Governor McAuliffe Announces Port of Virginia Operating Profit in December
Norfolk – Today Governor Terry McAuliffe announced that the Port of Virginia completed December with an operating income of $631,114 and TEU volumes surpassing 200,000 units, bringing the port’s consecutive string of profitable months to six.
“I am very pleased to see the Port of Virginia not only setting records for cargo volume, but also posting six consecutive profitable months,” said Governor McAuliffe. “The port is a one-of-a-kind economic asset for our Commonwealth and we finally have the leadership in place to leverage it. I look forward to continuing to work with the Virginia Port Authority Board of Commissioners and staff to continue this outstanding growth trend as we work together to build a new Virginia economy.”
“When Governor McAuliffe took office, getting the port’s books in order was a top priority,” said Virginia Secretary of Transportation Aubrey Layne. “Given the record volumes of 2014 and the performance thus far in the fiscal year, it is clear that John Reinhart has brought stability to the port and many of its initiatives are beginning to bear fruit. Challenges remain, but we are confident in the port’s ability to address them and continue the progress we are celebrating today.”
John F. Reinhart, CEO and Executive Director of the Virginia Port Authority continued, “The port’s operating profit in the first half of fiscal 2015 was $6.2 million, compared with an operating loss of $10.6 million in the same period of fiscal 2014, putting the port $16.8 million ahead of the same period last fiscal year. Moreover, the December operating income was a $3.4 million improvement over December 2013.
“The December results put us more than $6 million ahead of budget and we have had six consecutive profitable months, so from a financial perspective we are stabilizing,” Reinhart, said. “The congestion challenges remain, so we continue to act with a sense of urgency from the standpoint of operations: We have to deliver on our word to motor carriers and customers to provide consistent, competitive service at the gates.”
In a January news release summarizing the 2014 (calendar) cargo year, The Port of Virginia reported that it handled 203,276 TEUs in December 2014, an increase of 12.3 percent, or 22,185 TEUs, when compared with December 2013. Further, December was the eight month in 2014 when port TEU volumes exceeded 200,000 units.
December 2014 vs. December 2013, in containers:
- Truck volume, up 13.5%
- Rail volume, up 8.2%
- Virginia Inland Port, up 21.4%
- Barge volume, up 44.3%
- Ship calls, up 8.5%
- Vehicle units, down 5.8%
Last April Governor McAuliffe named five new members to the Virginia Port Authority Board and charged them, Secretary Layne and the port’s staff with making the port the profitable economic asset it should be.
The Virginia Port Authority (VPA) is a political subdivision of the Commonwealth of Virginia. The VPA owns and through its private operating subsidiary, Virginia International Terminals, LLC (VIT), operates four general cargo facilities Norfolk International Terminals, Portsmouth Marine Terminal, Newport News Marine Terminal and the Virginia Inland Port in Warren County. The VPA leases Virginia International Gateway and the Port of Richmond. In fiscal 2013, The Port of Virginia provided more than 374,000 jobs and generated $60.3 billion in total economic impact throughout the Commonwealth.