Interserve Regulatory News (IRV)

INTERSERVE AWARDED £230 MILLION

DEFENCE INFRASTRUCTURE ORGANISATION CONTRACT

International support services and construction group Interserve has been awarded a five-year contract worth approximately £230 million, including additional works, with the Ministry of Defence's (MoD) Defence Infrastructure Organisation (DIO) to provide facilities services to the United States Air Force's UK estate.

The Prime Contract - called United States Forces Prime (USFP) - combines four existing facilities support contracts, which cover the six United States Air Force (USAF) main bases in the UK and their associated satellite sites. Interserve will provide a combination of total facilities management and engineering services maintenance for three operational wings of the USAF:

· 48th Fighter Wing

· 100th Air Refuelling Wing

· 501st Combat Support Wing

The five-year partnership begins in November 2016. Many of the sites Interserve will manage have outsourced support services previously, but this is the first time that the USAF estate will be managed by a single provider. This amalgamation of contracts is designed to drive greater efficiencies, allow flexibility to accommodate changes in estate requirements and funding in the future, while providing vital support to US Air Force military operations and training.

Adrian Ringrose, chief executive of Interserve, said:

"We have a long-standing and highly successful relationship with the Ministry of Defence and the Armed Forces, and have proven our ability to deliver integrated support services efficiently and cost-effectively across a diverse military estate.

"Bringing the United States Air Force's facilities management under a single arrangement is a significant undertaking, but one which will undoubtedly deliver real synergies and greater flexibility for our client. We look forward to expanding our longstanding partnership with the Defence Infrastructure Organisation and to building a strong relationship with the US Air Force."

Interserve has a long history of partnership with the DIO, providing a wide range of facilities management services and managing projects, for the:

· UK military training estate, equivalent to more than one and a half per cent of the UK's land surface

· Permanent Joint Operating Bases in Cyprus, Gibraltar, The Falkland Islands and Ascension Island

· Royal Naval bases in Portsmouth, Gosport, Dartmouth, Plymouth and Torpoint

· Ministry of Defence establishments in Corsham and Lyneham

· Defence Sixth Form College in Loughborough.

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For further information about Interserve, please contact:

Richard Campbell / Michael Kinirons 0203 219 8816

CNC Michael.Kinirons@cnc-communications.com

Rhys Jones 01189 60 2285

Group PR Manager, Interserve rhys.1.jones@interserve.com

About Interserve

Interserve is one of the world's foremost support services and construction companies. Our vision is to redefine the future for people and places. Everything we do is shaped by our core values. We are a successful, growing, international business: a leader in innovative and sustainable outcomes for our clients and a great place to work for our people. We offer advice, design, construction, equipment, facilities management and frontline public services. We are headquartered in the UK and listed in the FTSE 250 index. We have gross revenues of £3.6 billion and a workforce of circa 80,000 people worldwide.

Website: www.interserve.com

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