Governor Terry McAuliffe has announced that the Port of Virginia’s preliminary reports for fiscal year 2015 indicate that it will post its first yearly operating profit since 2008.
The Port is forecast to turn a $16.1 million profit, which is a $31.5 million improvement in operating income compared with the prior fiscal year.
Speaking at an event at the Port of Virginia in Norfolk, the Governor said: “When I took office I knew that growing and diversifying Virginia’s economy would require making the Port of Virginia the profitable gateway to the world that it can be.”
“We’re seeing improvements gained from our ongoing effort to improve operational efficiency, and our strategic investments in equipment, in technology and in people are paying off. There is still much to do, and we are going to forge ahead with our plan to reinvest in infrastructure in order to compete now and in the future,” said John F. Reinhart, CEO and executive director of the Virginia Port Authority (VPA).
Fiscal 2015 also included the following accomplishments:
- Re-opening of Portsmouth Marine Terminal;
- The addition of 1,000 chassis to HRCP II;
- Purchase of nearly 100 vehicles used in the movement of cargo;
- Implementation of new terminal operations software;
- The signing of a cost-sharing agreement with the Army Corps of Engineers to evaluate the benefits of two critical dredging projects: the deepening of the Norfolk Harbor and Southern Branch of the Elizabeth River;
- Receipt of a $15 million Transportation Investment Generating Economic Recovery (TIGER) grant to create a new intermodal gate complex at Norfolk International Terminals;
- The completion of a bond sale to reduce debt costs, earning Aa3 and A+ bond ratings from Moody’s and S&P, respectively;
- The passage of a $489.7 million budget that includes $135 million allocated for capital expenditures to alleviate congestion and position the port for future growth.