28th Jun 2013 14:00
SERCO GROUP PLC - Serco signs Ontario DES contractSERCO GROUP PLC - Serco signs Ontario DES contract
PR Newswire
London, June 28
Serco signs Ontario Driver Examination Services contract 28 June 2013 Serco Group plc (Serco), the international services company, today announcesthat it has reached financial close for the contract to provide DriverExamination Services for the Ontario Ministry of Transportation (MTO). Thecontract will see Serco continue to provide these vital services in a ten-yearpartnership with estimated revenues to Serco of approximately C$500m over thecontract term. Serco has been supporting MTO since 2003, and will continue to provide the fullspectrum of services including application processing and the delivery ofvision, knowledge and road testing across all license categories. Serco will beresponsible for overseeing approximately 575,000 knowledge tests and 675,000road tests on an annual basis at 95 testing centres across Ontario. Under thenew contract, Serco's role will expand to include upgrading and enhancinginformation technology solutions to improve processing, scheduling and thedelivery of services to drivers. Serco's bid was developed in partnership with Plenary Group, a leadingspecialised developer of long-term Public-Private Partnership (PPP) andAlternative Financing and Procurement (AFP) projects, who have over C$6bn inproject capitalisation across Canada. For the new partnership, Plenary Group isthe developer, equity investor and debt arranger for the project. In thiscapacity, Plenary Group has made significant financial commitments to guaranteethe consortium's service delivery performance for the concession term. This newstructure of direct customer financing replaces Serco's previous use of cashresources and debt facilities to finance the partnership. Christopher Hyman, Chief Executive of Serco Group plc, said: "We are delightedto be continuing to support the Ministry of Transportation to ensure roadsafety in Ontario and across Canada. Together with our recent award of thesignificant new contract to provide traffic management services in Virginia,Serco is demonstrating its international skills in the transportation marketand our commitment to high quality and efficient services for our customers. Weare making excellent progress in our strategy to further diversify Serco'sAmericas portfolio." Ends For further information please contact Serco: Stuart Ford, Head of Investor Relations T +44 (0) 1256 386 227 Marcus De Ville, Head of Media Relations T +44 (0) 1256 386 226 About Serco Serco is a FTSE 100 international service company, which combines commercialknow-how with a deep public service ethos. Around the world, we improve essential services by managing people, processes,technology and assets more effectively. We advise policy makers, designinnovative solutions, integrate systems and - most of all - deliver to thepublic. Serco supports governments, agencies and companies who seek a trusted partnerwith a solid track record of providing assured service excellence. Our peopleoffer operational, management and consulting expertise in the aviation, BPO,defence, education, environmental services, facilities management, health, homeaffairs, information and communications technology, knowledge services, localgovernment, science and nuclear, transport, welfare to work and the commercialsectors.
More information can be found at www.serco.com
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