Vol 4, Issue 3 (March 2003)

Need to know

• COMPANY RESULTS/POLICY

  France: Vivendi Environnement (VE) reported a 7.1% rise in net profits for 2002 of €339 million after posting a net loss of €2.3 billion in 2001.

• CORPORATE

  France: Suez spent much of its time calming financial market nerves. On 26 February, the company’s stock was the subject of a wave of intense speculation with a block of 5.6 million shares changing hands.

• DEALS

  Tanzania: A consortium of Biwater and Germany’s Gauff finally signed the lease contract to manage the Dar es Salaam Water and Sewerage Authority (see story, p.18).

• INVESTMENT

  Italy: The regional authorities of the drought-stricken Mediterranean island of Sardinia allocated €371 million to alleviate the area’s water crisis.

• Letter to the Editor

  from: Jean-François Talbot Chairman and CEO, Saur International

• PUBLICATIONS

  France: A United Nations study on the state of the world’s water resources was released – to coincide with the Kyoto World Water Forum later this month.

Analysis

• Playing hard to get in Kyoto

  Staying out of the limelight might just do some good.

General

• Dawasa lease contract done

  Biwater has put pen to paper at last.

• Developing projects in China

  Asia’s biggest market shows great potential but investors need to proceed with caution.

• IFC enters Mexican municipal bond market

  With a $3 million partial credit guarantee.

• LSWC accounts show signs of improvement

  But it’s still an uphill struggle in Lagos.

• More ATOs to award concessions

  A wave of direct assignments is expected before the switch to competitive tendering.

• Ondeo out of Thu Duc

  The company has turned its back on Vietnam as well.

• Sabesp plans US$162 million of investment this year

  Sewage treatment projects will benefit.

• Santa Catarina to allow greater municipal control

  In a move which could spell the end of Casan.

• UK Water Bill published

  The end of Ofwat.

• VA Tech Wabag wins Macau airport order

  In a $5 million deal.

• Vivendi consortium frozen out of Sanepar

  The state of Paranã has resumed management control of the company.

• Water services not included in WTO/GATS talks

  A pronouncement against privatisation?

• West Manila goes to arbitration

  Ondeo is seeking over $300 million.

Companies

• The future of the UK water industry

  The water business in England and Wales is now an enticing prospect for banks and private equity firms.

• WestLB bids for AWG

  Turned down, but for how long?

Performer of the month

• UK water shares advance after WestLB bid

  The bid breathed new life into the utilities sector.