5 Auckland Airport staff on $1m

Auckland Airport is expecting strong growth during the Cricket World Cup. Photo / Dean Purcell

Airport chairman says pay based on performance.

Auckland Airport, where profits are forecast to be flat after increasing by more than 10 per cent last year, now pays five staff more than $1 million - up from two previously.

Chairman Sir Henry van der Heyden said the increase in the $1 million-plus remuneration reflected long-term incentives being paid in the 2013-14 financial year and strong performance from staff.

According to the annual report, the top pay package rocketed from between $1.13 million and $1.16 million to between $1.69 million and $1.7 million in the last financial year.

"In the remuneration senior management have short- and long-term incentives and long-term has kicked in after three years but it is absolutely based on performance," van der Heyden said following the company's annual meeting yesterday.

"We think we've got very good alignment between remuneration and return to the shareholders. If they perform and value's being created we don't mind paying a reward."

The board is also getting a pay rise in the coming year, with the passing of a resolution to increase directors' fees by 4 per cent to a pool of just over $1.42 million. The increase was backed by the Shareholders Association.

Van der Heyden told the meeting of more than 200 shareholders that the airport was on track to deliver an underlying net profit after tax of between $160 million and $170 million.

Underlying after tax profit last year was $169 million.

Van der Heyden said while there had been a "soft" start to the financial year, this month had been strong and there were signs of strong tourist growth during the Cricket World Cup. The company also had added costs from debt servicing costs following a capital repayment to shareholders earlier this year.

The board was taken to task by one shareholder, Joseph Shields, over aircraft noise caused by a flight path trial.

The Titirangi resident claimed the trial had lasted longer than promised and there had been insufficient community consultation.

"One of the joys to me was either the silence and the bird song but you have stolen my rights by putting aircraft over my house any time you friggin feel like it," said Shields.

The airport says the trial did last for just one year as promised and was restricted to 10 flights a day.

Chief executive Adrian Littlewood said a decision would be made by the end of the year on what to do on the basis of the final results of the trial.

"It's great that you're giving feedback and we take that feedback seriously." Most parts of Auckland had aircraft flying over it.

Overzealous duty-free operators also concerned one shareholder who said he didn't like being crowded by a "phalanx" of salespeople selling alcohol. Littlewood said "overselling" was something the airport would keep on top of. A tender round for the duty free concessions was under way at the moment.

Directors controlled 62 per cent of the vote and after the meeting the company announced all resolutions had been passed including the fees and the re-election of current directors James Miller and Justine Smyth.

A new director Christine Spring was elected to replace Keith Turner who has retired from the board.