Serco signs significant environmental services ...

Serco signs significant environmental services contract

26 February 2008

Serco Group plc (Serco) today announces that it has signed a significant
environmental services contract with the London Borough of Hammersmith and
Fulham. The contract is for seven years with an option to extend for a further
seven, and is valued at around £140m over the full 14 years. The contract
commences in May 2008.

Serco will provide innovative waste and recycling collection and transfer for
household and commercial waste, as well as street cleansing services. Residents
will benefit from synchronised street cleansing and collection of refuse and
recycling, programmes to prevent littering and other environmental issues, and
a new street cleansing model based on understanding patterns of street use so
that cleansing operations can be effectively targeted.

Serco will also introduce technology and environmental innovations. The number
of vehicle miles travelled will be reduced, electric vehicles for street
cleansing will be piloted and GPS cameras provided to community champions to
identify problem areas.

Christopher Hyman, Chief Executive of Serco, said: "This is an important win
for us and we are delighted to have been chosen by Hammersmith and Fulham. We
look forward to delivering a high quality service which enhances the local
environment for residents."

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Notes to Editors

Serco is an international service company which combines commercial know-how
with a deep public service ethos. Serco improves services by managing people,
processes, technology and assets more effectively in the local government,
health, education, home affairs, science, nuclear, technology, defence,
transport and commercial sectors

Serco advises policy makers, designs innovative solutions, integrates systems
and delivers to the public. More information can be found at www.serco.com.

For further information please contact Serco:

T [phone]

Richard Hollins, Head of Investor Relations

Dominic Cheetham, Director of Corporate Communications