MADRID Oct 19 Two Spanish road maintenance
companies, whose shareholders include builders Ferrovial
and Sacyr Vallehermoso, have gone into
administration, the latest companies to go under in Spain's
worst recession in 50 years.
Autopista Madrid Levante Concesionaria and Inversora de
Autopistas de Levante managed a toll road built in central
region Castilla La Mancha during Spain's construction boom.
Ferrovial and Sacyr said the investments had been written
off their balance sheets, and would not have a significant
impact on their profit and loss accounts.
A near-decade long housing and construction boom in the euro
zone's fourth largest economy crashed in 2008, bankrupting
builders and dumping foreclosed property and bad loans on
Lower-than-expected traffic flow, the economic crisis and
increased capacity in alternative routes all make it impossible
to meet its payment commitments with lenders, the companies said
in a statement on Friday.
A month ago two other road maintenance companies, also held
by Ferrovial and Sacyr, filed for administration for the same
(Reporting by Jesús Aguado; editing by Sonya Dowsett and James