ATO books P2.5B in '04 net income.

(From Philippine Daily Inquirer)

Byline: Clarissa S. Batino

THE AIR Transportation Office has recorded a net income of about P2.5 billion in 2004 and is targeting a 15-percent increase in profits this year, according to the agency head.

ATO chief Nilo Jatico credited a robust tourism industry for the agency's improved collection last year. He said there were more chartered flights in 2004 compared to previous years.

"Our target last year was P2.2 billion, but we made around P2.5 billion due to increase in flights," Jatico said. "This is the first time we exceeded our target so we are very cautious in making forecasts this year."

The ATO chief said his office was still evaluating the budget department order to increase fees and charges by an average of 20 percent. The air transport office is one of the biggest earner among government agencies contributing collections to national coffers.

"We are still studying which areas will be increased," he said. "If we increase all fees, it might cause the demise of the aviation industry."