THE chief executive of steelwork manufacturer Severfield-Rowen resigned yesterday as it reported huge cost overruns on the Cheesegrater project, sending its shares tumbling.
Cost overruns on the 122 Leadenhall project – known as the Cheesegrater due to its distinctive shape – adversely affected UK performance, the firm whose other work includes the Olympic stadium and the Shard said.
As a result, the board said it would “review expeditiously” its current contract base.
Tom Haughey, chief executive of the Yorkshire-based firm, has resigned with immediate effect. Chairman John Dodds has assumed the role of executive chairman.
The firm said it was in talks with its lending banks over compliance with its covenants. Shares fell 33.26 per cent.