Rafael del Pino, company Chairman, highlighted Cintra's distinctive features within the sector, based on its focus on growth in a stable, low-risk business
He also highlighted the company's global reach and diversified risk profile:
- it currently has 21 toll road projects in seven countries;
- 72% of EBITDA is generated outside Spain
- most of the concessions are new and, therefore, have growth potential
- Cintra's weighted stake in its concession projects is approximately 60%
- the residual term of the concessions is over 70 years
- award of four new toll road projects representing an estimated total investment of 4.8 billion euro gross: M-203 in Spain, M-3 in Ireland, Mantua-Cremona in Italy (the latter two pending final award), and the privatisation of the Indiana Toll Road in the USA (early in 2006). The Indiana project establishes Cintra as a player to be reckoned with in the North American market, where it has landed the three big infrastructure development projects that have been privatised to date;
- in the car park business, Cintra obtained 33 new contracts for a total of close to 31,000 parking spaces under management, i.e. a 60% success rate in bidding for new concessions. The main new contract was to manage the car parks at the new T-4 terminal at Madrid-Barajas airport;
- Cintra took over running Chicago Skyway in January 2005, and brought the N4/N6 in Ireland into operation 10 months ahead of schedule;
- refinancing of the Chicago Skyway project, completed in August 2005, which enabled Cintra to recover 44% of its initial investment and increase the return on the remaining invested capital by close to 2 percentage points;
- in Canada, a number of interim decisions were obtained, all of them favourable to Cintra, in the dispute with the Province of Ontario over 407 ETR
- most of the concessions are relatively new and "therefore have notable growth potential";
- Cintra's weighted stake in the concessions averages around 60%, "making us a core shareholder in all of them and enabling us to appoint management and apply our systems and procedures";and
- the residual term of our concessions, weighted by internal valuation, is over 70 years "by far the longest in the sector"