09/11/2006

Stagecoach Group plc is pleased to confirm that it has been shortlisted to submit a final bid to operate the current Manchester Metrolink tram network.

Greater Manchester Passenger Transport Executive (GMPTE) has invited Stagecoach to submit a Best and Final Offer to run the existing system and carry out tram maintenance. Stagecoach has also been asked to submit its proposals for a combined operating, systems and infrastructure maintenance contract. The 10-year contracts would run from 1 April 2007.

Nearly 20 million passengers travel every year on the Metrolink network, which generates an annual turnover of around £22million. Metrolink operates four routes:

• Altrincham - Manchester City Centre - Bury
• Altrincham - Manchester Piccadilly Rail Station
• Bury - Manchester Piccadilly Rail Station
• Eccles - Manchester Piccadilly Rail Station

Stagecoach already operates Supertram, a 28km tram system in Sheffield, incorporating three routes in the city.

Ian Dobbs, Chief Executive of Stagecoach Group’s Rail Division, said: “We are pleased to have been shortlisted for the Manchester Metrolink contracts and we look forward to submitting attractive, high-quality and value-for-money bids.

“We have significant experience of operating a major tram system in Sheffield, where we are now carrying a record 13 million passengers a year, and we believe we can build on this operational expertise.

“Stagecoach has already developed an excellent reputation for delivering high-quality bus services in Manchester over the past decade, increasing passenger numbers by around 25%. We believe we can work in partnership with GMPTE to improve Metrolink’s quality of service to customers and attract more people to the tram.”

ENDS

For further information, please contact:
Steve Stewart, Head of Media and Public Affairs, Stagecoach Group
Tel: 01738 442111 or mobile 07764 774680

NOTES TO EDITORS

Metrolink

The shortlisted bidders for the new Metrolink contracts are:

The current operator of Manchester Metrolink is Serco.

Stagecoach Group

Stagecoach Group is a leading international transportation group, with extensive bus and rail operations in the UK and North America. The Group's businesses operate around 12,000 vehicles and rolling stock, and employ around 27,000 people.

Stagecoach currently operates more than 7,000 buses and employs around 20,000 people at its UK Bus division, which includes 19 regional operating companies. Its network stretches from south-west England to the Highlands of Scotland, covering major cities such as Manchester, Liverpool, Newcastle, Sheffield, Hull, Oxford and Cambridge, as well as key shire towns and rural areas.

Stagecoach Manchester operates around 660 buses in South Manchester, including Trafford, Stockport, Tameside and Glossop. The company employs around 1,700 staff and carries 82 million passengers a year.

Stagecoach operates the Supertram network in Sheffield on a 27-year concession running until 2024.

Stagecoach operates South West Trains, the UK's biggest commuter rail franchise, which runs nearly 1700 trains a day in the south-west of England out of London Waterloo. The Group also runs Island Line, the country’s smallest rail franchise. In addition, Stagecoach has a 49% shareholding in Virgin Rail Group, which operates the CrossCountry and West Coast inter-city rail franchises.

The Department for Transport announced in September 2006 that Stagecoach had been selected to operate the new 10-year South Western franchise, which combines South West Trains and Island Line and runs from February 2007.

Stagecoach Group is shortlisted for the East Midlands rail franchise, which runs from November 2007.

Virgin Rail Group has been invited to tender for the new Cross Country franchise, also commencing in November 2007.