9th Jan 2006 07:00
Balfour Beatty PLC09 January 2006 9 January 2006 BALFOUR BEATTY AWARDED ROAD MAINTENANCE CONTRACTS TO A TOTAL POTENTIAL VALUE OF OVER £300 MILLION ========================================== New contracts in Essex and Scotland take the Group's confirmed maintenance order book to over £700 million ------------------------------------------- Balfour Beatty, the international engineering, construction and services group,announces today that its specialist road management and maintenance company,RCS, has been awarded two major new long-term maintenance contracts in Scotlandand in Essex with a total potential value in excess of £300 million. Commenting on these awards, Balfour Beatty Chief Executive, Ian Tyler, said: "These new contract wins further consolidate the position Balfour Beatty hasestablished through RCS as a leading service provider in the fast-growing marketfor highways management and maintenance. Our success stems from our commitmentto understanding and exceeding customers' expectations and bringing aninnovative and disciplined approach to our customer partnerships." In Scotland, a joint venture of RCS and Mouchel Parkman has been awarded thecontract for the management and maintenance of major trunk roads in the northwest of the country by the Scottish Executive. The five-year contract willcommence on 1 April 2006 and has extension options of up to two years. It willbe worth approximately £27 million per annum. It covers over 1,300 km ofhighways, including strategic ferry routes to Wick, Ullapool and Oban, and some1,300 structures, including the Skye Bridge. RCS has also been awarded the five-year term maintenance contract for countyroads in Mid and East Essex by Essex County Council. It covers general highwaysand winter maintenance as well as emergency response on a predominantly ruralnetwork. The contract will commence in April 2006 for an initial five years withthe possibility of extensions and is worth approximately £20 million per annum.The county as a whole has more than 7,200 km of roads. ENDS Enquiries to:Tim SharpTel: 020 7216 6884 www.balfourbeatty.com Notes to Editors---------------- 1. RCS was established in 1996, has approaching 2,000 employees and annual sales in excess of £200 million. Its vision is to be the UK's leading operator and term maintenance provider, renowned for customer service, respect for people, protecting the environment and providing best value. 2. RCS is responsible for the management and maintenance of major roads in Highways Agency Areas 2, 3 and 4, stretching across southern England from the Kent coast to the West Country. 3. RCS has contracts for managing and maintaining local authority roads in Hampshire, North Yorkshire, Westminster and Wokingham, and for street lighting in Surrey. 4. RCS maintains Balfour Beatty PFI road concessions in Devon and Dorset, Derbyshire, Yorkshire and the west of Scotland. 5. Balfour Beatty is a world-class engineering, construction and services group, well positioned in infrastructure markets which offer significant growth potential. Its partnerships with public and private customers generate secure, sustainable income. Its financial position, with significant net cash and with strong operating cash flows, offers continuing flexibility to add additional capacity and expertise to the business mix and to make appropriate investments in PPP and other long-term growth opportunities. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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