USA Contract Extension

14 April 2010

THE INNOVATION GROUP PLC

USA CONTRACT EXTENSION

The Innovation Group plc, (LSE: TIG.L), ('Innovation' or 'the Group'), a global provider of enterprise software and business process outsourcing solutions to the insurance, financial services, motor and fleet industries world-wide, is pleased to announce that one of the world's largest vehicle management groups has chosen to extend its relationship with the Group by entering into a new three year contract from 1 January 2011, for accident management services in the US.

The vehicle management group currently operates a fleet of more than 600,000 vehicles in North America and provides leasing and fleet management solutions in 30 countries and across five continents.

The contract, which sees the Group continue to exclusively provide accident management services in the US, extends an existing relationship between the two parties which first began in 2004 and expires at the end of this calendar year. The contract is estimated to be worth a minimum of £10m of revenue to Innovation recognisable over the three year term. 

Commenting on the contract agreement Andy Roberts, Chief Executive Officer of The Innovation Group, said:

"I am delighted to be announcing this contract extension which isan expression of satisfaction on the part of our customer in the services we offer. We look forward to continuing our solid working relationship with them in the years ahead. Once again, a global player in vehicle management has renewed its confidence in Innovation's products and services offering, reaffirming our strong position as partner of choice in the sector."

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About The Innovation Group plc:

The Innovation Group plc is a leading provider of enterprise software, business process outsourcing and repair and service network management solutions to the global insurance, financial services, motor and fleet industries. Innovation Group provides contact centres, repair networks, process management, supply chain and technology operations and decision support analytics to support accident management, repair and estimation and claims management services. Innovation Group has over 800 global clients including AXA Insurance, RSA, American Modern Insurance Group, LeasePlan, The Ford Motor Company, Aviva, Toyota and Zurich. The Group processes more than 4 million claims per year with 20 per cent direct claims cost saving achieved. Innovation Group's 2,300 people are located in the United Kingdom, Australia, Belgium, Canada, France, Germany, Japan, India, Netherlands, Pakistan, South Africa, Spain and United States. www.innovation-group.com