Mr. Speaker, I appreciate the opportunity to speak before this honorable House and the people of Bermuda.

Mr. Speaker, as we approach the end of this calendar year, I am pleased to provide an updated report on the status and outlook of Bermuda's airlift, a cornerstone of both our economy and tourism industry. As I emphasized earlier this year, airlift serves as Bermuda’s critical link to the world, facilitating access to essential medical care, welcoming visitors, supporting commerce, and enabling leisure travel. It is a powerful catalyst, driving opportunities, generating revenue, creating jobs, and enriching our quality of life. Airlift is the engine propelling our growth, allowing innovation, advancing development, and securing our shared prosperity.

Mr. Speaker, the Ministry of Transport remains dedicated in its commitment to strengthening Bermuda’s airlift capacity, quality, and diversity, ensuring resilience and robust support for our local population, particularly in meeting critical medical needs. We are equally focused on positioning Bermuda as an appealing and accessible destination for leisure and business travelers alike. Today, I will share an update on trends in airlift performance, the challenges we have successfully navigated, and the opportunities we are actively pursuing. I will also emphasize the significant benefits that airlift brings to Bermuda’s economy and its people.

Mr Speaker, I will present an overview of the trends in Bermuda’s airlift capacity over the past seven years, including 2024 year-to-date to end of October, including developments achieved.

• In 2018, Bermuda enjoyed a robust airlift capacity, with around 611,000 seats available.
• In 2019, seat capacity experienced a slight decline, dropping to approximately 580,000, a reduction of about 5% compared to the previous year.
• The global COVID-19 pandemic in 2020 led to a sharp contraction in airlift capacity, reaching a historic low of just over 170,000 seats—a staggering 71% decrease from 2019.
• In 2021, the sector began to recover, with seat capacity rising to roughly 237,000, an increase of about 39% from the previous year.
• This recovery momentum continued in 2022, as seat capacity climbed to approximately 356,000, marking a significant growth of 50% compared to 2021.
• By 2023, airlift capacity had further expanded to around 433,000 seats, reflecting an additional 22% growth from the prior year.
• At the end of October 2024, the airlift capacity was 466,350, which exceeded the total seat capacity for 2023 by 8%.
• The year-to date to October 2024 verses the previous period in 2023 was 466,350 seats verses 370,789 seats, a 26% increase.

Mr. Speaker, as I have emphasized before, despite the challenges posed by the pandemic in 2020, we remained steady in our commitment to maintaining Bermuda’s airlift and resolute in our optimism for recovery. We took focused measures to safeguard public health, support our airline partners, stimulate demand, and rebuild confidence in our connectivity.

Mr. Speaker, one of the key commitments the Government made to ensure that Bermuda and its people remained connected to the global community was to uphold our obligations under the Guaranteed Minimum Regulated Revenue (GMMR) provision within the agreement with Skyport, which was triggered by the pandemic in 2020. As part of this, the Government made the following payments to Skyport over the various fiscal years:

• Year 2020/2021 $21,003,885 was paid;
• Year 2021/2022 $16,030,832;
• Year 2022/2023 $9,436,473;
• Year 2023/2024 $351,526 was paid and;
• Year 2024/2025 $56,022 has been paid to date.

Mr Speaker, these payments were not merely transactions to uphold an agreement; they played a crucial role in ensuring that Bermuda remained viable, sustainable, and accessible to the global community. The funds provided a foundation for the island's continued prosperity, enabling its economic stability and growth. Furthermore, sustaining international connections and ensuring Bermuda as a thriving hub that is not only resilient but also open and welcoming to the global community was essential and likewise, ensuring our people the same.

Mr. Speaker, as noted in 2023 we reached nearly 433,000, an increase of 22% over 2022. As I envisioned earlier this year, the upward trajectory continued, in that the airlift capacity increased even further in 2024.

These rising figures reflect Bermuda's strong recovery and stand as a testament to our resilience and adaptability in overcoming adversity. The continued growth in air travel highlights our capacity not only to weather challenges but to emerge stronger, reaffirming Bermuda’s status as a premier destination of choice.

Mr. Speaker, the Ministry of Transport, in close collaboration with our esteemed partner stakeholders, has been persistent in its efforts to enhance airlift services. I am pleased to share some of the significant achievements we have accomplished, which have contributed to the growth in our airlift capacity.

Mr. Speaker, I am pleased to share updates on the advancements in our airlift services, which have significantly improved Bermuda's connectivity and accessibility. These developments include:

• American Airlines launched its flights between Washington Reagan National Airport [DCA] and Bermuda, with seasonal flights that resumed in April 2024. This route offers convenient connections to the US capital and beyond, as well as increasing our exposure to a key political and business market. While the seasonal Washington flight will continue to 2025, it will commence two months later in June 2025.
• American Airlines resumed its daily non-stop service to Miami on November 5th, 2023, extending its year-round connectivity from Miami to Bermuda. This complements the already established year-round services from New York’s JFK airport and seasonal daily flights from Philadelphia. American Airlines has made seasonal adjustments to its schedule for their Miami and Charlotte flights in January and February 2025.
• JetBlue continues to offer year-round service to Boston, significantly enhancing our connectivity and boosting local passenger satisfaction, particularly for those traveling for medical purposes. The re-establishment of this essential route in the fall of 2023 has expanded our travel options and underscores our commitment to providing convenient and reliable air travel solutions.
• BermudAir celebrated its first anniversary in September 2024 and the airline has established connections with seven major markets, Boston, Westchester New York, Baltimore, Fort Lauderdale, Orlando, Toronto and Halifax representing a noteworthy achievement in our expansion efforts to provide increased travel options. BermudAir has also announced plans to expand to three additional markets in Montreal, Quebec; Hamilton, Ontario; and Norfolk, Virgina.
• Mr. Speaker, this year United Airlines began flying year-round from New York’s Newark airport to Bermuda for the first time since 2016.
• Mr. Speaker, On June 1, 2024, United Airlines celebrated 35 years of serving Bermuda, a milestone that underscores their long- standing dedication to our island. I extended my gratitude for their decades of service and their commitment to Bermuda, highlighted by their recent expansion of seat capacity on the Newark to Bermuda route.
• Mr. Speaker, British Airways continues to provide Bermuda’s main connection to the United Kingdon with its direct service to London Heathrow. I met with senior British Airways officials in London in October 2024 to discuss partnerships and strategic initiatives aimed at strengthening the longstanding air connection between Bermuda and London.
• Mr. Speaker, our other longstanding airline partners are Delta Airlines and Air Canada, who provide air service to Atlanta, New York’s JFK and Toronto. I met with senior officials at these airlines’ headquarters in 2023 to discuss collaborative efforts to grow their air connections. 
• Mr. Speaker, our smallest airline partner is Azores Airlines who provide a seasonal and increasingly popular connection to the Azores with connection options to Europe.