New Contracts

RNS Number : 8601J

Rotala PLC

08 April 2010

 



8 April 2010

Rotala plc

("Rotala" or the "Company" or the "Group")

 New Contracts and Other Service Enhancements

The Board is pleased to announce that the Group has recently been awarded a number of new contracts and additions to existing contracts by various customers.  The effect of these new contracts, in aggregate, is expected to be an increase in the annual revenues of Rotala of approximately £1.9 million.  

Bristol and Bath areas

The Company, through its wholly owned subsidiary Flights Hallmark Limited ("Flights"), has been awarded a number of contracts:

Ÿ          Bath & North East Somerset Council has awarded Flights three year contracts to operate routes 178 and 778 on the Bristol to Bath corridor commencing in March 2010 and expiring in April 2013. These contracts are expected to produce additional annual revenues of £120,000 for Rotala;

Ÿ          North Somerset Council has awarded Flights four and five year contracts, to operate services 121, 354 and 660 on the western side of Bristol as far as Weston-super-Mare, commencing in April 2010 and expiring in April 2014 and 2015. The revenues to be derived from these services are expected to be circa £440,000 per annum; and

Ÿ          South Gloucestershire County Council has awarded Flights a series of contracts of approximately three and a half years' duration to operate services 85 to 88 from April 2010 to August 2013. These services run on the east and north east sides of Bristol as far as Chipping Sodbury. The revenues to be derived from these services are expected to be circa £400,000 per annum.

Birmingham area

In Birmingham, through its wholly owned subsidiary Central Connect Limited, Rotala has been awarded a number of new contracts by Centro, the government organisation responsible for transport policy and planning in the West Midlands region. These contracts are largely of three and four years' duration. The principal of these is to operate the s2 and s3 services between Solihull and Coventry. In aggregate, these contracts, net of outgoing contracts in Centro's April 2010 tender round, are expected to result in additional revenues for a full year of circa £370,000.

Gatwick/Heathrow area

In this area Rotala, through its wholly owned subsidiary Flights Hallmark Limited, has been awarded two year contracts to provide staff transportation and hotel bus services to new customers which are expected to generate annual revenues of approximately £230,000.  

Finally in a variety of locations various current customers, including National Grid - Transco, have renewed contracts for up to two years, or extended existing arrangements. These service enhancements are estimated to generate net new revenues, on an annual basis, of approximately £340,000.   

John Gunn, Chairman of Rotala, commented "Our management is to be congratulated once again on achieving these further contract successes. These awards are a testament to our management strengths and to the consistently high quality and reliability of the services provided to our customers."

For further information please contact:

Rotala plc
John Gunn, Chairman	020 7621 5774
Simon Dunn, Chief Executive	0121-322-2222
	07825-808525
Kim Taylor, Group Finance Director	0121-322-2222
	07825-808529
Charles Stanley Securities - Nominated Adviser and Broker	020 7149 6000
Mark Taylor / Ben Johnston

 

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