Legal cases impacting operating income positively by SEK 408 M in second quarter
The Competition Authority in the Czech Republic recently informed Skanska that it will issue a decision to terminate the proceeding initiated in 2016 concerning the R4 project in the Czech Republic. The statement follows the judgment from the Czech Supreme Court in March 2019 to annul the previous decision by the Competition Authority to impose a fine on Skanska and other companies. Given the low likelihood of any further financial exposure in the case, Skanska will release a central provision, impacting operating income in the Central stream positively in the second quarter 2019 totaling SEK 212 M. This will not have a cash flow impact.
Also, as communicated earlier, Skanska Norway was awarded damages by the Court of Appeal in the case Follo EPC Oslo S after the Norwegian Supreme Court’s decision not to grant the client (National Rail Administration) a permission of appeal in April 2019. This will have a positive impact of SEK 196 M on Skanska’s operating income and cash flow in the Construction stream in the second quarter 2019.
For further information please contact:
André Löfgren, SVP Investor Relations, Skanska AB, tel +46 (0)10-448 13 63
Jacob Birkeland, Head of Media Relations, Skanska AB, tel +46 (0)10 449 19 57
Direct line for media, tel +46 (0)10 448 88 99
This and previous releases can also be found at www.skanska.com.
Skanska is a world leader in construction and project development on select markets in the Nordic region, Europe and USA. Driven by the Group’s values, Skanska wants to contribute to a better society. Skanska provides innovative, sustainable solutions for both simple and complex assignments. Skanska has about 38,000 employees, and 2018 revenue totaled SEK 170 billion.
This information is information that Skanska AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 07:30 am CET on 10 of July 2019.