Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Carillion counts Dublin Port Tunnel losses

News

FURTHER PROBLEMS on the Dublin Port Tunnel and other inherited projects have forced contractor Carillion to write off a further £90M, following its £313M takeover of Mowlem in February.

The £303M project, is being built by a Nishimatsu/Mowlem/ Irishenco joint venture.

It has been plagued by a series of contractual and technical issues since it started in 2001 (NCE 30 September 2004).

This week Carillion said it was increasing this write-down after Mowlem's 2005 accounts showed that key contracts had deteriorated more than expected. .

'Since completing the acquisition of Mowlem, it has become clear that prior to acquisition the position on a small number of large contracts had deteriorated further, particularly the Dublin Port Tunnel and Exeter Schools projects, ' it said in a statement to the Stock Market.

'As a result, the provisional fair value adjustment of £45M relating to contract write-downs is now expected to increase by a further £90M.

'This reflects a firm view of the expected outturn for these contracts.

In the event that actual writedowns are different from expectations, full visibility will be provided of the amounts involved.'

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Please note comments made online may also be published in the print edition of New Civil Engineer. Links may be included in your comments but HTML is not permitted.