G4S could lose £50m due to Olympic Games security shambles
Private security firm G4S says it stands to lose up to £50m after admitting it is unable to provide enough staff to fulfil its Olympic Games contract, a failure that forced the government to this week call up 3,500 troops to fill in at the 11th hour.
The beleaguered security company said on Friday night that it "deeply regrets" the problems, adding: "G4S accepts its responsibility for the additional cost of the increased military deployment resulting from the shortfall in workforce delivery."
The company's admission it is in line to take a major financial hit over the shambles came hours after the prime minister weighed into the row, warning that firms which failed to deliver on their contracts would be pursued for the money.
The security firm had been committed to supply 13,700 guards as demanded in its contract, worth £284m, which it now says it is unlikely to be able to fulfil. Overall, the 23,700-strong security force for the Games will include a mix of military, private security guards and at least 3,000 unpaid volunteers.
full: http://www.guardian.co.uk/uk/2012/jul/14/g4s-olympic-games-security-shambles
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