16th Aug 2006 10:22
Carillion PLC16 August 2006 Carillion disappointed by Network Rail's decision to suspend it from tenderingfor new rail projects. Carillion is disappointed by Network Rail's decision to announce today thesuspension of Carillion Rail from tendering for new rail projects until itsworkforce safety performance improves. Carillion is committed to the highest standards of Health and Safety and is thefirst company in its sector to set a target of zero workplace accidents.Carillion's safety record stands comparison with the best in our sector andoverall the workplace safety performance of our rail business has, untilrecently, also been comparable with that of our peers. Carillion acknowledges that there was an increase in less serious workplaceaccidents in Carillion Rail between mid-June and mid-July, during which time wewere undertaking a major restructuring of our rail business. However, while weshare Network Rail's objective of improving workforce safety and regard anyaccident as unacceptable, we believe that Network Rail's decision is whollydisproportionate to our overall performance in respect of workplace safety. As part of our Target Zero campaign we will continue to target improvements inworkforce safety performance and would expect Network Rail to reinstateCarillion Rail as soon as this returns to previous levels or better. Carillion Rail generates approximately five per cent of the Group's annualrevenue from contracts with Network Rail and this is already reducing as aresult of refocusing our rail business on sustainable areas of the UK market,which, as previously indicated, is declining. Therefore, Network Rail's decisionwill have no material effect on the Group's earnings expectations in 2006 or2007. For further information John Denning, Director Group Corporate Affairs, Carillion plc 01902 316384 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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