Integrated Accommodation Services PLC (IAS) is financing the design and construction of the new Government Communications Headquarters (GCHQ) accommodation facilities for the U.K. Secretary of State for the Foreign and Commonwealth Office (FCO). IAS also provides certain facilities management and maintenance services under a 30-year project agreement. In connection with its annual surveillance of this transaction, Standard & Poor's has visited the site, met various stakeholders, and completed a review of the project following the first year of the concession. Construction is progressing well--uncertainties about ground conditions have been resolved satisfactorily, the construction program is ahead of schedule (at the time of writing), and a number of key milestones (in terms of risk) have been passed. The low-risk interim services
