Current report no 79 / 2021

“Task IV.2 Construction of Wiślany sewer – stage III” – signing of the contract

The Management Board of Budimex S.A. announces that on 17 November 2021 the contract has been concluded between Budimex S.A  and Miejskie Przedsiębiorstwo Wodociągów i Kanalizacji (MPWiK) [Municipal Water and Sewage Company] in the Capital City of Warsaw S.A. with its registered office in Warsaw (02-015) at Plac Starynkiewicza 5 for the general implementation of the investment under the name: “Task IV.2 Construction of Wiślany sewer – stage III”.

The information that our bid was selected as the most advantageous one was published on 14 July 2021 in the current report no. 57/2021.

Contract value:  PLN 157,025,500.00 net

In the last 12 months, the total value of orders with the same Ordering Party amounted to PLN 216,500,612.07 net.

The highest-valued order is the aforementioned contract.

Terms of the highest-value contract:

Contract value: PLN 157,025,500.00 net

Works commencement date: from the contract date

Works completion date: 24 months

Guarantee period: 36 months for construction works and delivered machines, equipment and goods, and 120 months for pipeline material

Warranty period: 36 months for construction works and delivered machines, equipment and goods, and 120 months for pipeline material

Advance payment: none

Payment terms: according to the Payment Schedule, 30 days from the day of delivery of a correctly issued VAT invoice to the Ordering Party by the Contractor

Bank performance bond: 5% of gross contractual remuneration

Maximum total value of contractual penalties payable by the Contractor: 20% of gross contractual remuneration

The Ordering Party shall have the right to claim, on general terms, additional compensation in excess of the contractual penalties set forth in the contract.

Other terms and conditions of the contract do not differ from the market standards.

Total value of contracts signed between Budimex and its subsidiaries and the Ordering Party, including the bid value, exceeds the threshold of PLN 167,645 thousand net.