Abertis Group Annual Report

976 views
896 views

Published on

Published in: Economy & Finance, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
976
On SlideShare
0
From Embeds
0
Number of Embeds
3
Actions
Shares
0
Downloads
5
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Abertis Group Annual Report

  1. 1. annual report 10
  2. 2. ontents contents contents co Letter from the Chairman Interview with the CEO Corporate administration and administrative bodies 1.1 Corporate administration 1.2 Administrative bodies abertis group business activities 2.1 Toll roads 2.2 Telecommunications Infrastructures 2.3 Airports 2.4 Car Parks 2.5 Logistics Parks Corporate social responsibility 3.1 abertis’s Strategic Plan 3.2 Indicators 2010 Economic and financial information 4.1 Consolidated figures 4.2 Financial management 4.3 Shareholders and the stock market
  3. 3. 4 AR CSR AA REvEnuE by OpERatIOns sECtOR Car parks Logistics services 4% 1% Airports 7% Toll roads Telecommunications 75% 13% 2010 REvEnuE by gEOgRaphIC aREa Chile Rest of the world 5% 6% United Kingdom 4% Spain France 50% 35% 2010 abertis has consolidated its position as one of the world leaders in the private management of public infrastructures and operates in a total of 17 countries.
  4. 4. 5 AR CSR AA Direct stake toll road Telecommunications Airports sector concession revenue infrastructures revenue operating revenue Car parks sector revenue Logistics parks sector revenue 3,078millions of euros 552 millions of euros 277 millions of euros 154 millions of euros 35 millions of euros saba remains one of the leading abertis logística is the business 2010 has seen the consolidation of abertis telecom has celebrated In the course of 2010, abertis operators in the sector in Spain unit of abertis which focuses abertis autopistas’ management its tenth anniversary in 2010 by airports has consolidated its and in the rest of the world, on the promotion, design, model and a recovery in its traffic. establishing itself as the leader position as one of the benchmark managing a total of 128,149 development, management This has been mainly due to its in terrestrial telecommunications operators in the airport spaces in 195 car parks in Spain, and use of logistics parks in successful internationalization infrastructures and services in infrastructures sector in the world Italy, Chile, Portugal, France and Spain, Portugal and Chile. It has process that has enabled it to Spain with the largest network with operations at 29 airports in Andorra. consolidated its position in Spain consolidate its position in France for broadcasting and distributing Europe, the US and Latin America and has excellent prospects and South America, where the audiovisual signals. It is the and overall annual traffic coming to abroad. economy is stronger than in other internationally recognized satellite 58 million passengers. countries. broadcasting operator through its key holdings in operators Eutelsat and hispasat.
  5. 5. 6 AR CSR AA Letter from salvador alemany, Chairman “Each one of the Group’s businesses has a development project with a distinctive future and profile” Dear Shareholders: of the consolidation of our operations after our period of major growth between 2004 and 2009. One of the main aspects of 2010 for abertis has been the consistency and strength of some fundamental factors that have enabled the As for the performance of our stock, which is down 10% compared Group to continue growing. This is the case even after three years of to 2009, this was markedly less negative than that of the IBEX 35 as a crisis that has hit the amount of traffic on our toll roads in Spain a whole which fell by 17.4%. Furthermore, other groups operating especially hard, and although this growth may be taking place at a in our sector experienced losses of between 16% and 28%. On more moderate rate, it is growth all the same in our key figures. more than one occasion I have argued that stock is governed and moved by the markets. Our responsibility lies in our commitment to Geographical diversification (50% of our revenue is generated a policy of remuneration for our shareholders based on the familiar outside Spain), the growing visibility of businesses such as combination of dividends and bonus shares. The strength, recurrence telecommunications and the remarkable and positive growth in and robustness of flows from our businesses are the best guarantee traffic on our toll roads in France and Latin America are crucial in for the sustainability of this policy and the future expectations of understanding the key factors in our group’s progress. our stock. 2010 has been a year in which we have also operated from a solid Our Group has adapted to the economic situation. We were able basis founded on the recurrence of our economic indicators: revenue, to get the most out of opportunities for growth at times of high operating income, cash flow and net income. These have not been liquidity and we committed to consolidation, greater efficiency and results influenced by changes in the scope of consolidation as these exigency in managing costs and our debt structure and also to the Salvador Alemany, have not been very significant. Instead they are the outcome of the potential of our businesses for organic growth when liquidity was Chairman dynamics of our various businesses. It is a profile that is the product squeezed and market opportunities dwindled.
  6. 6. 7 AR CSR AA The Duplo project involves the reorganization of our five businesses around two companies, Abertis Infraestructuras and Saba Infraestructuras. These two companies have the relative size and organization that is appropriate to the scale of these businesses and their stages of maturation. On several occasions I have talked about what abertis’s business ning to enhance the talent of their people, that have set up domestic Abertis Infraestructuras’ greater focus on three areas of business project consists of. It is a project that trusts in the strength of its markets which have drive and dynamism and that will gradually de- should mean that it is able to identify and capitalize on any growth arguments to be able to work with government and its customers, velop regulatory frameworks and an environment of legal certainty opportunities that may come up. and also in the skills and abilities of its teams to identify, and in which will also provide the conditions for our investment. They are some cases help to realize, the opportunities that drive and provide markets and countries which are asserting their role in the global The goal that motivates us is that all our stakeholders –employees, a future to our businesses. economy and which are convinced that their time has come. shareholders, management team, governments and administrations, the customers we serve– should continue to see in each one of the This expertise and know-how that are so instantly recognizable in We need to get ready to seize the opportunities that come up under Group’s businesses a development project with a distinctive future the Group’s businesses have been crucial when it comes to attracting the most favourable conditions both in our traditional markets and and profile, with a definite vision of the role they want to play in their the interest of new partners, such as CVC, which have decided to sign also in these new markets. We need to think ahead to expedite the respective areas. Players who are loyal, responsible and committed up for and actively take part in the future of abertis’s project. This conditions that drive the development and harnessing of the growth to quality-driven management, efficiency in resource utilization, means that the Group can benefit from the experience, vision and potential of our businesses over the medium and long term. partnerships with communities and regions and to achieving results knowledge of global markets that our new partners contribute. With that continue to give good reason for the confidence of shareholders them, with our historical shareholders, with our small shareholders The Duplo project is designed to achieve this goal. Its study phase and investors. and with the team of people working in day-to-day operations in began last February, geared towards the reorganization of our five our businesses, we can develop and grow. businesses around two companies: Abertis Infraestructuras with the This is our world, one that is marked by the global markets in which we toll roads, airports and telecommunications business units, and Saba operate, mindful of the necessary sustainable relationship between For infrastructure managers the opportunities are, and will remain Infraestructuras with the car parks and logistics parks ones. These infrastructures and their physical environment, and partnering over the coming years, significant in both number and in size, and two companies have the relative size and organization appropriate government in implementing cost-benefit analysis criteria that help probably more so than they have been so far in this first decade to the scale of these businesses and their various stages of to construct objective decision-making models concerning which of the 21st century. And here it is possible to make out, alongside maturation, with in the case of Saba Infraestructuras a shareholding infrastructures should be given priority, how they should be financed Europe and the United States, an increasing role for the emerging structure in which current abertis shareholders can join with new and how they should be managed, without losing sight of the return countries. These are countries that believe in their possibilities, that institutional investors that accompany growth which is intrinsic they need to yield in terms of economics, productivity and social have growing access to financial and natural resources, that are lear- to the concessional nature of our businesses. At the same time, utility.
  7. 7. 8 AR CSR AA Interview with Francisco Reynés, CEO “abertis continues to grow” Q. 2010 has been your first year as CEO of the group. how Q. Which factors stand out as most relevant in the progress would you assess it? of the businesses? A. A striking fact is that in 2010 after three years of crisis, A. Firstly there is the positive performance of traffic on toll one of the biggest crises in fact of the last 60 or 70 years, roads outside Spain; +1.3% in France and +5.5% in the rest abertis has once more continued growing. Aside from the of the international business. This has confirmed uncertainty circumstantial situation of one or another of our businesses or about when the turnaround will come in Spain and also that its the countries in which we operate, our Group’s consolidated recovery is expected to be slow, yet at the same time it has also figures have experienced sustained, albeit moderate, growth provided a contrast with the offsetting factor of the contribution in terms of revenue, up 5.2% to almost 4,106 million euros, made by countries such as France and Chile, in which recovery gross operating margin, up 5.9% to 2,494 million euros, and net looks robust and can largely make up for the negative figures still income which is also up by 6.1% to close at 662 million euros. coming out of Spain with a 4% fall in traffic. Then of course there is our geographical diversification –up There is also the growing visibility of businesses such as abertis to 50% of our revenues are generated outside Spain– and the telecom. In this case the completion of the rollout of DTT in growing contribution of businesses such as telecommunications Spain, the diversification of its range of signal broadcasting which are crucial to the interpretation of the Group’s develop- services which reduces dependence on the traditional radio and ment. TV business and the growing contribution of satellite operations by hispasat and Eutelsat reveal a business that has matured I think achieving these figures in this economic situation and is contributing to the good performance of the Group in demonstrates the consolidation of our Group’s progress and the current economic context. In fact, abertis telecom has that of each of its businesses over recent years. The result we successfully managed to absorb the impact of the “analogue have achieved in 2010 is a direct result of the work done over switch-off”, which brought to an end a period of several years in these recent years of transformation and strong growth. which the changeover from one type of technology to the other
  8. 8. 9 AR CSR AA and their chronological overlap drove revenue in this business The Group’s borrowing structure also reflects the resilience of area, with new business growth coming to 2%. our figures. Average life stands at 6.6 years and 84% is linked to fixed rates. Also worth mentioning is the evolution of the net In the case of airports, the most significant thing in a The result achieved in 2010 debt/EBITDA ratio which was at a multiple of 5.9 compared to context in which a recovery in passenger numbers at tbi 6.2 at the end of 2009. airports, especially in the UK, did not materialize, was the is a direct result of the work improvement in revenue per passenger as a result of the done over these recent years These factors were decisive in the confirmation of the Group’s various measures taken by the abertis airports team. rating as having a “stable” outlook. Revenue in this business unit grew by 5.5% compared to of transformation and strong 2009. growth Q. you mentioned stability in the scope of consolidation; how have the group’s investments developed in 2010? As for the car park business, stability was the key factor in 2010 in relation to activity indicators for 2009. 56.3 million vehicles used A. The Group’s scope of consolidation did not change our car parks over the course of the year, the same as in 2009, while substantially in 2010. In fact our investment volume, which at revenue rose by 2.8%. The reality of growth ranging between 1% and 5% has also led 757 million euros over the twelve months is significant, reflects to an additional requirement to contain operating costs which firstly a major reduction in growth processes resulting from the Turning to operations in logistics parks, they faithfully reflected on a like-for-like basis fell by 0.2% over 2009. This, together with consolidation strategy pursued in recent years and secondly the poor economic conditions inasmuch as average occupancy financial costs which contrary to market trends even fell slightly Group’s essentially recurring investment efforts in the assets rates for our parks fell by 9.4 points compared to 2009 to to 4.5% from 4.6%, was instrumental in the Group’s growth. that make up its portfolio. Because of its size and recurrence, the stand at 65.6%. However, it should be noted that gross floor Another fact which also demonstrates the Group’s strength is indicator for the Group’s investments is one of the data that best area increased by 4.5%. Here a major development was the the recurrence of cash flows, which at 1,616 million euros was reflect the scale achieved by abertis over recent years and the commissioning of our logistics park in Santiago de Chile, which the figure that grew most at 7.6% compared to 2009. significant quantity of resources committed to maintaining and in line with the strong growth in the country’s economy kicked improving the quality and functionality of the infrastructures we off with occupancy levels of 100%. manage.
  9. 9. 10 AR CSR AA Interview with Francisco Reynés, CEO From the investment standpoint another highlight in 2010 has selectivity in the assets in which we invest. Here, and together improving our margins which mainly depends on ourselves and been the final agreement with the French government for an with other projects, we are following with great attention the not so much on outside circumstances. extraordinary investment of 250 million euros over three years process of redefining the airport management model in Spain in exchange for the extension by one year, up to 2029, of sanef’s which may well open the door to the award of the management Another aspect that the management team is continuing to keep toll road concession. This plan, dubbed the “Paquet Vert” because of some of the country’s main airports. an eye on is the containment of operating costs and investment it involves investments geared towards reducing environmental in expansion in all the sectors and countries in which we operate. impact, is an example of the ability to call on major short-term As for organic activity, and save for the uncertainties which I This is a basic factor in the current environment of uncertainty private investment flows in infrastructure networks with return have already mentioned, we anticipate that traffic will stabilize in which is also marked by the increasing cost of borrowing. mechanisms, in this case the extension of the concession, which Spain while it will continue to grow in France and South America. do not strain the public purse. Passenger traffic at airports should pick up as well. We are also Q. What does the group hope to achieve with the optimistic about the development of abertis telecom after the restructuring of its current businesses around two Q. What can you tell us about the forecast for 2011? completion of the rollout I mentioned before of DTT in 2010. To companies? all this you can add a greater focus on cost control as a factor in A. I think that the outlook is good on the whole. However, we do A. The target is growth. After three years of economic crisis, in need to follow closely, and respond to the best of our ability, the which we consolidated the phase of strong expansion that we evolution of external factors such as the geopolitical crisis in North implemented between 2004 and 2008, we now need to get ready Africa and its impact on oil prices, inflation and interest rates. All of for a new stage. Incorporating assets that improve the average these factors are likely to affect how we come out of the crisis and At 1,616 million euros, life of our concessions is a strategic imperative for creating value also in tandem the forecasts we have been working with, especially in the medium and long term, and this is the goal we have set. in terms of the change in traffic on our toll roads. cash flow was the figure We are going to fashion the conditions required for each of our that grew most at 7.6% existing businesses to be able to access resources in a context in We are working to maintain the strong cash flow generation of which any growth project calls for greater capitalization and less our businesses. As was the case with Atlantia last January, we compared to 2009 recourse to borrowing. are examining divestiture alternatives for some of our holdings as a way of financing the Group’s new expansion opportunities, We believe that the structuring of the businesses around and always based on the requirement for expected returns and two companies operating independently will provide each
  10. 10. 11 AR CSR AA one of them with a focus and specialization in terms of their of two companies that operate independently with their own priority areas; toll roads, telecommunications and airports in management teams and different shareholding structures, even the case of abertis, and car parks and logistics parks in the Incorporating assets that though some of the shareholders will be the same across the case of Saba Infraestructuras. This is like saying that it will two companies. It should be borne in mind that a significant give them greater growth potential as there will be a greater improve the average life of portion of our shareholders are with us for the long haul and correlation between the projects to be implemented and our concessions is a strategic have accompanied the Group’s growth over recent years. They the resources available. One of the merits of the proposed will thus get the chance to actively take part in the new stage plan is the opportunity afforded to abertis’s shareholders to imperative for creating value by accompanying the future development of abertis and Saba remain linked to all the Group’s existing businesses as they in the medium and long term Infraestructuras. will have the chance to join the shareholders of the new Saba infraestructuras. That way they become shareholders
  11. 11. nance governance governanc Letter from the Chairman Interview with the CEO Corporate governance and management bodies 1.1 Corporate administration 1.2 Administrative bodies abertis group business activities 2.1 Toll roads 2.2 Telecommunications Infrastructures 2.3 Airports 2.4 Car Parks 2.5 Logistics Parks Corporate social responsibility 3.1 abertis’s Strategic Plan 3.2 Indicators 2010 Economic and financial information 4.1 Consolidated figures 4.2 Financial management 4.3 Shareholders and the stock market
  12. 12. 14 AR CSR AA 1.1 Corporate administration Operations based on transparency and rigour abertis operates through a solid and organized governance In this respect, abertis not only ensures strict compliance with structure which consists of the Board of Directors and its various rules and recommendations in this area but also seeks to make committees (Executive, Audit and Control, and Appointment and sure that the fundamental concepts which guide its practice are Remuneration) and has made transparency and rigour into the built into the corporate culture of the entire organisation. Hence cornerstone of its actions. over the course of 2010, the company has continued to foster the implementation of corporate governance best practice, which is This means its management bodies are fully aligned with the already consolidated in the listed company, in its subsidiaries. corporate governance best practice contained in the Unified Code of Corporate Governance, which has been buttressed by abertis’s internal regulations, contained in its Bylaws, the commercial law and in particular by the regulations about the Regulations of the Annual General Meeting and the Regulations securities market and company law. In this latter case, there of the Board of Directors, lay down rules of conduct for members has been enhanced use of the provisions contained in Royal of the Board and ensures that decision-making pursues the Legislative Decree 1/2010, of 2 July, which enacts the amended corporate interest of the company, enables shareholders to text of the Capital Companies Act. exercise their rights and also provides the capacity to continue delivering value.
  13. 13. 15 AR CSR AA
  14. 14. 16 AR CSR AA 1.2 Administrative bodies board of Directors (as of 31 December 2010) salvador alemany Mas Chairman Florentino pérez Rodríguez Isidro Fainé Casas 1st Deputy Chairman 2nd Deputy Chairman g3t, s.L., represented by théâtre Directorship services alpha, s.à.r.l., repre- Carmen godia bull sented by Javier de Jaime guijarro 3rd Deputy Chairman 4th Deputy Chairman Marcelino armenter vidal Francisco Reynés Massanet Chief Executive Officer Ricardo Fornesa Ribó Ángel garcía altozano l Executive Committee l audit and Control Committee pablo vallbona vadell Emilio garcía gallego l appointment and Remuneration Committee * Appointed Vice-secretary, non-board member on 8 June 2010 to replace Juan A. Margenat Padrós. He is also théâtre Directorship services gama, Ernesto Mata López Secretary, non-board member, of the Appointment and s.à.r.l., represented by José antonio Remuneration Committee (see next page). torre de silva López de Letona Enric Mata tarragó In the course of 2010 Théâtre Directorship Services Alpha, S.à.r.l., Théâtre Directorship théâtre Directorship services beta, s.à.r.l., Services Beta, S.à.r.l. and Théâtre Directorship represented by santiago Ramírez Larrauri Miguel Ángel gutiérrez Méndez Services Gama, S.à.r.l. have joined the Board, and Comunidades Gestionadas, S.A., Javier Leopoldo Rodés Castañé Echenique Landiribar, Braulio Medel Cámara Ramón pascual Fontana and Julio Sacristán Fidalgo have left it. Manuel Raventós negra Josep Maria Coronas guinart Miquel Roca Junyent Vice-secretary, non-board member* Secretary, non-board member
  15. 15. 17 AR CSR AA Executive Committee Delegated monitoring bodies Executive Committee Salvador Alemany Mas (Chairman) Isidro Fainé Casas Florentino Pérez Rodríguez G3T, S.L., represented by Carmen Godia Bull Théâtre Directorship Services Alpha, S.à.r.l., represented by Javier de Jaime Guijarro Marcelino Armenter Vidal Francisco Reynés Massanet Théâtre Directorship Services Gama, S.à.r.l., represented by José Antonio Torre de Silva López de Letona Miquel Roca Junyent (Secretary, non-board member) From left to right: Carmen Godia Bull, Florentino Pérez Rodríguez, Isidro Fainé Casas, Salvador Alemany Mas, Francisco Reynés Massanet, Javier de Jaime Josep Maria Coronas Guinart (Vice-secretary, non-board Guijarro, Miquel Roca Junyent, José Antonio Torre de Silva López de Letona, Josep Maria Coronas Guinart, Marcelino Armenter Vidal. member)* * Appointed Vice-secretary, non-board member on 8 June 2010 to replace Juan A. Margenat Padrós. appointment and Remuneration Committee Manuel Raventós Negra (Chairman) In the course of 2010, Théâtre Directorship Services Alpha, S.à.r.l., Ricardo Fornesa Ribó and Théâtre Directorship Services Gama, S.à.r.l. have joined the Théâtre Directorship Services Alpha, S.à.r.l., represented by Javier committee to replace Ángel García Altozano and Pablo Vallbona de Jaime Guijarro Vadell. Ángel García Altozano Miguel Ángel Gutiérrez Méndez audit and Control Committee Josep Maria Coronas Guinart (Secretary, non-board member)* Ernesto Mata López (Chairman) * Appointed Vice-secretary, non-board member on 8 June 2010 to replace Juan A. Marcelino Armenter Vidal Margenat Padrós. Emilio García Gallego Marta Casas Caba (Secretary, non-board member) In the course of 2010, Ricardo Fornesa Ribó and Théâtre Directorship Services Alpha, S.à.r.l., have joined the committee.
  16. 16. 18 AR CSR AAsenior Management (as of 31 December 2010) Chairman Chief Executive Officer Salvador Alemany Mas Francisco Reynés MassanetChairman’s Office staff Corporate secretariat Corporate Management Director of Studies and Director of Institutional Company Secretary Director of Corporate Director of Corporate Director of Strategy and Director of Corporate Director of Personnel Communication Relations Josep M. Coronas Legal Services Security Corporate Development Control and Management and Organisation Antoni Brunet Mauri Sergi Loughney Castells Marta Casas Caba Luis Jiménez arrébola David Díaz Almazán Jordi Lagares Puig Joan Rafel HerreroFinance Management Managing Director of Director of Corporate Director of Investor Relations Director of Corporate Director of Director of Purchasing Finance and Corporate Finance Steven Fernández Fernández Fiscal Planning Information Systems and General Services Resources José Luis Viejo Belón Josep Maria García Martín José Carlos Moreno Montero José María Gómez Hospital José Aljaro Navarrobusiness and Operations Management Managing Director of Managing Director of Managing Director Managing Director of toll Managing Director Managing Director of Managing Director of General Director of Managing Director of Business and abertis autopistas of sanef roads North America and of toll roads South abertis telecom abertis airports saba abertis logística Operations Josep Lluis François Gauthey International America Tobías Martínez Gimeno Carlos del Río Carcaño Jordi Díez Díez Joan Font Alegret Josep Martínez Vila Giménez Sevilla Jordi Graells Ferrández Gonzalo Ferre Moltó
  17. 17. activities activities activities Letter from the Chairman Interview with the CEO Corporate governance and management bodies 1.1 Corporate administration 1.2 Administrative bodies abertis group business activities 2.1 Toll roads 2.2 Telecommunications Infrastructures 2.3 Airports 2.4 Car Parks 2.5 Logistics Parks Corporate social responsibility 3.1 abertis’s Strategic Plan 3.2 Indicators 2010 Economic and financial information 4.1 Consolidated figures 4.2 Financial management 4.3 Shareholders and the stock market
  18. 18. 20 AR CSR AA abertis has consolidated its position as a world leader in the private management of public in- frastructures and in 2010 it has had a presence in a total of 17 countries through five business areas: United Kingdom Toll roads Ireland Sweden Telecommunications infrastructures Airports United States Andorra France Car parks Spain Logistics parks Puerto Rico Italy Mexico Portugal Jamaica Colombia South Africa Bolivia Chile Argentina
  19. 19. 21 AR CSR AA shaRE OF OpERatIng REvEnuEs by sECtOR anD gEOgRaphIC aREa Car parks Logistics services Car parks Logistics services Chile Rest of the world Chile Rest of the world 4% 1% 4% 1% 5% 6% 3% 6% Airports Airports 7% 7% United Kingdom United Kingdom 4% 4% Toll roads Toll roads Spain SpainTelecommunications 75% Telecommunications 74% France France 52% 50% 13% 14% 35% 35% 2010 2009 2010 2009 avERagE WORKFORCE by sECtOR anD gEOgRaphIC aREa Car parks Corporation Car parks Corporation 3% 3% Rest of the world Rest of the world 9% 9% 20% 20% Airports Airports 16% Toll roads 17% Toll roads Spain Spain 59% 59% 42% 41% Chile Chile 6% 7% 2010 2009 2010 2009 United Kingdom United Kingdom 7% 7% Telecommunications Telecommunications France France 13% 12% 25% 25%
  20. 20. 22 AR CSR AA 2.1 Toll roads 2010 has seen the consolidation of abertis autopistas’ management model and a recovery in its traffic. This has been mainly due to an internationalization process that has buttressed its position in France and South America, where the economy is stronger than in other countries. Recovery in traffic through internationalization abertis’s toll road business – the Group’s main activity in terms in 2011 there will be a third lane right up to the French border of turnover and profit/loss– has maintained its key figures over at La Jonquera. the course of the year in an environment that continues to be marked by the decline in economic activity in some of its key Also underway are improvement and widening work on the AP-6 businesses. Traffic, which had been hard hit over the previous toll road, a basic communications corridor between Madrid and months, has slowed its decline over the last few months of the northwest Spain, which will entail the construction of a third year to close 2010 virtually the same as in the previous year. lane in each direction in the San Rafael – Villacastín section. Against this backdrop, this year abertis autopistas has As part of its commitment to improving customer service consolidated its business model and improved its infrastructure and offering the latest in technology, abertis autopistas has with the aim of providing greater service capacity and quality to announced several initiatives that make it into a pioneer in its network. delivering customized solutions. They include the installation of interactive information points and setting up service areas As a result, work has continued on the project to add a third addressed to heavy goods vehicles. lane to the AP-7 toll road, the main corridor along the Iberian Peninsula coastline. A new section has been opened in Girona in In 2010, abertis autopistas has continued to demonstrate its 2010 and work has begun on the final part which will mean that environmental awareness after the agreement reached with the
  21. 21. 23 AR CSR AA DIRECt OR shaRED ManagEMEnt COnCEssIOnaIRE COMpanIEs spain France Rest of the world French Government to invest 250 million euros in environmental improvements to infrastructure as part of the “Paquet Vert” in acesa/invicat sanef elqui exchange for extending the term of sapn and sanef concessions aumar sapn rutas del pacífico for another year up to 2029. iberpistas sanef aquitaine1 apr castellana sea14 1 gco abertis has continued to consolidate its leadership in the world aucat Autopista Central road infrastructure management market. It directly operates aulesa gesa1 3,772 kilometres of toll roads in five countries and has a share in avasa opsa1 the operation of another 5,579 kilometres through its presence Trados 45 1. Companies that only provide toll road operation services in concessions in Europe, Latin America and Africa. tELEMatIC COMpanIEs The challenge for abertis autopistas in 2011 is the sustained improvement of its toll road network and customer service. In this spain France Rest of the world respect, further work is to be done to enhance road construction eurotoll slovtoll and route quality in its network along with improved service bet’eire flow quality supplemented by external quality factors that are closely connected with toll road operation such as safety and information. OthER hOLDIngs It is also committed to playing an important role in technological development through driving electronic toll systems and putting spain France Rest of the world in place initiatives that support mobility. Túnel del Cadí A’Lienor Atlantia Accesos de Madrid Alis Brisa Ciralsa Routalis 1 Ausol Autema Coviandes Henarsa RMG Pt operational Services1 Coninvial1 1. Companies that only provide toll road operation services
  22. 22. 24 AR CSR AA France abertis is present in the toll road business in France through the One of the key developments in 2010 for sanef has been its over the course of 150 kilometres joins the towns of Langon concessionaire group sanef, in which it holds a 52.55% stake. participation in the “Paquet Vert” measures, one of the largest and Pau in southwest France and has involved an investment of sanef is to manage up to 2029 a total of 1,757 kilometres of public-private partnerships to be sponsored by the French 1,200 million euros. The new toll road, also called the “Autoroute toll roads in north-east France and Normandy (in this region Government. Under the agreement, sanef is to invest a total of de Gascogne”, will significantly improve connections in through its subsidiary sapn), which accounts for 20% of the 250 million euros over three years in projects to improve the southwest France. Construction work began in July 2008 and has French network and 47% of abertis’s toll road network. integration of its infrastructures in the environment and the been completed four years after signing the concession contract services it delivers to its customers. In return the term of sanef’s and two and a half years after starting work. The former road sanef’s network has an excellent position in the centre of two concessions will be extended by a year up to 2029. Through connecting Langon and Pau was known for its twisty route and economic Europe, connecting with five great European capitals these commitments to the environment the company hopes to traffic incidents. Through sanef aquitaine, sanef has taken over (London, Brussels, Luxemburg, Frankfurt and Strasbourg) and make its contribution to the recovery of the French economy. management of the toll road for 60 years. managing five of the seven toll road access routes to the Îlle de These investments are part of a package of measures called the France (Paris) region. “Plan de Rélance” designed to encourage greater economic activity In 2010 the Reims south bypass has also come into service six in the eight regions that sanef’s toll roads cross, thus contributing months ahead of schedule, a groundbreaking project in terms of sanef also manages a number of companies that provide to the economic and industrial development of the areas covered respect for the environment and the use of the latest technology. telematic services, including electronic toll systems in France, by the Group’s network. It is a bypass on the Paris to Strasbourg A-4 toll road which links free flow electronic toll systems in Ireland and satellite-based France to Eastern Europe and will relieve the traffic that used to electronic toll systems in Slovakia. Another milestone in 2010 for sanef has been the opening of the go through Reims. The bypass, which is 14 kilometres long, has A-65 toll road (A’Liénor, in which sanef has a 35% stake), which involved an investment by sanef coming to 245 million euros. DIRECt OR shaRED ManagEMEnt OthER hOLDIngs Concessionaire companies holding Km. Concession end telematic companies holding Company holding Km. Concession end sanef 52.55% 1 1,389 2029 eurotoll 100% A’Lienor 35.00% 150 2066 sapn 99.97% 368 2029 slovtoll 100% Alis 19.67% 125 2067 sea14 2 100.00% bet’eire flow 100% Routalis 1 30.00% sanef aquitaine 3 100.00% 275 1,757 1. Company that operates the A-28 toll road (Alis) 1. abertis has a 52.55% stake in sanef, which has holdings in the other companies 2. Company that operates the A-14 toll road (sapn) 3. Company that operates the A-65 toll road (A’Liénor)
  23. 23. 25 AR CSR AA Green commitment: “The “Paquet Vert” programme will enable Odile georges picot us to further our environmental commitment and speed up the sanef group Concessions Manager implementation of new services for our customers” What is the “paquet vert” programme? As part of the French government’s Grenelle de l’Environnement (Socio-political Summit for the Environment) and the “Plan de Rélance” (Economic Recovery Plan), sanef has pledged to invest 250 million euros over the next three years in projects aimed at improving the environmental integration of its infrastructures and the services it delivers to its customers. In return, the sanef group is to benefit from a one-year extension in the length of the two sanef concessions (sanef and sapn) up to 2029. This is a key project in the Group’s development. The programme buttresses our public service mission and our vocation as a long-term infrastructure manager and gives a fresh boost to our responsibility as a company and our positive contribution to the environment. What is the scope of the programme? The “Paquet Vert” enhances the integration of our network in its surroundings and the agreed investment will help to stimulate local jobs in the 8 regions through which it runs. It covers 5 main areas: water, noise, biodiversity, reducing CO2 emissions, and service and rest area facilities. The investment items depend on each aspect. A total of 40 projects have been started up involving more than 20 managers and a lot of workers. The French government has chosen the projects based on how far each one can ramp up our commitment to the environment and to our customers through new services. What are these new services? These investments will provide an important boost to our customer service policy. For example, we will extend an existing service in one of our facilities on the A-29 which helps reduce CO2 emissions into the atmosphere: a no-stop electronic toll for heavy vehicles. We hope to install 7 new toll booths and this accounts for almost half of total “Paquet Vert” investment. We are also planning to install more dynamic equipment which enables improved traffic flows in those places where there is most transit, including real-time information, CCTV and variable information panels. Furthermore, in order to promote carpooling and co-modality, we have created an online portal about interchanges between the motorway and the surrounding area for people and goods at the junction of the A-1 and the “Seine Nord” Europe Canal.
  24. 24. 26 AR CSR AA Calais Lille Reims Total km. France 2,032 Strasbourg Caen sanef Paris Alençonfrance Langon A’liénor Pau Direct or shared management Other holdings
  25. 25. 27 AR CSR AA Financial and business results Revenues generated from direct-managed toll road concessions The difference between total revenue and toll revenue (133 in France have reached 1,465 million euros and EBITDA totalled million euros) is basically down to sanef group revenue from Revenues from direct-managed 917 million euros, representing 36% and 37% of the abertis telematic services (down over 2009 due to the negative impact toll road concessions in France group’s total respectively. of the sale of Masternaut in April 2009), service area charges and 1,465 telecoms and engineering services. The figures are for HIT/sanef consolidated. By the end of 2010 electronic toll transactions had reached sanef’s toll revenue in 2010 has come to 1,332 million euros, a 36.2% of total vehicles (an annual increase of 1.8 points) with 3.3% increase over 2009. sanef’s AADT in 2010 was up over the heavy vehicles standing at 75.7%. million euros last few months of the year and has risen by 1.3% compared 36% with 2009, in spite of the consequences of the strikes on 11 and In France, 74 million euros has been invested in renewing and 18 June and with a greater improvement in heavy vehicle traffic upgrading the existing network (upgrading toll booths and (+4.9%). network maintenance) and 183 million euros in new construction projects, new lanes and investment in the Reims south bypass, of abertis’s total the widening of the A-13 and the “Paquet Vert”. aaDt COns. REsuLts IFRs (millions of euros) InvEstMEnts (millions of euros) (Contributions to abertis consolidated) 2010 var. % 2010 var. % 2010 sanef 22,845 1.6 Operating revenues 1,465 3.7 Operational investment 74 sapn 28,065 0.5 EBITDA 917 4.7 Expansion investment 183 total aaDt 23,303 1.3 EBIT 560 9.6
  26. 26. 28 AR CSR AA spain In Spain, abertis autopistas is the largest toll road operator in operator which, following its purchase in 2009, has now been fully The jury noted that the project means an improvement in the terms of kilometres managed with a total of 1,526 kilometres, incorporated into the business unit’s operations and accounts. systems for getting from the Region of Madrid to the corridors which accounts for 51% of the total of toll roads in the country. Then secondly there has been investment in maintenance and in northwest Spain, as it substantially expands their capacity, As such it participates in a non-majority way in a total of 234 km widening of existing toll roads, including: functionality and safety with a set of three tunnels, one of through other concessions. which can operate in both directions. • On the AP-6 toll road, the upgrading and widening work In Spain, abertis autopistas has experienced a slowdown in aimed at improving road safety and mobility in this key • On the AP-7 toll road network, abertis autopistas has 2010 in the decline in both heavy and light traffic. Although the communications corridor between Madrid and northwest completed work to add a third lane between Maçanet and year ended with a negative result (down 4%), the trend over Spain (Galicia, Asturias, León, Salamanca, etc.). It involves a Fornells. This forms part of the AP-7 road widening project the the last few months of the year suggests that the figures are raft of actions including the construction of a third lane in Group is implementing right along the 125 km between La stabilizing in Spain and a recovery in activity is likely to start in both directions in the San Rafael – Villacastín section and the Jonquera (Girona) and Vila-seca/Salou (Tarragona) intended 2011. widening of several viaducts. The work entails an investment to upgrade the capacity of the road to meet increased traffic of more than 65 million euros and has received a Special volumes and enhance vehicle mobility by eliminating four toll The division has been confronted by numerous challenges. Mention in the category of Best Public Works from the jury barriers. Meanwhile the remaining works are progressing as Firstly there has been the consolidation of the avasa concession for the 2010 Association of Civil Engineers of Madrid Awards. scheduled. • On the C-32 in Catalonia, the coming into service in July of DIRECt OR shaRED ManagEMEnt OthER hOLDIngs the new section between Palafolls and Tordera, a 4.4-kilometre Company holding Km. Concession end Company holding Km. Concession end extension of the motorway which enhances communications acesa/invicat 100% 545 2021 Túnel del Cadí 37.2% 30 2023 in the southern part of the Costa Brava. This project is part of aumar 100% 468 2019 Accesos de Madrid 35.1% 61 2049 the agreement signed between the Government of Catalonia iberpistas 100% 70 20311 Henarsa 30.0% 62 2039 and the concession operator acesa which also includes castellana 100% 51 2031 1 Ciralsa 25.0% 33 2040 building a new spur on the C-32 motorway which has now aucat 100% 47 2039 Autema 23.7% 48 2037 been extended to Lloret de Mar from the future link with the aulesa 100% 38 2055 234 A-2 dual carriageway which the Ministry of Development avasa 100% 294 2026 has planned, and upgrading the existing motorway. Total Trados 45 50% 14 2029 investment comes to 100 million euros. 1,526 1. The concession term may be extended up to 2036 based on actual traffic over the period from 2015 to 2019.
  27. 27. 29 AR CSR AA “Work on the AP-6 will result in a first-class infrastructure and make it Ignacio arbilla abertis autopistas possible to deliver extremely high quality service” Centre-south network Manager For the Centre south network, 2010 has meant the start of upgrading and widening work on the ap-6. What does this project mean for the toll road? Instead of the start of upgrading and widening work, I think it is more a case of the fourth stage of the long-term project to improve road connectivity between the centre and northwest of the country that began in 1999. First of all Ávila and Segovia were connected to the high capacity road network. In the second stage the capacity of the AP-6 was increased over a twenty-kilometre stretch between the M-50 and the start of the AP-6 concession in Villalba. Then in the third stage the capacity of the first section of the AP-6, between Villalba and San Rafael, was also increased in a project that included building a third tunnel under the Sierra de Guadarrama. Finally, in the fourth stage which is where we are now, the capacity of the next section of the AP-6, between San Rafael and Villacastín, is to be increased and isolated jobs from the previous stages which were not done at the time will also be completed. Once work in this fourth stage has been finished, I honestly believe that we will have a first-class infrastructure, one which will deliver extremely high quality service to traffic in the coming years. It is undoubtedly a very complex project... What have been the main challenges you have faced? The greatest difficulty we have come across is making the progress of work compatible with traffic needs. We know that the work impacts on traffic on the roads (lane narrowing, speed restrictions and so on) so we always try to ensure the negative effect is as small as possible. The widening to three lanes is being carried out in sections less than five kilometres long and not on both carriageways at the same time, and signage and marking has been stepped up. These measures have proven to be effective due to the close coordination between Civil Works Operations and Engineering. Another difficulty has been the weather, which up to the present has been giving us a break. The average height of the AP-6 toll road is more than one thousand metres, so on average we have a hundred days of ice or snow a year. Under these conditions, any type of planning, however detailed it may be, can always be affected by unexpected setbacks. how have personnel been prepared for this project? The upgrade of our infrastructure is a project that has been carried out over the course of a decade. At this point in time, the people working with iberpistas and castellana management have enormous experience in these kinds of situations. The key thing from my point of view is never to forget that that our goal is to ensure traffic can flow under the best possible conditions. It is hard to pick out a particular group because everyone’s contribution is important. However, as they are most directly engaged in customer service, I would give a special mention to the staff in the Operations Centre and Toll Road Monitoring.
  28. 28. 30 AR CSR AA Total km. Spain 1,760 avasa Bilbao La Jonquera Vitoria acesa/invicat Girona Logroño Palafolls León Lleida Astorga Barcelona Zaragoza Tarragona Segovia Adanero Guadalajara Madrid Castellón Ávila Arganda del Reyspain Navalcarnero Valencia Alicante Seville Cadiz Direct or shared management Other holdings
  29. 29. 31 AR CSR AA 2010 has also been a year of commitment to road safety and technological integration of the concession operators. As a In spite of the 4% fall in AADT in Spain, in the last few months of improvement for abertis autopistas, particularly in terms result, abertis autopistas now operates uniformly across its the year the decline in traffic has lessened. of technological advances on its roads. This year innovative 5 networks: the GenCat Network (concessions owned by the interactive information points have been installed where the Government of Catalonia), the Mediterranean Network, the Ebro Operating income has been increased, in spite of poorer business customer can get online information about road conditions, Network, the Levante Network and the Centre-South Network. levels, by the effect of the additional 50% contribution by avasa weather forecasts and safety tips. Furthermore, abertis abertis has also set up a new company called invicat in 2010 to (+34 million euros in 2010) and by the partial compensation for autopistas has built specific rest areas for road hauliers equipped manage toll road concessions previously run by acesa and which the AP-7 and Maresme agreements. with tight security measures as part of its commitment to better are owned by the Government of Catalonia. meet its customers’ needs. In the course of the year investment in electronic toll payment Financial and business results devices has continued and at present the use of this system on At the organizational level, the goal of the toll roads business toll roads in Spain as a whole comes to 35.1%, 1.6 percentage division in Spain this year has been to consolidate its network Revenues generated from directly managed toll road concessions points more than last year. Especially significant is avasa, with management model in order to achieve greater business unit in Spain reached 1,365 million euros and EBITDA came to 1,066 41.8% of transactions by electronic toll, as all the concession operational efficiency and vision. This has involved bringing in million euros, representing 33% and 43% of the abertis group’s operator’s discounts and free options are linked to compulsory a new concept in network management that has led to the total respectively. use of this payment system. In 2010 Spanish toll roads have carried out operational investment coming to 54 million euros, mainly in optical fibre installation, improvements to toll, maintenance and rest areas, aaDt COns. REsuLts IFRs (millions of euros) and the repair of structures and bridges. Another 188 million (Contributions to abertis consolidated) euros has been invested in expansion, of which 179 million euros 2010 var. 2010 var. has gone basically for the lane addition and section extension acesa/invicat 31,753 -3.5% Operating revenues 1,365 1.1% work set out above. aumar 19,034 -6.9% EBITDA 1,066 1.3% iberpistas 27,123 -3.3% EBIT 769 -3.1% castellana 7,241 1.5% InvEstMEnts (millions of euros) aucat 26,712 -4.1% aulesa 4,911 -4.0% 2010 avasa 13,447 -0.9% Operational investment 54 total aaDt 22,383 -4.0% Expansion investment 188

×