Revenues and riders up for Attiko Metro
Attiko Metro (AMEL), the operating company of Athens’s new subway, posted revenues of 8.89 million euros in the first five months of the year, and is on course to exceed last year’s operating profit, the company said yesterday. Vassilis Oikonomopoulos, the chief executive, said that the rising number of passengers and better financial management had contributed to the sharp growth in turnover. He said revenues have been steadily increasing since the beginning of the year, with the biggest jump in May as earnings climbed above the 5-million-euro level. Deducting the 14.59 million euros in expenditure recorded in the first five months of the year, AMEL had an operating surplus of 8.89 million euros. «We expect to surpass last year’s operating profit this year,» Oikonomopoulos said. AMEL posted an operating surplus of 12.5 million euros in the February to December 2001 period, with revenues amounting to 38.7 million euros against expenditure of 26.18 million euros. The new Athens subway commenced operations in January 2000. Oikonomopoulos said the company had used last year’s profits to pay off loans acquired from the European Investment Bank for construction of the subway. Reflecting the growing popularity of the subway, the number of passengers has nearly doubled this year to an average of 472,000 on a daily basis from 253,000 two years ago. Christos Verelis, transport and communications minister, said AMEL’s achievements were no mean feat as subway fares, although the second lowest in Europe, are not subsidized by the State. He said there are no plans to jack up fares in view of the subway’s social role. Oikonomopoulos said the company plans to seek revenues from other sources. AMEL recently launched a pilot program selling advertising spots in its tunnels. Each spot is priced at 8,800 euros monthly. He said two companies have already signed up five spots, with AMEL offering up to 30 spots. Referring to complaints regarding the heat in the subway stations, Verelis said AMEL will launch a tender next month for bidders interested in installing air-conditioning units at Syntagma, with the system expected to start functioning next year. Brokers said sales in Yapi Kredi spread to other financial sectors, spurred on by sales from shareholders unwilling to participate in possible rights issues by banks, part of a process to strengthen their equity.
