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Capita Group PLC (CPI)

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Thursday 14 December, 2006

Capita Group PLC

Trading Statement

Capita Group PLC
14 December 2006


                     The Capita Group Plc - Trading Update


The Capita Group Plc ('Capita') is issuing a trading update ahead of its
preliminary results announcement for the period ending 31 December 2006, due to
be released on 22 February 2007.


The strong first half revenue growth has continued in the second half, with our
businesses performing well. Since our interim results in July 2006, we have been
selected to deliver significant outsourced services on behalf of:


   •Prudential UK - to deliver a range of life and pension sales and
    administration services. The contract is projected to generate revenues of
    approximately £40m over a 3 year term, after which Prudential have an option
    to renew on a rolling basis.


   •Transport for London - to deliver the Congestion Charging scheme from the
    end of the initial contract in February 2008 until November 2009, a contract
    extension worth £90m over 21.5 months. In addition, we will administer the
    Low Emissions Zone Supplemental Agreement (LSA), valued at £14m over 3
    years.


   •Swindon Borough Council - selected as preferred bidder to develop a
    ten-year incremental strategic partnership worth approximately £140m over 10
    years. Final negotiations are currently in progress with the contract
    expected to commence in early 2007.


   •Co-operative Insurance - to deliver business processing activities.
    Subject to final scope of services, the contract is expected to be worth in
    excess of £250m over a 10 year period, with commencement later in 2007.


Capita today announces that its health solutions business has signed an
agreement with BT to extend its contract to provide outsourced occupational
health services, worth in the region of £13.5m over nine years until 2015. We
have also been selected to deliver property consultancy services for
Cambridgeshire County Council worth approximately £15m over the next 7 to 10
years, subject to contract.


To date in 2006, Capita has therefore won or extended major contracts worth
£1.37bn (FY 2005: £1.14bn), strengthening our position as the UK's market leader
in business process outsourcing services to the public and private sectors.


Across the Group, we have been successful in securing contracts with both new
and existing customers as well as increasing the scope of existing contracts. In
addition, we are continuing to achieve operating efficiencies through economies
of scale and by accelerating the offshoring of business processes to our
facility in India.


Our markets remain buoyant in both the public and private sectors, driven by our
customers' desire to improve service quality and reduce costs. This, together
with the excellent revenue visibility we enjoy, gives us confidence that we will
deliver a strong performance in 2006 and 2007.


A conference call for investors and analysts will take place today at 8.30am. To
obtain dial-in details please call Elaine Ryman at Financial Dynamics on +44 
(0)207 269 7121.



For further information:

The Capita Group Plc                                Tel: 020 7799 1525
Paul Pindar, Chief Executive
Shona Nichols, Corporate Communications Director
Capita Press Office                                 Tel: 0870 2400 488

Financial Dynamics                                  Tel: 020 7269 7121
Andrew Lorenz / Susanne Walker







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