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Annual & Sustainability Report 2016

Strategy and vision

Strategy and vision

CCR Group pursues a strategy of securing new concessions while seeking diversification through new business development. Senior management has established nine Overarching Goals & Guidelines (OGGs) that inform our strategic planning toward 2020.

 

Overarching Goals & Guidelines

  1. Ensure that our approach to governance, management and sustainability is consistent with the needs and realities of the market, new businesses and new geographies.
  2. Train and develop our people to pursue continued, sustainable growth.
  3. Ensure the sustainability of the business by delivering solid and predictable results across CCR Group.
  4. Ensure our strategies are well designed to maximize the profitability of new investments (in both current and new businesses).
  5. Diversify our risks by seeking business opportunities outside Brazil.
  6. Limit indebtedness to healthy levels and ensure receivables agreed under Public-Private Partnerships (PPPs) are paid when due so as not to compromise our financial stability.
  7. Manage the business in a way that ensures agreed results (especially EVA and dividend payout) and business security are achieved.
  8. Maintain sustainability and user satisfaction as differentiators to protect and create value for the business.
  9. Strengthen institutional relations and advocate for regulatory and legal security to continue to support the concession model as a solution for continued investment in infrastructure.

 

Outlook for 2017

Brazil's economy may likely revive if the Federal Government is successful in implementing important policy measures to restore confidence and investments, including the Government spending ceiling, fiscal reform, simplification of the tax system and reduction of barriers to trade and infrastructure deficiencies.

The job creation, bureaucracy reduction and productivity improvement measures announced in December 2016 by Brazil's President, Michel Temer, may also have positive repercussions on the Brazilian economy in 2017.

CCR Group's projections predict modest economic growth of around 1 percent. The company is prepared to face whatever conditions the future holds thanks to stringent financial discipline and valuable human capital, which empower the company to overcome future challenges.

 

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About CCR Group’s strategy and risk management, view the full report here.