UK Investors Introduced to Germany’s Next Generation of Airport Hubs

11/09/2009

London - The construction of the Berlin Brandenburg International (BBI) airport and the growth of freight traffic at Leipzig/Halle provide unique investment opportunities for businesses seeking a new hub to access the established markets of western Europe, the rapidly developing growth markets in the new EU member states in the east, as well as Asia. Germany Trade & Invest is conducting a road show which will stop in London on November 11th to promote Eastern Germany’s expansive growth potential as a new European passenger and cargo hub to UK investors.

With construction well underway and completion slated for 2011, the EUR 2.2 billion BBI will consolidate three Berlin airports into one modern facility. The airport will be equipped to handle the new jumbo Airbus A380 and will offer optimal conveniences and connections to passengers and businesses alike. It will have the capacity for more direct flights to and from both Asia and the Americas, making it an ideal traffic hub to reach a number of destinations in Europe. BBI is expected to accommodate up to 45 million passengers. This is a timely project, as Berlin’s airports reported their busiest year to date in 2008.

Leipzig/Halle, which already serves as DHL’s European hub, will complement BBI, offering express freight handling and logistics services. Several major international companies are currently profiting from the airport’s facilities, including BMW, Porsche, Amazon, Dow Chemical, Dell, and Future Electronics, all having operations nearby. As a result, the airport posted astronomical growth figures - volume of cargo transshipped increased over 330 percent in 2008.

UK companies such as LGC Group and Rolls Royce, who has a major plant in Dahlewitz just outside of Berlin, are well positioned to benefit from BBI and Leipzig/Halle. With operations in Eastern Germany, they attest to the potential that can be unlocked in these regions.

Michael Pfeiffer, Chief Executive of Germany Trade & Invest: "These two airports further strengthen Eastern Germany’s attractiveness to international investors. Companies based in the UK will be able to rely on Berlin Brandenburg International for its highly modern and efficient movement of passenger traffic. The Leipzig/Halle airport has already established its world-class freight handling capabilities by growing at such an exceptional rate."

This new passenger and freight hub will be a significant driver of economic growth for Germany. A high level of investor interest in BBI and Leipzig/Halle is anticipated, due to the continuing growth potential of the region and the extensive infrastructure, productivity rates, well-educated workforce, and competitive labor costs compared to other regions in Europe.

The road show presents a novel and informative platform for potential British investors interested in dynamic developments in eastern Germany. Taking place on November 11th in London, the event will consist of keynote speeches and workshops with companies that are prospering in the region, including Dell, LGC Group, and Future Electronics. The keynote address will be held by David Marsh, Chairman of London & Oxford Capital Markets and a welcome address will be given by Herbert Quelle, Head of the Economic Affairs Department of the German Embassy. The Germany Trade & Invest airport road show began in the US in April and continued to Asia in June. Following stops in Amsterdam on October 13th and Moscow on October 27th, the London event will conclude this road show. For further information on the events, please contact David Chasdi at david.chasdi@gtai.com.