Pre-Close Trading Statement

Shanks Group PLC 30 March 2005 30 March 2005 Company Announcement Shanks Group plc Pre-Close Period Trading Statement Shanks Group plc, a leading European waste management company today issues the following pre-close statement. The Group's preliminary announcement of the results for the year to 31 March 2005 will be made on Thursday 2 June 2005 at 7.00am. The Group is pleased to announce that trading for the year ending 31 March 2005 will be in line with expectations. Following the recent restructuring of the UK business its performance continues to improve although hazardous waste operations remain challenging. As previously highlighted numerous regulatory and fiscal changes are reshaping the UK market particularly for long term municipal contracts. Best and Final Offers have recently been submitted for the 25 year PFI contracts at Central Berkshire and Gloucestershire. The outcomes of these bids are scheduled for early 2005/6. Overall, the European operations continue to perform robustly although economic conditions remain flat. The Group has been reviewing with its actuaries the effect of the UK landfill disposal on the Group's defined benefit pension scheme (Scheme). It has been decided to make a £10m cash payment into the Scheme, being the actuaries' best estimate of that portion of the Scheme deficit which relates to the disposed UK landfill businesses. This cash payment will increase bank debt but will not affect current year profits as the existing pension charge already recognises the overall Scheme deficit. As a result the Group's continuing businesses should not now be encumbered by liabilities relating to the disposed businesses. Ends For further information contact: Michael Averill, Group Chief Executive David Downes, Group Finance Director Shanks Group plc, telephone +44 (0) 1628 524523 www.shanks.co.uk Ginny Pulbrook, Executive Director Fiona Bradshaw, Associate Director CDR, telephone +44 (0) 207 282 2945 This information is provided by RNS The company news service from the London Stock Exchange

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