City's Largest Public Project to Create 4,000 Jobs During Four-Year Schedule

LOS ANGELES, CA--(Marketwire - October 19, 2009) - The Los Angeles Board of Airport Commissioners today took a significant step towards the modernization of Los Angeles International Airport (LAX) by awarding two contracts totaling $1.26 billion to reconfigure the Tom Bradley International Terminal (TBIT). The Bradley West Project, as it is known, is considered to be the biggest public works project in the City's history and is expected to create 4,000 construction-related jobs during the four-year project schedule.

Walsh Austin Joint Venture, Los Angeles, was awarded two contracts. One contract for $545,550,000 with a budgeted owner's contingency for $61,410,000 amends an existing contract to include construction services for "Bradley West Gates Project," which includes nine new boarding gates on TBIT's west side to supplement existing gates on the terminal's east side; dual passenger loading bridges; concourses with larger passenger lounges/holdrooms; aircraft tarmac areas and associated structures; and aircraft support equipment to accommodate new-generation aircraft such as the Airbus A380 and the Boeing B787. The new boarding gates are scheduled for completion in 2012.

The second contract for $584,200,000 with a budgeted owner's contingency of $66,710,000 for "Bradley West Core Improvements" covers upgrades to the Federal Inspection Service/Customs and Border Protection facilities; addition of secured corridors between Terminals 3 and 4 and TBIT so passengers with connecting flights do not have to exit the terminals and go through security screening again; and over 1.25 million square feet for food/beverage and retail concessions and other passenger amenities located beyond passenger security screening. The core improvements are scheduled for completion in spring 2013.

Funds for the Bradley West projects will come from LAX's operating revenues, capital improvement program funds, fees from airlines, passenger facilities charges and airport revenue bond proceeds.

Los Angeles Mayor Antonio Villaraigosa said, "By modernizing the Bradley Terminal at LAX we will provide better service for passengers from around the world. Tourism generates jobs, and improving the experience for travelers at LAX will put people to work now and for years to come."

Los Angeles World Airports Executive Director Gina Marie Lindsey said, "Today's action by the Board is a cornerstone of the work to build international facilities worthy of the LAX name."

She added, "A world of international travelers and the airlines that serve them have now come a giant step closer to the delivery of one of America's premier international gateways."

Walsh Austin Joint Venture was previously awarded a $10,978,000 contract earlier this year for construction manager at risk, pre-construction services for the Bradley West Project. Pre-construction services included risk assessment, construction phasing, cost and budget estimating, and mitigation recommendations.

The Bradley West Project is one element of the overall LAX Master Plan approved by the City Council in December 2004. In addition to providing a substantial number of construction employment opportunities, it is expected to also provide direct and secondary regional economic benefits, including the need for construction goods and services associated with a large capital improvement project.

The contract awards are contingent upon approval by the Los Angeles City Council.

According to a 2007 study completed by the Los Angeles Economic Development Corporation (LAEDC), LAX serves a vital role relative to trade and tourism and the associated employment and economic benefits. LAX flights in 2006 created 363,700 direct and indirect jobs with annual wages of $19.3 billion in Los Angeles, Orange, Riverside, San Bernardino, San Diego, and Ventura Counties. The LAEDC study also found that an average transoceanic flight traveling round-trip from LAX every day added $623 million in economic output and sustained 3,120 direct and indirect jobs in Southern California with $256 million in annual wages.

The Tom Bradley International Terminal is LAX's primary facility serving international travelers, with nearly 35 airlines operating in the terminal today. Since its opening in 1984, hundreds of millions of international travelers have passed through TBIT.

Los Angeles World Airports is a City department that owns and operates LAX, LA/Ontario International (ONT) and Van Nuys (VNY) airports.

FOR FURTHER INFORMATION PLEASE CONTACT:
CONTACT: Albert Rodriguez (424) 646-5260