Operator: Ladies and gentlemen welcome to Aeroports de Paris 2012 Third Quarter Revenue Conference Call.
I'll now hand over to Mr. Laurent Galzy, Chief Financial Officer. Sir, please go ahead.
Laurent Galzy - Managing Director of Finance and Administration: Thank you. Good morning everybody. Thank you for being on this call I am here with Vincent to inform you about our Q3 revenues and traffic.
First of all the key message from my point of view is that all is perfectly in line with our expectations. First of all it’s the case of traffic. So traffic in our Parisian airports for this first three quarters is up by 1.3% with positive traffic mix with higher international destination growth by 2.6%.
By contrast of course the growth of TAV group is much higher 35% overall, including more than 20% growth at Istanbul. The overall traffic growth of the Group including all the airports in which we have stake is plus 9%.
Based on our growth in Paris, our revenue generation is good. Revenue is up by 4.9%, which is slightly above H1 and in line with our expectations. This growth is good in the three main activities of the Group. We have a solid growth of aviation 5% and real estate 4.5%. We have even higher growth, I must say as usually in retail and services with revenue up by 7.6% driven mostly, but not only by a very good sales per PAX growth by 10.7%.
I must add that in Q3 we found an agreement concerning litigation about luggage sorting system. This was dispute going on for four years for which we hope an agreement this year and this agreement will have a positive impact on our EBITDA by EUR80 million. This was expected and it will be a contribution to the reaching of our guidance and when we gave our guidance to be very clear, we took this into account.
Concerning traffic in our Parisian airports and I'll move to Slide 3. There is a growth of 1.3% is slightly below our competitor Fraport and our partner Schiphol, which are both in the range of 3% growth. It's above as a performance of BAA at Heathrow plus Stansted, but all this concerning Aeroports de Paris is in line with our expectation and I remind you that our guidance for the full year is slight growth of traffic.
As I said earlier, we are very happy of the excellent of staff with the growth of more than 20% reaching for the first three quarter traffic of 34 million passengers. When I look at profile of the traffic since the beginning of the year on the right part of the slide, you can see that we had change in trend starting in April, three quarters up to that moment Q3 2011, Q4 2011, Q1 2012 we had growth in the range of 4%, and since April the trend is much lower, only slightly above zero.
October is even worse with decline in traffic of 1.8%, this is of course a very weak level of traffic raising the question of what is coming next. This mustn't be I think over interpreted, the traffic is very volatile and October and more importantly was impacted by the timing of holidays. In 2011 we had at this moment of the year 11 days of holidays of which 10 in October, whereas in 2012 school holidays lasted more 16 days, out of which 11 were in November. So there is some kind of transfer of traffic between end of October and beginning of November. When we look at 43 days from the 1st of October till 13th of November, we still have a slight decrease, which is not good of course, but not of that size. It’s decreasing in the range of 0.2% over this period of 43 days.