Kier Regulatory News (KIE)

For release at 0700 hours on Tuesday 14 November 2017

KIER GROUP PLC

Kier appointed to Education and Skills Funding Agency's (ESFA) new £8bn construction framework

Kier Group plc ("Kier"), a leading property, residential, construction and services group, confirms that it has been awarded a number of places on the Education and Skills Funding Agency's ("ESFA") latest £8bn four-year construction framework.The new framework is divided into three value bands, with Kier being appointed on the two bands that it elected to bid. These cover:

· high-value projects worth more than £12.5m, in lots covering the north and south of England and;

· low-value projects up to £4.5m, comprising 12 regional lots across England.

The ESFA framework can be utilised by providers of educational services to deliver new educational facilities and replaces the ESFA's previous National and Regional Contractors Framework, on which Kier was a leading provider.This latest award reinforces Kier's position as a leading provider in the education sector. Kier has completed approximately £5bn of education projects in the past decade. Recent contract awards in the sector include the £25m Charter School project in East Dulwich and a £23m scheme to build a new 1,200-place school in Sheffield.

Kier Group chief executive, Haydn Mursell, said: "This award demonstrates the strength of our relationship with the Education and Skills Funding Agency and maintains our leading position in the education sector. We look forward to continuing our work with providers of educational services to deliver vital schemes under the framework."

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About Kier

Kier Group plc is a leading property, residential, construction and services group that invests in, builds, maintains and renews the places where we work, live and play. We operate across a range of sectors including defence, education, health, housing, industrials, power, transport and utilities. Listed on the London Stock Exchange, we are a constituent of the FTSE 250 Index.

With a head office at Tempsford Hall in Bedfordshire and a network of 88 UK offices, Kier offers national coverage across all of its core activities. Employing 20,000 people, with a turnover in excess of £4bn, Kier has the financial strength and technical expertise to undertake some of the most significant construction, civil engineering and service contracts in the country.