Acquisition

Balfour Beatty PLC
4 January 2001


BALFOUR BEATTY INCREASES ITS STAKE IN CONNECT ROADS LTD
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Balfour Beatty plc ('Balfour Beatty') and WS Atkins plc ('WS Atkins') have
jointly acquired the Philipp Holzmann shareholding in Connect Roads Ltd, the
Company established by Balfour Beatty, WS Atkins and Philipp Holzmann to win
projects for privately financed road projects.

With the A50 Stoke-Derby and A30/A35 Exeter-Honiton-Bere Regis roads both
successfully completed, it is an appropriate time for the UK shareholders to
increase their interest in Connect, which is now owned Balfour Beatty 68%, WS
Atkins 32%.

Connect has pre-qualified for two further privately financed road projects,
the A1(M) Darrington to Dishforth (with Macquarie Infrastructure Group) and
the A92 upgrading in Angus.  Bidding for both projects will commence during
2001.

Mike Welton, Chief Executive of Balfour Beatty plc, commenting on the
transaction, said:

'We have confidence in the future of the UK DBFO road market and hope to
continue to grow our portfolio in that sector, which also includes a separate
50% interest in the A1/M1 Link Road in Yorkshire.

'We are pursuing new opportunities not only in roads but also in education,
healthcare and rail transport and anticipate continuing growth in the long-
term value of our current portfolio of 11 privately financed projects.'


Enquiries to:-
Tim Sharp
Tel: [phone]