ANNUAL REPORT 2017 Director-General's Statement
ANNUAL REPORT 2017 LFV is with you on the travel
ANNUAL REPORT 2017 This is LFV
ANNUAL REPORT 2017 The Year in Brief
ANNUAL REPORT 2017 Operating Environment and Marke
t
ANNUAL REPORT 2017 Strategy and Objectives
ANNUAL REPORT 2017 Customer Focus
ANNUAL REPORT 2017 Environment
ANNUAL REPORT 2017 Aviation Safety
ANNUAL REPORT 2017 Innovation
ANNUAL REPORT 2017 Cooperation and Partnerships
ANNUAL REPORT 2017 Employees
ANNUAL REPORT 2017 Board of Director's Report
ANNUAL REPORT 2017 Income Statement, Comments on t
he Income Statement
ANNUAL REPORT 2017 Balance Sheet
ANNUAL REPORT 2017 Comments on the balance sheet a
nd funds statements
ANNUAL REPORT 2017 Financing
ANNUAL REPORT 2017 Accounting and Valuation Princi
ples
ANNUAL REPORT 2017 Notes
ANNUAL REPORT 2017 Investments
ANNUAL REPORT 2017 Reporting in Accordance with Pe
rformance Plan
ANNUAL REPORT 2017 Reporting in Accordance with Ap
propriation Directions REPORTING ACCORDING TO APPROPRIATION DIRECTIONS REPORTING ACCORDING TO APPROPRIATION DIRECTIONS The following is a summary report of Luftfartsverket’s (LFV) efforts to ensure that transport policy objectives are achieved, and of the assignments and objectives set out in the appropriation directions. A more detailed account of the results of LFV’s operations in 2017 can be found in other parts of the annual report. Transport policy objectives As per the Ordinance (2010:184) with instructions for Luftfartsverket, we are to work to ensure that the transport policy objectives are achieved. Aviation plays an important role in making it possible for businesses and citizens throughout the entire country to transport passengers and cargo, both within the country and around the world. Especially for many small towns, there are no realistic alternatives to flying that can ensure fast and efficient communications. LFV has an important role in the aviation sector. A safe, efficient and environmentally adapted air navigation service is essential to well-functioning aviation. LFV contributes to the functional objective – which involves making travel and transport accessible – by providing safe, efficient and environmentally adapted air navigation services throughout the entire country, which is a prerequisite for the accessibility aviation provides. LFV contributes to the consideration objective – which deals with safety, the environment and health – by offering safe air traffic services while taking the environment into consideration to the greatest possible extent The system is set up so as to prevent LFV contributing to anyone being killed or seriously injured. By optimising routes and the flow of traffic, LFV contributes to reducing the environmental impact of aviation. LFV plays an active role in the current effort to develop the European system of air navigation services in a way to make it possible to manage the long-term growth in air traffic to be managed, while achieving the targets of improved aviation safety, reduced costs and minimised environmental impact. In 2017, LFV has achieved the EU targets, set in regard to the air navigation service's security, capacity, environment, and cost efficiency, excluding costs exempt from risk sharing regarding pensions. For a more detailed presentation of the targets of the performance plan, see section Reports 58 according to the performance plan (pg. 56–57). LFV has continued to work actively on research and innovation with the aim of developing new technologies of significance to its operations and thus contribute to achieve long-term targets with respect to safety, efficiency and environmental adaptation. Income statement per line of business LFV’s operations consist of three main lines of business: En route air navigation services, Research and Innovation, and Other commercial services. A more detailed account of each line of business can be found in the Board of Directors' Report (pg. 32–33) and particulars in Note 3. Statement of investment projects LFV’s investments have increased during the last couple of years and at present extensive infrastructure ventures are conducted to secure aviation safety, capacity and regularity, as well as to increase efficiency for the operations. In 2017 the investments outcome is corresponding to plan. LFV prioritise and adjusts the plan concurrently with regard to changes in the surroundings and the requirements of the operations. In 2017 infrastructure investments in radar and communication equipment etc.,have increased, while the commercial investments are lower than budgeted. A more detailed account of investments can be found in the section Investment plan (pg. 55). Remit in accordance with the appropriation directions LFV will contribute to the Government's venture in modern temporary jobs in the public sector, which will are introduced successively from 2017. During the year LFV has produced a plan for the continued work regarding modern temporary jobs and strives to employ people who remain outside the labor market. In accordance with the appropriation directions for 2017, LFV shall give an account of the overarching measures taken in systematic security protection work according to the Protective Security Act and the Protective Security Regulation. The account is to be done in connection with what is stated within the frame of the commission for planning directions for the civil defense. Major parts of the contents in the reports are confidential, and LFV will present the commissions to the Ministry of Enterprise, Energy and Communications under separate arrangements. Objectives pursuant to the appropriation directions LFV’s financial target regarding return on equity is that it, after tax equivalent over a business cycle, shall amount to 4 per cent of equity. Return on equity in 2017 was negative. There has been a continued detrimental impact on LFV’s profit in 2017 as a result of the low interest rate situation, which has involved both an increase in pension costs and lower interest revenue. This has partly been compensated for by the growth in traffic. LFV’s financial target with respect to the equity/assets ratio is that it amounts in the long term to at least 15 per cent. As per 31 December 2017, the equity/asset ratio amounted to 9 per cent. LFV is not judged to achieve the equity/asset ratio objective in the foreseeable future. The main reason for the low equity/asset ratio is that the provision for pensions is secured as a liability in the balance sheet. In the event of a future rise in the discounting rate, a reduction of the pension liability is expected and in the long run, LFV endeavors to redeem all or part of the pension liability and shift to paying premiums instead. If and when such a pension liability redemption can be realised is uncertain in the current situation and to a large extent is also dependent on the development of the interest rate. LFV ANNUAL REPORT 2017
ANNUAL REPORT 2017 Risk Management
ANNUAL REPORT 2017 Dividend Proposal
ANNUAL REPORT 2017 Audit Report
ANNUAL REPORT 2017 Board of Directors
ANNUAL REPORT 2017 Group Management
ANNUAL REPORT 2017 Five Years at a Glance
ANNUAL REPORT 2017 Abbreviations and Explanations