Further to Trading Update

Johnson Service Group PLC 08 November 2007 8 November 2007 Johnson Service Group PLC As has previously been announced, the Group is in the process of a restructuring programme which includes the proposed sale of three non-core businesses. However, the current trading position of these businesses has not been conducive to the execution of a successful sales process and the Board has no intention of selling any of these businesses at a value which the Board would not consider to be in the Group's interest. Consequently the Board now considers that there are limited prospects of receiving any sales proceeds in respect of these businesses during 2007. This combined with the lower than expected Group profits for 2007 and 2008, the subject of the announcement on 31 October 2007, means that it is the Board's expectation that the Company will breach the existing covenants in its banking agreement. The Board has informed its banks and is working constructively with them to reach an agreement. Close Brothers has been appointed by the Board to advise it in achieving this objective. The Group also announces that the budget process for 2008 suggests that profits for 2008 will be at a broadly similar level to those for 2007 which are in line with market expectations. The flat year on year performance reflects lower expectations in our Corporatewear division offset by improving performance at Stalbridge Linen Services. Enquiries Johnson Service Group PLC Charles Skinner, Chief Executive 07966 234075 020 7290 0382 Hudson Sandler Michael Sandler 020 7796 4133 Nick Lyon Fran Read This information is provided by RNS The company news service from the London Stock Exchange
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