Trading Statement

Rentokil Initial PLC
31 May 2001



         TRADING STATEMENT FOR THE FOUR MONTHS ENDING 30TH APRIL 2001



                   RENTOKIL INITIAL DELIVERS STRONG GROWTH

                        FOLLOWING MAJOR RESTRUCTURING



Sir Clive Thompson, Chief Executive of Rentokil Initial, said today:

'I am very pleased to report that following the major restructuring of the
Company last year, trading in the first four months of this year has been good
and ahead of our expectations with turnover in our continuing businesses up by
7.1% and operating profits for those businesses up by 9.0%.

Hygiene Services are up by 10.2% in turnover with a similarly strong growth in
operating profits being helped by excellent performances in Continental Europe
and sound growth in United Kingdom, Asia Pacific and Africa.

Turnover in Security Services increased by 3.9% with operating profits held
back by the one-off cost of restructuring our Belgian cash-in-transit
business, although elsewhere in Continental Europe trading was good. The
United Kingdom grew well, whilst improved manpower availability in USA helped
produce good growth in turnover and operating profits.

Pest Control Services increased turnover by 4.4% with good growth in operating
profits arising from excellent results in Continental Europe, Asia Pacific and
Africa and sound performances in United Kingdom and North America.

Tropical Plants Services are up by 32.5% in turnover, largely due to the
inclusion of a large US acquisition made in the second half of 2000.
Conversely, operating profits were held back by re-organisation and
integration costs and the inclusion of this acquisition's first half
loss-making branches. This last issue will be progressively corrected over the
next twelve months. Continental Europe showed strong growth in turnover and
operating profits with United Kingdom, Asia Pacific and Africa producing a
solid performance.

Conferencing turnover was up 14.9% with good growth in operating profits
slowed by the impact of FRS15 (which now requires the depreciation of listed
properties) and start up costs of new sites.

Parcels Delivery was up 29.4% in turnover with similarly strong growth in
operating profits: the result of winning new business and productivity
improvements obtained from our new distribution hub.

In Facilities Management, as previously reported, turnover in the first half
of 2000 included the remnants of two large contracts lost in 1999.
Consequently, we expected turnover to fall but this was restricted to 4.2%.
Improved margins led to operating profits only slightly lower than in 2000.
With the continuing success in winning new contracts we expect trading to
start to move ahead in the second half of 2001.

Cash generation has been in line with our expectations.

We have purchased 120 million shares this year, during the period 1st March
until today, at a cost of £236 million in our buy back programme, the bulk of
which was purchased in March.

Prospects for 2001

We expect the favourable trends exhibited in the first four months to broadly
continue throughout the year.

Our new business model introduced in the second half of last year has resulted
in strong improvements in management performance. This new model involves
revised budgeting procedures, new incentives, and a greater concentration upon
sales and service productivity using new technology. Increased geographic
density of customers, in order further to improve productivity, is a specific
priority. e-Business initiatives have been launched into service, sales and
procurement.

As a consequence, and despite the competitive pricing environment, these
actions, together with bolt-on acquisitions, are leading to accelerating
turnover growth and improved operating margin.

Our concentration on bolt-on acquisitions will continue to be directed towards
Hygiene and Security, primarily in North America, UK and Continental Europe.

We expect to generate strong free cash flow before acquisitions, dividends and
share buy-back.

Major changes in the Company in 2000 have led to this improving trading
performance which, when linked to the benefits to date of our share buy-back
programme, should produce strong earnings per share growth in 2001 over the
11.71p achieved in 2000.'

31st May 2001



Note:

The above statement is made based on unaudited management accounts and at
constant rates of exchange, these being the average rates of exchange for
foreign currencies for the year 2000 as used in the 2000 annual report.

                                     END





For further information please contact:

Sir Clive Thompson          Chief Executive

R C Payne                   Finance Director

C D Grimaldi                Corporate Affairs Director

Tel: [phone]