Bid Progress

In our earlier press release we stated that we hoped to identify a Preferred Bidder for the airport Design Build and Operate (DBO) contract by 31 July 2008.

You will remember that the airport project bids from Basil Read and Impregilo were requested to cover the work in two phases.  Phase I being the Design and Build (D&B), followed by Phase II, which covers the Operation (O) of the airport.

Both tenderers submitted their original bids in November 2007.  Following our initial assessment, and after a series of negotiation meetings, both were given the opportunity to submit revised bids in June 2008. We can confirm that we have now completed the evaluation of the revised bids as they stand.

What we have found is that, while we are content with the design and build proposals, neither Basil Read nor Impregilo have yet been able to provide satisfactory proposals for the operations phase of the contract. Both companies are fully aware of this and both companies acknowledge that they need to do more to modify their Phase II bids. As we all know, agreement of satisfactory arrangements for the operations phase is important to ensuring confidence in the delivery of a service that is critical to the future welfare of Saints and in view of this, we have offered both tenderers an extended period to 12 September 2008 within which to modify their Phase II tenders.

Provided that satisfactory and complete proposals are received for Phase II of the contract by this date (and we have no reason to expect otherwise), we do not envisage this resulting in delays to the process.

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