AIRPORT PRIVATIZATION POSTPONED.

The Moscoso Government announced a new postponement of the public bid for the privatization of the Tocumen International Airport, according to a recent report from the American Embassy here:

Prior to leaving office, the Perez Balladares Government had postponed the bid for October 28, 1999. The new Civil Aviation Director, Jaime Fabrega, announced the postponement in order to make a detailed analysis of the privatization process. No new date has been given for the bid. Seven groups are prequalified to participate in the bid for the 30-year concession to operate the Tocumen International Airport in Panama City; The prequalified groups are: (1) Airport Management Group. Led by the San Francisco International Airport (USA); (2) Panama Gateway Airport Corp. led by the Vienna Airport (Austria); (3) Consorcios Aeropuertos CVP, S.A. Airport of Montreal (Canada); (4) Panama Airport Services, S.A. Vancouver Airport (Canada); (5) Siglo XXI S.A. Hamburg/Frankfurt Airports (Germany); (6) Consorcio OGDEN-SEA. Milano Airport. USA/Italy; (7) Airport de Paris, ADB Management, ATM Group. Paris Airport (France); Tocumen, Panama's most important international airport, had revenues of US$30 million and assets of US$100 million in 1998. It transports an average of 1 million passengers per year and handles 70,000 metric tons of cargo. It has 556 employees and serves 35 international airlines, including one Panamanian; Two U.S. consulting firms were involved with the privatization studies: (1) The Mitre Corp. on technical and economic aspects, and (2) Squire, Sanders & Dempsy on legal aspects. Details: Mr. Jaime Fabrega, Director General de Aeronautica Civil, Aeropuerto de Albrook, P.O. Box 7501, Panama, Republic of Panama. Tel: [phone].

Fax: [phone].