Acquisition

Scottish & Southern Energy PLC
17 January 2005

17 January 2005



SCOTTISH AND SOUTHERN ENERGY ACQUIRES 'BPS' - ELECTRICAL CONTRACTING FIRM



Scottish and Southern Energy plc ('SSE'), has completed the acquisition from
Alfred McAlpine Utility Services SE Ltd, of the assets of its Business Power and
Systems operation ('BPS'), the electrical contracting operation of what was
previously Eastern Contracting.



The transaction has a total value of around £3 million deferred cash
consideration, which includes work in progress, assets, debtors and goodwill.



SSE's Chief Executive Ian Marchant said: 'Eastern Contracting will complement
our existing businesses very well. It has a similar background and business to
SEC and, as part of our contracting group, will have significant potential to
expand. The acquisition is, therefore, a useful step forward for our contracting
business and for SSE as a whole.'



The business is based in Bury St Edmunds, with offices in Colchester,
Peterborough, and Welwyn and will now trade as Eastern Contracting.  Included in
the acquisition is its high voltage business based in Bridgend, South Wales. The
business being acquired by SSE has an annual turnover of £12 million and employs
around 200 staff.



The acquisition will expand SSE's contracting group further. It already
comprises Southern Electric Contracting (SEC), which also trades as Hydro
Contracting in the north of Scotland and SWALEC Contracting in Wales, plus
Thermal Transfer, and employs over 3,000 engineers, electricians, pipe fitters
and support staff throughout the UK, operating from more than 40 regional
offices.



SSE's contracting group has four main areas of activity: industrial, commercial
and domestic mechanical and electrical contracting; electrical and
instrumentation engineering; street and highway lighting; and specialist
contracting for the turnkey design, build and refurbishment of facilities
requiring a 'controlled' environment.




For Further information contact:

Alan Young Director of Corporate Communications                   0870 900 0410

Denis Kerby IR and Media Relations Manager                        0870 900 0410




                      This information is provided by RNS
            The company news service from the London Stock Exchange