Wembley WON'T be ready for Challenge Cup Final

[Mr_Ugly]

Despite Richard Lewis's faith that Wembley would be ready, all 2006 events, including the Challenge Cup Final have now been canned according to the following article.

Multiplex set for court over Wembley


Friday Mar 31 21:19 AEDT
Multiplex Ltd has reportedly withheld all late-delivery penalty payments for non-completion of Wembley in a dispute that threatens to go to court.
The contract between the FA - through its subsidiary Wembley National Stadiums Ltd (WNSL) - and Multiplex stipulates payment of STG140,000 ($A343,137) per day by the Australian company for each day beyond the original January 31, 2006 delivery date.

However Multiplex was reportedly preparing to argue the point, saying late specification changes by WNSL caused the delays.
"We believe they have made enough design changes that would entitle us to extensions of time," an unnamed Multiplex insider said in The Guardian newspaper.

"So far we have not had a single hour's extension.

"But we believe we are entitled at the minimum to the end of September this year - an eight-month extension.

"That's being conservative.

"The reality is that it could stretch way into next year."

Multiplex expected building work on the stadium in north London to be substantially completed by the end of June at the earliest.
However the FA said it would not be totally finished until the end of September, with a further two months of test events then required, hence the cancellation of all 2006 events.

That includes the FA Cup final, August's Community Shield - the traditional Premier League curtain raiser between the league champions and FA Cup holders - two England qualifiers for Euro 2008, rugby league's Challenge Cup final and concerts by Bon Jovi, Take That, the Rolling Stones and Robbie Williams.

The Guardian reported the transferral of these events and costs associated with the re-development could cost the FA STG32 million.
Multiplex now hopes to have the contractor's works substantially completed by the end of June, but has advised client WNSL that it has grounds to extend the contract until at least September.

"Notwithstanding that it is Multiplex's belief that it has until at least September to complete, Multiplex is targeting substantial completion by end of June," Multiplex company secretary Mark Wilson said in a statement.

However even if Multiplex hits it June-end target, further works such as commissioning and cleaning need to be completed after this date.
The company had been working towards completing the stadium by May, despite the fact that the English Football Association (FA) had scratched plans to hold the May 13 FA Cup final there because of the delays.

A Multiplex spokesman said that WNSL bore responsibility for the scheduling program.

"As the client has chosen not to integrate their works and operational activities, these works will complete after our forecast date for substantial completion of the stadium," he said.

"The question of events therefore rests with WNSL and the Football Association."

WNSL has decided to hold off on its own works at the stadium until after Multiplex has finished, departing from the original plan for an integrated approach.

"Multiplex's client, Wembley National Stadium Ltd, is solely responsible for determining when it starts and completes its works and also when and which events are hosted at the stadium," Mr Wilson said.

Multiplex does not expect further adjustments to the project's financial position following additional allowances in the company's latest interim results to cover any further unforseen delays.

Multiplex posted a $119.6 million net loss for the first half of 2005/06 after taking a $250.7 million after-tax hit from Wembley losses for the period.
Its total losses from the project have topped STG200 million ($A475 million).

The project had originally been scheduled for completion on January 31.

Multiplex shares closed three cents lower at $3.07 on Friday.

I understand Millenium Stadium is also unavailable.

So where will it be played?

 

[Dr Crane]

Twickers.



Wembley, what a disaster.

 

[roughyed8]

Twickers.



Wembley, what a disaster.

Definetly! The whole project has been a disaster from day one what with politicians sticking their noses in on design matters and spiraling costs. how the hell they are going to build all the facilities for the olympics if this is an example of the organisational skills i dont know.

As you say Twickenham has been confirmed as the venue so its bound to pour down with rain all weekend just like it has the other two times weve took games to rugga's HQ.

 

[terracesider]

On the CC final date a group of old age pensioners have already booked the Millenium Stadium for a concert.

Anyway, it's been a long-running story so why is anybody surprised?

The planning fiasco:

http://business.timesonline.co.uk/article/0,,11472-1630520,00.html


The cost

http://football.guardian.co.uk/News_Story/0,,1716678,00.html

 

[The Wood]

Definetly! The whole project has been a disaster from day one what with politicians sticking their noses in on design matters and spiraling costs. how the hell they are going to build all the facilities for the olympics if this is an example of the organisational skills i dont know.

As you say Twickenham has been confirmed as the venue so its bound to pour down with rain all weekend just like it has the other two times weve took games to rugga's HQ.

On the subjuct of twickers, have they finished building that stand behind the posts?

 

[terracesider]

Just when we thought it was all over, now Wembley may not be ready for the 2007 final.

In a statement yesterday, Multiplex revealed it had applied for a time extension to October next year.

http://www.mirror.co.uk/sport/footb...=wembley-not-ready-until-2007--name_page.html

It's times like this I wish I was a lawyer. A nice pay day looks on for a lucky few. :lol:

 

[bartman]

You're kidding... Two years late!

How all the Olympic facilities are going to get done to timescale I'll never know?

 

[East Coast Tiger]

Hopefully next year they'll take the final to somewhere like Edinburgh or Glasgow. What other optiosn are there? OT I suppsoe but that should be left for the grand final. Would Dublin be out of the question? The game in Ireland could do with a boost like a CC final.

 

[terracesider]

You're kidding... Two years late!

How all the Olympic facilities are going to get done to timescale I'll never know?

Don't award contracts automatically to the lowest bidder.

No reputable comany could come anywhere near Multiplex's bid. The source of nearly all the delays is Multiplex's attempts to minimise costs by squeezing the contractors.

ECT, I don't think Dublin has a stadium big enough for the Cup Final. Landsdown Road is only about 50,000. So it may be back to Cardiff or even Twickers.

 

[terracesider]

2010? It gets more idiotic by the year. In my ideal world, the RFL would tell the FA to stuff it and negotiate a long term deal with Cardiff.

Daily Telegraph

I'll add this from

This London

:lol:

 

[playdaball]

Murrayfield
Old Trafford
Twickers
What about France?

 

[deluded pom?]

Croke Park might be a possibility if the game was taken to Dublin. This is what happens when you get Aussies builders in .

 

[bartman]

The match day program form this year clearly stated that the Cup Final would be played in London next year - but they were careful not to specify either Wembley or Twickenham. I think by printing that they have committed themselves to London, in terms of advising people it's OK to make travel plans for London, otherwise they would have left venue to be confirmed.

I also noticed the wording in (I think) Dave Hadfield's last page on the monthly magazine, which said London but not necessarily Wembley or Twickenham. I think he might know something to have used those words?

My guess is they might be thinking about Emirates Stadium in 2007... possibly.

 

[buccaneer]

Croke Park might be a possibility if the game was taken to Dublin. This is what happens when you get Aussies builders in .

Croke Park would be fantastic for the final, although I am not sure that the transport links of getting 60,000+ people over to Ireland are in place.

 

[Jimbo]

No reputable comany could come anywhere near Multiplex's bid.

Is there a hidden inference in that statement?

The source of nearly all the delays is Multiplex's attempts to minimise costs by squeezing the contractors.

The main source of the delay was the main steel contractor walking off the site (Cleveland Bridge). The High Court recently backed Multiplex's version of events

Multiplex has now completed as much work as it can. It is now waiting on Wembley National Stadium Ltd (WNSL) to complete further works on the site so it can hold test events and open for business

The British press are predictably keen to stick the boot in to the Aussies, but should really be looking a little closer to home if they want to play the blame game

 

[bartman]

Ah, employed by Multiplex are we Jimbo? Or just parochial? ;-)

Perhaps you could explain how Multiplex would come up looking as rosy from the issues detailed in the following press release?

http://www.wembleystadium.com/pressbox/pressReleases/auguststatement.htm

Wembley Stadium statement
Tuesday 1st August

Wembley National Stadium Ltd (WNSL) today issued the following statement from Chief Executive Michael Cunnah.

"We have always sought to give a realistic appraisal of progress on site and following Multiplex's statement to its shareholders it is important that we clear up some issues.

“The contract with Multiplex has two critical future milestones which Multiplex have deliberately confused. Multiplex is required to hand WNSL a completed stadium which is defined in the contract as ‘Practical Completion’. WNSL then has to work with Multiplex to finish certain works and to hold the various test events which will enable the safety certificate to be obtained and achieve ‘Operational Completion’, the point at which a fully-functioning stadium is delivered, capable of holding full-capacity events for 90,000 people.

“The latest date Multiplex had stated for PC was September, although we note that their latest statement does not actually give a new date or confirm the previous September date. Multiplex claim that they are substantially complete, however, we note again that Multiplex has yet to finish the stadium’s roof, the extensive remedial works to the stadium’s drainage network, the building management and life safety systems and the installation of approximately 10,000 of the stadium’s 90,000 seats, or to hand over any of the c.3,400 spaces in the stadium for snagging.

“In the absence of a detailed programme of work from the contractor that we can rely on, we estimate that Multiplex will finish their work at some point late this year. When Multiplex do hand us the completed stadium, we have a detailed timetable of our works and test events which subject to co-operation from the contractor, should enable ‘Operational Completion’ to take place within two to three months of handover.

“We are still not in a position to name an opening event or rule any event in or out as we need Multiplex to make more progress on site. The bottom line for us is that we will be ready two to three months after they give us a finished stadium. If they can achieve that this year, then we will be able to open the stadium in early 2007. We hope that Multiplex will now devote all their energies to completing the stadium at the earliest opportunity as is their responsibility."

How does the High Court (of Australia?) have any jurisdiction over contracts signed for work in another country? And aren't the main contractors responsible for ensuring any sub-contracts (eg steel contracts) are fulfilled on time and to budget and quality? The main contractor can seek damages from a sub-contractor for breach of terms, but ultimately the main contractor is responsible for the promised work.

 

[bartman]

Multiplex has now completed as much work as it can. It is now waiting on Wembley National Stadium Ltd (WNSL) to complete further works on the site so it can hold test events and open for business

So using the terms in the press release above, are you saying that Multiplex have now delivered "Practical Completion" and handed back responsibility to Wembley so that they can proceed to checks etc for "Operational Completion"? If so, why hasn't this been reported anywhere and the two to three months date been announced by Wembley?

Reaching Practical Completion is dependent on the quality expectations of the body who has tendered out the work, not just because the contractor has said it's done. In all fairness, it's probably a pretty lousy and unclear contract in the first place that has allowed this level of debate between the two parties concerned about who's responsible for what, while a year's worth of big planned events (not just sport) have been cancelled or hastily moved.

 

[Jimbo]

Perhaps you could explain how Multiplex would come up looking as rosy from the issues detailed in the following press release?

http://www.wembleystadium.com/pressbox/pressReleases/auguststatement.htm

I'll match your statement from five weeks ago with... a statement from five weeks ago

Wembley Progress Update
1st August 2006
Multiplex advises the following progress update:

• The stadium works are now substantially complete, with the exception of the installation of the last remaining seats.
• The recent insolvency of the stadium seat subcontractor has caused unforeseen delays to the completion of the installation of the seats. Alternative seat supply arrangements are now in place, and the final seats will now be installed by early September 2006.
• As noted in previous progress updates, there are certain works that relate to the removal of temporary works, and works such as commissioning and cleaning that are required to achieve practical completion. These remaining works remain on programme and will complete prior to the date at which the stadium becomes operational.
• As noted in previous progress updates, there are a number of critical works and activities (“Client Works&#8221 that are the responsibility of the Client (“WNSL&#8221, and the timing of the completion of these works is under the control of the Client. WNSL has not yet begun some of these Client Works and others which WNSL has begun are not complete.
• Other Client Works must be complete before the stadium can achieve all necessary operational licences and approvals. WNSL is responsible for obtaining approvals from various Authorities in order to ensure the stadium is fully operational for events. To obtain these approvals a series of test events will be required at the stadium to demonstrate to the Authorities that the integration of the safety and control facilities are working properly such that a 90,000 spectator event can take place. Unless and until WNSL hold and successfully complete this series of test events, and obtain the required approvals, Multiplex will be prevented from achieving practical completion.
• In the absence of a detailed programme having been provided by WNSL, Multiplex has conducted its own analysis of the programme to completion of the client works. This has been based on Multiplex’s own assumptions of the current state of WNSL’s preparedness. The analysis has been reviewed with an expert in the operation of major stadia and indicates that it is unlikely that the stadium will be able to hold a test event for 90,000 spectators before June 2007.
• Multiplex has advised WNSL of its entitlement to extensions of time to October 2007 and of its intention to pursue legal proceedings in that and other respects, including WNSL’s acts and omissions which are preventing Multiplex’s ability to achieve practical completion. Delays in the Client works give rise to entitlements in favour of Multiplex for extensions of time and financial entitlements.
• No adjustments to the market guidance for the Multiplex Group full year 2006 earnings flow from this update.

http://www.multiplex.biz/page.asp?partid=294&ID=274

How does the High Court (of Australia?) have any jurisdiction over contracts signed for work in another country?

It doesn't. The case was in the English High Court

Cleveland Bridge has since been refused leave to appeal

And aren't the main contractors responsible for ensuring any sub-contracts (eg steel contracts) are fulfilled on time and to budget and quality? The main contractor can seek damages from a sub-contractor for breach of terms, but ultimately the main contractor is responsible for the promised work.

Sure, you could say that

The main contractor can seek damages for breach of contract, and they have

If the client needs to complete works though, but hasn't started, whose fault is that?

 

[Jimbo]

So using the terms in the press release above, are you saying that Multiplex have now delivered "Practical Completion" and handed back responsibility to Wembley so that they can proceed to checks etc for "Operational Completion"? If so, why hasn't this been reported anywhere and the two to three months date been announced by Wembley?

Multiplex said they were at practical completion on the same day as your press release. WNSL are obviously going to tell 'The Sun' their side of the story though, aren't they?

Reaching Practical Completion is dependent on the quality expectations of the body who has tendered out the work, not just because the contractor has said it's done. In all fairness, it's probably a pretty lousy and unclear contract in the first place that has allowed this level of debate between the two parties concerned about who's responsible for what, while a year's worth of big planned events (not just sport) have been cancelled or hastily moved.

Time will tell who was responsible for what I suppose

 

[terracesider]

Is there a hidden inference in that statement?

It is a simple enough statement. If there is a latent inference it's that the cheapest quote does not always work out as the best value contract. Only a shareholder or an employee would defend Multiplex after such a spectacular display of incompetent project management.

The steel contractors walked off because Multiplex tried to contain its losses by squeezing their profit margins.