Carillion
 

Hope nobody out here is affected by this.

Wonder if the AF link will help them here?

Mental that it's liquidation not administration. Shows how deep the problems go.

Re: Carillion
 

Scrap all that - just read the BB news !

Re: Carillion
 

tough reading but good to see the government let it go.

My guess is that it would have been the pensions shortfall that killed it, not the lenders.

Re: Carillion
 

Liquidation. Shares suspended.

Re: Carillion
 

Bernard Jenkin, the Conservative chairman of the House of Commons Public Administration Committee, said Carillion's collapse "really shakes public confidence in the ability of the private sector to deliver public services and infrastructure".

He said there needed to be a change of "mindset" at companies that do a lot of work for the taxpayer.

"You've got to treat yourself much more as a branch of the public service, not as a private company just there to enrich the shareholders and the directors," he said.

Rehana Azam, national officer of the GMB union, said: "What's happening with Carillion yet again shows the perils of allowing privatisation to run rampant in our schools, our hospitals and our prisons."

Those two quotes stuck out for me.

Re: Carillion
 

Very true, lots of eggs in the Carillion basket now getting smashed. The government is going to guarantee all the public service works currently being done, so schools, hospitals etc. I worked, not for them, but in one of the hospitals that Carillion took contracts with for domestic services and car parking. Domestics were saying that their wages were frozen, and that they were given less time to do the actual jobs, so less people employed, the result was that walls were being cleaned only as high as the people could reach, so over time 'tide' marks appeared where they were unable to clean, this led to wards having to get nurses to properly clean the walls to enable safer places for patients, the powers that be eventually had to tell the company that their work had to improve or be in breach of contract, the situation did improve and walls were cleaned correctly.

Re: Carillion
 

Nothing could possibly stop Unions from wading in could it?

Re: Carillion
 

Unions aren't evil by default. I find them beneficial. They just need to be regulated properly and therein lies the problem.

Re: Carillion
 

Major involvement in Expo 20/20 . They've committed to delivering a massive slice.

Good luck with that , interesting situation as I'm led to believe the UK finance initiative was paramount in this.

Re: Carillion
 

I just find all political point scoring when something like this happens to be a bit tragic.

Exactly.

Although the export finance credits helped perhaps to secure the work, the UK did a bit of a u-turn from what I understand and not a huge amount of funding came from it in the end. In fact, barely any.

We're working with them out here on a few things.

Re: Carillion
 

This goes back to September but it's reassuring to know provisions were being made to keep money with those that earned it.

Carillion protected bosses’ £4m bonuses before crisis | This is Money

A great day for all those that made an estimated £80m from shorting stock too.

Re: Carillion
 

I'm not sure how their ME business is set up and how it is now with AF but the amount of work they have to deliver up on Expo is massive .

Many contractors walked away from it because of the size/delivery programme and wanted it split up but Carillion took the full package of that contract and committed to delivering.

The cash has got to come from somewhere

Re: Carillion
 

Indeed, screw accountability. Corbyn, Abbott, Jones we done your boys good, can you hear me Lily Allen, your boys took a hell of a beating.

Re: Carillion
 

Massive doesn't cover it even, it's unreal how much they have up there. 24/7 is happening.

4x more than Expo was suggested for the new airport by the UK export finance.

What I heard was they pulled out of the deal in the end because the client here would be disbanded and nobody else wanted to take the terms of the agreement on.



I suppose you should probably chastise EY as well for not liquidating them for free?

Re: Carillion
 

I used to work at EY in their liquidations team. They will be loving this and praying it’s a very complicated structure. Liquidator always gets paid first and against their headline rates. No discounts.

Export finance is always tricky, great though it is.

Re: Carillion
 

They don't get paid first once, they get paid first at every level. It's wonderful business for them.

Export finance was definitely involved, then it definitely wasn't. Then maybe. No idea what happened in the end.

Re: Carillion
 

What a mess, hopefully no-one on here is directly affected by it or at least had the good sense to bail out a few months ago when the writing was on the wall.

Guessing on an Arabtec, CCC and partner(s) JV to come in and take over the works? Good but risky opportunity for anyone considering stepping into the breach.

Re: Carillion
 

The local partner, AF, will hopefully make it all work for the people employed here and for the contracts they've got....beyond that it gets really messy I guess.

Re: Carillion
 

I don't think you'll be far away with that . LOR walked away initially after declining to take the full package. We have a fair bit in there but everyman and his dog is in the frame.

Someone with deep pockets and a decent line of credit and a touch of influence;)

Re: Carillion
 

And why shouldn't they? They're just representing their members.20,000 of them directly and how many more indirectly.

I actually thought Bernard Jenkin's comment was more to the point. That part about public service and not just enriching the shareholders.

From a Tory too...

Re: Carillion
 

As do directors.

Re: Carillion
 

Not a surprise. They were never the same after Fish left the band.

Re: Carillion
 

What are they going to achieve though? Some of the claims have been ridiculous around privatisation. The same folk would be insufferable if their PFI hospital had never been built.

Re: Carillion
 

Lip service and saying the right thing at the right time. Only a fool would believe it.

Re: Carillion
 

Titter titter (but wasn't it Phish?).

Re: Carillion
 

Don't think so. Could be wrong.


I've now got Karma, Karma, Karma, Karma, Karma Carillion going round in my head. I blame the desert air.

Re: Carillion
 

Phish is an American band (and name of a type of Ben & Jerry's ice cream). Derek "Fish" Dick was the lead singer of Marillion.

Re: Carillion
 

And Phishing is what people do when they try and get your bank details with dodgy texts/e-mails.

Re: Carillion
 

Pheck off the lot of you

Re: Carillion
 

Some of there work has already been re awarded , seen enquiries today for packages which were AFC .

Didn't take them long

Re: Carillion
 

Official email from the big programme is that it's business as usual. Apparently AF family group / business have been told and agreed to / with that things should not change and things should not affect the tight timescales for an international event.

Re: Carillion
 

They can't and won't say anything else . The things a catastrophic mess .

Re: Carillion
 

Perhaps Qatar not paying was a strategic decision....

Re: Carillion
 

They're on 3-4 of our projects but Expo is the one we're least concerned about.

Re: Carillion
 

What about that one in DCH ?

Re: Carillion
 

There's quite a few UAE companies had the their pants pulled down in Qatar .

Re: Carillion
 

Not sure to be honest.
The one on the palm couldn't be more of a trouble project if it tried so whether they stay or go I think is now irrelevant. :rofl:

Re: Carillion
 

Sounds like my kind of project.

Re: Carillion
 

So you make your fortune off others' misfortunes? :sneaky:

Re: Carillion
 

Not really. Most investments in MENA across the entire industry are underwater.

I’d love to work in a hedge fund buying distressed stuff though.