Tuesday, March 11, 2008

Bowen Construction prepares to take a hit on Carrigglas

From the Sunday Business Post........

Bowen Group writes down €8m for resort project

09 March 2008 By Ian Kehoe
The Bowen Group has made an €8 million bad debt provision arising from its involvement in a hotel and golf development at Carrigglas Manor in Co Longford. Bowen is the lead contractor on the €160 million resort.

Construction work on the site stopped last year, following a dispute over payments to contractors, and has yet to resume. The Cork building firm has made the €8 million provision in its accounts, in the event of having to write off its debts in relation to the project.

John Bowen, chairman of the Bowen Group, said the provision reflected the ‘‘worst case scenario’’, but that the company still believed the Carrigglas project could be restarted. He said the company was working with a number of parties to resuscitate the development.