Result of Rights Issue, etc

FIRSTGROUP PLC
13 August 199


Not for release, publication or distribution in or into the
United States, Canada, Australia, the Republic of Ireland or
the Cayman Islands

                       FirstGroup plc
                              
 Result of 1 for 4 rights issue of Stock Units to raise
               approximately £238 million
------------------------------------------------------------
            Result of sub-underwriting tender 
             ---------------------------------
            
FirstGroup plc ('FirstGroup') announces that valid
acceptances have been received in respect of 67,306,125
units of convertible unsecured loan stock in FirstGroup
Acquisition Limited ('Stock Units'), representing
approximately 77.8 per cent. of the Stock Units to be issued
by FirstGroup Acquisition Limited pursuant to the rights
issue announced on 22 July 1999 in connection with the
proposed acquisition of Ryder Public Transportation
Services, Inc. ('Ryder').

Warburg Dillon Read and Cazenove & Co., the joint brokers to
FirstGroup, have procured subscribers for the 19,164,122
Stock Units in respect of which valid acceptances had not
been received at 288p per Stock Unit. In accordance with the
terms of the rights issue, the premium over the issue price
of 275p per Stock Unit (after deducting the expenses of
procuring such subscribers) of approximately 12.4p per Stock
Unit will be paid to the allottees who had not taken up
their entitlements pro rata, except that individual amounts
of less than £3.00 will not be paid to such persons but will
be retained for the benefit of FirstGroup.

The ultimate conversion of the Stock Units into new
FirstGroup Ordinary Shares is conditional upon permission to
list the new FirstGroup Ordinary Shares having been granted
by the London Stock Exchange and completion of the
acquisition of Ryder which is itself conditional, inter
alia, on the approval of the shareholders of FirstGroup
which will be sought at an Extraordinary General Meeting of
the Company.  If the acquisition of Ryder is not completed,
the Stock Units will be repaid at the issue price of 275p
per Stock Unit with interest.  A circular will be sent to
shareholders containing, inter alia, an accountants' report
on Ryder and notice of the Extraordinary General Meeting.
This audit process is progressing and, as previously
anticipated, the Directors expect that the circular will be
sent to shareholders in the week commencing 23 August 1999.

The latest time for registration of renunciation of fully
paid allotment letters is 3.00 p.m. on 26 August 1999.
It is expected that definitive certificates for the Stock
Units will be despatched to holders of Stock Units in
September 1999 unless the Stock Units have not already been
ultimately converted into new FirstGroup Ordinary Shares by
that time.

It is also announced that the sub-underwriting tender
conducted on 21 July 1999 resulted in an
average rate of sub-underwriting commission
of 1.181 per cent.
Press Enquiries:
---------------

Mike Mitchell       Director of Corporate    0171 291 0504
                    Communications,          or
                    FirstGroup               0370 647353

Robert Jennings     Warburg Dillon Read      0171 567 8000
Jim Renwick         Warburg Dillon Read      0171 567 8000

John Paynter        Cazenove & Co            0171 588 2828
Malcolm Moir        Cazenove & Co            0171 588 2828