Acquisition

Balfour Beatty PLC
17 February 2005


17 February 2005


            BALFOUR BEATTY STRENGTHENS US PROJECT MANAGEMENT ARM
                          WITH CALIFORNIA ACQUISITIONS
                          ============================
                                        
Balfour Beatty, the international engineering, construction and services
company, announces today that its US subsidiary, Heery International, the
integrated architectural, engineering, project and construction management
business, has acquired JCM Group, one of Southern California's premier project
management companies, and its subsidiary, Facilities Planning & Management
(FPM), for a consideration of approximately $10 million.

JCM and FPM operate in California, have more than 100 employees and are
particularly strong in the higher education, healthcare, government and Fortune
500 markets. Among their clients are Boeing, Canon, Nissan, the US Food and Drug
Administration, the University of California and California State University.

This transaction follows last year's acquisition, by Heery, of HLM Design, a
Philadelphia-based design and engineering firm which is a leader in the planning
and design of healthcare projects. HLM has completed projects to the value of
over $450 million over the last 10 years.

Heery, which has headquarters in Atlanta, is a 1000-employee architecture,
interior design, engineering, facility management, programme management and
construction management firm.

                                      ENDS

Enquiries to:
Tim Sharp
Tel: [phone]
www.balfourbeatty.com


Notes to Editors
----------------

1.  Heery has annual sales of approximately $250 million and some 30 offices
    across the US.

2.  Heery is a US market leader and operates, predominantly, for clients in the
    education, aviation, healthcare, high-tech, justice, sports and federal
    government sectors. It was founded in 1952 and was acquired by Balfour 
    Beatty in 1986.

3.  Balfour Beatty is a world-class engineering, construction and services 
    group, well positioned in infrastructure markets which offer significant 
    growth potential. Its partnerships with public and private customers 
    generate secure, sustainable income. Its financial position, with 
    significant net cash and with strong operating cash flows, offers 
    continuing flexibility to add additional capacity and expertise to the 
    business mix and to make appropriate investments in PPP and other long-term
    growth opportunities.



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