Construction sector in Poland, H1

Table of Contents

I. Methodology

II. Executive summary

III. Current situation in the Polish construction market

• Construction market size
• Construction and assembly output
• Development forecast for construction and assembly output for 2009-2011
• Construction companies - number and type
• Employment and wages in construction companies
• Construction prices and the financial standing of construction companies
• The economic climate in the construction industry
• Legal changes relevant to the construction market
• Building permits - the number of buildings

IV. Results of the survey conducted among the 200 largest Polish construction firms

• Introduction
• Assessment of the current situation of the Polish construction market
• Expectations of Polish companies regarding Euro 2012- related projects
• Overview and market standing of the largest Polish construction firms
• Current and planned foreign operations of Polish construction companies

V. Civil engineering construction

• Situation in the civil engineering construction market
• Environmental protection projects
• Road transport
• Rail transport
• Air transport
• Investments in heavy industry
  • Power engineering
  • Refining and chemical sector
  • Mining
• Development forecast for civil engineering construction for 2009-2011

VI. Non-residential construction

• Situation in the non-residential construction market
• Industrial and warehouse construction
• Trade and services construction
• Office construction
• Hotel construction
• Educational and healthcare construction
• Development forecast for non-residential construction for 2009-2011

VII. Residential construction

• Housing stock
• Building and homes completions
  • Individual investors
  • Developers
  • Housing cooperatives
• Construction permits and housing starts
• Housing loans
• Housing prices
• Development forecast for residential construction for 2009-2011

VIII. Profiles of voivodship

IX. Profiles of the largest construction companies

• Polimex-Mostostal S.A.
• Skanska S.A.
• Budimex S.A.
• Strabag Sp. z o.o.
• Mostostal Warszawa S.A.
• Warbud S.A.
• PBG S.A.
• Hochtief Polska Sp. z o.o.
• P.R.I. Pol-Aqua S.A.
• Mostostal Zabrze-Holding S.A.
• Elektrobudowa S.A.
• Erbud S.A.
• Eiffage Budownictwo Mitex S.A.

X. List of graphs

XI. List of tables

XII. About PMR

XIII. Contact PMR

List of graphs and Tables:

• 1. Forecast for growth of construction and assembly output in Poland, by type of construction, 2008-2011
• 2. Size and y-o-y growth of the Polish construction market (PLN bn and %), 2000-2008
• 3. Nominal changes in construction and assembly output in Poland (%, y-o-y), January 2007-February 2009
• 4. Annual nominal changes in construction and assembly output in Poland (%), 2000-2008
• 5. Changes in construction and assembly output in Poland by type of construction work (%), 2001-2008
• 6. Breakdown of construction and assembly output in Poland by type of business activity, 2008
• 7. Construction and assembly output in Poland by type of building, 2008
• 8. Quarterly growth in GDP and gross value added in the construction industry in Poland (%, y/y), 2007-2008
• 9. Real growth in GDP in Poland (%), 2002-2008
• 10. Value of foreign direct investments in Poland (? bn), 2002-2009
• 11. Capital expenditure on buildings and structures by companies in Poland, 2000-2008
• 12. PMR Construction Climate Indicator, July 2004-March 2009
• 13. Cement production in Poland (m tonnes), 2000-2009
• 14. Investment projects relating to Euro 2012 in Poland by degree of completion, 2008-2012
• 15. Total construction and assembly output in Poland, 2000-2011
• 16. Construction companies in Poland, by number of employees, as at the end of December 2008
• 17. The number of new construction companies with less than nine employees, H1 2004-H2 2008
• 18. Growth in revenue and earnings of construction firms in Poland, 2002-2008
• 19. Employment in the construction sector in Poland (‘000), 2000-2008
• 20. Average gross monthly wage in the construction industry in Poland (PLN) and its changes, 2001-2008
• 21. Inflation rate and prices in construction and industry in Poland (%, y-o-y change), January 2000-February 2009
• 22. Net sales margin in industry and construction in Poland (%), 2000-2008
• 23. Cost to revenue ratio in industry and construction in Poland (% of revenues), 2000-2008
• 24. Indicator of overall economic climate in the construction sector in Poland, January 2006-March 2009
• 25. Climate survey ? construction and assembly output indicator in Poland, January 2002-March 2009
• 26. Number of buildings for which building permits were issued in Poland (‘000), 2000-2008
• 27. Assessment of the current situation in the Polish construction industry
• 28. How will the Polish construction market' s situation change in the next 12 months? Will it improve, get worse or remain unchanged?
• 29. PMR Construction Climate Indicator, July 2004-March 2009
• 30. How do you expect the value of a given indicator to change in 2in relation to 2008?
• 31. Percentage of respondents forecasting growth of wages and employment in the construction industry in Poland, July 2004-March 2009
• 32. Which segments of the construction market will be the most attractive to Polish companies in the next two years?
• 33. Obstacles to doing business in the Polish construction market
• 34. What can the government do to support construction companies during the crisis?
• 35. What are the key factors to market success in the Polish construction sector?
• 36. Is your company participating in projects co-financed by the EU?
• 37. Proportion of companies participating in projects co-financed by the EU, July 2004-March 2009
• 38. Does your company count on participation in Euro 2012-related projects?
• 39. How much of the adopted investment plan for Euro 2012 will be achieved?
• 40. Key construction segments of the surveyed companies
• 41. Revenue of the surveyed companies in 2008
• 42. Does your company plan to increase or decrease its workforce in the next 12 months?
• 43. Does your company employ workers from countries east of Poland?
• 44. Is your company planning to expand its production capacities in the next 12 months otherwise than by increasing its workforce?
• 45. How is your company planning to expand its production capacities in the next 12 months (otherwise than by increasing its workforce)?
• 46. How do you evaluate your company' s present financial standing?
• 47. How do you evaluate your company' s financial standing this year relative to a year ago?
• 48. How do you expect your firm to stand financially at the end of relative to the end of 2008?
• 49. How do you evaluate your firm' s portfolio of orders?
• 50. How has your company' s portfolio of orders changed in the past year?
• 51. What do you expect to happen to your firm' s order portfolio in the next 12 months?
• 52. How does your company plan to protect itself against the crisis?
• 53. Does your company conduct projects or sell products or services abroad? (based on responses provided in 2004-2009)
• 54. Countries where your company currently executes projects or sells products or services
• 55. Does your company plan to launch new projects or sell products or services outside of Poland?
• 56. Contribution of civil engineering projects to total construction and assembly output in Poland, 2003-2008
• 57. Civil engineering projects in Poland by type of building, 2008
• 58. Construction and assembly output comprising civil engineering works in Poland (PLN bn), 2000-2008
• 59. Allocation of funds under the Infrastructure and Environment Operational Programme in Poland (? bn and %), 2007-2013
• 60. Construction and assembly output comprising roads and motorways in Poland (PLN bn), 2000-2008
• 61. Construction and assembly output comprising bridges, viaducts, flyovers, tunnels, subways and pedestrian bridges (PLN m), 2000-2008
• 62. Condition of national roads in Poland as at the end of the year, 2004-2007
• 63. Length of motorways in Poland, eop (km), 2000-2009
• 64. Plan for the construction of motorways and express ways in the context of the Euro 2012
• 65. Construction and assembly output comprising railways in Poland (PLN m), 2000-2008
• 66. Investments of PKP PLK in Poland (PLN m), 2004-2009
• 67. Railway investments in Poland (? bn), 2008-2012
• 68. Modernisation of railway lines in Poland until 2012 and 2015
• 69. Number of passengers travelling through Polish airports (‘000), 2006-2008
• 70. Existing and planed civil airports in Poland, 2008
• 71. Construction and assembly output of civil engineering construction in Poland, 2000-2011
• 72. Non-residential construction and assembly output (PLN bn), 2000-2008
• 73. Contribution of non-residential construction projects to total construction and assembly output in Poland (%), 2003-2008
• 74. Non-residential construction and assembly output in Poland, by type of building, 2008
• 75. The number and floor area of non-residential buildings for which construction permits were issued in Poland, 2000-2008
• 76. Construction and assembly output comprising industrial and warehouse buildings in Poland (PLN bn), 2000-2008
• 77. The number and floor area of industrial and warehouse buildings for which construction permits were issued in Poland, 2000-2008
• 78. Warehouse space in Poland (‘000 m2), Q1 2009
• 79. Construction and assembly output comprising trade and services buldings in Poland (PLN bn), 2000-2008
• 80. The number and floor area of trade and services buildings for which construction permits were issued in Poland, 2000-2008
• 81. Floor area (‘000 m2) and share (%) of individual types of modern retail space in Poland, Q1 2009
• 82. Number of hypermarkets in Poland, 1997-2008
• 83. Market shares of building materials stores in Poland, Q1 2009
• 84. Construction and assembly output comprising office buildings in Poland (PLN bn), 2000-2008
• 85. The number and floor area of office buildings for which construction permits were issued in Poland, 2000-2008
• 86. Existing and planned office building projects in regional cities in Poland (m2), 2008
• 87. Construction and assembly output comprising hotels and tourist accommodation buildings in Poland (PLN m), 2002-2008
• 88. The number and floor area of hotels and tourist accommodation buildings for which construction permits were issued in Poland, 2000-2008
• 89. Largest hotel chains operating in Poland, 2008
• 90. Construction and assembly output comprising cultural, educational, sports, health care buildings and hospitals in Poland (PLN bn), 2000-2008
• 91. The number and floor area of cultural, educational, sports, healthcare buildings and hospitals for which construction permits were issued in Poland, 2000-2008
• 92. Construction and assembly output of non-residential construction in Poland, 2000-2011
• 93. Contribution of residential construction to total construction and assembly output in Poland (%), 2003-2008
• 94. Residential construction and assembly output in Poland (PLN bn), 2000-2008
• 95. Residential construction and assembly output in Poland by type of building, 2008
• 96. Prices of materials used in the construction of a standard single-family house in Poland, September 2004-February 2009
• 97. Housing starts and homes for which building permits were issued in Poland (‘000), 2000-2008
• 98. The number and value of new mortgage loans in Poland, 2004-2009
• 99. Prices of sold flats on resale market, March 2009
• 100. Number of square metres of dwelling which can be bought for the average monthly salary in Poland and globally, 2008
• 101. Construction and assembly output of residential construction in Poland, 2000-2011
• 102. Housing completions in Poland - number (‘000) and growth rate (%), 2006-2011

• 1. Construction and assembly output in Poland (PLN bn), 2007-2008
• 2. Main indicators illustrating the condition of the Polish construction industry, 2001-2008
• 3. Breakdown of construction and assembly output in Poland, by type of building, 2005 ? Q1-Q3 2008
• 4. Forecasts for the main economic indicators in Poland for 2009-2011
• 5. Anticipated result of the implementation of the Infrastructure and Environment Programme, 2007-2013
• 6. Investment projects related to the organisation of Euro in Poland (PLN bn) by 2012
• 7. The number of construction firms in Poland, 2002-2008
• 8. Financial results of the largest construction groups operating in Poland, 2007-2008
• 9. Financial results of construction companies operating in Poland (PLN m), 2001-2008
• 10. Change in prices of building materials and employment in construction companies in Poland in 2009 relative to 2008, based on assessments provided by the respondents to our survey
• 11. Expenditure on environmental projects in Poland (PLN m), 2007-2010 and 2011-2014
• 12. A1 motorway construction progress
• 13. A2 motorway construction progress
• 14. A4 motorway construction progress
• 15. A8 motorway construction progress
• 16. Railway projects planned in Poland with additional funding provided under the Infrastructure and Environment Operational Programme, 2008-2013
• 17. EU funds provided under the Infrastructure and Environment Operational Programme to finance execution of key investment projects at Polish airports, 2007-2013
• 18. Non-residential buildings completed in Poland in 2005-2007, by type of building
• 19. The largest planned and completed shopping centres in Poland, 2009-2011
• 20. The number of hypermarkets in Poland, 2007-2008
• 21. Foreign supermarket chains in Poland, 2007-2008
• 22. Discount store chains in Poland, 2008
• 23. Public utility buildings completed and underway in Poland, 2009
• 24. Public utility buildings planned in Poland, 2009-2013
• 25. Housing stock in Poland, as at the end of 2008
• 26. The average useable floor area of homes completed in Poland (m2), 2000-2008
• 27. Housing completions in Poland by type, 1996-2008
• 28. Change in housing completions in Poland (%, y-o-y), 1998-2008
• 29. Homes for which building permits were issued in Poland, 2007-2008
• 30. Housing starts in Poland, 2007-2008
• 31. Population of Poland by voivodship, 2005-2008
• 32. Number of construction firms in Poland by voivodship, end 2008
• 33. Output of construction firms in Poland by voivodship (PLN m and € m) 2005-2008
• 34. Construction and assembly output in Poland, by voivodship (PLN m and € m), 2005-2008
• 35. Construction and assembly output in Poland, investment works, by voivodship (PLN m and € m), 2005-2007
• 36. Construction and assembly output in Poland, renovation works, by voivodship (PLN m and € m), 2005-2007
• 37. Number of residential buildings for which construction permits were issued in Poland, by voivodship, 2004-2008
• 38. Number of non-residential buildings for which construction permits were issued in Poland, by voivodship, 2004-2008
• 39. Characteristics of voivodships
• 40. Key financial data of the Polimex-Mostostal Group, 2005-2008
• 41. Contracts acquired in the period October 2008-March 2009
• 42. Key financial data of the Skanska Group, 2005-2008
• 43. Contracts acquired in the period October 2008-March 2009
• 44. Key financial data of the Budimex Group, 2005-2008
• 45. Contracts acquired in the period October 2008-March 2009
• 46. Key financial data of Strabag Sp z o.o., 2005-2008
• 47. Contracts acquired in the period October 2008-March 2009
• 48. Key financial data of the Mostostal Warszawa Group, 2005-2008
• 49. Contracts acquired in the period October 2008-March 2009
• 50. Key financial data of the Warbud Group, 2005-2008
• 51. Contracts acquired in the period October 2008-March 2009
• 52. Key financial data of the PBG Group, 2005-2008
• 53. Contracts acquired in the period October 2008-March 2009
• 54. Key financial data of the Hochtief Polska Group, 2005-2008
• 55. Contracts acquired in the period October 2008-March 2009
• 56. Key financial data of the P.R.I. Pol-Aqua Group, 2005-2008
• 57. Contracts acquired in the period October 2008-March 2009
• 58. Key financial data of the Mostostal Zabrze Group, 2005-2008
• 59. Contracts acquired in the period October 2008-March 2009
• 60. Key financial data of the Elektrobudowa Group, 2005-2008
• 61. Contracts acquired in the period October 2008-March 2009
• 62. Key financial data of the Erbud Group, 2005-2008
• 63. Contracts acquired in the period October 2008-March 2009
• 64. Key financial data of the Eiffage Budownictwo Mitex Group, 2005-2008
• 65. Contracts acquired in the period October 2008-March 2009