US tunnel order worth USD 47 M, about SEK 315 M, suspended due to budgetary reasons
At the request of the customer, work on the Palisades Tunnel, which is part of the new Trans-Hudson Express Project (THE Project) between Manhattan, New York and New Jersey, has been suspended until further notice. The reason is the lack of available funds in the state of New Jersey’s budget.
Skanska’s share of the remaining construction project totals USD 47 M, about SEK 315 M. Order bookings will now be reduced by the corresponding amount in the fourth quarter of 2010. The contract was originally included in order bookings for the second quarter of 2010 and, since then, Skanska has completed about 10 percent of the contracted assignment.
“It is highly unusual that we are forced to suspend an ongoing project. The reason is that the state of New Jersey does not have the funds available in its budget to complete the project,” says Richard Cavallaro, President of Skanska USA Civil.
For further information, please contact:
Elizabeth Miller, Communications Manager, Skanska USA,
tel +1 917 656 5883
Peter Gimbe, Press Officer, Skanska AB, tel. +46 10-448 88 38.
Direct line for media: +46 10-448 88 99
This and previous releases can also be found at www.skanska.com
The information is such that Skanska AB is obligated to publish in accordance with the Swedish Securities Markets Act.
Skanska is one of the world’s leading project development and construction groups with expertise in construction, development of commercial and residential projects and public-private partnerships. Based on the Group’s global environmental know-how, Skanska aims to become customers’ first choice in terms of Green projects. The Group currently has 49,000 employees in selected home markets in Europe, the US and Latin America. Skanska’s sales for 2009 totaled SEK 137 billion.