Update re: Joint Ventures with Carillion PLC

• On HS2, Kier and Eiffage are now 50/50 joint venture partners delivering two of the seven civil engineering packages, lots C2 and C3. All 51 Carillion employees, including apprentices, working on the CEK HS2 joint venture have been offered the opportunity to join Kier/Eiffage with continuous service being maintained.
• At Highways England, Kier has assumed full responsibility for the smart motorway schemes on which they had been working in joint venture with Carillion. All employees currently working on the schemes have been offered the opportunity to join Kier. In total c. 150 employees will be making this transition to Kier in the next week including seven apprentices. Communication with the existing supply chain on this project has also taken place ensuring continuity of skills, resources and suppliers on these projects.

Commenting Haydn Mursell, Chief Executive, Kier said;

'We have been working collaboratively with our clients and are pleased to have reached agreement with Government. We have been able to take action quickly and reassure the project teams that they continue to play an important role in the delivery of these contracts.'

Transport Secretary Chris Grayling said:

'This announcement demonstrates the strength and purpose of the joint venture contracts agreed on HS2 works and the smart motorways programme. These have enabled Kier and Eiffage to step in as planned and guarantee continued employment, apprenticeships and the seamless delivery of these vital projects.' 'HS2 and Highways England carried out at the point of award, additional due diligence to ensure, even without Carillion, these projects would continue. Both Highways England and HS2 will, of course, continue to monitor the situation.'

Mark Thurston, Chief Executive of HS2 Ltd said;

'We welcome this decision by the remaining JV partners. Through this difficult time the team has continued to deliver and we're grateful for their ongoing hard work and dedication. No time delays or costs implication have come about as a result of the events of this week, underlining the strength of the joint venture approach taken by HS2 in procuring its partners.'