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Ferrovial net profit amounted to 312 million euro in 1H 2011

Spanish builder Ferrovial obtained 312 million euro in net profit in the first half of 2011, contrasting with losses of 164 million euro in the same period of 2010. Operating profit improved across all business lines in the first half of 2011, and the company obtained capital gains on the sale of Swissport and the stake in the M-45 toll road.

EBITDA amounted to 1.014 billion euro, 18.4% more than in the same period of 2010 in like-for-like terms. Revenue amounted to 4.874 billion euro, a 2.4% increase in like-for-like terms. Ferrovial ended the first six months of 2011 with a Construction and Services backlog amounting to 22.788 billion euro. The backlog reflects the company's internationalization, as 67% of the Construction backlog, and 50% in the case of Services, is located in countries outside of Spain. The Construction backlog includes several contracts held by Webber in the US, civil engineering contracts held by Budimex, and the Crossrail project in the UK.

The backlog expanded by 15% at Budimex and 7% at Webber. As regards Services, Amey's backlog performed very well due to the entry into operation of contracts, such as road infrastructure maintenance in Birmingham (UK). Consolidated figures for the first half of 2011 no longer include earnings from Swissport, 407 ETR (which is equity accounted), or the Chilean toll roads.

EBITDA increased notably at the company's two main assets: by 29% at Heathrow airport and by 8% at Canadian toll road 407 ETR (in local currency terms in both cases), supported by higher tolls and fees and cost control measures.

Despite changes in the company's consolidation scope and equity accounting of the 407 ETR, the company's geographic and business diversification strategy in recent years is reflected in its income statement. The international business accounted for 66% of revenue and 80% of EBITDA. The Airports division contributed 62% of EBITDA, Services 14%, Toll Roads 14% and Construction 10%.

At the end of the period, the net cash position (not including infrastructure projects) amounted to 300 million euro, compared with 31 million euro at the end of 2010, boosted by the financial closure of the sale of Swissport and of the stake in M-45. Consolidated net debt (including infrastructure projects) amounted to 19.349 billion euro, a reduction of 439 million euro in the last twelve months. The company refinanced all of its debt through the early repayment of 491 million euro and the refinancing of 1.314 billion euro. In July, the company repaid another 300 million euro in advance, and Autopista del Sol (Ausol) refinanced its 492 million euro in debt for a 5-year period.

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