Trading Statement

Galliford Try PLC
09 January 2007




                                GALLIFORD TRY PLC 

                                  TRADING UPDATE

Galliford Try plc, the construction and housebuilding group, is providing the
following update to trading for the half year to 31 December 2006.

Key Highlights

-         Excellent first half trading with half year results expected to be
          strong and in line with the board's expectations.

-         Construction order book maintained at £2.3 billion.

-         Award of £79 million Whitelee wind farm project - Europe's biggest
          onshore windfarm.

-         Housebuilding achieved half year records:

          - Completions of 593 units (2005: 484 units)
          - Sales in hand for the full year of £197 million (2005: £158 million)
          - Land bank of 4,818 units (2005: 2,455)

-        Secured preferred development partner status for 553 homes on
         regeneration sites with English Partnerships.

-        Good construction cash flows - cash in hand at 31 December 2006.

Outlook

The Group is trading strongly. It has had an excellent first half and expects to
report strong half year results in line with the board's expectations. The
operations acquired with Morrison Construction and Chartdale Homes last year
have both been successfully integrated into the Group and are performing well.
Our construction divisions continue to generate good cash flows.

Based on the existing market fundamentals continuing, and our proven business
model, we are increasing our investment in housebuilding and are well placed to
achieve our targets for the full year to 30 June 2007.

The board is confident of its prospects for the full year.

Operations

The building division continues to secure quality opportunities in its chosen
markets of education, commercial, health, interiors and leisure. We have a
strong track record in a buoyant south east market and recent awards include two
projects for Marks and Spencer totalling £34 million, a fifth contract for
Travelodge, worth £11 million and a £7 million office development for Morley
Fund Management in London. In the north west of England we have secured a
further £15 million of health centre and community hospital work under the Local
Improvement Finance Trust (LIFT) framework. Work is progressing well on our £192
million, 41 school PFI project in Northamptonshire, and our £134 million, 11
school PFI project for the Highlands Council in Scotland.

Our Infrastructure division continues to benefit from its significant market
presence in water, highways, rail, ground remediation, engineering and renewable
energy. We have commenced work on our substantial remediation contract at
Olympic Park in east London, and are on site at our £79 million contract to
construct Europe's largest wind farm at Whitelee, south of Glasgow. We are
developing our highways business with projects delivered through the Highways
Agency's 'Early Contractor Involvement' schemes and are on site this month with
the £24 million Parton to Lillehall project.

Affordable housing and regeneration projects, where we can bring both our
contracting and housebuilding skills to a project represents an increasing
source of longer term work. We have been appointed preferred development partner
for another English Partnerships scheme, with the English Cities Fund, at
Millbay on the Plymouth waterfront for 123 homes and associated office space
which is due to commence in late spring 2007. We announced in December our
preferred bidder status for English Partnerships' 430 homes Turner Village
scheme in Colchester with work expected to commence on site in late summer 2007,
and earlier in 2006 secured a 390 homes scheme in Camborne.

Our Investments division is working toward financial close on the £100 million
south east Essex LIFT and is progressing other private finance initiative
opportunities at earlier stages in both England and Scotland.

Our housebuilding division has maintained good sales rates throughout the first
half of our financial year and completions were up 23% on last year at a record
593 units on an average selling price of £221,000, compared to £203,000 a year
ago. The division has currently reserved, contracted or completed sales with a
record value of £197 million, a 25% increase on last year, which secures a
significant proportion of our targeted sales for the year to 30 June 2007.
Achieving our growth targets depends on increasing the number of sites in our
land bank. We have made a number of good quality site acquisitions across all
our regions and at 31 December 2006 our land bank stood at a record 4,818 units
compared to 2,455 last year and 4,022 on 30 June 2006.

Interim Results

The Company's interim results for the half year to 31 December 2006 are expected
to be announced on Thursday 22 February 2007.



Further enquiries to:

Greg Fitzgerald, Chief Executive   Galliford Try plc                     01895 855219
Frank Nelson, Finance Director     Galliford Try plc                     01895 855226
Ann marie Wilkinson/Geoff Callow   Bell Pottinger Corporate & Financial  020 7861 3232





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