§ Mrs. RocheTo ask the Secretary of State for Transport, pursuant to his answer of 20 May,Official Report, column 38, what was the sum required for each of the bonds; and what was the size of the company to which each related. [31231]
§ Mr. Norris[holding answer 4 June 1996]: In one case, the value of the bond was £2.5 million in respect of a contract with a tender value of approximately £25 million awarded to a company with a turnover for a year in which the bond was placed of around £350 million.
In the second case, the value of the bond was £4.75 million in respect of a group of contracts with total value of approximately £38 million awarded to a company whose turnover was around £95 million for the year in which the bond was placed.
In neither case was it ultimately necessary to call on the bonds protection, though such additional protection was considered prudent to protect the Department as a client.