Skanska joins top ten in the USA

PRESS RELEASE, April 8, 1998                                27/98

SKANSKA JOINS TOP TEN IN THE USA

Skanska's acquisition of new civil construction companies in U.S finalized. As part of Skanska'a internationalization and increased focus on its core operations, a decision was made to acquire Hanson PLC's construction operations. The acquisition involves three units: Tidewater Construction Corporation, CDK Contracting Co. and Nielsons Inc. The transaction also includes a two-thirds interest in Bayshore Concrete Products Inc.

"The acquisition strengthens and broadens Skanska USA's position." says, Stuart E. Graham, president of Skanska USA Inc. "As a result of this transaction, we enhance our operations in the U.S. in civil construction as well as establishing a presence in new regions of the country."

Skanska USA's subsidiaries Slattery Skanska and Koch Skanska have strong, established positions in civil construction. The new acquisition will compliment and strengthen Skanska's opportunities in the infrastructure market. Tidewater Construction, based in Norfolk, Virginia, is active in marine and civil construction. Nielsons is a civil contractor in Cortez, Colorado. CDK Contracting, based in Farmington, New Mexico, is primarily an industrial contractor and operates throughout the US.

After the acquisition, sales in Skanska USA will exceed USD 2.3 billion, about SEK 18.4 billion - an increase of 14.3% over 1997. As a consequence of the purchase, Skanska becomes one of the ten largest construction companies in the U.S.

A letter of intent for the acquisition was signed on November 13, 1997.

 

Danderyd, Sweden
April 8, 1998

SKANSKA AB
Group Corporate Communications

 

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For further information, contact: Stuart Graham, +1 718 767 2600, or Cecilia Schšn, Senior Vice President, Corporate Communications +46 8 753 87 99.