Aecon Group Inc.
TSX : ARE

Aecon Group Inc.

June 12, 2008 09:06 ET

Aecon Selected as Highest Ranking Bidder for Hospital Expansion and Renovation Project

TORONTO, ONTARIO--(Marketwire - June 12, 2008) -

Attention Business Editors:

Aecon Group Inc. (TSX:ARE) announced today that its Buildings Division has been selected by the Toronto Rehabilitation Institute (Toronto Rehab) and Infrastructure Ontario as the highest ranking bidder for the renovation and expansion of Toronto Rehab's University Centre site on University Avenue in Toronto.

Highest ranking bidder means that Infrastructure Ontario and Toronto Rehab are now negotiating with Aecon toward a potential project award. Pending successful negotiations with Infrastructure Ontario and Toronto Rehab as well as required approvals by the Infrastructure Ontario Board, the Ontario Ministry of Health and Long-Term Care and Toronto Rehab's Board, Aecon would be confirmed as preferred bidder and proceed to negotiate commercial and financial close.

Commercial close and signing of the contract would likely occur within the next several weeks, with financial close likely within 30 days after that. Construction will begin following financial close, for completion in August 2011.

The renovation and expansion plan includes:

- renovations to the hospital's existing 12-storey east wing and four- storey north wing;

- construction of a new 13-storey patient-care and research tower

- 17,000 square feet of new dedicated research space; and

- dedicated education space.

"Health care infrastructure is a growing market in Canada, and is a key strategic priority for Aecon Buildings," said Robert G. McDonald, President of Aecon Buildings. "The Toronto Rehab project is an exciting opportunity, and we look forward to working with the hospital and Infrastructure Ontario to meet the growing demand for health care facilities."

Infrastructure Ontario is a Crown corporation dedicated to managing some of the province's larger and more complex infrastructure renewal projects - ensuring they are built on time and on budget.

Aecon Group Inc. is Canada's largest publicly traded construction and infrastructure development company. Aecon and its subsidiaries provide services to private and public sector clients throughout Canada and internationally.

The information in this news release includes certain forward-looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties which are discussed in greater detail in the section entitled "Risk Factors and Uncertainties" in Management's Discussion and Analysis of operating results and Financial Condition for the year ended December 31, 2007 filed on SEDAR at www.sedar.com. Although Aecon believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurance that the expectations of any forward-looking statements will prove to be correct.

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