Statement re Proposal from Sandell Asset Manage...
11 December 2013
FIRSTGROUP PLC
(`FirstGroup' or `the Group')
Statement re: PROPOSAL FROM SANDELL ASSET MANAGEMENT
The Board of FirstGroup plc ("FirstGroup" or "the Group") notes the recent
press speculation and confirms that it has received a proposal from Sandell
Asset Management ("Sandell") outlining its rationale for seeking strategic
changes to the Group, namely a separation of the Group and asset disposals.
The Board is open to all means of enhancing long-term value and welcomes the
views of the Group's shareholders. The Group has engaged with Sandell several
times, reviewed their proposal in detail and believes that it is not compelling
and contains a number of structural flaws and inaccuracies.
The Board believes that the current multi-year programme that was set out in
May, with clear objectives to improve growth and restore a profile of
consistent returns and cash generation, will deliver superior value for
shareholders compared to alternatives that were considered in detail earlier
this year, and which remain under review. Consequently, we remain focused on
the vigorous execution of our strategy.
As previously indicated FirstGroup will be holding a Capital Markets Day on 23
January 2014 where we will be joined by John McFarlane, our new Chairman, as we
review our programme in further detail.
Contacts at FirstGroup:
Rachael Borthwick, Group Corporate Communications Director, Tel: + 44 (0) 20
7291 0507
Contacts at Brunswick PR:
Michael Harrison / Andrew Porter, Tel: +44 (0) 20 7404 5959
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