Atlas Arteria · ASX:ALX
Atlas Arteria — Macquarie Atlas Roads — Shareholder Meeting (April 2011)
43 slides from Atlas Arteria's shareholder meeting presentation, Apr 12, 2011
Slide 1: ASX Release: Macquarie Atlas Roads Annual General Meeting
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Slide 2: Macquarie Atlas Roads Annual General Meeting
MACQUARIE ATLAS ROADS ANNUAL GENERAL MEETING 12 April 2011
Slide 3: Disclaimer
Disclaimer Disclaimer Macquarie Atlas Roads (MQA) comprises Macquarie Atlas Roads Limited (ACN 141 075 201) (MARL) and Macquarie Atlas Roads International Limited (Registration No. 43828) (MARIL). Macquarie Fund Advisers Pty Limited (ACN 127 735 960) (AFSL 318 123) (MFA) is the manager/adviser of MA
Slide 4: Disclaimer
Disclaimer Hong Kong This document has been prepared and intended to be disposed solely to "professional investors" within the meaning of the Securities and Futures Ordinance (Cap. 571) of Hong Kong for the purpose of providing preliminary information and does not constitute any offer to the public
Slide 5: MQA structure
MQA structure stapled shares MARL MARIL Manager: MFA Adviser: MFA UK, European and North American North American toll road investments toll road investments MARL – Macquarie Atlas Roads Limited (an Australian public company) MARIL – Macquarie Atlas Roads International Limited (Bermudan mutual fu
Slide 6: Board of directors
Board of directors Macquarie Atlas Roads International Limited — Jeffrey Conyers (Chairman) Independent Director — Derek Stapley Independent Director — David Walsh Independent Director — Dr Peter Dyer Non-Executive Director 5
Slide 7: Board of directors
Board of directors Macquarie Atlas Roads Limited — David Walsh (Chairman) Independent Director — Jeffrey Conyers Independent Director — Richard England Independent Director — John Roberts Non-Executive Director MQA Management — Peter Trent Chief Executive Officer — Mary Nicholson Chief Financial
Slide 8: Registry, Scrutineer & Lawyers
Registry, Scrutineer & Lawyers Registry — Will Mrongovius Computershare Auditor (and scrutineer for voting) — David Armstrong PricewaterhouseCoopers Lawyers — Meredith Paynter Mallesons Stephen Jaques 7
Slide 9: Meeting structure
Meeting structure Introduction and Address by Chairmen – David Walsh, Jeffrey Conyers Update by CEO – Peter Trent MARIL 2010 AGM Resolutions and Polls MARL and MARIL 2011 AGM Resolutions and Polls Closure of meeting Refreshments served Voting results announced to ASX 8
Slide 10: Chairmen's Address
Chairmen’s Address David Walsh MARL Chairman Jeffrey Conyers MARIL Chairman
Slide 11: Chief Executive Officer's Address
Chief Executive Officer’s Address Mr Peter Trent
Slide 12: MQA created through demerger of MIG
MQA created through demerger of MIG MIG INTOLL MQA Assets with stable capital structures Assets requiring substantial operational and financial and mature cash management to maximise value flows CORE NON-CORE 11
Slide 13: MQA portfolio
MQA portfolio MQA’s toll road investments are located in France, UK, USA and Germany Weighted Average Length of Concessions Remaining 32 Years1 1. Weighted by proportionate EBITDA. APRR’s remaining concession life is 22 years, with the weighted average concession life of the remainder of the portfol
Slide 14: MQA strategy to release value to investors
MQA strategy to release value to investors DI SC IP MQA LI to commence N ED dividend payments1 C AP IT AL Refinance Eiffarie (APRR Holdco) M debt 2011/12 AN AG Enhance the three core assets EM EN Deliver growth in the existing portfolio T Holding Structure Individual asset risk quarantined from rema
Slide 15: 2010 progressed according to plan
2010 progressed according to plan 3Execution of Strategic Initiative - APRR Minority Acquisition Materially improves the outlook for the refinancing of Eiffarie consortium debt 3Commitment to Disciplined Capital Management APRR minority purchase funded by existing reserves No capital raising r
Slide 16: Gaining market recognition
Gaining market recognition MQA’s market capitalisation has grown from A$278m at listing to over A$850m1 2.50 20,000 Exchange Australian Securities MQA Market volume MQA Close price 18,000 Exchange S&P/ASX 300 Industrials Accumulation Index3 (MQA.ASX) 2.00 16,000 Listing Date 25 January 2010 14,000 M
Slide 17: Strong underlying results
Strong underlying results Solid financial result despite heavy winter conditions impacting traffic 4.5% Revenue growth2 MQA Pro Forma Performance FY to 31 December 20101 5.4% EBITDA growth2 72.1% portfolio EBITDA margin increasing from 71.5% 5.4% in 20093 4.5% Positive cash position Operatin
Slide 18: Improvements at core assets continue
Improvements at core assets continue Toll Plaza Upgrades at M6 Toll Toll Increases across APRR, M6 Toll and Dulles and APRR Greenway Improving O&M efficiency at APRR Management Contracts Dulles Greenway Increasing Automation of Signage Payments at APRR improvements at M6 Toll Stimulating Heavy Vehic
Slide 19: Asset cash flow to MQA
Asset cash flow to MQA 2010 Cash Income A$m Comment APRR - Requires completion of Eiffarie refinancing (2012) M6 Toll 25.7 Decreasing from 2012 onwards Dulles Greenway - Next distribution test Dec 2011 Non-Core Assets 0.3 No further distributions anticipated in the medium term Total Income 26.0 18
Slide 20: APRR/Eiffarie debt maturing February 2013
APRR/Eiffarie debt maturing February 2013 The refinancing of EiffarieÛs Core Asset Debt Maturity Profile (A$m)1 debt is managementÛs immediate priority 8,000 Ô APRR is MQAÛs biggest asset 7,000 41.1% Ô Opportunity to release dividends 6,000 to MQA security holders 5,000 4,000 20.9% A 4.5 year wi
Slide 21: APRR/Eiffarie refinancing timeframe
APRR/Eiffarie refinancing timeframe Management have commenced preparation for Eiffarie refinancing Jun 2011 Dec 2011 Jun 2012 Dec 2012 2010 Status Comments Minority acquisition materially 3 reduces refinancing risk APRR Debt issuance and liquidity 3 Financial advisor appointed January 2011 issuance
Slide 22: APRR/Eiffarie refinancing considerations
APRR/Eiffarie refinancing considerations Robust performance demonstrated throughout economic downturn and 2008 oil spike APRRÛs resilient performance recognised by credit Eiffarie net debt expected to reduce from €3.6bn to markets ~€2.7bn by Q1 2012 Increased shareholding and fiscal consolidat
Slide 23: Cost of travelling in France
Cost of travelling in France Although price per litre of fuel is rising in France, the cost of car travel relative to incomes has fallen over time Hours of work at average per capita income to buy EUR/litre of fuel fuel for travelling 100km1 1.40 2.20 1.30 2.00 1.20 1.10 1.80 1.00 1.60 0.90 0.80 1
Slide 24: Credit market trends
Credit market trends Western Europe Loan Volume 500 400 - 75% US$ billion 300 + 68% 200 100 - 2Q03 4Q03 2Q04 4Q04 2Q05 4Q05 2Q06 4Q06 2Q07 4Q07 2Q08 4Q08 2Q09 4Q09 2Q10 4Q10 Source: LoanConnector Investment grade loans Leveraged loans Global Corporate Bonds 600 500 + 120% US$ billion 400 300 200 100
Slide 25: Management's outlook for 2011
Management’s outlook for 2011 Overall positive trend in 2010 results is however expected to continue in 2011 — Current high oil prices may cause short-term softness in light vehicle traffic across the portfolio with further potential softness on UK traffic over the next 12-18 months due to austeri
Slide 26: Questions
Questions
Slide 27: Formal Business of Meetings
Formal Business of Meetings Macquarie Atlas Roads International Limited 2010 and 2011 AGM Macquarie Atlas Roads Limited 2011 AGM
Slide 28: Agenda items
Agenda items MARIL 2010 AGM — Re-appointment of PricewaterhouseCoopers as auditors — Re-election of Director – Peter Dyer — Re-election of Director – Derek Stapley — Re-election of Director – David Walsh 27
Slide 29: Agenda items (continued)
Agenda items (continued) MARL 2011 AGM — Receive Financial Accounts and Reports — Adoption of Remuneration Report — Re-election of Director – Jeffrey Conyers — Re-election of Director – Richard England — Re-election of Director – John Roberts MARIL 2011 AGM — Receive 31 December 2010 Audited Fin
Slide 30: Voting cards
MACQUARIE Macquarie Atlas Roads Macquarie Atlas Roads International Limited (MARIL) 2010 Annual General Meeting 12 April 2011 SECURITY HOLDER/PROXYHOLDER ADMISSION & VOTING CARD THE DIRECTORS OF MACQUARIE ATLAS ROADS THANK YOU FOR YOUR ATTENDANCE PLEASE RETAIN THIS GARD UNTIL THE CLOSE OF THE MEETIN
Slide 31: Notices of Meeting
Notices of Meeting MARL 2011 AGM and MARIL 2010 and 2011 AGMs To be taken as read 30
Slide 32: Resolution 1: MARIL 2010 AGM
Resolution 1: MARIL 2010 AGM Resolution 1 – Re-appointment of PricewaterhouseCoopers as Auditors “That PricewaterhouseCoopers be re-appointed as auditors of MARIL until the conclusion of the next annual general meeting and that the directors be authorised to determine their remuneration.” 31
Slide 33: Resolution 2, 3 and 4: MARIL 2010 AGM
Resolution 2, 3 and 4: MARIL 2010 AGM Resolution 2 – Re-election of Director – Peter Dyer “That Peter Dyer be re-elected as a director of MARIL.” Resolution 3 – Re-election of Director – Derek Stapley “That Derek Stapley be re-elected as a director of MARIL.” Resolution 4 – Re-election of Director –
Slide 34: Proxy votes
Proxy votes MARIL 2010 FOR OPEN AGAINST ABSTAIN AGM Resolution 1 Resolution 2 Resolution 3 Resolution 4 33
Slide 35: Voting cards
Voting cards MACQUARIE MACQUARIE Macquarie Atlas Roads International Limited (MARIL) 2010 Annual General Meeting 12 April 2011 SECURITY HOLDER/PROXYHOLDER ADMISSION & VOTING CARD THE DIRECTORS OF MACQUARIE ATLAS ROADS THANK YOU FOR YOUR ATTENDANCE PLEASE RETAIN THIS CARD UNTIL THE CLOSE OF THE MEETI
Slide 36: Item 1: MARL 2011 AGM, Item 1: MARIL 2011 AGM
Item 1: MARL 2011 AGM Item 1: MARIL 2011 AGM MARL 2011 AGM - Financial Accounts and Reports “To receive and consider the Financial Report of MARL and the Directors’ and Auditor’s Reports, for the period from incorporation to 31 December 2010.” MARIL 2011 AGM - Audited Financial Statements “To note t
Slide 37: Resolution 1: MARL 2011 AGM
Resolution 1: MARL 2011 AGM Resolution 1 – Adoption of Remuneration Report “That MARL adopt the Remuneration Report included in the MQA 2010 Annual Report for the financial year ended 31 December 2010.” 36
Slide 38: Resolution 1: MARIL 2011 AGM
Resolution 1: MARIL 2011 AGM Resolution 1 – Re-appointment of PricewaterhouseCoopers as Auditors “That PricewaterhouseCoopers be re-appointed as auditors of MARIL until the conclusion of the next annual general meeting and that the directors be authorised to determine their remuneration.” 37
Slide 39: Resolutions 2, 3 and 4: MARL 2011 AGM
Resolutions 2, 3 and 4: MARL 2011 AGM Resolutions 2 and 3: MARIL 2011 AGM MARL 2011 AGM Resolution 2 – Re-election of Director – Jeffrey Conyers “That Jeffrey Conyers be re-elected as a director of MARL.” Resolution 3 – Re-election of Director – Richard England “That Richard England be re-elected as
Slide 40: Proxy votes
Proxy votes MARL 2011 FOR OPEN AGAINST ABSTAIN AGM Resolution 1 Resolution 2 Resolution 3 Resolution 4 MARIL 2011 AGM Resolution 1 Resolution 2 Resolution 3 39
Slide 41: Voting cards
MACQUARIE Macquarie Attss Roads MACC_ARE Macquarie Atlas Roads Limited (MARL) 2011 Annual General Meeting 12 April 2011 SECURITY HOLDER/PROXYHOLDER ADMISSION & VOTING CARD THE DIRECTORS OF MACQUARIE ATLAS ROADS THANK YOU FOR YOUR ATTENDANCE PLEASE RETAIN THIS CARD UNTIL THE CLOSE OF THE MEETINGS 4 P
Slide 42: Formal Business of Meetings
Formal Business of Meetings Macquarie Atlas Roads International Limited 2010 and 2011 AGM Macquarie Atlas Roads Limited 2011 AGM
Slide 43: Macquarie Atlas Roads Annual General Meeting
MACQUARIE ATLAS ROADS ANNUAL GENERAL MEETING 12 April 2011
Macquarie Atlas Roads — Shareholder Meeting (April 2011) on 6ix