WASHINGTON (dpa-AFX) - Willbros Group, Inc. (WG) said Monday that it had reached full and final agreement with TransCanada PipeLines Ltd. on the amount due to its U.S. construction subsidiary under a cost reimbursable target price construction contract for seven pump stations in Nebraska and Kansas.
Willbros will receive $61 million in cash as payment for its outstanding receivables of $71.2 million that were disputed by TransCanada and agreed to waive all claims for additional fees and change orders.
TransCanada agreed to relieve Willbros of any further liability with respect to the contract and to restore Willbros to its bid list for future work.
Willbros said that it will take a $8.8 million non-cash charge in its second quarter associated with the settlement agreement.
Willbros plans to use $40.0 million of the cash settlement to retire term loan debt.
Copyright RTT News/dpa-AFX
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