PRESS RELEASE
04/07/2005

Dexia appointed financial adviser for the Lyons - Turin railway project

 

The group formed of Dexia, Mediobanca, Clifford Chance and Grimaldi e Associati, and of which Dexia is the authorised representative, was retained on 21 June 2005 by the company Lyon Turin Ferroviaire ("LTF") to carry out a consultancy mission dealing with the financial and legal aspects relating to the common Franco-Italian part of the project (Saint-Jean de Maurienne - Bruzolo) to build a new high-speed rail link between Lyons and Turin.

This is one of the priority infrastructure projects in Europe. It consists in particular of the construction of a 52-kilometre tunnel under the Alps. The works are to begin in 2010, the service is scheduled to start in 2018 and the cost of the project is estimated at 6.7 billion EUR for the international part only.

The project results from the wish to rebalance road and rail traffic sustainably between France and Italy in favour of rail for economic and also environmental reasons, with a concern to add dynamism to rail freight with this link.

This mandate relates essentially to a further comparative study of two deals selected as a result of earlier studies: a Public Private Partnership ("PPP") scheme and a public scheme, so that a choice can be made by LTF and ratified by the Franco-Italian Inter-Governmental Commission ("IGC").

The selection of our group in particular reflects the recognised expertise of Dexia and its partners in the structuring of public deals and PPPs, in Europe and particularly in France and Italy through its subsidiary, Crediop. In Holland, Dexia arranged the financing of the HSL ZUID project, until now the only high-speed rail link in Europe arranged in PPP.