Re Contract

    Interserve Collars £60m Metropolitan Police Facilities Contract

Interserve has won a two-year extension, increased in scope, to its existing
five-year contract with the Metropolitan Police. The new contract will be worth
£60 million over the two years, representing an additional £5 million per year
on top of the current level of activity. It begins on 1st January 2004.

The new services to be provided are generally in managerial and technical
areas. They are:

* Statutory inspections and surveys

* Traffic census support

* Extended help-desk facility

* Cleaning service management

* Building management systems

* Reactive building fabric repairs

* Residential estate maintenance

These are in addition to the existing services:

* Planned/statutory and responsive building services maintenance

* Security access systems

* Special events support - incidents and planned

* Horticultural services

* Messenger services

* Security and property guarding

* Concierge

* Reprographics

Interserve will be responsible for services at headquarters buildings including
New Scotland Yard, at operational buildings including all 295 police stations
across 32 London boroughs, at training sites and radio sites and, as part of
the increased scope of the contract, on the residential estate. Thirty
employees will be transferred under TUPE to help carry out the additional
service requirements.

David Hill, Director of Facilities Management for the Metropolitan Police,
commented, "We've developed a partnership of trust with Interserve over the
last five years. The company has shown its commitment and its ability to
deliver a high level of service across our estate, which is why we're happy to
award this extended contract."



END