Jorge Sales, chief executive of MBJ Airports Limited, will take up a new assignment in Mexico, starting July. - Rudolph Brown/Chief Photographer

Lavern Clarke, Business Editor

Jorge Sales, chief executive of MBJ Airports Limited, concessionaire for Sangster International, departs Jamaica at the end of June to take upa bigger assignment in Mexico, as head of a 12-airport operation managed by Grupo Aeroportuario del Pacfico (GAP).

Sales's replacement is to be finalised by ACS/Grupo Dragados in June, the CEO told Wednesday Business, adding, however, that there would be "no gap at all" in the transition at the company, which took over Sangster's in 2004.

"The shareholders perceive the airport has reached world-class standards, including passenger processing with little or no delays," Sales commented to Wednesday Business. "We have MBJ being perceived as a Jamaican company, playing a strong role in tourism and the economy."

Indeed, it was Sales's performance as CEO of MBJ that landed him what is considered a plum assignment in Mexico, according to sources close to MBJ. Additionally, his performance as well as his work with the Spanish-Jamaican Foundation has earned him the Spanish Order of Civil Merit to be conferred on the 34-year veteran of ACS/Grupo Dragados in Kingston, Thursday, by Spanish Ambassador Jesús Silva.

MBJ Airports, which started out as a consortium of four partners, will devolve to two owners within two weeks, at which point ACS is expected to have tied the bow on the deal giving it a 74.5 per cent stake, up from 35 per cent, with minority partner YVR or Vancouver Airport holding the other 25.5 per cent.

YVR previously held about 15 per cent.

The consortium is now chaired by an Agunsa representative, but the slot will go to an ACS rep to be nominated in June, Sales said.

Ashtrom, an Israeli company operational in Jamaica, has given up its equity stake, but will retain the construction contract.

"The relationship with Ashtrom now will be strictly owner/contractor," Sales told Wednesday Business by telephone from his Montego Bay offices Tuesday.

He leaves the airport project 80 per cent complete, saying his successor would be left to complete renovations to the old terminal, develop the commercial mall, expand and upgrade the departure and check-in areas, among otherjobs.

Under Sales's three years with MBJ Airports, he finalised the airport development plan, created the operating company, and wrapped up phase one of the expansion. Financing for the contract was also fully secured, he said - US$82 million was acquired from the International Finance Corporation, and another US$32 million from the equity partners.

Additional funding, said the airport executive, are derived from MBJ's cash flows, as well as the US$5 Airport Improvement Fee charged per passenger travelling through Sangster.

The fee contributed over US$24 million to revenues in the financial year ending March 2007, suggesting the fee was charged against some 4.8 million tickets within the year.

The airport's passenger throughput is expected to grow to nine million on finalisation of the US$190 million development plan, anticipated in 2008.

Sales would not comment on the total revenues earned by Sangster under his management, but the GAP group that he leaves to head as of July 1, has a US$2.9 billion turnover according to information posted online.

Some six of the airports in the group are counted among the ten largest in Mexico, among them Guadalajara, Puerto Valletta, Tijuana, Hermosillo, Los Cabos, and La Paz.

GAP, a consortium of ACS/Dragados, Spanish airport and air navigation operator Aena, and Mexico's Controladora Mexicana de Aeropuertos, won the 50-year concession about seven years ago to run the airports. The three partners own 15 per cent of GAP, while the remaining holdings were floated on the New York Stock Exchange and the Mexican exchange, Sales said.

MBJ currently employs 160 personnel, only six of which are ex-patriates, who, according to Sales are eventually to be replaced by Jamaicans.

The financial controller, Emmanuel Mweke, said to be a Nigerian prince who has lived here for 16 years, is being promoted to Chief Financial Officer. MBJ is now recruiting in Jamaica to replace him as financial controller, said Sales.

lavern.clarke@gleanerjm.com