- DUBAI: Dubai's biggest construction company says its profit dropped by nearly half last year as it set aside $80 million to cover debts it fears might not be repaid.
Arabtec Holding said Tuesday 2009 earnings fell 48 percent to 494.9 million dirhams ($134.9 million). Lower sales were partly to blame, as was a 293.9 million dirham ($80 million) charge Arabtec labeled an "allowance for doubtful debts" that might not be recovered. Many foreign and domestic contractors, including Arabtec, have complained of long-delayed payments for completed work in the debt-saddled emirate. Arabtec's CEO told reporters last week that the company stopped work on a project led by Dubai state-run developer Nakheel because it hadn't been paid.