Aktuální report č. 68 / 2015

Design and construction of the Suwałki ring road – a new contract of Budimex SA

The Management Board of Budimex SA would like to announce that on 29 September 2015 a contract was concluded with the General Directorate for National Roads and Motorways, Branch in Białystok, for the design and construction of a ring road for the city of Suwałki, along the S61 Express Road – Section A and Section B.

• Contract value: PLN 243,459,000.00 net.
• Works commencement date: on the date of concluding the contract.
• Works completion date: 34 months from the date of concluding the contract. The implementation time does not include winter periods (i.e. from 15 December to 15 March).
• Guarantee period: 10 years for surface structure (excluding wearing course), acoustical barriers, traffic signs, concrete prefabricates, road engineering structures; 5 years for the wearing course; 4 years for thick layer traffic marks; 3 years for greenery; 1 year for thin layer traffic marks.
• Financial terms and conditions:
  • Advance payment: from 5% to 10% of the accepted gross contract amount.
  • Payment: 30 days of receipt of a VAT invoice by the ordering party.
  • Performance bond: 10% of the accepted gross contract amount.
• Maximum penalties payable by the contractor:
  • 20% of the accepted gross contract amount
• Maximum penalties payable by the ordering party:
  • 15% of the accepted gross contract amount for withdrawal from the contract due to reasons attributable to the ordering party.
• The ordering party reserves the right to demand supplemental damages in excess of contractual penalties to the amount of the actual loss that was incurred or could be incurred due to improper performance of the contract by the contractor.

The contract value exceeds 10% of the equity of Budimex SA.