Promotora de Centros Educativos S.A. de C.V. Summary Of Project Information (SPI)       Project Name    Mexico - Educación      RegionLatin America and Caribbean   SectorSocial Services   Project No009349   Projected Board DateOctober 30, 1999   Company NamePromotora de Centros Educativos S.A. de C.V.   Technical Partner and/or Major Shareholders    	The sponsor of the project is the Legionaries of Christ, which will provide equity financing and centralized support functions. The Legion has vast experience in constructing and operating education centers in Mexico and other parts of the world. The Legion is a non-profit religious order whose primary objective is to provide quality education throughout the world.     Project Cost Including proposed IFC investment    	The project, the first two stages of a four-stage construction plan, has an estimated cost of US$27.7 million. The proposed IFC financing consists of two A loans of US$6.5 million and US$3.2 million, corresponding to the two project stages.    Location of project and Description of site    	The 5 schools to be built will be in the cities of Oaxaca, Durango, Morelia, Culiacan, and Cuernavaca. The Morelia and Cuernavaca sites are approximately 26,598 m2 and 63,889 m2 respectively, both sites are located in urban areas. The Durango site is 100,000 m2 and is located in a rural area. The Oxaca and Culiacan sites will require 50,600 m2 and 67,026 m2 respectively. The Oxaca site will be located in a rural area and the Culiacan site in a peri-urban area. The sponsor has indicated that the already identified sites for these two cities may change in the future. In this case, the sponsor is committed to undertake and provide IFC with details of future land acquisitions and to comply with World Bank policies and guidelines. Although not anticipated, any land acquisition requiring resettlement will be subject to the preparation of a Resettlement Action Plan to be approved by IFC prior to acquisition of the land.       Description of Company and Purpose of Project    The greenfield project involves the first and second stages of a four-stage plan to construct and operate five private schools in the interior of Mexico. The project will create capacity for approximately 5,200 students from pre-school through primary school. The sponsors entire four-stage construction plan will provide education through high school for approximately 9,000 total students. Promotora de Centros Educativos S.A. de C.V. has been established as the holding company for the five schools.   	The project will complement the efforts of the Mexican government to provide quality primary and secondary education in the provinces, at a time when it is under severe fiscal pressure in order to maintain macroeconomic equilibrium. The additional resources mobilized for education through this project will raise the government''s ability to target its education expenditures to benefit the poor. The project will enhance Mexico''s stock of human capital by graduating a very high percentage of students who will enroll in various universities and colleges in Mexico and abroad.        	Private education accounts for less than 10% of the primary and secondary education market, which is quite low by international standards. The Legion, one of the most prolific private educators in Mexico, has seen a rise in demand for its services and requests from parents to open schools in their communities. With 45 years of experience constructing and operating schools, the sponsor is one of the more capable institutions to supply the unmet demand for private education. However, there is currently not a market for reasonably priced long-term debt financing to help fund an education project of this nature.      Environmental Category and Issues    	This is a category B project according to IFCs environmental and social review procedure. Key environmental and social issues reviewed include: site selection and site environmental and social conditions (including land ownership and land use); liquid and solid waste management and disposal; source and adequacy of water supply; use of asbestos-containing building materials; CFCs; and fire protection and life safety.   Land acquisition was on willing seller  willing buyer basis. The Legion is committed to undertake and provide IFC with details of future land acquisitions and to comply with World Bank policies and guidelines. Although not anticipated, any land acquisition requiring resettlement will be subject to the preparation of a Resettlement Action Plan to be approved by IFC prior to acquisition of the land.   Liquid waste (including sewage) will be treated at the municipal wastewater treatment plant, except in Oaxaca, where Educacion will use septic and absorption tanks. The Legion will establish a recycling program. The non-recycling waste will be disposed of at the municipal landfill. The Legion has committed to conduct an independent fire safety audit and implement all recommended mitigation measures. The facilities will be designed to meet National Fire Protection Association (NFPA) standards.         The  is available from the InfoShop.       Host country location of envrionmental documents:     Cuernavaca:    Instituto Highlands Casandra    # 97, Col. Delicias   Cuernavaca, Morelos      C.P. 62330                      Atn. Srita. Beatríz Molina      Durango:    Instituto McKinley Bvd. Francisco Sarabia # 412,    Zona Centro Durango, Durango C.P. 34000   Atn. Lic. Alejandro Gómez Retes    Oaxaca:   Instituto McKinley   Héroes de Chapultepec # 413, Col. Xochimilco Oaxaca de Juárez, Oaxaca C.P. 68000   Atn. Sra. Marcela Navarro de Jarquin    Culiacán:    Instituto Andes                 Ciudades Hermanas # 287 Ote. Col. Guadalupe   Culiacán,Sinaloa  C.P. 80040   Atn. Srita. Karime Alle Arrechavaleta    Morelia:    Instituto Kilimanjaro   Calz. Ventura Puente # 557, Col. Chapultepec Nte.   Morelia, Michoacán   C.P. 58260   Atn. Srita. Mónica Pacheco Mrtínez      Date SPI sent to InfoShop September 30, 1999   This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporations Board of Directors.  It is provided for the purpose of enhancing the transparency of IFCs activities and should not be construed as presuming the outcome of IFC Board consideration.    For Additional Information contact:  Corporate Relations Unit -   telephone: (202) 473-7711   facsimile: (202) 974-4384  Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).