Republic of the Philippines DEPARTMENT OF PUBLIC WORKS AND HIGHWAYS

NAIA Expressway Project

Pre-Qualifications Conference 10 August 2012
*revised 13 August 2012

The Project
The NAIA Expressway: Phase I Adjustment Works Phase II Works Additional Works Access Roads: At-Grade Entertainment City Works

Development Impact
1. Provide improved quality of service at both the elevated toll road and the at-grade free roads around the airport 2. Supports tourism by providing fast and reliable access to the NAIA Terminals and PAGCOR Entertainment City 3. Supports the governments PPP Program 4. Potential PPP Model for additional private participation / support for infrastructure

PAGCOR Entertainment City Access

The revised alignment will allow users of NAIAX to have direct access to PAGCOR City and other developments in the area from NAIA and Skyway/SLEX.

The NAIA Expressway

4-lane elevated toll road: Connects Skyway/SLEX with Roxas Blvd./Macapagal Blvd./PAGCOR Entertainment City with access to NAIA Terminals 1, 2, & 3. Total equivalent length of 7.75km for Phase 1&2 12 on/off ramps at strategic locations Included in the High-Standard Highway Master Plan

Phase I Adjustment Works

Adjustments to the 0.6 km Phase I viaduct, starting from Skyway Stage 1 at km 0+810 to km 1+398.27 including ramps, to achieve operations and maintenance standards comparable with standards to be set for Phase II that would enable seamless operations.

Phase II Works
Design and construction of approximately 4.83 km 4-lane viaduct extension; Design and construction of a minimum of 6 on and 6 off ramps to NAIA Terminals 1, 2 and 3 and other strategic locations; Design and construction of two connection ramps to link Roxas Blvd., Macapagal Blvd. and Entertainment City on-off ramps to and from NAIA Terminals 1 and 2 on-off ramps; Design, construction and provision of toll plazas, toll operating equipment and safety facilities; Reconstruction and widening of affected at-grade public roads.

Revised NAIAX Alignment

At-Grade: PAGCOR City

To Terminal 3 and Skyway/SLEX

Connection Ramps: Roxas Blvd. to T1/T2

To Roxas Blvd./PAGCOR City

PAGCOR Entertainment City (Future) Development

To Manila via Macapagal Blvd.

To Cavite via Roxas Blvd./CAVITEX

To NAIA Terminals and Skyway/SLEX

At-Grade Entertainment City Works

Construction of:

approximately 1.72 km 6 to 8-lane at-grade roads 300 meter 2-lane service road w/in the Entertainment City 500 meter 4-lane access road connecting New Seaside Drive to Macapagal Boulevard

Construction to be based on the design specs to be provided; the maintenance and operations of this section shall be turned over to the Government upon completion.

At-Grade Entertainment City Works

NAIAX: Design and Alignment

The indicative minimum design standards and alignment shall be predetermined prior to bidding. Any substantial changes to the design or the alignment, including the location of the ramps, shall require the review and approval of Government.

Traffic Situation
At peak-hours

Roads are highly congested

Travel time from Makati or Manila CBD takes at least one hour
About 36,391 vehicles currently pass through these roads every day

Traffic volume along this corridor is expected further increase as Entertainment City becomes operational in 2013 onwards and as more tourists visit the country as a result of a more aggressive tourism campaign by Government.

PPP STRUCTURE AND QUALIFICATION REQUIREMENT

PPP Concession Structure

Legal Framework: Philippine BOT Law and its IRR
Build-Transfer-Operate (BTO) variant under the BOT Law

Concession Period: 30 years (inclusive of design and construction period)

PPP Structure
The Concessionaires obligations/rights:
Finances, designs and constructs the NAIAX Phase II Works Finances and constructs the At-Grade Entertainment City Works Finances and conducts the NAIAX Phase I Adjustment Works Undertakes O&M of the entire NAIA Expressway (Phase I&II) Undertakes future periodic maintenance, repairs and renewals Assumes traffic risk Receives toll fees

PPP Structure
The Governments obligations:
Turns over possession of existing Phase I (upon issuance of TOC) Acquires and delivers all required ROW Ensures application of periodic toll adjustments

Bidding Framework for the Transaction

International Competitive Tender

Two-Stage Bid Process:

Pre-qualification of Bidders based on legal, technical and financial criteria Invitation to Submit Bids from Pre-Qualified Bidders Two-envelope system for Bids Posting of required bid bond Technical Proposal - evaluated on a Pass/Fail basis Financial Proposal lowest required amount from the Infrastructure Support Facility as bid parameter

PROJECT TERMS

Estimated Revised Project Cost

Project Cost Items (Current Prices) ROW Construction Cost Other costs* Total Est. Project Cost: Est. Revised Proj. Cost in Php Millions 1,000 11,000 3,500 15,500 Contribution Government Private Sector Private Sector

*Other costs include contingencies, consultancy costs, insurance, and financing costs, among others.

Other Major Indicative Project Terms

Concession Period Right-of-Way Infrastructure Support Facility Construction period Preparation of the Detailed Engineering Design Operation start year 30 years Government Up to Php6.5B Approximately 2 years Approximately 10 months; partial delivery and approval allowed At-Grade Entertainment City Works turn-over by Dec.2013; Partial operations by April 2015 (T1/2 to/from Roxas Blvd. / Macapagal Blvd. / Ent. City); Full operations by 2016

Timetable
Milestone PQ Conference PQ Submission Identification of Pre-Qualified Bidders / Issuance of Bid Documents to Pre-Qual. Bidders Bid Conference Bid Submission Issuance of Notice of Award At-Grade Entertainment City Works Completion Partial Construction Completion (T1/T2 to Roxas/Macapagal/Entertainment City) Construction Completion Target Date 10 August 2012 18 September 2012

End September 2012

October 2012 December 2012 / January 2013 1Q 2013 December 2013

1Q 2015
1Q 2016

THANK YOU

Republic of the Philippines DEPARTMENT OF PUBLIC WORKS AND HIGHWAYS

NAIA Expressway Project

Pre-Qualifications Conference 10 August 2012