Amey wins Cumbria Highways contract valued at £300 million

Amey, the support services specialist, is pleased to announce that contracts have been signed in respect of the Company’s £300 million strategic partnership with Cumbria County Council to deliver highways maintenance and other related services to the region.

Under the terms of the seven-year contract, which is due to commence on 1 April 2005, Amey will be responsible for the maintenance of approximately 7,700 kilometres of highway, 1,700 bridges and 44,000 streetlights; all of which will involve the transfer of 400 employees from Cumbria County Council's Contract Services Construction Unit to Amey. This transfer will also encompass engineering laboratory services, environmental design and the management and maintenance of 1,000 vehicles and items of plant and equipment, together with grounds maintenance and sign manufacturing.

The strategic partnership with Amey is a significant element of the Council’s “Invest to Save and Improve” programme (“ISI”). This programme is designed to significantly improve services and, where appropriate, secure financial benefits for the Council and local taxpayers. Benefits will include significant financial savings over the life of the contract, together with improved highways maintenance delivery for communities and taxpayers throughout the Cumbrian region.

Mel Ewell, Chief Executive of Amey, commented: "We are delighted to have secured this prestigious contract. We look forward to working in close partnership with Cumbria County Council over the ensuing years during which we will combine our respective skills and expertise to provide first class services for the residents of Cumbria."

He added: “Today’s news comes hard on the heels of Amey’s completion of the deal to increase its stake in Tube Lines. We have had a very positive start to 2005 and look forward to building upon our achievements.”

Tim Stoddard, Leader of Cumbria County Council, commented: "Cumbria County Council is now able to continue with its drive for improved, modern highways services to the community and, at the same time, provide better value for money to the people of Cumbria. This will involve significant capital investment in the business and improved job security and prospects for employees. As a County Council we will work closely with Amey and our strategic partner Capita to ensure a smooth transition for the new arrangements."

Notes to Editors:

1. Amey is a leading provider of integrated business and infrastructure services to the public and private sector and is working closely with central and local government to develop major projects, including PFI and PPP projects, in the education, health, transport and defence sectors. Services range from the management of large scale transportation infrastructure to the delivery of professional and back office services, all of which are underpinned by leading-edge technology and a genuine partnering philosophy.
2. Amey Infrastructure Services Limited (“AIS”), a division of Amey PLC, is the operating division that will form the strategic partnership with Cumbria County Council. AIS focuses on the provision of comprehensive end-to-end service solutions, on a national basis, to a wide range of infrastructure clients. AIS brings together the strengths and capabilities of Amey Highways, Amey Rail and Amey Fleet Services into a single integrated organisation. The new organisation is structured to deliver services through five business streams: § Professional Services § Strategic Highways § Rail § Local Government § Operational Services.
3. AIS is the UK’s leadi

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