Leighton Welcomes Eastern Distributor Announcement

Issue Date:  13 August 1996
Issued By:  Leighton Holdings Limited

The decision by the New South Wales Government to proceed with the Eastern Distributor in Sydney has been welcomed by the Chief Executive of Leighton Holdings Limited, Mr Wal King.

Earlier today, the Airport Motorway consortium was selected as the preferred proponent for the financing, design, construction, operation and maintenance of the Eastern Distributor project.

"Airport Motorway put in a very competitive bid and we're delighted that the New South Wales Government and Minister Michael Knight have acted decisively to ensure the project is ready for the Year 2000 Olympics," said Mr King.

"By encouraging the private and public sector co-operation that underpins the Eastern Distributor, New South Wales has shows it's well on the way to staging a successful games in four years time," he said.

The project will delivery smoother traffic flow between Sydney's northern, inner and southern suburbs through, among other things, the construction of twin, three-lane 1.5 kilometre tunnels beneath Taylor Square, linking the Cahill Expressway at Woolloomooloo, with South Dowling Street at Moore Park. The estimated cost of the project, including ancillary works, is $600 million.

Leighton Contractors Pty Limited, a wholly owned subsidiary of Leighton Holdings, will be responsible for design and construction, as well as operation and maintenance.

Airport Motorway will in time become a public company for which Macquarie Underwriting and Leighton Contractors will be responsible for project equity. Project debt finance will come from a combination of National Australia Bank, Macquarie Bank, Bankers Trust, and Westpac. The financial adviser to Airport Motorway is Macquarie Corporate Finance.

Issued by: Leighton Holdings Limited
ACN 004 482 982