The legal vehicle will serve to transfer resources to the construction company Norberto Odebrecht, awarded the work of extending the south terminal of Tocumen International Airport for $679 million.

According to the contract signed between the parties, "...Tocumen is committed ... to establishing a trust or other legal vehicle "and through it transferring the revenue stream that will result from the granting of the new south terminal areas ... and other income generated by the new south terminal with objective of ensuring payment to the construction company Norberto Odebrecht ".

Prensa.com reports that in order to create the trust "... services were contracted from Banistmo Investment Corporation. The cost of opening the trust is $40,000, while the annual cost of administering it will be $20 thousand, 'which will be deducted directly from the account of Tocumen International Airport.' "

Source: Prensa.com

More on this topic

Tocumen Expansion to Cost a Further $99 million

June 2016

Design modifications and additional works total $99 million more than the original cost of the project being undertaken by Odebrecht, who will now have 14 months to complete construction of Terminal 2.

From a statement issued by the Presidency of Panama:

Tocumen Expansion Underway

June 2014

The construction of the southern terminal of the Panama City Airport is now 40% complete and its start-up is scheduled for 2016.

The work on expansion of the international airport is in line with the original international airport for the project, being run by the construction company Norberto Odebrecht.

Odebrecht to Build Tocumen South Terminal

September 2012

The Brazilian company Norberto Odebrecht, with an bidding price of $679.4 million, will build the South Terminal of Tocumen International Airport.

The tender also featured the participation of Costa Rican Meco, Conalvías group from Colombia, and the China Harbour Engineering Company. A total of 33 companies were interested in bidding, participating in the approval process of the tender.

Four Bids for South Terminal at Tocumen

August 2012

The technical proposals have finally been opened in the tender for the construction of a South Terminal at Tocumen International Airport, which will require an investment of $600 million.

The Brazilian company Norberto Odebrecht, Costa Rica's Meco, and Grupo Conalvías from Colombia, along with the China Harbour Engineering Company, were the four companies who submitted proposals for the required technical and financial proposals. A total of 33 companies were interested in bidding, participating in the approval process for the tender.