Alpha wins deal to open foodcourt at Newcastle airport

AIRPORT contract caterer Alpha Airports is to expand its branded catering restaurants with a new seven-year contract at Newcastle airport.

Chief executive Kevin Abbott said the new foodcourt, which has a variety of counters offering Buddy's hamburgers, Saxon's traditional English food, Latino's pizzas and pastas and a deli bar, increased sales at Jersey Airport by 30% during its first year. The Newcastle version will open by October.

Alpha's catering division - which operates 35 kitchens across Europe, Australia and Florida plus 28 restaurants and bars - increased operating profits before exceptionals by £300,000 to £13.5m in the year to 31 January, on turnover up 9.2% to £232.1m.

The company expects opportunities for expansion from the deregulation of European aviation, especially in regional airports. Abbott said some existing partners wanting Alpha to expand with them were seeking new kitchens plus services in other European locations. This growth will take a significant slice of a planned £30m capital expenditure per annum for the next few years, double 1997's outlay.

The expiry of Alpha's retail management contract at Heathrow in March 1998 was blamed for a £3.7m fall in group pre-tax profits to £25m on turnover down £61.3m to £640.9m. However, after exceptionals and goodwill write-offs, the group boosted profits by £1m to £16.5m.

by Angela Frewin