Third terminal set to go, financing still to come (180 words)

Published: 2/26/2001

Bovis Lend Lease International Ltd, has won the tender to manage the reported $250-$300m development of Shermetyevo Airport's third terminal, for Aeroflot. It is unclear how the project, due to be completed in 36 months (slightly longer than the original completion date in 2003), will be financed. Aeroflot has confirmed that it will be providing 15% of the financing, a reduction in the earlier reports of 30%. The suggestion has been made of a separate entity being established to undertake the development with other shareholders. Aeroflot indicates that it has already received interest from both domestic and foreign financial institutions regarding participation. The project finance for the terminal is reported as being managed by Morgan Stanley. The new terminal, according to Aeroflot, will be capable of handling 8-10m passengers per annum and will service all Aeroflot's domestic and international flights. Additionally, this will extend to other foreign carriers such as the members of the SkyTeam alliance, led by Delta and Air France.

Article ID: 2373