StockMarketWire.com - Go-Ahead said Tuesday The Department for Transport decided against stripping the company of its Govia Thameslink rail franchise following the industry-wide failures concerning the May timetable upgrade.

As part of the agreement, Go-Ahead's profit on its contract with the Department for Transport relating to the Govia Thameslink rail franchise would be capped and the company was ordered to pay £15m for 'passenger enhancements.'

'As a result, the margin over the franchise term is now expected to be between 0.75 to 1 per cent (previously 0.75 to 1.5 per cent), with no profit expected in the current financial year, Go-Ahead said.

The Group's full year expectations for the current financial year remained unchanged, in line with the trading update published on 29 Nov., the company confirmed.


At 8:40am: [LON:GOG] GoAhead Group The PLC share price was -1.5p at 1640.5p



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