Supreme Court financial close

Kier Group PLC
14 June 2007


                                                                    14 June 2007


         KIER REACHES FINANCIAL CLOSE FOR UNITED KINGDOM SUPREME COURT


Kier Group plc and the Ministry of Justice (MoJ) have reached financial close to
deliver the renovation of the new United Kingdom Supreme Court.


The £36.7m project will see Kier Group renovate the Middlesex Guildhall in
Parliament Square by March 2009.


Kier Property, Kier's development arm, is spearheading the project with Kier's
historic building refurbishment specialist, Wallis, acting as main contractor.


Contracts have now been signed and work has begun on site. The project will be
financed through a lease-and-leaseback arrangement where Kier's capital
construction costs and developer's profit will be met over a 30-year period. The
annual rent to be paid by MoJ to Kier will be £2.1m per annum, increasing at a
rate of 2.5% per annum, for a period of 30 years from completion of the works.


Kier Group chief executive John Dodds said: "We are delighted to have reached
financial close with the Ministry of Justice to deliver this flagship project.
The United Kingdom Supreme Court further demonstrates Kier's success of offering
a unique integrated property and construction approach to major developments. We
look forward to working with the Ministry of Justice in the coming months and to
completing this highly prestigious project."



                                    - ENDS -


For further information, please contact:


Kier Group plc
John Dodds, Chief Executive
Deena Mattar, Finance Director Tel: [phone]

Madano Partnership
Caroline Sturdy Tel: [phone]




                      This information is provided by RNS
            The company news service from the London Stock Exchange