Fluor Daniel/Morrison Knudsen's Conceptual Proposal Selected By The Commonwealth Transportation Board Of Virginia

April 25, 1996

Fluor Daniel, together with Morrison Knudsen, announced today that their conceptual proposal was selected by the Commonwealth Transportation Board of Virginia, to establish a limited liability company to finance, design, construct and operate the I-895 connector road near Richmond, Virginia. The cost for the connector road is currently estimated in excess of $250 million. The project is subject to the negotiation of definitive contracts, the obtaining of financing and requires regulatory approvals.

The Fluor Daniel/Morrison Knudsen team is currently developing a detailed proposal which is scheduled to be submitted to the Virginia Department of Transportation (DOT) by June. The proposal will be reviewed by the public/private transportation advisory panel and upon approval, forwarded to the commissioner to negotiate the definitive contract.

"The Fluor Daniel/Morrison Knudsen proposal represents the first capital project under Virginia's new proposed public/private transportation law," said Shirley Ybarra, deputy secretary of the Virginia DOT. "It will serve as a model for future transportation projects in our state."

Ron Oakley, president of Fluor Daniel's Infrastructure operating company said, "Our team is pleased to participate in this first-of-a-kind privatization project in Virginia. Together, we will provide world-class design, engineering and construction expertise as well as project financing capabilities to this important project."

The I-895 connector road consists of eight miles of divided roadway and a high-level bridge over the James river. It will connect Chippenham Parkway and I-95 on the west side of the river with Laburnum Avenue and I-295 on the east side of the river.

Fluor Daniel and Morrison Knudsen are currently providing design and construction services for the E-470 Public Highway Authority in Englewood, Colorado. In addition, Fluor Daniel's Infrastructure operating company is leading a consortium selected by the Florida Department of Transportation to develop the first high-speed rail system in the United States.

Fluor Daniel, Inc., the principal subsidiary of Fluor Corporation, is a global engineering, construction and diversified services company with more than 50 offices worldwide.