Project highlights

Toll roads

In March 2008, HOCHTIEF PPP Solutions along with partners reached financial close (i.e. finalization of financing agreements) on the Maliakos-Kleidi toll road project in Greece. With around 300 employees, the concession company in which HOCHTIEF PPP Solutions holds a stake of 35 percent will operate the freeway for 30 years and charge tolls. The project is worth approximately EUR 1.11 billion and will include a 25-kilometer stretch of road with three tunnels, 26 bridges and ten rest stops. The consortium will also widen and refurbish another 205 kilometers of road. As the lead partner in the consortium, HOCHTIEF Construction holds a stake of around 40 percent in the construction project.

The launch of another large-scale PPP toll road project in Greece was marked by the financial close for the Elefsina- Patras-Tsakona freeway in August 2008. The concession agreement runs for 30 years. HOCHTIEF PPP Solutions holds a stake of 25 percent in the operator consortium. The freeway stretching 365 kilometers is the most important traffic corridor from Athens to the Peloponnese. Eighty-two kilometers of this freeway already exist, 163 kilometers will be newly constructed, and 120 kilometers of road will be widened. Valued at roughly EUR 2.21 billion, the project is scheduled for completion in 2014. HOCHTIEF Construction holds a stake of 23 percent in the construction joint venture for this project.

In 2008, HOCHTIEF PPP Solutions' second PPP toll road project in Santiago de Chile was opened to traffic. Along with a partner, the company will operate the four-kilometer San Crist�bal tunnel connecting the business district of Chile's capital with the northern suburbs of the city until 2038. The private investments in the project totaling around EUR 108 million will be refinanced with tolls during the 30- year operating phase.

In May 2008, a subsidiary of HOCHTIEF PPP Solutions along with a partner began a 30-year operating period for an approximately 45-kilometer stretch of the A4 autobahn between Gotha and the border between the states of Hesse

and Thuringia. Each partner holds a 50 percent stake in the concession company. The investments, which total in the region of EUR 259 million, will be refinanced with truck tolls. Moreover, the German government is providing a start-up loan. A 22.5-kilometer stretch of new road will replace an existing portion of the A4 autobahn. HOCHTIEF Construction holds a stake of 33 percent in the construction joint venture.

The Austrian A5 North Highway toll road project in which HOCHTIEF PPP Solutions has been involved since 2006 was named the "European Transport (Roads) Deal of the Year" during the reporting period.

Public buildings

In March 2008, the German federal government's first PPP building construction project began with the construction and refurbishment of the Fürst Wrede barracks in Munich. HOCHTIEF PPP Solutions is investing in the region of EUR 57 million in the project through a project company formed for this venture. The project will run for a total of 20 years and is valued at approximately EUR 161 million. Immediately after the contract was awarded, HOCHTIEF Facility Management assumed operation of the property with building space measuring nearly 70,000 square meters. HOCHTIEF Construction is refurbishing the barracks.

In June 2008, the foundation stone was laid together with the city of Cologne for the new comprehensive school in the city's Rodenkirchen neighborhood. HOCHTIEF PPP Solutions will design, finance, build and then operate the school for 25 years in a project worth roughly EUR 127 million. HOCHTIEF Construction will build the new school, while HOCHTIEF Facility Management will operate the facility until 2034.

Work on what is currently Germany's largest PPP public building project continued in the Offenbach district. HOCHTIEF is responsible here for financing and renovating a total of 50 schools and operating them until the end of 2019. Valued at approximately EUR 410 million in total, the project is being handled by HOCHTIEF PPP Schulpartner. It comprises 284 buildings measuring over 290,000 square