Re Contract

Shanks Group PLC
4 September 2001

4 September 2001

Shanks success with Scottish Councils

Shanks Group plc announces a 25-year contract with Argyll & Bute Council for
the management of the council's waste.

Under this first contract of its kind in Scotland, Shanks will work with the
council to increase recycling, reduce the amount of waste going to landfill
and improve existing facilities. The agreement has attracted government
funding via the Private Finance Initiative (PFI) and ensures that the
council's waste will be managed to the highest environmental standards.

Michael Averill, Shanks Group Chief Executive, stated, 'We are delighted with
this agreement, the first PFI waste management contract for the Group. We have
also recently been awarded preferred bidder status for a 25 year contract with
Dumfries & Galloway Council.'

For further information contact:

Michael Averill, Group Chief Executive, 
telephone [phone]

John Shaughnessy, Group Head of External Relations, 
telephone [phone]