The infrastructure division is expected to exceed the proportion of 60% of revenues from international activities. To achieve this goal, FCC (whose main shareholder is Esther Koplowitz) will focus on a small number of countries with a positive financial profile, which reduces operating risks.

Falcones also noted that the growth strategy will focus on environmental services and end-to-end water management through prudent expansion from markets where the company already has a strong position to nearby markets and related activities in which FCC has extensive experience and know-how.

FCC's backlog is another source of strength going forward. At the end of the first quarter, the Group had expanded its backlog by 7.2% to 37.036 billion euro; the backlog outside Spain expanded 18.6%. This backlog represents almost three years' revenues.

Services and renewable energies

Services and renewable energies are drivers of FCC's growth. In the first quarter, EBITDA from those activities totalled 172.4 million euro, an increase of 14.4% with respect to the first quarter of 2009. Environmental services and renewable energies expanded their contribution in the quarter to 57.9% of EBITDA. Both activities are recurring and non-cyclical in nature, which offsets exposure to sectors affected by the crisis.

With regard to today's global economic difficulties, Mr Falcones stated: "FCC is in a solid position. We are operating in sectors subject to rapid growth and rising demand outside Spain, such as infrastructure, environmental services and renewable energies". This strategy will enable the Group to maintain its net profit target for 2010 "despite the ongoing crisis". Debt was 3.45 times EBITDA at the end of 2009, which Falcones commented was "in tune with recurring revenues and cash flow".

He also highlighted other FCC strengths: its stable and committed ownership structure, geographic and sector diversification, and the quality of its human capital, which he credited with enabling the company to compete in international markets.

Costs and procurement system

Mr Falcones also discussed the various internal reform projects being implemented. Corporate departments are implementing policies based on information systems which seek to create synergies and provide the different business areas with strategies and tools that improve competitiveness.

Consolidation of all of the Group's procurements was approved at the end of the year with a view to enhancing bargaining power and increasing savings at individual business and consolidated level. The new procurement policy is based on an integrated electronic system.

The policies, the results of which are already notable in company's financial statements, will gradually provide for savings throughout the organisation, both in Spain and abroad.

Appointments and dividends

The shareholders approved the appointment as independent directors of Henri Proglio (Chairman of French utility EDF) and Javier Ribas and the reappointment of the following as proprietary directors: Dominum Dirección y Gestión, Cartera Deva, Larranza XXI, Robert Peugeot, Fernando Falcó y Fernández de Córdova, Marcelino Oreja, Juan Castells and Antonio Pérez Colmenero. Gonzalo Anes was reappointed as independent director, and Felipe García as executive director.

The Meeting of Shareholders approved a supplementary dividend of 0.715 euro per share; an interim dividend for the same amount was paid in January. Accordingly, the total dividend in 2010 amounts to 1.43 euro, a 59% payout, in line with last year, representing a total disbursement of 167.38 million euro. The supplementary dividend will be paid on 7 June.

The shareholders also empowered the Board of Directors to issue fixed-income securities or debt instruments of a similar nature, secured or unsecured, amounting to at most 500 million euro, as well as bonds convertible to or exchangeable for shares, amounting to at most 300 million euro. The issues are part of the financial diversification policy implemented in 2009. In October 2009, FCC successfully placed 450 million euro in convertible bonds; it is the first company in the industy to use this kind of instrument.

General Meeting with zero CO2  emissions

The meeting held today in Barcelona is FCC's first zero-emission General Meeting of Shareholders. The emissions generated by the meeting will be offset by planting an equivalent proportion of trees in urban areas.