Max Boegl revises business downwards by 25%

German group Max Boegl, one of the leading construction companies involved in infrastructure works in Romania, has revised its 2009 turnover forecasts on the Romanian market, from 100 million euros to 75 million euros, as a result of the funding problems that the group has encountered with the DN 17 (Cluj-Bistrita National Road) rehabilitation project and with the construction of the new Lia Manoliu stadium. "After the first half of the year, we revised our turnover target 25% downwards as a result of the late payments on the works we are conducting. However, we will still see a rise against 2008, when we recorded a 50 million-euro turnover," says Romeo Botocan, executive manager of Max Boegl Romania. The Germans have to recover 8 million euros from Romania's Motorways and National Roads Company (CNADNR) for rehabilitation works on the DN 17," says Botocan. "Payments on works with EIB funding take long to settle and we had to take out a 5 million-euro loan and bring 3 million euros of our own working capital. Work is almost completed, but it is currently frozen because we have not received the money from the CNADNR," Botocan says.