Statement re Award of ScotRail Franchise

11 June 2004

            FirstGroup plc Statement re Award of ScotRail Franchise            

FirstGroup plc today welcomed the announcement that the company is preferred
bidder to run the ScotRail franchise.

Chief Executive Moir Lockhead said: 'This is terrific news for us and our new
customers. We were the only Scottish company to be shortlisted and are very
proud to be given the opportunity to run Scotland's railways.

'We already have an excellent track record for improving train services and
look forward to doing the same in Scotland where we are a major bus operator
and are confident we can bring real integration benefits for passengers.

'We have comprehensive plans to develop Scotland's rail service and a real
enthusiasm to get started. This is very encouraging for us as a company.'

Contacts:

FirstGroup plc

Dean Finch, Commercial Director 01793 499412

Michael Mitchell, Corporate Communications Director 020 7291 0504

Stuart Bugg, Public Affairs Manager 020 7291 0514