OHL acting problems: Moody's

National

SCT rejects to investigate the manufacturer's irregularities

OHL acting problems: Moody's

By: Carlos Damian                                                             May 13, 2015

BI revises the note: risk that the signature Spanish doesn’t complete credit for 300 million Eurus

Mexico. -   In spite of the dismissed of the executive Pablo Wallentin y Gerardo Fernandez (legal)   and that the company announced a series of measures to make transparent its operations, the Moody's qualified noticed that OHL could begin to have trips in its acting before the scandal that caused the diffusion of a series of phone calls in those that several directive of its filial OHL México speak of presumed irregular operations in its relationship with the State government of Mexico and works like the Bicentennial Viaduct. Moody's informed that it is in revision the qualification BI of OHL, OHL Mexico's womb, and it said that it exists the possibility that the Spanish company whose president of the Grupo OHL is Juan Miguel Villarmir, cannot cover a credit agreement for 300 million Eurus before the fall that its actions have suffered from last Wednesday (05/09/15) when they were placed in YouTube the phone conversations. Moody's pointed out that the result of the investigations that OHL carries out on that happened in its Mexican branch one won't have soon and it considered that the graveness of the case could affect its reputation and to hinder its operations in Mexico.     "It could be more difficult for OHL to get construction contracts and concessions in the future” and it got the attention on that Mexico represents 77 percent of the revenues of OHL. The main works of infrastructure of OHL Mexico concentrate on the Mexico State, Puebla and the Mexico City. For separate, the Secretary of Communications and Transports (SCT, for their initials in Spanish) it informed that to them it doesn't correspond them to carry out any investigation on OHL Mexico's acting and their relationship with the State government of Mexico, and it remarked that the investigations are only competitions of the Mexico State’s administration.  Yesterday before the closing of the market OHL Mexico's actions were of those more negotiated in the Mexican Stock -exchange (BMV, for their initials in Spanish) but with a movement to the drop in their rate of 1.10 percent. When concluding the session the Mexican branch of OHL it reflected a decrease in the rate of their actions of 0.65 percent. For separate OHL México informed that it has received 437 million 733 dollars for the construction and operation of the Bicentennial Viaduct, the work that was the center of the conversations among directive of the said company mounts that it represents 61 percent of that committed, while this company has invested 772 millions dollars.    It also pointed out that the construction of two phases more than the Viaduct will depend on the moment in that the traffic flows are reached, however between 2013 and 2014 the flow went down of 29 thousand 749 vehicles in circulation to 29 thousand 75, measured in what the company denominates the daily half intensity that is the total of users that “hypothetically” would have traveled the total of kilometers of this highway. Also it pointed out that the half quota for vehicle passed of 11 pesos in 2012 to 14.1 pesos in 2013 and at 17.60 in 2014. This half quota is obtained when dividing the revenues for quotas of toll of the period among the total number of vehicles of the same lapse. The utility before net revenues for the company for toll quotas was of 4.9 millions dollars in 2013; and of 17.16 millions dollars in 2014.   Public function should investigate concessions: legislators   The senator Manuel Bartlett (PT) and deputy Manuel Huerta (Morena) will present on Wednesday in the permanent Commission of the Congress of the Union an agreement point to exhort the federal Executive so that it orders the Secretary of the Public Function (SFP, for their initials in Spanish) investigates the operation of the concessions granted by the SCT of the Mexico State to the company OHL. The legislators will also demand that that point you entity discusses day in the full of the Permanent one, where it will also be requested the government of the DF and of the Mexico State they elucidate the concession process. Manuel Huerta remembered that OHL builds, it administers, it operates and it maintains six toll freeways and an airport. Among them the Mexico External Circuit whose concession is effective from 2013 and it will conquer in 2051, with a cost of a thousand 661.4 million dollars, with a longitude of 155 kilometers of those which at the moment are in operation 110 kilometers. Also among the big ones you work concessional to OHL the Bicentennial Viaduct that it goes from Toreo de Cuatro Caminos to the kilometer 44 of the freeway Mexico - Queretaro. And the period of concession is from May 2008 to May 2013.     To these two works they sink the Freeway Urban North, the Supervia Poetas and the Corredor Carretero Altiplano. On the other hand, the State government of Puebla granted in 2008 the concession title to Autovias Concesionadas OHL, for design, financing, construction and exploitation of the north draft in the Puebla City. The popular representative for Morena also remembered that in last month of March that manufacturer presented to the National Commission of the stock- exchange of Spain a proposal in which outlines to bill 8 thousand million Eurus in a term that would conclude in 2020. "The directives of OHL that intervene in the recordings describe how to inflate the numbers, because they recognize that those numbers won't very probably reach in the term that they have contemplated. And one of the points that calls more the attention where is spoken that the company would be being about that that initially was averaged, they speak of a figure of 4 thousand million pesos that left the 10 thousand above". This way you exhort the executives of the Mexico State and of the Federal District so that they investigate the operation of the concessions granted to the company OHL México, for its local administrations.     Tip of the iceberg?  The former vice-president Spanish and old director of the International Monetary Fund (IMF), Rodrigo Rato was arrested by some hours in having interrogated (04/16/15) in Madrid for the fiscal police, which revised its housing, its main office and other local of its property. The police actions carried out in the mark of an investigation for fraud crimes, laundry of money and concealment of he/she comes which sink to other open causes against the former official for its paper in the crash of the financial company Bankia -a conglomerate of saving boxes for rich that there was to be rescued for more than 23 thousand million Eurus -and for its undue use of cards of credit property of that institution, which were used by Rato and their collaborators for personal expenses and to make matters worse, without declaring to the revenue the corresponding perceptions. Although the one that ended up being the most powerful second man in Jose Maria Aznar governments (Popular party, PP, at the moment in the government) it is investigated for some years, their temporary detention and the heap of imputations to those that it has to make front shake to the Spanish political atmosphere. The presidency that Mariano Rajoy heads has sought to leave the step when affirming that the case proves that in the country “the justice is applied for all” and that the right state is effective.     However, diverse civic and political sectors wonder the judicial actions against Rato are a luck of internal vendetta in the lines of the PP in meantime, as long as other they interpret them like a politics of control of damages guided to deviate the attention of other serious circumstances of corruption in a régime whose period government, it has been maintained, per years, for a plot of illicit financial operations that has come out slowly to the light by means of another judicial investigation: case Gürtel, played by the former financier of the PP Luis Barcena. For their it was little thing, the king's family own is involved, for its sister's people, the ‘infanta’ Cristina, and its brother-in-law, Iñaki Urdangarin, for the investigations around dark and fraudulent financial handlings. These episodes tunnel the traditional speech of Madrid of moral superiority, transparency, democratic normality and validity of the right state. (La Jornada, economia, p. 26, May 13, 2015).