borrowings

24,248

100

101

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