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$100 Million + Steel Industry Bond $100 Million + Steel Industry Bond
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Old 06-06-2008, 11:41 AM
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Default $100 Million + Steel Industry Bond
We are a small construction company specializing in the steel industry. We are in the initial stages of pre-construction and the customer has asked us for a $100M + performance bond. There are two contractors (piping and electrical) that would be under us however at this time we understand that we are to construction manage them, not to be subs under us. The proposed contract arrangement is a cost reimbursable/fixed fee. We have a CM fee for managing the two contractors, again which does not make sense for us on a bond. Can you help me understand what makes sense regarding bonding here?
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