28th Sep 2005 06:00
Embargoed until 0700 hrs Wednesday 28 September 2005 FIRSTGROUP PLC TRADING UPDATE Ahead of a series of pre-close meetings with analysts to be held this week,FirstGroup plc confirms that, despite challenging trading conditions, overalltrading for the six months to 30 September 2005 is in line with managementexpectations.Our UK Bus business has continued to show strong revenue growth and we continueto bear down on costs within the division. However, the increase in crude oilprices and subsequent increased fuel costs will, as we anticipated, have animpact on margins. We are now 100% hedged for our fuel consumption for theremainder of this financial year.Our North American Division continues to perform well. Contract retentionremains extremely good and we have continued to grow and win new businessacross all of our North American businesses.In our UK Rail Division operational performance has continued to improve and weare particularly pleased with the strong performance from First ScotRail andFirst TransPennine Express. We have now submitted bids for the three newfranchises that we are shortlisted for in this current round - Integrated Kent,Thameslink/Great Northern and Greater Western. We remain extremely optimisticabout the future opportunities in UK Railways.The Group will announce interim results for the six months to 30 September 2005on Wednesday 9 November 2005. These will be the first reported results underInternational Financial Reporting Standards (IFRS). The principal differencesin accounting treatment under IFRS are pensions, goodwill, intangible assets,dividends, taxation, financial instruments and share based payments. Althoughthe impact will vary by division, as previously indicated, we do not anticipatea material impact on group operating profit.We have completed the restatement of the Group's 2004/05 results under IFRS andhave issued these today under a separate announcement.Contacts FirstGroup plc:Dean Finch, Group Finance Director Tel: 07788 178 942Rachael Borthwick, Head of Corporate Communications Tel: 07771 945 432Notes to Editors:FirstGroup plc fuel consumption:UK fuel consumption: 2.5m barrels per annumUK fuel consumption now 100% hedged at average rate of $37 per barrel (2004/05average rate of $25 per barrel)UK Bus turnover ‚£960.7m (year to 31 March 2005)North America fuel consumption: 0.7m barrels per annumNorth America fuel consumption is 64% hedged at an average price of $27 perbarrel (2004/05 average rate of $27 per barrel)North America turnover ‚£665.8m (year to 31 March 2005)ENDFIRSTGROUP PLCRelated Shares:
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