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"Argentina Airport Bidding Rules On Sale Jan.29"

Monday, January 15, 2001

Neuquen Airport Bidding Rules On Sale Jan.29 - Argentina
Business News Americas

Argentina's Neuquen municipality will put on sale on January 29 the bidding
rules for a 20-year, international concession to upgrade the city's Juan
Domingo Peron airport, Neuquen municipality spokesperson Henrique Villagra
confirmed to BNamericas.com.

The concessionaire will be in charge of all operations, extend the passenger
terminal to 7,500 sq. m. and upgrade equipment within 20-months of signing
the contract. The concessionaire will invest US$10mn in upgrading the
airport and a further US$20mn in maintenance during the 20-year concession
period, which may be extended for five years.

Offers will be opened on March 12. The concessionaire will make annual
payments to the local government of US$400,000 for 25-years. Participants in
the auction should have more than three years experience in airport
administration and net worth of more than US$10mn.

The concession will be awarded using a points system based on the technical
proposals presented. In the case of a tie, the companies will be asked to
present new offers for the yearly payments and the highest of these will be
the winner.

Argentina's airports administrator ORSNA decided in late December to hand
over to the respective municipalities responsibility for incorporating
private capital into 18 of the country's regional airports. ORSNA had
originally planned to contract one company to analyze how to upgrade and
improve airport efficiency.


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