Article Highlights
Conduent says its “megadeal” project in Melbourne is “progressing well.” But the project is expected to be much delayed and well over budget. The U.S.-based company’s CEO hinted that it is considering a “divestiture.” Could Conduent be buffing its fare unit for a possible sale?
Conduent Chief Financial Officer Steve Wood noted that the “implementation ramp” for the Victorian project–the company’s largest deal–contributed 15 points of revenue to Conduent’s transportation division.
• Conduent
• Convergint
• DTP (Victoria)
• SEPTA (Philadelphia)
• Cubic
The planned fare system in Melbourne and Victoria state in Australia is believed to be at least two years behind schedule, a key subcontractor has left the job and Victoria state politicians are sweating their chances in the next election if the project becomes a campaign issue, according to sources.
But you wouldn’t know there were any current problems with the project after listening yesterday to top executives with Conduent, the prime contractor on the 15-year, AU$1.7 billion (US$1.1 billion) deal. The executives spoke during a conference call with analysts after release of the company’s fourth quarter and year-end results.
Subscription Required
This premium content is only available to subscribers
Article has about1618words.
To keep reading, subscribe today
Get access to premium content from the only global publication devoted exclusively to mobility payments by subscribing today to the most authoritative source for news and analysis in the industry.
