Lemminkäinen and YIT will complete the merger
LEMMINKÄINEN CORPORATION STOCK EXCHANGE BULLETIN 30 DEC 2008 AT 18:10 IKEA AND LEMMINKÄINEN SETTLE ON THE DISPUTE REGARDING THE TERMINATION OF THE ST. PETERSBURG MEGA SHOPPING CENTRE CONTRACT IKEA and Lemcon, a Lemminkäinen Group company, have reached agreement on the compensation to be paid by IKEA to Lemcon due to the termination of the construction contract concerning the St.Petersburg MEGA shopping centre. The parties have
LEMMINKÄINEN CORPORATION STOCK EXCHANGE BULLETIN 30 DEC 2008 AT 18:10
IKEA AND LEMMINKÄINEN SETTLE ON THE DISPUTE REGARDING THE TERMINATION OF THE ST.
PETERSBURG MEGA SHOPPING CENTRE CONTRACT
IKEA and Lemcon, a Lemminkäinen Group company, have reached agreement on the
compensation to be paid by IKEA to Lemcon due to the termination of the
construction contract concerning the St.Petersburg MEGA shopping centre. The
parties have agreed not to disclose the amount of the compensation. As a result
of the settlement, IKEA and Lemcon will withdraw all the claims made by the
parties at the arbitral tribunal regarding the termination of the construction
contract.
The contract concerned the construction of the MEGA shopping centre in St.
Petersburg. The contract was worth EUR 92 million. Lemminkäinen reported the
signing of the construction contract on 9 August 2005; the termination of the
construction contract on 3 March 2006; and the award of the arbitral tribunal on
1 October 2008. Arbitration proceedings regarding the dispute at issue have been
going on since 2006 in accordance with the rules of the Stockholm Chamber of
Commerce's Arbitration Institute.
The settlement now reached will not affect the assessment of Lemminkäinen's
future prospects as outlined in its quarterly report released on 6 November
2008.
LEMMINKÄINEN CORPORATION
Juhani Sormaala
Managing Director
Additional information:
Managing Director Juha Nurmi, Lemminkäinen Talo Oy, tel. +358 2071 53269
C.C.:
NASDAQ OMX Helsinki
Key media
www.lemminkainen.fi
Lemminkäinen Group operates in all areas of the construction sector. The Group's
business sectors are building construction, infrastructure construction,
technical building services, and building products. Net sales in 2007 were
approx. EUR 2.2 billion, of which international operations accounted for over a
quarter. The Group employs about 9,200 people. Lemminkäinen Corporation's share
is quoted on NASDAQ OMX Helsinki Ltd.