NewsWhore
05-12-2011, 04:00 PM
Writing in today's Diario Libre, financial analyst Alejandro Fernandez comments on the very profitable AES power company and its operations in the Dominican Republic. He makes the point if the Central Bank wanted a case that would justify the success of their economic model they should choose AES in Andres, Boca Chica and the affiliate DPP at Ozama River. He describes these as companies that are the envy of any capitalist.
"Imagine being part of a sector that generates losses to taxpayers for RD$25 billion a year, but operating a company (a leading supplier) that had net yield of RD$2.15 billion," he writes.
"Imagine if you are a shareholder of a company that during 2010 increased net profits 1.571% when these went from RD$125 million to RD$2.15 billion. Just imagine," he comments.
He makes the point that the Presidente beer brewery with 3,584 employees was RD$80 million short of the utilities obtained by AES and its 110 employees.
He adds that the net earnings of Andres-DPP, some RD$1.4 billion in interest paid to the matrix company on a debt of US$413 millions (that for them is equal to their capital) and the consolidated return of AES Andres and DPP were RD$3.5 billion.
To put things in perspective, he mentions that only the Banco Popular, with its 5,759 employees and RD$3.70 billion in earnings, did better. He comments that Banreservas and its 6,925 employees only had earnings of RD$3.05 billion, RD$453 million less than AES Andres and DPP.
He observes that despite allegations on arrears with government power distributors (the Edes), the AES companies were able to collect 105% of what they billed in 2010. The collections have improved with the IMF's support for the company.
In summary, he concludes that AES Andres and DPP increased their income by 62% or US$144 million last year, and their operational cash flow was up 317%.
AES is the largest private power generator in the Dominican Republic. In 2003, it introduced natural gas to the country, and began operation of the AES Andres, a combined 319 MW gas-fired plant and LNG regasification terminal.
Located 35 kilometers east of Santo Domingo, AES Andres also supplies AES Los Mina, a 236 MW generation plant that AES converted to gas-fired operations in 2003 (DPP). These two plants represent approximately 30% of the country's total generation capacity.
AES owns shares in a generation company in the Dominican Republic, Itabo, which includes five thermoelectric generation facilities totaling 433 MW.
http://www.diariolibre.com/noticias_det.php?id=290141
http://www.aes.com/aes/index?page=country&cat=DR
More... (http://www.dr1.com/index.html#3)
"Imagine being part of a sector that generates losses to taxpayers for RD$25 billion a year, but operating a company (a leading supplier) that had net yield of RD$2.15 billion," he writes.
"Imagine if you are a shareholder of a company that during 2010 increased net profits 1.571% when these went from RD$125 million to RD$2.15 billion. Just imagine," he comments.
He makes the point that the Presidente beer brewery with 3,584 employees was RD$80 million short of the utilities obtained by AES and its 110 employees.
He adds that the net earnings of Andres-DPP, some RD$1.4 billion in interest paid to the matrix company on a debt of US$413 millions (that for them is equal to their capital) and the consolidated return of AES Andres and DPP were RD$3.5 billion.
To put things in perspective, he mentions that only the Banco Popular, with its 5,759 employees and RD$3.70 billion in earnings, did better. He comments that Banreservas and its 6,925 employees only had earnings of RD$3.05 billion, RD$453 million less than AES Andres and DPP.
He observes that despite allegations on arrears with government power distributors (the Edes), the AES companies were able to collect 105% of what they billed in 2010. The collections have improved with the IMF's support for the company.
In summary, he concludes that AES Andres and DPP increased their income by 62% or US$144 million last year, and their operational cash flow was up 317%.
AES is the largest private power generator in the Dominican Republic. In 2003, it introduced natural gas to the country, and began operation of the AES Andres, a combined 319 MW gas-fired plant and LNG regasification terminal.
Located 35 kilometers east of Santo Domingo, AES Andres also supplies AES Los Mina, a 236 MW generation plant that AES converted to gas-fired operations in 2003 (DPP). These two plants represent approximately 30% of the country's total generation capacity.
AES owns shares in a generation company in the Dominican Republic, Itabo, which includes five thermoelectric generation facilities totaling 433 MW.
http://www.diariolibre.com/noticias_det.php?id=290141
http://www.aes.com/aes/index?page=country&cat=DR
More... (http://www.dr1.com/index.html#3)