19th Jun 2007 07:18
Go-Ahead Group PLC19 June 2007 For immediate release 19 June 2007 The Go-Ahead Group plc ("Go-Ahead" or the "Group") Response to Department for Transport Announcement Regarding Agreement to Amend the Gatwick Express and Southern Franchises Following the announcement by the Department for Transport ("DfT") in April 2007that the Gatwick Express services were to be incorporated into the Southernfranchise from May 2008, Go-Ahead is pleased to confirm that negotiations on theimplementation of the change have now been successfully concluded as announcedearlier today by the DfT. The current Gatwick Express franchise will terminate on 22 June 2008 when itwill be integrated with the Southern franchise. The Gatwick Express willcontinue to operate its current service between Gatwick and London Victoriauntil December 2008 when a new-style service will be introduced. It will retainthe same branding and the same frequency, with non-stop service between GatwickAirport and London Victoria every 15 minutes. However, it will also run beyondGatwick to Brighton at the busiest times of day, doubling the number ofLondon-Brighton express trains in the high peak. The Gatwick Express franchise is expected to generate annual revenue ofapproximately £66 million at the outset. As part of the successful negotiationsbetween Southern and the DfT, agreement has been reached on future subsidypayments to Southern which reflect the fact that Gatwick Express pays a premium.Southern will continue to be a subsidised railway under the new arrangements. The enlarged Southern franchise will now expire in September 2009, three monthsearlier than planned, so that the major South London timetable changes necessaryto accommodate the East London Line extension can be implemented in December2009. Keith Ludeman, Group Chief Executive of Go-Ahead, said: "We are delighted to have reached agreement with the DfT on the implementationof this important new franchise which will significantly increase capacity tothe benefit of passengers particularly at peak travel times". -Ends- For further information, please contact: The Go-Ahead Group plc Keith Ludeman, Group Chief Executive 020 8929 8650Ian Butcher, Group Finance Director 0191 232 3123 Weber Shandwick Financial 020 7067 0700 Richard Hews/Rachel Taylor/Hannah Marwood Note to Editors: RAIL Govia is the Group's rail division, a joint venture between Go-Ahead (65%) andKeolis SA (35%) which is a French-based operator of passenger transport servicesin seven European countries and in Canada. Govia operates a fleet of 630 trains on which over 280 million passenger journeys are undertaken. Concentrated in the south east of England both our franchises, Southern and Southeastern, operate a mix of suburban commuter and mainline routes throughout south London, Kent, Surrey and Sussex. The Southeastern franchise will include the operation of new high speed trains on the domestic Channel Tunnel Rail Link into St Pancras from 2009. BUS The group's bus division operates over 3,600 buses, providing over 505 million passenger journeys and covering around 236 million vehicle kilometres each year. Operations fall into four main geographical areas: deregulated services in north east; deregulated services in West Midlands; deregulated services in south east / southern England; and regulated services for Transport for London in the capital. The newest additions to this division are Dockland Minibuses and Marchwood buses. AVIATION SERVICES The group's aviation services division undertakes a wide range of support services for national and international airlines. Services provided include cargo handling, passenger check-in, baggage handling, information desks, executive lounges, ground handling and customs clearance. In the last year 45 million passengers were handled as well as over half a million aircraft movements. The division includes Meteor Parking which is the second largest parking company in the UK, managing over 58,000 parking spaces predominantly at BAA airports, with a range of customers, including BAA, local authorities, retail outlets, NHS trusts, hotels and rail stations. Well known brands include 'Pink Elephant', 'Park 1' and 'eparking'. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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