Carillion affect update
Many staff, suppliers and other companies in the industry have been adversely affected quite significantly by the recent collapse of Carillion and we feel for all of these.
Last week was a busy week for those reporting on the knock on consequences of the Carillion failure. It’s sad to see how many people were affected and see how many people called to check on how this might affect contracts we have been working on at Sapphire and our financial situation. We would like to thank all of those who phoned, emailed, contacted etc. us to find out how we have been affected by Carillion going into liquidation.
We can officially confirm that Sapphire Balconies (formerly Sapphire Balustrades Ltd) have not been adversely affected by the Carillion failure
Carillion made a pre-tax loss of £1.1bn in the first half of 2017. It has debts of £1.5bn and has a £600m pension deficit. It ended 2017 in breach of its banking covenants. In less than six months its market capitalisation had collapsed from nearly £1bn to just £61m. Much controversy has picked up over the huge amount of money owed in retention to companies similar to ourselves. If there is positives to come from this failure, maybe retentions and the difficulties with getting them released will finally be unlocked and reformed.
Whilst there were a number of balcony projects up north which Carillion were yet to build, Sapphire were not actively on contract on any of these and are therefore glad not to have been adversely affected by the collapse of this huge player.