Brisbane Airport Link goes the same way as Clem 7

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Brisconnections, the operator of Brisbane’s Airport Link tunnel, has conceded that there is ‘‘significant uncertainty’’ about the outcome of crunch talks with its bankers and will suspend its units from trading on the ASX.

In a statement released after the market closed, the troubled operator of Brisbane’s Airport Link said the board had decided today to enter into ‘‘formal negotations’’ with its lenders about ‘‘potential reconstruction options’’.

The decision took ‘‘into account that on present levels and operating costs, the enterprise value may be less than the outstanding debt’’, BrisConnections said in a short statement.

Earlier today, BrisConnections was placed in a trading halt and will not trade on the ASX until it has negotiations with its lenders.
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The troubled toll-road operator also announced the sudden departure of two of its seven directors – Andrea Harcourt and Richard Wharton – on Monday.

Earlier this month BrisConnections’ bankers appointed corporate paramedics PPB Advisory to review the toll road builder’s business. PPB is looking at ‘‘current and anticipated traffic volumes, revenue, costs, forecast liquidity and BrisConnections’ capital structure’’.

The traffic on the 6.7-kilometre toll road which connects Brisbane Airport to the central city is half what Brisconnections was projecting it to be – even without full tolls in place.

http://www.brisbanetimes.com.au/busi...112-297e5.html