Trading/Acquisition Update

Rotala PLC 30 July 2007 Rotala plc ('Rotala' or the 'Company') Trading and Acquisition Update Trading Update The Board is pleased to announce that in recent weeks the main operating subsidiaries of the Company (together the 'Group'), Flights Hallmark Limited and Central Connect Limited, have been awarded a total of ten new contracts. On an annualised basis, these new contracts should generate, in aggregate, additional revenues of £1,705,000. The Board is particularly pleased to have obtained a further contract in the Bristol area from the University of the West of England. Part of this contract was formerly operated by South Gloucestershire Bus & Coach Company Limited ('SGBCC'), but the new contract is a considerable advance on this. The Group has been awarded two new services by Worcestershire County Council, one contract with a term of four years and the other with a term of three years, and several smaller contracts by local educational authorities in the West Midlands. Also in the West Midlands, the Group has been awarded extra routes by Transco for staff transportation, to add to the existing work already undertaken for this organisation. Finally, out of the Group's Heathrow depot, the Company has won a new contract from Qantas to transport its aircrew and GlaxoSmithKline has awarded the Company an enhancement of the services it presently runs for it. Following on from the contract awards announced in February of this year, these awards mark another significant step forward for Rotala in building its operations organically as well as by acquisition. The Board is delighted by the strength of the flow of business this year and by its ability to win new contracts; the Company remains on track to meet its full year expectations. The award of these new services emphasises the Company's commitment to increase its turnover and to become a significant force in transport operations in its chosen locations. John Gunn, Chairman of Rotala, commented 'Our executive team is to be congratulated on achieving further contract successes. We look forward to creating a significant transport company in the years to come, based on our original business model of well-targeted acquisitions taken together with further organic growth.' Acquisitions Further to the announcement by the Company on 18 June 2007, Rotala is pleased to announce that it has completed the acquisition of North Birmingham Busways Limited ('NBB') and the purchase of the first phase of contracts and assets from SGBCC. NBB NBB is a bus company that operated 26 buses from a site in the Erdington district of Birmingham, some two miles from the Company's Long Acre depot. NBB is long established on a number of its routes and the majority of the work undertaken by NBB is commercial stage carriage. Approximately one third of its revenues derive from contracts with Centro, which is the operating name of the West Midlands Passenger Transport Executive. The Directors believe that immediate cost savings can be made from a reduction in maintenance, accounting and administration overheads. Integration of the NBB's business into the existing business of the group has already begun. NBB's fleet of buses moved to Long Acre over the past week-end. SGBCC In the first phase, the Group has taken a sub-contract of a contract with Bristol City Council for the provision of four bus routes in Bristol until such time as this contract can be novated to it; it has acquired eleven vehicles to service these routes and the existing University of West of England contract referred to above. As set out in the final sale and purchase agreement with SGBCC, the Group, in total, will acquire 64 buses for a price of £1.04 million. The right to operate the routes that these buses run on will be acquired for a consideration of a further £600,000. The acquisition of the buses and routes will be in a number of tranches but will be completed in full by 31 March 2008. The total consideration of £1.64 million will be apportioned to particular buses and routes on completion of the acquisition of these buses and routes and will be paid in stages. An update on the ongoing acquisitions of the bus business of SGBCC and Ludlows of Halesowen Limited will be announced by the Company in due course. Enquiries: Contacts: John Gunn, Chairman 020 7236 6236 Kim Taylor, CEO 07918 883796 David Seal / Rhod Cruwys, Blue Oar Securities Plc 020 7448 4400 This information is provided by RNS The company news service from the London Stock Exchange

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