Serco signs Prison Contract in New Zealand

Serco signs Prison Contract in New Zealand valued at NZ$300m

1 February 2011

Serco Group plc (Serco), the international service company, announces today
that it has signed the prison management contract with the New Zealand
Department of Corrections to manage Mt Eden Corrections Facility in Auckland.

The contract signature follows the announcement in December 2010 that Serco had
been selected as preferred bidder for the ten-year contract which is valued at
around NZ$300m, approximately £140m. The full contract will commence in August
2011 and include: prison custodial management; security; prisoner welfare,
rehabilitation and reintegration programmes and activities; infrastructure
management; and logistics.

The prison is a multi-building facility that accommodates 966 male prisoners,
including both remand and sentenced prisoners, delivering a critical central
hub for the Northern Region of the New Zealand Department of Corrections. The
prison represents an essential facility for New Zealand's largest city,
Auckland.

As well as experience in managing prisons in the United Kingdom, Serco has
managed Acacia Prison in Western Australia since 2006 and Queensland's Borallon
Correctional Centre since 2008.

Ends -

For further information, please contact Serco:


Jill Sherratt, Interim Head of Investor Relations T: +44 (0)
 208 334 4122       
Dominic Cheetham, Director of Corporate Communications T: + 44 (0)
 208 334 4334       
Marcus De Ville, Head of Media Relations T: + 44 (0) 208 334 4388       

About Serco

Serco is a FTSE 100 international service company, which combines commercial
know-how with a deep public service ethos.

We improve essential services by managing people, processes, technology and
assets more effectively. We advise policy makers, design innovative solutions,
integrate systems and - most of all - deliver to the public.

Serco supports governments, agencies and companies who seek a trusted partner
with a solid track record of providing assured service excellence. Our people
offer operational, management and consulting expertise in the aviation, BPO,
defence, education, environmental services, facilities management, health, home
affairs, information and communications technology, knowledge services, local
government, science and nuclear, transport, welfare to work and the commercial
sectors.

For more information, visit www.serco.com