Pre Close Trading Update

NARS

NATIONWIDE ACCIDENT REPAIR SERVICES PLC

("Nationwide" or "the Company")

Pre Close Trading Update

Nationwide, the largest dedicated provider of automotive crash repair services in the UK, is pleased to provide the following update on trading prior to entering its close period.

Trading in the six months ended 30 June 2010 has been encouraging and the Board is pleased to report that half year results are anticipated to be in line with management expectations at this stage. The Company continues to generate strong cash flows and net cash at 30 June 2010 is expected to be £8.0m (2009: £7.9m).

As previously announced, the current financial year represents the first year of management's new three year growth plan. This aims to support the development of Nationwide's activities in the fleet and retail marketplaces, as well as growth in its core motor insurance market. The Company is currently investing approximately £1 million per annum to support these growth initiatives.

A particular focus in the period has been the launch of Nationwide's rebranded and significantly enhanced mobile repair services, which is on track to take place in late summer, and the recruitment of key personnel to the operational management team. Reflecting the Company's growth in the North East region, in May, an additional bodyshop was acquired in Newcastle-upon-Tyne and the management will continue to add repair capacity based on demand requirements. The signing of a major new multi-year insurance contract in April, with Groupama, underlines Nationwide's ability to deliver on Quality, Value, Speed and Service and to flex its model according to customer requirements.

The Board expects to announce half year results on Wednesday, 22 September 2010 when it looks forward to providing a further update on trading.

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About Nationwide Repair Services plc

Nationwide provides automotive crash repair and accident administration services to the UK insurance industry. With a network of accident repair centres in England, Scotland and Wales employing over 2,200 people, it is the largest dedicated provider of accident repair services in the UK.

Nationwide's accident administration services, provided to insurers, insurance brokers and affinity groups, encompass full claims management, engineering services, emergency and roadside assistance as well as vehicle repair services and total loss management.

In late summer, the Company will be formally launching a mobile repair service comprising Mobile Restore, which will enable light vehicle repair jobs to be undertaken at a location of the customer's choice and Motorglass, which will provide mobile repairs requiring specialist equipment and skills, including glass, electronic and air-conditioning related repairs. These services will be available to consumers and fleet operators as well as to motor insurers.