MercoPress. South Atlantic News Agency

Spanish companies confirm investments in Argentina

Pte. Fernadez in a meeting with Repsol CEO Antonio Brufau

Two of Spain's strongest corporations reaffirmed their decision to re-invest heavily in Argentina in spite of the “difficult and complicated” situation created by the re-nationalization of Argentina's air flag carrier with no compensation for its Spanish owners.

Visiting Argentine president Cristina Fernandez de Kirchner met with the top leaders of oil corporation Repsol-YPF and telecoms Telefonica, both with huge interests in Argentina, and ratified their investment plans for 2009 and 2010 to the tune of 1.8 billion US dollars each. "We've had a good meeting and we've ratified to the President our investments in Argentina and our commitment to that country", said Antonio Brufau, Repsol-YPY CEO. "We see the world crisis as an opportunity, but we need to optimize the production line", added Brufau who mentioned 1.8 billion US dollars. He also pointed out that last week Repsol-YPF announced investment cuts did not include Argentina. Telefonica's CEO Cesar Allierta was also optimistic about the company's future in Argentina. Telefonica is planning to advance with the "triple play" which includes Internet, cable and phones. However this means changing the current telecoms and media legislation in Argentina which apparently will be sent to Congress in the coming weeks. Finally Cristina Kirchner also met with the board of the Santander Group, one of Spain's main banks and with the largest exposure in Latinamerica.