Trading Statement

Rotala PLC 10 December 2007 Rotala plc ('Rotala' or the 'Company') Year-end update The Board is pleased to provide an update of the financial performance of the Company and its main operating subsidiaries (together the 'Group') for the year ended 30 November 2007. Trading update for the financial year to 30 November 2007: The board expects to announce the Company's results for the financial year ended 30 November 2007 at the end of February 2008. The board is pleased to report that the results of the Company for the financial year to 30 November 2007 will be in line with market expectations. The trading performance improved rapidly from the middle of the year onwards and has moved into month by month profitability at the end of the accounting period. Trading performance: The Company and its subsidiaries (together the 'Group') have won a substantial number of additional contracts over the past twelve months, both from existing and new clients, and in both the public and private sectors. Contract wins announced to the market amount to additional revenue of approximately £5.7million. The beneficial impact arising from these new contracts has been felt only in part in the financial year ended 30 November 2007, with further benefits to flow in the financial year ending 30 November 2008. Furthermore the board is pleased to announce that in recent weeks the Company has won £1,100,000 in new contracts together with an extra £960,000 of short term work for an existing major customer which will have its effect in the first half of 2008. Two other large customers have also shown their satisfaction with the Group's services by recently renewing current contracts. Acquisitions: Rotala has successfully integrated the purchases of Zak's Bus & Coach Services Limited, North Birmingham Busways Limited and the business of Birmingham Motor Traction into the existing operations of the Group at the main Birmingham depot. The step-by-step acquisition of the bus operations of the Bristol-based South Gloucestershire Bus and Coach Company Limited is proceeding according to plan and should be completed in the first quarter of 2008. Due diligence is continuing on Ludlows of Halesowen Limited and a decision as to whether to proceed with the acquisition will be taken in the first quarter of 2008. Further acquisition targets are under review. These targets are situated in areas which are contiguous to our existing locations, in accordance with the stated objectives of achieving operating efficiencies and economies of scale by placing operational hubs at suitable distances from each other. Market conditions: Transport policy at national and local government levels remain focused on addressing the problems created by increasing congestion and pollution, as well as fulfillment of social needs. Both central government and local authorities are consequently taking steps to encourage the increased usage of buses rather than cars. The new Transport Bill currently before Parliament gives powers to local government which will promote the use of the bus in congested urban environments. The board believes that this augurs well for Rotala's operations in both Birmingham and Bristol. Transport policy initiatives at national level also look likely to involve further public investment to the benefit of the public transport industry as a whole. Forthcoming year: The 2007 financial year has been a year of substantial change for the Company. As a result of a number of complementary acquisitions and a strong pipeline of contract wins, the board expects the trends set out above to continue into the current financial year. The board remains confident that the strategy which it has devised has created a sound platform for good growth in the years to come, both organically, through new customer and contract wins, and through value-enhancing acquisitions. Enquiries: Contacts: John Gunn, Chairman 020 7621 5770 Kim Taylor, CEO 020 7621 5770 Romil Patel / 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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Rotala (ROL)
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