Re Contract

Carillion PLC
15 November 2005



15 November 2005

Carillion signs Housing Prime Contract worth around £690m


A joint venture led by support services and construction company Carillion has
been awarded a contract worth in the region of £690 million with Defence Estates
to maintain and upgrade Ministry of Defence family accommodation.

MODern Housing Solutions (MHS), comprising Carillion with a 50% stake, Atkins
(25%) and Enterprise (25%), will be responsible for maintaining and upgrading
45,000 properties in England and Wales over a seven-year period, with the
potential for a three-year extension.

Mobilisation is in progress with full service delivery beginning in March 2006.

Commenting on the appointment, John McDonough, Carillion's chief executive said:
'Government's outsourcing of support services is a major growth market and
Defence is one of our key target sectors. This is our second major success in as
many weeks, having signed the £500 million Regional Prime Central contract on
3rd November.

'We look forward to working with the Defence Estates and are committed to
offering an excellent service for the families living in these properties, by
focusing on customer care, quality and value for money.'

Admiral Peter Dunt, the Chief Executive of DE, said, 'Today's signing of the
Housing Prime Contract (HPC) concludes a period of very positive dialogue during
MHS' Designated Contractor phase. I am confident that my HPC team and MHS will
build on the constructive collaborative relationships now established, and
through these we will achieve the expected improvements, both in service and
value for money across the SFA estate in England and Wales.'

Notes to editors

Carillion
Carillion is a leading provider of integrated solutions for buildings,
infrastructure and services. As a FTSE 250  company with a turnover of around £2
billion and over 19,000 employees, the Group delivers high-quality, cost-
effective  and sustainable solutions using its wide range of skills and
resources. Carillion's key target markets are health,  transport (road and rail
infrastructure), building, facilities management and support services for public
and private  sector customers.

Atkins
Atkins, plans, designs and enables the delivery of complex infrastructure and
buildings for clients in the public and  private sectors across the World. They
are the largest multi-disciplinary consultancy in Europe, the largest 
engineering consultancy in the UK and the seventh largest design firm in the
World.

Enterprise
Enterprise is a support services company operating in the utility, local
authority and public sector markets. In  utilities it provides maintenance
services to support the distribution infrastructure for the telecommunication,
gas,  water and electricity industries. Its public sector work includes
streetscene and grounds maintenance, building  maintenance and the provision of
consultancy and management services throughout the UK.


For further information, please contact:

Carillion
John Denning, Director of Group Corporate Affairs
Tel: [phone]



                      This information is provided by RNS
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