Fletcher wins rebuild contract

Fletcher Building, the country's biggest listed company, won a contract from the US government to help rebuild American Samoa after last year's earthquake and tsunami.

Earlier this week, the Federal Emergency Management Agency awarded the contract to Fletcher's 30-year-old Samoan unit to rebuild 33 homes destroyed in the 8.1 magnitude earthquake last year.

The quake is estimated to have caused some US$124 million worth of damage.

"The awarding of this contract brings us another step further in helping the people of American Samoa get back on their feet," said FEMA Region IX Administrator Nancy Ward, whose region oversees and coordinates federal relief efforts in American Samoa.

"FEMA has, and will continue to work closely with the Governor and local officials every step of the way to ensure residents have the resources they need as they continue to recover."

That's the second major government rebuilding contract Fletcher's won in as many months after it was appointed to project manage the reconstruction of Christchurch after the 7.1 magnitude earthquake in September.

FEMA's decision comes as the World Bank approved financing of US$11.8 million for the reconstruction of Samoan infrastructure, through a US$10 million loan from the International Development Association and a $1.8 million Pacific Regional Infrastructure Facility grant.

Fletcher's share fell 1.2 per cent to $8.12 in trading today.