Corporate ResponsibilityTowards a Responsible Transport Policy

Mike McGrath – Group Commercial Director

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We Do . . . . . We Do . . . . .

. . . . . a broad range of tools & equipment. . . . . a broad range of tools & equipment

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We Don’t . . . . . We Don’t . . . . .

………….go into markets with low returns.go into markets with low returns

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15.2 15.0 14.8 15.0 14.9

0.0

5.0

10.0

15.0

20.0

'03 '04 '05 '06 '07

OOperating Marginsperating Margins %% (Pre-amortisation)(Pre-amortisation)

Revenue £mRevenue £m

143.7

170.0

206.5

254.3

335.5

0

50

100

150

200

250

300

350

'03 '04 '05 '06 '07

Turnover has grown at a CAGR of 23.6%

21.8

25.5

30.6

38.1

50.0

0

10

20

30

40

50

'03 '04 '05 '06 '07

Operating Profit £m Operating Profit £m (Pre-amortisation)(Pre-amortisation)

Operating Profits have grown at a CAGR of 23.1%

Return On Capital Employed %Return On Capital Employed %

16.917.8 17.6 17.5 16.9

0.0

5.0

10.0

15.0

20.0

'03 '04 '05 '06 '07

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Bigger than all our competitors put Bigger than all our competitors put

together…..together…..Full year

Revenues

£163m

£95m

£47m

c.£440m

£305m

Combined competitor revenues

Tools

Equipment

HSS Brandon Hirestation

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Overall ContextOverall Context

Speedy has always taken its wider responsibilities seriously Began taking a more structured approach in 2005 Building on strong foundations we analysed our CR Impacts in

• The marketplace (customers/suppliers)• The workplace (employees)• The environment (inc Transport)• The community (building more strategic community partnerships)

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Transport ContextTransport Context

Vehicle Fleet prior to Hewden acquisition 2,121– Cars 859

– Light Commercial 1171

– Heavy Goods 91

Vehicle Fleet post Hewden acquisition 2,932– Cars 1,087

– Light commercial 1,750

– Heavy Goods 95

Previously the Speedy fleet has shown year on year C02 reductions (per vehicle) over last 6 years

Inherited Fleet providing a challenge

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Our Transport ActivityOur Transport Activity

Fleet is the newest in the sector (replaced every 30 months) Fleet converted to 100% diesel over the last 3 years Commercial fleet speed limited (reduces fuel usage/increases safety) Driver training programme for company car drivers (more fuel

efficient/safer driving)

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Our Transport ImpactsOur Transport Impacts

Fuel usage/CO2 emissions (per vehicle)

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Future ActivityFuture Activity

Hewden fleet to be renewed over the next 7 months Work with suppliers on vehicle emissions, a few cars already

meeting 2010 target of <120g C02 per kilometre Work on more efficient transport logistics Electric Vehicles!

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ModecModec

Pick Up version would probably not have been manufactured without Speedy support and input

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BenefitsBenefits

Vehicle charges up overnight Does 120 miles on a full charge Capable of 60 m.p.h. No emissions in operation Does not attract congestion charge Adds to London ‘Clean Air’ policy

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But….But….

Emissions attached to charging – Speedy are currently investigating renewable energy sources so this may change

Silent – although this is positive in terms of noise pollution etc there may be issues over safety

Disposal of battery at end of life

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To concludeTo conclude

Initial reaction has been positive• From employees

• From customers

• From comments form the general public

Project still very much in ‘pilot’ phase The Modec vehicle currently represents a small part of our

overall approach to energy efficiency and our commitment to climate change

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A final word from our Group Fleet DirectorA final word from our Group Fleet Director

“The responsible management, provision and maintenance of the most up to date vehicle fleet in our sector allows us to meet our customers’ requirements and reduce our environmental impacts. The electric vehicle pilot in London is just another example of what is becoming an increasingly compelling business case”

Ian Leonard - Group Fleet Director Speedy Hire Corporate Responsibility Report 07