Published On: Mon, May 10th, 2021

Schiphol threatens to terminate airport cooperation agreement

PHILIPSBURG — The Royal Schiphol Group threatens to terminate its cooperation agreement with the Princess Juliana International Airport per July 15 unless the holding and the exploitation company take certain measures by May 26 to correct shortcomings in corporate governance.

Kjell Kloosterziel, director of Schiphol International writes this in a letter addressed to Prime Minister Silveria Jacobs, Finance Minister Ardwell Irion, holding director Dexter Doncher and to Michel Hyman at PJIAE. The letter, dated May 6, also went to Frans Weekers a member of the World Bank trust fund steering committee and to one Mrs. S. de Reuver at the state of the Netherlands.

Kloosterziel demands that “proper governance of the airport is re-established by May 26; “In particular at the airport holding company PJIAH and management layers of the airport.”

Furthermore, the Schiphol-director demands that “past governance violations are dealt with and corrected before May 26, 2021.”

In a letter dated April 21, Schiphol international already expressed its “profound concerns” about the governance at the airport and in particular at the holding company PJIAH. On May 1 Schiphol asked attention for “continued corporate governance violations.”

Schiphol’s support for the airport and the reconstruction project has been “conditional to proper governance at the airport.” Another condition, Kloosterziel points out, is that the government and the airport are “welcoming and supporting our involvement.”

According to the Schiphol-director these conditions have not been met. “Our staff and other stakeholders involved with PJIAE have raised significant concerns on the governance of the airport with the government of St. Maarten as ultimate shareholder. Communication received from the airport on the extension of the cooperation agreement has also cast serious doubt whether our continued support is really welcomed by all stakeholders.”

Click here to view a digital copy of the Royal Schiphol Group notice letter