CONSTRUCTION GIANT IMPAIRS INVESTMENT IN BRISCON
14 November 2012,
LEIGHTON Holdings expects to lose a $63 million investment in struggling Brisbane toll road operator BrisConnections.
BrisConnections, owner of Brisbane’s Airport Link toll road, has entered formal negotiations with its lenders and other stakeholders, after admitting on Monday the company’s value may be less than its outstanding debt.
Leighton has responded today by confirming it will impair the remaining $63 million book value of its commitment to BrisConnections.
The company maintains there will be no impact on Leighton Holdings’ previously advised underlying net profit after tax of $400 to $450 million for the year ending December 31, 2012.
A pre-tax capital gain of $115 million earned on the recent sale of Thiess Waste Management will offset the impairment.