RE: UK Support Locations
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SThree (STHR) Â
   SThree plc ("SThree" or the "Group")  Proposed Relocation of UK Support Functions  SThree, the international specialist STEM staffing business, announces that, following a review of its UK-based global support structure, it is commencing a consultation with employees on the proposed relocation of support functions away from its London headquarters to a new facility located within another UK city. The initiative will develop a more sustainable support function that will enable the Group to deliver higher growth, become more competitive and improve shareholder returns. An exceptional charge of circa £13m will be booked in the financial year ending 30 November 2017. The Group estimates the cash cost of the move would be circa £12m in the financial year ending 30 November 2018, with annualised cost savings of circa £4-5m. The relocation programme is expected to complete during the fourth quarter of 2018, with cost savings in FY2018 expected to be circa £1m, with the full benefit expected from 2019. Gary Elden, Chief Executive Officer, said: "SThree has grown and changed significantly over the last decade, with the scope of our business shifting from a primary focus on permanent candidates to managing ongoing relationships with close to 10,000 contractors globally. Moving our support functions to a new location within another UK city would enable us to provide the same quality of support to the business while generating significant cost savings. This more sustainable cost structure will be crucial if we are to continue to grow for the benefit of our people, our customers and our shareholders."  - Ends - Â
 Notes to editors  SThree is a leading international specialist staffing business, providing permanent and contract specialist staff to a diverse client base of over 7,000 clients. From its well-established position as a major player in the Information and Communication Technology ('ICT') sector the Group has broadened the base of its operations to include businesses serving the Banking & Finance, Energy, Engineering and Life Sciences sectors.  Since launching its original business, Computer Futures, in 1986, the Group has adopted a multi-brand strategy, establishing new operations to address growth opportunities. SThree brands include Computer Futures, Huxley Associates, Progressive and The Real Staffing Group. The Group has circa 2,700 employees in sixteen countries.  SThree plc is quoted on the Official List of the UK Listing Authority under the ticker symbol STHR and also has a US level one ADR facility, symbol SERTY.  Important notice  Certain statements in this announcement are forward looking statements. By their nature, forward looking statements involve a number of risks, uncertainties or assumptions that could cause actual results or events to differ materially from those expressed or implied by those statements. Forward looking statements regarding past trends or activities should not be taken as representation that such trends or activities will continue in the future. Certain data from the announcement is sourced from unaudited internal management information. Accordingly, undue reliance should not be placed on forward looking statements. |
| ISIN: | GB00B0KM9T71 |
| Category Code: | MSCL |
| TIDM: | STHR |
| LEI Code: | 2138003NEBX5VRP3EX50 |
| Sequence No.: | 4797 |
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| End of Announcement | EQS News Service |
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624123Â Â 01-Nov-2017Â
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