2. Disclaimer
This document may contain statements that constitute forward looking statements about the Company.
These statements are based on financial projections and estimates and their underlying assumptions,
statements regarding plans, objectives and expectations, which refer to estimates regarding, among others,
future growth in the different business lines and the global business, market share, financial results and
other aspects of the activity and situation relating to the Company.
Such forward looking statements, by its nature, are not guarantees of future performance and involve risks
and uncertainties, and other important factors that could cause actual developments or results to differ
from those expressed in these forward looking statements.
Analysts and investors, and any other person or entity that may need to take decisions, or prepare or
release opinions about the securities issued by the Company, are cautioned not to place undue reliance on
those forward looking statements which speak only as of the date of this communication. They are all
encouraged to consult the Company’s communications and periodic filings made with the relevant securities
markets regulators and, in particular, with the Spanish Securities Markets Regulator.
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 2
4. Snapshot
• Net cash position at parent
• €1bn credit lines & cash in hand: €3,2bn liquidity
• No short term maturities (until 2015)
• Top class assets supporting dividend generation
• €22.5bn backlog (Construction & Services)
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 4
5. Net cash position at parent company
EX–INFRA PROJECTS Net debt evolution ex-infra projects
Sep 2012
907 898
NET CASH 31
€898mn
x1.7
x1.5
x2.1
-1,547 -1,172
x3.2
-1,987 Net debt to EBITDA
-3,064 Net debt (€mn)
2006 2007 2008 2009 2010 2011 9M '12
Sep 2012 PROJECTS
Debt allocated at project level
Projects under development
not generating EBITDA
NET DEBT €mn Net debt
€6,508mn SH130 847
NTE 385
29%
TOLL ROADS LBJ 545 Of toll roads
net debt
Debt €6,141mn TOTAL 1,777
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 5
6. Liquidity and no short term maturities
2012-2015 maturities
Sep 2012 1,093
(€mn)
45 110
14
2012 2013 2014 2015
Liquidity position
(€mn)
1,003
3,234
2,231
Total cash Undrawn lines Total liquidity
Financial position (ex-infra projects)
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 6
7. Top class assets supporting cash generation
9M 12/11 ETR-407 HEATHROW
Traffic +0.6% +0.6%
Resilience
EBITDA +9.2% +10.1%
&
Rating A A-
Tariff review Freedom +7.5% + RPI% Growth
Combined annual EBITDA over € 1,600mn
Probably, the two best infra assets in the world
Local currency
LHR LfL
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 7
8. Top class assets supporting growth
Heathrow
EBITDA evolution
(GBP million)
GBP 9,300 mn
1,045
issued since 2009
570
2006 2007 2008 2009 2010 2011
Successful ongoing access
Resilience through the crisis
to capital markets
407ETR
EBITDA evolution
(CAD million)
553
CAD 2,950 mn
353
issued since 2009
2006 2007 2008 2009 2010 2011
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 8
9. Cash flow overview
• Focus on project’s credit rating
Cintra's dividends
& BAA´s dividends INFRASTRUCTURE • EBITDA resilient assets
PROJECTS • Well spread maturities
New projects’ equity 407< 5% per year
BAA < 10% per year
PARENT COMPANY
Shareholders’
dividends
• Focus on cash, not growth
• Commitment to strong BS
EXCL INFRA PROJECTS
Operating cash flow • Indebtedness target: Max. 2X EBITDA
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 9
10. Where do we generate cash flow?
2011 - Construction and services OPC- capex, excluding acquisitions (PNI) and divestments (Swssiport)
36% 17% 35% R o W 13%
Where do we get dividends from projects?
41% 47% R o W 12%
Where do we invest equity in new projects?
77% 12% R o W 11%
2011 dividends + 2012 BAA(e) dividends E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 10
11. How do we create value?
Cash flow Asset
generation rotation
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 11
13. BAA: Markets keep missing SOTP
supported by transactions values
BAA´s traded value materially above market consensus Edinburgh Airport
EV/EBITDA
100% BAA / €m
5,715 x16.7
5,527
Equity value
Analysts consensus
Implied valuation x12.1
4,176
Consensus Disposal price
2,387 April 2012
Naples Airport
868 EV/EBITDA
x13.3
Aug´2010 Sept´2011 Oct´2011 July´2012 Aug´2012
Oct´ 2012
5.88% 10.62% & 5.72% x7.0
divestment divestment
Venice airport Disposal price
(1) Analysts consensus on BAA: 100% Equity value.
(2) Ferrovial sold 5.88% stake in BAA (GBP280mn) last 10th October 2011 to two investment vehicles managed by Alinda Capital Partners, (Listed peer) 2010
(3) Ferrovial sold 10.62% stake in BAA (GBP 478mn) last 17th August 2012 to Qatar holding LLC. As part of the same transaction, other BAA shareholders sold a
9.38%. As a result, Qatar Holding LLC owns 20% and Ferrovial 39.37% of BAA.
(4) Ferrovial sold 5.72% stake in BAA (GBP 257mn) last 31th October 2012 to Stable Investment Group. As part of the same transaction, other BAA shareholders sold a
4.28%. As a result, Stable owns 10% and Ferrovial 33.7% of BAA.
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 13
14. Markets keep missing SOTP
supported by transactions values
407 ETR Chilean Toll roads M45 Toll road
€m €m €m
+1% +4% 380 67
+3% 69
6,800
6,734 367
(1) (1) (1)
2007 Disposal price (2010) 2007 Disposal price (2010) 2007 Disposal price (2010)
Value crystallization
Disposal prices around 2007 peak valuation despite credit crisis
Spanish Car parks Swissport
€m €m
880
398 +1% 400 +53%
575
(1) (2)
2007 Disposal price (2009) Consensus Disposal price (2011)
(1) NAV published by Cintra in 2007, (2) Analyst EV consensus - Disposal price: 100% Equity value, EV for Swissport
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 14
16. What have we done in 2012?
Operational Growth
(Tariffs) Heathrow +12.7% 407ETR ≅ +8%
New Contracts
407ETR extension Sheffield maintenance Managed Lanes
(under construction)
Balance Sheet
BAA Initial dividend 407ETR dividend LT bond issuance
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 16
17. Looking ahead – Value creation in volatile times
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 17
18. Wider value proposition – “Intelligent cities”
Sheffield GBP 2.0bn, Birmingham GBP 2.7bn / 25 years
Challenging environment Dissatisfied citizens
Example: Spanish cities 1)
Economic
Limited economic growth
Citizen Satisfaction (%)
100
Credit and liquidity shortages
80
Public resources
constraints
& 60
more demanding
society
40
Environmental Socio-demographic
Regulation Urban population 20
More responsible society Unemployment
0
0 20 40 60 80 100 120 140
Budget per citizen (EUR)
1) Waste management and collection – city spend and citizen satisfaction (2010)
Source: United Nations, OCU, Ferrovial Services analysis
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 18
19. Wider value proposition – Managed lanes
“Express Tollway within an Existing Highway”
Free New Tolled Free
Lanes Lanes
Lanes
Speed >50mph
A solution to congestion on “existing urban corridors”
by means of
Active management of “newly added capacity” through tolling
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 19
20. Summary
N et cash position / N o short term m aturities / Am ple liquidity available
CONSTRUCTION TOLL ROADS
SERVICES AIRPORTS
Strong backlog World class player
Margin vs. growth
Dividends from 407 & BAA
Selective exposure to emerging
economies Attractive pipeline of projects
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 20
22. Appendix
9 M 2 0 1 2 R e s u l t s
Introduction to 407 ETR Toll road
Managed Lanes Toll roads
2011 Results
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 22
24. Appendix
9M 2012 Results
I n t r o d u c t i o n t o 4 0 7 E T R T o l l r o a d
Managed Lanes Toll roads
2011 Results
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 24
25. 407 ETR
Would you buy this company...?
Shareholder's fund Debt
1999:
1999 775 1,937 27x
Debt/Ebitda
1H12 -939 5,568
Accounting High
losses debt
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 Figures in million $CAN 25
27. 407ETR Location
Area of expansion
407
East extension
High density population area
Ring road of Toronto
108 km
407
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 27
28. 407 ETR
All Electronic Roadside Tolling System
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 28
29. Fast
407 ETR
Safe
R eliable
LOCATION
HIGH
Greater Toronto Area HOUSEHOLD INCOME
23% of Canada 46% higher
population than Canada average
SPEED NO REGULATORY
Alternatives routes REVIEWS
40kph vs 100kph at During concession
407 life (99 years)
TRAFFIC TOLL RATE HIGH
FLEXIBILITY
Alternatives routes Including segment,
are highly congested direction, time of
the day
NON-STOP TOLL
FACILITY FAST
Fully electronic with
interchanges Reliable travel times
every 3km
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 29
31. Recurrent presence in the bond market
Extending maturities at historically low cost CAD 2,950mn issued since 2009
500
400 400
Maturity 350
3,58% 40 years 300 300 300
3,49%
200 200
30 30
2009 2009 2010 2010 2010 2010 2011 2012 2012
Yearly average maturity: Only 3% of total debt
Spread
510
1,58% 1,56% 1,60%
1,70%
312
285
9
145
5
3 14
6 10 11 14
2009 2009 2010 2011 2012 2012
2012 2013 2014 2015 2016 2017 2018 2019
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 31
32. Appendix
9M 2012 Results
Introduction to 407 ETR Toll road
M a n a g e d Lanes Toll roads
2011 Results
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 32
33. Managed Lanes
New assets landmark
“Express Tollway within an Existing Highway”
Free Tolled Lanes Free
Lanes Speed >50mph Lanes
A solution to congestion on “existing urban corridors”
by means of
Active management of “newly added capacity” through tolling
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 33
34. Managed Lanes
Level of demand
NTE (untolled) 407ETR (tolled)
Peak period
Westbound
Eastbound
00.00 2.00 4.00 6.00 8.00 10.00 12.00 14.00 16.00 18.00 20.00 22.00 24.00 12.00 2.00 4.00 6.00 8.00 10.00 12.00 2.00 4.00 6.00 8.00 10.00 12.00
Time of the day Time of the day
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 34
35. Managed Lanes
Travel time reliability (NTE)
Based on NTE data
ML will provide users a reliable and certain travel time
7 miles
45
Travel Time (Minutes)
40
35
30
30-40min
25
20
15
10
5
0
0 1 2 3 4 5 6 7
Distance (miles)
For a 7 mile trip, a user can save up to 30-40min in rush hour if using the ML
(NTE Eastbound lanes)
(*) Peak period observations
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 35
36. M anaged Lanes
Lyndon B Johnson
KEY CHARACTERISTICS
DESCRIPTION: IH 635 (Dallas County), the most populous county in Texas
LENGTH: 13 mile section of the IH 635 and IH 35E
108K m
Electronic toll
CONCESSION PERIOD: 52 years
TARIFF POLICY: Open Road Tolling System (no toll booths) with a dynamic
tolling regime (every 5 minutes) to maintain at all times a
minimum speed of 50 mph
SHAREHOLDERS’ STRUCTURE
● Heavy congested area , almost 250.000 cars per day
● No toll-booths, fully electronic free flow tolling 51% 42% 7%
system DALLAS
CINTRA MERIDIAM FIRE&POLICE
● Tollway within a freeway: Motorists will be provided PENSION SCHEME
with a choice of driving in non-tolled GP lanes or
paying a toll to bypass such GP lanes
FINANCIAL STRUCTURE
● Tolls setting to ensure minimum speed on new lanes
● As demand grows and capacity becomes scarce, 25% 54% 20%
pricing power increases
EQUITY DEBT PUBLIC FUNDS
● Physically separated from the GP lanes with
controlled access
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 36
37. M anaged Lanes
North Tarrant Express
KEY CHARACTERISTICS
DESCRIPTION: Dallas-Fort Worth Metroplex, Major thoroughfares
between Fort Worth and DFW Airport
LENGTH: 13 mile section (IH 820 & SH 183 in Tarrant County)
CONCESSION PERIOD: 52 years
TARIFF POLICY: Open Road Tolling System (no toll booths) with a dynamic
tolling regime (every 5 minutes) to maintain at all times a
minimum speed of 50 mph
SHAREHOLDERS’ STRUCTURE
● Heavy congested area , almost 200.000 cars per day
● No toll-booths, fully electronic free flow tolling 57% 33% 10%
system DALLAS
CINTRA MERIDIAM FIRE&POLICE
● Tollway within a freeway: Motorists will be provided PENSION SCHEME
with a choice of driving in non-tolled GP lanes or
paying a toll to bypass such GP lanes
FINANCIAL STRUCTURE
● Tolls setting to ensure minimum speed on new lanes
● As demand grows and capacity becomes scarce, 21% 52% 27%
pricing power increases
EQUITY DEBT PUBLIC FUNDS
● Physically separated from the GP lanes with
controlled access
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 37
38. Managed Lanes
Financial Overview
Financial details Financial details
− Total Investment: 2.05 bn − Total Investment: 2.7 bn
− Private Equity: 25% 665 m
− Private Equity: 21% 427 m
Cintra: 243 m (57%) Cintra: 339 m (51%)
Meridiam: 141 m (33%) Meridiam: 282 m (42%)
DPFPS: 43 m (10%) DPFPS: 44 m (7%)
− Total Debt: 52% 1.05 bn − Total Debt: 54% 1.47 bn
PABs: 400 m PABs: 615 m
TIFIA: 650 m TIFIA: 850 m
− Public Funds: 27% 537 m − Public Funds: 20% 496 m
• First combination of TIFIA and tax exempt PABs. • First privately-financed road development project
of its kind to reach financial close in 2010.
• First un-wrapped bond issuance for a toll road.
• Texas’ third big recent road project to reach
• First time TIFIA allowed additional debt to be raised
financial close since 2008.
beyond its approved federal subsidy cap.
• First time that a U.S.-based pension fund made
a direct investment in a highway concession.
Figures in US Dollars
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 38
40. 2011 Highlights (1)
CASH Activity cash flow generation: €1,446mn ex-infra projects
GENERATION
€907mn net cash position ex-infra projects
ACCESS TO €2.1bn bond issuances in 2011
CAPITAL
MARKETS and €1.7bn issued YTD 2012
VALUE
FROM Value obtained from divestitures beats market expectations
DIVESTITURES
BAA / Swissport / M45
EBITDA Operational growth across portfolio
GROWTH
9% EBITDA growth (LfL)
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 40
41. 2011 Highlights (2)
CORPORATE
JANUARY M45 shadow toll road sold (€68mn)
FEBRUARY
Swissport divestment process completed (€692mn)
APRIL Ferrovial´s corporate debt refinanced (€1,314bn)
Delivering
REFINANCING
JUNE AUSOL refinancing completed (€492mn)
JULY BAA: Inaugural dollar bond issuance ($1.0bn)
AUGUST Ferrovial gets its first rating by S&P and Fitch: Investment grade (BBB-), outlook stable
CORPORATE
OCTOBER BAA 5.88% stake sold (GBP280mn)
NOVEMBER
First Ferrovial Services Investor day in London
DECEMBER Chilean toll roads 40% stake divestment completed (€157mn)
To invest in future growth
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 41
44. Net debt evolution
Ex-projects
1,264
(€m)
907
463
182
31
-68 -67 -90
-114
-328 -367
Net cash EBITDA Dividends Working Taxes Investment Divestment Dividends Interest Other Net cash
Dec´10 recived capital paid Dec´11
Infra projects
(€m) 14,529
356 263 -85
-103 -25 -780 -32 -97
-293
-6,102
-6.102
-19,836
Net debt EBITDA Working Taxes Investment Dividends Interest Capital Forex Deconsolidated Other Net debt
Dec´10 capital debt Dec´11
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 44
45. Diversified portfolio - EBITDA
Reported Underlying
FY 2011 – Pro-forma
considering proportional consolidation
UK UK
RoW North
16% America
53%
20% 12%
7% 18%
52% RoW
22% North
America
Spain
Spain
€819 €1,730
Construction Toll roads
Construction Services Toll roads
Services Airports
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 45
46. Executive summary – 2011 Highlights
Business main events in 2011:
Services: strong cash flow generation (EUR 164mn), revenue growth & profitability improvement
with a stable backlog of over 50% international business.
Construction: strong cash flow generation (EUR 298mn), mainly driven by international business,
Budimex in particular, which offsets the Spanish market performance.
Airports: double digit growth in EBITDA (+18%) with the highest traffic ever in Heathrow (69,4
Million Pax).
Toll Roads: EBITDA growth was achieved through higher tariffs and grants offsetting weaker traffic.
Asset rotation main events in 2011:
Services: Swissport divestment was closed in Q1 2011 (EUR 695mn).
Airports: Ferrovial sold 5,88% of BAA to funds managed by Alinda Capital Partners for GBP 280 mn
(EUR 325mn) – implying an equity value of GBP 4,8 bn. Ferrovial retains now 49,99% and accounts
its financial statements through equity method.
Toll Roads: Two divestments initiated in 2010 were cashed-in during 2011: M45 (EUR 68mn) and
remaining 40% stake in C.Chile (EUR 157mn).
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 46
47. Executive summary
Financial main events in 2011
At ex-Project level
In 2011 Ferrovial refinanced its corporate syndicated facility one year prior to maturity through a
4 year facility with 32 leading Financial institutions (maintaining a EUR 541mn liquidity revolving
line fully available) and amortized EUR 800 mn, keeping EUR 1bn as outstanding debt.
In 2011 Amey closed a GBP 135mn facility maturing in 2015 with 5 financial institutions. This
facility has fully replaced the prior one, extending maturities and enlarging the liquidity in GBP
27mn.
At Project level
In June 2011 Ausol closed the refinancing of its EUR 492mn debt with a 21 bank syndicate loan
until 2016, while Radial 4 EUR 548mn financing, matured in July 27th, is awaiting for a sectorial
solution from the Ministry of Transportation while a Standstill agreement by the parties has been
reached.
BAA has very actively tapped the capital markets
- In 2011 BAA issued bonds in EUR, GBP and USD equivalent to EUR 1,8bn, which resulted in
the total cancellation of the refinancing facility.
- In Q1 2012 BAA issued bonds in EUR, CHF and GBP equivalent to EUR 2,4bn.
E-mail: ir@ferrovial.es – Tel: +34 91 586 27 30 47
