23rd Oct 2006 07:01
Carillion PLC23 October 2006 23 October 2006 Carillion joint venture awarded £363 million East London Line contract Support services and construction company Carillion plc announces today that, injoint venture with Balfour Beatty, it has been awarded the £363 million contractto create the new East London rail line between Dalston Junction in the Northand West Croydon in the South, by Transport for London (TFL). The project, which is the first of two phases, will extend the existing EastLondon Line to Dalston Junction in the North and New Cross Crystal Palace andWest Croydon in the South. It is scheduled for completion in late 2010.Construction works will begin in early 2007. Some additional work, not coveredby the base contract for Phase1 could be commissioned from the joint ventureover the next few months. Commenting, Carillion Chief Executive John McDonough said, "We are delighted tohave been selected for this project, which is the cornerstone of Transport forLondon and the Mayor's £10 billion investment programme to give London a 21stcentury transport system. Carillion's ability to combine its wide range ofcapabilities and strong project management skills to provide complex integratedsolutions is a key strength and we look forward to working with Transport forLondon to deliver this major component of London's transport infrastructure." Phase 2 of the project will further extend the line west to Clapham Junction andconnect the North London Line stations at Canonbury and Highbury & Islington. Proposals to build the new line helped to underpin London's successful bid forthe 2012 Olympic Games. The project will not only play a major role intransporting people to and from the 2012 Olympic Games, but also triggersubstantial development and regeneration initiatives in some of London's mostdeprived boroughs. The contract will involve railway works including track, signalling,telecommunications and electrification, and major civil engineering worksincluding the construction of two large new bridges, new stations and a newdepot at New Cross Gate. Carillion and Balfour Beatty are market leaders in the provision of training inthe construction sector and are uniquely placed to deliver TFL's requirementsfor equality, inclusion and diversity through the employment and training oflocal people. For further information please contact John Denning Director Group Corporate Affairs, Carillion plc 01902 [email protected] Notes to Editors Carillion is a leading provider of integrated solutions for infrastructure,buildings and services in the UK, with well-established internationalbusinesses. Carillion has annual revenue in the region of £4 billion and hasover 40,000 employees. It delivers high quality, cost effective and sustainablesolutions using its wide range of skills and resources. Its key target marketsare transport (rail and road infrastructure), defence, education, health andbuilding and facilities management for public and private sector customers. Carillion is a leader in Public Private Partnership projects, having financiallyclosed 36 PPP projects. Following the profitable disposal of a number of itsequity holdings in these projects, Carillion's current portfolio comprises 23projects in which it has invested, or has commitments to invest, approximately£159 million of equity. The directors' valuation of this portfolio is £216million, based on discounting the cash flows from these equity investments at anaverage of eight per cent. Carillion has also carried out a number of successful projects in joint venturewith Balfour Beatty, including the West Coast Mainline Overhead Line project forNetwork Rail and the construction of the M6 toll-way in the Midlands. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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