"Legacy contracts" - a phrase i'm hearing more and more with companies reporting losses, profit warnings, poor annual figures - how many more companies will we see saying the same? How long before these "legacy contracts" are the reason behind a major industry player folding?
Overall group revenue saw a slight fall to £6.86 billion, down less than half a percentage point from £6.89 billion, while group operating profit saw a sharp fall of 27 per cent to £183 million. G4S chief executive Ashley Almanza cited the management of “onerous legacy contracts” in the UK, which were entered into before 2013. He remained positive, however, stating that the business won new contracts with an annul value of over £1.3 billion.