Ann: VDM awarded $38 million in new contracts , page-14

Below is the Patersons's Note on the $38 million in new contracts (and $46 million increase in work in hand).

VDM Group Limited (VMG) - SPEC BUY

Event - $38m in new contracts awarded

This morning VMG announced that they had been awarded $38m in new contracts:
$13 million contract for road and drainage restoration works in Queensland;
$15 million contract for a mechanical installation project at the Sino Iron Project; and
Various contracts totaling $10 million in work across VMG's construction operations.

VMG's current work in hand now stands at over $140 million.

Impact

These contract wins are further evidence of VMG's positive shift towards profitability in 2H12. In addition to the $38m in new contracts announced today, VMG also noted that a further $8m in contract variations had been approved for the Company's WA operations on existing projects, bringing total work in hand to over $140m.

These contract wins come on the back of the successful sale of VMG's Cape Crushing business in April for $46.5m, which helped strengthen the balance sheet (~$30m net cash) and positions VMG well to capitalize on a strong industrial services market.