BA's value rises with landing slots
British Airways has begun accounting for purchases of valuable take-off and landing slots at Heathrow airport with the potential of hugely increasing its net asset value.
According to its first quarter results the airline has begun accounting for the slot acquisitions in the balance sheet. The move has been approved by both its audit committee and its external auditors, Ernst & Young.
The decision comes as the acquisition of more prime Heathrow slots becomes an urgent priority at the highly congested airport.
BA, the leading operator at Heathrow, controls around 39% of total slots. The new category ‘landing rights’ under intangible assets included in its results valued the rights at £42m.