Preliminary Results Presentation Year to 30 th June 2006

1. Preliminary Results Presentation Year to 30th June 2006

2. Disclaimer This presentation is being made only to and is directed at (a) persons who have professional experience in matters relating to investments falling within Article 19(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (b) any other persons to who it may otherwise lawfully be communicated, falling within Article 49(2) of the Order (all such persons being referred to as “relevant persons”). Any person who is not a relevant person should not act or rely on this presentation or any of its comments. The financial information set out in this document does not constitute the Company’s statutory accounts. Statutory accounts for 2005, which received an auditors’ report that was unqualified and did not contain any statement concerning accounting records or failure to obtain necessary information and explanations, have been filed with the Registrar of Companies.

3. Agenda • Overview & Acquisitions Greg Fitzgerald • Financial Review Frank Nelson • Building Andy Sturgess • Infrastructure Ken Gillespie • Investments Frank Nelson • Housebuilding Greg Fitzgerald • Summary & Outlook Greg Fitzgerald

4. Overview & Acquisitions Greg Fitzgerald – Chief Executive

5. Overview & Acquisitions Key Highlights • Record profits & cash levels • Successful acquisition and integration of Chartdale & Morrison • Industry leading Health, Safety and Environmental performance • Building – full UK coverage • Infrastructure – increased expertise & sector coverage • Housebuilding – record completions & land bank • Excellent platform for further growth

6. Overview & Acquisitions New Structure

7. Overview & Acquisitions Update • Chartdale Homes - February • Morrison Construction - March • Successful integration • Greater synergy savings • Year end profit targets achieved • Significant opportunities being generated

8. Financial Overview Frank Nelson – Finance Director

9. Financial Overview Highlights • Group revenue £851m up 19% • Profit before tax • Pre exceptional £32.5m up 19% • Post exceptional £34.5m up 26% • Earnings per share • Pre exceptional 9.7p up 13%* • Post exceptional 10.8p up 26% • Dividend 2.5p up 19% • Net cash £16m – strong construction performance • Profit from operations (excl acquisition) up by 14% • Return on average shareholders’ funds of 48% • Tax charge reduced to 26% * Tax credit allocated to exceptional profit

10. Financial Overview Profit and Loss (including Joint Ventures)

11. Financial Overview Segmental Analysis to 30th June 2006 (including Joint Ventures) * Profit from operations

12. Financial Overview Net Interest payable

13. Financial Overview Balance Sheet Highlights * Includes £33m net pension deficit (2005: £32.2m)

14. Financial Overview Cash Flow Summary * Morrison acquired on a normalised working capital basis. Cash on acquisition £30.2m unwinding post acquisition.

15. Financial Overview Acquisitions Note: Goodwill payment on Pentland £0.6m, Chartdale nil * Before interest and amortisation

16. Building Andy Sturgess – Managing Director

17. Building Key Highlights • New structure working well • National coverage • Market remains strong in key sectors • Development opportunities in Affordable Housing • Maintained strong order book

18. Building Education • Acknowledged as educational specialist • PFI Schemes • Caludon Castle, Coventry, Phase 2 • Northampton, 41 schools • Highlands, 11 schools • Three City Academies underway • Opportunities through traditional procurement Hampton Vale School, Peterborough

19. Building Commercial • Market is in recovery • Early involvement • Design management key • Value driven clients • Repeat business George Street, London

20. Building Affordable Housing & Regeneration • Significant opportunities - English Partnerships • High levels of expertise • Increase in Mixed Tenure Development • Partnering Framework agreements with 21 Affordable Housing Providers • Substantial growth potential Leytonstone High Road, London E15

21. Building Forward Order Book * Secured on Non Price Competitive Basis

22. Building Summary & Outlook • Expansion set to continue • Sector focus still applies • Strength & quality of order book • Performance underpinned by cash • Potential for further profit growth

23. Infrastructure Ken Gillespie – Managing Director

24. Infrastructure Key Highlights • Order Book at record levels • Excellent contract wins in chosen sectors • Long-term frameworks success • Strong customer satisfaction • Delivering upper quartile returns

25. Infrastructure Water • Leading contractor in the Water Sector • Frameworks held with most of the regulated mainland UK water companies • Secured further frameworks with Scottish Water and Anglian Water • Top KPI performance Gorad Pumping Station, Holyhead

26. Infrastructure Highways and Rail • Highways • Long tradition and substantial capability • Roads output will continue to grow • Developing opportunities in both new capital schemes and maintenance • Rail • Business continues to grow • Extended frameworks with Network Rail • Opportunities through traditional procurement A80 Auckenkilns, Scotland

27. Infrastructure Renewable Energy & Remediation • Renewable Energy • Good reputation and track record • Key clients include Scottish Power • A number of opportunities with a major award anticipated in the next 6 months • Remediation • Over 180 sites remediated • Business synergies • Appointed framework contractor for Olympic Park Coldham Wind Farm

28. Infrastructure Forward Order Book * Secured on Non Price Competitive Basis

29. Infrastructure Summary & Outlook • Continue to build on our significant presence in key sectors • Substantial forward order book with over 90% in frameworks with key clients • Strong expertise and management capability • Buoyant markets with excellent growth prospects

30. Investments Frank Nelson – Finance Director

31. Investments Overview • Market position in Education, MOD Housing & LIFT • Financial close of three projects - £351m • Northampton Schools PFI • DHE Portsmouth • Highland Schools PFI • Preferred bidder South East Essex LIFT - £100m Vale Drive, North London LIFT

32. Investments Future Prospects • LIFT – future tranches on existing schemes • ITN Stage • South East Midlands LIFT • St Andrews Community Hospital • Building Schools for the Future programme • Scotland - Education PFI’s & HUB

33. Housebuilding Greg Fitzgerald – Chief Executive

34. Housebuilding Housing Highlights • Record Year • Profits • Carry forward position • Land bank • Acquisition of Chartdale • Strong customer satisfaction levels maintained • Planning permissions secured for current year • National Awards • Stable market conditions Gunwharf, Plymouth – CABE Award Winner

35. Housebuilding Key Statistics (including Joint Ventures)

36. Housebuilding Market Conditions and Focus • Incentive levels reduced • Competitive land market • Modest house price inflation • Cost base reduction • Planning process remains challenging • Reduction in exposure to apartments • Differentiation through design and complexity of development • Regeneration & Affordable Housing opportunities Denovo, Country Gate, New Barnet

37. Housebuilding Regional Businesses • Coverage across South & East of England • Strong regional brands • Brownfield and conversion 75% • Land bank • Houses 78% • Apartments 22% • Customer satisfaction 91% • Potential in Scotland Fairfield Park, Letchworth

38. Housebuilding Chartdale Acquisition • Business exceeding expectations • Land bank of 1350 units • Delivering synergies • Critical mass in Eastern Counties • Scope for growth Hurds Farm, Worlaby

39. Housebuilding Summary & Outlook • All business units performing well • Improved sales mix • Market conditions improved • Successful business model • Confident of further expansion

40. Summary and Outlook Greg Fitzgerald – Chief Executive

41. Summary and Outlook Platform for Growth • Very strong financial position • Complete Integration Plan • All divisions performing • Industry leading Health, Safety and Environmental performance • Maximise business synergies • Major focus on Regeneration and Affordable Housing • Confidence in growth plan

42. Preliminary Results Presentation Year to 30th June 2006