“The approval of TE’s accounts by the Shareholders’ Meeting,” explained CEO Stefano Maullu, “once again shows how hard our company has worked. Every day, we work very closely with all the people involved – from local administrations to banks – to ensure TEEM is integrated into the local area and an economic driver for Lombardy”.
At today’s AGM for Tangenziale Esterna SpA (42.40% TEM, 17.77% Impregilo, 10.17% Pizzarotti, 6.73% Autostrade Lombarde, 4.19% Coopsette, 4.09% CMB, 4.09% Unieco, 3.24% CMC, 1.85% Intesa Sanpaolo, 1.82% Itinera, 1.02% Satap, 1.00% CTE, 1.00% Pavimental, 0.39% Milano Serravalle Milano Tangenziali, 0.25% Autostrade per l’Italia) the shareholders unanimously approved the accounts as at 31 December 2012, as per the draft accounts that, on 4 April past, were approved by the Board of Directors. TE is in charge of designing, building and managing on the basis of a 50-year concession, the Milan Outer Eastern Bypass (TEEM), a project requiring €2 billion entirely funded using project financing from the private sector. During its fourth year of operations without any contributions from the public purse, TE consolidated its structure, while still keeping it streamlined. It also kept to the schedule of work, operating in synergy with the general contractor (Consorzio Costruttori TEEM), successfully resolved on 12 September 2013 to raise the capital from €100 to €220 million and obtained a bridging loan (7 November 2012) for €120 million from the arranger banks, Banca IMI, Banca Popolare di Milano and Centrobanca-UBI. Finally, it put in place the conditions to finalize, hopefully with the involvement of the European Investment Bank and Cassa Depositi e Prestiti, the closing of the project financing (€1.42 billion).
The approval of the accounts provides substance for TE’s goal – a target also shared by the general contractor – to complete this infrastructure project before the 2015 Expo. Such an objective for infrastructure designed to be integrated into the local area provides a major boost in a time of economic crisis and, aside from improving traffic flows and being considered a strategic project by the EU, it will also help increase business competitiveness and improve the quality of life in the area, especially by creating jobs and generating growth.
Moreover, TEEM will create 28,000 new jobs (18,000 in the construction sector and 10,000 in other sectors) and it is estimated that it will boost Italian GDP by 0.3%, regional GDP by 1.4% and the GDP for the Milan Metropolitan Area by 2.8%.
The TEEM Bypass is a major infrastructure project that involves building 32 km of motorway and 38 km of new roads, and upgrading 15 km of existing roads and 30 km of cycle paths. By the time the World Expo is held in Milan in 2015, the Bypass will connect Agrate Brianza on the A4 motorway to Melegnano on the A1, crossing the provinces of Monza and Brianza, Milan and Lodi. In total, it will touch on 34 municipalities and allow the BreBeMi motorway to connect with the road network in the Greater Milan area.