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Non-Tech : Foster Wheeler (FWC) beaten down but why -- Ignore unavailable to you. Want to Upgrade?

To: wolfgangl who wrote (4)	8/9/1998 4:03:00 PM
From: Evan	Read Replies (2) \| Respond to of 24

Wolfgang. Lump Sum Turnkey Bidding is the common method for oil and chemical companies to complete projects.The contractors bid against each other for a fixed price to design,procure and construct a plant.Cost overuns,which are common,are a loss for the contractor.FW is no better at it than the others.Most of the projects are located in Asia,Middle East or Africa.Best analysis of these companies is profit versus billings. Most make less than 5%.The premium company is Fluor which sells for 57% off its high. A turn around for most of these companies would occur if the price of oil goes over $20 a barrel. FW is about a fifth of the size of FLR and I dont see it getting any bigger.