“Stade Matmut Atlantic” : the renegotiation of the PPP despite the deficit

Accusing a deficit of 2 million euros, the president of the company that operates the stadium “Matmut” Atlantic Bordeaux has asked for a renegotiation of the public-private partnership (PPP) with the city hall. A claim rejected immediately by the latter, which calls for respect of the signature and the word given.
For its second year, the “stade Matmut Atlantic” Bordeaux has incurred a deficit of 2 million euros, said on Thursday 27 April 2017 Bernard Hagelsteen, president of the operating company. The latter has asked for a renegotiation of the public-private partnership (PPP) with the city council, who addressed to him an end of inadmissibility. “We realize a turnover of 19 million euros, which is consistent with the initial contract for royalties, which is a little above concerning the activity of companies, and a little below, to the partnerships and the +naming+ of the stadium. This gives a deficit of two million euros“, explained Bernard Hagelsteen in an interview with the daily South-West.


A deficit in the economic cycle ?


But an activity that starts is not necessarily balanced from the start, “admitted the president of the SBA, the corporation that operates the stadium opened in the spring of 2016 and has hosted five matches of the Euro 2016 football championship in June and July. According to the president, to straighten out the accounts, it will be necessary to achieve “all possible economies and seek to increase the “volume of activity”, including “more matches, more spectators, for concerts, congresses…” “It is also necessary to reconsider some of the commitments made as a result of the expenditure in relation to the city. We must seek the way, the formula, the solution to rebalance the contract“, he estimated.


An application which has received an end of inadmissibility of the town hall: “It is out of the question to re-negotiate. In 2011, the mayor of Bordeaux, Alain Juppé, has signed a contract in which SBA has affixed his signature. Those who have signed have offered themselves in this economic model, they knew what to expect. We call for the respect of the signature and the word given, “said to AFP Nicolas Florian, vice president finance at the town hall. “It seems that there have been fewer events than expected, outside the football and rugby. I imagine that this deficit is cyclical,” he said, saying “happy stage”. “It is a great accomplishment, well-farmed, which contributes to the economy of the city and its influence“, he insisted.


Of a total estimated cost 183 million euros (excluding taxes), the stage of Bordeaux was funded by a public-private partnership signed in October 2011 between the groups of BTP Vinci and Fayat, and the State, the city, the communities (with the exception of the department of the Gironde) and the Girondins.

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