Re Contract

Carillion PLC
24 June 2003

Carillion Rail chosen by Network Rail as a preferred bidder for track renewals
contracts estimated to be worth around £450 million

Carillion, the UK's leading construction and business services company, has been
appointed a preferred bidder to share Network Rail's five year track renewals
programme, worth in total around £2.5 billion, for the UK rail infrastructure.

Carillion Rail, which anticipates its share of work will be worth around £90
million per annum, is a preferred bidder for plain line track renewal contracts
in the Network Rail Midlands region and switch and crossing installation
contracts in the Midlands/North West region and the Great Western region.  In
addition, there will be options for the contracts to be extended for a further
five years.

Carillion Rail managing director Paul Kirk, said, 'The awards re-affirm
Carillion's position as one of the UK's leading rail businesses.  The contracts
will involve new methods of working to ensure more efficient delivery of
renewals, at the same time helping Network Rail achieve its goal of reducing and
controlling costs, whilst delivering a safe and efficient railway.'

The plain line contracts are for the replacement and renewal of life expired
sections of track measuring between 100 metres and 3,000 metres, whilst switch
and crossing contracts are for replacement and renewal work at junctions.

Carillion Rail

Carillion Rail, based in Birmingham, is now an established market leader in the
UK with maintenance contracts for over 20 per cent of the UK's heavy rail
network.  It is also a leading provider of rail renewal and enhancement
projects, together with a comprehensive range of design and consultancy services
spanning all aspects of rail construction and maintenance.

Carillion Rail is well positioned to benefit from continuing high levels of
expenditure on maintenance and from planned investment to upgrade the UK rail
network, particularly the £9.9 billion programme for the West Coast Mainline.

For further information

John Denning, Director Group Corporate Affairs  01902 316426

John Davies, Corporate Communications Manager  01902 316444






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