Rockingham pushes AWG's profit off track

AWG, formerly known as Anglian Water, achieved an operating margin of less than 1% in its construction services division as a £180m turnover generated an operating profit of just £1.7m.
Performance would have been better if it had not been for an exceptional charge of £2.5m to cover problems on a contract at the Rockingham speedway track.
Asked if the former Morrison business was in the process of being sold off, a group spokesman said: "We've had no formal approaches. Now that the legacy contracts are behind us, the businesses are performing much better."
Morrison brought a range of activities; AWG sees most future potential in the construction and government services elements.
"These activities are part of what we want to do," the spokesman said.
"Most of what is now our infrastructure management business was formerly in Morrison," he said.
However, none of this means that AWG is at peace with Morrison. The acquisition cost might have been written off on AWG's books two years ago, but litigation moves ever closer.
"Litigation is very much a live issue," said the spokesman, "and we expect we will come to court late next year."