FOR IMMEDIATE RELEASE

March 2, 2016

Media Contact: Kate Miller Morton

kate@columbuscomm.com
512-291-6491

SH 130 CONCESSION COMPANY FILES FOR CHAPTER 11

No Financial Impact on the State of Texas; Business as Usual During Proceedings
MUSTANG RIDGE, TEXAS (March 2, 2016) SH 130 Concession Company, LLC, the private
entity that operates and maintains the southern sections of the State Highway 130 toll
road, has filed for Chapter 11 protection in the Western District of Texas.
SH 130 Concession Company filed for Chapter 11 protection in order to address its
outstanding debt obligations and will continue discussions with its lenders to improve the
capital structure of the project for the long term.
The company hopes to be able to announce a resolution in the coming months.
SH 130 Concession Company will continue to operate and serve its customers on an
uninterrupted basis as it moves forward with this process.
The filing will have no financial impact on the state of Texas, said Alfonso Orol, CEO of
SH 130 Concession Co. Its business as usual for our customers, employees, vendors, and
surrounding communities during these proceedings.
The Texas Department of Transportation contributed no money to build the project and
is not liable for any of SH 130 Concession Companys outstanding debt, money that was
used to finance construction. The state owns the 41-mile southern section of the SH 130
facility and leases the right to operate and maintain it through its Facility Concession
Agreement with SH 130 Concession Co. This agreement remains in place and will continue
to protect the public interest during these proceedings.

(more)

During the proceedings, SH 130 Concession Company expects to continue to:

Operate the road without any disruption

Provide wages and benefits for employees as usual
Maintain excellent customer service and driving conditions
Make payments to vendors and suppliers without interruption

Traffic on SH 130 has increased every year since the facility opened in 2012, including a
15 percent year-over-year increase in 2015. However, traffic has not met original
expectations due to the lingering effects of the recession, which reduced traffic volumes
regionally during the projects early years and delayed development along the largely
rural SH 130 corridor.
Traffic on SH 130 segments 5 and 6 is steadily growing, Orol said. We believe that this
trend will continue and that the road will become an increasingly popular alternative to
I-35 and a valuable asset for the Central Texas region in the years to come as connectivity
improves and the areas economy and population continues to grow. But the challenges
that the project has experienced during its early years have made the current debt
payment schedule unsustainable.
SH 130 Concession Co.s legal advisors for the Chapter 11 proceedings are Gibson, Dunn
& Crutcher LLP and Jackson Walker L.L.P. AlixPartners serves as financial advisor to the
company.
More information is available at Mysh130.com.
About SH 130 Concession Co.
SH 130 Concession Co. operates and maintains Segments 5 & 6 of SH 130 from Mustang
Ridge to Seguin, Texas. The 41-mile section of the toll road immediately south of Austin
offers a speed limit of 85 MPH the highest in the United States. The road is owned by
the Texas Department of Transportation, which has leased the facility to SH 130
Concession Co. for 50 years. To learn more visit mysh130.com.

###