Balfour Beatty US Marks First Anniversary of the Successful Integration of Civil and Vertical Construction Operations
DALLAS, TX Marking the first anniversary of the integration of its heavy civil and vertical construction operations in the United States, Balfour Beatty U.S. enters the second phase of the global company's Build to Last transformation program strategically positioned for expanding success. Driven by its commitment to client value and continuous innovation, Balfour Beatty is building on its solid 2016 performance with U.S. revenue of $4.6 billion and a 10 percent order book increase achieved in combination with improved processes, bidding discipline and project selectivity.
Balfour Beatty is growing strategically across the United States by establishing itself as a market leader in high-growth markets. Focused in geographies known as the "˜coastal smile', Balfour Beatty serves clients in key markets located in the Pacific Northwest, down through California and Arizona, Texas, Georgia, Florida, the Carolinas, and up through the Mid-Atlantic to Washington, D.C. Major cities in these markets are among the country's fastest-growing in large part due to population growth and their business-friendly environments. As a result, these markets are attracting businesses, jobs and new residents, and experiencing urbanization growth trends that are fueling the demand for new infrastructure and services.
"The past year has been a transformational year for our company and I'm proud of the many business improvements we have successfully implemented in close alignment with our global Build to Last objectives," said Ray Bond, President and Chief Executive Officer of Balfour Beatty U.S. "By integrating our business in the U.S. and bringing to bear the full-scale of our expertise across civil, vertical and rail capabilities, we have opened ourselves up to even more exciting opportunities. There is a positive trajectory in our business and with continued focus on operational excellence, we will remain well positioned to deliver maximum value for our clients."
While Balfour Beatty honed its business strategy and implemented changes to optimize efficiencies across the US organization, its operational teams remained focused on building and delivering great projects for clients. This effort for clients was rewarded with 75 new major project awards, contributing to the company's combined backlog of over $6.5 billion. Following are representative examples of significant new project awards achieved in 2016:
"¢ In California, Balfour Beatty was awarded a $697 million contract to undertake the electrification of the 52-mile Caltrain rail corridor between San Francisco and San Jose, laying the foundations for the future operation of high speed trains. This is the largest contract secured by Balfour Beatty in the US.
"¢ In Washington, D.C. Property Group Partners awarded Balfour Beatty a $196 million contract to build the North Block phase of its Capitol Crossing development that will span a three-block elevated deck over I-395 in the heart of Washington, D.C. The 2.2 million-square-foot, mixed-use Capitol Crossing development is transforming a seven-acre site into a distinctive cityscape that will reunite the District's East End and Capitol Hill neighborhoods.
"¢ In Dallas, Balfour Beatty was awarded a $199 million contract by joint venture partners Trammell Crow Company and Met Life, Inc., to provide preconstruction and construction services for the 916,000-square-foot, mixed-used Park District development.
"¢ Balfour Beatty was awarded a $126 million contract by Ohlone College in Fremont, California, to build three new multi-story academic core buildings that will house classrooms, laboratories, offices, conference rooms and a library.
"¢ In Texas, Balfour Beatty was selected by Highland Park Independent School District (HPISD) to serve as the district's construction partner for a $110 million elementary construction and renovation program. A result of HPISD's 2015 bond election to transform the district's schools over the next five years, the program includes the construction of four new elementary schools and renovation of a fifth elementary school.
"¢ In Portland, Oregon, Balfour Beatty was awarded a $140 million contract for the reconstruction of the Portland Building.