Breedon Regulatory News (BREE)

25 January 2016

Breedon wins £10m contract to supply

first stage of £3bn dualling of A9

Breedon Aggregates ("Breedon"), the UK's largest independent aggregates business and Scotland's leading independent building materials company, has been awarded a contract valued at up to £10 million by Wills Bros John Paul JV Limited to supply drystone, ready-mixed concrete and asphalt to the £35 million first stage of the A9 dualling project between Kincraig and Dalraddy south of Aviemore.

The five-mile stretch incorporates five new structures, numerous side roads and accesses to local estates. It is the first stage in a £3 billion project to transform 80 miles of single carriageway to dual carriageway between Inverness and Perth by 2025.

Breedon is investing heavily in its Meadowside quarry near Kingussie to service the contract and ensure that supplies to its existing customers in the area are unaffected. The company is erecting a new high capacity concrete plant and a Benninghoven mobile asphalt plant at the quarry, immediately adjacent to the project, to produce the asphalt and concrete thus reducing the environmental impact of truck movements for the project.

Breedon will supply substantial quantities of drystone, along with approximately 25,000 cubic metres of concrete and around 100,000 tonnes of asphalt to the project. Work is due to begin later this year and will continue through into 2017.

Commenting on the contract Alan Mackenzie, Breedon Scotland's chief executive, said:  "This contract underpins our order book for the current year and secures a significant amount of work for our Meadowside quarry over the next 12-18 months.

"The A9 is the main route between north and south Scotland, but has been hampered for many years by long stretches of single carriageway. We're delighted to be playing our part in reducing future journey times on this critical artery and making it a much safer road to drive on in years to come.

"We look forward to supporting Wills Bros John Paul JV Limited and this will also allow Breedon to create great opportunities for employment in the local area on this prestigious contract."

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Enquiries:

Breedon Aggregates Limited

Alan Mackenzie, Chief Executive, Breedon Aggregates Scotland 01382 537600

Stephen Jacobs, Head of Communications 07831 764592

Cenkos Securities plc (Nomad and joint broker) 020 7397 8900

Max Hartley/ Ian Soanes

Peel Hunt LLP (Joint broker) 020 7418 8900

Justin Jones/ Mike Bell

Note to Editors

Breedon Aggregates is the UK's leading independent aggregates business after the four global majors and the largest independent building materials company in Scotland, employing around 700 people in 38 quarries, 17 asphalt plants and 36 ready-mixed concrete plants stretching from Stornoway in the north to Stranraer in the south.

In November 2015 Breedon announced its intention to acquire Hope Construction Materials Limited for £336 million. The acquisition is expected to complete in the second quarter of 2016, creating the UK's largest independent building materials group with one of the country's largest cement plants, nearly 60 quarries, more than 200 ready-mixed concrete plants and around 750 million tonnes of mineral reserves and resources in England, Scotland and Wales.

W: www.breedonaggregates.com