-
11
equity
project.
and contingent liabilities
required
to
support the
18.
Analysis conducted by Wardleys indicated that any
payment by the AA of land premium to Government would require
increase in
a
dollar
for
dollar
the
level
of Government
That is to say
would have to
pay the AA equity to cover in
paid-up equity required to fund the airport.
the Government
full the AA's payment of premia to the Government and the SAR
Government Land Fund.
"Base Case"
light of their financial analysis, based on inputs, wardley advised that they considered that a
19.
In the
the above
viable and robust "base case" for the funding of the airport
could be developed as follows :
March 1991 prices
Money of the day
Government Equity
$13,600m
Initial Debt
$23,300m
Pre-completion land
$ 1,290m
$16,600m
$37,000m
$ 1,795m
revenues
Debt : Equity
Return on Equity
Final Maturity of Debt
Minimum Debt Service Cover Ratio
2.2 : 1
14.66%
11.5 years
1.37
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