the caaf functioned like a government department, but had a mixture of statutory responsibilities and commercial obligations. effectively, it was a referee and a player in its own game. for the 20 years prior to the restructuring, it had been making annual profits. this was largely because its annual revenue growth was directly linked to the expansion of the international tourism industry in fiji. income was derived from landing and parking fees, air navigation charges, passenger service charges, terminal building concessions and rentals, fuel concessions, and the sale of excess power. it was exempt from income tax until the reform. only minor investments were made into infrastructure. it received heavy financial assistance in the form of an annual government grant to run nausori airport and the other loss-making airports.