Speedy Hire Regulatory News (SDY)

27 March 2013

Speedy Hire Plc

('Speedy' or 'the Group')

Speedy Hire Plc - Multi-year contract win with National Grid

Speedy Hire Plc ("Speedy", the "Group"), the UK's largest provider of tool and equipment for hire with a growing presence supporting its customers in the Middle East, is pleased to announce that its UK & Ireland Asset Services division has entered into a contract with National Grid to provide hired plant and equipment under a 'Managed Services' agreement, worth up to £6m per annum.

The contract is for an initial period of three years* with mobilisation from 1 April 2013. Under the terms of the contract Speedy will act as National Grid's managing agent in order to supply and coordinate all hired plant and equipment requirements for carrying out work on its gas and electricity networks. The contract will be fulfilled through utilisation of both Speedy's own fleet and through sourcing, co-ordination and management of third party service providers.

The contract will see a phased mobilisation. During the first twelve months the principal activity will be to carry out an initial audit of National Grid's hire requirements, its network and in-house hire fleet, which are currently in place to meet these needs. The contract will involve a gradual transfer of activity which is expected to reach peak transition levels in about eighteen months, with a second potential phase focused on taking over the management of National Grid's own assets.

This contract win for Speedy is a further illustration of the success of the Group's stated strategy of focusing on major contracts, with national scale and multiple equipment and asset management requirements. Further, whilst agreements with the major contractors remain an important part of the business, this contract also demonstrates the expansion of Speedy's traditional target market through the ability to engage and secure business directly from end clients.

Commenting on the contract award:

Dave Angell, Global Procurement Senior Category Manager of National Grid, said "The contract with Speedy will help National Grid drive further efficiencies across our UK business as we implement sustainable, innovative and affordable energy solutions for the future."

David Harris, Commercial Director, UK of Speedy, said "We are delighted to have been awarded this contract to manage the provision of hired plant and equipment for National Grid. This was secured after a rigorous tender process assessing not only value for money, but also the quality and breadth of Speedy's managed services offering across a large number of criteria including operating systems, management processes, SHEQ# and service capability."

Steve Corcoran, CEO of Speedy, said "The Board's strategy remains focused on generating high quality, secure, long-term and transparent earnings across the Group. Speedy has established itself as the clear market leader in rental services for large volume users such as National Grid and Zadco who don't just want to hire an asset, but want an end-to-end managed services solution that delivers the highest level of service and helps them manage risk."

For further information:

Notes to Editors:

*Contract is for an initial 3 years with the option to extend for another 2 years.

# Safety, Health, Environment and Quality

National Grid is an international electricity and gas company and one of the largest investor-owned energy companies in the world. In the UK it runs systems that deliver gas and electricity across the entire country. National Grid's vision is:

"The creation of new sustainable energy solutions for the future - and the development of an energy system that can underpin our economic prosperity in the 21st century."

About Speedy Hire:

Founded in 1977, Speedy is the leading UK provider of equipment rental and support services to a wide range of clients across the construction, infrastructure, industrial, manufacturing and facilities management sectors - as well as to local trades and industry.

Operating from 268 fixed sites - together with a number of on-site facilities at client locations throughout the UK, Ireland and from an international hub based in the Middle East - the Group supplies a range of services including:

The Group also provides associated services through the provision of training, asset management and testing, repair, inspection and maintenance (TRIM).

Speedy is accredited nationally to ISO9001, ISO14001 and OHSAS18001. In addition we nationally hold HAE SAFE Hire accreditation, as well as Achilles Link-up, UVDB, Building Confidence and F-Pal. Further accreditations include Constructionline, SAFEcontractor, CHAS, LEEA and BITC Gold Award for CR Index 2012.