News - Stephenville International Airport

The following press release was distributed to media on Mar. 10 by the Department of Innovation, Trade, and Rural Development. Pick up next week’s Georgian for more information.

Stephenville Airport to Receive Guarantee Extension

The Honourable Shawn Skinner, Minister of Innovation, Trade and Rural Development, today announced that the Provincial Government has agreed to a request from the Town of Stephenville and the Stephenville Airport Corporation (SAC) to increase its guarantee of a bank line of credit from $350,000 to $600,000. The $250,000 increase reflects the long-standing support the Williams Government has provided to ensuring SAC’s competitiveness.

"With the increase of the Provincial Government's guarantee, the Stephenville Airport Corporation will be able to take the necessary steps to secure investments from private sources," said Minister Skinner. "It is important for the Stephenville Airport Corporation to take this opportunity to fully address all options to achieve viability. The investment also highlights our government’s commitment to assist businesses and organizations across the province to strengthen their operations and target new, profitable opportunities.”

Including the guarantee of a bank line of credit, the Provincial Government has undertaken a number of initiatives to support SAC. These initiatives have included the commissioning of a feasibility study in 2004 to support operational restructuring of the airport; an investment of $225,000 that enabled SAC to secure the professional services of Ernst & Young in 2005 to restructure the corporation's finances; $25,000 was provided to implement a national and international marketing strategy in 2007; an investment of $10,000 in 2008 assisted the airport in its analysis of business development opportunities; and in 2009, $3,000 was provided for financial analysis support. Indirect investments in local educational institutions and the build-out of the first-response training suite of programs have, in turn, provided incremental revenues for the airport corporation.

“Dating back to the early days of our administration, this government has made a series of investments in the Stephenville Airport Corporation and worked with officials to strengthen its operations and viability,” said Minister Skinner. “It is important for the Stephenville Airport Corporation and the Town of Stephenville to understand that this is our final investment under the airport's current model. Any future support will only occur if the airport can secure long-term financing that ensures the sustained viability of the airport.”