Companhia de Concessoes Rodoviarias (CCR) Announces Execution of Agreement to Acquire...

Companhia de Concessoes Rodoviarias (CCR) Announces Execution of Agreement to
Acquire Concessionaria Renovias S/A

SAO PAULO, Brazil, Jan. 29 /PRNewswire-FirstCall/ -- Companhia de
Concessoes Rodoviarias (CCR) (Bovespa: CCRO3; Bloomberg: CCRO3 BZ; Reuters:
CCRO3.SA), Brazil's largest road concession operator, has announced today the
execution of a binding and irrevocable Purchase and Sale Commitment for the
acquisition of 40% of the equity in Concessionaria Renovias S/A. CCR's
investment, subject to conditions precedent and adjustments set forth in said
Commitment, will be R$265,000,000.00.
The parties shall comply with conditions and authorizations for the
financial settlement, especially approvals by the financiers of the concession
operator and notification to the Granting Authority. After concluding the
conditions precedent and the financial settlement of the transaction, the
equity in Renovias will be held in the following proportions: 60% of the
common and preferred shares by Encalso and 40% of the common and preferred
shares by CCR.
The concession agreement of Renovias was executed on April 1998 and shall
expire in June 2022.
Comments from the CEO
Renato Alves Vale, Diretor Presidente da CCR, CEO's:
"The execution of the Purchase and Sale Commitment for the acquisition of
40% of Renovias shows the success in CCR's qualified growth strategy, taking
into account the capital discipline required, which is fundamental to increase
CCR's value to its shareholders.
We are confident that there will be new investment opportunities in our
industry, either federal or state concessions, or acquisitions of operating
business."
Concession Description
The Renovias system is comprised of five highways, with a 345.6-kilometer
extension, currently distributed into 220.5 km of bi-directional lanes and
125.1 km of simple lanes:
SP-340 - Campinas to Mococa
SP-342 - Mogi Guacu to Aguas da Prata
SP-344 - Aguai to Vargem Grande do Sul
SP-350 - Casa Branca to Sao Jose do Rio Pardo
SP-215 - Vargem Grande do Sul to Casa Branca

The network of highways has an interface with 15 cities: Campinas,
Jaguariuna, Santo Antonio de Posse, Mogi Mirim, Mogi Guacu, Estiva Gerbi,
Aguai, Casa Branca, Mococa, Espirito Santo do Pinhal, Sao Joao da Boa Vista,
Aguas da Prata, Vargem Grande do Sul, Itobi and Sao Jose do Rio Pardo.
Renovias' market share in the Brazilian road concession market was 3.2% in
2006 in terms of toll revenues (CCR's estimates):
The concession operator's national financing and loan agreements amounted
to R$29.0 million in the short term and R$73.4 million in the long term in
December 2007.
Investments foreseen up to the end of the concession amounted to R$334.3
million in December 2007.
CCR will soon disclose Renovias' financial statements for 2006 and 2007.
Below is some financial and operating information for a better
understanding of the transaction.

Summary table

Accounting Practice

Renovias CCR
R$ million 2006 2007 2008E 2008E
INCOME STATEMENT
Net Revenue 174.2 188.9 213.3 213.3
EBITDA 116.8 124.7 158.1 139.3
EBITDA Margin 67.0% 66.0% 74.1% 65.3%
Net (Loss) Income 46.5 41.2 55.3 51.1

BALANCE SHEET
Total Assets 385.8 432.2 431.3 359.1
Shareholders' Equity 74.3 119.5 173.4 246.7
Total Liabilities (Current
Liabilities + Long-Term Liabilities) 311.5 312.7 257.9 112.4
Net Debt (Indebtness - Cash &
cash equivalents) 74.9 77.4 72.4 72.4
OPERATING DATA
Traffic (thousand equivalent
vehicles) 38,161 40,479 43,151 43,151
Growth (%) 2.8 6.1 6.6 6.6
Average Toll 4.47 4.61 4.66 4.66

Note. (E) Result Guidance.

For further information, access our Investor Relations website:
www.ccrnet.com.br/ir.

Upcoming Events:

Conference Calls
English: Portuguese:
Wednesday, January 30, 2008 Wednesday, January 30, 2008
1:00 p.m. (Brazil Time) / 11:00 a.m. (Brazil Time) /
10:00 a.m. (US ET) 8:00 a.m. (US ET)
Phone: + 1 973 935-8753 Phone: + 55 11 2101-4848
Replay: + 1 706 645-9291 Replay: + 55 11 2101-4848
Code: 33365007 Code: CCR
Live Webcast: www.ccrnet.com.br/ir Live Webcast: www.ccrnet.com.br/ri

About CCR:
Companhia de Concessoes Rodoviarias (CCR), the largest toll-road operator
in Brazil and one of the largest in Latin America, was created in 1998 and
today holds six highway concessions: AutoBAn (SP), NovaDutra (SP-RJ),
RodoNorte (PR), Ponte S.A. (RJ), ViaLagos (RJ) and ViaOeste (SP). The group of
companies controlled by CCR is jointly known as the CCR System. CCR manages a
total of 1,452 kilometers of highways, equivalent to 15% of the highways
operating under concessions in Brazil. The company's capital is owned by major
Brazilian economic groups and one Portuguese group. Of its common shares,
28.9% are traded on the New Market corporate governance segment of the Sao
Paulo Stock Exchange (Bovespa), in accordance with international accounting
standards. The company is included in the IBrX-50, IBrX-100, MSCI Latin
America, Corporate Sustainability Index (ISE, for the third straight year) and
Ibovespa indexes. CCR was one of the first companies to list on the New Market
segment, which has the most rigorous corporate governance standards in
Brazil's stock market.
Statements that are not historical facts, including statements about CCR's
beliefs and expectations, are forward looking statements. These statements are
based on current facts, estimates and projections, and therefore no undue
reliance should be placed on them. Such expectations depend on changes in
market conditions, the performance of the Brazilian economy, the political and
social environment in the country, the Brazilian government actions, the
industry and its competition, our granting authorities, the outcome of pending
litigation, as well as conditions in the international capital markets, and,
therefore, are subject to change without prior notice. Statements speak only
as of the date they are made and CCR undertakes no obligation to update
publicly any of them in light of new information of future events. CCR
provides a detailed discussion of risk factors in its filings with the
Comissao de Valores Mobiliarios (CVM), the Brazilian Securities Commission.
SOURCE Companhia de Concessoes Rodoviarias

Michelle G. Michaan, 55 11 3048-6353, michelle.michaan@ccrnet.com.br