Huawei Technologies is likely to face penalties of up to $614.3 milion owing to delays in fulfilling contractual obligations with CAT Telecom.

Huawei Technologies is likely to face penalties of up to $614.3 million owing to delays in fulfilling contractual obligations with CAT Telecom. Huawei missed the January 26, 2007 deadline for delivering 800 switching and base stations in 51 provinces in Thailand for the second phase of CAT Telecom’s network expansion.

Huawei is also expected to be fined for the late delivery of high speed data chipsets. Under the contract, CAT Telecom can levy a penalty of $2.76 million a day for late delivery.