Hearing costs see port profits fall

AN ORAL hearing into Port of Cork plans to build a €226 million container terminal in the lower harbour cost the company almost €1.4m last year – resulting in a plunge in pre-tax profits.

The Port of Cork Company saw its pre-tax profits fall from €6.4m in 2007 to €4.1m last year.

Its accounts note an “exceptional item” of €1.37m which the company said was the write-off costs of the oral hearing into the Oyster Bank proposed development.

The company said the refusal by An Bord Pleanála for its plans at Oyster Bank was a “major disappointment and setback”.

Port of Cork chief executive Brendan Keating said: “Since the refusal, the Port of Cork Company has completed a thorough review of all aspects of both the application and the final decision by An Bord Pleanála.

“Following the review of the planning decision, the company is also undertaking a review of the strategic plan and is committed to re-examination and consultation on potential suitable sites within Cork Harbour and we aim to have this completed by early 2010.”

Despite the fall in profits the company increased its turnover for 2008 by 5.5% to €26.3m.

Administration expenses increased from €5.8m to €6.6m. The company employs 126 people, down from 121 in 2007.

Trade car imports fell more than 31% or 53,000 units on the 2007 level.

However, the number of cruise liner calls to the Port of Cork in 2008 was a record 51, bringing over 70,000 passenger and crew to the region.

The company said this sector has experienced year-on-year growth and contributes more than €44m a year to the region.

Mr Keating said the company is committed to capital investment with €6.5m invested in 2008.

After a record 2007, total traffic fell 5% to 10.1m tonnes as a result of the slowdown in the economy.

Oil traffic fell by 4.4% to 5.8 million tonnes and accounted for almost 58% of cargo handled through the company.

Non-oil traffic accounted for 4.28 million tonnes in 2008, a decrease of almost 5%.

Despite container traffic reducing by 6.97%, the Port of Cork is still the second busiest port in Ireland in terms of number of containers handled.