Re Contract

Carillion PLC
16 August 2007


16 August 2007

Carillion joint venture achieves financial close on third hospital project in
Canada with a total value of £200 million

Support services and construction company Carillion in a joint venture with
partners Ellis Don and The LPF Infrastructure Fund has reached financial close
in a project to build, finance and maintain the Sault Area Hospital in Ontario,
Canada.

The project is expected to generate combined construction and support services
revenues for Carillion of £92 million. In addition, Carillion will invest £3.5
million of equity (25% of the total equity investment) in the project, with this
investment funded from the Carillion Group's own resources.

Carillion, in partnership with Ellis Don, will construct the new three-storey,
289-bed acute care hospital, which will include rehabilitation, complex
continuing care and radiation treatment facilities, at a capital cost of £122
million. Carillion and Ellis Don will also provide facilities management
services worth some £79 million, over the course of the 30 year concession
period.

Commenting on the project, Carillion chief executive, John McDonough, said: 'We
are delighted to have achieved financial close for this major new hospital,
which will be our third private finance hospital project in Canada, and follows
the successful delivery of the Royal Ottawa Hospital and the William Osler
Hospital in Toronto.

'Developing our healthcare business in Canada through our ability to integrate
our private finance, support services and construction skills is a key part of
our strategy for growth.

'We look forward to working closely with the Sault Area Hospital to provide a
state-of-the-art hospital and the high quality facilities management services
necessary to support the delivery of first class healthcare.'

Notes to editors

Construction of the new hospital will be carried out by Carillion and Ellis Don
in a 30/70 partnership. Facilities management will be carried out by Carillion
and Ellis Don in a 70/30 partnership.

Carillion is a leading provider of integrated solutions for buildings,
infrastructure and services in the UK, with well-established international
businesses in the Middle East and in Canada and the Caribbean. As a FTSE 250
company with annual revenue in the region of £4 billion and around 50,000
employees, the Group delivers high quality, cost effective and sustainable
solutions using its wide range of skills and resources. Its key target markets
are building, defence, health, education and transport (rail and road
infrastructure), facilities management and support services for public and
private sector customers.

For further information contact

John Denning, Director Group Corporate Affairs 01902 316384




                      This information is provided by RNS
            The company news service from the London Stock Exchange