2025 ANNUAL REPORT

A New Chapter

- A STRONGER CONNECTION -

Table of Contents

- Chapter 1-

Message from the Chair

It is my pleasure to present the 2025 Annual Report for YYG Charlottetown Airport. Throughout the year, the Charlottetown Airport Authority remained focused on the priorities that matter most to Prince Edward Island: protecting and strengthening air access, investing in infrastructure for the future, supporting safe and efficient operations, and ensuring a positive experience for the passengers and partners who rely on YYG every day.

While 2025 brought some external challenges across the aviation sector, YYG continued to demonstrate resilience and long-term confidence. In total, 391,086 passengers travelled through the airport in 2025 as stronger load factors throughout the year reflected continued demand for travel to and from Prince Edward Island. These results reinforce the importance of YYG as a vital gateway for residents, visitors, businesses, and communities across the province.

A defining focus of the year was the continued advancement of the Air Terminal Building Expansion Project. This important investment reflects YYG’s commitment to future readiness and to building the infrastructure needed to support long-term growth. The expansion is a multi-year project designed to increase capacity, improve operational efficiency, and enhance the passenger experience.

As a Board, we remain committed to strong governance, thoughtful planning, and sound stewardship as YYG continues to evolve. I want to thank my fellow board members for their dedication, leadership, and support of YYG over the past year. As my term as Chair comes to a close, I do so with a deep sense of pride in all that has been accomplished and gratitude for the opportunity to serve this organization and the people of Prince Edward Island.

On behalf of the Board of Directors, I would like to thank our employees, airline partners, tenants, government partners, and community stakeholders for their continued support and commitment. The airport’s progress is made possible by the strength of these relationships and by the dedication of the people who work every day to serve Prince Edward Island well. I am proud of what YYG has achieved, and I am confident the airport is well positioned for continued success in the years ahead. The future is bright, and I look forward to seeing YYG continue to grow and strengthen its role as a vital gateway for our province.

Steve Loggie
Chair, Board of Directors

- Chapter 2 -

Message from the Chief Executive Officer

At YYG, we are turning a new page.

As the Air Terminal Building Expansion Project moves into its final stages, we are entering an important new chapter in the story of our airport. This moment is about more than the completion of a major project. It is about what comes next: an airport that is stronger, more welcoming, and better positioned to serve Prince Edward Island for years to come. It is also about deepening the connections that matter most, with our passengers, our partners, and the community we are proud to serve.

At its heart, YYG is about connection. We connect Prince Edward Island to the rest of Canada and beyond. We connect families and friends, support tourism and business, and help strengthen the economic and social fabric of our province. In 2025, that role remained as important as ever. YYG welcomed 391,086 passengers during the year, building on a strong foundation of stable traffic, valued airline partnerships, continued progress on the terminal expansion, and an economic impact of more than $366 million for Prince Edward Island.

These results are a reminder of how essential reliable air access is for Islanders, whether for work, education, tourism, health care, family, or the opportunities that exist beyond our shores. They also speak to the confidence that travellers, airlines, and partners continue to place in YYG, and to the importance of working together to support long-term, sustainable growth in air service for our province.

As we look to the next chapter, we remain focused not only on growth, but on the experience of the people who pass through our airport every day. In 2025, YYG continued to invest in safety, operational readiness, sustainability, accessibility, and passenger experience. These efforts are helping us build an airport that is more welcoming, more inclusive, and more responsive. An airport that reflects the needs of today while preparing for the future.

Our role extends well beyond the terminal. YYG supports local businesses, contributes to tourism, helps attract investment, and connects Prince Edward Island to opportunity across the country. Just as importantly, the airport is part of the life of our community. We are proud to work alongside tenants, partners, stakeholders, governments, and community organizations that share our belief in a strong, connected, and growing province. Those relationships are central to who we are, and they will continue to guide us as we move forward.

This year’s progress would not have been possible without the people behind it. I want to sincerely thank our employees for their professionalism, adaptability, and commitment throughout the year, as well as our Board of Directors, airline partners, tenants, community stakeholders, and government partners for their continued support and confidence in YYG. As we turn a new page, we do so with gratitude, confidence, and a clear sense of purpose. Together, we are building more than an airport, we are helping open the door to the next chapter for Prince Edward Island, creating stronger connections for our passengers, new opportunities for our community, and a foundation for growth in the years ahead.

Doug Newson
Chief Executive Officer

- Chapter 3 -

Business Planning

Our Vision

To provide an exceptional Island experience.

Our Mission

To provide a convenient, modern, and sustainable airport that connects people and drives economic growth in Prince Edward Island.

Our Strategic Goals

Maximize Business Development.
Improve Passenger Experience.
Safe, Secure, and Sustainable Operations.
Organizational Excellence.
Strong Stakeholder and Community Support.

- Chapter 4 -

Passenger Traffic and Air Service Development

Passenger traffic in 2025 reflected a year of disciplined recovery and steady demand. Total passenger movements reached 391,086, a 4.8% decrease from 2024, primarily due to a 7.2% reduction in seat capacity. Despite this, load factors improved throughout the year, indicating strong demand and effective capacity utilization.

Air service development continues to be a key strategic pillar for YYG. Air Canada once again led the way in terms of capacity share, providing more seats than all our other carriers combined. Porter Airlines launched new jet service to Toronto Pearson in June, increasing to daily service by the end of the month. Flair Airlines returned with three weekly flights and WestJet concluded its summer 2025 season with strong results on their Calgary and Edmonton service.

Passenger stats:


2021	111,160
2022	341,649
2023	402,686
2024	410,773
2025	391,086

In 2026, YYG is positioned for a strong air service year, with airlines loading more capacity and expanded seasonal options for travellers. Air Canada is increasing summer seat capacity by deploying larger aircraft on the Toronto route, while WestJet has Calgary rising to five weekly flights and Edmonton continuing weekly peak‑season service. Porter will maintain daily jet service to Toronto and Ottawa, while adding daily service from Montréal Metropolitan Airport (YHU). Flair is returning earlier with more flights and higher capacity through October, and Air Transat’s new Cancun program has started with strong performance this winter.

- Chapter 5 -

Marketing, Communications
and Community Engagement

In 2025, YYG continued to strengthen its role as a key connector for Prince Edward Island through targeted marketing, proactive communications, and meaningful community engagement. These efforts supported air service development, enhanced the passenger experience, and reinforced YYG’s position as an accessible, communityfocused airport serving Islanders and visitors alike.

Throughout the year, marketing and communications activities focused on promoting air service growth and maintaining clear, timely communication with passengers, partners, and the broader community. Campaigns supported services operated by WestJet, Porter, Flair, and Air Canada, while radio and social media initiatives helped promote the launch of Air Transat’s new Cancun service. YYG’s social media presence continued to expand, with more than 22,000 followers on Facebook and growing engagement across Instagram and LinkedIn.

Community relations remained a central pillar of YYG’s external engagement in 2025. The Authority hosted and participated in a range of community and industry events, including the YYG Runway Run, which raised $6,500 for MakeAWish Canada, Airports Workers Day, and multiple local festivals and cultural initiatives. YYG also supported regional organizations through sponsorships such as the Greater Charlottetown Area Chamber of Commerce President’s Luncheon, the Jack Frost Festival, and activities led by the Black Cultural Society of PEI. These initiatives helped strengthen relationships across the Island while reinforcing the airport’s role as an active and supportive community partner.

Collectively, these marketing, communications, and community relations efforts reflect YYG’s commitment to working collaboratively with airlines, tourism partners, community organizations, and local businesses. By supporting local initiatives and fostering strong partnerships, the airport helps amplify the broader economic and social benefits of air connectivity, ensuring YYG continues to contribute positively to Prince Edward Island’s growth, resilience, and quality of life.

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- Chapter 6 -

Building for the Future: Terminal Expansion and Capital Investment

In 2025, YYG made substantial, visible progress on the Air Terminal Building (ATB) Expansion, with Phase 1B (South Expansion) advancing from active construction into key operational milestones. During the year, the project delivered new spaces in a staged way to support continuity of airport operations, including the move into new CAA office space and the completion/turnover of tenant offices as part of the Phase 1B scope.

A major customer-facing milestone in 2025 was the opening of the expanded check-in hall, a key component of Phase 1B that improves capacity and passenger flow and represents a clear “on-the-ground” improvement for travellers and airline partners. This space provides for an expanded check-in hall, new baggage handling capacity, and additional office and operational space, reflecting the tangible progress achieved through the year.

In parallel, 2025 also saw momentum continue on the next stages of the expansion. Phases 2 and 3 moved into active delivery, with construction activity underway for Phase 3 work and tendering/contracting progressing, positioning YYG to maintain schedule momentum into 2026.

In addition to the Air Terminal Building (ATB) expansion, 2025 saw the successful delivery of several other capital projects that enhanced YYG’s operational resilience, safety, and passenger experience.

On the airside, the completion of the Apron 1 Expansion North provided additional aircraft parking capacity, supporting both commercial and private aviation activity during peak periods. This was complemented by the advancement of detailed design work for the future reconstruction of Taxiway Alpha and Apron 1, laying the groundwork for critical infrastructure renewal in the years ahead.

Groundside, the airport completed paving upgrades to the ATB Frontage Road (from Sherwood Road to Departures) and the Ring Road connecting to the Long-Term Parking area. These improvements enhanced surface conditions and circulation for passengers, staff, and service vehicles.

Category	2025 Actuals
ATB & CSB Assets	$16,425,810
Fleet & Equipment	$152,459
Groundside Assets	$643,851
Airside Assets	$3,346,078
Recurring Capital	$66,901
Total	$20,635,099

Operational readiness was further supported by targeted investments in fleet and equipment, including the acquisition of a salt spreader attachment, paint machine pusher, used scissor lift, and snow bucket for the loader. These additions bolstered the airport’s ability to manage winter weather and maintain airfield safety standards.

Finally, the Electrical Services Upgrade project progressed through its preparatory phase in 2025. With all major equipment delivered and preliminary works completed in Q4, the project is now positioned for full execution in 2026. This upgrade will modernise critical electrical infrastructure and support the long-term reliability of terminal and airside operations.

- Chapter 7 -

Operations and the Passenger Experience

In 2025, operational excellence at YYG focused on maintaining safe, reliable, and efficient airport operations during a year marked by increased activity, complex weather conditions, and ongoing terminal expansion works. YYG’s operations team continued to adapt and respond effectively to changing conditions while maintaining compliance with evolving regulatory requirements and supporting a positive passenger experience across the airport.

Operational resilience was tested throughout the year by winter weather events, constructionrelated impacts, and periods of peak travel demand. Increased icing conditions during the winter season required additional coordination and resources, while the Air Terminal Building expansion introduced added complexity to daytoday operations, particularly during peak travel periods and flight diversions. Despite these challenges, YYG maintained safe and uninterrupted operations through proactive planning, close coordination with airport partners, and effective use of operational data and resources.

Passenger experience remained a core operational priority in 2025, with a continued emphasis on accessibility, service quality, and consistency across the airport environment. The YYG Connection passenger experience program entered its second season, expanding training for airport staff, tenants, and partners to reinforce a shared service culture and a consistent “Island welcome” for travellers. Training sessions included new employees and refresher sessions for returning staff and partners, supporting aligned service standards across the airport.

YYG also enhanced frontline support for travellers through the Passenger Experience Representative program, providing visible assistance during the peak season and supporting the implementation of new systems, including the upgraded parking system. These efforts helped improve wayfinding, ease traveller stress, and ensure passengers received timely assistance throughout their journey.

Accessibility initiatives continued to expand in 2025 with the launch of the Hidden Disabilities Sunflower Program in May. The program, alongside returning initiatives such as Autism Aviators and Therapy Dog visits, demonstrated YYG’s commitment to creating an inclusive and supportive travel environment for passengers with hidden or visible accessibility needs. These programs form an important part of YYG’s broader accessibility efforts, including the publication of its first Accessibility Progress Report.

Together, these operational and passenger experience initiatives reflect YYG’s commitment to delivering safe, efficient, and welcoming airport operations while accommodating growth, construction activity, and evolving traveller needs.

- Chapter 8 -

Environmental Stewardship

Over the course of 2025, YYG continued to advance its environmental stewardship by strengthening governance, improving data reliability, and implementing practical initiatives that reduce environmental impact while supporting safe and efficient airport operations. Environmental management remains an integral component of YYG’s long‑term planning, capital development, and operational decision‑making.

YYG renewed its Level 3 – Optimisation Airport Carbon Accreditation in 2025, reinforcing its commitment to international best practices for carbon management and continuous emissions reduction. As part of this process, the airport finalized its 2024 emissions footprint, ensuring accurate measurement and transparent reporting of greenhouse gas emissions across airport operations. These efforts provide a robust foundation for monitoring progress and supporting informed decisions related to energy use, infrastructure investment, and operational efficiency.

Sustainability efforts in 2025 were supported by the publication of YYG’s first Sustainability Progress Report, which provided a public update on actions taken under the Authority’s Sustainability Plan in 2024. Key initiatives outlined in the Progress Report for 2024 included completion of a comprehensive Stormwater Master Plan, continued transition of the airport vehicle fleet toward electric alternatives, and maintenance of Airport Carbon Accreditation. YYG also safely disposed of legacy firefighting foam and transitioned to fluorine‑free foam for training and testing, further reducing environmental risk.

Climate resilience remained a growing focus in 2025, with YYG advancing long‑term planning tools to better understand and respond to climate‑related risks. The Climate Risk Assessment and Adaptation Plan moved into its final phase during the year, providing a structured framework to inform future capital planning, asset management, and operational strategies. This work supports the airport’s ability to adapt to changing environmental conditions while maintaining service reliability and infrastructure integrity.

Collectively, these initiatives demonstrate YYG’s commitment to responsible environmental management, transparency, and continuous improvement. By integrating sustainability considerations into daily operations and long‑term planning, the Authority is positioning the airport to support growth while minimizing environmental impact and enhancing long‑term resilience.

- Chapter 9 -

Our People

YYG’s people remained central to the airport’s performance and resilience in 2025. Across operations, safety, sustainability, and passenger experience, employees and airport partners continued to demonstrate professionalism, adaptability, and a shared commitment to delivering safe, reliable, and welcoming service. As the airport navigated operational pressures, industrywide challenges, and significant construction activity, YYG’s workforce played a critical role in maintaining continuity and strengthening long-term organizational capacity.

The year began with the appointment of Lynda Mackay as Director, Infrastructure, strengthening leadership during a critical period of capital delivery. To once again help with our peak summer traffic season, we were pleased to have four great Passenger Experience Representatives – Carson Rose, Christian Irwin, Jenny Rose Cabanit, and Angel Gabriel Cruz – on our team. These students are instrumental in helping YYG deliver on our vision to provide an exceptional Island experience.

Above all, YYG’s success in 2025 reflects the dedication and professionalism of the people who work at the airport every day. Their commitment, collaboration, and resilience ensure that YYG remains a welcoming gateway for Prince Edward Island and a place our community can be proud of.

- Chapter 10 -

Financial Performance

In 2025, the Charlottetown Airport Authority delivered a strong financial performance despite a modest decline in passenger volumes. Revenue exceeded expectations, driven by solid performance in key areas such as passenger fees and concessions, while disciplined cost management resulted in lower-than-budgeted operating expenses. The organization maintained a healthy operating surplus and generated strong cash flow from operations, reinforcing its financial resilience.

This performance reflects both the continued demand for air travel to and from Prince Edward Island and the effectiveness of the Authority’s financial planning and operational oversight. The results also provided a stable foundation for ongoing capital investments, including the multi-year terminal expansion and critical infrastructure upgrades, while positioning the airport to manage future funding needs and debt obligations responsibly.

We would like to acknowledge and thank our government partners for their valued support in continuing to help YYG deliver a convenient, modern and sustainable airport that connects people, and supports economic growth in Prince Edward Island.

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Current Year Actuals compared to Business Plan Forecast

	2025 Plan	2025 Actual	Variance
Revenues	14,558,888	15,056,419	497,531
Expenses	12,728,426	11,627,185	1,101,241
Transport Canada Rent	218,876	213,068	5,808
Capital	29,661,307	20,635,099	9,026,208

The main reason total revenues differed from the plan was due to higher passenger-related income. This included more revenue from aeronautical activities, car rental concessions, parking, and Passenger Facility Fees.

The variance in total expenses was primarily attributable to depreciation expense that was lower than anticipated, reflecting the timing of the terminal expansion (Phase 1b). In addition, expenditures for marketing and communications, travel and training, cost recovery, and interest on long-term debt were below plan.

Capital expenditures for the period were below plan, primarily due to the timing of the terminal expansion project (Phase 1b). This phase of the project was originally scheduled for completion in 2025 and is now expected to be completed in the first half of 2026.

Summary of Five-Year Business Plan

Year	2026	2027	2028	2029	2030
Revenues	15,845,555	16,097,122	16,723,322	17,393,625	18,024,022
Expenses	13,662,040	15,207,564	16,651,543	17,451,348	17,712,772
Transport Canada Rent	255,706	277,071	304,657	334,055	364,698
Capital	20,996,809	12,425,645	15,984,100	3,325,480	1,295,000

The Authority’s five-year Business Plan (2026–2030) is anchored by its vision to create an exceptional Island experience and its mission to provide a convenient, modern, and sustainable airport that connects people and supports economic growth in Prince Edward Island.

In support of this mandate and to position the Airport for sustainable long-term growth, the Authority will continue to advance a significant capital investment program, including:

Advancement of the Air Terminal Building expansion
Completion of an airport-wide electrical service upgrade
Rehabilitation of the main apron, including an eastern expansion
Implementation of major groundside projects, including expansion of long-term parking and other paving upgrades

To finance continued capital investments, the Authority entered into a $12.0 million loan agreement with Scotiabank in fall 2025, which is supported by an interest rate swap. Based on current projections, the Authority anticipates that additional financing of $30.5 million will be required through 2030 to support the planned capital program.

Effective March 1, 2025, the Authority raised the Passenger Facility Fee (PFF) from $25 to $30 due to higher operating expenses and the need for capital investments. Additional increases may occur in the future, depending on the outcome of federal funding applications for airside infrastructure projects.

The Authority has prepared forward-looking projections on the basis of continued air service levels and stable annual growth. Readers are cautioned that certain assumptions used in preparing these projections may not materialize as a result of unforeseen events and circumstances. Accordingly, actual results for the period may differ, and such differences may be material. For a complete presentation of the Authority’s financial performance in 2025, please refer to the Charlottetown Airport Authority’s financial statements for the year ended December 31, 2025.

Report on Contracts

In accordance with its lease with Transport Canada, Charlottetown Airport Authority is required to report on all contracts in excess of $144,251 ($75,000 in 1994 dollars adjusted by the Consumer Price Index) entered into during the year which were not awarded on the basis of a public competitive tendering process. In 2025, YYG entered into two sole sourced contracts:

Common use services and equipment ($191,000) – HIAA is the current provider of our common use program, and continued partnership was necessary given the specialized nature of the equipment and services required.

AVIA NG Airport Consultants ($282,990) – A sole source contract was awarded to AVIA NG Airport Consultants to provide construction services for the Apron 1 north expansion project based on their specialized expertise and specific knowledge of CAA’s airside infrastructure.

- Chapter 11 -

Governance and Board of Directors

Board of Directors

The Charlottetown Airport Authority Board of Directors is composed of 12 directors, nine nominated by the respective entities and three appointed by the board itself, as well as a Corporate Secretary. YYG Charlottetown Airport is very fortunate to have a dedicated group of community leaders and visionaries who consistently put the best interests of the airport at the heart of their discussions.

Directors are appointed/nominated by the following entities:

Government of Canada (2)
Province of Prince Edward Island (1)
City of Charlottetown (2)
City of Summerside (1)
Federation of Prince Edward Island Municipalities (1)
Greater Charlottetown Area Chamber of Commerce (1)
Tourism Industry Association of Prince Edward Island (1)
Charlottetown Airport Authority (3)

The Airport Authority’s Board of Directors meet six times a year with committee meetings taking place on an ongoing basis. The board has five active committees:

Executive
Finance & Audit
Infrastructure & Development
Governance
Nominating

All committees are actively involved in airport activities, although the executive committee is convened only when decisions are required on an urgent basis between regularly scheduled board meetings.

*Board of Directors remuneration consisting of honorariums and per diems $69,750.


Steve Loggie	$10,500
Kathy Hambly	$6,800
Paul Kiley	$5,150
Selina Pellerin	$4,650
Perry Gotell	$4,250
Angus Orford	$4,450
Nicole Phillips	$5,450


Terry Shea	$5,100
Wendy MacIntyre	$4,850
Pam Montgomery	$5,000
Khalid Shami	$4,850
John Reddin	$4,250
Ramona Doyle	$4,450

Code of Conduct for Directors

All directors of the Authority are required to comply with a Code of Conduct and rules concerning Conflict of Interest. These require that directors avoid and refrain from involvement in conflict-of-interest situations. There were no instances of conflict of interest brought before the Board of Directors in 2025.