Current report no 74 / 2015

Construction of the second carriageway of express road S3 at Niedoradz–Nowa Sól section – decision on choosing the bid of Budimex SA

The Management Board of Budimex SA announces that on 19 October 2015 it was informed by the Zielona Góra Branch of the General Directorate for National Roads and Motorways about the selection of the bid of the Consortium of Budimex SA (Consortium leader with 95% of shares) and Ferrovial Agroman SA (Consortium partner with 5% of shares) as the most advantageous bid in the limited tender procedure entitled: “Construction of the second carriageway of express road S3 at Sulechów–Nowa Sól section – third section from km 299+350 to km 316+640.”

• Bid value: PLN 153,223,518.27 net.
• Works commencement date: on the contract date.
• Works completion date: 22 months from the conclusion of the contract. The implementation time does not include winter periods (i.e. from 15 December to 15 March).
• Guarantee periods: 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 1% to 5% of the accepted gross contract amount.
  • Payment: 30 days of receipt of a VAT invoice by the ordering party.
  • Bank 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 bid value exceeds 10% of the equity of Budimex SA.