Skanska to build hospital in California for USD 50 M, about SEK 310 M

Skanska has been awarded the construction management contract for the extension of St. Joseph Hospital in Eureka, California. The contract amounts to USD 50 M, about SEK 310 M, which is included in order bookings for the second quarter. The customer is St. Joseph Health System.

The project involves an approximately 9,300-square-meter, three-story expansion of the existing hospital premises. The addition will double the hospital’s emergency department capacity and increase intensive care unit beds.

The expansion is scheduled to be complete at the end of 2010. Thereafter, Skanska will also renovate about 1,100 square meters of the existing hospital, which will remain in operation during the entire construction period.

Skanska was also commissioned for the project’s initial phases, which amounted to USD 18 M and was included in order bookings in previous quarters. Accordingly, Skanska’s construction contract amounts to SEK 68 M. For this program St. Joseph Health System’s investment is totaling USD 118 M.

Skanska USA Building is a leading U.S. provider of construction, general contracting, design and design-build services. The company also provides pharmaceutical validation services to clients. Customers represent a broad spectrum of American industries, including the pharmaceutical, healthcare, educational, electronics, infrastructure, sports and entertainment industries. The company is based in Parsippany, New Jersey and has approximately 4,000 employees. Revenues totaled approximately SEK 27 billion in 2007.


For further information please contact:

Tom Crane, Senior Vice President Communication,
Skanska USA Building, tel +1 973 753 3450
Hans Biörck, Executive Vice President, CFO, Skanska AB,
tel +46 8 753 88 00