news: major disaster for mxg?

How bad can this be? In December Multiplex informed the ASX that they had been paid $300m for their Stratford City project share. Now the contract has been cancelled with the purchaser of that share. I would like to know how MXG is going to repay that money plus any other loans they have from the Reuben brothers?

MXG ANNOUNCED:
'On Friday, 16 December 2005 (London time), Multiplex concluded
arrangements with entities associated with Simon and David Reuben
under which Multiplex has disposed of certain interests and rights in
relation to the Stratford project and Global Switch. The total
proceeds received by Multiplex were approximately A$300 million (GBP
127.5 million). Multiplex will maintain the potential to participate
in the development and construction opportunities in the Stratford
project.'

NOW THIS UNNOTICED NEWS ITEM ON FRIDAY NIGHT UK TIME:







Partnership ends for Stratford City
03 May 2006
MAJOR landholder for the key Stratford City development has stunned the business world with news it is to axe its partners in the £4 billion homes and commercial regeneration project.

A statement from London & Continental Railways (LCR) late on Friday stated that it has commenced the procedure to terminate its contract with Stratford City Developments Limited (SCDL), the company owned by Stanhope, Westfield, Multiplex and Aldersgate.

Termination, they claim, will ensure progress can be maintained on delivering the first phase of the development and the provision of the Olympic village for London 2012 and media centre.

The Olympic Delivery Authority (ODA) immediately insisted the decision to end the contract will not affect the timetable or the budget necessary to build the facilities for the Games.

Stratford City Developments had been contracted to develop the 73-hectare site, but the partners have been in dispute.

Pat Coughtrey's story in full in this week's Recorder