Annual Report 2010 - AdP

• AdP, SGPS was an award winner for its sustainability initiative,
picking up the “Citizenship Prize for Companies and
Organisations”. This prize is awarded annually by AESE
(School of Business and Management) and by PwC with the
objective of distinguishing companies and non-governmental
organisations for their contribution in implementing
measures designed to improve sustainability and their
respective host communities.
• Within the scope of sustainability and group corporate
responsibility initiatives, one leading initiative involved
participation in “Foresting the Mountains of Madeira”,
promoted by Funchal Municipal Council following the
flooding of 2010, alongside the signing of a protocol providing
support to the Portuguese Sports Federation for Disabled
Persons, specifically towards backing the swimming team in
its preparations for the 2012 Paralympics Games.
• AdP participated in the GreenFestival, sponsoring the
conference on “Sustainable Cities” and a workshop focusing
on the theme of sustainability and corporate social
responsibility, with a particular concern on biodiversity
related issues and combating social exclusion.
• The Business Management System successfully gained
certification and involving the group holding company (AdP
SGPS), the sub-holdings for the waste sector and
international markets (EGF and AdP Internacional), the
company attributed responsibility for the renewable
energies area (AdP Energias), as well as the shared services
companies (AdP Serviços and Aquasis). AdP was also
distinguished by APCER (Portuguese Certification
Association) as an "entity of reference in the field of
certification in Portugal".
• In terms of research and development (R&D), and as regards
new projects, particular attention should be paid to the 2010
approval of financing from TRUST (Transitions to the Urban
Water Services of Tomorrow). The work carried out by the
AdP Group on its Water and Sanitation Technological
Platform made a great contribution to the participation of
national entities in this project, which is of great strategic
relevance to the future of urban water and sanitation systems.
• In terms of R&D projects ongoing or approaching completion,
the acquisition of Portuguese R&D products supported by
the AdP Group took place within a perspective of innovation
for competitiveness and sustainability. Thus, NAVIA-AdP, a
product developed through the active cooperation of AdP
Group companies, became an operational management tool
deployed by many water and sanitation companies. As a
complement to this, promotional efforts were put into
practice, reaching out to relevant players in international
markets, always through the direct involvement of AdP Group
companies. Of particular importance within this scope are the
contacts held with entities in Brazil, Morocco as well as with
international consultants.
• Over the course of the 2010 financial year, there was a gross
increase in long term debt, provided by European Investment
Bank financing. The rise in long term indebtedness, to a total
of € 393 million, was divided up with UNA-PD companies
accounting for € 264 million, EGF for € 79 million and EPAL
for € 50 million.
• In the same financial year, around € 45 million in long term
financing was paid off with the weighting of support to EPAL
(€ 21 million) being significant given the longstanding nature
of its respective financing.
• As regards the private placing of debt carried out by AdP
SGPS in 2005 with The Bank of Tokyo-Mitsubishi UFJ, Ltd.,
this was renewed as planned for another five years with a
spread of 70 bps.
• Within the scope of projects approved by the Cohesion
Fund II (2000-2006), the multi-municipal water supply
system management companies submitted requests to the
Territorial Enhancement Thematic Operational Programme
(POVT/QREN) for payment totalling around € 186 million
in documented expenditure. In 2010, receipts from the
Cohesion Fund reached € 89 million.
• Relative to the National Strategic Reference Framework
(QREN 2007-2013), in 2010, the five operations approved
under the auspices of the 1st Notice of POVT Axis II moved
ahead. Of the total approved investment, rising to around
€ 255 million in total, through to the end of 2010, requests
for payment were submitted in the amount of around € 123
million. Receipts paid out by the Cohesion Fund/QREN
reached € 64 million, corresponding to around 42% of the
total of approved Cohesion Fund financing (€ 153 million).
• The first phase in the business risk management project was
concluded with the core results of an integrated evaluation
of the risks faced by the AdP Group and the systematisation
of risk management processes. Risks are organised according
to a structure of classes and categories as defined by the
COSO (Committee of Sponsoring Organizations of the
Treadway Commission) methodology.
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