Further financial arrangements for Ferguson Marine Engineering : FOI Release

FOI reference: FOI/18/03704
Date received: 13 December 2018
Date responded: 16 January 2019

Information requested

1) Will the Scottish Government confirm that no further financial arrangements have been provided for Ferguson Marine Engineering Ltd since the announcement of £30m facility on 27th June.

2) Will the Scottish Government confirm that no further financial arrangements of this nature are planned for Ferguson Marine Engineering from 12th December 2018 to any point in the future during the period until the two vessels 801/802 are scheduled to be delivered to their customer Caledonian Maritime Assets Ltd.

3) To ask Scottish Ministers to clarify what Mr Mackay refers to in the sentence: 'We have clearly set out a position on the current procurement issue at Fergusons' and what this may mean for potential future funding arrangements?  

Response

1) Scottish Ministers have provided two commercial loan facilities to Ferguson Marine Engineering Limited, the first in September 2017 and the second in June 2018.

2) This is a hypothetical scenario and while our aim is to provide information whenever possible, in this instance the Scottish Government does not have the information you have requested.

3) We cannot estimate accurately the ultimate financial impact of the contract dispute between FMEL and CMAL nor predict potential consequences for future ferry funding arrangements at this stage. The CMAL ferries were procured through open competition to a design and build specification at a fixed price. Any discussions relating to contract variations or discussions concerning additional costs incurred are a matter for the contracting parties to resolve.

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