LONDON, July 4 British outsourcing firm Serco
, which has been hit by a string of contract problems,
said on Friday it had lost its contract to run London's
Docklands Light Railway, in a big blow to the group.
The company said its bid to continue running the 125 million
pounds ($212.7 million) a year contract, which it has operated,
maintained and marketed since 1997, was unsuccessful.
Serco said the DLR franchise generated revenue of
around 90 million pounds, or 2 percent of revenues in 2013, at a
margin that was significantly below the average level the group
achieves on its contracts.
Serco, which was up against Stagecoach and joint
venture Keolis/Amey Rail, will hand over the franchise on
($1 = 0.5877 British Pounds)
(Reporting by Li-mei Hoang; editing by Kate Holton)