Cost to complete power plants at $633 million

LEXINGTON, Mass. – The cost to complete two Massachusetts power plants abandoned by Washington Group International (WGI) will be $633 million, net of cash receipts, according to the Raytheon Company. The estimate is the result of an extensive review of the projects.
As reflected in its Form 10-Q filing with the Securities and Exchange Commission, the company increased the pretax charge related to the two projects in the second quarter from $125 million to $308 million. Raytheon also said its range of exposure on 15 other guaranteed construction projects – $49 million to $125 million – is consistent with its earlier disclosures.