Current report no 52 / 2017

Budimex SA bid selected as the most advantageous one in the tender for the design and construction of S-61 express road Ostrów Mazowiecka–Szczuczyn, section: junction Stawiski (excluding the junction) – start of the Szczuczyn ring road, with length of app

The Management Board of Budimex SA announces that on 3 July 2017, it was informed by the General Directorate for National Roads and Motorways about the fact that the bid of Budimex SA was selected as the most advantageous one in the tender for design and construction of S-61 express road Ostrów Mazowiecka–Szczuczyn, section: junction Stawiski (excluding the junction) – start of the Szczuczyn ring road, with length of approx. 18.002 km [S61] The fact that the Budimex SA bid in this tender received the best score was announced by Budimex SA in the report No 45/2017 of 19 June 2017.

Contract value: PLN 278,157,883 net

Works commencement date: on the contract date

Works completion date: 31 months; the implementation time does not include winter periods, the design time includes winter periods

Guarantee period: 120 months

Advance payment: 5-10% of the Gross Contract Value

Payment: within 30 days from the date of receipt by the Employer of a valid invoice in accordance with the annexed Interim Payment Certificate and acceptance certificates.

Bank performance bond: 10% of the Accepted Gross Contract Value.

Contractual penalties paid by the Contractor:

- for exceeding Time for Completion of Works or the section, 0.02% of the Accepted Contract Amount for each day of delay, calculated for the first two weeks

- for exceeding Time for Completion of Works or the section, 0.03% of the Accepted Contract Amount for each day of delay, calculated in the third and fourth week

- for exceeding Time for Completion of Works or the section, 0.05% of the Accepted Contract Amount for each day of delay, calculated from the fifth week

- 0.02% of the Accepted Contract Value for each day of delay for failure to execute the Required Minimum Implementation Amount, calculated for each minimum implementation condition

- 15% of gross remuneration for the withdrawal from the contract or its termination due to reasons attributable to the Contractor

- for failing to amend the payment deadline in the subcontractor’s agreement: PLN 25,000.00 for each day of delay

- for execution of works by a subcontractor other than the one specified in the bid: PLN 25,000.00 for each case

Contractual penalties payable by the Ordering Party:

- 0.1% of gross remuneration for the delay in the hand-over of the construction site for each day of delay

- for withdrawal from the contract due to reasons attributable to the Employer: in the amount of 15% of gross remuneration

Maximum penalties: 20% of gross remuneration

The Employer reserves the right to seek damages under generally applicable rules if the amount of loss sustained exceeds the amount of the stipulated contractual penalty

The bid value exceeds the threshold of PLN 111,446 thousand.