£70m Olympic loss for G4S

Security company G4S today said it will incur a loss of £70 million on its bungled Olympics contract, more than the £50 million previously estimated.

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G4S:Olympic contract 'for reputation not profit'

Embattled G4S boss Nick Buckles had told a committee of MP's that his firm took the contract to provide Olympic security to boost it's reputation, not it's profits.

Mr Buckles admitted that the debacle surrounding the contract was likely to count against the firm in future.

They also expect that as a result of the problems, they will make a loss of £50 million on the contract- a sum described by Mr Buckles as 'a huge amount' representing around ten per cent of the company's expected annual profits.

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Mr Buckles agrees security is a shambles

Asked by Labour MP David Winnick if it was a "humiliating shambles for the company", Mr Buckles said: "I could not disagree with you."

And asked if he agreed the reputation of G4S was in tatters, Mr Buckles said: "At the moment, I would have to agree with you."

He insisted the firm has had a good reputation "over the years", but added: "At the moment, it's not a good position to be in."

Mr Buckles said he told organiser Locog on July 3 that his firm experienced a shortfall over the weekend, in part due to its scheduling system not working properly.

It was monitored daily but it was not until an Olympics Security Board meeting, chaired by Charles Farr on July 11, that the firm said it was not going to meet its contract obligations.

Coe: Security fiasco "has not nor will it impact on the safety of the games"

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Coe is asked if there is a crisis over security? Coe: "Would I rather not be here, the answer is of course." @londontonight

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Coe on security fiasco: "This has not nor will it impact on the safety of the games." @londontonight

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