Re Joint Venture

Compass Group PLC 26 February 2001 26 February 2001 COMPASS GROUP PLC COMPASS GROUP SIGNIFICANTLY INCREASES PRESENCE IN MIDDLE EAST Compass Group PLC is pleased to announce that it is forming a joint venture company - ADNH Compass Middle East LLC - which will significantly increase its presence in the region, becoming a market leader. The joint venture is being formed by merging Compass Group's Middle East operations with that of United Emirates based foodservice company Abu Dhabi National Hotels (ADNH). The new company will offer foodservice management across a wide range of sectors including business and industry, education, healthcare, oil and gas onshore and offshore, defence, leisure, retail and airports. The Middle Eastern market* is estimated to be worth in excess of US$1.3 billion and is comparatively underpenetrated by foodservice operators. The total investment made by Compass Group is US$63.5 million and the new company will be led by Chief Executive, Jerome Marrel, previously Regional Vice-President, Compass Group Middle East and India. Miguel Ramis, Divisional Chief Executive, Compass Group, said: 'We are delighted to be joining forces with ADNH to form the major foodservice company in the Middle East. The market has huge potential and I am confident that our combined skills will enable us to increase our presence in all market sectors'. Michael J Bailey, Group Chief Executive, will be in Abu-Dhabi on 27 February 2001 to host the official launch of the new venture. * The Middle East market is defined here as including Saudi Arabia, UAE, Oman, Kuwait, Quatar, Iran, Syria, Bahrain and Jordan. Approximately 35% of the market is contracted out. Ends Enquiries: Cathi Lawrence Compass Group Tel: 01932 573 000 Nick Lyon / Wendy Baker Hudson Sandler Tel: 020 7796 4133 Notes to Editors: Compass Group is the largest foodservice group in the world, with over 250,000 employees providing catering for clients including major employers, educational establishments, hospitals, leisure venues, retail locations, motorway service areas and at major airports and stations throughout USA, Europe, Scandinavia and developing markets in Asia and South America. It operates through sector-specific subsidiaries such as Eurest, the world's largest specialist in providing foodservice to business and industry clients. The Group has increased turnover to over £7.3bn and now operates in over 80 countries world-wide. Website: www.compass-group.com
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