Re Contract

Carillion PLC 31 January 2008 31 January 2008 Carillion joint venture appointed preferred bidder for £208 million Nottingham Building Schools for the Future contract Support services and construction company Carillion and its joint venture partners, The Local Education Partnership (LEP), has been appointed as the preferred bidder for the £208 million Nottingham Building Schools for the Future (BSF) programme. The LEP will deliver eight secondary schools in the current wave of the BSF programme, primarily through new build with some refurbishment and remodelling. In addition, there is potential to provide three new-build Academy Schools. Carillion will invest equity of around £2.25 million in the project. Work will begin in mid-2008 and will be completed by the end of 2010. The construction element of the contract is valued at £180 million and Carillion will also provide facilities management services for three of the new schools over the 25-year concession contracts, worth approximately £28 million. The LEP will also deliver further new schools for Nottingham City Council in subsequent waves of the BSF programme and may deliver other community and regeneration projects, subject to receiving the necessary approvals. Commenting, Carillion chief executive, John McDonough, said: 'We are delighted to have achieved preferred bidder status on our third project under the BSF programme, which we expect to be a strong growth market for the Group, reflecting our ability to use our wide range of skills and resources to provide fully integrated solutions. 'Nottingham City Council is a leader in sustainability among local authorities and Carillion's strength in developing sustainable solutions was an important factor in our success. Working in partnership with Nottingham City Council, we have created a vision for this project to meet the high standards of sustainable development set by the City Council. For example, for new-build schools bio-diesel combined heat and power technology will enable up to 70% of their energy requirements to be generated on site from renewable sources.' -Ends - Notes to editors The Local Education Partnership comprises Nottingham City Council, Partnerships for Schools, Carillion and Royal Bank of Scotland. Nottingham City Council and Partnerships for Schools will each provide 10% of the equity, with the remainder being provided by Inspiredspaces, a joint venture between Carillion (40%) and Royal Bank of Scotland (40%). Carillion plc is one of the UK's leading support services, construction and Public Private Partnership project companies. The Group has annual revenue of around £4bn, employs over 40,000 people and operates across the UK, in the Middle East, Canada and the Caribbean. In the UK, Carillion has eight principal market sectors - Education, Defence, Health, Building, Facilities Management and Services, Roads, Rail and Civil Engineering. In the Middle East, the Group's two principal market sectors are Construction and Facilities Management. In Canada and the Caribbean, the Group's main sectors are Health, Roads Maintenance and Construction. The Group is a leader in Public Private Partnership projects, particularly in the Defence, Education and Health sectors in the UK and in the Health sector in Canada. Carillion's education portfolio includes the South Tyneside and Gateshead BSF project, which reached financial close in December 2007, the Nailsea School BSF which achieved preferred contractor in January 2008, and 39 other schools provided under Public Private Partnership projects. This and other news releases relating to the Group can be found at www.carillionplc.com. For further information contact John Denning, Director Group Corporate Affairs, Carillion plc 01902 316426 This information is provided by RNS The company news service from the London Stock Exchange

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Carillion (CLLN)
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