Carillion goes into liquidation

Theresa May is resisting a huge bailout of stricken contractor Carillion

In a statement released Monday, Carillion says it had no choice but to go into liquidation after weekend talks with creditors and government officials failed.

Government sources had said that emergency talks on Sunday concluded with John Manzoni, the permanent secretary at the Cabinet Office, announcing that Carillion would not receive any special support from taxpayers.

"Carillion's liquidation raises serious questions for the Government, not least about its over-reliance on major contractors".

In construction though, shockwaves are expected.

Contracts, joint venture partners and lenders are now hanging in the balance as a result of Carillion's demise.

One of the reasons Carillion got into trouble is that in the last four years, the current Government gave Carillion two major PF2 construction contracts - the Midland Metropolitan Hospital in Smethwick and the Royal Liverpool Hospital - both of which are behind schedule and so have had payments delayed.

Carillion staff and subcontractors have been told its business as usual after the appointed accountancy firm PwC issued a statement to reassure employees about their futures.

Firstly, of course, it's only right to express our dismay at these events and to extend our deepest sympathies to the thousands of Carillion employees now facing an extremely uncertain and worrying future. "At this stage we are considering our options and have no further comment to make".

Carillion's implosion was blamed on contract delays and a slump in new business that left the construction giant battling a ballooning debt pile, reports The Guardian.

James Franco accused of sexual misconduct by five women
For example, Tither-Kaplan told the Times about an orgy scene she filmed with Franco and a group of other actresses. I completely support people coming out and being able to have a voice because they haven't had a voice for so long.

Kier Group PLC (LON:KIE), which works on HS2 and the Highways England smart motorways programme with Carillion, assured investors that won't be adversely affected because it had put in place contingency plans for each of the shared projects as the collapse had been on the horizon for some time.

Pentonville Prison maintenance work will carry on as normal after Carillion's collapse.

Carillion has been struggling to keep its head above water since £600m was wiped off its stock market valuation in July 2017, leading it to call in HSBC to advise on restructuring.

Mr Howson was replaced on an interim basis by Keith Cochrane, the former Weir Group boss, with Andrew Davies due to arrive from Wates Group as his permanent successor on 22 January.

Concerns have also centred around the paying of pensions.

Carillion chairman Philip Green said: "This is a very sad day for Carillion, for our colleagues, suppliers and customers that we have been proud to serve over many years".

"Over recent months huge efforts have been made to restructure Carillion to deliver its sustainable future".

Julia Harnden, funding specialist at the Association of School and College Leaders, (ASCL) said: "The Government has announced that it will continue to deliver all public sector services following the insolvency of Carillion and this should mean that services provided to schools continue without any problems".

It added: "An application was made to the High Court for a compulsory liquidation of Carillion before opening of business today and an order has been granted to appoint the Official Receiver as the liquidator of Carillion".

Related News:

  • Giants to acquire center fielder Andrew McCutchen from the Pirates

    Giants to acquire center fielder Andrew McCutchen from the Pirates

    If he struggled to patrol the gaps at PNC Park, then he'll have an even harder time guarding the spacious outfield at AT&T Park . They still have valuable pieces like Josh Bell , Starling Marte , Gregory Polanco , Josh Harrison and Adam Frazier .
    Burning Tanker Off Chinese Coast Sinks

    Burning Tanker Off Chinese Coast Sinks

    On Saturday, rescue workers had found the bodies of two crew members in a lifeboat, BBC reported. Three bodies were recovered over the week and just hours before the Sanchi's sinking Sunday.
    Aziz Ansari accused of sexual assault, TMZ reports

    Aziz Ansari accused of sexual assault, TMZ reports

    She said she tried to communicate to Ansari through verbal and non-verbal means that he was already making her uncomfortable. She alleges, "I stood up and said no, I don't think I'm ready to do this, I really don't think I'm going to do this ".
  • Josh McDaniels expected to bring Matt Eberflus as DC

    Josh McDaniels expected to bring Matt Eberflus as DC

    That kind of system has worked well enough for the Patriots to win two Super Bowls in the last three years. His tenure in Denver didn't end well after his team went 11-17 in McDaniels' two years as a head coach.
    Freezing rain possible for Timmins and area

    Freezing rain possible for Timmins and area

    Though we started out with a high of 10 C, the temperatures will fall to below freezing during the afternoon. Forecasts warned of possible periods of freezing rain during the flash freeze before switching over to show.
    In a first, Saudi women make their way to a football stadium

    In a first, Saudi women make their way to a football stadium

    Glass panels were set up to separate men supporters from the women and family section of the stadium. Among the first were a woman accompanied by a younger female and a girl.
  • Strong quake  hits coast of southern Peru, minor damage reported

    Strong quake hits coast of southern Peru, minor damage reported

    The powerful natural disaster struck off Peru's coast early Sunday, tumbling adobe homes in small, rural towns, officials said. A tsunami threat has been issued in Peru and Chile following a powerful natural disaster just off the coast of South America.
    NFL Playoffs Guide: The Road to Super Bowl LII

    NFL Playoffs Guide: The Road to Super Bowl LII

    The Saints and Vikings will square off again on Sunday in the National Football League playoffs, kicking off at 3:40 p.m. It's their first time hosting the NFC Championship Game since January 2005, when they won to advance to the Super Bowl.
    United Launch Alliance's Rocket With National Reconnaissance Payload

    United Launch Alliance's Rocket With National Reconnaissance Payload

    After staging, an Aerojet Rocketdyne RL10B-2 granted some 24,750 pounds of thrust, sending the Delta IV's upper stage to orbit. There's an 80 percent chance of favorable weather for the Friday afternoon launch, United Launch Alliance said on Twitter .
  • Airbus lags Boeing in 2017 deliveries, but wins more orders

    Airbus lags Boeing in 2017 deliveries, but wins more orders

    The 2017 total includes 558 single-aisle A320 Family (181 A320neos), 67 A330s, 78 A350 XWBs and 15 A380s. Airbus posted 1,229 gross or unadjusted orders compared with Boeing's 1,053.
    Hands-on with vivo's in-display fingerprint scanner

    Hands-on with vivo's in-display fingerprint scanner

    Nonetheless, it's definitely exciting to finally see a smartphone with an in-screen fingerprint sensor become a reality. Once the fingerprint is registered, unlocking the phone works just fine, like any other physical fingerprint sensors .
    General Motors has a auto  without a steering wheel on the way

    General Motors has a auto without a steering wheel on the way

    (GM) said it plans to mass-produce self driving cars that will have no steering wheel, pedals or manual controls by 2019. Earlier in the fall, the federal government had requested more safety details from the self-driving auto industry .


Most liked

Ford Will Invest $11 Billion In Electric Cars By 2022
This will be a huge increase from the $4.5 billion the automaker announced it would invest by 2020 in December 2015. He asked the capacity crowd at the end of the Ford presentation: "Can a battery electric vehicle stir the soul?"

Suspect in custody after police chase Greyhound bus
The Racine County sheriff said on Saturday that Vargas-Rosas is an illegal immigrant who has been deported before. Authorities eventually stopped the bus with spike strips along Interstate 94 near the Wisconsin-Illinois boarder.

England's Jason Roy glad to be back on track after 'tough' 2017
But Roy and Joe Root produced a stunning stand of 221 - England's highest ever for the third wicket in ODIs. Roy said after the game on Sunday: "Incredibly special, I don't have too many words right now".

Britain's queen dishes on crown weight in documentary
The holy oil that was used to anoint Queen Elizabeth II during her coronation will be shown tonight for the very first time. The Cosmopolitan.com editor spent an entire week living like Queen Elizabeth II , which is apparently harder than it looks.

Beaumont restricting children visits to all hospitals due to flu season
More than 300 people have been hospitalized and least four have died from influenza-related illnesses in Georgia this season. The lone flu death in Marin County this year involved a person under 65, and it's not known if the person was vaccinated.

Canada police search for attacker who cut 11-year-old girl's hijab
Spokesman Ryan Bird says the school immediately contacted police and the girl's parents when the student arrived at school. When Khawlah was asked what she would say to the man if she had a chance, she said, "I think what you're doing is wrong".

Patriots DC Matt Patricia Expected To Be Named Lions Head Coach
It appears that the "will he, won't he" saga of Matt Patricia and the Detroit Lions could soon officially be answered. The Lions will have to wait until after New England's playoff run before working on contract details with Patricia.

Hawaii residents run for shelter after false emergency missile alert sparks panic
The Hawaii Emergency Management Agency's administrator, Vern Miyagi , said he took responsibility for the mistake. The Federal Communications Commission is also investigating the incident, FCC spokesman Brian Hart tweeted .

Netanyahu departs for India while son stays in Israel embattled in controversy
PM Modi would be accompanying Netanyahu to Gujarat on Wednesday where he will be welcomed with a roadshow in Ahmadabad. The visit comes merely six months after PM Modi visited the Jewish state, becoming the first Indian premier to do so.

IND vs SA: du Plessis unhappy with Centurion wicket
Shikhar Dhawan was failed to score runs in the match was also dropped and replaced by KL Rahul. Conditions that we like are when we get the ball that spins as little as possible.

MoneyGram to Pilot Ripple's XRP Token for International Payments
The CEO of Ripple stated that the company will probably build effectiveness and enhance administrations to MoneyGram's clients. The latest rise in XRP comes after money transfer giant MoneyGram announced plans to use it for faster worldwide payments.

Pro-Russian Czech president faces challenge from newcomer in runoff election
The polling stations will close at 22:00 on Friday night and the election will continue from 8:00 till 14:00 on Saturday. Polls close at 2 p.m. on January 13, and the first results are due later the same day.

Regime regains ground in Idlib counterattack
The Syrian army, supported by Iran-backed militias and Russian air power, began an offensive in late October in Hama province. A Syrian military source denied this and dismissed rebel talk of a counter attack as propaganda.

Great changes of Facebook and the newsfeed of users
The social media platform said among its biggest focus areas for 2018 is to ensure that time spent on Facebook is well spent. The research shows that when we use social media to connect with people we care about, it can be good for our well-being.

Old Bexley and Sidcup MP James Brokenshire resigns from government
DUP leader Arlene Foster added: "This is clearly a hard time for not only James but for Cathy, his wife and his children". Mr Coveney is now on a visit to the Middle East and will stop over in London on his way back to Ireland.