Hartsfield-Jackson Atlanta International Airport continues to be the 

economic engine of metropolitan Atlanta and enables the region to 

compete successfully on the global stage.

Direct business revenue to metropolitan Atlanta increased by almost 

40 percent, from $23.5 billion to $32.6 billion annually, between 2005 

and 2009, according to the Airport’s economic impact study released 

last year. 

As the economy began its rebound in 2010, the Airport saw significant 

increases in passenger and cargo volumes. Passenger numbers 

increased by 1.51 percent to reach 89.3 million — just short of the 

record 90 million in 2008. International passengers increased by 

3.47 percent, topping 9 million for only the second time. The surge in 

international passengers underscores the necessity and timeliness of 

completing the Maynard Holbrook Jackson, Jr. International Terminal by 

spring 2012 to accommodate continued growth and to expand global 

commerce and investment opportunities.

One of my Administration’s priorities is to increase air cargo operations 

at Hartsfield-Jackson. Highlighted by the addition last year of a new 

all-cargo carrier, Asiana Airlines, international air cargo increased by 

24.22 percent from 2009 to 2010. The prospects are promising for 

further increases in 2011.

Another highlight in 2010 was that Hartsfield-Jackson was named the 

world’s most efficient airport; it was the eighth consecutive year that 

the Air Transport Research Society has recognized the Airport for its 

efficiency.

As Hartsfield-Jackson continues to be a world aviation leader, its 

sustained growth bodes well for the people and economy of our great 

city and the region.

Kasim Reed

Mayor, City of Atlanta

P.O. Box 20509, Atlanta, GA 30320 

PH (404) 530-6600 | WEB www.atlanta-airport.com

Message From the Mayor

i Hartsfield-Jackson Atlanta International Airport

Prepared by the Department of Aviation’s Office of Public Affairs

2010 Annual Report

HJ_2010 Annual Report Cover.indd 1 2/22/11 12:50 PM
Brasilia

ii Hartsfield-Jackson Atlanta International Airport

International destinations 

served by nonstop flights

from Hartsfield-Jackson

(as of July 2010)

 iii

HJ_2010 Annual Report Cover.indd 2 2/22/11 12:50 PM
It is an honor to oversee the world’s busiest and most efficient airport, 

and I am grateful to Atlanta Mayor Kasim Reed and the Atlanta City 

Council for entrusting me with this responsibility. 

I have inherited a great team of professionals, whose activities behind 

the scenes keep the Airport running smoothly and prepare it to be even 

better in the years to come. 

The Airport team focuses on four key aspects of our operations at 

Hartsfield-Jackson: safety and security; customer service; economic 

vitality; and environmental responsibility. This report illustrates some of 

the achievements in these important areas in 2010.

Also in 2010, we celebrated the 30th anniversary of the opening of 

the current midfield terminal complex, and we continued looking to 

the future with ongoing work on the Maynard Holbrook Jackson, Jr. 

International Terminal, which is set to open in spring 2012. 

As we move forward in 2011, we have adopted new vision and mission 

statements: 

• The Airport’s new vision is to be the global leader in airport 

 efficiency and customer service excellence.

• The Airport’s mission is to provide the Atlanta region a 

 safe, secure and cost-competitive gateway to the world that 

 drives economic development, operates with the highest level 

 of customer service and efficiency and exercises fiscal and 

 environmental responsibility. 

Armed with these new goals, I am excited about leading HartsfieldJackson and being part of its continued success and growth.

Louis Miller 

Aviation General Manager 

Hartsfield-Jackson Atlanta International Airport

Message From the General Manager

2010 Annual Report 1
2 Hartsfield-Jackson Atlanta International Airport

Contents

i Message From the Mayor

ii-iii International Destinations Map

1 Message From the General Manager

4-5 Safety and Security

6-7 Customer Service

8-9 Economic Vitality

10-11 Environmental Responsibility

12-13 Maynard Holbrook Jackson, Jr. 

 International Terminal

14-15 30 Years of Service

16-17 2010 Year in Review 

18-74 Financial Report 
 2010 Annual Report 3
4 Hartsfield-Jackson Atlanta International Airport

Terminal North security checkpoint
 2010 Annual Report 5

The Airport opened its Centralized 

Command and Control Center 

(C4), integrating the Airport 

Operations Center and Emergency 

Operations Center into one facility. 

Safety and Security

The No. 1 priority for airports, 

airlines and aviation-related 

businesses remains safety 

and security. Ensuring that 

customers, employees and 

visitors are safe and secure 

is the cornerstone of all 

operations at Hartsfield-Jackson 

and is woven into every 

decision or activity. 

Some safety and security 

highlights at Hartsfield-Jackson 

this year:

•	 The Atlanta Police 

Department received its 

sixth bomb disposal robot. 

Designed specifically for 

planes, trains and buses, 

the teleMAX bomb disposal 

robot can fit into tight 

spaces and run diagnostic 

tests through its USB port.

•	 Funding through the 

federal American Recovery 

and Reinvestment Act 

was earmarked for the 

installation of a $5 million 

approach lighting system 

for Runway 27L. The 

approach lights will provide 

pilots with visual information 

to land in bad weather.

•	 The Airport opened its 

Centralized Command 

and Control Center (C4), 

integrating the Airport 

Operations Center and 

Emergency Operations 

Center into one facility. 

Combining these 

functions means more 

streamlined responses to 

incidents reported in and 

around the Airport.

•	 The C4 added a new mobile 

unit to its fleet of emergency 

response vehicles. The mobile 

unit enhances emergency 

response efforts by enabling 

first responders to conduct 

meetings, gather information, 

plan strategies for responses 

and coordinate resources 

from the site of an incident. 

Centralized Command and Control Center 
6 Hartsfield-Jackson Atlanta International Airport

Customer Service

 creative concepts, Georgia 

 themes and luxury brands 

 since fall 2008.

•	 The Airport made it easier 

to travel with children by 

installing Step ’n Wash in 

all 72 public restrooms 

throughout the facility, 

becoming the first major 

airport to do so. Step 

’n Wash units are selfretracting steps, 

 secured permanently beneath 

 restroom sink counters, that 

 enable children to wash their 

 hands independently. 

•	 The Airport launched 

“Passport to Service 

Excellence,” an Airport-wide 

customer service training 

program that aims to reach 

4,000 employees in the first 

year of its three-year plan. 

The Airport’s focus is always on 

delivering high-quality service 

to its millions of customers, 

employees and visitors.

Some customer service highlights 

at Hartsfield-Jackson this year:

•	 The Airport completed its retail renaissance, adding more 

than 80 new stores with

XpresSpa on Concourse A
 2010 Annual Report 7

The customer service training

program aims to empower 

employees and show them how 

they can change a bad 

experience for a customer into 

a good experience. 

 The goal is to empower 

 employees and teach 

 them how to change a 

 customer’s bad experience 

 into a good one. 

•	 Customers now can easily 

access the Airport’s Web site, 

www.atlanta-airport.com, 

from any mobile device with 

Internet capabilities. 

 They will see a streamlined, 

 simplified version of the site 

 with information about flights, 

 parking, security wait times, 

 concessions and more. 

•	 The Airport implemented a 

quick, convenient and secure 

ticketless parking system in 

the west economy and ParkRide B lots with an 

 automated, credit card in/out 

 system. 

A small passenger utilizes 

Step ’n Wash at an Airport 

restroom sink counter.
8 Hartsfield-Jackson Atlanta International Airport

Economic Vitality

Hartsfield-Jackson long has 

been recognized as the 

economic engine of metro 

Atlanta. To support this 

position, the Airport released its 

2009 economic impact study in 

early 2010.

Some of the highlights from 

the report, which compared 

numbers from 2009 with those 

in the previous report 

in 2005:

•	 On-Airport jobs increased from 

about 56,500 to 58,000.

•	 Airport-related jobs in the 

28-county metro region 

 increased from 393,100 

 to 434,400.

•	 Direct business revenue to 

metro Atlanta increased from 

$23.5 billion to $32.6 billion.

•	 Total business revenue 

(direct, indirect and induced 

revenue) to metro Atlanta 

increased from $44.8 billion 

to $58.2 billion.

•	 Direct business revenue 

to Georgia increased from 

$26.6 billion to $35.6 billion. 

•	 Total business revenue 

(direct, indirect and induced 

revenue) to Georgia 

increased from $53.7 billion 

to $68.3 billion.

Asiana Airlines’ arrival at Hartsfield-Jackson in September 2010
 2010 Annual Report 9

•	 Asiana Airlines began 

service in September and 

became the 14th all-cargo 

airline to serve HartsfieldJackson and the region. 

Asiana Airlines’ four weekly 

cargo flights to Atlanta 

are expected to create 25 

jobs and have an estimated $24 million economic 

impact on Atlanta and the 

Southeast. 

•	 Also in September, 

Southwest Airlines proposed 

an acquisition of AirTran 

Airways, the Airport’s 

second-largest passenger 

carrier. If the acquisition 

receives federal and 

shareholder approval in 

2011, Southwest Airlines 

will enter the Atlanta market, 

creating anticipated growth 

for the Airport.

Direct business revenue to metro 

Atlanta increased from $23.5 billion 

to $32.6 billion.

Hartsfield-Jackson rental car center and ATL SkyTrain

Other economic highlights at Hartsfield-Jackson in 2010:
10 Hartsfield-Jackson Atlanta International Airport

Maynard H. Jackson Jr. International Terminal

Hartsfield-Jackson’s environmental 

commitment includes a wetlands 

restoration program.

Environmental Responsibility

Effective environmental 

management is an ongoing 

commitment at HartsfieldJackson. 

In 2010, Hartsfield-Jackson 

issued its first annual 

environmental report, 

chronicling the Airport’s 

programs for water and energy 

conservation, recycling, 

wetlands restoration, noise 

mitigation and sustainable 

buildings.

Some of the highlights from the 

report:

•	 The Airport is focused on 

attaining Leadership in 

Energy and Environmental 

Design (LEED) Silver Level 

certification for the Maynard 

Holbrook Jackson, Jr.

 

 International Terminal, which 

 which is set to be 

 complete in spring 2012. 

 Strides toward Silver Level 

 LEED certification in 2010 

 included the installation 

 of a 25,000-cubic-foot 

 “water box.” This structure 

 catches rainwater 

 from the terminal’s roof and 

 releases it into the 

 environment using a series 

 of filters, reducing the 

 environmental impact on 

 the groundwater.

•	 The Airport’s GreenSortATL 

recycling program eliminates 

the need for separate 

containers for trash and 

for each type of recyclable 

material. This year, a stateof-the-art material recycling 

facility was built and opened 

to support this innovative 

recycling program. 

•	 The Airport launched a new 

Noise Insulation Program 

(NIP) in 2010. The NIP, a 

voluntary program approved 

by the Federal Aviation 

Administration, is designed 

to make properties near the 

Airport more compatible 

with aircraft noise. More 

than 4,000 apartment 

units and 40 single-family 

homes are eligible for noise 

insulation improvements 

through the program.

Hartsfield-Jackson’s GreenSortATL recycling 
 2010 Annual Report 11

g program
12 Hartsfield-Jackson Atlanta International Airport
 2010 Annual Report 13

Maynard Holbrook Jackson, Jr. International Terminal

Construction continued in 

2010 on the Maynard Holbrook 

Jackson, Jr. International 

Terminal, which is set to be 

complete in spring 2012.

Among the milestones achieved 

this year:

•	 The “topping out” of 

the building marked the 

placement of the final piece 

of structural steel into the 

facility.

•	 Financing was secured to 

complete construction of 

the international terminal.

•	 The automated people 

mover (APM) tunnel was 

extended to connect 

Concourse E to the 12-

gate concourse at the 

international terminal, 

which will create a 40-gate 

international air travel 

complex for Atlanta. 

•	 The outer shell of the 

building was nearly finished. 

•	 Crews made major 

progress on construction of 

the surrounding roadways.

•	 The APM maintenance and 

storage area was turned over 

to APM contract manager 

Bombardier.

•	 The APM system rail was 

energized for the first time in 

November.

•	 Baggage handling systems 

were installed.

•	 Paving began on Ramp 9. 

•	 The installation of floors and 

tiles began on the arrivals 

level. 

The “topping out” event for the 

Maynard Holbrook Jackson, Jr. 

International Terminal in April 2010

Financing was secured to 

complete construction of the 

international terminal.
14 Hartsfield-Jackson Atlanta International Airport

Former general manager Berry spoke at the 30th anniversary of the 

Central Passenger Terminal Complex.
 2010 Annual Report 15

30 Years of Service

In September, HartsfieldJackson held a ceremony 

to commemorate the 30th 

anniversary of the Central 

Passenger Terminal Complex 

(CPTC), which opened on 

September 21, 1980.

A highlight of the anniversary 

celebration was a photographic 

exhibit in the Atrium. The photos 

and written passages told 

the story of the 1961 airport 

terminal and the developments 

in aviation that led to the 1980 

facility. 

The celebration in the Airport’s 

Atrium included Valerie 

Jackson, wife of former Atlanta 

Mayor Maynard H. Jackson 

Jr., and George Berry, former 

general manager (1978-

83), along with other former 

Airport executives and elected 

officials. 

Among those attending the celebration were former Airport general managers Max Walker (from left), Calvin Carter and 

George Berry and Richard Stogner, former assistant general manager of midfield development.
16 Hartsfield-Jackson Atlanta International Airport

2010 Year in Review

 

January Hartsfield-Jackson retains its title as 

the world’s busiest airport in terms of 

operations and passengers.

Ben DeCosta announces that he is 

 stepping down as general manager, 

a position he has held for nearly 12 

years, when his contract expires on 

June 30.

February The Airport hosts Aviation Day at the 

Capitol. 

The Airport Art Program’s “Paper 

Runway” exhibit is named the Best 

Museum Exhibition under $100,000 

by the Georgia Association of 

Museums and Galleries. 

March The Airport launches its Flickr page.

Step ’n Wash devices are installed in 

all 72 public restrooms at HartsfieldJackson. 

Hartsfield-Jackson wins Airport Revenue 

News’ 2010 Airport With the Best 

Concessions Program Design award in 

the large airport division.

April The Airport activates its Twitter 

account. 

April Hartsfield-Jackson earns Air 

Cargo World magazine’s Award of 

Excellence for North American cargo 

operations in its category. 

May The Airport celebrates the official 

completion of the retail program that 

brought more than 80 new stores to 

Hartsfield-Jackson. 

Air Cargo Week names HartsfieldJackson Airport of the Year. 

June A photography exhibit in the Airport 

Atrium depicts the people and past 

of Atlanta’s Cabbagetown community.

July The Airport releases its 2009 

economic impact study. Direct 

business revenue to metro Atlanta 

increased by almost 40 percent —

from $23.5 billion in 2005 to 

$32.6 billion in 2009.

Hartsfield-Jackson earns the 2010 

Global Airport Efficiency Excellence 

Award. For the eighth year in a row, 

the Air Transport Research Society 

recognizes the Airport’s world 

leadership in efficiency.
 2010 Annual Report 17

July The Airport Art Program unveils 

“Jimmy Carter: Georgia’s Native 

Son,” an eye-opening exhibit that 

tells of an ambitious South Georgia 

peanut farmer who rose to become 

the state’s 76th governor and the 

nation’s 39th president. 

August Hartsfield-Jackson names its 

automated people mover system: 

The Plane Train. 

September Asiana Airlines becomes the 14th 

all-cargo airline to serve HartsfieldJackson.

Hartsfield-Jackson officials celebrate 

the 30th anniversary of the Central 

Passenger Terminal Complex, which 

opened on September 21, 1980.

Louis E. Miller is appointed the 

Airport’s general manager.

October Hartsfield-Jackson officially launches 

its mobile website. Passengers see 

a streamlined, simplified version of 

the Airport’s website on their mobile 

devices. 

October The Airport receives reaffirmed 

 or upgraded credit rating 

 assignments from Fitch Inc. and 

 Moody’s Investors Service relating 

 to bond issuances for financing the 

 construction of the Maynard 

 Holbrook Jackson, Jr. International 

 Terminal and to outstanding bonds.

November The Airport implements a quick, 

convenient and secure ticketless 

payment system for the west 

economy and Park-Ride B lots.

Hartsfield-Jackson completes 

the sale for its senior-lien general 

airport revenue bonds (GARBs) 

series 2010A and airport 

passenger facility charge and 

subordinate-lien general revenue 

bonds (PFC hybrid bonds) series 

2010B, for a combined par value of 

$587.8 million.

December The Airport introduces electric 

shuttle carts to serve customers 

in the north and south economy 

parking lots.

Hartsfield-Jackson completes the 

refinancing of its variable-rate 2003 

RFB-C bonds for $524 million.
18 Hartsfield-Jackson Atlanta International Airport
 2010 Annual Report 19

City of Atlanta, Department of Aviation

Financial Statements

June 30, 2010 and 2009

Independent Auditors’ Report
20 Hartsfield-Jackson Atlanta International Airport

Independent Auditors’ Report

Honorable Mayor and Members of City Council

City of Atlanta, Georgia

Department of Aviation

We have audited the accompanying balance sheets of the Department of Aviation (the “Department”) of the City 

of Atlanta, Georgia (the “City”), a major enterprise fund of the City, as of and for the years ended June 30, 2010 

and 2009, and the related statements of revenues, expenses, and changes in net assets and cash flows. These 

financial statements are the responsibility of the management of the Department. Our responsibility is to express 

an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States of 

America. Those standards require that we plan and perform the audit to obtain reasonable assurance about 

whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, 

evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing 

the accounting principles used and significant estimates made by management, as well as evaluating the overall 

financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. 

As discussed in Note 1, the financial statements of the Department, a major enterprise fund of the City, are 

intended to present the financial position, the changes in financial position and cash flows of only that portion 

of the business-type activities of the City that is attributable to the transactions of the Department. They do 

not purport to, and do not, present fairly the financial position of the City as of June 30, 2010 and 2009, the 

changes in its financial position, or where applicable, its cash flows for the years then ended in conformity with 

accounting principles generally accepted in the United States of America.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial 

position of the Department as of June 30, 2010 and 2009 and its change in financial position, operations and 

cash flows for the years then ended, in conformity with accounting principles generally accepted in the United 

States of America.

Banks, Finley,

White, & CO.

Certified Public Accountants 

BANKS, FINLEY, WHITE, & CO.

CITY OF ATLANTA, GEORGIA

DEPARTMENT OF AVIATION

TABLE OF CONTENTS
 2010 Annual Report 2010 Annual Report 2121

The Management’s Discussion and Analysis and Schedules of Funding Progress on pages 22 through 34 and 

61, respectively, are not a required part of the basic financial statements but are supplementary information 

required by accounting principles generally accepted in the United States of America. We have applied certain 

limited procedures to this information, which consists principally of inquiries of management regarding the 

methods of measurement and presentation of the required supplementary information. However, we did not 

audit the information and we express no opinion on it.

Our audits were conducted for the purpose of forming an opinion on the financial statements that collectively 

comprise the Department’s basic financial statement. The statistical section is presented for purpose of 

additional analysis and is not a required part of the basic financial statement and has not been subjected to the 

auditing procedures applied in the audit of the basic financial statements accordingly, we express no opinion 

on it.

December 30, 2010.

3504 EAST MAIN STREET	•	COLLEGE PARK, GEORGIA 30337	•	(404) 763-1002
22 Hartsfield-Jackson Atlanta International Airport

Management’s Discussion and Analysis

MANAGEMENT’S DISCUSSION AND ANALYSIS

The following discussion and analysis of the financial performance and activity of the City of Atlanta, Georgia, 

Department of Aviation (“the Department”) provides an introduction and understanding of the Department’s basic 

financial statements for fiscal years ended June 30, 2010 and June 30, 2009. The Department is a major 

enterprise wholly owned by the City of Atlanta (“the City”) and conducts business-type activities. As such, the 

Department’s Basic Financial Statements and Required Supplementary Information consist of Management’s 

Discussion and Analysis (MD&A); Balance Sheets; Statements of Revenues and Expenses, Changes in Net Assets; 

Statements of Cash Flows; and Notes to the Financial Statements. The MD&A has been prepared by management 

and should be read in conjunction with the Basic Financial Statements and the attached Notes.

The Department operates Hartsfield-Jackson Atlanta International Airport (“the Airport”) which accommodated 

more than 89.3 million passengers in fiscal year 2010, making it the world’s busiest airport. The Airport is selfsupporting and does not draw on any other City resources in order to fund its operations, nor does the City 

draw from any Airport revenues in order to fund non-Airport activities.

The Financial Statements

The Department’s financial statements are prepared in accordance with accounting principles generally accepted in 

the United States of America as promulgated by the Government Accounting Standards Board (GASB). The objective 

of GASB in developing the new reporting standards is to enhance the understandability and usefulness of the external 

financial reports of state and local governments to the citizenry, legislative and oversight bodies, as well as investors 

and creditors.

The audited financial statements are prepared on an accrual basis where revenues are recognized when earned and 

expenses recognized when incurred. Capital assets are capitalized and depreciated over their estimated useful lives. 

Certain net asset balances are restricted for debt service and construction activities.

As required by City ordinances, the financial activities of the Department are accounted for in separate funds which 

were established for various purposes. For the purpose of financial reporting, however, the activity in each of these 

funds is combined into consolidated financial statements and reported herein. These financial statements represent 

the Department as a single enterprise in order that its financial performance may be evaluated as a single entity. 

The funds which comprise the consolidated statements contained herein are as follows:
 2010 Annual Report 23

Fund # Description Primary Use

5501 Airport Revenue Fund Operating Activities

5502 Airport Renewal and Extension Fund Capital Financing

5503 Airport Facilities Rev. Bond Const. Fund - Ser 1990 Capital Financing

5504 Airport Facilities Rev. Bond Const. Fund - Ser 1994B Capital Financing

5505 Airport Passenger Facility Charge (PFC) Fund Capital Financing

5506 2000 Airport Revenue Bond Fund Capital Financing

5507 2004 Airport Revenue Bond Fund Capital Financing

5508 2004 Airport PFC Bond Fund Capital Financing

5509 2004 Airport Revenue Bond Fund F-K Capital Financing

5511 2004 Airport PFC Bond Fund F-K Capital Financing

5512 CONRAC Customer Service Facility Charge (CFC) Capital Financing

5513 Airport Facilities Revenue Bond Sinking Fund Debt Service

5514 Airport Sinking Fund No. 2 Debt Service

5515 2002 Airport Revenue Bond Fund Capital Financing

5516 2003 Airport Revenue Bond Fund Capital Financing

5517 Airport Facility Revenue Bond Escrow Fund - SE Capital Financing

5518 2006 CONRAC Bond Fund Capital Financing

Budget Policy

In accordance with the City’s policy, the Department prepares an annual budget encompassing the fiscal year, 

which extends from July through June. The process begins with an estimate of the Department’s potential revenue 

collections over the budget period, including both revenues collected from the airlines and those collected from nonairline entities such as parking third-party operators, rental car agencies, airport concessions, and other sources.

From these revenue estimations, the Department deducts an amount equal to the anticipated debt service for the 

budget period. The remainder is the amount available to fund operating activities. However, the Department does 

not budget for this entire amount to be spent on operations, but rather budgets surplus revenues into a reserve 

account. For FY 2010, the amount budgeted to the reserve account was $47,352,949, which represented 12.5% 

of anticipated revenues. At the end of the fiscal year, any amount remaining in the reserve account is transferred 

to the Renewal and Extension Fund (5502) and is used to fund, in part, the Department’s capital improvement 

program.

Airline Leases

The City and most of the airlines serving the Airport have entered into agreements relating to the use of the airfield 

(the “Airport Use Agreements” or the “Airport Use License Agreement”). Under these agreements, the airlines pay 

landing fees to the City that offset a portion of operating and maintenance expenses, debt service, and an additional 

20% coverage on General Airport Revenue Bonds issued to finance airline-approved airfield capital improvements.

The City also entered into agreements with the principal passenger airlines serving the Airport (the “Contracting 

Airlines”) relating to their use and lease of the Central Passenger Terminal Complex (the “CPTC Leases”). The CPTC 

Leases provide for the calculation of terminal rentals and charges by the City to recover a portion of certain 

operating and maintenance expenses, debt service, and an additional 20% coverage on General Airport Revenue 

Bonds issued to finance airline approved CPTC projects.

 Management’s Discussion and Analysis
24 Hartsfield-Jackson Atlanta International Airport

Both the Airport Use Agreements and the CPTC Leases would have expired on September 20, 2010. However, 

under the Extended and Amended Airline Use Agreements and the Extended and Amended Airline Agreements, 

the Airport has now entered into or will extend or enter into substantially similar agreements with the Contracting 

Airlines through September 20, 2017. This includes the Proposed 2010 Amendments. Any Contracting Airlines 

who have not yet entered into the Proposed 2010 Amendments will continue to operate on substantially similar 

terms by virtue of the month to month extensions of their existing agreements.

The following Contracting Airlines are signatory to the CPTC Leases:

AirTran Airways Midwest Airlines

American Airlines Northwest Airlines 

Atlantic Southeast Airlines United Airlines

 Continental Airlines US Airways 

Delta Air Lines

The signatory airlines above collectively accounted for approximately 98.7% of all aircraft landed weight at 

the Airport in FY 2010. In addition, a number of other carriers lease terminal space under a 30-day agreement 

cancelable by either party on 30-days notice.

Overview of FY 2010

The Economy of FY2010 and Its Effects on the Airport

The U.S. Bureau of Economic Analysis reports that US real gross domestic product (GDP) increased by 0.7% 

in FY 2010 over FY 2009 (the fiscal year’s real GDP is defined as the average of four seasonally adjusted 

quarters). Real GDP grew slightly in each quarter comprising FY 2010, reflecting the slow economic recovery 

experienced by the U.S. during this period. While this represented a marked improvement over the prior fiscal 

year’s decrease of 3.8%, the air travel industry generally lags behind the overall U.S. economy as it emerges 

from recession. In addition, sustained high rates of U.S. unemployment continue to plague the nation, as the 

U.S. unemployment rate remained at 9.5% as of June 2010.

Despite these economic pressures, airline traffic volumes did increase in FY 2010. Industry-wide FY 2008 

enplanement figures in comparison to FY 2009 showed a passenger decrease of 7.7% as compared to FY 

2010 where that figure improved significantly to only a slight 0.1% decrease. Another positive indicator of the 

industry’s financial health was seen in the behavior of consumers who did choose to fly. Across the nation, 

airports reported virtually no change in the amount of operating revenue generated per passenger during FY 

2010, as compared to the sharp declines seen in prior years.

In FY 2010, Hartsfield-Jackson Atlanta International Airport experienced passenger volumes that were slightly 

better than the rest of the industry. While the nation’s air travel system experienced a marginal decrease in 

enplaned passengers of 0.1%, Atlanta’s airport experienced an increase of 1.3%. The strong presence of 

the Airport’s hub carriers, Delta Air Lines and AirTran Airways, continued to bring a strong flow of connecting 

traffic through the Airport resulting in better-than-industry passenger volumes. This, along with other factors, 

contributed to the Airport’s increased operating revenues of 2.9%.

Management’s Discussion and Analysis
 2010 Annual Report 25

Despite the modest increase in passenger traffic and revenue performance, the Department has continued to be 

proactive during FY 2010 in confronting an anticipated slow economic recovery. Particular emphasis has been 

placed on maintaining robust cash reserves and reducing operating expenses. As of June 30, 2010, the 

Department had 790 days unrestricted cash on hand. In addition, during the FY 2011 budgeting process, the 

Department implemented reductions to operating expenses in its revenue fund which resulted in a reduction of 

$16.3 million of budgeted operating expenses.

Airport Operations

The Airport mission is to provide the Atlanta region a safe, secure and cost-competitive gateway to the world that 

drives economic development, operates with the highest level of efficiency and exercises fiscal and environmental 

responsibility. During FY 2010, the Department continued to strive for this objective while also maintaining its 

strong financial health. 

As noted earlier, a sluggish U.S. economy held the Department’s traffic growth to modest levels. Cargo volumes, 

however, increased significantly over the period due to several initiatives undertaken by the Department to attract 

air cargo carriers to the Airport. 

Below is a table summarizing traffic statistics for the Department during the FY 2009 and FY 2010:

 FY2010 FY2009 

 July 2009 – June 2010 July 2008 – June 2009 % Change

Total Enplanements 45,375,298 44,808,982 1.3% 

 International 4,421,551 4,464,750 -0.1% 

 Domestic 40,953,747 40,344,132 1.5%

Flight Operations 963,806 966,456 -0.3%

Cargo (metric tons) 621,921 571,255 8.9%

Financial Performance

Revenues, Expenses, & Change in Net Assets

The increase in passenger traffic at the Airport, as well as several new initiatives and revenue sources, resulted in 

an operating revenue increase of $11.3 million over FY 2009. This was more than offset, however, by an increase 

in operating expenses of $31.6 million. The nature of these changes will be discussed in detail in their respective 

sections, but the result was a net decrease in operating income before depreciation and amortization of $20.3 

million.

The Department’s depreciation and amortization expenses continued to increase due to the additional depreciation 

of several new assets placed in service in FY 2010, most notably the $628.6 million Rental Car Center (RCC). 

The depreciation in FY 2010 over FY 2009 was $24.0 million.

Non-operating activity also saw significant variation from the previous year. This change was driven primarily by 

decreases in both investment income and capital contributions. The decrease in investment income was caused by 

the Department’s decision to terminate four interest rate swap agreements associated with several of its variable 

rate General Airport Revenue Bonds (GARBs) series. The total cost to the department for doing this was $58.4 

million. In addition to this, the Airport received $60.8 million less in Federal grants than it had in previous years to 

Management’s Discussion and Analysis
26 Hartsfield-Jackson Atlanta International Airport

Revenues, Expenses, & Change in Net Assets, continued 

fund non-operating activities and other capital projects. This yielded a net reduction in the FY 2010 change to 

net assets of $127.9 million when compared to FY 2009.

($’s in thousands) FY2010 FY2009

Operating Revenues $ 400,799 $ 389,535 

(-) Operating Expenses (210,169) (178,563)

(=) Op. Income Before Depreciation & Amortization 190,630 210,972 

(-) Depreciation & Amortization Expense (174,124) (150,133)

(=) Operating Income 16,506 60,839 

 

(+) Non-operating Income 83,509 123,108 

(+) Capital Contributions 19,266 80,043

(-) Transfer out of the City - (2,116)

(-) Impairment Losses - (14,672)

(=) Change in Net Assets $ 119,281 $ 247,202 

OPERATING REVENUES

Total operating revenues increased by $11.3 million, or 2.9%, over FY 2009. This increase was primarily due 

to increases in aeronautical, or airline-paid, revenues. These aeronautical revenues are recognized primarily in 

the form of landing fees and lease payments for occupying space within the Airport’s terminal and concourse 

facilities. A summary of the Department’s operating revenues is presented below, followed by an explanation of 

significant variances:

($’s in thousands) FY2010 FY2009 Change

Parking, car rental, and other concessions $ 202,881 $ 201,281 0.8%

Terminal, maintenance buildings, and other rentals 93.881 88.319 6.3%

Landing fees 65,429 62,916 4.0%

Other 38,608 37,019 4.3%

Total operating revenues $ 400,799 $ 389,535 2.9% 

Parking, car rental, and other concessions 

As the U.S. and Georgia economies began their slow recovery during FY 2010, passenger traffic increased at 

the Airport, both in terms of passengers arriving and departing as well as those connecting through to other 

destinations. However, passengers’ propensity to consume continued to remain low as travelers spent less in 

the Airport’s numerous concession outlets, parking facilities, and car rental venues.

Public parking and car rental revenues were acutely affected as passengers sought less costly modes of 

transportation to and from the Airport. Revenues from these two sources decreased by a combined $5.5 million 

over FY 2009. Alternatively passengers took advantage of other transportation options such as taxis, shuttle 

buses and MARTA increasing the Airport’s overall ground transportation revenue, and helping to offset the 

$5.5 million revenue reduction. 

Management’s Discussion and Analysis
 2010 Annual Report 27

Operating Revenues, continued

Additionally, the Department began collecting revenues to offset the cost of operating and maintaining the Rental 

Car Facility (RCC), which opened in December of 2009. The amount collected in FY 2010 was $6.2 million, 

which more than offset the declining revenue streams in public parking and rental cars.

Parking, car rental, and other concessions:

($’s in thousands) FY 2010 FY 2009 Change

Inside Concessions $ 71,961 $ 70,807 1.5%

Public Telephone 472 461 2.4% 

Marketing Fees 54 257 -79.0%

Registered Traveler 204 741 -72.5%

Executive Conference Center 246 376 -34.6%

Car Rentals 26,665 29,758 -10.4% 

RCC Cost Recoveries & Rents 6,156 - -

Public Parking 95,577 98,016 -2.5%

Ground Transportation 1,546 865 78.7%

Total $ 202,881 $ 201,281 0.8%

Terminal, maintenance building and other rentals 

These revenues include all rents paid by the airlines, the airport’s concessions, cargo carriers, and other entities 

that occupy space and conduct business on Airport property. The standing CPTC Leases require the Department 

to recover through these rents the cost of operating certain airport facilities, the capital costs incurred in building 

these facilities, plus a 20% coverage factor. In FY 2010, these rents increased by $5.6 million due to multiple 

factors regarding land and CPTC building rentals, recoveries of tenant finishes, and various credits. Among the 

factors causing the increase in FY 2010 was the collection of rental revenue for occupation of space within the 

new RCC facility. These rents totaled $1.9 million in FY 2010. Additionally, as projects initiated on the airlines’ 

and other tenants’ behalf were completed, the Airport began charging new Tenant Finish Rents to these various 

parties. The total amount for these additional rents in FY 2010 was $3.9 million.

Landing Fees

Landing fees are paid by signatory and non-signatory airlines, meaning those who have signed the standing 

Airport Use Agreement and those who have not. These fees are collected for aircraft which land at the Airport 

and are calculated based upon each individual aircraft’s weight. These landing fees are collected in three ways:

1) Basic Landing Fees. These are collected for the purpose of recapturing the operating and 

maintenance costs associated with the operation and maintenance of the Airport’s 5 runways and 

numerous taxiways.

2) Airfield Improvement Program (AIP) Fees. These are collected as recovery of the capital 

costs associated with the expansion, improvement, and major maintenance of the Airport’s airfield.

3) Aircraft Parking Fees. These are collected for space on the Airport’s aprons used to park 

idle aircraft.

In FY 2010, landing fees increased by 4.0% over FY 2009. First, passenger traffic increased which resulted in a 

higher landed weight, thereby increasing the basic landing fees collected by $0.8 million. Second, three new AIP 

fees were imposed which generated $0.9 million in additional revenue. Third, as airlines continued to trim the 

number of flights system-wide, they needed space to park the unused aircraft. This added demand resulted in an 

increase of $0.9 million in aircraft parking fees during FY 2010.

Management’s Discussion and Analysis
28 Hartsfield-Jackson Atlanta International Airport

Other

Other revenues increased by $1.6 million, or 4.3%, over FY 2009. This was almost exclusively the result of 

an increase in the amount of revenue collected for the sale of security items associated with allowing Airport 

stakeholders access to the various secure areas throughout the facility. Specifically, the price of security 

badges was raised by 20%.

Operating Expenses

In response to the economic recession and the slow recovery which continued through FY 2010, the Department 

continued cost containment procedures initiated in FY 2009 throughout its revenue fund (5501) in order to 

increase its financial flexibility in light of revenue losses. The hiring freeze which began in FY 2009 continued 

throughout FY 2010, as only those positions deemed absolutely critical to the operation and maintenance of 

the Airport were filled as vacancies became available. Additionally, extensive efforts were made to reduce the 

amount of contract services which comprised 30% of the FY 2010 operating expense budget.

In looking at the FY 2010 operating expenses, however, the Department incurred $31.6 million in additional 

expenses compared to FY 2009:

($’s in thousands) FY2010 FY2009 Change

Salaries and employee benefits $ 90,912 $ 89,963 1.1%

Repairs, maintenance, and other 82,461 63,812 29.2% 

contractual services 

General services 15,550 11,721 32.7%

Utilities 8,420 8,438 -0.2%

Materials and supplies 4,164 5,042 -17.4%

Other 8,662 (413) 100.0%

Total Operating Expenses $ 210,169 $ 178,563 17.7%

This large increase in comparative operating expenses during a period of cost containment warrants further 

explanation.

In FY 2009, there were $13.8 million in one-time operating expense credits that were not received in FY 2010. 

In FY 2009 the City of Atlanta’s General Fund credited back to the Department of Aviation $6.7 million in indirect 

costs pursuant to a finding in the City’s actuarial study that indicated that the Department of Aviation had been 

overcharged during the year for services rendered by the General Fund on the Airport’s behalf. Additionally, 

the Department of Aviation received a $7.1 million credit for litigation expenses incurred in prior years. These 

litigation expenses were incurred in anticipation of a future need for the Department to pay any settlement or 

judgment against it in a large civil case. These payments did not come to fruition, however, and the net amount 

was credited to the Department in FY 2009. The effect of this when comparing the two years is that FY 2010 

expenses appear higher when in actuality the $13.8 million represents an offset to FY 2009, not additional 

expenses incurred by the Department in FY 2010. Additionally, as part of a more thorough evaluation of the 

Department’s project management process an additional $3.6 million in planning and development costs were 

incurred in FY 2010 as compared to FY 2009. The final significant item in the overall cost increase relates to 

the Airport’s new Rental Car Center (RCC). As operations began in December of 2009, the Airport incurred 

additional expenses for operations, security system requirements and Automated Ground Transportation System 

upgrades which increased costs by approximately $5.1 million.

Management’s Discussion and Analysis
 2010 Annual Report 29

Non-operating Revenues & Expenses

The Department generates non-operating revenue from four main sources: Interest earned from invested cash, 

passenger facility charges (PFCs), customer facility charges (CFCs), and capital contributions in the form of grants. 

These revenue sources are not classified as operating because either they are not generated from operating activities, 

or their use is restricted and cannot pay for operating-type expenses. A brief description of each category and any 

significant activity during FY 2010 is included below:

Investment Income

The Department of Aviation continues to maximize investment income within the constraints imposed by State 

of Georgia statutes and City Ordinances. Wherever legal requirements permit, cash is pooled in order to achieve 

maximum cash yields on short-term investments of otherwise idle cash. These investments are highly liquid with 

maturities of three months or less.

In FY 2010, the Department terminated four interest rate swap agreements associated with its 2003RF B/C series 

GARBs, as well as a future unissued refunding bond series. Because these series were variable rate bonds, the 

swaps were issued as a hedge against rising interest rates in order to synthetically fix the rate. With interest rates 

falling to historic lows in FY 2009 and FY 2010, as well as volatility in the market, the Department decided to 

negotiate a swap termination in conjunction with the refunding of its 2003RF B/C GARBs. The cost to the Department 

to do this was $58.4 million. This offset the $20.1 million in other investment income, resulting in a net $38.4 million 

loss in FY 2010.

Passenger Facility Charges (PFCs)

In 1990, the U.S. Congress established PFCs as part of the Aviation Safety and Capacity Expansion Act of 1990. 

The Act states that an airport may collect PFCs from passengers in order to pay for the cost of designing and 

constructing eligible airport capital projects or to repay debt service issued to build such projects. PFCs are 

collected by the air carriers when passengers purchase their tickets and are remitted to the Airport on a monthly 

basis. PFCs are a major source of funding for the Airport’s Capital Improvement Program. The Airport currently 

collects a $4.50 PFC per enplaned passenger, which amounts to more than $160 million a year for the Airport. 

The Airport currently has FAA approval to use PFCs on projects totaling more than $3.3 billion. PFC revenue 

decreased by $1.9 million in FY 2010, which is a decrease of 1.1% over FY 2009. 

Customer Facility Charges (CFCs)

The Airport collects CFCs as a means to fund the construction and operation of its Rental Car Facility, or RCC, 

which opened in December of 2009. CFC’s are also used to fund the debt service on the Department’s CFC-related 

bonds. These CFC’s are collected by the rental car tenants and remitted to the Airport on a monthly basis. The 

Airport collects $4.50 for each transaction day. However, beginning in FY 2011, the Airport will begin collecting 

$5.00 for each transaction day.

While rental car transaction days were down by 2.2% compared to FY 2009, gross CFC revenue increased by 4.8% 

to $24.2 million in FY 2010. This is because the CFC rate charged in FY 2009 was $4.00 per transaction day. 

However, per the lease agreement with the RCC tenants, a portion of the collected CFCs will be applied as operating 

revenue to offset operating and maintenance expenses associated with the complex. The amount of CFCs applied 

for these expenses in FY 2010 was $2.8 million. Thus, CFC revenues at the Airport were $21.3 million in FY 2010 - 

down by $1.8 million over FY 2009. This amounts to a 7.9% decrease.

Capital Contribution

The Airport receives Airport Improvement Program (AIP) and other grants through the Federal Aviation Administration 

(FAA) and other federal and state agencies. In FY 2010, the Airport received $19.3 million in grants in order to 

support its capital program and other non-operating activity from various agencies.

Management’s Discussion and Analysis
30 Hartsfield-Jackson Atlanta International Airport

Assets, Liabilities, & Net Assets

A summary of the Department’s assets is detailed below, including a breakdown of both unrestricted and 

restricted cash balances as of the end of fiscal years 2009 and 2010. Restricted cash represents those 

amounts received for a specific use as dictated by Federal, state, or applicable City law. Examples of restricted 

cash are proceeds received from PFCs, CFCs, Federal Grants, General Airport Revenue Bonds (GARBs), and 

amounts held in the Airport’s sinking fund used to service debt payments.

($’s in thousands) FY2010 FY2009

Cash & Cash Equivalents 

Unrestricted Cash & Cash Equivalents 

and Pooled Investments $ 454,809 $ 460,074

Restricted Cash & Cash Equivalents 

and Investments 859,458 1,136,801

Total Cash & Cash Equivalents 1,314,267 1,596,875 

 

Other Current Assets 47,361 47,217

Capital Assets 

 Fixed Assets 5,804,850 4,983,971 

 CIP 1,124,668 1,473,405 

 Less: Accumulated Depreciation (1,693,391) (1,528,482)

Total Capital Assets 5,236,127 4,928,894 

 

Deferred Assets 107,509 115,852 

 

Total Assets $ 6,705,264 $ 6,688,838

Cash balances decreased during FY 2010 as the Department used cash to fund many of its on-going capital 

projects. However, 790 days of unrestricted cash on hand was maintained as of June 30, 2010 which is well 

above the industry average. The Department is committed to sustaining adequate cash reserves on hand in 

order to preserve financial flexibility in the face of future uncertainties.

Fixed Assets increased by $820.9 million during the fiscal year. This increase is the net result of projects being 

released from the CIP account, capital assets being procured during the fiscal year, and existing fixed assets 

being removed or degraded during the fiscal year:

($’s in thousands)

Rental Car Center (RCC) $ 628,637 

Airfield Improvements 68,799 

Security Screening Enhancements 26,280 

AGTS Upgrades & Enhancements 22,884 

Improved Security Access Control System 21,049 

Terminal Plant Improvements 19,117 

ARFF Training Facility 14,530 

Other Miscellaneous Improvements (net) 19,583

Total Projects Placed in Service, FY 2010 $ 820,879

Management’s Discussion and Analysis
 2010 Annual Report 31

The Department has continued to responsibly manage its outstanding liabilities. In FY 2010 the pay down of 

long-term debt resulted in a reduction of outstanding principle on the GARBs. In addition, the Department was 

able to meet its goal of paying vendors on a net 30-day basis. A summary of the Department’s liabilities and net 

assets is contained below:

($’s in thousands) FY 2010 FY 2009

Current Liabilities $ 358,338 $ 339,937 

Long-Term Liabilities 

 Revenue Bonds Payable, Net of Current Mat. 2,161,744 2,287,913 

 Other Long-Term Liabilities 51,085 46,172

Total Long-Term Liabilities 2,212,829 2,334,085 

 

Total Liabilities 2,571,167 2,674,022

 

Total Net Assets 4,134,097 4,014,816

 

Total Liabilities and Net Assets $ 6,705,264 $ 6,688,838

Total Assets $ 6,705,264 $ 6,688,838

 

Total net assets increased by $119.3 million during FY 2010. A summary of the contributions to this increase is 

contained below:

($’s in thousands) 2009 2008

Operating revenues $ 400,799 $ 389,535 

(+) Investment Income (38,382) 27,254 

(+) Other income (restricted - PFCs and CFCs) 186,338 190,047

(=) Total revenues 548,755 606,836 

 

Operating expenses 210,169 178,563 

(+) Interest expenses 64,572 81,559 

(+) Other non-operating expenses (income) (125) 12,634 

(+) Depreciation and Amortization 174,124 150,133

(=) Total Expenses 448,740 422,889 

 

Excess of Revenues over expenses 100,015 183,947 

(+) Capital contributions (restricted - grants) 19,266 80,043 

(-) Special item-impairment losses – (14,672)

(-) Transfer out to city – (2,116)

(=) Change in net assets 119,281 247,202 

 

Change in net assets 119,281 247,202

(+) Net assets at beginning of year 4,014,816 3,767,614

(=) Net assets at end of year $ 4,134,097 $ 4,014,816

Management’s Discussion and Analysis
32 Hartsfield-Jackson Atlanta International Airport

Airport Capital Assets and Capital Improvement Plan

As of June 30, 2010 and 2009, the Airport had capital assets of $5.2 billion and $4.9 billion, respectively. The 

Airport continues to implement its capital improvement plan (CIP) which includes $6.0 billion worth of capital 

projects designed to provide passengers with state of the art facilities and unparalleled customer service while 

preparing the Airport for future growth. A list of the projects contained in the CIP and their respective costs (or 

projected costs) and statuses are presented below:

($’s in millions) 

Project Est. Cost Status 

Runway 10/28 $ 1,209 Completed

Terminal Upgrade Projects 1,394 Est. Completion 2014

Maynard H. Jackson International Terminal 1,508 Est. Completion 2012

Rental Car Center 629 Completed

Other Airfield Projects 752 Est. Completion 2014

Other Projects 556 Est. Completion 2014

Total CIP $ 6,048 

In FY 2010 construction continued on the Maynard Holbrook Jackson, Jr. International Terminal (MHJIT), which 

included the ongoing construction on the automated people mover tunnels required to extend the train system 

from Concourse E to the MHJIT. The complex will include 12 international wide-body aircraft passenger gates, 

bringing the Airport’s total gates designated as international to 40. It will feature improved passenger services 

such as angled island ticketing similar to what was recently installed in the South Terminal. It will also provide 

support facilities including parking, concessions, duty free areas, ticketing, baggage claim, and other traveler 

comforts. The project is slated to be completed in spring of 2012. 

The Rental Car Center (RCC) completed construction in December of 2009. The RCC includes two garages with 

a total of 8,600 rental car spaces, a customer service center, and an automated people mover train system with 

three stations - including one that will service the area surrounding the Georgia International Convention Center.

Long-Term Debt

As of June 30, 2010, the Department had a total of $2.2 billion outstanding in General Airport Revenue, PFC, 

and Taxable Revenue Bonds. These bonds mature from 2011 to 2034, with interest rates ranging from 3.50% to 

7.25%. Both principal and interest are payable from operating revenues, PFC, CFC, and federal grants under the 

provision of the restated and amended Master Bond Ordinance. The bonds do not constitute debt of the City of 

Atlanta or a pledge of the full faith and credit of the City. 

During FY 2009 and FY 2010, the US financial establishment experienced an unprecedented reduction of liquidity 

in the capital markets. As capital became scarce and interest rates dropped to historic lows, the Department 

reevaluated its debt portfolio in an effort to reduce its overall cost of borrowing and exposure to interest rate 

risk.

On the advice of our Financial Advisors, the Department has adopted as policy that it will eliminate all variable 

rate debt instruments as well as any derivatives associated with these securities. To accomplish this, the 

Department has either taken, or is planning to take, the following actions: 

Management’s Discussion and Analysis
 2010 Annual Report 33

•	 2004	D	Bonds	–	As	of	June	30,	2010,	all	$89.7	million	of	the	2004	D	series	auction	rate	bonds	had		

 been retired.

•	 2004	E	Bonds	–	As	of	June	30,	2010,	$110.0	million	of	the	original	$146.6	million	2004	E	series			

 auction rate bonds had been retired. The outstanding amount of these securities as of this date was 

 $36.6 million. It is the Department’s intention to retire the remaining balance of the 2004 

 E auction rate bonds by the end of FY 2011. This action will eliminate all variable rate PFC hybrid debt 

 instruments from the Department’s balance sheets.

•	 2003 RF-B/C Variable Rate Bonds – The Departments of Aviation and Finance will refund the $490.2 

million outstanding 2003 RF-B/C Variable Rate Demand Bonds with fixed debt in December of 2010. 

This action will eliminate all variable rate GARB debt instruments from the Department’s balance sheets.

•	 Swaps	1	&	2	–	These	swaps	were	entered	into	as	a	means	of	lowering	borrowing	costs	by	synthetically		

 fixing the interest rates on the Series 2003 RF-B/C Variable Rate Bonds. Because of the U.S. financial 

 market events in FY 2009, interest rates moved in such a manner as to cause the department to make 

 substantial monthly payments to the counterparty in order to satisfy the terms of the swap. On July 

 26, 2009, the Department terminated these swaps with the counterparties in order to eliminate these 

 monthly payments. The amount negotiated to terminate these swaps was $18.5 million.

•	 Swaps	3	&	4	–	These	swaps	were	entered	into	as	a	hedge	against	a	potential	refunding	issue		 	

 for the 2000A and 2000B series GARBs. Payments associated with these swaps were to begin on 1 

 January 2010. Because of the Department’s policy to eliminate variable rate debt, and to avoid future 

 swap payments to the counterparties, the Department terminated these swaps on December 23, 

 2009. The amount negotiated to terminate these swaps was $40.0 million.

Since 2000, the Department has satisfied the Debt Service Reserve requirement with surety policies. As a result 

of the downgrade in the ratings of FGIC Insurance, on May 1, 2008 the Department of Aviation began making 

equal monthly deposits ($6.1 million) for a twenty-four month period to the Debt Service Reserve. The deposits 

are in compliance with the Master Bond Ordinance. 

Subsequent Events

On August 31, 2010, the Department entered into an agreement with the signatory airlines for supplemental 

rental payments to be made to the Airport in the fiscal years 2013-2016. The aggregate amount to be paid to 

the Airport is $30.0 million to be paid in various amounts over the four-year period. As part of this agreement, 

the Airport has agreed to make contractual payments to the signatory airlines during the fiscal years 2015-

2017. The amount of these contractual payments is dependent upon the Airport’s financial performance in 

those fiscal years. An estimated schedule of these payments is included below:

($’s in millions) FY 2013 FY 2014 FY 2015 FY 2016 FY 2017

Supplemental CPTC Rentals $ 12.0 $ 8.0 $ 5.0 $ 5.0 $ - 

Contractual Pmts. to Airlines $ - $ - $ 4.9 $ 7.5 $ 5.1 

On November 16, 2010, the Department issued $587.8 million of fixed rate bonds in order to finance 

thecontinued planning and construction of its Capital Improvement Program. These bonds were issued in 

two series and comprise General Airport Revenue Bonds (GARBs) and Airport Passenger Facility Charge and 

Subordinate Lien General Revenue Bonds (PFC Hybrid Bonds): (all amounts are in thousands)

 

Management’s Discussion and Analysis
34 Hartsfield-Jackson Atlanta International Airport

Subsequent Events, continued

 Type Par Value

 Series 2010A GARBs $ 177,900 

 PFC Hybrid

 Series 2010B Bonds $ 409,810

On December 23, 2010, the Department issued $524.0 million of fixed rate bonds in order to refund the 

2003RF B/C variable rate GARBs. These bonds were issued in one series: (amount is in thousands)

 Type Par Value 

 Refunding 

 Series 2010C GARBs $ 524,045 

Requests for Information

This financial report is designed to provide a general overview of the Department’s finances for all interested 

parties. Questions concerning any of the information provided in this report, or requests for additional 

information should be addressed to:

 Chief Financial Officer

P.O. Box 20509

Atlanta, GA 30320

Management’s Discussion and Analysis
 2010 Annual Report 35

 2010 2009

ASSETS 

 

Current assets: 

 Cash and cash equivalents $ 11,855 $ 5,329 

 Restricted cash 93,200 99,445 

 Investment in pooled investment fund (Note 2) 442,954 454,745 

 Accounts receivable, net of allowance for doubtful 

 accounts of $4,382 for 2010 and $3,902 for 2009 6,891 11,329 

 Restricted assets (Note 4) 36,349 32,990 

 Prepaid expenses 755 1,534 

 Due from other funds of the City of Atlanta — — 

 Materials and supplies, net of allowance for 

 obsolescence of $585 in 2009 and $570 in 2008 3,366 1,364

 

 Total current assets 595,370 606,736

 

Restricted investments (Note 2 and 4) 766,258 1,037,356

 

Capital assets: 

 Land 583,067 582,119 

 Land purchased for noise abatement 265,104 270,158 

 Runways, taxiways, and other land improvements 2,517,187 2,454,328 

 Terminal, maintenance building and other structures 2,280,207 1,543,227 

 Other property and equipment 159,285 134,139 

 Construction in progress 1,124,668 1,473,405 

 Less: accumulated depreciation (1,693,391) (1,528,482)

 

Capital assets, net (Note 5) 5,236,127 4,928,894

Deferred assets: 

 Bond issue costs, net 27,220 29,284 

 Loss refunding, net 80,289 86,568

 

Total assets $ 6,705,264 $ 6,688,838

Audited Financial Statements

CITY OF ATLANTA, GEORGIA

DEPARTMENT OF AVIATION

BALANCE SHEETS

June 30, 2010 and 2009

(In thousands)
36 Hartsfield-Jackson Atlanta International Airport

 2010 2009

LIABILITIES AND NET ASSETS 

 

Current liabilities: 

 Accounts payable $ 7,642 $ 5,325 

 Accrued expenses 9,685 8,948 

 Claims payable (Note 9) 8,000 — 

 Due to other funds 109 —

 Current portion of other liabilities 288 ––

Total current liabilities 25,724 14,273 

Current liabilities payable from restricted assets: 

 Current maturities of long-term debt (Note 6) 72,091 54,518 

 Accrued interest payable 46,984 56,326 

 Accounts payable 45,264 101,119 

 Contract retention 17,634 18,684 

 Deposits and advances 1,784 1,785 

 Commercial paper notes payable 148,857 93,232 

Total current liabilities payable from restricted assets 332,614 325,664 

 

Total current liabilities 358,338 339,937

Long-term liabilities: 

Revenue bonds payable, net of current maturities (Note 6) 2,161,744 2,287,913 

Arbitrage rebate liability — 135 

Contract retention 25,526 20,222 

Claims payable (Note 9) — 7,250 

Accrued workers’ compensation (Note 9) 1,133 1,436 

Other liabilities 24,426 17,129

Total long-term liabilities 2,212,829 2,334,085

Total liabilities 2,571,167 2,674,,022

Net assets: 

Invested in capital assets, net of related debt 3,127,052 3,006,567 

Restricted for: 

 Capital projects (Note 4) 365,297 450,510 

 Debt service (Note 4) 206,232 168,786 

Unrestricted 435,516 388,953 

 

Total net assets 4,134,097 4,014,816

Total liabilities and net assets $ 6,705,264 $ 6,688,838

The accompanying notes are an integral part of the basic financial statements.

Audited Financial Statements
 2010 Annual Report 37

 2010 2009

Operating revenues: 

 Parking, car rental and other concessions $ 202,881 $ 201,281 

 Terminal, maintenance buildings and other rentals 93,881 88,319 

 Landing fees 65,429 62,916 

 Other 38,608 37,019 

Total operating revenues 400,799 389,535

Operating Expenses: 

 Salaries and employee benefits 90,912 89,963 

 Repairs, maintenance and other contractual services 82,461 63,812 

General services 15,550 11,721 

 Utilities 8,420 8,438 

 Materials and supplies 4,164 5,042 

 Other 8,662 (413)

Total operating expenses 210,169 178,563

Operating income before depreciation and amortization 190,630 210,972 

Depreciation and amortization expenses 174,124 150,133 

Operating income 16,506 60,839

Nonoperating revenues (expenses/losses): 

 Investment income (expenses/losses) (38,382) 27,254 

Passenger facility charges 165,022 166,911 

 Customer facility charges 21,316 23,136 

 Interest on long-term debt (64,572) (81,559) 

 Capital contributions 19,266 80,043 

 Other revenues (expenses) 125 (12,634)

Nonoperating revenues (expenses), net 102,775 203,151

 

Transfer out to the City —- (2,116)

Special item —- (14,672)

Change in net assets 119,281 247,202

Net assets: 

 Beginning of year 4,014,816 3,767,614 

 

 Ending of year $ 4,134,097 $ 4,014,816

The accompanying notes are an integral part of the basic financial statements.

Audited Financial Statements

CITY OF ATLANTA, GEORGIA

DEPARTMENT OF AVIATION

STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS

FOR THE YEARS JUNE 30, 2010 AND 2009

(In thousands)
38 Hartsfield-Jackson Atlanta International Airport

Cash Flows From Operating Activities: 2010 2009

 

Receipts from customers and tenants $ 405,237 $ 391,497 

Payments to suppliers for goods and services (118,161) (86,850) 

 Payments to or on behalf of employees (82,894) (86,554)

Net cash provided by operating activities 204,182 218,093

Cash Flows From Investing Activities:

Interest and dividends on investments 26,731 45,840 

Purchases of nonpooled investments (774,791) (1,465,694)

Sales/redemptions of nonpooled investments 1,045,889 1,717,813 

Swap Termination payments (58,470) —

Change in pooled investment fund 11,899 51,475 

Net cash provided by investing activities 251,258 349,434

Cash Flows From Capital and Related Financing Activities 

 

Capital grants 17,151 91,470

Principal repayments of long-term debt (108,263) (65,872) 

Acquisition, construction and improvement of capital assets (491,726) (579,490) 

Passenger and customer facility charges 185,045 189,844

Contract retainage withheld, net 4,254 16,862 

Proceeds from notes, net 55,625 18,120 

Interest and other fees paid on bonds (117,245) (155,296)

Net cash used in capital and related financing activities (455,159) (484,362) 

Increase (decrease) in cash and cash equivalents 281 83,165

Cash and cash equivalents: 

 Beginning of year 104,774 21,609 

 

 End of year $ 105,055 $ 104,774 

The accompanying notes are an integral part of the basic financial statements.

Audited Financial Statements

CITY OF ATLANTA, GEORGIA

DEPARTMENT OF AVIATION

STATEMENTS OF CASH FLOWS

FOR THE YEARS JUNE 30, 2010 AND 2009

(In thousands)
 2010 Annual Report 39

 2010 2009

 

Reconciliation of operating income to net cash 

provided by operating activities 

 

Operating income $ 16,506 $ 60,839 

Adjustments to reconcile operating income to net cash 

provided by operating activities: 

 Depreciation and amortization 174,124 150,133 

Changes in assets and liabilities:

 Receivables —- net of allowances 4,437 1,962 

 Inventory (2,002) (35) 

 Prepaid expense 779 (177) 

 Accounts payable and accrued expense 2,318 (3,155) 

 Other liabilities 8,020 8,526 

Net cash provided by operating activities $ 204,182 $ 218,093

Supplemental schedule of noncash financing activities 

 Appreciation of capital appreciation bonds $ 3,648 $ 3,917

The accompanying notes are an integral part of the basic financial statements.

Audited Financial Statements

CITY OF ATLANTA, GEORGIA

DEPARTMENT OF AVIATION

STATEMENTS OF CASH FLOWS

FOR THE YEARS JUNE 30, 2010 AND 2009

(In thousands)
40 Hartsfield-Jackson Atlanta International Airport

Note 1 — Summary of Significant Accounting Policies

The Department of Aviation (the “Department”) of the City of Atlanta, Georgia (the “City”) operates the Atlanta 

Hartsfield Jackson International Airport (the “Airport”). The accompanying financial statements 

include only the financial activities of the Department. The Department is an integral part of the City’s financial 

reporting entity, and its results are included in the Comprehensive Annual Financial Report (CAFR) of the City as 

a major enterprise fund. The latest available CAFR is as of and for the year ended June 30, 2010; that CAFR 

should be read in conjunction with these financial statements.

The accounting policies of the Department conform, in all material respects, to accounting principles generally 

accepted in the United States of America applicable to proprietary funds of governmental units. Below is a 

summary of the more significant accounting policies followed by the Department:

Basis of Accounting and Presentation

As required by various City ordinances, the financial activities of the Department are accounted for in separate 

funds established by such ordinances and are combined for financial reporting purposes and presented as a 

single enterprise fund. Enterprise fund financial statements are prepared on the accrual basis of accounting. 

Revenues are recorded as earned and expenses are recorded as incurred.

The City applies all Financial Accounting Standards Board (FASB) pronouncements issued prior to November 30, 

1989 that are not inconsistent with Governmental Accounting Standards Board (GASB) pronouncements. The 

City has elected not to apply FASB pronouncements issued subsequent to November 30, 1989.

Investments

Investments are carried at fair value based on quoted market prices, and include any accrued interest. The City 

maintains a pooled investment fund in which the Department participates, with the exception of its construction, 

sinking, and special charges funds. Investment income of this pooled fund is allocated to each participating fund 

based on that fund’s recorded equity in the pooled fund.

Intrafund Transactions

During the course of normal operations, transactions take place between the funds comprising the Department. 

These interfund transactions are eliminated on the balance sheets.

Material and Supplies

Material and supplies are stated at the lower of cost (first-in, first-out) or market.

Restricted Assets

Restricted assets represent amounts which are required to be maintained pursuant to City ordinances relating 

to bonded indebtedness – construction, renewal and extension, passenger facility charges, customer facility 

charges and sinking funds – (Note 4), and funds received for specific purposes pursuant to U.S. government 

grants 

Notes to the Financial Statements

CITY OF ATLANTA, GEORGIA 

DEPARTMENT OF AVIATION

NOTES TO THE FINANCIAL STATEMENTS

JUNE 30, 2010 AND 2009
 2010 Annual Report 41

(related primarily to noise abatement programs and funding of debt services). The Department’s policy is to use 

restricted resources first, then unrestricted resources, when both are available for use to fund an activity.

Capital Assets

Capital assets are recorded at cost, if purchased, and at fair market value at date of gift, if donated. 

Depreciation of capital assets is provided on the straight line method over the following estimated useful lives:

Classification Range of Lives

 Runways, taxiway and other land improvements 15-35 years

 Terminal, maintenance buildings, and other structures 15-35 years

 Other property and equipment 2-20 years

The Department has a capitalization threshold of $5,000 for all capital assets.

The Department purchases certain residential parcels of land that are considered to be within the area 

designated as “noise impacted” surrounding the Airport. The costs of acquisition and relocation of residents 

in this area are eligible under the Federal Aviation Administration (FAA) Noise Abatement Grant Program for 

reimbursement. The FAA funds approximately 75% to 80% of these costs with the remainder financed by the 

Department.

The FAA retains a continuing interest in the properties equal to its original funding percentage and restricts the 

use of such properties to purposes which are compatible with the noise levels associated with the operation 

of the Airport. All costs associated with acquiring these parcels of land are recorded under the caption “Land 

purchased for noise abatement” on the Department’s balance sheets

Capitalization of Interest Expenses

Net interest costs incurred during the construction of runways, taxiways, and other land improvements and 

terminal, maintenance buildings, and other structures are capitalized as part of the historical costs of acquiring 

these assets. The interest earned on investments acquired with proceeds from tax exempt borrowing (where 

such borrowings are restricted to the acquisition of assets) is offset against the related interest costs in 

determining either the amount of interest to be capitalized or limitations on the amount of interest costs to be 

capitalized. Net interest costs capitalized for the years ended June 30, 2010 and 2009 totaled approximately 

$36.5 million and $35.8 million, respectively. 

Compensated Absences

City employees can accrue a maximum of 25 to 45 days of annual leave, depending upon the length of service, 

and 20 days of compensatory leave. Vested or accumulated vacation leave, including related benefits, is 

recorded as an expense and liability as the benefits accrue to employees.

Employees can accrue unlimited amounts of sick leave. Sick leave can be taken only due to personal illness or 

illness in certain cases, of family members. Depending on the City Council’s approval and availability of funds, 

employees may be paid in cash each year for a portion of their sick leave accrual in excess of a stated base 

accumulation. No accrued liability is recorded for sick pay accumulated because the amount which ultimately 

may be paid is not determinable.

Notes to the Financial Statements

Note 1 -— Summary of Significant Accounting Policies, continued
42 Hartsfield-Jackson Atlanta International Airport

Long-Term Debt

Bond discounts and premiums are deferred and amortized over the term of the bonds using the bonds 

outstanding method, which approximates the effective interest method. Bond discounts and premiums are 

presented as a reduction or addition to the face amount of bonds payable, respectively. 

Deferred Assets

Bond issuance costs are deferred and amortized over the term of the bonds using the bonds outstanding 

method, which approximates the effective interest method. Gains and losses from refundings are deferred 

and amortized over the life of the old debt or new debt on a straight line basis, whichever is shorter. The 

unamortized bond issuance costs and losses from refunding are presented as deferred assets on the 

accompanying balance sheets.

Capital Grants

Grants received for the acquisition or construction of capital assets are recorded as nonoperating revenues 

(capital contributions), when earned. Grants are earned when costs relating to such capital assets, which 

are reimbursable under the terms of the grants, have been incurred. During the year ended June 30, 2010 

and 2009, the Department recorded $19,266,159 and $80,042,823, respectively, in capital contributions 

consisting of federal grants in aid of construction and funding of debt services.

Net Assets

Equity is classified as net assets and displayed in three components:

Invested in capital assets, net of related debt — Consists of capital assets including restricted 

capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, 

notes, or other borrowings that are attributable to the acquisition, construction or improvement 

of those assets. If there are significant unspent related debt proceeds at year end, the portion of the 

debt attributable to the unspent proceeds are not included in the calculation of invested in capital assets, 

net of related debt. Rather, that portion of the debt is included in the same net assets component as the 

unspent proceeds.

Restricted net assets — Consists of net assets with constraints placed on the use either by (1) 

external groups, such as creditors, grantors, contributors, or laws or regulations of other governments; 

or (2) law through constitutional provisions or enabling legislation.

Unrestricted net assets — All other net assets that do not meet the definition of “Restricted” or 

“Invested in capital assets, net of related debt.”

Revenues

Operating revenue is principally derived from agreements relating to the use of Airport facilities. Landing fees 

are determined on the basis of the gross weight of aircrafts landing at the Airport. Revenue from “terminal, 

maintenance buildings, and other rentals” is derived from the leasing of various Airport facilities to air carriers 

and other tenants. Concession revenue is earned through various agreements providing for the operation of 

concessions at the Airport, such as parking lots, car rental agencies, newsstands, restaurants, etc. Revenues 

which are derived from capital financing or investing related activities are reported as nonoperating revenues.

On February 26, 1997, in accordance with Section 158.29 of the Federal Aviation Regulations (Title 14, Code of 

Federal Regulations, Part 158), the FAA approved the City’s application to impose a Passenger Charge (PFC) at 

Notes to the Financial Statements

Note 1 -— Summary of Significant Accounting Policies, continued
 2010 Annual Report 43

the Airport and to use PFC revenue either now or in the future. The City imposed a $3.00 PFC to collect a total 

of $491,390,000 over an estimated period of six years and nine months. In May 2000, the FAA approved an 

amendment to the original application which increased the PFC to $4.50 and increased the total to be collected 

by $516,390,000. The Department collected $165,021,499 and $166,911,292 in passenger facility charges 

for the year ended June 30, 2010 and 2009, respectively, and has collected a total of $1,967,369,963 from 

program inception to June 30, 2010.

The Installment Purchase Agreement entered into by the City with the City of College Park for the purchase of 

a Consolidated Rental Car Facility (the “CONRAC”) on June 1, 2006 obligates the City to make debt service 

payments through 2031, totaling $443,046,805, on the Series 2006A and Series 2006B Bonds issued by the 

City of College Park. In relation to the agreement, the City adopted an ordinance effective October 1, 2005, 

imposing a customer facility charge (CFC) at the Airport to fund the purchase. The CFC of $4.50 is a charge 

on each Airport car rental transaction day applicable to both On Airport Operators and Off Airport Operators. 

The Department collected $21,316,045 (net of operating expenses in the amount of $2,861,422) and 

$23,135,959 in customer facility charges for the years ended June 30, 2010 and 2009, respectively, and has 

collected a total of $111,558,591 from program inception to June 30, 2010.

Economic Concentration

Delta Air Lines and the Airport–owned parking facilities account for approximately 17% and 24% of total 

operating revenue, respectively, for the year ended June 30, 2010. 

General Services Costs 

The Department is one of a number of departments and/or funds maintained by the City. General services 

costs, such as purchasing, accounting, budgeting, and personnel administration, represent services provided 

to the Department by other City departments and/or funds. Such costs are allocated to the Department based 

on allocation by an independent study. In the year ended June 30, 2010, such allocated expenses amounted to 

approximately $8.43 million. 

Statement of Cash Flows

For purposes of the statement of cash flows, the Department considers all highly liquid debt securities with 

an original maturity of no more than three months to be cash equivalents. At years ended June 30, 2010 and 

2009, cash and cash equivalents included:

 2010 2009 

Unrestricted cash and cash equivalents $ 11,855 $ 5,329 

Restricted cash and cash equivalents 93,200 99,445 

 $ 105,055 $ 104,774 

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United 

States of America requires management to make estimates and assumptions that affect reported amounts and 

Notes to the Financial Statements

Note 1 -— Summary of Significant Accounting Policies, continued
44 Hartsfield-Jackson Atlanta International Airport

disclosures. Actual results could differ significantly from those estimates.

Reclassifications

Certain amounts previously reported have been reclassified in order to be consistent with the current year 

presentation.

Note 2 — Deposits and Investments

Cash and cash equivalents and investments as of the year ended June 30, 2010 are classified in the 

accompanying financial statements as follows (in thousands):

 Fair Value 

Unrestricted: 

 Cash and Cash Equivalents $ 11,855 

 Investment in Pooled Investments 442,954 

Restricted

 Cash and Cash Equivalents 93,200 

 Investments 766,258 

Total Deposits and Investments $ 1,314,267 

Pooled Cash and Investments Held in City Treasury 

The City maintains a cash and investment pool that is available for use by all funds. Each fund’s portion of this 

pool is displayed on the accompanying financial statements as “Investment in pooled investment fund”.

Investments Authorized by the Georgia State Code Section 36-83-4 and the City of Atlanta 

Investment Policy 

The City has adopted an investment policy (the “Policy”) to minimize the inherent risks associated with deposits 

and investments. The primary objective of the investment policy is to invest funds to provide for the maximum 

safety of principal.

Identified below are the investment types that are authorized by the City of Atlanta Investment Policy. The Policy 

also identifies certain provisions of the Official Code of Georgia (OCGA) that address interest rate risk, credit risk 

and concentration of credit risk. This Policy governs all governmental and business type activities for the City, 

but does not govern the City of Atlanta Pension Plans.

The City investments are limited to U.S. Government guaranteed securities and U.S. government agency 

securities which are limited to issues of Federal Farm Credit System (FFCS), Federal Home Loan Bank System 

(FHLBS), Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA), 

Student Loan Marketing Association (SLMA) and Federal Agricultural Mortgage Corporation(FAMC). Under the 

Policy, the City will restrict investments in eligible obligations to discount notes and callable or non callable fixed 

rate securities with a fixed principal repayment amount.

The City also invests in fully collateralized repurchase agreements provided the City has on file a signed Master 

Repurchase Agreement, approved by the City Attorney, detailing eligible collateral, collateralization ratios, 

standards for collateral custody and control, collateral valuation, and conditions for agreement termination. It 

also requires the securities being purchased by the City to be assigned to the City, held in the City’s name, 

and deposited at the time the investment is made with the City or with a third party selected and approved by 

the City; and is placed through a primary government securities dealer, as defined by the Federal Reserve, 

or a financial institution doing business in this state, and which is rated no less than A or its equivalent by two 

Notes to the Financial Statements
 2010 Annual Report 45

nationally recognized rating services.

Under the Policy, the City’s investment portfolio, in aggregate, will be diversified to limit its exposure to interest 

rate and credit risk by observing the above limitations.

Investment Risk Disclosures

Interest Rate Risk — Interest rate risk is the risk that changes in market rates will adversely affect the fair 

market value of an investment. Generally, the longer the maturity of an investment the greater the sensitivity of 

its fair value to changes in market interest rates. Additionally, the fair values of the investments may be highly 

sensitive to interest rate fluctuations. One of the ways that the City manages its exposure to interest rate risk 

is by purchasing a combination of shorter term and longer term investments and by timing cash flows from 

maturities so that a portion is maturing or coming close to maturing evenly over time, as necessary to provide 

the cash flow and liquidity needs for operations.

The City has the ability and generally has the intention to hold all investments until their respective maturity 

dates. The average maturity of the City’s pooled cash and investments governed by the Policy as of the year 

ended June 30, 2010 was approximately 6 months. If it becomes necessary or strategically prudent for the City 

to sell a security prior to maturity, the Policy allows for occasional restructuring of the portfolio to minimize the 

loss of market value and/or to maximize cash flows.

Credit Risk — Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of 

the investment. This risk is measured by the assignment of a rating by a nationally recognized statistical rating 

organization. 

As of the year ended June 30, 2010, the City had the following fixed income investments (in thousands), 

with the corresponding credit ratings and maturities: 

 Credit Under 31-180 181-365 

 Type of Investment Ratings 30 Days Days Days 1 - 5 Years Over 5 Years Fair Value 

U.S. Government Obligations Aaa/AAA $ — $ 47,903 $ 10,684 $ 502,705 $ 56,485 $ 617,777 

 

State Pool AAA 278,921 — — — — 278,921 

Money Markets AAA 1,319,517 — — — — 1,319,517 

 

GICs* * — — — — 129,650 129,650 

 

Total Carrying Value $ 1,598,438 $ 47,903 $ 10,684 $ 502,705 $ 186,135 $ 2,345,865 

* All Guaranteed Investment Contracts (GIC’s) are fully collateralized by U.S. Government Obligations or Agency

securities.

Custodial Credit Risk — Custodial credit risk for deposits is the risk that, in the event of the failure of a 

depository financial institution, a government will not be able to recover its deposits or will not be able to recover 

collateral securities that are in the possession of an outside party. Custodial credit risks for investments, is 

the risk that in the event of the failure of the counterparty, the City will not be able to recover the value of its 

investments or collateral securities that are in the possession of an outside party. 

Notes to the Financial Statements

Note 2 —- Deposits and Investments, continued

Maturity
46 Hartsfield-Jackson Atlanta International Airport

The City requires that all uninsured collected balances plus accrued interest in depository accounts be secured in 

accordance with the Policy which states that the market value of collaterized pledged securities must be at least 

110% of the deposit balances. All investments of the City are either held by the City or by a Counterparty in the 

City’s name. As a result, the City had no deposits with custodial risks at June 30, 2010.

Concentration Credit Risk — The City’s investment Policy contains no limitations on the amount that can be 

invested in any one issuer beyond that stipulated by the OCGA. The Department had no investment in an issuer 

that represents 5% or more of total investments.

Investment in Local Government Investment Pool

The City is a voluntary participant in the Georgia Local Government Investment Pool (Georgia Fund 1) that is 

managed by the Office of Treasury and Fiscal Services. As of June 30, 2010 and 2009, the Department’s 

investments in the Georgia Fund 1 are approximately $278,921,000 and $109,964,000, respectively. The total 

amount recorded by all public agencies in Georgia Fund 1 at June 30, 2010, is approximately $9,063,079,000.

Foreign Currency Risk — Foreign currency risk is the risk that changes in exchange rates could adversely 

affect an investment’s or deposit’s fair value. The City is not exposed to this risk and the Policy does not provide 

for investments in foreign currency denominated securities. 

Note 3 Disaggregation of Receivables and Payables

Receivables

Net accounts receivable as of June 30, 2010 and 2009 are due from airport tenants, customers and 

concessionaires. There is no material receivables expected to take longer than one year to collect.

Payables

As of June 30, 2010 and 2009, the majority of the balances reported as accounts payable and accrued 

expenses were related to normal trade payable and construction contract accruals. Other accruals relate 

to employee payroll and related expenses. Amounts reported as contract retentions relate to the retained 

percentage for construction contracts in progress.

Commercial Paper Notes Payable

In July 2005, the City authorized the issuance of Airport General Revenue Commercial Paper Notes, Series 

2005A 1 (AMT) and Series 2005A 2 (Non AMT) up to the amount of $350,000,000 (the “Series 2005A Notes”) 

and Airport Passenger Facility Charge and Subordinate Lien General Revenue Commercial Paper Notes, Series 

2005B 1 (AMT) and 2005B 2 (Non AMT) up to the amount of $200,000,000. These notes were issued to 

finance on an interim basis a portion of the capital improvements for the Hartsfield Jackson Atlanta International 

Airport. General revenues are pledged as security for payment on Series 2005A notes and PFC Revenues 

and a subordinate pledge of General Revenues secure Series 2005B notes. The Series 2005A Notes and 

the Series2005B Notes do not constitute a debt, liability, or obligation of the City, or a pledge of the faith and 

credit or taxing power of the City. The Series 2005A Notes and the Series2005B Notes are not considered a 

long term obligation of the City of Atlanta Department of Aviation and may be repaid and reissued as often as 

necessary to affect the purposes set out in the respective program. The Series 2005A Notes and Series 2005B 

Notes when due, are secured by irrevocable, direct pay letter of credit issued by a consortium of four banks. 

The irrevocable direct pay letter of credit expires on November 30, 2015. 

Notes to the Financial Statements

Note 2 —- Deposits and Investments, continued
 2010 Annual Report 47

Short-term debt activities for the year ended June 30, 2010, were as follows (in thousands):

 6/30/2009 Additions Reductions 6/30/2010

Commercial 

Paper Notes $ 93,232 $ 55,625 $ — $ 148,857 

Interest rates on the Series 2005A Notes and the Series2005B Notes issued during the year ended June 30, 

2010 ranged from 0.25% to 1.50%.

Note 4 — Restricted Assets

Restricted assets at June 30, 2010 and 2009 are summarized as follows (in thousands):

 2010 2009

Renewal and Extension Fund: 

 Grants receivable $ 2,115 $ — 

Passenger Facility Charge Fund: 

 Investments 276,112 358,317 

 Cash 79,610 61,398 

 Accounts receivable 28,359 28,359 

 Interest receivable 2,444 2,492 

Customer Facility Charge Fund: 

 Cash 13,397 4,102 

 Accounts receivable 3,431 2,138 

 Investments 12,812 16,934 

CONRAC and APM Funds 

 Investments 42,499 76,291

 Interest receivable — — 

Construction Fund: 

 Investments 251,876 470,018 

 Interest receivable — — 

 

Sinking Funds: 

 Investments 182,959 115,796 

 Cash 193 33,946 

Total $ 895,807 $ 1,169,791

 

Notes to the Financial Statements

Note 3 —- Disaggregation of Receivables and Payables, continued
48 Hartsfield-Jackson Atlanta International Airport

Notes to the Financial Statements

Note 4 —- Restricted Assets, continued

The following is a summary of carrying amount of investments as shown on the accompanying balance sheets at 

June 30, 2010 and 2009 (in thousands):

 2010 2009

Current restricted assets $ 129,549 $ 132,435 

Investments 766,258 1,037,356

Totals $ 895,807 $ 1,169,791

Note 5 — Capital Assets

Summaries of capital asset activity and changes in accumulated depreciation for the years 2010 and 2009 

follow (in thousands):

 Balance at Balance at

 June 30, Deletions and June 30,

 2009 Additions Retirements Transfers 2010

 

Capital assets not being depreciated: 

 Land $ 852,277 $ 1,378 $ (5,484) $ — $ 848,171 

 Construction in progress 1,473,405 470,828 (819,565) 1,124,668

Total capital assets, not being 

 depreciated 2,325,682 472,206 (5,484) (819,565) 1,972,839

Runways, taxiways and other land 

 improvements 2,454,328 33 — 62,826 2,517,187 

Terminal, maintenance buildings and 

 other structures 1,543,227 657 — 736,323 2,280,207

Other property and equipment 134,139 4,730 — 20,416 159,285 

 

 Total capital assets being depreciated 4,131,694 5420 — 819,565 4,956,679 

Less accumulated depreciation for: 

 Runways, taxiways and other land 

 improvements (905,384) (76,188) —- —- (981,572) 

 Terminal, maintenance buildings and 

 other structures (554,849) (77,969) —- —- (632,818) 

 Other property and equipment (68,249) (10752) —- —- (79,001) 

 

 Total accumulated depreciation (1,528,482) (162,909) —- —- (1,693,391)

Net capital assets $ 4,928,894 $ 312,717 $ (5,484) $ —- $ 5,236,127

 

 

 Balance at Transfers of Balance at 

 June 30, Deletions Completed June 30,

 2008 Additions Retirements Projects 2009

 

Capital assets not being 

 depreciated: 

 Land $ 851,756 $ 521 $ — $ $ 852,277

 Construction in progress 1,531,487 591,003 (14,672) (634,413) 1,473,405 

 

Total capital assets, not being 

 depreciated 2,383,243 591,524 (14,672) (634,413) 2,325,682 

Runways, taxiways and other land 

 improvements 2 ,213,760 — — 2,40,568 2,454,328 

Terminal, maintenance buildings 

 And other structures 1,153,378 — — 389,849 1,543,227

Other property and equipment 124,602 8,789 (3,248) 3,996 134,139 

 

Total capital assets being 

 depreciated 3,491,740 8,789 (3,248) 634,413 4,131,694 

 
 2010 Annual Report 49

 Balance at Transfers of Balance at

 June 30, Deletions Completed June 30, 

 2008 Additions Retirements Projects 2009

Less accumulated depreciation for: 

Runways, taxiways and other land 

 improvements (807,217) (98,167) — — (905,384) 

Terminal, maintenance buildings and 

 other structures (524,446) (30,403) — — (554,849) 

Other property and equipment (57,086) (13,566) 2,403 — (68,249) 

 

Total accumulated depreciation (1,388,749) (142,136) 2,403 — (1,528,482) 

 

Net capital assets $ 4,486,234 $ 458,177 $ (15,517) $ — $ 4,928,894 

Depreciation expense incurred during the years 2010 and 2009 amounted to approximately $164,909,000 and 

$142,136,000, respectively.

In accordance with GASB Statement No. 42, Accounting and Financial Reporting for Impairment of Capital Assets 

and for Insurance Recoveries, there was no impairment costs reported for the year ended June 30, 2010.

There was a net reduction of Construction in Progress (CIP) from $1.4 billion at end of June 30, 2009 to $1.1 

billion at the end of June 30, 2010. The reduction is primarily due to the completion and capitalization of the car 

rental facility (CONRAC) in December, 2009. 

Note 6 — Long-Term Debt

The City has issued various revenue bonds to finance its extensive airport capital improvement projects. The net 

revenues, as defined in the 2000 Airport Master Bond Ordinance as supplemented and amended, generated by 

operating activities are pledged as security for the bonds. Interest is payable semi annually on the first of January 

and July.

Long term debt at June 30, 2010 and 2009 consists of the following (in thousands):

 2010 2009

General Revnue Bonds

Airport Facilities Revenue Bonds, Series 1990, at 7.25%, 

 Capital Appreciation Term Bonds, due January 1, 2010 $ — $ 14,110 

Airport Facilities Revenue Refunding Bonds, Series 1996 

 at 5.25% - 6.50%, due serially through 2010 — 4,055 

Airport General Revenue and Refunding Bonds, Series 2000A, 

 2000B and 2000C, at 4.75% - 6.25%, due serially through 2021 506,160 521,820 

Airport General Revenue Refunding Bonds, Series 2003RF-A, 

 at 4.5% - 5.0%, due serially through 2014 18,570 30,475 

Variable Rate Airport General Revenue and Refunding Bonds, 

 Series 2003RF-B-1, RF-B-2, RF-B-3, RF-C-1, RF-C-2, RF-C-3, 

 at weekly modal variable interest rate, due serially through 2014 481,337 490,170 

Airport General Revenue and Refunding Bonds, Series 2003RF-D, 

 at 4.375% - 5.25%, due serially through 2019 90,645 99,605 

Airport General Revenue Bonds, Series 2004A, 

 combination serial (at 5.25% - 5.375%) and term bond (5.125%) 

 through 2033 164,165 164,165 

Airport General Revenue Bonds, Series 2004B, at 5.25%, 

 term bond due January 1, 2033 58,655 58,655

Notes to the Financial Statements

Note 5 — Capital Assets, continued
50 Hartsfield-Jackson Atlanta International Airport

Airport General Revenue and Refunding Bonds, Series 2004F and 

 Series 2004G, at 4.0% - 5.25%, due serially through 2029 128,465 128,465

 

Total General Revenue and Refunding Bonds 1,447,997 1,511,520

Passenger Facility Charge (PFC) Subordinate Revenue Bonds 

PFC and Subordinate Lien General Revenue Bonds, Series 2004C, 

at 5.0%, a term bond due January 1, 2033 , 293,070 293,070 

PFC and Subordinate Lien General Revenue Bonds,, 

 Series 2004D-1, 2004D-2 ,2004E-1 and 2004E-2, variable auction 

 rate, due serially through 2024 42,300 81,750 

PFC and Subordinate Lien General Revenue Bond Series 2004J, 

 at 4.0% - 5.25%, due serially through 2029 235,860 235,860 

Total PFC and Subordinate Lien General Revenue Bonds 571,230 610,680 

 

Customer Facility Charge (CFC) Bonds 

City of College Park Taxable Revenue Bonds (Hartsfield-Jackson Atlanta

 International Airport Consolidated Rental Car Facility Project), Series 

 2006A at 5.497% - 5.965%, due serially through 2031 (Conduit Debt) 196,345 201,045

City of College Park Revenue Bonds (Hartsfield-Jackson Atlanta 

International Airport Automated People Mover System Maintenance 

Facility Project), Series 2006B at 4.00% - 4.69%, due serially 

through 2031(Conduit Debt) 20,000 20,590

 

Total CFC Restricted Revenue Bonds 216,345 221,635 

Total bonds 2,235,572 2,343,835

Less: 

 Current maturities (72,091) (54,518) 

 Unamortized discounts/premiums, net (1,737) (1,404) 

Total Long-Term Bonded Debt $ 2,161,744 $ 2,287,913 

Changes in long-term bonded debt are as follows (in thousands):

 Balance at Balance at 

 June 30, June 30, Due Within

 2009 Additions Reductions 2010 One Year

 

Revenue and PFC bonds $ 2,343,835 — (108,263) $ 2,235,572 72,091 

Less deferred amounts: 

For issuance discount and 

 premium, net (1,404) — (333) (1,737) — 

 

Total long-term bonded debt $ 2,342,431 $ –– $ (108,596) $ 2,233,835 $ 72,091 

 Balance at Balance at 

 June 30, June 30, Due Within

 2008 Additions Reductions 2009 One Year

 

Revenue and PFC bonds $ 2,419,898 $ — $ (76,063) $ 2,343,835 $ 54,518 

Less deferred amounts: 

 For issuance discount and 

 premium, net (1,036) — (368) (1,404) — 

 

Total long-term bonded debt $ 2,418,862 $ — $ (76,431) $ 2,342,431 $ 54,518 

Notes to the Financial Statements

Notes 6 — Long-Term Debt, continued
 2010 Annual Report 51

During the fiscal year 2009 the Department received $16,700,000 from the FAA as grant reimbursements. 

These grant reimbursements were used to optionally redeem a portion of the Series 2004E bonds that are 

currently outstanding. In fiscal year 2010 the Department redeemed $8,350,000 of the Series 2004 E1

and $8,350,000 of the Series 2004 E2 bonds that were outstanding. The Department also used PFC revenues 

for mandatory redemption of $5,000,000 of the Series 2004 E1 and Series 2004 E2 bonds in fiscal year 2010. 

Additionally, $2,500,000 of the Series 2004 E1 and $2,500,000 of the Series 2004 E2 bonds were redeemed 

with PFC revenues.

Also in fiscal year 2010 the Department redeemed $23,500,000 of the Series 2004 D1 and the Series 2004 

D2 bonds with TSA grant reimbursements. $17,750,000 of the TSA grant reimbursements were received in 

fiscal year 2009 and were used to redeem equal amounts of the Series 2004 D1 and Series 2004 D2 bonds on 

July 2, 2009. $5,750,000 of the additional TSA grant reimbursements were used in fiscal year 2010 to redeem 

additional outstanding amounts of the Series 2004 D1 and Series 2004 D2 bonds. In total $11,750,000 of the 

Series 2004 D1 and $11,750,000 of the Series 2004 D2 bonds were optionally redeemed in fiscal year 2010.

On June 21, 2006, the City of College Park, Georgia issued $211,880,000 in Taxable Revenue Bonds (Hartsfield 

Jackson Atlanta International Airport Consolidated Rental Car Facility Project), Series 2006A for the purpose 

of acquiring, constructing and installing a consolidated rental car facility. In addition, College Park issued 

$21,980,000 in Revenue Bonds (Hartsfield Jackson Atlanta International Airport Automated People Mover 

System Maintenance Facility Project), Series 2006B for the purpose of acquiring, constructing and installing 

a maintenance facility for an automated people mover. The City (the “Purchaser”) pursuant to the terms of 

an Installment Purchase Agreement dated June 1, 2006 (the “Agreement”) with the City of College Park (the 

“Issuer”) obligates the Purchaser to make installment payments to the Issuer to cover the principal, premium and 

interest of the Series 2006A/B Bonds. The City has adopted an Ordinance imposing a customer facility charge 

(The “CFC”) effective October 1, 2005. The CFC revenues have been pledged to secure the payments due under 

the Agreement. The City recorded these transactions as released revenue bonds. At June 30, 2010, the balance 

of outstanding conduit debt totaled $216,345,000. The City of College Park has no obligations to make debt 

service payments on these bonds.

In prior years the City defeased certain outstanding Department bonds by placing the proceeds of new bonds in 

irrevocable trusts to provide for all future debt service payment on the old bonds. Accordingly, the trust account 

assets and liabilities for the defeased bonds are not included in the Department’s accompanying financial 

statements. During the fiscal year ended June 30, 2010 all outstanding defeased bonds were paid off.

Interest Rate Exchange Agreements (SWAPs) and Associated Bonds

At the beginning of fiscal year 2010 the Department in consultation with the City’s financial advisors decided 

to reduce its risk exposure by terminating all of its interest rate swap agreements (SWAP) it had with various 

counterparties. This Action was the result of interest costs falling to record lows as well as the high volatility 

that persisted in the financial markets. With approval from the City Council and the Mayor, the Department 

negotiated the termination of SWAP one and SWAP two which were hedged against the Airport General Revenue 

Refunding bonds Series 2003RF B1, B2, B3, C1, C2 and C3. Swap one and Swap two were transactions that the 

City entered into on June 17, 2003 and became effective on June 26, 2003. On July 6, 2009 the Department 

terminated Swap one and SWAP two with Goldman Sachs Mitsui Marine Derivative Products, L.P. and JP Morgan 

Chase Bank as counterparties. The total amount paid to the counterparties to terminate these transactions was 

$18,470,000 

Notes to the Financial Statements

Notes 6 — Long-Term Debt, continued
52 Hartsfield-Jackson Atlanta International Airport

On December 23, 2009 the Department terminated SWAP three and SWAP four with its counterparties Bear 

Stearns Capital Markets, Inc. and UBS Loan Finance, LLC. SWAP three and SWAP four were forward starting 

SWAPS with a combined notional amount of $455.9 million. 

These two SWAPS transactions were hedged against the Airport General Revenue Refunding Bonds (Series 

2000A and 2000B) effective January 1, 2010. The total amount paid to the counterparties to terminate these 

transactions was $40,000,000.

As of June 30, 2010 the Department has no outstanding SWAP transactions with any counterparty.

The annual debt service requirements at June 30, 2010 are as follows (in thousands):

 Total debt

Year Principal Interest Service

2011 $ 72,091 $ 106,061 $ 178,152

2012 69,046 102,180 171,226

2013 71,906 98,120 170,026

2014 74,701 93,886 168,587

2015 68,218 89,870 158,088

2016 - 2020 385,595 396,387 781,982

2021 - 2025 446,035 300,739 746,774

2026 - 2030 746,730 167,584 914,314

2031 - 2033 301,250 25,906 327,156

Total $ 2,235,572 $ 1,380,733 $ 3,616,305 

Interest expense includes amortization of bond discounts and deferred refunding losses of $9,216.

All of the bond ordinances require the maintenance of sinking funds to provide for debt service on the related 

bonds. The ordinances also require the Department to maintain a ratio of Net Airport Revenue to Aggregate 

Debt Service, as defined, of at least 120%. As of June 30, 2010, the City believes it was in compliance with all 

significant limitations and restrictions contained in the various revenue bond indentures. 

Note 7 Leased Facilities

The Department leases terminal space, aircraft maintenance and overhaul facilities, cargo facilities, hangars, 

and other structures to air carriers and other tenants at the Airport under various operating leases which 

terminate no later than 2017. The total cost of the facilities described above which are substantially leased to 

various tenants is $3,598,045,126 with a carrying value of $2,387,252,079. Depreciation expense for 2010 on 

the facilities was $115,618,443.

Certain of the leases provide for fixed and variable rental payments, and all are generally designed to allow the 

Department to meet its debt service requirements and recover certain operating and maintenance costs. Rental 

receipts related to the terminal are based on the cost of the facilities. In addition, certain of the agreements 

under which the Department receives revenue from the operation of concessions at the Airport, provide for 

the payment of a fee based on the greater of an aggregated percentage of gross receipts or a guaranteed 

minimum.

Notes to the Financial Statements

Notes 6 — Long-Term Debt, continued
 2010 Annual Report 53

At June 30, 2010 minimum future rentals and fees to be received under noncancelable leases or concession 

agreements for each fiscal year are as follows (in thousands):

2011 $ 309,782 

2012 315,977 

2013 322,297 

2014 328,743 

2015 335,318 

2016 - 2017 690,889

 Total $ 2,303,006 

The agreement covering the operation of the parking lot does not provide for a minimum fee and is therefore not 

included in the above table. Revenue from this source, which is solely a function of parking receipts as defined 

were $95,576,594 and $98,015,792 for the years ending June 30, 2010 and 2009, respectively.

The City and most of the airlines serving the airport have entered into operating lease agreements that extend 

to 2017 relating to the use of the airfields. All of the Central Passenger Terminal Complex and the Rental Car 

Rental leases expire in 2010.

 

Note 8 Pension and Other Employee Benefits Plans

Pension Plans

The City maintains the following four separately administered pension plans:

(1) one agent multiple employer defined benefit pension plan, entitled the General Employees’ Pension Plan, (2) 

& (3) two single employer defined benefit pension plans, entitled the Firefighter’s Pension Plan and the Police 

Officers’ Pension Plan, and (4) one single employer defined contribution pension plan, entitled the General 

Employees’ Defined Contribution Plan (the “Plans”). The employees of the Department are covered by one of 

the applicable four plans. The Plans do not provide for measurements of assets and pension benefit obligations 

for individual units of the City. Such information for the City as a whole is presented in the City’s 2010 

Comprehensive Annual Financial Report.

The funding methods and determination of benefits payable were established by the legislative acts creating 

the plans, as amended, and in general, provide that the pension funds are to be accumulated from employee 

contributions, City contributions, and income from the investment of accumulated funds. The Plans are 

administered by separate boards of trustees which include an appointee of the Mayor, the Chief Financial Officer, 

a member of the City Council, and members elected from active and retired employees of the respective plans.

Prior to July 1, 2001, all permanent employees of the City, excluding sworn personnel of the Police and Fire 

Departments and including employees of the Atlanta Independent School System (the “School System”) who 

were not covered under the Teachers Retirement System of Georgia, were eligible to participate in the General 

Employees’ Pension Plan. Certain School System employees, employed prior to July 1, 1979, also participated 

in the City’s General Employees’ Pension Plan (the “Plan”). Unless previously enrolled in the Plan, the City has 

no obligation to pay any costs related to retirement benefits of employees of the School System. The financial 

information herein relates only to City obligations for City employees and retirees.

 

Notes to the Financial Statements

Notes 6 — Long-Term Debt, continued
54 Hartsfield-Jackson Atlanta International Airport

Effective July 1, 2001, all new, permanent employees of the City, excluding sworn personnel of the Police and 

Fire Departments, are only eligible to participate in the newly created General Employees Defined Contribution 

Plan. During 2002, persons employed prior to July 1, 2001 were given the option of transferring to the General 

Employees Defined Contribution Plan. As of December 31, 2002 employees previously participating in the General 

Employees’ Defined Benefit Plan do not have the option of transferring to the new Defined Contribution Plan. Sworn 

personnel of the Police and Fire Departments are only eligible to participate in the Police Officers’ and Firefighters’ 

plans, respectively.

Effective September 1, 2005, classified employees and certain non classified employees pay grade 18 and below 

enrolled in the Defined Contribution Plan had a one time option of transferring to the General Employees’ Pension 

Plan. Classified employees and certain non classified employees pay grade 18 and below not covered by either 

the Police Officers or Firefighters’ Pension Plans, hired after September 1, 2005 are required to become members 

of the General Employees’ Pension Plan.

Complete financial statements for all Plans, except for the General Employees’ Defined Contribution Plan, can be 

obtained at the following address:

City of Atlanta

68 Mitchell Street, S.W.

Suite 1600

Atlanta, Georgia 30335 

Separate financial statements have not been prepared for the General Employees’ Defined Contribution Plan.

Defined Benefit Plans

The City’s defined benefit plans provide retirement benefits based on the average of the highest 36 months 

earnings based on the following percentages:

	 •			General	employees			2.5%	for	each	year	of	service	to	a	maximum	of	32	years,	or	80%	of	Salary

	 •			Firefighters			3%	for	each	year	of	service,	to	a	maximum	of	26.67	years,	or	80%	of	salary

	 •			Police	Officers			3%	for	each	year	of	service,	to	a	maximum	of	26.67	years,	or	80%	of	salary

Normal retirement, after 10 years of service, is available at age 60 for employees of the City and at age 55 for 

Police and Fire employees. In addition, City employees in the General Employee Pension Plan, Police Officers and 

Firefighters Plans are eligible to retire after 30 years of service, at any age. Cost of living increases are awarded 

annually, up to a 3% maximum increase. Partial vesting percentage based on years of creditable service and 

provisions for early retirement are included in the Plans. Benefits also may be payable at termination, death or 

disability.

All modification to the pension plans must be supported by actuarial analysis and receive the recommendations of 

the City attorney, the Chief Financial Officer, and the board of trustees of each plan. Each pension law modification 

must be adopted by an at least two thirds vote of the City Council and approved by the Mayor.

In addition, the City has been given special constitutional authority by the State to supplement benefits for retired 

employees as long as such adjustments are funded by the City.

The City accounts for and funds the costs of the defined benefit plans as they accrue. Such costs are based 

on contribution rates determined by annual actuarial valuations. The total contributions by the Department were 

$18,119,738 and $16,205,360 for the years ended June 30, 2010 and 2009, respectively.

Notes to the Financial Statements

Note 8 Pension and Other Employee Benefits Plans 
 2010 Annual Report 55

Defined Contribution Plan

The City’s General Employees’ Defined Contribution Plan provides funds at retirement for employees of the 

City and, in the event of death, to provide funds for their beneficiaries, through an arrangement by which 

contributions are made to the Plan by employees and the City. The current mandatory contribution requirement 

of the City is 6% of employee payroll. 

Employees also make a mandatory pre tax contribution of 6% plus have the option to contribute amounts up 

to the amount legally limited for retirement contributions. All modifications to the pension plans, including 

contribution requirements, must receive the recommendations and advice from the offices of the Chief Financial 

Officer and the City Attorney, respectively. Each pension law modification must be adopted by at least two thirds 

vote of the City Council and approved by the Mayor.

All new employees, hired after July 1, 2001, who previously would have been enrolled in the General Employees’ 

Defined Benefit Plan, were enrolled in the General Employees’ Defined Contribution Plan. During 2002, persons 

employed prior to July1, 2001 were given the option to transfer to the General Employee’s Defined Contribution 

Plan.

Effective September 1, 2005, classified employees and certain non classified employees pay grade 18 and 

below then enrolled in the General Employees’ Defined Contribution Plan had the one time option of transferring 

to the General Employees’ Pension Plan. Classified employees and certain non classified employees pay grade 

18 and below, not covered by either the Police Officers’ or Firefighters’ Pension Plans, hired after September 1, 

2005 are required to become members of the General Employees’ Pension Plan.

As of June 30, 2010 and 2009 there were 1,583 and 1,532 participants in the General Employees’ Defined 

Contribution Plan, respectively. The covered payroll for employees in the Plan was approximately $59,041,000. 

Employee contributions for the years ended June 30, 2010 and 2009 were $4,317,000 and $4,060,000, 

respectively, and employer contributions were $4,270,000 and $4,034,000, respectively.

The General Employees’ Defined Contribution Plan uses the accrual basis of accounting. Investments are 

reported at fair value, based on quoted market prices and there were no nongovernmental individual investment 

exceeding 5% of the net assets of the Plan.

Condensed financial statement information for the General Employees’ Defined Contribution Plan for the year 

ended June 30, 2010 is shown below (in thousands):

 2010 2009

Investments $ 43,877 $ 36,322 

Other assets 450 47 

Total assets $ 44,327 $ 36,369 

Current liabilities

 Accounts Payable $ 501 $ 757 

Total current liabilities $ 501 $ 757

 

Notes to the Financial Statements

Note 8 Pension and Other Employee Benefits Plans 
56 Hartsfield-Jackson Atlanta International Airport

 2010 2009

Additions: 

 Employer contributions $ 4,270 $ 4,034 

 Employee contributions 4,317 4,060

 Investment income (loss) 2,711 (2,415) 

Total additions 11,298 5,679 

Deductions:

 Benefit payments 2,940 3,687

 Administrative expenses 155 127

Total deductions 301,250 3,814

Change in net asset held in trust for

 Pension benefits 8,203 1,865

 

Net assets held in trust for pension benefits

 Beginning of period 11,298 3,814

 End of period $ 43,826 $ 35,623 

Postretirement Benefits 

Plan Description - The City of Atlanta Retiree Healthcare Plan (Plan) is a single employer defined benefit 

healthcare plan which provides Other Postemployment Benefits (OPEB) to eligible retirees, dependents and their 

beneficiaries. The Plan was established by legislative acts and functions in accordance with existing City Laws. 

OPEB of the City includes health, dental, and vision care and life insurance. Separate financial statements are 

not prepared for the Plan.

Funding Policy - The City is not required by law or contractual agreement to provide funding for OPEB other 

than the “pay-as-you-go” amounts necessary to provide current benefits to retirees, eligible dependents and 

beneficiaries. For the fiscal year ended June 30, 2010 and 2009, the City paid $33.6 million and $29.2 million, 

respectively, on behalf of the Plan. Retiree contributions vary based on the plan elected, dependent coverage 

and Medicare eligibility. For the fiscal years ended June 30, 2010 and 2009, eligible retirees receiving benefits 

contributed $38.3 million and $11.1 million, respectively, through their required contributions.

For the fiscal years ended June 30, 2010 and 2009, the DOA made $3.9 million and $1.6 million “pay-as-you 

go” payments, respectively, on behalf of the Plan.

Annual OPEB Cost and Net OPEB Obligation - The City’s annual OPEB cost (expense) is calculated based 

on the annual required contribution of the employer (ARC), an amount actuarially determined using the Projected 

Unit Credit Actuarial Cost Method (one of the actuarial cost methods in accordance with the parameters of 

GASB45). The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal 

cost each year and amortize any unfunded actuarial liabilities over a period not to exceed thirty years. The 

following table shows the elements of the City’s OPEB cost for the year, the amount actually contributed on 

Notes to the Financial Statements

Note 8 — Pension Plans and Other Employee Benefits, continued
 2010 Annual Report 57

behalf of the Plan, and changes in the City’s net OPEB obligation to the Plan for the year ended June 30, 2010 

(in thousands):

 

 2010 2009

Annual Required Contributions $ 11,691 $ 11,223

Interest on Net OPEB Obligation 234 136 

Adjustment to Annual Required Contribution (656) (381) 

 Annual OPEB Cost (expense) 11,269 10,978

Payments Made (3,972) (1,567)

 Increase in Net OPEB Obligation 7,297 9,411

Net OPEB Obligation–Beginning of Year 17,129 8,467

Change due to revised allocation methodology — (749)

Net OPEB Obligation–End of Year $ 24,426 $ 17,129

 

The Department’s annual OPEB cost, the percentage of annual OPEB cost contributed to the Plan, and the net 

OPEB obligation for the fiscal years ended June 30, 2010 and June 30, 2009 were as follows (in thousands): 

 

 Percentage of

Fiscal Year Annual OPEB Annual OPEB Net OPEB

 Ended Cost Cost Paid Obligation

June 30, 2008 $10,468 19.1% $ 8,467

June 30, 2009 $10,978 14.3% $17,129

June 30, 2010 $11,269 33.9% $24,426

Funded Status and Funding Progress - As of June 30, 2008, the most recent (initial) actuarial valuation date, 

the Plan was not funded, except for the pay as you go payments. The City’s unfunded actuarial accrued liability 

(UAAL) for benefits was $1.09 billion. The covered payroll was $278 million, and the ratio of the UAAL to the 

covered payroll was 390%.

Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and assumptions 

about the probability of occurrence of events far into the future. The determined actuarial valuations of OPEB 

provided under the Plan incorporated the use of various assumptions including demographic and salary 

increases among others. Amounts determined regarding the funded status of the Plan and the annual required 

contributions of the City are subject to continual revisions as actual results are compared with past expectations 

and new estimates are made about the future. The schedule funding progress, shown as required supplementary 

information following the notes to the financial statement, presents the results of the OPEB valuation as of 

June 30, 2008. The schedule will eventually provide additional multiyear trend information about whether the 

actuarial values of Plan assets are increasing or decreasing over time relative to the actuarial accrued liabilities 

for benefits. Under the provisions of GASB 45 the City elected to use the June 30, 2008 actuarial report as the 

basis for determining the current year ARC requirement.

Actuarial Methods and Assumptions - Projections of benefits for financial reporting purposes are based 

on the substantive plan (the plan as understood by the employer and plan members) and include the types of 

benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between 

the employer and plan members to that point. The actuarial methods and assumptions used include techniques 

Notes to the Financial Statements

Note 8 — Pension Plans and Other Employee Benefits, continued
58 Hartsfield-Jackson Atlanta International Airport

that are designed to reduce short term volatility in actuarial accrued liabilities and the actuarial value of assets, 

consistent with the long term perspective of the calculations.

In the June 30, 2008, actuarial valuation, the projected unit credit actuarial cost method was used. The actuarial 

assumptions included 4.5 percent investment rate of return (net of administrative expenses) and an annual 

medical cost trend rate of 11 percent initially, reduced by decrements to an ultimate trend rate of 5 percent 

after ten years. Both rates include a 3 percent inflation assumption. Currently there are no assets set aside that 

are legally held exclusively for OPEB. The UAAL is being amortized as level percentage of projected payroll on 

an open basis. Beginning in fiscal year June 30, 2009, the UAAL is being amortized as a level percentage of 

projected payroll over 30 years. 

Deferred Compensation Plan

The City has adopted a deferred compensation plan in accordance with the 1997 revision of Section 457 of 

the Internal Revenue Code. The plan, available to all Department employees, allows an employee to voluntarily 

defer up to 25% of his/her gross compensation, not to exceed certain limits per year. Each participant selects 

one of three insurance providers to administer the investments of the deferred funds. All administrative costs 

of the plan are deducted from the participants’ accounts. The plan assets are held in custodial accounts for the 

exclusive benefit of the plan participants and their beneficiaries, and are therefore, not included in the City’s nor 

the Department’s financial statements.

Note 9 Risk Management

General

Insurance requirements are imposed on contractors and consultants that do business with the Department.

They are generally asked to maintain certain types of insurance coverage including, but not limited to, general 

liability, workers’ compensation, automobile liability, performance and payment bonds and professional liability. 

There is also an Owner Control Insurance Program (OCIP) that the airport participates in. The OCIP has its own 

set of policies that cover the contractor work for certain construction projects at the airport. Policies include but 

are not limited to builders risk, general employees’ liability, workers’ compensation and pollution coverage.

Self Insurance

The Department and the City are self insured for workers’ compensation, parts of the medical and dental plan, 

and general claims liabilities. The Department pays for general claims as they become due. 

Workers’ Compensation

The City’s workers’ compensation liability is calculated based on the analysis of an outside actuary. Liabilities are 

reported when it is probable a loss has occurred and the amount can be reasonably estimated including amounts 

for claims incurred but not yet reported. Workers’ compensation payments are partially paid by the City’s 

General Fund and partially charged directly to the Department as part of the indirect cost allocation. There were 

no significant reductions in insurance coverage or claims in excess of insurance coverage during the 2010 and 

2009 fiscal years. The calculation of the present value of future liabilities for workers’ compensation is based on 

a discount rate of 4.0% and 5.5% for 2010 and 2009, respectively. 

Notes to the Financial Statements

Note 8 — Pension Plans and Other Employee Benefits, continued
 2010 Annual Report 59

Health and Dental Insurance

In 2006, the City moved from fully insured medical and dental plans to self insured plans for the Blue Cross Blue 

Shield Point of Service (POS) and the United Healthcare Preferred Provider Organization (PPO) plans. In addition, 

the CIGNA dental plan is now self insured. The Kaiser HMO, OHS dental access plan and Spectra vision plan 

remain fully insured. The City’s health and dental liability is calculated by an outside actuary firm. Liabilities are 

reported when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated. 

Liabilities include an amount for claims that have been incurred but not reported (IBNR)

Changes in the balances of the liabilities for worker’s compensation and general claims attributable to 

the Department during 2010 and 2009 were as follows (in thousands):

 Current year 

 Claims and 

 Beginning Changes in Claim 

 of Year Estimates Payments End of Year

 

Workers’ compensation: 

2010 $ 1,436 $ 132 $ (146) $ 1,422 

2009 $ 1,203 $ 531 $ (298) $ 1,436 

 

Claims liability: 

2010 $ 7,250 $ 750 $ - $ 8,000 

2009 $ 14,530 $ (7,280) $ - $ 7,250 

The City participates in the State Subsequent Injury Trust Fund, a public entity managed by the State of Georgia. 

The pool is designed to provide the insurance coverage for employees who are hired with previous medical 

conditions. Historically, premiums have not been significant.

Note 10 Commitments and Contingencies

Commitments

The Department has several significant construction projects budgeted. At June 30, 2010 the Department was 

contractually obligated to expenditures of approximately $315,245,000 related to these projects. 

Grants from Other Governmental Units

Federal governmental grants represent an important source of supplementary funding, primarily for the Airport’s 

noise abatement program. Amounts received or receivable from grantor agencies are subject to audit and 

adjustment by such agencies, principally the Federal government. Any disallowed claims, including amounts 

already collected, may constitute a liability of the Department. The amount, if any, of expenditures which may be 

disallowed by the grantor cannot be determined at this time although the Department expects such amounts, if 

any, to be immaterial.

Notes to the Financial Statements

Note 9 Risk Management, continued
60 Hartsfield-Jackson Atlanta International Airport

Notes to the Financial Statements

Note 10 Commitments and Contingencies, continued

Litigation

The Department is subject to various lawsuits and proceedings arising in the ordinary conduct of its affairs and 

has been named as defendant in several lawsuits claiming personal and property damages. The City has also 

been named as a defendant in various lawsuits concerning alleged noise disturbance at the Airport. The City is 

working with most of the property owners to settle these claims through its noise abatement program, which 

consists of insulating homes and purchasing aviation easements. The nature of the Department’s operations 

and the matters currently being alleged are such that similar suits may be filed in the future. In the opinion of 

the City Attorney, the outcome of these matters will not materially affect the Department’s financial position. 

Note 11 Subsequent Events

The Department had a letter of credit facility for its Series 2005A and Series 2005B Commercial Paper 

program in the aggregate principal amount of $550 million. On March 15, 2010, the Department was notified by 

the Letter of Credit banks that the liquidity that supported the Commercial Paper program would be terminated 

on July 15, 2010. To ensure continued funding for the Maynard Holbrook Jackson International Terminal project 

at the Hartsfield–Jackson International Airport, the City, with the assistance of its financial advisors, began 

the process of engaging other financial institutions to provide a substitute Letter of Credit before the July 15, 

2010, termination date. On July 1, 2010, the City issued additional Commercial Paper notes in the Amount 

of $53,921,000. On July 13, 2010, the Department signed a new Letter of Credit agreement with JP Morgan 

Chase and Wells Fargo Banks in the aggregate principal amount of $350 million for the Airport Commercial 

Paper program.

During fiscal year 2010, the Department received $10 million as payment #8 from FAA as grant 

reimbursements for Letter of Intent #ASO 02 2, Extended Runway 10/28 for Project # 3 13 0008 93 2010. 

These grant reimbursements were to pay down part of the outstanding principal amount that exists on the 

bonds issued for the Extended Runway Project. Redemption notices were issued by the Trustee/Paying Agent 

establishing September 23, 2010, as the bonds redemption date. On September 23, 2010, $5 million of the 

City of Atlanta, Georgia Airport PFC Revenue Bonds Series 2004 E1 (Non AMT) and $5 million of Series 2004 

E2 (Non AMT) bonds were redeemed.

On November 5, 2010, as part of the Airport New Money Bonds, the City issued the City of Atlanta Airport 

General Revenue Bonds, Series 2010A, in the aggregate principal amount 

of $177,990,000 and the City of Atlanta Airport Passengers Facility Charge and subordinate Lien General 

Revenue Bonds, Series 2010B in the aggregate principal amount of $409,810,000.

On December 16, 2010 the City issued the City of Atlanta Airport General Revenue Refunding Bonds, Series 

2010C, in the aggregate principal amount of $524,045,000, primarily to refund and redeem the entire 

outstanding principal amount of the City’s Variable Rate Airport General Revenue Refunding Bonds, Series 

2003RF B/C bonds.
 2010 Annual Report 61

Required Supplementary Information

CITY OF ATLANTA, GEORGIA 

DEPARTMENT OF AVIATION

Required Supplementary Information

Schedule of Funding Progress for Pension Plans

(amounts in thousands)

 Unfunded AAL

 Actuarial Actuarial Unfunded Current as a 

 Plan/Valuation Value of Accrued Liability Percentage Acturial Accrued Year Annual Percentage of 

 Date Assets (AAL) Funded Liabilities Covered Payroll Covered Payroll 

General Employees 

 01/1/04 $681,159 $1,110,501 61.34% $429,342 $160,767 267.1% 

 01/1/05 $681,145 $1,143,676 59.56% $462,531 $157,665 293.4% 

 01/1/06 $702,178 $1,135,974 61.81% $433,796 $152,408 284.6% 

 01/1/07 $749,352 $1,436,278 52.17% $686,926 $155,185 442.6%

 01/1/08 $829,734 $1,483,733 55.92% $653,999 $153,984 424.7% 

 01/1/09 $881,009 $1,481,563 59.46% $600,554 $150,312 399.5% 

Firefighters 

 1/1/04 $321,908 $417,092 77.18% $ 95,184 $38,303 248.5% 

 1/1/05 $325,630 $445,777 73.05% $120,147 $38,774 309.9% 

 1/1/06 $334,290 $557,706 59.94% $223,416 $36,440 613.1% 

 1/1/07 $371,456 $577,271 64.35% $205,815 $45,686 450.5% 

 1/1/08 $419,163 $652,816 64.21% $233,653 $45,561 512.8% 

 1/1/09 $408,090 $708,347 57.61% $300,257 $43,275 693.8% 

Police Officers 

 1/1/04 $440,212 $617,501 71.29% $177,289 $63,274 280.2% 

 1/1/05 $444,460 $658,861 67.46% $214,401 $70,973 302.1% 

 1/1/06 $464,368 $817,255 56.82% $352,887 $73,515 480.0% 

 1/1/07 $512,259 $850,886 60.20% $338,627 $77,168 438.8% 

 1/1/08 $596,457 $909,410 65.59% $312,953 $84,016 372.5%

 1/1/09 $571,768 $986,376 57.97% $414,608 $82,030 505.4%

 

SCHEDULE OF FUNDING PROGRESS FOR OPEB

(amounts in thousands)

 

 Actuarial UAAL as a

 Actuarial Value of AAL projected Unfunded AAL Funded Covered Percentage of 

 Valuation Date Assets Unit Credit (UAAL) Ratio Payroll Covered Payroll 

 6/30/06 $0 $1,260,313 $1,260,313 0.00% $361,839 348.31% 

 6/30/07 $0 $1,125,648 $1,125,648 0.00% $280,031 401.97%

	 6/30/08•	 $0	 $1,085,315	 $1,085,315	 0.00%	 $278,039	 390.35%

* A full actuarial valuation was not performed during the year ended June 30, 2010. 
62 Hartsfield-Jackson Atlanta International Airport

 Statistical Section

CITY OF ATLANTA, GEORGIA 

DEPARTMENT OF AVIATION

STATISTICAL SECTION

(UNAUDITED)

CASH BASIS

(unless otherwise noted)

The financial information presented provides detailed data on the financial, economic and physical characteristics 

of the Department. These tables cover multiple fiscal years and provide financial report users with a broader and 

more complete understanding of the Department and its financial affairs 

 

Financial Trends (Exhibit 1 through 2) 

These exhibits contain information to help the reader understand the Department financial performance and 

well-being have changed over time. 

 

Revenue Capacity (Exhibit 3)

This exhibit contains information to help the reader assess the Department’s most significant revenue sources. 

 

Debt Capacity (Exhibit 4)

This exhibit contains information to help the reader assess the affordability of the Department current levels of 

outstanding debt and the Department’s ability to issue additional debt in the future. 

 

Demographic and Economic Information (Exhibit 5 through 8) 

These exhibits offer demographic and economic indicators to help the reader understand the environment within 

which the Department ‘s financial activities take place. 

 

Operating Information (Exhibit 9) 

These exhibits contain service and infrastructure data to help the reader understand how the information in the 

Department’s financial report relates to the services the Department provides and the activities it performs. 

 

Sources: Unless otherwise noted, the information in these exhibits is derived from the Department’s annual 

financial reports for the relevant year. 
 2010 Annual Report 63

CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 1 TOTAL ANNUAL REVENUES, EXPENSES AND CHANGES IN NET ASSETS (accrual basis) (in thousands) For Year Ended December 31, For Years Ended June 30,

 (Six Months)

 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

TOTAL REVENUES OPERATING REVENUESParking, car rental, and other concessions $ 133,521 $ 120,394 $ 122,078 $ 138,989 $ 151,536 $80,333 $ 200,781 $ 204,412 $ 201,281 $ 202,881 

Terminal, maintenance buildings, and other rentals 76,780 78,501 77,140 75,363 76,896 36,436 72,542 87,223 88,319 93,881

Landing fees 23,039 27,025 26,752 27,852 28,171 14,438 50,702 58,074 62,916 65,429

Other 15,126 19,077 21,875 31,371 32,875 16,014 28,481 36,497 37,019 38,608 

Total Operating revenues 248,466 244,997 247,845 273,575 289,478 147,221 352,506 386,206 389,535 400,799 

NON-OPERATING REVENUES Investment Income (Loss) Passenger Facility Charges 53,638 48,263 65,617 28,906 104,963 23,378 79,034 53,382 27,254 (38,382)

Customer Facility Charges 129,671 150,006 152,373 161,014 164,833 85,438 163,275 167,520 166,911 165,022

Other 0 0 0 0 5,366 12,101 22,887 23,892 23,136 21,316

Total Non-operating revenues 0 0 0 0 0 9,997 0 (2,015) (12,634) 125 

 183,309 198,269 217,990 189,920 275,162 130,914 265,196 242,779 204,667 148,081

TOTAL REVENUES 431,775 443,266 465,835 463,495 564,640 278,135 617,702 628,985 594,202 548,880 

TOTAL ExPENSESOPERATING EXPENSES Salaries and employees fringe benefits 42,848 43,558 46,980 52,734 56,044 32,454 68,958 92,604 89,963 90,912

Repair, maintenance, and other contractual services 29,117 24,913 24,325 30,410 29,404 15,781 41,256 57,646 63,812 82,461 

Generall services 8,865 13,417 13,793 18,080 18,566 5,119 13,876 13,291 11,721 15,550 

Utilities 3,277 3,540 3,873 4,650 4,741 1,951 4,542 6,108 8,438 8,420

Materials and Supplies 3,363 2,084 1,947 2,479 2,543 1,477 4,161 3,280 5,042 4,164

Other 4,485 8,202 9,208 9,515 8,986 5,744 15,537 8,762 (413) 8,662

Depreciation 59,793 60,351 62,146 63,944 49,572 26,317 87,573 108,348 150,133 174,124 

Total Operating Expenses 151,748 156,065 162,272 181,812 169,856 88,843 235,903 290,039 328,696 384,293 

NON-OPERATING ExPENSES

Interest expense 58,488 77,258 78,415 97,922 61,275 38,977 100,638 83,223 81,559 64,572 

Other 24,426 801

Total Non-operating expenses 58,488 77,258 78,415 122,348 61,275 38,977 101,439 83,223 81,559 64,572 

TOTAL EXPENSES 210,236 233,323 240,687 304,160 231,131 127,820 337,342 373,262 410,255 448,865 

TOTAL ExPENSES NET OF DEPRECIATION & AMORTIZATION 150,443 172,972 178,541 240,216 181,559 101,503 249,769 264,914 260,122 274,741 

CAPITAL CONTRIBUTIONS

TRANSFER OUT OF CITY 5,170 45,927 36,535 68,596 84,599 30,668 42,526 52,692 80,043 19,266 

 (2,116) 0

SPECIAL ITEMINCREASE IN NET ASSETS 0 0 0 0 0 (8,500) (39,401) 0 (14,672) 0

 226,709 255,870 261,683 227,931 418,108 172,483 283,485 308,415 247,202 119,281 

NET ASSETS

Beginning of year 1,651,042 1,877,751 2,133,621 2,395,304 2,623,235 3,041,343 3,213,826 3,522,994 3,767,614 4,014,816

Prior Year adjustments — PFC on accrual basis 25,683

Prior Year adjustments — CIP Revision (63,795) 0

Beginning of year, as restated 3,239,509 3,459,199 3,767,614 4,014,816

TOTAL NET ASSETS 1,877,751 2,133,621 2,395,304 2,623,235 3,041,343 3,213,826 3,522,994 3,767,614 4,014,816 4,134,097

*Audited — Accrual Basis 
64 Hartsfield-Jackson Atlanta International Airport

CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 2 STATEMENTS OF CASH FLOWS (In Thousands)

 For Years Ended December 31, For Years Ended June 30,

(Six Months)

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

CASH FLOWS FROM OPERATING ACTIVITIES

Operating income $ 96,718 $ $ $ $ $ $ $ $ $

Adjustments to reconcile operating income to net 

CASH PROVIDED BY OPERATING ACTIVITIES

Depreciation 59,793 Amortization 1,849 

Amortization of Bond discount Provision for uncollectible accountsProvision for inventory obsolescence 16

CHANGE IN ASSETS AND LIABILITIES

Accounts receivables 2,288

Grants receivables 

Other receivables (182)

Material and supplies (54)

Prepaid expenses and other current assets 498

Accounts payables and accrued expenses 9,297

Cash received from customers and tenants 246,107 239,212 282,106 289,473 145,040 323,339 382,013 391,497 405,237

Cash paid to suppliers for goods and services (36,098) (64,156) (71,612) (69,309) (30,700) (55,400) (89,728) (86,850) (118,161)

Cash paid to employees for service (47,400) (47,461) (48,966) (60,319) (32,575) (69,047) (76,546) (86,554) (82,894)

Other receipts (payments), net (1,250) 

Net cash provided by operating activities 170,223 162,609 127,595 161,528 158,595 81,765 198,892 215,739 218,093 204,182CASH FLOWS FROM INVESTING ACTIVITIESPurchase of nonpooled investments (23,361,356)

Purchases and sales of nonpooled investments, net 23,451,918 (217,829) 78,199 (863,600) 93,078 (100,488) 294,822 440,384 252,119 271,098

Interest and dividends on investment 82,274 58,463 40,920 28,906 93,723 33,151 97,022 105,541 45,840 26,731

Change in pooled investment fund Change in accrued interest receivables Swap Termination Change in pooled investment fund 96,111) 65,498 14,173 (35,480) (77,074) (16,618) (107,069) (47,286) 51,475 11,899

Change in accrued interest receivables Net cash provided by (Used in) investing activities 

 76,725 (93,868) 133,292 (870,174) 109,727 (83,955) 284,775 498,639 349,434 251,258

CAPITAL AND RELATED FINANCING ACTIVITIES

Capital grants or Capital Contributions 5,170 45,927 37,685 68,596 97,953 31,845 42,430 41,841 91,470 17,151 

Principal repayments of long-term debt (42,670) (48,110) (973,685) (441,305) (126,260) (45,684) (94,125) (470,575) (65,872) (108,263)

Acquisition, construction, and improvement  of capital assets (191,015) (412,232) (405,670) (428,008) (496,294) (202,907) (470,266) (420,710) (579,490) (491,726)

Passenger and customer facility charges 129,671 150,006 152,373 161,014 168,407 94,258 177,587 204,536 189,844 185,045 

Contract retainage withheld, net 1,489 10,680 908 (4,526) 10,873 7,762 (17,797) (5,293) 16,862 4,254 

Payments or change of contract retention (1,729)

Proceeds from bond issuance, net — 300,000 1,012,718 1,523,788 26,695 228,994 — 53,237 18,120 55,625

Payments on debt refunding 

Proceeds from disposal of assets 

Interest paid on revenue bonds (81,979) (77,258) (77,807) (110,020) (118,357) (68,402) (151,221) (147,116) (155,296) (117,245)Other non-operating expenditures Net cash used in capital and related financing activities (181,063) (30,987) (253,478) 769,539 (436,983) 45,866 (513,392) (744,080) (484,362) (455,159)Net increase (decrease) in cash and cash equivalents 65,885 37,754 7,409 60,893 (168,661) 43,676 (29,725) (29,702) 83,165 281

Cash and cash equivalents: 

Beginning of year 34,080 99,965 137,719 145,128 206,021 37,360 81,036 51,311 21,609 104,774

End of year $ 99,965 $ 137,719 $ 145,128 $ 206,021 $ 37,360 $ 81,036 $ 51,311 $ 21,609 $ 104,774 $ 105,055

*Audited — Accrual Basis 
 2010 Annual Report 65

CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 3 PRINCIPAL REVENUES SOURCES*

For Years Ended December 31, For Years Ended June 30,

(Six Months)

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

PRINCIPAL REVENUE SOURCES

AIRLINE REVENUE

Total Landing Fees $ 26,125,960 $ 27,025,281 $ 27,143,548 $ 27,838,936 $ 27,444,127 $ 13,645,604 $ 47,345,286 $ 55,097,70 $ 60,955,878 $ 62,602,543

Total Terminal Area Rental/Others 39,295,874 41,985,604 32,830,503 36,423,208 35,375,785 12,256,259 38,099,154 41,388,659 47,283,227 50,590,351

Total Land Rental & Other Buildings 16,238,945 15,593,256 12,910,701 12,622,901 12,849,289 5,168,081 7,252,815 11,871,449 15,310,642 14,546,727

Total Apron Charges 7,540,471 7,337,249 11,910,320 11,550,415 10,753,804 8,612,313 8,594,876 9,928,931 3,558,011 4,339,243

Total Fuel Sales 2,512,040 2,356,913 2,031,376 2,021,353 1,956,069 1,063,056 4,361,289 6,824,730 5,829,872 5,615,361

Total Security Reimbursement 7,755,768 9,110,477 8,809,511 7,503,756 8,618,886 4,072,802 9,101,099 12,154,345 13,642,544 12,012,945

Total Other 6,015,859 6,764,972 6,875,669 8,505,112 6,957,870 3,211,617 7,661,477 8,047,502 7,985,668 9,356,617

TOTAL AIRLINE REVENUES 105,484,917 110,173,752 102,511,628 106,465,680 103,955,830 48,029,734 122,415,997 145,313,325 154,565,843 159,063,786 

PERCENT OF TOTAL REVENUES 27.40% 27.58% 25.59% 24.54% 22.87% 19.40% 22.55% 24.8% 26.1% 31.6% 

NON-AIRLINE REVENUESTerminal Area Rental/Others 1,512,638 1,012,954 8,712,119 12,264,931 12,118,675 5,935,266 11,782,544 13,085,587 12,109,244 12,807,912

Total Land and non terminal facilities 9,140,305 10,099,985 8,554,611 10,245,323 10,544,538 7,432,082 14,217,263 14,340,892 13,547,212 15,851,837

Total Fixed Base Operator (FBO) 121,308 107,164 182,958 219,243 222,763 108,341 159,761 585,071 1,729,114 1,743,646 

Total Concessions 43,698,579 39,885,817 42,518,547 45,570,688 55,310,528 25,341,030 65,224,222 68,852,922 75,608,506 77,783,347

APM Conrac 6,156,237 Rental Cars 27,880,953 26,423,339 24,566,277 26,754,046 31,133,597 14,229,792 31,966,026 32,164,861 29,758,376 26,665,193 

Total Rental Cars 27,880,953 26,423,339 24,566,277 26,754,046 31,133,597 14,229,792 31,966,026 32,164,861 29,758,376 32,821,430

Total Parking Total Royal ties from  Natural Resources Sales 63,858,049 57,739,207 57,315,165 66,163,509 70,663,224 52,077,952 105,806,654 105,655,835 98,015,792 95,774,778 

Total Other 272,432 268,364 392,187 130,402 82,752 203,633 17,135 21,127 143,365 154,115

 3,382,836 4,024,914 5,127,118 4,433,107 4,321,067 2,059,977 2,510,411 4,748,141 4,052,896 5,398,380

TOTAL NON AIRLINE REVENUES 149,867,101 139,561,745 147,368,982 165,781,248 184,397,142 107,388,074 231,684,016 239,454,436 234,964,504 241,735,446

NON OPERATING REVENUES

Total Interest Income (Loss) 1,765,645 1,182,336 579,826 840,457 997,862 588,714 2,346,637 8,811,067 27,254,000 (38,381,632) 

Total PFCs & CFCs 127,872,001 148,487,301 150,060,254 160,686,844 165,116,277 91,622,675 186,515,953 192,779,650 190,047,252 186,337,544 

Interest On long-term Debt (81,559,000) (64,572,225)

Capital Contributions 80,043,000 19,266,159 

Other Revenue(Expenses) (12,634,000) 125,357

TOTAL NON OPERATING REVENUES 129,637,646 149,669,637 150,640,079 161,527,301 166,114,139 92,211,388 188,862,590 201,590,718 203,151,252 102,775,203

TOTAL REVENUES $ 384,989,664 $ 399,405,134 $ 400,520,689 $ 433,774,229 $ 454,467,111 $ 247,629,197 $ 542,962,603 $ 586,358,479 $ 592,681,600 $ 503,574,435 

Total Revenues minus PFCs & CFCs 257,117,663 250,917,833 250,460,435 273,087,385 289,350,834 156,006,522 356,446,650 393,578,828 402,634,348 317,236,891 

* Unaudited-Cash Basis, except FY 2009 and going forward.

** Gross Parking reported as of FY06

2006 represents six months of data

As of December 2005, fiscal reporting changed from December 31 to June 30. 
66 Hartsfield-Jackson Atlanta International Airport CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 4 RATIOS OF GARB OUTSTANDING DEBT (In Thousands) For Years Ended December 31, For Years Ended June 30, 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Total Debt Service $ 91,380 $ 100,707 $ 108,842 $ 103,535 $ 103,572 $ 50,314 $ 92,486 $ 114,312 $ 129,082 $ 126,835 Total Expenses net of Depreciation & Amortization $ 84,788 $ 93,131 $ 95,629 $ 99,841 $ 103,949 $ 53,926 $ 146,868 $ 181,691 $ 178,563 $ 210,169 DEBT SERVICE PER ENPLANED PASSENGER Enplaned Passenger 38,095 38,640 39,698 41,837 43,021 21,080 43,293 45,287 44,797 45,375 Debt Service per enplaned Passenger $ 2.40 $ 2.61 $ 2.74 $ 2.47 $ 2.41 N/A $ 2.14 $ 2.52 $ 2.88 $ 2.80 OUTSTANDING DEBT PER ENPLANED PASSENGER Outstanding DebtA $ 1,438,708 $ 1,396,755 $ 1,447,404 $ 2,928,828 $ 3,011,174 $ 2,984,024 $ 2,889,899 $ 2,418,862 $ 2,342,431 $ 2,233,835 Enplaned Passengers 38,095 38,640 39,698 41,837 43,021 21,080 43,293 45,287 44,797 45,375 Outstanding Debt per enplaned Passenger $ 37.77 $ 36.15 $ 36.46 $ 70.01 $ 69.99 N/A $ 66.75 $ 53.41 $ 52.29 $ 49.23 Sources: A: Audited Financial Statements B.June 2006 — 6 months of data
 2010 Annual Report 67

CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 5 

ATLANTA FACT SHEET 

 

GOVERNOR OF GEORGIA Sonny Perdue

 

MAYOR OF ATLANTA Kasim Reed 

SIZE 8,480.27 Square Miles — Metropolitan Atlanta 

131.57 Square Miles — City of Atlanta 

Sources: Atlanta Regional Commission, 2006 

 

POPULATION 5,278,904 Population in the 28-county Atlanta Metropolitan Statistical Area, 

designated by the Metro Atlanta Chamber of Commerce 

4,172,823 Population in the 10-county Atlanta region

519,145 Population of the city of Atlanta 

Source: Census Bureau, 2006; Atlanta Regional Commission, 2006 

 

28-COUNTY METROPOLITAN STATISTICAL AREA, AS DESIGNATED BY THE FEDERAL OFFICE OF PLANNING 

AND BUDGET

 Barrow Bartow Butts Carroll Cherokee* 

 Clayton* Cobb* Coweta Dawson DeKalb* 

 Douglas* Fayette* Forsyth Fulton* Gwinnett* 

 Haralson Heard Henry* Jasper Lamar 

 Meriwether Newton Paulding Pickens Pike 

 Rockdale* Spalding Walton 

 * part of 10-county Atlanta region, Atlanta Regional Commission, 2006 

 

VISITOR STATISTICS 7.663 million Total Visitors in 1997

(Fulton County) 6.930 million Total Visitors in 2001 

6.700 million Total Visitors in 2002 

6.974 million Total Visitors in 2003

 

VISITOR* STATISTICS 17.81 million Total Visitors in FY 2001 (July 1, 2000 — June 30, 2001) 

(Metro Atlanta) 17.30 million Total Visitors in 2002 (January 1, 2002 — December 31, 2002) 

18.77 million Total Visitors in 2003 (January 1, 2003 — December 31, 2003) 

32.8 million Total Visitors in 2004 (January 1, 2004 — December 31, 2004) 

36.4 million Total Visitors in 2005 (January 1, 2005 — December 31, 2005) 

38.1 million Total Visitors in 2006 (January 1, 2006 — December 31, 2006) 

37.02 million Total Visitors in 2007 (January 1, 2007 — December 31, 2007) 

 

$8.93 billion 2001 Total Tourist Expenditures(0.5% increase from FY 2000) 

$8.48 billion 2002 Total Tourist Expenditures (5% decrease from FY 2001) 

$8.75 billion 2003 Total Tourist Expenditures (3.2% increase from 2002) 

$9.6 billion 2004 Total Tourist Expenditures (9.7% increase from 2003) 

$10.2 billion 2005 Total Tourist Expenditures (6.2% increase from 2004) 

$11.4 billion 2006 Total Tourist Expenditures (11.8% increase from 2005) 

$11.4 billion 2007 Total Tourist Expenditures (remain flat from 2006) 

 

 *One person making one stay in one accommodation 

Sources: 2001-2003, Travel Industry Association of America, 2004-2007 

Atlanta Convention & Visitors Bureau. 

 
68 Hartsfield-Jackson Atlanta International Airport HARTSFIELD-JACkSON ATLANTA INTERNATIONAL AIRPORT ExHIBIT 6 MAJOR TECHNOLOGY EMPLOYERS IN ATLANTA Metro Atlanta leads the nation in business growth and employment opportunities. The latest data shows that Metro Atlanta gained 69,000 new jobs in 2007, leading the country in job generation. During the last 10 years, 15 of metro Atlanta’s counties grew more than 35 percent, and three metro Atlanta counties experienced a 100 percent rise in their population with Forsyth (161%) and Henry (137%) ranking first and second in growth. Moreover, Atlanta is placed third in the nation, among cities with the most FORTUNE 500 company headquarters. Home Depot, Coca-Cola, Delta Air lines, United Parcel Service, Southern Company, Georgia Pacific and Mirant are only few of the firms that call metro Atlanta home and support a work force of more than 2.2 million. Atlanta is among the top five fastest growing high-technology metro areas in the nation, according to a Newsweek study. The following is a listing of the top 15 high-tech employers in Atlanta, ranked by number of full-time employees in Atlanta EMPLOYER PRODUCT OR SERVICE FULL-TIME EMPLOYEES AT&T Corporation Wireless, high-speed internet access, voice services and directory publishing 21,000 Cox Enterprise Inc. Media and automotive services 8,387 IBM Corporation Telecommunication, IBM internet security system and IBM global service operations 7,000 Siemens Energy & Automation Healthcare diagnostics, building technology, energy and automation, water technology 3,678 General Electric Inc. Power generation, financial servies and TV programing 3,500 McKessonHBOC Inc. Pharmaceutical supply management and information technologies for the healthcare industry, services for payers and outsourcing 3,397 Verizon Wireless Wireless voice and data network 3,030 ADP Inc Payroll, HR, tax and benefits administration, providers of integrated computing solutions. 3,019 Accenture Inc Global management consulting, technology services and outsourcing 2,550 Cisco Service Provider Digital content contribution and distribution system transmission networks for broad band access 1,850 Sprint Nextel Corp. Wireless services, data business services, long distance 1,800 Choice Point Inc. A LexisNexis Company Technology, software, information and marketing services to business and governments 1,705 Cox Communication Inc. Cable television, digital video, high-speed internet, advertising 1,700 Fiserv Inc. Information technology services to financial industry 1,470 Source: atlantasmartcity.com/html/work/overview.html#top25 http://www.metroatlantachamber.com/macoc/business/img/summaryofeconomicgrowth.pdf
 2010 Annual Report 69

CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 6 (Continued)HARTSFIELD-JACKSON ATLANTA INTERNATIONAL AIRPORTMAJOR EMPLOYERS IN ATLANTA As of 2008, Atlanta ranks fifth in the nation among cities with the most FORTUNE 500 headquarters, with 10 companies calling Atlanta home. Twenty-two companies headquartered in Atlanta are ranked among the Fortune 1,000 companies. More than 70% of all Fortune 1,000 companies have a presence in metropolitan Atlanta.METRO ATLANTA HEADqUARTERED FORTUNE 500 CORPORATIONS (REVENUES IN MILLIONS)

 Revenues

Home Depot $ 77,349UPS 49,692The Coca-Cola Company 28,857Coca-Cola Enterprise 20,963Delta Air Lines 19,154Southern Company 15,353SunTrust Banks 13,465Genuine Parts 10,843First Data 9,314 

AGCO 6,828Newell Rubbermaid 6,407NCC 4,612GEORGIA FORTUNE 500 COMPANIES OUTSIDE OF METRO AREA (REVENUES IN MILLIONS)

Revenues

AFLAC $ 15,393Mohawk Industries 7,586Source: Fortune magazine, May 2010
70 Hartsfield-Jackson Atlanta International Airport CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 7 HARTSFIELD-JACKSON ATLANTA INTERNATIONAL AIRPORT GENERAL INFORMATION OFFICIAL NAME The Hartsfield-Jackson Atlanta International Airport AIRPORT CODE ATL OWNERSHIP/OPERATOR The City of Atlanta/Department of Aviation DISTANCE FROM DOWNTOWN ATLANTA 10 miles (16.2 Kilometers) ELEVATION ABOVE SEA LEVEL 1,026 feet (316 meters) TOTAL AIRPORT AREA 4,700 acres (1,518 Hectares) TERMINAL COMPLEx The terminal complex measures 130 acres (52.6 hectares), or 5.8 million square feet. The complex includes the terminal building and concourses T, A, B, C, D and E – the International Concourse. Within these concourses, there are 148 domestic and 28 international gates. The Airport is free of any architectural barriers to people with disabilities. RUNWAYS There are five parallel runways in an east-west configuration: 9R-27L = 9,000 feet long (2,743 meters). Category III. 9L-27R = 11,889 feet long (3,624 meters). Category I. 8R-26L = 10,000 feet long (3,048 meters). Category II. 8L-26R = 9,000 feet long (2,743 meters). Category III. 10 - 28 = 9,000 feet long (2,743 meters). Category II PARkING CAPACITY There are 30,667 public parking spaces, including 13,566 spaces in close-in parking decks, 7,584 in economy lots and 8,184 in “Airport Park-Ride” lots and 1,333 in the “Silver Reserve” Parking lot. Special parking spaces are provided for the physically challenged in each lot within closest proximity GROUND TRANSPORTATION 30 Airport ground transportation shuttle services offer door to door reservation service covering the Atlanta metropolitan area and boarding states. Vans carry seven to 10 passengers and depart every 15 minutes. Hartsfield-Jackson taxi stand is located within the Ground Transportation Center, which is west of the baggage claim area. Hartsfield-Jackson Airport has 11 rental car companies with free shuttle service to and from the Airport. The Metropolitan Atlanta Rapid Transit Authority (MARTA) is located on the west-end of the terminal building between the north and south baggage claim areas. 
 2010 Annual Report 71 PEOPLE MOVER The Airport’s underground-automated people mover, connecting all concourses with the terminal, consists of nine, four car trains operating on a 3.5-mile loop track. The time between trains, at any 14 stations, is approximately two minutes. CONCESSIONS There are more than 230 concession outlets throughout the airport, including 98 food and beverage, 81 retail and convenience, 25 kiosks and 24 staffed service outlets covering approximately 232,000 square feet. ExECUTIVE CONFERENCE CENTER The 24,000 square feet upscale Executive Conference Center at Hartsfield-Jackson, located in the Atrium terminal for the convenience of business travelers from various origins, contains 23 meeting rooms, video conferencing, computer workstations and catering offering an aesthetically pleasing environment in which to conduct business in a popular location for company executives. EMPLOYMENT The airport is considered to be the largest employment center in the State of Georgia. There are approximately 58,000 airline, ground transportation, concessionaire, security, federal government, City of Atlanta and airport tenant employees at the airport. ECONOMIC IMPACT The total airport payroll is $4.3 billion, resulting in a direct and indirect economic impact of $5.6 billion on the local and regional economy. The total annual regional economic impact of the airport is more than $18.7 billion. CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 7 (Continued) 
72 Hartsfield-Jackson Atlanta International Airport CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 8 HARTSFIELD-JACKSON ATLANTA INTERNATIONAL AIRPORT COMPARATIVE OPERATING STATISTICS For Year Ended December 31, For Year Ended June 30, (Six Months) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 AIRCRAFT OPERATIONS DOMESTIC Air Carrier 645,232 625,897 610,509 615,120 652,295 644,792 289,366 640,566 680,325 671,757 656,791 Air Taxi 205,047 206,484 218,773 240,957 254,139 275,504 150,377 268,761 237,631 222,623 237,899 General Aviation 21,948 13,409 16,624 11,914 11,192 10,783 5,037 9,949 11,972 7,515 7,342 Military 2,231 1,120 1,769 1,325 1,513 1,889 1,006 917 1,058 1,080 1,141 Sub Total 874,458 846,910 847,675 869,316 919,139 932,968 445,786 920,193 930,986 902,975 903,173 INTERNATIONAL Air Carrier 40,996 43,584 42,291 42,411 45,719 47,418 27,617 67,592 68,142 63,480 60,633 TOTAL 915,454 890,494 889,966 911,727 964,858 980,386 473,403 987,785 999,128 966,455 963,806 ENPLANED PASSENGERS DOMESTIC On 37,238,515 35,279,315 35,776,095 36,941,285 38,720,510 39,661,560 19,066,987 39,022,194 40,747,762 40,331,902 40,953,747 Off 36,784,603 34,617,017 35,119,848 36,344,637 38,266,436 39,112,484 18,815,002 38,150,269 39,808,443 39,044,751 38,475,261 Sub Total 74,023,118 69,896,332 70,895,943 73,285,922 76,986,946 78,774,044 37,881,989 77,172,463 80,556,205 79,388,883 79,429,008 INTERNATIONAL On 2,916,309 2,815,899 2,863,505 2,756,315 3,116,157 3,358,972 2,010,320 4,270,417 4,539,412 4,464,750 4,421,551 Off 2,892,588 2,790,718 2,851,533 2,745,046 3,085,483 3,375,480 1,933,089 4,286,630 4,565,057 4,497,442 4,500,861 Sub Total 5,808,897 5,606,617 5,715,038 5,501,361 6,201,640 6,734,452 3,943,409 8,557,047 9,104,469 8,962,192 8,922,412 DIRECT TRANSIT 330,392 355,551 265,147 300,645 417,997 398,927 230,202 593,110 561,976 309,888 102,288 TOTAL 80,162,407 75,858,500 76,876,128 79,087,928 83,606,583 85,907,423 42,055,600 86,322,620 90,222,650 88,648,733 88,453,708 LANDED WEIGHTS MAIL (METRIC TONS) 238,488 146,084 93,386 115,089 91,964 42,451 6,603 4,134 5,764 6,005 12,238 FREIGHT & EXPRESS (METRIC TONS) 655,983 589,712 640,697 687,159 768,739 725,446 364,288 726,573 703,458 565,250 609,683 *Beginning May 2005, Delta no longer transports mail. Source: Department of Aviation, Hartsfield-Jackson Atlanta International Airport, Atlanta, Georgia 30320. In June 2006 the reporting period changed from calendar year to fiscal year.
 2010 Annual Report 73 DOMESTIC SERVICE Major and national airlines AirTran Airways American Airlines Continental Airlines Delta Air Lines Frontier Airlines GeorgiaSkies Midwest Airlines Northwest Airlines Spirit Airlines United Airlines US Airways Wings Air Regional Airlines American Connection/American Eagle Airlines American Connection/Chautauqua Airlines American Connection/Trans States Airlines Delta Connection/ASA Delta Connection/Comair Delta Connection/Mesaba Airlines Delta Connection/Pinnacle Airlines Delta Connection/Shuttle America Delta Connection/SkyWest Airlines United Express/Mesa Airlines United Express/Shuttle America US Airways Express/Air Wisconsin US Airways Express/Mesa Airlines US Airways Express/PSA US Airways Express/Republic Airlines Charter Airlines Omni Air International Ryan International World Airways CITY OF ATLANTA, GEORGIA — DEPARTMENT OF AVIATION ExHIBIT 9 HARTSFIELD-JACKSON ATLANTA INTERNATIONAL AIRPORT AIRLINES SERVING THE AIRPORT PASSENGER AIRLINES INTERNATIONAL SERVICE U.S. Flag airlines AirTran Airways Delta Air Lines Delta Connection/ASA Delta Connection/Comair Delta Connection/Pinnacle Airlines Delta Connection/Shuttle America Delta Connection/SkyWest Airlines Northwest Airlines Foreign-flag airlines AeroMexico Air Canada Air Canada Jazz AIir France Air Jamaica British Airways KLM Royal Dutch Airlines Korean Air Lufthansa German Airlines CARGO AIRLINES ABX Air Air France Cargo Air Transport International Alitalia Airlines British Airways Cargo Cargolux Airlines Cathay Pacific Airways China Airlines Delta Air Lines DHL Express EVA Airways FedEx Korean Airlines Cargo Lufthansa German Airlines Martinair Holland 

UPS 

CARGO CHARTER AIRLINESAtlas Air CargoGreat Wall AirlinesKalitta AirMcNeely Charter ServiceMountain Air CargoPolar Air Cargo
74 Hartsfield-Jackson Atlanta International Airport

CITY OF ATLANTA

 MAYOR

 kasim Reed

ATLANTA CITY COUNCIL

Council President Ceasar Mitchell

District 1 Carla Smith

District 2 Kwanza Hall

District 3 Ivory Lee Young Jr.

District 4 Cleta Winslow

District 5 Natalyn Mosby Archibong

District 6 Alex Wan

District 7 Howard Shook

District 8 Yolanda Adrean

District 9 Felicia A. Moore

District 10 C.T. Martin

District 11 Keisha Lance Bottoms

District 12 Joyce Sheperd

Post 1 Michael Julian Bond

Post 2 Aaron Watson

Post 3 H. Lamar Willis

Department of Aviation

Louis Miller – Aviation General Manager

Prepared by the Department of Aviation’s Office of Public Affairs

www.atlanta-airport.com

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