1 Nov 2001

Services Group, Interserve Plc, is pleased to announce that it has reached financial close on the Southampton Schools privately financed project.

In addition to arranging the finance and taking an equity stake, Interserve, through its in-house companies, will provide the full range of services from building and engineering services to facilities management services. These services will provide Interserve companies with some £62 million of future turnover.

The project consists of building three new secondary schools and the facilities services for them over the next 28 years. Work is due to start on the new schools in November 2001.

Interserve Chairman, Mike Bottjer, commented:

'We are most pleased to have been chosen by Southampton City Council and look forward to working with them on this significant project. This project further illustrates Interserve's ability to add value for its customers through the provision of a seamless service from within its in-house operations and will be an important addition to Interserve's substantial and fast growing portfolio of PFI projects.'