Re AE&E Inova AG

RNS Number : 8080X

Costain Group PLC

13 December 2010

 



Costain Group PLC

("Costain" or "the Group")

Re AE&E Inova AG & the Belvedere facility

Further to the announcements, issued on 29 November and 2 December 2010, advising on the position regarding AE&E Inova AG ('AE&E Inova'), with whom Costain has a sub-contract for a major part of the works at the Belvedere energy-from-waste facility, and the uncertainty in respect of future payments under the contract, Costain is providing the following update.

AE&E Inova is continuing to trade and has advised Costain that in relation to their search for a new investor it has "binding offers from well-known strategic investors". In addition they have indicated that "they are working to an aggressive timetable" and "are confident that they will now be able to secure their future".

Under the Belvedere sub-contract, the £2.6 million stage payment due to Costain on Friday 10 December has not yet been received. Costain is maintaining an active dialogue with AE&E Inova as the Swiss-based company seeks to secure its future and meet its obligations and, in addition, Costain continues concurrent and positive discussions with Cory Environmental, for whom the Belvedere facility is a development project, regarding payments and completion of the project.

Further announcements will be made as appropriate.

13 December 2010

Enquiries:

Costain Group PLC
Andrew Wyllie, Chief Executive	Tel: [phone]
Tony Bickerstaff, Finance Director
Graham Read, Communications Director
College Hill	Tel: [phone]
Mark Garraway
Adam Aljewicz

 

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