Statement re First Great Western franchise

FIRSTGROUP PLC                                 

                         ("FirstGroup" or "The Group")                         

                  STATEMENT RE: FIRST GREAT WESTERN FRANCHISE                  

FirstGroup, the leading transport operator in the UK and North America, notes
the publication today by the Department for Transport (`DfT') of an updated
timetable for its rail franchising programme.

Today's publication confirms that the DfT intend to negotiate a direct award
for our First Great Western franchise for a duration of three-and-a-half years
to March 2019, with a further extension of up to one year at the DfT's
discretion. This direct award will ensure stability during a period when a
substantial programme of infrastructure upgrades will take place on the network
and new trains are to be introduced.

Commenting, Tim O'Toole, FirstGroup's Chief Executive, said:

"We welcome the publication of the latest DfT franchising timetable which
continues to demonstrate clarity and momentum in the re-franchising programme.
A period of detailed negotiation will follow but we are very pleased that,
after a consultation process in which the DfT sought the views of stakeholders
and user groups across the line of route, the DfT intend to negotiate a direct
award with us which will be for three-and-a-half years with an option to extend
for up to one year at the DfT's discretion. This offers good value and better
services for First Great Western passengers and in particular, will provide
stability and allow the planned major projects and new trains to be delivered."

Notes to Editors:

About FirstGroup plc

FirstGroup plc (LSE: FGP.L) is the leading transport operator in the UK and
North America. With revenues of more than £6.7 billion and around 117,000
employees in 2013/14, we transported around 2.5 billion passengers last year.
Each of our five divisions is a leader in its field: First Student is the
largest provider of student transportation in North America with a fleet of
around 49,000 yellow school buses, First Transit is one of the largest
providers of outsourced transit management and contracting services in the US,
while Greyhound is the only national operator of scheduled intercity coach
services across North America. In the UK, FirstGroup is one of Britain's
largest bus operators running a fleet of some 6,400 buses, and we are one of
the largest operators of passenger rail services in the UK, carrying more than
330 million passengers last year, with experience of running all types of rail
network.

Our vision is to provide solutions for an increasingly congested world, keeping
people moving and communities prospering.

Visit our website at: www.firstgroupplc.com

Contacts at FirstGroup:
Rachael Borthwick, Group Corporate Communications Director
Faisal Tabbah, Group Investor Relations Manager
Stuart Butchers, Group Head of Media
Tel: [phone]

Contacts at Brunswick PR:
Michael Harrison/Andrew Porter, Tel: [phone]