Current report no 2 / 2014

Construction of the S5 expressway - Bojanów and Rawicz ring road - completion of works - selection of the Budimex SA bid

The Management Board of Budimex SA announces that on 7 January 2014 they were informed by the General Directorate for National Roads and Motorways, Branch in Poznań, about the selection of the Budimex SA bid as the most favourable in the proceedings concerning the public procurement procedure for "Construction of the S5 expressway, Poznań section (A2, Głuchowo junction), Wrocław (A-8, Widawa junction), Kaczkowo - Korzeńsko section (Bojanów and Rawicz ring road) - completion of works".

• Contract value: 198,799,365.60 zlotys net
• Commencement date: within 7 days from the date of concluding the contract
• Work completion date: 8 months from the commencement date
• Guarantee period: 7 years
• Financial terms and conditions:
  • Advance payment: two options for the contractor: 5% or 10% of the gross contractual amount
  • Payment: 30 days from the delivery of the invoice to the Contracting Authority
  • Bank performance bond: 10% of the gross offered price
• Maximum penalties paid by the Contractor: 20% of the gross contractual price
• Liquidated damages to be paid by the Contracting Authority: 15% of the gross contractual price upon withdrawal from the contract due to the Contracting Authority
• The Contracting Authority reserves the right to claim supplementary compensation which adapts the amount of contractual penalties to the amount of damage actually suffered and lost profits

The contract value exceeds 10% of the equity of Budimex S.A.