The Dutch parent group of BAM Construction and BAM Nuttall issued an emergency trading statement this morning to quell market jitters saying that it expected to post break-even results next week.
Last month BAM revealed it was launching a new £80m cost-cutting drive across the group following a series of unexpected losses on projects.
The cost reduction programme follows fresh losses of £60m on “a mid-sized UK civil engineering project which was bid for in 2012″ and deterioration of a large civil engineering project in Germany.
BAM blamed the losses on the UK job on “a combination of adverse ground conditions and bad weather.”
The statement this morning said: “The situation in relation to the two civil engineering projects referenced in the press release of 7 July is stable and unchanged.
“Regarding the actions announced on 7 July, BAM confirms the intended scope of cost reduction, working capital and divestment programmes.”