Contractor states that profit and assets will remain unaffected despite rumours of 拢400m writedown

Carillion has said that its profit and assets will not be affected by charges related to its acquisition of Alfred McAlpine, despite reports that it will make a 拢400m writedown related to the deal.

Carillion said that only post-acquisition restructuring costs, which it has previously estimated at 拢30m, will be deducted from its profit and assets when it reports its full-year results.

Any other sums, which the company refers to as 鈥渇air value鈥� adjustments, will be treated as pre-acquisition adjustments.

An article in the Sunday Telegraph said that McAlpine was due to make a goodwill adjustment of 拢183m alongside the restructuring costs, contract 鈥渟ettlements鈥� of about 拢100m as it readjusted downwards the money it expected to receive from some of McAlpine鈥檚 jobs, and a writedown of 拢30m against the value of one of McAlpine鈥檚 IT systems. McAlpine鈥檚 pensions deficit also stands at about 拢50m.

The paper said that apart from the restructuring costs, the sums would not actually be cash losses.

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