Good afternoon, everybody, and welcome to Ferrovial's conference call for the 2019 first half results. Both the results report and the presentation are available to you on our website. If you have any questions, you may ask them through the form included in this webcast, through an email to ir@ferrovial.com, or via this conference call in the Q&A session at the end of the call. With this, I will hand over to Ernesto López Mozo, Ferrovial's CFO, who will be leading the call.
Thank you, Ricardo. Good afternoon, and thank you for attending this call. First, we start with the highlights of the first half. We have the strong performance of the 407 ETR, with EBITDA growth above 7% and traffic impacted by worse weather conditions compared to last year. We can update you that July is looking better. We have to monitor the traffic throughout the year. Solid performance, as I mentioned. Regarding the managed lanes in Texas, performance was boosted by new connections in the Dallas-Fort Worth area, and we have very solid growth in terms of financial results above our growth in traffic. In Heathrow, we have record traffic of 38.8 million passengers. That is 1.8% up from last year, and we have the expansion master plan consultation on runway three already launched.
In construction, we registered a provision in the first quarter of EUR 345 million at 100% for projects in the U.S., expected losses. In the second quarter, there have been some slight additional losses in projects that are outside the U.S., and now we are working on execution, concentrating focus, and looking at improving all the bidding and performance. Moving on to the different areas into toll roads in the next slide. We see that managed lanes are driving the outstanding EBITDA growth of the division, 47% in like-for-like terms, with more than 60% coming from the U.S. Also, an idea of the performance and quality of the assets was the sale of Ausol. Ferrovial reached an agreement to sell 65% of Ausol for EUR 447 million and agreed a call and put option for the remaining stake, 15% remaining.
The equity value, extrapolating of this 100% equity value, would be EUR 688 million. That is around 60% above the analyst valuations. The deal, when closed, that is expected before year-end, we should record a capital gain of EUR 474 million, and this includes the fair value adjustment for the stake we keep ahead of any call or put execution. The cash is expected to be received before year-end. As I mentioned, the closing should be before year-end. The transaction is just subject to the customary regulatory consents and approvals. No further impact beyond this in terms of P&L or cash flow in these results. No impact in these results, as I said. Okay. If we move on to the specifics of the 407 ETR in the next slide, I would like to focus on the following points.
Performance in the second quarter has been very solid, with EBITDA 8.9% higher, despite rain and colder weather. This is, of course, on top of the first quarter also, saw that kind of effect. When we look into the profitability, we have to bear in mind that in 2018, OpEx was impacted by a favorable effect of a one-time recovery of indirect taxes. OpEx really is only growing at an underlying rate of 1.1% while the margins are great. You see that the second quarter is around 89% EBITDA margin. Always the seasonal effect, and the first quarter is lower in margin than the second. In terms of the first half figures, the other thing I would like to mention is that we are recording longer average trip length. That is helping, and in July, as I said in the introduction, is showing also good results.
Dividends grew by 10.5%, so the total for the asset was CAD 500 million. The July board meeting approved the third quarter dividend of CAD 250 million. So the asset keeps being in delivering mood. It shows a very strong financial position. Finally, Ferrovial, as we mentioned before, is interested in exercising the right of first refusal for our 5.2% stake in the 407 ETR that SNC-Lavalin is selling. You know that this exercise is subject of a judicial resolution for interpretation of the contract among the different parties. We had the first hearing in June, and we don't have visibility as to when it can be resolved. Okay? If the resolution is finally in our favor, we should have a cash outflow of around CAD 1.6 billion for this stake. Okay.
If we move on to have a little bit more color on the weather I was mentioning, you can see in the comparison between last year and this one that the conditions were clearly worse. During the first quarter, there were several severe weather events that took place involving freezing rain and snowfall, five major winter school closure days that implied bus cancellations, there was nothing of this in the previous year. Also, days with freezing rain, that also keeps traffic down. In the second quarter also, there was heavier rain and coldest weather in general. I don't want to focus only on weather. Weather has played a major role for sure. Also, we are seeing the economy a touch softer. Business and consumer confidence is lower, probably the growth in GDP will be lower this year than initially forecast in the region.
As I said, the outlook in July is looking good. Probably July will be the best ever. We will keep monitoring that. The dynamics of the asset keep being phenomenal. In summary, it's a place where business and population grow in the area. We can move on now to other parts of the toll road division, Cintra. The next slide shows the outstanding performance of the managed lanes in Texas. In the second quarter, we see that the NTE grew by 42% and EBITDA by 21% in local terms. We see that the North Texas economy remains strong and diversified, and continues to outperform the larger U.S. economy. Unemployment in Dallas-Fort Worth is at its lowest level since spring 1999. It dipped below 3%, and the state rate is 3.5%, and the overall country is 3.6%, and it's a five-decade low.
The corridor is really key from a commercial point of view. The I-35 West connects Mexico and southern Texas, is the more direct north-south connection for long-haul trips. We have to look at the area in more detail and talk about the Alliance Area Development. It's a very important logistics center to the north of Fort Worth. Many U.S. companies and logistics companies are located there. We have logistics centers and warehouses from Kraft Foods, JCPenney, FedEx, Walmart, and LG. Also, Amazon has two fulfillment centers in the north and south of the airport, among other many centers that we see in the area, and we keep seeing commercial traffic outperforming. In terms of real estate also, Fort Worth is a city that is spreading to the north, and much of that land is owned by Alliance Hillwood.
This strong population growth is expected in the region and should translate into a significant increase in traffic over NTE 35 West in the long term. In the first half of 2019, rather than the quarter, NTE EBITDA grew by 45%, benefiting from the opening last year of the NTE 35 West and the SH 183 that connects to the east to Dallas directly. NTE segment two connects to that. LBJ EBITDA grew by 24%, boosted by higher traffic in segment one to the west. That is also the one that connects with SH 183. Growth in LBJ is lower than NTE, because the segments to the east run into congestion.
As I mentioned in previous calls, the works for that should take place along the coming years and eventually ease that congestion point. That should mean that the value of the asset and the growth should resume in earnest there. In terms of all the connections that are happening, this is the main point I want to mention, then move on to the managed lane most recently opened on the next slide. That is the I-77. Okay, the I-77, even though it opened, it's a partial opening. Still segments to go. The partial opening already shows that the corridor is improving with the opening of the asset. Average speed in the morning peak is up by 18% in the corridor. The afternoon peak also improves by 37%.
The highway volumes have quickly recovered the pre-construction levels. We are applying discounted promotional rates, and the managed lanes traffic is growing at 20% in each of the first four weeks of operation. Transponder penetration here is lower than in other regions. We're talking about 40% of users with transponder. We have also included a video link so that you can get more information on the asset. As I said, we will be updating more when we open, and after some years of operation, we can discuss more how it looks vis-à-vis our perception. So far, it's fine. Now is the turn to move on to airports. Heathrow already published, I will just focus on a couple of slides here.
The record high numbers in passengers that Heathrow achieves, with record passengers in the first half, 1.8% up from last year, and also retail revenues following that growth with a 3.4% increase. In terms of financial performance, it's robust. The passenger growth and retail performance helped generate a 4% increase in revenues, and the Adjusted EBITDA grew by 7%. Of course, this is boosted by the implementation of the IFRS 16. If we exclude that impact, that brings lower operating costs, the growth in EBITDA would have been 3.99%. In terms of aeronautical revenues, helped by higher traffic growth, in particular in long haul, it's benefiting also from recovery from dilution in prior years. The aeronautical revenue per pax is at GBP 22.48 at the moment. Adjusted EBITDA, that I mentioned, grows at 7%.
The exact number of lease costs, operating leases in the past that we have taken out is GBP 36 million. This goes to the amortization and financial cost line. The net impact is not meaningful. In terms of dividends, Heathrow paid out, in the first half, GBP 200 million. This compares to GBP 228 million last year, so it's lower, but Heathrow is just waiting to see how the traffic and the performance evolves ahead of Brexit. I think that from an operational point of view, our airlines are in much better shape than what we initially forecasted, but we have to wait to see how this evolves.
In terms of expansion, moving on to the next slide, we talk about sustainability. Heathrow is advancing on its Heathrow 2.0 sustainability plan, which has set three main targets: carbon- neutral airport operations from 2020, zero carbon airport operations by 2050, and carbon- neutral growth from the new runway. Among the achievements reached by the airport, I would highlight Heathrow is in line to have its entire fleet of cars and vans as electric or plug-in hybrids by 2020. It has over 100 electric vehicle charging points today, this is the end of 2018, and 72 electric and plug-in hybrid vehicles in its fleet. 60% of movements by aircraft are in the quietest category. Heathrow is incentivizing quieter, less polluting aircraft by airlines and has offered a year's free landing for the first electric aircraft to operate a commercially viable flight from Heathrow.
T2, terminal 2, is entirely powered by renewable energy. Let's move on to the next business, that is, construction. As we announced last quarter, we took a provision of EUR 345 million for future losses in induced projects. In the first half, we have recorded an EBIT for the whole division of EUR 346 million. That is slightly below EUR 332 million recorded in the first quarter. This is linked to, of course, very strict cost recognition, revenue recognition. We have carried out a number of negative adjustments at Ferrovial Agroman level. These adjustments relate to works pending sign-off, insurance claims, and compensation events. We are taking the cost. We are not recording any revenue for this. This is more technical, costs related to central overhead costs are distributed to individual projects.
When you take a provision for future losses, there was an interpretation of IFRS from IFRIC on the costs that you can include in this calculation, and you can only take into account costs specifically related to the project, not overheads that are usually absorbed by a fee in our business. Here, the impact will remain as long as we don't have other projects that absorb the fee, or we take some efficiencies to reduce the amount. New backlog that will be coming in, with better prospects, and we will talk about them when we close them in the second part of the year, should help to ease this workload. Also anticipating one of the questions regarding the performance of construction, what could be expected for the whole year. We can say that it should be around these levels.
So, the second part of the year should bring for the whole division, no improvement or worsening. That's our best estimate. Of course, there's opportunities and risk in this, but it should be fairly assessed. Okay. If we move on to services here, of course, you know that it has been classified as a discontinued activity. I guess it's worth just stopping to talk about the divestment process and also an update on the performance of the business while it is being sold. We have two separate sale processes. That is something that probably was not decided beforehand, but Amey has been engaged in discussions, negotiations to exit the long-term contract with the Birmingham City Council. Now that it has been sorted out with the risked and clean exit, is working on due diligence preparations.
The momentum of the other part of the business, Spain, Broadspectrum and the international part of the rest of the world, is finalizing due diligence and should have binding offers coming. We shouldn't slow the momentum of that part just to wait for the Amey process. In terms of the Birmingham agreement, well, this deal has no impact on the P&Ls of the group at a consolidated level. The terms of the exit agreement by Amey is to pay GBP 215 million. GBP 100 million of them already took place in the first half. You will see that it's affecting our cash flow number. There is a GBP 30 million installment, a couple of them this year, September, and end of the year. The total for 2019 will be GBP 160 million. Then you have GBP 55 million over the next six years.
It's basically payments of 10 years, except for the last one that is EUR 5 million at the end of the first six months of the sixth year. Okay, in terms of operations, it will remain operating the contract and the, let's say, the maximum date of operation for this. If the client extends it, would be the end of March 2020. Otherwise, it would end in September. Okay. If we look at the performance of the division, it's quite robust. We have revenue growing 11%, EBITDA 9%, and we have a lower order book, basically because we have taken out the Birmingham City Council project figures. Spain is up 3% in revenues and EBITDA 5%. Profitability and expansion is driven by more tons of waste treatment. In U.K., revenue is growing a lot with a stable EBITDA margin. It's growing 23%. As I said, with a stable EBITDA margin.
In terms of Broadspectrum, revenues are slightly down 4% on portfolio streamlining, but it's improving the performance at the end of the six months. In terms of international, clearly the star of the portfolio with revenues growing by 31% and with EBITDA and profitability expansion, you have a 7.7% margin versus 4.5% in the first half of 2018. The order book is growing, thanks to road maintenance contracts in North America. Moving on from this services division into the detailed P&L, we have the following main figures at the consolidated level. We have revenues that are down by 5.3% with a lower contribution from construction that is declining 8.6%. EBITDA impacted by the provision I mentioned, but also helped by IFRS 16 that is improving with a reduction of operating cost of EUR 16 million.
It's fairly small in the continued activities report, only EUR 116 million. Depreciation is growing because of the IFRS 16 impact that I mentioned before. In terms of impairments, is it really the prudent approach we are taking to our net worth in the Autema toll road. You know that Autema toll road is in a process, claiming a restatement of the conditions prior to the unilateral change of the conditions of the concession. In the meantime, until that is out, we keep providing for the net worth of that toll road. In terms of financial results. At the infrastructure level, we see higher expenses, this is due to having the activity with NTE 35 West, that before opening was activating, capitalizing financial costs. Then in infra projects have a positive evolution, also helped by hedges on the share price, helped by the performance of the share price.
In terms of equity accounted results, the main comments is probably with Heathrow, the 407 is EUR 62 million, higher than last year. Heathrow is lower than last year, pretty much breaking even. This is affected by the current move in the inflation curves. In terms of the growth of the asset and the delivering, this is great news. If that inflation that has gone up close to 4% in the curve in the next three years should be boosting the performance of Heathrow and delivering, as I said, in the coming three years, if it materializes. This is a little movement with all the talks about a potential no-deal. In taxes, I won't extend myself. It's pretty much online. If you look at the difference in and out of our 19% corporate tax rate, if you take into account the different ones around the world.
You have the net profit of discontinued operations. I would like to mention, it is also helped by the non-amortization due to IFRS 5. When you classified discontinued operations held for sale, you do not amortize the asset, and that is helping the result. In the end, we have net income versus just -6, and should be recovering the second part of the year, as I mentioned, helped by the disposal of Ausol's capital gain and the improvement of the business. If we move into the net cash position evolution, we have, excluding infrastructure projects, we posted EUR 482 million of net cash versus EUR 1.2 billion at the end of 2018. The main drivers of this change in the net cash position are, first, we have the dividends from projects, EUR 244 million compared to EUR 307 million last year.
Here, I should point out that last year there was an EUR 81 million dividend from concessions from the services project. In the first half of 2019, if you take that effect out, dividends from toll roads are increasing by 10%. Here, we should also mention again that at the end of the year, we expect the first dividend from NTE, the operations are looking good. Probably we should have good positive surprise in the dividend from this toll road. Of course, we will also be looking at the potential from both Heathrow and the 407, because both assets could be delivering more than expected. Okay? We will have to keep an eye on that possibility. We move into the operational cash flow from ex-infra projects. Here we have the negative EBITDA impacted by the construction provision of EUR 345 million.
Of this provision, the cash outflow has been EUR 56 million. In terms of the rest of the working capital evolution, we have the seasonal consumption at Budimex, also Amey Birmingham. Birmingham cash outflow was EUR 142 million, this is a combination of the operational cost of that contract in these first six months, and the payment of the settlement, the first payment that is GBP 100 million. Okay. Really, in the rest of the year, we should have, as I mentioned before, another EUR 60 million from this settlement. Also, in terms of investments, we invested more this year than the last, EUR 114 million versus EUR 87 million, with no significant divestments. Please remember that Ausol should be coming in the second part of the year. Okay. The rest is not worth mentioning, the rest of the captions of the cash flow evolution.
We should be moving then to the final remarks ahead of the Q&A session. In terms of management performance, just highlight the continued boom of those assets. In Heathrow, a new record high supported by higher passenger satisfaction. Important to mention that with the comparables. The Ausol transaction with a price 60% above consensus, has shown the market appetite for infrastructure assets and probably the kind of decompressions we are seeing all over the world, and the kind of required return that our financial players have for these assets. 407 ETR has posted a solid performance with EBITDA 7% up and dividends growing 10.5%, despite weather affecting traffic. Okay? We have the net cash position of EUR 482 million before positive inflows expected. We are not talking here about the services divestment that probably will materialize in 2020, because of the needed regulatory approvals.
Finally, regarding construction, we are working to improve the outlook here. The focus on risks is a top priority, and we are looking for this division to help acquire high-value infrastructure assets with a good balance of risks. Finally, the binding offers for the services division are coming, except Amey, that will take a little bit longer. That's the whole rundown I was planning to make, and we move on to the Q&A session. We have some questions that have come in in writing. I would take the opportunity to maybe start with those ones. Okay. The first question we have received in writing comes from Olivia Peters at Macquarie. The first one is: Can we have an update on the timing of the services disposal and your priorities for the use of the proceeds?
Well, I already covered that on the presentation. Due diligence is being finalized, and we should be getting binding offers in the coming weeks. Okay. It's looking in good shape. Use of proceeds, nothing different from what we mentioned in the past. Priority to invest in value-creating infrastructure. We could have other uses, like shareholder remuneration or even debt reduction, but the priority, as I said, is investing in infrastructure. In terms of use construction, the question from Olivia is: What has Cintra Agroman learned for future greenfield bids from the I-66 and I-77? Well, many things that I already mentioned in other calls and in some meetings with you guys, but let me try and summarize those. One of the things is that the size of these projects calls for a greater weight of self-performance rather than being too dependent on subcontractors.
That's very important. More detailed design earlier. That also helps to narrow the time span between winning the bid and getting final prices. I think this is a key component as well. In general, also, taking into account some sort of factor of the business cycle evolution that can be specifically squeezing subcontractor or resources availability. Okay. With all this in mind and with the engineering capabilities, we should be able to perform well. Of course, there's also, in the combination Cintra Construction, there's also items regarding the geotechnical risks, delays, and so on, that are not in the hand of the contractor and the concession operator to sort out to avoid these risks somehow with the grantor. Okay. I think we have a good prospect of what is needed, and we're looking for delivery of more great assets in the infrastructure space.
The third question from Olivia is: What significant changes have you made to prevent future write-downs at construction? For example, have you made changes to your risk systems? Are you confident this is the end of the write-downs in construction? What portion of projects in your order book have you reviewed? The first part I already addressed. Much of the trouble comes from the initial stages, the bidding. Second is design, design, speed of authorizations, and also own resources. I think that from a risk space point of view, to prevent future write-downs, I think that's the main item. It's covered in the first answer I provided.
In terms of price of the order book review, we keep reviewing all them on an annual basis, and for any results, in particular year-end and these first six months, we have controlled reviews of estimates coming from the different projects. Of course, these are very long, and you have always to monitor. There could be some unforeseen events and so on. It has been reviewed. As I said, we are not planning for a recovery of results on the second part of the year, even though there could be some opportunities. We think that we are covering the space. Of course, controls are always key. We should be doing more and more on a continuous basis. In terms of operating cash flow, this is the last question from Olivia, is a negative EUR 409 million versus operating cash flow, I mean, versus minus EUR 69 million in 2018.
Do you still expect a cash outflow from construction of EUR 300 million, or is the guidance ambitious given the ongoing problems at construction? Well, in construction, the second part of the year, we should have inflows from new projects that should be getting the closing and the advanced payments. You have the seasonal push that you have at the end of the year, in particular in Poland. You also have that in Spain and in general in more countries. Just, you should have that. We have to keep an eye on that.
I won't be providing much of any specific guidance, but the ballpark number could be around the one that we provided. As I said, there's positives and also potential risks, but the number I want to leave you with is the same that we mentioned. That's it from Olivia. We are not getting any more written ones. Of course, you can keep sending them if you prefer in writing. We open the floor for the operator to give the queues.
Thank you. Ladies and gentlemen, to ask a question today, please press star followed by one on your telephone keypad now. If you change your mind, that's star followed by two, and when preparing to ask your question, please ensure your phone is unmuted locally. Our first question today comes from Elodie Rall of JP Morgan. Elodie, your line is open.
Oh, hi. Thanks for taking my question. Can I start with Heathrow and the fact that the Brexit contingency has been reduced? I was wondering if that would have an impact on the dividend that we should expect for the year from Heathrow. That's my first question. Second question would be on the news that we've seen from the CNMC in Spain, which has opened an investigation into 13 toll roads, for potential practices that may have restricted competition. I was wondering if you could comment on that news. My third question would be on construction. Sorry to ask, I know you've talked about that a bit, but can you clarify the guidance that you are giving for EBITDA for H2? Lastly, sorry if I missed that, but do you have an update on the 407 stake sale process? Thank you.
Hi, Elodie. Thanks for the questions. Okay, it's four of them. Let me go through them. The first one is the Heathrow dividend. Well, Heathrow, in their interim report, they reiterated the guidance. They commented on GBP 400 million full dividend for the whole year. As I mentioned before, the Brexit contingency has been reduced because airlines are more ready to fly, so the impact on passengers should be less than initially expected. Yeah, it should be smoother. Let's see how it goes, and at the end of the year, Heathrow will comment on the dividend. One of the things that also could be helping, as I said, is de-levering from inflation that comes with this kind of Brexit uncertainty and the pound devaluation. No, we don't see risk of dividend payment.
We see more opportunity, but as I said, it's something that will be exposed by Heathrow at the end of the year. You mentioned on the initial investigations of the Competition Commission regarding road maintenance. This is a wide sector investigation. All the companies are there pretty much. I mean, the main ones that have been in the last 15 years, and also the Ministry of Public Works. It's initial stages. We don't have any comment to make. It's the whole sector. Regarding the construction guidance, we said that we have recorded a loss in this first half, and these same numbers are best estimate for the full year. Even though there's opportunities for improvement, there's also some risks. We prefer to look at the number in that regard.
Around the number we have published in the first half is like if the second half was zero result. Okay. You asked about the 407 stake process. Yes, I covered that in the call. We are waiting for the review from the judge and see how they found about this process. We don't have an idea of timing. I'm sorry. We don't have visibility on that. We'll update the moment we get the information, obviously. I think, Elodie, I think I covered your questions. Let me know if I missed something.
No, that's clear. Thank you very much.
Okay. Probably before taking the next question, we have another one in writing, coming from Marcin Wojtal from Bank of America Merrill Lynch. These are the questions. Do you have plans to still publish your internal valuation of the toll roads portfolio with detailed projections for the main assets? Is the publication on hold until there is clarity on the 407 ETR potential stake increase? Well, we are discussing internally. We haven't taken a final decision yet. Of course, this is an information that is sensitive even for other bids that we could be publishing. We are discussing the release of this information. It is something that we should provide clarity to the market after December. Yes, probably after the potential stake increase in the 407.
The second question from Marcin is, as construction continues to be somewhat challenging for another quarter, would you consider perhaps exiting some countries, regions, or segments to reduce the size of the construction business in order to reduce the risk profile of the company? If we could consider this, yes, we could consider this. The focus is clear where it is and where we have to deliver, but we don't have any specific comment on that. Yes, we could consider that. I think these are all the questions from Marcin, we open the floor again, for the phone queues.
Thank you. Our next question comes from Felipe Leite, calling from CaixaBank BPI. Felipe, your line is open.
Hello, everyone. Sorry, I have two questions, if I may. The first one is regarding construction, if you can quantify the additional accounting impacts or negative adjustments that you mentioned were booked during the second quarter. Also clarification, if I understood correctly, you expect zero EBIT for construction activity in second half. Is that right? Second question. At working capital, and after the close to EUR 600 million reported consumption during the first half, what is your expectation for full year? In other words, if we can assume that all this consumption will be recovering in second half or not? Last question. At services, if it's true that you capitalize an intercompany loan of close to EUR 300 million at this unit, as was mentioned recently by the local press, and when it was complete?
Looking at net cash of service unit, it decreased in Q2 when compared with Q1. Also, an additional one from EUR 55 million net cash position at services. What is the amount related with Amey? Thank you.
Felipe, the sound was very poor. I got the first one. If you could send an email to the IR email address, that would be great, and we could make sure that it gets answered with precision. You were asking about the detail on the results on construction this second quarter. I won't be specific about the name of the projects, but I would mention some stuff here. We are talking about works in Portugal, for instance, that we are incurring EUR 10 million additional costs, and yes, we expect to be asking for compensation on those. We have recorded the cost, not the benefit. Also, we have some works in Australia. I won't mention the specific project where we are doing work ordered by the client but not signed off. This is something that we should recover with final certification. As I said, something like EUR 6 million.
We have other two, where we are taking EUR 14 million and EUR 4 million provisions. Here also, we think that we have some extra costs incurred that we should be compensated for, but it's something that these claims have to be validated, signed off by the client, right? This is the bulk of the things that were recorded here. Also, as I said, we haven't charged to the projects some overheads, and that this could change along time with new projects, and this is around EUR 5 million that is additional cost. This is the bulk of the result in construction for this quarter. Okay. Regarding the rest of the year, as I mentioned, we expect the second part to be providing zero EBIT, the second half of the year, right?
That means as I said, this is an estimate, and therefore, the result for the full year should coincide with the first half. Okay. I'm not more specific. I would ask you, Felipe, if you could write them down because the sound was really poor, and I didn't get anything else. Well, sorry, I got just a question on the services cash evolution. It makes no sense to discuss that cash evolution. That cash evolution will have to be discussed or adjusted in a formula. It depends with the buyer or buyers of the asset, right? I wouldn't get into that detail at this point in time. Please, if you could send that over. That's okay with you, Felipe? Okay. Well, thanks, Felipe. We're just waiting. If you have further clarifications, we can take them on the email. Okay.
I would be moving to another bunch of questions we received from Stéphanie D'Ath from Royal Bank of Canada . Well, the update on the 407 ETR potential stake, I already mentioned. The 407 ETR dividend growth rate deceleration from double-digit to 7% in the third quarter. You mentioned because of traffic is lower, what are your mid- to long-term dividend growth expectations, please? Well, in the end, you see that dividend follows the operational performance. Traffic is improving, I wouldn't take that as the final guidance for the dividend because it's also true that it's in a very solid financial position. There should be discussion among shareholders to see what is the final dividend, because there's room from a financial point of view, and as I said, also traffic is improving in July. Okay.
I think that the dividend path, we are very comfortable with the numbers provided in our models in the past, and we remain really comfortable on that path going forward. The last question from Stéphanie is an update on the Heathrow regulation. In this second part of the year after the summer, we will have also comments from the CAA on how they view returns, also comments on different initiatives or the look at commercial agreements that they encourage. They should be commenting on the economic framework for expansion. You know that this interim period is already taken care of with a commercial agreement with the airlines, so up to 2021. This second part of the year, the regulator would be providing more views on returns and other aspects. Regarding business plan, that is also key.
We will be looking at Heathrow, probably providing at the end of the year an initial business plan that in 2020, in the first half, should become more kind of final. There's moving pieces, and of course, this is such an important project for the country, all privately financed, that I guess you will have to find a balance between financial return and affordability, and we think it will be struck. Bear in mind that we are discussing GBP 2, GBP 3, GBP 4, GBP 5 per ticket compared to other charges that are way different. Okay. As I said, more comments from the regulator will come in the second part of the year. I think I've taken care of all Stéphanie 's questions. Now, we have another round of questions from [Alexis Villa] from Praxis Partners.
The first one is: Now cash outflow for working capital is negative EUR 588 million. Can we expect you to recover to at least minus EUR 300 this time? Well, the minus EUR 300 that is mentioned, I will not get into that specific details. We usually comment on different items that could move the needle. Construction could be closing projects where we have inflows, clearly. Also, well, if you take into account the numbers from services, that is the numbers that I mentioned in the slides.
There's always working capital recovery from collections from clients that certify milestones and pay at the end of the year. Yeah, there should be improvements. I won't mention any specific number, and nor I will mention for the fiscal year 2019. I would focus again on the potential for better news from dividends from infrastructure. The next question from Alexis is: Which business is consuming cash? Well, right now, construction is consuming cash.
There's working capital consumption in services also with the payment of the Birmingham contract. Services should recover the normal status of cash generation, construction basically is consuming cash, as we mentioned, from the provisions we took in the first quarter. It's not expected to improve, but not to be positive in terms of cash generation. The second question from Alexis is: How much provisions we have accumulated to date that will result in cash outflow in the future? Here, the main one that I mentioned is the one from the first quarter, the EUR 345 million. That, as I mentioned in the rundown of the slides, already EUR 56 million have gone out in the first half. Okay? We have less than EUR 300 million on that specific provision. That is a cash provision.
Regarding the costs incurred this quarter, all of them are costs incurred, so it would be an opportunity for cash inflow rather than for an outflow, if we get certification, signing off or compensation. Okay. We have the third question from Alexis is: The Forex cash impact is minus EUR 66 million. It says, what currency is this? Well, probably we are talking about different levels. Okay? One of them is the hedges we have on the net investment are rolled forward. That means that all the hedges we have in CAD dollar or U.S. dollar for our net equity position, that is fairly small. We are net very long. These currencies are rolled over, and every time there's a rollover, there's a cash outflow here. Right? We shouldn't expect something like this coming forward, and now we should be materializing hedges we have in the pounds investment . Okay?
The question number four is: Your dividend from Heathrow hedged, and for how long? Yes, we have a good amount of hedges in pounds. In total, we have something like GBP 500 million. It's a mixture. I hesitated a little bit because it's a mixture of direct FX forwards and options on that, but the rough number is GBP 500 million. Okay. There it should be okay. We expect a lot of gamma in that currency, if I may. I think I covered all [Alexis Villa] from Praxis Partners questions. Okay, yes. We have Felipe Leite Martins from CaixaBank that has sent his questions in writing. Felipe, the first one I already answered. I repeat it for the public. Can you quantify the additional accounting impacts, negative adjustments that you mentioned were booked during the second quarter? This I covered.
You have the second question from Felipe is: After the EUR 600 million reported consumption at working capital during the first half, what is your expectation for full year? Well, I already covered that on another question. We don't provide detail. Both construction and services should improve, the main focus is the cash coming in from dividends and from divestments in infrastructure. The third question from Felipe says: If it's true that Ferrovial capitalized an intercompany loan of EUR 300 million at services division, as mentioned by the press, when it was completed. Well, yes, this is part of the close of the first six months. It was completed at the end of June. In the end, between intercompany and equity, any amount we could receive would be coming from the divestment of Amey. It could be neutral between loan and equity somehow.
Yes, it was done at the end, just to keep the net worth level of Amey for operational purposes in good shape. The fourth question from Felipe from CaixaBank is: from the total EUR 55 million net cash position of services division, what is the amount related with Amey? Well, I don't have that detail with me here, but Amey should be in a net debt position at this point in time, not net cash. Okay. As I said, we're not providing specific details. This is part of the moving parts in the sale of services. Okay. I covered all Felipe's questions in writing. I have more coming. This one comes from Charles Maynadier from Kempen. Two questions. The first one is: regarding the 407 ETR stake, could you walk us through the process timeline after the outcome? Well, it will be very quick.
I have Paco Clemente here from Cintra here. I think it's a matter of days when the process is out, when you have to execute the sale.
Yes, Ernesto, that's true. It's only 10 working days that we have to complete the transaction.
Okay, this is a follow-up question from Charles on this topic that says: is it correct that the cash out and stake transfer will take place directly, but could be reversed in case of appeal from the losing party? The answer is yes. If there's an appeal, you have to basically sell that back. Will you appeal if you lose? Likely. We'll see. In case the process could drag on for months? Well, no, as I said, the process won't drag for months after the outcome of the current trial. The last question from Charles is: in terms of the pipeline of infra assets, could you give us an update? Where do you see opportunities?
Okay, here I would pass on first to Paco Clemente, CFO of Cintra, and then some comments on airports, even though on airports, the main item is always Heathrow.
Thank you, Ernesto. Well, in terms of the pipeline, for a timeline of 24 months, we have a screen between 25 and 28 projects, amounting of EUR 50 billion in investment. 25% of that could be potentially in managed lanes. We believe that we will be either bidding or completing the request for qualification process, roughly in five projects during 2019, and the rest will be in 2020 and 2021. Geographically speaking, 50% of the projects will be in the U.S., 20 in Europe, and the rest in the rest of the world. More precisely, in terms of which will be the coming projects in the very next future, the first one will be the I-10 in Alabama, in which we will be hopefully presenting our submission at the year-end, this year-end.
After that, we will hopefully be in the RFQ of the projects in Maryland and some of the projects in Georgia, all in the U.S. There are some other projects expected in Chile and in Poland, but all of them are in less mature stage. Thank you.
Thank you, Ernesto. This is Iñaki García, CFO of Ferrovial Airports. Well, I cannot give you very much details on process where there is no formal process. As you know, we are now focusing on the U.S. market, and we are in conversations with airports administrations due to the growing interest in P3 projects. Also, with airlines and private investors, since we opened the commercial office in Boston in 2018. Probably the only process that you have heard about is San Luis, that we are looking carefully, but there are many others that we cannot disclose more details. On Europe, we are following ADP. As you know, the process is on standby, waiting for the results of the consultation for a referendum of privatization. This process won't finish before March 2020, but we are working on that and building the consortium.
Of course, the quality of the assets is something that we could be interested in. Finally, we have opened a commercial office for the Asian market. We are going to have a look at what is happening in Asia, particularly in India, Indonesia. I cannot give you more color on specific countries and assets.
Okay, thank you, Iñaki. We have also written questions coming from Nabil Ahmed from Barclays. The first one is: Do you intend to publish a business plan for NTE 35 West? Could you provide a guidance for full-year 2019 for the main financial metrics? What we usually do is wait for some years of operation till we publish a business plan, okay? Here is the same thing. It's well above our expectations also, it comes part of the overall discussion that we were mentioning before regarding commercial reasons. Okay. We have to come to a final conclusion internally. Question number two is a clarification question on construction. You're talking about EUR 5 million incremental cost taken in Q2, that's the actual EBITDA loss in Q2 versus a normal positive EBITDA, which could have been in the EUR 35 million-EUR 40 million range.
Shall we understand the incremental total cost was EUR 40 million-EUR 45 million in the quarter? That's right. I already provided that answer in more detail in a previous question. The third question is: Could you please re-explain why these costs could not be booked alongside the provision in Q1? Can you be confident no such events will occur in the remainder of the year? As I mentioned during the presentation, there was a consultation to IFRIC, the interpretation committee of the IASB, regarding future losses for contracts. The answer to that consultation was that you should take costs specifically related to the project, not other, like central overheads, right? The central overheads in the construction division are charged to the different projects, right? When you get more projects on board, you can charge more of that fee, or you can take some efficiency initiatives, right?
The growth in profitable contracts that some of them will be coming, and we will be updating in the second part of the year, should be taking part of this effect. Question number four: In services, regarding the Birmingham contract, will the future settlement payment be executed by Ferrovial or by the future acquirer of Amey? In other words, will this liability reduce the disposal price of Amey or stay with the Ferrovial Group? There's no guarantee from Ferrovial whatsoever in this settlement. It's Amey's liability. Of course, Amey's liability is something that the acquirer has to handle, right, and take into consideration. As I mentioned in different moments of the presentation, the settlement has had no impact in our accounts because we took a very similar number in our fair value assessment.
That settlement is already part of the fair value assessment we took in the year-end of 2018 accounts. Okay, that takes care of Nabil Ahmed written questions. I don't have any more written questions. I open the floor back to the operator.
Thank you. We now have a question from Jenny Ping of Citigroup. Jenny, your line is open.
Hi, good evening. Just one question from me, please. I just wondered whether you can talk a bit more about your definition of what is an infrastructure asset which you're looking at to invest in. Based on my understanding, you recently bid for some power transmission assets in Chile, and obviously, there have been press talks about some French and Spanish hydro assets. I just wondered whether you can go into that in a bit more details in terms of the scope and the size of investments outside the traditional toll road infrastructure assets. Thank you.
Well, thanks. Very good question. Actually, our focus is on transport infrastructure, where we could have differential capabilities and therefore earn extra return. You know that the market is flooded with funds dedicated to infrastructure investment. We need to focus in our differential capabilities. We have differential capabilities in terms of pricing in dynamic tolling in congested areas in the U.S. That's our main focus. When we have the greenfield space, we can combine with construction, and there's less competition in these projects. That's a key part in our strategy. Also in airports, we can derive from the know-how, also in Heathrow and in our division, to look for projects where we could have value added. The summary is we are looking for transport infrastructure as the main priority, and that's what it should be.
If other projects come that we think make sense, we could look at them, but really the focus, and the market should bear that in mind, is, as I said, transport infrastructure, unique assets where we could have our capabilities put into play.
Thank you.
Thank you. I have another written question. Thanks for all that, guys. It's easier that when the line is breaking down. We have a follow-up question from Stéphanie D'Ath from Royal Bank of Canada . It says: Could you please update us on timing of Amey disposal? Have you done much progress, and could we expect the sale by year-end too? Well, here, for obvious reasons, there was all these negotiations with the Birmingham City Council. There was only some preliminary work. The work is at full speed now. I'm not committing on timing because it's complex. We have to put on a lot of information, and it should be spilling into 2020, probably. Let's not stick to that specific date. We're working to do it as fast and efficiently as possible. Okay.
I don't have any more written questions, so I open the floor again for the telephone questions.
Our next question comes from Nicolas Mora of Morgan Stanley. Nicolas, your line is open.
Yes. Hi, Ernesto. Two from me. Actually, just regarding on Nabil's question on construction margin. If you expect the EBIT to be flat into the second half, obviously, it implies that since you're profitable in Spain, you're profitable in Poland, you're profitable at Webber, you've got still some pretty heavy loss-making contracts. Again, I struggle a bit to understand why you're not provisioning all this ex ante instead of waiting for the second half to recover these losses.
Second point is you are teasing us on the dividend from the infra assets. When we look at your starting point at full-year 2018, where you received, I think, EUR 623 million, should we be expecting something more generous in terms of dividends from infra-assets to be paid to the infra holdco? I hear a bit of an effort from 407 ETR from NTE, and maybe at the end of the year from Heathrow.
Thanks, Nicolas. Let me take these questions. Regarding the products I was mentioning, as I told you, the concepts where we are taking the cost and not the revenue, these projects where we have been asked or ordered to do things that you cannot recognize in the accounting until you have a final sign-off or certification, right? Although these are events that we think are subject of compensation, we are not taking the claim as, let's say, work in progress, as many other construction companies do, right? Our work in progress is very low in construction. We don't expect the contracts not to be profitable. We expect them to be profitable, the timing of cost and revenue recognition are not at the same time.
The reason I'm saying neutral is just to take a prudent approach, just in case signing off or claims don't come at the end of the year, okay. As I said, our expectation is that these contracts make a profit. Otherwise, you are right, we should be taking the hit already. Regarding the dividends that you say we were teasing, well, the main concept in last year that made last year dividend higher in the first half was also one extraordinary dividend from a services concession on maintenance of a highway called A2 in Spain. What we have in the second part of the year, this year, is the NTE, okay. We expect an improvement on the number that has been around, that is EUR 125 million our share. We have Heathrow. Heathrow has guided for around EUR 400 million.
Depending on Brexit, inflation, and so on, maybe there could be margin. That's something we have to wait here to see. The 407, as I said, is quite delivered. It has solid balance sheet. It's a matter of discussing with shareholders. All these things could bring improvements to the main numbers that the people are, the different analysts are discussing. I won't get into any specific number because they are subject of discussion among different shareholders, and many of them, right? We will have to walk the path.
Okay, Ernesto. Thank you.
Thank you, Nicolas. Next question, please.
Our next question comes from Robert Crimes of Insight. Robert, your line is open.
Thanks. Yeah, Ernesto, just wondering, a bit of a positive surprise on the I-77, EUR 9 million of EBITDA. I thought it was just open for June in the first half. Can you make some comments on the performance of that asset and how we should think about it for the full year? Thanks.
Well, I will pass that on to Paco. Just this ride, we have something like half of the whole length open. Construction was delayed a little bit for the opening of the remainder. Let me pass it on to Paco for the update on that.
Thank you, Ernesto. Well, as Ernesto has mentioned, it's only one month of operation. It's still very early. I think that so far, the traffic has grown quickly. We have recovered the pre-construction level of traffics. The average speed has increased 18% on the morning, and in the afternoon, 37%. We are, right now, for the first six months, in a scheduled mode, which means that dynamic mode is still pending to be implemented.
It will be done hopefully in November. So far, the four weeks that we showed so far, have given 20% each of the first week on operation, and July traffic is in the same pace. We are expecting to open the remaining tranche of the infrastructure at the year-end, and it will be something that will improve our traffic. Well, we believe that is roughly our summarizing. It is still very early, but it seems that it's according to our expectation.
But Paco, just with that one month, you've managed to do EUR 9 million of EBITDA. Would it be reasonable to assume at least that for the rest of the year, sort of monthly?
Well, we are getting paid partially from liquidity damages from the contractor, it is still very early to come up with which will be the revenues that we are expecting for the rest of the year. We need more time to see how the infrastructure is behaving. There is still a lot of work on the way. We believe that it is discouraging the user. They are preventing them to get use on the facility, it is still very early. It is all we can say in that regard, Robert.
Okay. It's a clean EBIT number. There's nothing funny in that.
It's clean, Robert, but as I said, they are receiving damages from the construction JV. That is not, let's say, traffic-related profit. It's penalties on the construction delay that they are cashing in.
Can you say how much they were of the EUR 9 million EBITDA?
We'll update you on that. I don't have the exact number now.
Okay.
We'll update you. Thank you.
Thanks.
Okay. Next question, please.
Our next question is from Guillermo Fernández of Kepler. Guillermo, your line is open.
Hello, everyone. Thanks for taking my question because now I think you have answered more than 30, if I'm not wrong. Mine would be on the alternative uses for the cash in case you are not allowed to get the over 5% stake in the 407. Would you consider increasing your stake in any of the assets you already control? I'm thinking mainly about the managed lanes. The second one would be, you comment, you have closed a very good deal in Ausol, and you comment in your presentation the appetite for these kind of assets. Is there any other one in your portfolio that you may consider rotating in the coming, I don't know, 12 months? That would be all, because the rest has already been answered. Thank you.
Thank you, Guillermo. The line was breaking down a little bit, but I think I got them. The first question was that if we are not successful in buying this stake in the 407 that we are pursuing, if we could use the money to increase our participation in some of the managed lanes or other of our good infrastructure assets. Well, I don't know if we have that opportunity available. That would be great if we could because the dynamics are really positive. I don't think that we have the opportunity, to be honest. The other question is if we have other participations or assets like Ausol that could be subject of sale or reversion inquiries for Ausol. We're not entertaining anything like that at the moment. Okay. No, Ausol was it, and looking to redeploy the proceeds when we get them.
I don't know if I missed anything, Guillermo.
No, that was all. Thank you.
Okay, thanks a lot, Guillermo. I don't know if we have any more calls, definitely not in the IR inbox, and I don't know if operator we have any other questions, then we will be closing the call. Is there any other questions?
We have no further questions. I'll hand back to you.
Okay. Thanks a lot. Thanks for attending the call, and looking forward to meeting you in the near future. Thanks. Bye.