Sunday, June 3, 2012

Virginia Ports PEU Privatization Resurfaces

FT reported on a new unsolicited proposal submitted to Virginia's Transportation Secretary Sean Connaughton.  The Commonwealth of Virginia considered port privatization prior to Governor Bob MacDonald's election.

The Carlyle Group and Goldman Sachs' Goldman Capital were bidders in 2009.  They are expected to reenter the unsolicited proposal race, which ends July 12.  Virginia Ports could be privately operated as soon as January 1, 2013. That would be a sizable get.

Update 6-21-12:  People in Virginia's port cities are waking up to the privatization scam. Recall infrastructure is where PEUs expect to make 20% annual returns, virtually risk free.  Take Gov. Bob McDonnell's Dulles Toll Road.  "Tolls on the Dulles Toll Road could triple by 2018. Tolls for a one-way trip could jump from $2.25 to $4.50 next year and go up to about $7 by 2018."  It sounds like Chicago Parking.