Pref. Bidder Norwich Schools

Kier Group PLC
27 July 2005


                                                                    27 July 2005


                        KIER NAMED PREFERRED BIDDER FOR

                     £75M NORWICH AREA SCHOOLS PFI PROJECT

Kier Group, in partnership with Dexia Public Finance Bank, (Academy Services)
has been named preferred bidder to provide five new primary schools and to
extend and refurbish one high school for Norfolk County Council under a £75m
private finance initiative (PFI) project.


The Kier project team comprises PFI specialist Kier Project Investment,
contractor Kier Eastern, and facilities management subsidiary Caxton as service
provider for the 25-year term.  The construction element of the project is
valued at £37m.


Kier Group chief executive John Dodds commented: "We are delighted to have been
announced preferred bidder on this exciting new project for Norfolk County
Council.  With much experience in the education field we are keen to demonstrate
how well the Kier Group companies work together to add value and deliver first
class schemes."


                                    - ENDS -


For further information, please contact:


Deena Mattar
Kier Group plc                   Tel: [phone]


Caroline Sturdy
Madano Partneship                Tel: [phone]


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