Download - Ccr day presentation
Choosing New PathsWinning New Challenges
São Paulo, November 18, 2005
AgendaRegistration and Breakfast 08:30-09:00 am
Welcome and Agenda Presentation 09:00-09:10 amRenato Vale – CEO
Scenario of the Toll Road Concession Industry 09:10-09:50 am
Dario Rais Lopes – Secretary of Transportation for the State of São PauloJosé Alexandre N. Resende – General Director of the National Agency for Land Transportation
Corporate Positioning 09:50-10:20 amRenato Vale – CEO
Coffee break 10:20-10:40 am
Agenda (cont.)
View on Current Businesses 10:40-11:10 amItalo Roppa – Management Vice-President
New Businesses 11:10-11:40 amMarcio Batista – Executive Vice-President
Financial Strategy 11:40 am-12:20 pmRicardo Froes – CFO and IR Officer
Questions and Answers 12:20-1:00 pm
Closing Lunch 1:00 pm
Scenario of the Toll Road Concession Sector
Dario Rais Lopes and José Alexandre N. Resende
Corporate Positioning
CCR SystemCCR – Strategic Holding of the Corporate System
Service Companies100% 100% 38.25%
Interest
100%100%
100% 74.24%
100%
100%
Ownership Breakdown
Andrade Gutierrez
17.4%Serveng -Civilsan17.9%
Camargo Corrêa17.9%
Brisa17.9% Novo
Mercado28,9%28.9%
Corporate Convergence
• Partners share objectives and views;
• There is not an exclusive controlling shareholder;
• Shared management;
• Board members are extremely dedicated and have profound knowledge
of the business;
• The company’s interests are above those of its controlling shareholders;
• Permanent guidance towards building capacity and improving results;
• Participative style – intense dialogue;
Transparency
• Because it is a public service concessionaire, CCR is bound to provide all relevant information to the Regulatory Agencies, which publicly disseminate it;
• Because its long term debt is funded by multilateral institutions (IFC and BID) and BNDES, in the Project Finance model, the concessionaires are constantly under auditing from these institutions
• All information will are treated with great transparency:
Financial Statements reconciled to meet US GAAP requirements;
Novo Mercado
• CCR made its IPO as a Novo Mercado company:
Respect for minority shareholders’ rights
All shares are common;
Tag Along.
Information transparency;
Responsible accountability;
Transparency towards stakeholders.
Novo Mercado (cont.)
• Direct disclosure of all relevant facts;Open Conference Calls;Publications;Providing requested information:
to Minority Shareholders;to Market Analysts;to the Press;
Periodic non-deal road shows in Brazil and abroad;Personalized visits to the main minority shareholders;Site on the internet with updated information.
Corporate Governance
• Creation of CCR Center for Corporate Governance with Fundação Dom Cabral
• Discussion of CCR Governance Case in the academic environment
Governance Components
• Board of Directors
Defines strategic guidelines and general objectives;
Follows the Company’s performance and results;
Sends issues to the Committees;
Makes decisions requested by the Executive Officers;
Proposes initiatives to Executive Officers.
Governance Components (cont.)
• Committees
Each committee has a specific scope;
They do not take executive actions;
They make a profound study of the matters within their scope;
They issue opinions for the decisions of the Board of Directors.
• Executive Officers
Manages the Company;
Proposes decisions to the Board of Directors;
Maintains the Board of Directors informed.
Social Responsibility and Policy
Social Responsibility
Environmentprotection projects
VidaBAn – “BAnLife”SorrisoBAn “BAnSmile”RodopacSaúde do Caminhoneiro -
“Truckers Health”Parto Humanizado
“Humanized Delivery”
Instituto Caminhos para Vida• “Road of Life Institute”
Estrada para a Cidadania• “Road to Citizenship”
Sou 10 no Trânsito•“ I am a “A” grade driver”
EDUCATION
ENVIRONMENT
Health
Main Highlights
• First company to be listed at Novo Mercado
• Gross Revenues (LTM) ~ R$ 2 billion
• Market value (11/16/2005): ~R$ 6.3 billion
• Roads extension: 1,452 km
• Total daily users: > 1.5 million
• Capital expenditures + conservation expenses since the beginning of the concession:
R$ 7.9 billion (base value 2005)
CCR System Business
To make possible investment solutions and services in
Roads Infrastructure, contributing for the social-economic
development
Corporate Strategy
Focus: Growth, profitability and liquidity
• To be a key player in the toll roads concession market in Latin America, extending this role to the whole continent
• To emphasize correlated businesses that brings advantages and significantly contributes for the CCR’s MVA, without compromising its focus on its core business: toll roads concessions.
• To make CCR shares known in the Brazilian and international capital markets through its solid and wide track record of growth, profitability, dividends payment and to be recognized by the quality of managing and services rendered.
Business Strategy
Focus: Quality Relationship
• To be distinguished among the main audiences by the competence of our institutional relationship.
Source: CCR
Evolução natural na estrutura organizacional e na governança
Def. inicial operaçõesDefDef. inicial . inicial operaçõesoperações
IPOe
Reorganiza-ção
IPOIPOee
ReorganizaReorganiza--çãoção
Busca sócio estratégicoBusca sócio Busca sócio estratégicoestratégico
Início das atividadesInício das Início das atividadesatividades
Sócio estratégicoSócio Sócio estratégicoestratégico
Novo Posicionamento
de Gestão
Planej.Integrado
Proj. Crescer
PDE
Proj. Ousar
Novo Posicionamento
de Gestão
Planej.Integrado
Proj. Crescer
PDE
Proj. Ousar
NewNewManagementManagement
PositioningPositioning
PDE
Evolução natural na estrutura organizacional e na governança
. inicial operações
. inicial . inicial operaçõesoperações
Reorganiza-ReorganizaReorganiza--
Busca sócio estratégicoBusca sócio Busca sócio estratégicoestratégico
Início das atividadesInício das Início das atividadesatividades
Sócio estratégicoSócio Sócio estratégicoestratégico
---
Startup
Aprimora-mento
PermanenteNovos
Desafios
• Oferta Pública
• Imp. Modelo Gestão
• Consolidação Crescer -Ousar
• Efetivar Crescimento
• Iniciar Novo Ciclo de Planejamento
19981999
20002001
20022003
2004 / 2005
19981999
20002001
20022003
2004 / 2005
19981999
20002001
20022003
2004 / 2005
2005…
2004
•New Chalenges
• to effectgrowth
• New strategicpositioning
New Public Offering and
ViaOesteAcquisition
Phase 1 Phase 2 Phase 3
CCR Historical Evolution
Seeking for strategicpartner
Strategicpartner
IPO andRe-organization
Natural evolution of corporate governance and organizational structure
integrated plan
Growth Project
“Venture”Project
StartupStartupDefinitionDefinition
New Strategic Positioning
• New CCR evolution phase imposes growth challenges towards 4 strategic paths:
value creation in the current portfolio;
value creation from new concessions in Brazil and new opportunities in existing contracts;
value creation in operations abroad
value creation from related businesses
Marketing and Communication
InstitutionalRelations
CEO
Vice-Presidente de Desenvolvimento
de Negócios
Vice-President
Business Management
New Business Officer
LegalOfficer
CFO and IRO Corporate Development
Officer
Planning and Controlling
Officer
..
Engelog
CEO
Actua
CEO
Concessionaires
CEO and Officer
Other Businesses STP
Strategic ManagementVice – President
Officer (*)
Vice-President for Business
Development (**)
(*) working as a co-manager in the business strategic management(**) Works with focus and responsibility in the development and conquering of businesses
Same officer with a double role
Renato Vale
Marcio Batista
Marcio Batista Ítalo Roppa
Business Unit
Leonardo Vianna Massami Uyeda Ricardo Froes Francisco Mendes Antonio Linhares
Corporate Positioning: Focus on Growth
• Leader in the toll road concessions industry in Latin America
• Well positioned for a consolidation in the industry
• Organizational structure is prepared for quality growth
• Resilient to economic fluctuations
• Strong cash flow generation
• Committed controlling shareholders
• Strong commitment to corporate governance standards
• Well known in the market
Current Portfolio Overview
Process SupportProcess Support
Process Leadership
Process Leadership
Process Leadership
Business Management
New Businesses
Officer
Legal
Officer
CFO and Investor
Relations Officer
Corporate Development
Officer
Planning and Controlling
Officer
New Businesses
Officer
Legal
Officer
CFO and Investor
Relations Officer
Corporate Development
Officer
Planning and Controlling
Officer
New Businesses
Officer
Legal
Officer
CFO and Investor
Relations Officer
Corporate Development
Officer
Planning and Controlling
Officer
Vice-President of Business
Development
Vice-President of Business
Development
Marketing and Communication
Institutional Relations
CEO
Vice-President Business
Management
Engelog
CEO
Actua
CEO
Other Businesses
Conquered
STP ConcessionairesCEO
Officer
Marketing and Communication
Institutional Relations
CEO
Vice-President Business
Management
Engelog
CEO
Actua
CEO
Other Businesses
Conquered
STP ConcessionairesCEO
Officer
Marketing and Communication
Institutional Relations
CEO
Vice-President Business
Management
Engelog
CEO
Actua
CEO
Other Businesses
Conquered
STP ConcessionairesCEO
Officer
CCR Organizational Structure
Concessionaires
Role in the Business:
• To integrate the many audiences involved in the business, becoming known by the clients and by all related audiences as the best option for transportation of people, assets and benefits generated.
Strategy:
• To provide security, comfort, fluidity and orientation by means of rendering standardized services to our users, as well as additional services to segments that are sufficiently wide and homogeneous,guaranteeing a favorable cost/benefit relation
CCR Concessionaires
Apucarana
Ponta Grossa
Sorocaba
Limeira
Campinas
S. José dos Campos
Buzios
Current Concessions
CCR System
Concessionaires
AutoBAn - 317 km(Apr / 2018)
NovaDutra - 402 km(Feb / 2021)
ViaOeste - 162 km(Apr / 2018)
Rodonorte - 488 km(Dec / 2021)
Ponte - 23 km(May / 2015)
Toll Revenues3Q05
40.4%
26.0%
10.8%
3.8%
Via Lagos - 60 km(Nov / 2021) 1.7%
17.3%
Current Concessions
Concessionaires – Relevant Information• Roads Extension: 1,452 km
• Toll payer vehicles volume: 743,910 vehicle equivalents/day
• Number of users assisted
Medical assistance: 108 assistances/day
Mechanical assistance: 1.150 assistances/day
• Death toll reduction: 50% (1st year x 2004)
• Accidents reductions: 10% (1st year x 2004)
• User satisfaction index (DATAFOLHA): 86% average approval
• Job generation (direct + indirect): 10,440 jobs
• Taxes paid: R$ 81.8 million / year
• Number of bordering cities: 95 cities
• Population in the bordering cities 36.4 million people
• Region GDP (SP, RJ and PR states) 50% of Brazil’s GDP
Concessionaires – Relevant Information• Safer Roads: NovaDutra – 49.7% Death Toll Reduction
-49.7%
481
239
0
100
200
300
400
500
600
1997 1998 1999 2000 2001 2002 2003 2004
Totalannual
Concessionaires – Relevant Information
• Safer Roads: AutoBAn - 56,6% Death toll decrease
5
7
9
11
13
15
17
19
21
1997 1998 1999 2000 2001 2002 2003 2004 2005
Obs.1997
DERSA+
DER
- 56.6%
19.8
8.6
Monthlyaverage
Concessionaires – Increasing value of current contracts
• Reduction of escaping routesIdentify and reduce the number of escaping routes from the toll plazas
• Increase collecting toll baseBroaden coverage areas, with more toll charging justice
• Incorporation of adjacent sectionsInclude in contract, sections/closer roads, which if isolated are not economically viable
• Maximize other revenues
Develop and broaden other revenues generation and/or related projects (e.g. weight control, advertisement spaces in domain areas)
• To promote traffic
Attract and ease the implementation of traffic generating poles in strategic position to the concessionaires
• Migration to close/mixed system
Reformulate roads to a closed/mixed toll collecting system, reducing escapes and maximizing the toll base
Concessionaires – Increasing value of current contracts
Engelog and Actua
Business Role
• ENGELOG: Add value to business, creating distinguished road engineering solutions
• ACTUA: Add value to business, by creating distinguished administrative services.
Engelog and Actua
Strategy
• ENGELOG: Guarantee that services are rendered with standardized quality and with the best cost/benefit relation for CCR companies
• ACTUA: Guarantee that services are rendered with patronized quality and with the best cost/benefit relation for CCR companies
Engelog and Actua – Growth Drivers
• Management Quality Improvement:
Results optimization
Dissemination of best practices
Concessionaires are able to focus in their own businesses
• Allows more competitiveness
• Ready for growth
ENGELOG – Operating Performance
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
AutoBan Rodonorte Ponte/Lagos
2004
2005
Contracts 2004 x 2005 – up to 30/September(R$ x 1.000 current)
12,71135,855
89,38078,622
-
216,568
12,168
85,451
37,481
95,186
172,672
402,958
AutoBan NovaDutra Rodonorte Viaoeste Ponte/Lagos Total
ENGELOG – Hired Companies
1,347
1,114
284
661 599
0
200
400
600
800
1,000
1,200
1,400
AutoBAn NovaDutra Ponte/Lagos Rodonorte Via Oeste
Summary – Current Businesses Overview
• Current Porfolio
Great investments made
Track record of good results
Rigorously following all contractual obligations
High user satisfaction levels
Recognition from different audiences
• Potential contract growth
• Potential increase in operation regions
• Growth opportunities in related business (e.g. Advertisement)
New Businesses
ProcessSupport
Process Leadership
Communicationand
Marketing
InstitutionalRelations
Business DevelopmentVice-President
New Businesses
Officer
President
Legal OfficerCFO andInvestor
Relations Officer
Business Development
Officer
Control andPlanningOfficer
Development andBusiness Growth
Engelog
CEO
Actua
CEO
Concessionaires
CEO - Officer
Other New
Businesses
STP
Operations Vice-President
CCR SystemOrganizationalStructure
Strategic Position
BRASIL – Road Concession
• Main Market
Maintain the leadership in road concessions
Maintain high user satisfaction levels
Maintain the recognition from the several audiences of the benefits generated
• Strategic Attitude
Focus and pro-activity in the development of qualified contracts
BRASIL – Road Concession• Main Opportunities
Federal – 2nd Phase – approx. 3,059 Km
Federal. – 3rd Phase – approx. 4,747 Km
State of São Paulo– 2nd Phase (partial) – 495 km
Porto Alegre Metropolitan Pole – 202 km
Secondary Market
• Expansion of the Road Concession Market in BrazilUrban Concessions:- Large Metropolis
São Paulo’s Rodoanel
Other State Programs
PPP’s
Strategic Position
CCR System
CCR Concessionaires – and Federal Program
CCR’s Current Concessions
2nd Phase - Federal
3rd Phase - Federal
Porto Alegre’s PoleSource: DNER / ARTESP
Total 8,008
Programs Extension (km)
2nd phase - Federal 3,0593rd phase - Federal 4,747Porto Alegre’s Pole 202
CCR Concessionaires, 2nd phase program
Sorocaba
Limeira
Campinas
S. José dos Campos
Source: Transportation Secretary / SP
Total 494.9
Sections Programs ExtensionSP (km)
Section 01 Dom Pedro I 262.7 Section 02 A. Senna / C. Pinto 127.5Section 03 Tamoios e Contornos 104.7
Strategic Position
BRASIL – Related Businesses
• Complementary Market
Expand current expertise in highly attractive correlated business which complement CCR’s portfolio
Be one of the major players in the market of related businesses
Strategic Attitude
Act as promoter of businesses by developing strategic partnerships
• Main Opportunities
ITV – Technical Vehicle Inspection
TAG Additional Uses
Strategic Position
LATIN AMERICA
• Focus (short-term)
Establish strong presence in Chilean and Mexican markets
• Strategic Attitude
Focus and pro-activity in the development of opportunities in primary and secondary markets
Strategic Position
LATIN AMERICA• Main Opportunities
Chile:
Country with the greatest economic stability in Latin America
Regulatory milestone and favorable government position - sharingrisks and results
EBITDA margins among 60% and 70% in road concessions
Urban integrated concessions with 100% automatic toll collection.
Traffic Law makes possible to implement the automatic tollcollection
Chile (cont)
Average GDP growth in the last 14 years = 6%, outlook for 5% growth for the next 5 years;
Cargo transportation: 83% per road
Fleet growth (+/- 80% of GDP in the last 15 years).
Inflation under control, with average interest rate of 5% per year
One of the 4 investment grade countries in the Americas
Risk sharing / results
Minimum revenue garanteed
Superior revenue
Variable term, preserving revenue’s NPV
Strategic Position
LATIN AMERICA• Main Opportunities
Mexico:
Potencial to increase private concession penetration beyond thecurrent 10%
PPS
Reprivatization of the concessions operated by public companieswould represent annual revenues of US$2 billion
One of the 4 investment grade countries in the Americas
Strategic Position
Original Program’s Major Problems
Source: SCT, WorldBank, Tem analysis
Bidding Process
•
•
•
•
Consequences
AmbienteinstitucionalInstitutional Environment
•
•
•
CriseeconômicaEconomic Crisis
••
•
•
•
••
••
The original model had a series oftechnicalandmanagementproblemsworsened bythe economicand politicalscenario of themid-90’s
•Shorter concession periodas a selection criterion
•Little technical rigor in the definition of theexecutive project andlicense obtainment
Limited technical andadministrative experienceof the agencies responsiblefor the programPublic agencies withdefficient personnelstructureLow liquidity in the capital market
Inflationary pressureSharp increase of the basicinterest rate to controlinflationStrong economicrecession
Main Points
High user rates, leading to the useof the toll-free via
Very optmistic traffic estimatesof the grantorConstruction cost higher than theestimatesDelay in the acquisition of the road’s rights and environmental licensescompromise the beginning ofoperationsThe control mechanisms necessary to guarantee the develoment of 50 projects in the short-term were neverappropriately implemented
Use of short-term financing subject toeconomic fluctuations
Debt servicing becomes unfeasibleOperating costs beyond what wasplannedDisproportionate rate increaseTraffic much lower than expected
New Concessions ProgramMain Points
ProjetoProject••
DuraçãoTerm•
––
Critérios de licitaçãoBidding criteria
•–––
TarifasRates•
•
Resoluçãode conflitosConflict Solving
•
Financia-mentoFinancing
Proposals lowerthan 15% of thebase budgets
Source: SCT, CCR checklistand team analysis
SCT develops and provides a complete projectThe project is revised before the bidding and mayincorporate the participants’ comments and suggestions
SCT establishes an average maximum rate, which will beupdated according to the inflationConcessionaires may distribute rates the best possible wayamong classes, as long as the average is not higher than themaximum limit establish
Criteria to define the winner in the following orderLower demand for public fundsLower construction costsHigher risk capital inflow
Up to the maximum limit allowed by law:Greenfield Projects – maximum of 30 yearsBrownfield Projects – maximum of 20 years
Technical/ economic issues are solved by a committee ofExperts approved by both parties, in case there is no agreement, the parties may appeal to arbitration
• Since the beginning, projects receive finacing from the federal government, bank credit and risk capital
– Minimum risk inflow of 25% of the total investment
The new concessionprogram wentthrough deepchanges tocorrect themistakes made
NORTH AMERICA• Focus (medium term)
Analyze the potential and attractiveness of USA and Canadian markets
• Strategic AttitudeDevelopment of opportunities in primary and secondary markets
Strategic Position
NORTH AMERICA • Recent Examples
USA:Extensive road network and beginning of a trend towards private concessions, for example:
Trans Texas Highway may represent an investment of more thanUS$ 130 billion in a 30-year period
Chicago Skyway – privatization of the existing highway – winningoffer US$ 1.8 billion
Canada:Government trend towards expanding PPP projects, benefitting thepublic tender of road concessions
ETR-407
Strategic Position
Summary – New Businesses
• Focus on markets with high qualified growth potential:
Brazil:
Toll Roads Concessions
Related Businesses
Chile and Mexico;
Analisys of US and Canadian markets
• Technical, commercial and financial qualification;
Financial Strategy
Long Term Financial Policy
Goals:
• maximize cash flows to shareholders (NPV dividends);
• Maximize average cost of capital (optimal capital structure);
• guarantee comfortable debt coverage ratios and credit quality
Long Term Financial Policy
Main guidelines:
• To finance growth, at first, by means of issuing new debt (Net Debt/EBITDA = 2.5X);
• Re-leveraging of current concessions up to the maximum adequate level
• Acquisitions made outside Brazil are preferably financed through the local markets (possibility to work in a higher leverage level);
• Dividends policy: minimum payout of 50%
• Hedge policy (up to 1 year protection)
New Projects financing
• Modality: Project Finance;
• Structure: 60% debt• 20% cash flow generation• 20% capital increase
• Access to new long term credit lines;
• Preferably in R$
• Correlation between costs and revenues
Past, Present and Future
Historical consistency in delivering results and cost optimization…
… as well as a lower leverage ratio
Before Reorganization Before Operating and Financial Reorganization
EBITDA (R$mm)
2.42.7
3.2
2.82.5
2.32.1
1.91.7
1.1 1.00.8
1.41.2 1.2
108 107
130 128 122 119
161170 174
151
216 218 224
259
310
1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 1Q05 2Q05 3Q05
46%46%
49% 47% 48% 47%
53%51% 52%
44%
55% 55% 54%
55%
59.71%
192% EBITDA Growth
Net Debt / EBITDA
Interest Coverage 4.7 7.7 8.6
Consolidated debt as of September 30 R$ 1,467.4 million:
(in R$ MM) 12/31/01 12/31/02 12/31/03 12/31/04 09/30/05
Short Term 251.7 323.4 304.8% Total 17.9% 21.4% 24.9% 20.1%Long Term 1,153.7 1,185.1 919.6 907.8% Total 82.1% 78.6% 75.1% 79.9%
Total Debt 1,405.5 1,508.5 1,224.5 1,135.8
In Reais 822.4 730.8 720.4 834.6% Total 58.5% 48.4% 58.8% 73.5%In Foreign Currency 583.0 777.7 504.1 301.2% Total 41.5% 51.6% 41.2% 26.5%
Besides small, its mostly a long term debt
269.818.4%1,197.681.6%
1,467.5
1,181.880.5%285.619.5%
228.0
Debt repayment schedule
R$
(mill
ion)
*Last quarter of 2005
61
242
406
282246
161
67
050
100150200250300350400450
2005* 2006 2007 2008 2009 2010 After2010
R$
(milh
ões)
Debt
Gross Debt Net Debt
R$
(mill
ion)
R$
(mill
ion)
81%
59% 59%48%
73%
0200400600800
1,0001,2001,4001,600
2001 2002 2003 2004 9M05
Short Term Long Term In R$
1,405 1,5081,224 1,136
1,4671,338 1,322
1,127
623
1,213.6
1.200.82
1.97
2.803.03
0200400600800
1,0001,2001,4001,600
2001 2002 2003 2004 9M05
Net Consolidated DebtNet Consolidated Debt / EBITDA-LTM
Source of Funding
(IGP-M + 9.5% - 11%)
BID e IFC (Libor + 4.5%)
Debentures
BNDES (TJLP + 5.0%)
Debentures(105% CDI)
Other(102.8% CDI)
19%
22%36%
10%
13%
Net Income Evolution
A Consequence of efficient management
... a historical of growing results
2002
44%
32%
(120)
183263
348
(200)
(100)
0
100
200
300
400
2002 2003 2004 9M05
Initial Analysis
Investment Analysis - General Overview
BoardDecision
PreliminaryAnalysis
0
Initial analysis and elimination of non-attractive projects
Context and
parameters evaluation
1
Understanding of the project context and studies to define the important variables are carried out
Scenario Definition
2
Construction of alternate scenarios, using probability
Funding analysis
3
Project Finance probability analysis
Hurdle rate
definition
4
Cost of capital estimate, including shareholder’s spread and definition of the strategic alignment
Análisedo
impactodo projetona CCR
6
Financial impact study or inclusion of the project in CCR portfolio
Competiveness
analysis
7
Analysis of the Competitiveness environment and recommendation for improving competitiveness
Decision is approved, revised or rejected
Final Recomendation
8
Management proposal, related to commercial conditions are taken to Board’s decision
BoardDecision
0Project
Financial and
Economics Analysis
5
Calculation and interpretation of the project indicators, are separated considered
Analysis of the
impact of the new project in
CCR
6
Competitive
analysis
7
Final recommen
dation
8
Shareholders’Spread
Hurdlerate
Project orshareholders’ TIR
Adjustment can be positive or negative, but never higher than WACC
Portfolioadjustmets
WeightedCost ofCapital (WACC/ Ke)
TIRSpread
Requirement level can vary according to the risk of each project
• Autostrade
EV/EBITDA*
* Analysts estimates median: Base date: 10/19/2005Source: Analyst research, team analysis
9.9
10.2
14.3
14.3• Abertis
10.9
10.8• ASF
13.5
13.8• Brisa
7.2
6.1• CCR
Despite the strong performance CCR is traded with lower multiples, when compared to European companies
• 2005E• 2006E
Concluding
Focus:
Keep on creating value to shareholders
Keeping:• Tax discipline
• Conservative profile
• Dividend policy
Thank You!