THE disastrous redevelopment of Wembley Stadium has resulted in Australian construction group Multiplex posting half-year losses of about £50m.
Multiplex, which earlier this week acknowledged that the new Wembley would not be completed in time for the May FA Cup Final, said yesterday that its involvement in rebuilding the new home for English football had "significantly and adversely" affected its profits.
After initially setting out a worst-case calculation late last year that its losses on Wembley could reach £87m, Multiplex has now had to increase that figure by more than a fifth to £105.8m.
The firm's Wembley losses helped push it into an overall after-tax loss of more than £50m for the six months to December 31, compared with a net profit of £4.9m in the same period in 2004.
Chief executive Andrew Roberts described the Wembley losses as "extremely disappointing", but said he did not expect any further problems.
"We believe this represents the final loss impact on Wembley," he said.
"We are not expecting any further deterioration beyond this loss."
Darlington steel contractor Cleveland Bridge designed and built the arch at Wembley, but left the project following disputes with Multi-plex.
Cleveland Bridge started work on the stadium in 2002, but stopped in June 2004, saying it was owed millions. It is claiming £13m from Multiplex in a High Court hearing due to begin in April.
Across its other 42 current construction projects, primarily in Australia, the UK and Dubai, Multiplex said 41 were within budget while one was making a small loss.
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