J.M. Martinac Shipbuilding says it will work for no profit.
The Tacoma shipyard is a subcontractor to Vigor Industries on its $115 million contract to build Washington’s new 144-car ferry. It faced a Vigor-imposed deadline of today to lower its price or be dropped.
The company sent a letter Monday afternoon with a counter-offer: Martinac will work for the cost of time and materials. It won’t build in money to make a profit.
“We really won’t make anything on the job,” Martinac vice president Jonathan Platt said. Vigor, he said, “can manage the job. They can do everything. We just wanted to make sure that our people got the work in Pierce County.”
Martinac said it would work a rate specified by Vigor of $74.25 an hour and an overtime rate less than what Vigor had called for.
A Vigor spokesman said he would look into whether the company has decided its next move.
Platt also said Martinac’s previous offer has been misrepresented by Vigor — but won’t say what the offer truly was. The company wants to work with Vigor, not fight, he said.
Vigor says it thinks the work can be done for less than $15 million but Martinac had offered to do it for $25 million. Platt said the real offer was less than $25 million.
Here’s the letter: