14 May 2007

At today's Annual General Meeting of Interserve Plc, the services, maintenance and building group, Lord Blackwell, Chairman, said:

"I am pleased to report that the Group's current trading continues to be strong, in line with expectations.  Since the time of our preliminary results in March we have achieved completion on the Leeds Building Schools for the Future project, an important milestone for us in the education market, and have continued to be successful in securing contracts with existing and new clients that will underpin our future growth.

"In addition to the above comments on trading, the Board is also pleased to announce agreement of an acquisition in Qatar of a business providing fabrication, training and maintenance services to the high growth petrochemical sector.  Our investment in the Madina Group will extend our capabilities in the Middle East and further enhance our prospects for growth in the region. We have issued a separate announcement giving more details of the acquisition this morning."