Statement re Railtrack

Balfour Beatty PLC
8 October 2001


                              BALFOUR BEATTY PLC

Balfour Beatty, the international engineering, construction and services
group, notes the appointment of administrators at Railtrack, in the light of
that company's financial difficulties.

Balfour Beatty has had assurances from the Government that the current work
programmes in which it is engaged, the related expenditure levels and existing
financial commitments, will be unaffected by the appointment.

As the UK's leading international rail engineering and services group, Balfour
Beatty looks forward to continuing its key role in the regeneration of
Britain's railways, through whatever form of investment and management vehicle
emerges from the administration process.

Enquiries to:

Tim Sharp

020 7216 6800

www.balfourbeatty.com