Panama Canal consortium faces $850 million penalty

The consortium led by Spain's Sacyr that built the new locks that broaden the Panama Canal has to repay $850 million in advances that it were provided during the construction. Sacyr's shares plummeted this morning in the Madrid stock market.

The payment is the result of a finding of an arbitration hearing by the International Chamber of Commerce in Miami, in a case in which the Panama Canal Authority was calling for the return of the advances.

Sacyr's partners in the consortium, known as Grupo Unidos por el Canal, were Italy's Impregilo, Jan de Nul of Belgium and CUSA of Panama.