ONE ROOF

The Elefsina-Patras-Tsakona toll road will be one of the
most important road links in Greece. HOCHTIEF PPP
Solutions holds a stake of 25 percent in the consortium
for building new and upgrading existing sections of the
365-kilometer highway and will operate the road until
2038. HOCHTIEF Construction is completing a portion
of the construction work.
Social infrastructure
In the past fiscal year, the company solidified its position
as a reliable partner to the public sector in building
construction projects. In Moers, Germany, HOCHTIEF
PPP Solutions was awarded the contract to renovate
the town hall, a designated heritage building, and to
add a new building and adjacent education center. The
work is scheduled to be completed in 2012. This project
is an example of HOCHTIEF’s life cycle approach to
real estate: HOCHTIEF PPP Solutions is responsible for
design and financing, while HOCHTIEF Construction
will handle the construction work and HOCHTIEF Facility
Management will manage the facility. After the city
hall in Gladbeck, which has already opened its doors,
this is the second project of this kind that the company
is building implementing the PPP approach.
HOCHTIEF PPP Solutions is also involved in publicsector
building projects in Wigan in the UK: We came
out on top in two tenders. In June 2009, the company
was awarded the contract to construct a new community
center. Along with our partners in the consortium,
we will design, finance, build and subsequently operate
the facility for 25 years. The building complex is designed
to be multi-functional and include a library, swimming
pool and public services office. The second project
also involving Wigan entails rebuilding the secondary
schools in the towns of Salford and Wigan. The contract
is part of the UK government’s Building Schools
for the Future program to renovate or rebuild all 3,500
secondary schools in the country in the next 15 years.
The education sector remains a key business segment
in Germany as well. In 2009, HOCHTIEF PPP Solutions
completed four new schools in Frankfurt am Main in a
successful partnership with other Group companies.
For instance, HOCHTIEF Construction was responsible
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for building the facilities, while HOCHTIEF Facility Management
will operate the new buildings until 2029.
Construction was finished on the new comprehensive
school in Cologne’s Rodenkirchen neighborhood for
which the foundation stone was laid in 2008. Going
forward, the project with a contract volume of around
EUR 127 million will be managed by HOCHTIEF Facility
Management for 25 years.
The new school buildings in West Lothian, Scotland,
were also completed in 2009. We will operate these
facilities until 2039.
Infrastructure ventures
HOCHTIEF PPP Solutions’ infrastructure ventures
comprise the first two completely privately financed
geothermal power plants in Germany. The drilling work
was finished in the year under review.*
The HOCHTIEF Concessions division’s key
figures
New orders slipped compared to the previous year to
EUR 145.3 million. The prior-year figure was mainly
driven by the acquisition of the Fürst Wrede barracks
project. In contrast, 2009 was shaped by the contract
for the somewhat smaller Moers town hall PPP project.
Compared with the prior year, operating earnings in
the fiscal year fell by EUR 31.8 million to EUR 113.9
million, and profit before taxes declined by EUR 30.9
million to EUR 78.7 million. This was mainly due to nonrecurring
items in the previous year. In 2008, HOCHTIEF
AirPort benefited to the tune of EUR 36.6 million from
the payment of a final contingent purchase price installment
from HOCHTIEF AirPort Capital and a special
dividend from Sydney Airport. In contrast, provisions
that had been recognized for accounts receivable from
the Greece-based Olympic Group were reversed in the
year under review. After proceedings at the London
Court of International Arbitration (LCIA) were successfully
brought to a close in 2009 and the Greek government
was obligated to pay the outstanding amounts
owed by the Olympic Group, there was no longer any
risk of a writedown, and the risk provisions could be
reversed. Earnings were dragged down, however, by
*For further information, please
see pages 27 and 52.
Annual Report 2009 95