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The Linde Engineering division is subject to special risks as a result of its project activities which involve the design and construction of turnkey plants.
The main potential areas of risk lie in the costing and in the technical and economic handling of these highly complex major projects which generally run for a period of several years.
Specific risks include unexpected technical problems, unforeseeable developments at the project locations, problems with our partners or subcontractors and logistical difficulties. The handling of the project may also be affected by disruption to our own production of individual central components of major plants.
Each of these individual factors can lead to significant additional costs or contract penalties. We counter these risks with strict project and risk management systems. We are constantly developing the internal tools we have at our disposal, adapting them to meet ever-increasing requirements.
