2009
Jarvis plc Annual Report and Accounts  Jarvis plc Annual Report and Accounts 2009 1
Contents
Financial Highlights
1 Financial Highlights
2 Chairman’s Statement
4 Chief Executive’s Statement
6 Financial Review
8 Operating Review
14 Biographies
16 Corporate Governance Statement
20 Corporate Social Responsibility
24 Directors’ Remuneration Report
28 Directors’ Report 
32 Statement of Directors’ Responsibilities
33 Consolidated Income Statement
33 Consolidated Statement of Recognised Income and Expense
34 Consolidated Balance Sheet
35 Consolidated Cash Flow Statement
36 Notes to the Consolidated Financial Statements
57 Company Balance Sheet
58 Notes to the Company Balance Sheet
61 Group Historical Summary
62 Report of the Independent Auditor to the members of Jarvis plc
63 Investor Information
2009 2008
£m £m
Revenue 345.8 321.9
Operating profit* 7.7 9.2
Profit before tax* 5.1 7.5
Net cash from operating activities 18.2 (18.7)
Net debt 21.5 38.8
*Before exceptional items. I am pleased to report that the results for 
the year to 31 March 2009 are in line with
management expectations. It is testament 
to the effort put in at all levels across the
business that the Group can report a profit
before tax and exceptional items of £5.1m
(2008: £7.5m). It is particularly pleasing to
note the reduction in net debt which was
£21.5m compared with £38.8m in the
previous year, principally due to a substantial
reduction in accounts receivable shortly
before the year end. 
The financial year was characterised by 
a strong first half performance across the
board, but a second half – particularly the 
last quarter – in which rail volumes declined
because of reductions in track renewals 
and significant delay in replacement
enhancement project work following
completion of the West Coast Route
Modernisation programme. This also had a
knock-on effect on our Plant business which,
as we have already made clear, is likely to
continue to be felt through at least the first
half of the current year.
The announcement by Network Rail which
we reported in January 2009 effectively
delayed work which was planned in 2009-10
until later in Control Period 4 (which runs from
April 2009 to March 2014). Following this
unexpected decision we have moved quickly
to downsize our business at all levels to adapt
to the reduced workload. Working with
Network Rail and other stakeholders we are
putting our plans into effect, albeit at a net
restructuring cost of £8.1m as previously
reported. This is a painful process in which
we are inevitably releasing people who have
been loyal to the company over many years
and who will be a great loss to us. This is 
not a pleasant task for anyone and I take this
opportunity to thank all of those involved for
their understanding, their co-operation and
their unstinting service to the business. 
I wish them every success in the future.
Financial Performance
Principally due to the performance in the
first half, Group revenue increased over the
year to £345.8m (2008: £321.9m). Operating
profit for the period before exceptional items
was £7.7m which is down from £9.2m in the
previous year. This reduction was primarily
as a consequence of the unexpected decline
in rail project volumes in the final quarter
resulting in unrecovered costs, and the
significant decline in freight container
volumes as a result of the worsening 
global economic conditions.
Exceptional items in the period were £11.4m
of which £8.1m relates to restructuring and
redundancy costs. As previously reported
the downturn in freight import volumes
particularly during the second half of last
year meant that our container haulage
operation was no longer viable and we
exited that business at a cost of £2.2m.
In these difficult economic times it is
pleasing to have been able to announce 
on 9 July 2009 that we have extended our
working capital facilities for a further year
until 31 January 2011. We appreciate the
continuing support of our lenders, Bank 
of Ireland and Bank of America.
Rail
The Rail business was exceptionally busy in
the first half with work on the West Coast
Main Line accounting for a significant
proportion of revenues. It is particularly
pleasing to note that all of the associated
projects completed on time, including our
largest and most complex contract at Rugby
which enabled Network Rail to launch its 
new timetable in December 2008.
The London North East Integrated
Management Team track renewals contract
has performed well and has achieved all the
Key Performance Indicators (KPIs) necessary
to qualify for a four year extension from 
April 2010.
2 Jarvis plc Annual Report and Accounts 2009
Chairman’s Statement
We are ensuring we will be at the forefront 
of the challenge to produce more efficient ways
of working which will ultimately deliver a seven
day railway. Jarvis plc Annual Report and Accounts 2009 3
Plant (Fastline)
Our Plant business experienced a mixed year.
Performance in On Track Machines (OTM)
and Small Plant was strong and exceeded
expectations. Performance in Specialist Plant
was below expectations whilst our Transport
offering performed poorly due to a lack of
external demand as a result of the economic
downturn and the reduction in rail workload 
in the final quarter.
Freight (Fastline)
Our coal haulage business continues to
perform well and we are now fully focussed
on expanding it. Following a successful 
roll-out and first year performance we
confirmed on 3 June 2009 that we have 
been awarded an extension of the E.ON
contract to December 2015, giving us the
confidence to order additional equipment 
to service the contract.
Accommodation Services
Jarvis Accommodation Services, our facilities
management arm, is a transformed business.
Following the closure of the construction
activity and the disposal of loss-making
contracts the business has continued to
improve and has performed substantially
better than last year. The business has been
rationalised and the team is focussed on
continuing to improve its service and safety
performance whilst reducing costs and
establishing an overhead appropriate 
for the current size of the business.
Board Changes
It is with great regret that I have to report 
that after four years as Chief Executive,
Richard Entwistle has decided to retire with
effect from the Annual General Meeting in
September this year. Richard has performed
resolutely throughout what has been a very
tough period for the Company. Under his
leadership we have worked our way through
some major challenges and the business 
is in better shape than it has been for many
years. In my personal estimation no-one
could have served us better and he leaves 
us with our very best wishes for the future. 
I am however extremely pleased to announce
that Richard will be succeeded as Chief
Executive by Stuart Laird, currently the
Group’s Chief Operating Officer. Stuart 
has already demonstrated considerable
leadership in the successful restructuring 
of our FM operation and I am certain 
he will make an equal success of this 
wider brief.
Professor Brian Mellitt will also be retiring 
following completion of two three year terms
as a Non-Executive Director. Professor Mellitt 
is a former President of the Institution of
Electrical Engineers and is a distinguished
authority on railway engineering issues. His
wise counsel has been an enormous benefit
to the Company.
In line with our objective of downsizing our
group overhead, the role of Chief Operating
Officer will not be replaced and the number 
of Non-Executive Directors will be reduced
from three to two.
Future Prospects
Our strategy continues to be that of
concentrating on the development of 
our Rail, Plant and Freight businesses 
while ensuring that our facilities 
management business continues 
to improve margins.
We believe that the longer term prospects 
for the bulk haulage Freight business are also
very positive. Our underlying service culture
puts us ahead of the field in terms of delivery
and we are confident that this will lead to
wider opportunities. 
In Rail the current economic conditions 
and Network Rail’s decision to delay works
created a difficult trading environment in 
the second half of the year under review 
and this is expected to continue through
2009-10. The prospects beyond that appear
much more promising. Our major client
Network Rail has a huge capital works
programme which we understand is fully
funded until at least 2014 and that funding 
is substantially greater than any prior period.
The Crossrail project, which is currently
valued at £15.9bn, is now progressing and
Network Rail has tabled plans to electrify 
the busiest 4,800 kilometres of the UK 
rail network.
Our strategy included accessing international
markets in a selective way at the appropriate
time once we had stabilised our business and
that task is now largely complete. There are
significant opportunities in the wider global
rail market for contractors with our level 
of expertise.
We are ensuring we will be at the forefront of
the challenge to produce more efficient ways
of working which will ultimately deliver a
seven day railway.
Steven Norris
Executive Chairman
13 July 2009 Overview of Activity
This year we have continued to focus on 
the Rail, Plant and Freight businesses as
previously outlined in our Group strategy. 
The underlying business is in far better
condition than it has been for some
considerable time. However, the global
economic downturn and Network Rail’s
decision to delay a significant amount of
enhancement and track renewals work have
inevitably had some impact, particularly in 
the second half of the year. With this in mind
we are pleased to report an operating profit 
of £7.7m, before exceptional items, and the
generation of a positive cash inflow in the
year, which in my view is a testament to the
strength and tenacity of everyone within 
the business.
Health, Safety and Environment
Health and Safety continues to be our
number one priority and we have performed
reasonably well in the year. The Rail and Plant
businesses achieved a combined Accident
Frequency Rate (AFR) of 0.18 accidents 
per 100,000 hours worked. Rail achieved 
a reduction of 10 per cent and Plant a
remarkable 55 per cent improvement in 
their AFRs compared to the previous year. 
As part of Network Rail’s 365 day safety
challenge 12 of our Rail depots were awarded
certificates for completing a full year or more
accident free. The Route Section 12 rail
project team on the West Coast finished the
works on schedule without any reportable
accidents totalling more than 500 days, while
the Jarvis overhead line team working on the
W181 project, based in Crewe, has now
achieved more than 700 days without a
reportable accident.
The Plant business continued to recognise
safety performance with its internal award
scheme with a total of 13 depots surpassing
at least a year without a reportable accident.
The Small Plant and Transport businesses
have worked a highly commendable 761 and
1,462 days respectively without an accident,
whilst the team operating the Medium
Output Ballast Cleaner (MOBC) contract
achieved an outstanding three years 
accident free.
We are committed to reducing the impact 
of our activities, products and services on 
the environment. During the Rugby Station
Remodelling project we achieved a recycling
rate of 96 per cent. The team worked hard to
minimise the amount of waste that had to be
sent to landfill including the recycling of more
than 116,000 tonnes of spoil at a special soil
recycling centre. 
Through a concerted effort and the proactive
approach of the team to raise awareness 
and further improve training we have seen 
a 41 per cent reduction in the number of
environmental incidents relating to oil spills
on our worksites. This was the lowest spill
data since our records began in 1998 and a
real credit to everyone involved considering
the volume of work that has been undertaken
in the year. 
Rail
Overall the Rail business has performed 
well during the year although trading in 
the second half suffered as a result of the
reduced volumes in enhancement work
following the successful completion of
projects on the West Coast. Indeed Network
Rail’s decision to delay works, particularly
track renewals, until later in Control Period 4
(April 2009-March 2014) will mean that
volumes will probably remain at a reduced
level throughout the 2009-10 financial year
but pick up thereafter.
As we have previously stated a key task,
initiated in the final quarter of the year, is 
to reduce headcount in our rail and plant
businesses in recognition of the lower
volumes now anticipated for the coming 
year. This process is well underway and
continues into 2009-10.
Work on the West Coast accounted for 
a significant proportion of enhancement
revenues in the year with all the associated
4 Jarvis plc Annual Report and Accounts 2009
Chief Executive’s Statement
We have continued to work
towards strengthening the
underlying business. Jarvis plc Annual Report and Accounts 2009 5
projects completed on time. A considerable
achievement given their scale and
complexity.
The track renewals activity secured as one of
Network Rail’s four preferred track renewals
contractors has performed very well. We
operate under a framework agreement in 
the London North East region. Our client,
Network Rail, operates a series of KPIs to
measure performance under this agreement.
By achieving certain predetermined targets
we qualify for a four year extension to the
contract. It is pleasing to report that we have
achieved the targets.
Our Electrical Projects Group has enjoyed 
a very busy and productive period achieving 
a 45 per cent growth in revenue in the year.
Similarly our Scottish projects business, strc,
has had a very successful year. The award of
the Lugton Loop contract, which will see the
provision of a dynamic loop on the Barrhead-
Kilmarnock line in the West of Scotland, was
a major achievement and the work on the
project is progressing well.
Plant (Fastline)
The Plant businesses have had a mixed 
year with strong performances from 
On Track Machines (OTM) and Small 
Plant, and Specialist Plant and Transport 
not meeting expectations. 
Performance in On Track Machines
exceeded expectations with the teams
playing an integral part in the successful
delivery of many rail project enhancement
works including Rugby. The strong
performance in OTM was in part as a result 
of the contract to operate and maintain
Network Rail’s Multi Purpose Vehicles
(MPVs). The first season of the MPV 
weed-spraying contract has gone well and
the six machines have now commenced 
their second season. 
Small Plant also performed well with
increased turnover primarily due to the higher
volumes of rail activity in the first half and
sustained growth in revenues from the
contract with Metronet. Specialist Plant
completed many projects on behalf of all 
the major contractors and was utilised by our
rail teams on major projects including Airdrie-
Bathgate, Lugton Loop and Rugby. However
performance did not meet expectations.
Transport performed poorly, affected by a
downturn in external demand as result of 
the worsening economic climate and the
reduction in our rail workload in the final
quarter.
We have been working with several
companies in the Middle East, Egypt and
Central and Eastern Europe to assess their on
track machinery requirements. This resulted
in 11 machines being exported in the year
including six which are now being utilised 
on major projects in Saudi Arabia.
The targets set by the Office of Rail
Regulation (ORR) for CP4 mean that Network
Rail is required to find more efficient and cost
effective ways of delivering its planned works
safely. To this end we have developed a new
modular technique and are working closely
with Network Rail on trials which will be
undertaken in the first half of 2009-10.
Freight (Fastline)
The Freight business, whose results are
included in the Plant segment for reporting
purposes, consisted of two quite separate
activities, the coal haulage contract and the
intermodal (container) business.
To service the E.ON coal haulage contract 
we acquired, through operating lease, 
five new class 66 locomotives and 94 coal
hopper wagons. The contract commenced 
in May 2008 with the new equipment being
phased in until we achieved full production 
in November 2008. The phased start up
worked to plan and in general the contract 
is performing well. Indeed E.ON has now
extended the contract to December 2015
which has enabled us to place an order for
additional equipment.
As previously reported the intermodal
business has been quite a different story.
There has been a significant reduction in
container imports as the impact of the
economic downturn has come in to 
full effect. Container volumes through
Thamesport reduced dramatically in the
second half of the year. We therefore
concluded that we should close this 
business and we ceased to carry any
containers from March 2009.
Accommodation Services
Our facilities management business has
improved its performance consistently
throughout the year.
We have disposed of one further contract
during the period and many of the remaining
contracts have now reached their first
benchmarking dates. The benchmarking
process is well underway and provides the
business with the opportunity to further
improve performance. 
We retain 24 contracts of which 22 are 
long-term PFI contracts with relatively stable
and secure revenue streams. As such, the
business for the most part seems isolated
from the effects of the global economic
downturn.
Central Overheads
An important part of our stated strategy has
been the significant reduction of the Group’s
overhead cost. Our central overhead cost in
2008-09 was £10.2m compared to £12.4m in
the prior year. I am pleased to report that our
run rate is now below the strategic target we
set ourselves and this has been achieved in
line with the planned timescales. 
Previously I have reported on the introduction
of a new management information system
that is more appropriate for the size and
shape of the business. This is progressing
well and we expect to have the programme
completed by the end of the 2009-10 
financial year.
Outlook
In the last few years we have overcome
many challenges and as a result of this 
the business and our people have become
adept at responding rapidly to changing
circumstances. The global economic
downturn and Network Rail’s decision 
to delay rail infrastructure works until later 
in the control period are simply additional
challenges that we will deal with. They
impacted on the business in 2008-09 and 
will continue to impact performance in the
2009-10 financial year. Beyond that however
the prospects look much brighter since
Network Rail has a substantial budget for
infrastructure expenditure between 2010-14
and through our accelerated track renewals
process and other initiatives we should be
well positioned to capitalise on these
opportunities.
Richard Entwistle
Chief Executive
13 July 2009 Revenue and Operating Profit
The Group’s revenue for the year to 
31 March 2009 increased by £23.9m to
£345.8m, due to the increased demand 
for Rail services experienced in the first 
half of the year.
The Group achieved an operating profit,
before exceptional items, of £7.7m (2008:
£9.2m). The reduction was a consequence
of the significant decline in rail project
volumes, and resultant increase in
unrecovered costs, in the final quarter 
of the year. 
Cash Flow, Net Debt and Financing
The operating cash inflow for the year was
£18.2m (2008: outflow £18.7m), a result 
of a significant working capital inflow in the
year, due to improved cash management
and accelerated cash receipts from our
major customer. Cash flow in the prior 
year was impacted by a £12.5m outflow
associated with the termination of 
loss-making facilities management
contracts.
As a consequence of this operating cash
inflow net debt at the year end reduced 
to £21.5m (2008: £38.8m). 
Subsequent to the year end the Group
negotiated a £50m facility and extended
the terms of its borrowings to 31 January
2011.
Exceptional Items
Exceptional items in the year include 
an £8.1m cost associated with the
restructuring of the Rail and Plant
businesses following a significant 
reduction in demand by Network Rail 
for these services, and £2.2m of costs
arising from the closure of the freight
container services business. Both of these
costs were announced in March 2009.
Finance Costs
Net finance costs for the year ended 
31 March 2009 increased to £2.6m (2008:
£0.6m), principally as a result of a £2.1m
reduction in net finance income from the
Group’s defined benefit pension schemes
and £0.4m of refinancing costs incurred 
in the year, offset by a £1.8m reduction 
in interest charged on borrowings. Net
finance costs in the prior year also included
a £1.1m interest rebate associated with a
tax refund from HMRC.
Taxation
A tax charge of £3.3m (2008: credit £5.2m)
has been recognised in the Consolidated
Income Statement, arising from
movements in the provision for deferred
taxation. The prior year credit arose due 
to a tax refund of £5.4m from HMRC. 
Pensions
The last formal actuarial valuation of the
Railways Pension Scheme was carried out
at 31 December 2007 and, for Jarvis’s three
sections in the Scheme, showed a funding
position of 101 per cent. The position of
these schemes has been updated by
actuaries to 31 March 2009, the IAS 19
surplus reducing to £3.2m (2008: £40.4m),
principally as a result of falling equity
markets and the use of updated mortality
tables.
The last formal actuarial valuation of the
Streamline Pension Schemes was carried
out at 5 April 2007 and showed a funding
position of 67 per cent. The IAS 19 deficit
on the Streamline Pension Schemes, which
hold a higher proportion of their assets in
gilts, has reduced to £9.9m (2008: £15.1m).
Decreases in pension asset values have
been offset by a reduction in the pension
liability, a consequence of higher discount
rates and lower inflationary expectations.
A net actuarial loss on defined benefit
schemes of £35.8m has been recognised in
the Consolidated Statement of Recognised
Income and Expense, with an associated
tax credit of £10.0m.
6 Jarvis plc Annual Report and Accounts 2009
Financial Review
The Group achieved an operating profit,
before exceptional items, of £7.7m. Jarvis plc Annual Report and Accounts 2009 7
During the year the Group’s contributions to
these schemes was £4.0m (2008: £4.1m)
and included special contributions to the
Streamline Pension Schemes of £1.0m
(2008: £1.0m).
Financial Risk Management
The Group has a centralised Treasury
function whose primary role is to manage
funding, liquidity and financial risks. The
Group Treasury function ensures financial
risks are identified through:
– receiving regular, formalised reports from
all operating divisions;
– review of operational results and executive
information, in particular each division’s
cash generation and usage and working
capital position; and
– involvement in, and review of, the output
from the planning and forecasting process.
In order to establish the Group’s funding
requirements the Group Treasury function
monitors:
– regular cash flow forecasts prepared by 
the divisions;
– budgets and forecasts;
– actual trading results and resultant debt 
and balance sheet positions; and
– capital expenditure requests.
If appropriate, the Group enters into
derivative transactions, principally interest
rate swaps and forward currency purchases,
to manage material interest rate and
foreign exchange risks arising from 
the Group’s operations and its sources 
of finance. It is the Group’s policy that 
no trading in financial instruments for
speculative purposes shall be undertaken.
The Group’s principal financial assets are
bank balances, cash, amounts recoverable
on contracts and trade receivables, which
represent the Group’s maximum exposure
to credit risk in relation to financial assets.
The Group’s credit risk is primarily
attributable to its amounts recoverable on
contracts and trade receivables. Credit risk
is managed by monitoring the aggregate
amount and duration of exposure to any
one customer depending upon their credit
rating. The amounts presented in the
balance sheet are net of allowances for
doubtful debts, estimated by the Group’s
management based on prior experience
and their assessment of the current
economic environment.
Key Financial Performance Indicators
The key financial performance indicators 
of the Group are highlighted below. These
are monitored as part of the divisional
Monthly Operating Review meetings,
where performance against budget and
forecast is reviewed. 
2009 2008
£m £m
Revenue 345.8 321.9
Operating profit* 7.7 9.2
Operating margin* 2.2% 2.9%
Operating cash flow 18.2 (18.7)
Net debt 21.5 38.8
* Before exceptional items.
Non-financial key performance indicators
are as reported in the Corporate Social
Responsibility report on pages 20 to 23.
John O’Kane
Group Finance Director
13 July 2009 Overview of Activities in the Business
Jarvis Rail Limited (Jarvis Rail) is the rail
engineering arm of the business which
undertakes rail enhancement projects,
signalling and telecommunications, overhead
line and track renewals nationwide. The
business has maintained its position as a
major provider of infrastructure works to the
UK rail industry not only through the provision
of plain line and switch and crossing renewals
as one of Network Rail’s chosen track
renewals contractors, but also through the
delivery of some key enhancement projects.
Safety remains at the top of the agenda with
both the Rail and Plant teams continuing on
the mission to achieve zero accidents. The
period saw the company once again achieve
a highly credible safety performance with a
combined Rail and Plant Accident Frequency
Rate (AFR) of 0.18 at the end of the period. 
By comparison the trackside target set by
Network Rail is 0.18. 
The business undertook renewal work on 
the network every single weekend of the 
year successfully delivering upgrades and
improvements on 5,180 worksites including
around 400 core sites.
Revenues in the first half of the year exceeded
expectations, and were predominantly due to
the increase in enhancement project volumes
which continued through from the last half of
the previous financial year. 
Over the summer months Jarvis Rail was
involved in the successful delivery of a
number of high profile projects across the UK
rail network. Working closely with Network
Rail the teams drove forward the Airdrie-
Bathgate Rail Link in Scotland, undertook a
significant nine day blockade in Staffordshire,
progressed the Rugby Station remodelling
project and completed a substantial project at
Lincoln in the London North East (LNE) area.
The level of work completed in the given time
frame represents one of the most intensive
periods of activity undertaken by Jarvis Rail. 
The second half, particularly the final quarter,
has been hugely challenging for the business
as it began restructuring following the news
that Network Rail is deferring a significant
amount of its expenditure for enhancement
projects and track renewals until later in
Control Period 4 (CP4) which runs from 
2009-14. Due to this the business was
adversely impacted by a downturn in
replacement projects following the
completion of West Coast Route
Modernisation projects. 
Network Rail has stated that in deferring
some of its workload until later in CP4 it 
is looking to develop and implement more
efficient ways of working to ultimately
achieve a seven day railway. To this end 
the team has been developing an accelerated
track renewal process by using the
constituent parts of industry best practice
and we will be implementing practical trials 
in the first half of of 2009. Jarvis Rail is fully
engaged working closely with Network Rail
to ensure that we are at the forefront of such
initiatives and following the restructuring will
be a much leaner operation. 
West Coast Route Modernisation
The main focus of the year was the
completion of substantial works on the 
West Coast ahead of the introduction of the
new railway timetable in December 2008.
The successful completion of Network 
Rail’s West Coast Route Modernisation
programme, particularly the complex Rugby
Station Remodelling project, in time for the
opening of the route to 125mph traffic was 
an outstanding achievement by the team.
Work on the remodelling of Rugby Station
was regarded as one of the UK’s largest 
and most complex multi-disciplined rail
infrastructure projects and was completed
under some testing conditions. In a four 
week blockade over summer 2008 the team
installed an outstanding 3,750 metres of 
plain line, 43 new insulated block joints 
and 11 switch and crossing units.
When the full bank of works was completed
ahead of schedule in December, the
installation of a remarkable 66 switch and
crossing units, more than 30 kilometres of
new plain line track and extensive drainage
had been undertaken. Following the
successful completion of the works
numerous tamping shifts were also
undertaken throughout the week prior to
opening the line to enhanced permissible
speeds of 125mph. Working alongside
Network Rail engineers and monitoring train
the team received up to the minute track
geometry data detailing how the track was
performing during the speed increase
process, and targeted spot tamps from the
data in order to achieve the planned speeds. 
As well as the high profile remodelling at
Rugby work was also completed on projects
including several stages of the A09 line speed
enhancement project, Trent Valley Four 
Track (TV4) and the Ipswich to Ely gauge
enhancement.
Throughout the year the West Coast and
Scotland Track Renewal Company (strc)
teams, supported by the Electrical Projects
Group (EPG), worked on completing the A09
contracts. These included work on five route
sections between London and the Scottish
border with the largest of these projects the
multi-disciplined Route Section 12 (RS12)
which commenced in spring 2008. 
RS12 involved major civils, track renewals,
signalling, overhead line and mechanical 
and electrical systems works as part of the
remodelling of the infrastructure between
Stoke and Manchester and was split into
three key stages involving two major nine day
possessions in May and August 2008 and a
further major blockade in May 2009. During
the blockade in August the teams worked
more than 25,000 man hours on site with 200
on track plant shifts and 2,000 machine point
movements. The project was completed
without the team sustaining a RIDDOR*
reportable accident and the line was open 
on schedule.
The TV4 project, which involved the building
of two additional railway tracks to separate
freight trains and local passenger trains from
the fast passenger services, had a heavy
programme of works throughout the year. 
A solid performance resulted in significant
additional works being included in the project.
In total the teams installed 36 point ends and
18 kilometres of plain line track, slewed more
than eight kilometres of track and removed
14 point ends.
Track Renewals
Following the successful integration of the
East Midlands area in spring 2008 the LNE
Integrated Management Team (IMT) has
been wholly focussed on achieving the 
Key Performance Indicators (KPIs) set by
Network Rail. The KPIs were introduced by
the client in the early part of the year and
8 Jarvis plc Annual Report and Accounts 2009
Operating Review
Rail Jarvis plc Annual Report and Accounts 2009 9
were used to measure the performance 
of each territory and contractor. The team
bettered the results required for four
consecutive periods and has now qualified 
for a four year extension to the contract.
In November the LNE team was presented
with six ‘365’ safety challenge awards by
Network Rail in one month. Altogether the 
six depots totalled more than 3,650 days – or
ten years – project work without a RIDDOR
reportable accident, with the Darlington track
renewals team leading the way with an
outstanding three years RIDDOR free. The
Doncaster and Newcastle teams surpassed
two years and the Y ork switches and crossing
team, as well as the Peterborough and Leeds
plain line depots, all reached the major
milestone of a full year accident free. 
On top of a highly credible safety record the
LNE team continued to make improvements
to track quality throughout the year, especially
switches and crossings. The team delivered a
total of 411 composite kilometres of plain line
and 109 switch and crossing units compared
to 62 units the previous year.
Notable achievements include projects at
Sheffield Station, Deeping, Bradford and
Lincoln. The works undertaken by the Y ork
switches and crossing team at Lincoln as part
of a £63m signalling enhancement scheme.
During an intensive six week blockade over
the summer months the team delivered 22
point ends, five kilometres of track renewals
and platform extensions worth over £6m
safely within the time frame.
In June the team safely and efficiently
installed and commissioned 14 point ends 
at Sheffield during an 80 hour possession. 
In order to achieve this the point ends 
were delivered to site in 16 pre-constructed
panels. Over a period of three weeks the
Peterborough depot delivered a total of 3,621
metres of plain line at Deeping, 2,000 metres
of which were installed within a single 33
hour possession.   
Working with EPG the LNE team successfully
commenced the commissioning of the North
Erewash 1b project during the summer as
part of the East Midlands Signalling Renewal
programme. Working together they also
completed the remodelling of Bradford
Interchange Station during a nine day
possession in October 2008. The work bank
included the installation and commissioning
of 12 point ends along with renewal of more
than 1,350 metres of plain line. 
National Multi-disciplinary Projects
Despite the exit from the IMT track renewals
framework contract in Scotland at the end of
the previous financial year the team secured
additional work streams and has experienced
a particularly busy year.
As well as the contract for works on the
Airdrie-Bathgate Rail link, which commenced
in 2007 and continued throughout 2008, the
business secured new contracts during the
period including the second phase of the
Glasgow Airport Rail Link project and the
Lugton Loop renewal project in Scotland.
Both projects have started and are
progressing well. 
The enabling works for the Airdrie-Bathgate
Rail Link line enhancement project have 
been successfully delivered along with the
associated switch and crossing renewal on
the route. Working 24 hours a day during 
two 16 day blockades during July and
October the team successfully completed
the first three stages of the advanced works
between Boghall and Bathgate and the major
remodelling works between Livingston and
Newbridge. These works enable the twin
track operation for the full extent of the
branch between Newbridge Junction and
Bathgate Station.
Work extending more than eight kilometres
of new track from the existing Lugton Loop 
to a point just south of Stewarton Station
commenced in August 2008. Second
platforms are also being constructed at the
unmanned stations at Dunlop and Stewarton
which, along with the single platform at
Kilmaurs, will be capable of accommodating
trains of up to six carriages in length. This is 
a very complex, multi-discipline design and
build project which requires an integrated
approach to civils, rail, plant and electrical
services. Work is progressing and the 
team are focussed on ensuring that the
project maintains its momentum and is
commissioned in line with programme 
this autumn.
In the South work on the Thameslink
programme has continued throughout the
year with a variety of switch and crossing,
plain line, overhead line, signalling and station
improvement projects successfully delivered
in the restrictive and technically challenging
central London core of the Thameslink route. 
The team successfully completed the
Overhead Line works for the Olympic
Development Authority and is currently
working with Halcrow on the development 
of the Plumstead to Abbey Wood section of
Crossrail. Development of a programme of
key projects along various sections of the
Thameslink route has now commenced.
As well as working alongside the LNE 
track renewals, West Coast, Scotland and
Southern teams to deliver the signalling
design and build on projects such as Lugton
Loop, North Erewash, A09, RS12 and Rugby,
the EPG team has been exceptionally busy
delivering a number of high profile projects
including level crossing renewals at Moss,
Balne and Widdrington on the East Coast
Mainline as well as the renewal of the
crossing at Melton Lane between 
Doncaster and Hull.
In April 2009 the EPG team successfully
completed the Low Row Sector B Signalling
contract. This was a significant project
consisting of the design and build of a new
two storey signal box, complete conversion
of Low Row level crossing from manual
control to full CCTV control and the
refurbishment and re-control of two further
level crossings along with the renewal of 16
kilometres of line-side infrastructure. As part
of the five year Minor Signalling Renewals
Framework work has already commenced 
on two other schemes for line-side signalling
renewals at Peterborough Station and
Sleaford East. The team is also due to
commence work shortly on several other
level crossing conversions with associated
line-side signalling improvements including
one in North Staffordshire.
* Reporting of Injuries, Diseases and Dangerous Occurences Regulations 1995. Overview of Activities in the Business
Fastline is the trading name of the Group’s
Plant business, which operates as a division
of Fastline Limited. Fastline provides the 
rail industry with a wide range of on track
machines (OTMs), specialist plant and 
small plant equipment. Through its transport
business Fastline also manages an extensive
fleet of commercial vehicles, many of which
are purpose built, to serve the rail and other
specialist industries.
In the first half the Plant business continued
to benefit from the increase in rail volumes 
as it supported the extensive enhancement
works programme undertaken for key
Network Rail projects on the West 
Coast Main Line including RS12, Rugby
remodelling, Northampton and Milton
Keynes.
The On Track Machines (OTM) and Small
Plant businesses sustained a strong
performance in the year. However, in the final
quarter as a result of Network Rail’s decision
to reduce its track renewals volumes in 
2009-10 and the reduction in volume on the
OTM contract, the business commenced a
restructuring programme to accommodate
the lower volumes expected in the year to
April 2010 and cancelled its plans to order
new vehicles for its Transport division.
On Track Machines
OTM performed well in the year exceeding
expectations. This was in part as a result 
of the contract to operate and maintain
Network Rail’s fleet of Multi Purpose
Vehicles (MPVs). 
The fleet undertook weed spraying across
much of the network covering more than
37,000 kilometres of track over the spring
and summer of 2008 and the 2009 season 
is now well underway. Last spring was the
first season Fastline undertook weed
spraying with MPVs. The contract utilised 
six MPVs across the country from Penzance
to the North of Scotland and Wales. The
mobilisation required six new Herbicide
stores to be set up to service the chemical
deliveries and six new vehicles to deliver the
herbicides safely to the machines to ensure
compliance with the standards governing the
carriage and delivery of herbicides. The
operation of MPVs for Sandite rail head
treatment in Scotland, London North 
West and Western territories took place
throughout November and December 2008
with a total of 551 circuits completed treating
125,045 kilometres of track.
In addition to its own machines Fastline
operates and maintains a total of 48
machines that are owned by Network Rail
including seven MPVs, four Stoneblowers
across the LNE and Scotland territories, 
one Medium Output Ballast Cleaner (MOBC)
and 36 powered ballast distribution wagons.
During the year Fastline completed 34,264
metres of ballast cleaning in 56 shifts. In
December 2008 the MOBC team achieved 
a remarkable three years without a
reportable accident.
Of particular note is the support the team
provided to the Rail business during much 
of its major August blockade works on many
sites on the West Coast including Rugby 
and the RS12 works.
The National Framework contracts for
Tamping continued to perform as expected
with reliability once again outstanding
achieving 98 per cent. However, as a 
result of a reduction in demand by Network
Rail for 2009-10, OTMs supplied by the
Company will reduce significantly during 
this period. A new one year national contract
commenced in May 2009 and we are
working with Network Rail to understand 
its future requirements for a further seven
year contract to commence in 2010. 
During the year the Rail Recovery Train
collected 227.9 kilometres of scrap rail from
the trackside returning it to Network Rail’s
recycling depots. The contract has been
successfully extended for a further 
12 months until the end of March 2010.
We have achieved a 41 per cent reduction in
the number of environmental incidents that
relate to oil spillage. This has resulted in a 34
per cent reduction in the volume of oil being
spilt in the year.
International Machine Sales 
For some time we have been working with
companies in the Middle East, North Africa
and Central and Eastern Europe to assess their
machinery requirements and demand going
forward. These territories continue to be 
key growth markets for infrastructure
investments.
During the period Fastline successfully
exported a further 11 machines for work on
major projects abroad in countries such as
Saudi Arabia, Austria and Egypt.
In February 2009 a major contractor in Saudi
Arabia took delivery of six OTMs – two ballast
cleaners, a dynamic track stabiliser, a switch
and crossing tamper, a ballast regulator and a
Tramm – for work on several major projects
between Riyadh and Dammam. Fastline put
together a comprehensive service package
with training and support including two
technicians aiding with the familiarisation 
of the machines. 
Small Plant
Small Plant continued to perform well with
turnover improving leading to improved
operating margins. This was primarily due to
higher volumes from Rail activity in the first
half and cost efficiencies.
However, Small Plant will not been 
immune from the effects of Network Rail’s
announcement regarding reduction in track
renewals over the next year. The team spent
much of the final quarter downsizing its
operations to ensure the business is the right
size for the anticipated reduction in workload.  
Meanwhile, the Small Plant contract with
Metronet continued to grow during the
period with revenue up on the previous year.
The London depot established at Acton to
supply Metronet was relocated to new larger
premises at Chiswick and the business has
invested in extending its product range to
support the contract.
The provision of Permaquip Scissor Lifts to
Network Rail sites has increased over the
year. Fastline track side lighting continues 
to illuminate sites every weekend of the year
for external customers as well as the internal
10 Jarvis plc Annual Report and Accounts 2009
Operating Review
Plant Jarvis plc Annual Report and Accounts 2009 11
market. A total of 554 kilometres of lighting
was erected in the year, an average of 470
metres per shift. 
Specialist Plant
The track renewals system, Slinger
®
, whilst
performing well was not utilised as much as
anticipated especially in the final quarter as
rail volumes reduced. 
Whilst volumes were slightly down on the
previous year there was still an 11 per cent
increase on the utilisation from 2006-07. 
In total 221,000 sleepers were laid (88,400
concrete and 132,600 steel), which equates
to around 140 kilometres of track.
The track renewals system, Slinger
®
,
delivered 1,028 shifts on worksites across
the UK. As well as completing work for most
of the major contractors the track renewals
system, Slinger
®
, was utilised on major
projects for Jarvis Rail including the Airdrie-
Bathgate Rail Link, Trent Valley Four Track,
A09, Rugby station, Lugton Loop and the
Wolds Coast. 
The team is now focused on working with
Rail to deliver the accelerated track renewal
programme.
Fastline Transport
Fastline Transport has continued to maintain
its position as the operator of the UK’s largest
fleet of welfare vehicles. The specialist
welfare vehicle, Crewmaster
®
, has 
remained the most popular in the fleet and 
is successfully developing its customer base
outside the rail industry. 
However, the business was affected by
Network Rail’s decision to reduce track
renewals volumes in 2009-10 which led to
the Company cancelling its plans to order
new vehicles in the final quarter. 
Internal revenues for the year have been
impacted by the Group-wide drive for
efficiencies which has resulted in a drop in
the overall fleet number. The team has been
focussed on assisting the Group to operate
its fleet of vehicles in a safer and more
economical manner. Overview of Activities in the Business
Fastline Freight is the trading name of the
Group’s Freight business, which operates as
a division of Fastline Limited. Its results are
included in the Plant segment for reporting
purposes. As the Freight business accounts
for less than ten per cent of the Group’s 
total turnover, loss and total assets it is not
reported as a separate business segment 
in note 2 of these financial statements.
Bulk Haulage
In May 2008 Fastline Freight entered the bulk
haulage sector with the successful start up 
of its major contract hauling coal for E.ON 
UK plc (E.ON), one of the UK’s leading power
and gas companies. This contract, which was
initially for five years and worth in the region
of £40m, has so far performed in line with
expectations.
The business currently operates five Class 
66 locomotives and 94 coal hopper wagons
on this contract and is now hauling coal on
behalf of E.ON from Daw Mill, Immingham,
Liverpool, Bristol and Avonmouth to Ratcliffe-
on-Soar and Ironbridge power stations.
Attention has been paid to further improving
efficiency and productivity the results of
which have been most notable in planning
where effective utilisation levels were
improved from 72.7 per cent to 89.4 per cent
in the final quarter. Over the year the service
has performed well above the industry
average achieving an impressive 99.99 
per cent reliability of trains run/planned 
and punctuality of 95 per cent.
This together with Fastline’s innovative
approach to supporting the customer as 
it responds to competitive pressures, has
resulted in E.ON extending the contract from
its initial expiry in April 2013 to 31 December
2015. This has given Fastline the confidence
to order additional equipment. The successful
launch and phased roll out of the contract this
year marks a major milestone for the Freight
business.
The service offered to power generation
companies has been enhanced and extended
in the year to include solution design, change
management, and execution of customer
bespoke solutions. Our expectation is that
there will continue to be a demand for an ever
broadening range of integrated services and
Fastline Freight’s strong management.
Container Services
In contrast to the bulk haulage business the
container freight business, which operated
out of Thamesport, was severely impacted 
by the reduction in imports as a result of the
current global economic situation, the effects
of which became more apparent in the
second half of the year. With no material
prospect of improvement in the container
market in 2009-10 the company withdrew
from this activity in March 2009.
Safety
Freight once again achieved a remarkable
AFR of 0.00 for the year, managing to provide
all its services without a RIDDOR reportable
accident, highlighting the emphasis placed 
on safety across the business. Given the high
priority placed on safety by E.ON the team
continues to work alongside them to ensure
their safety objectives and targets are met.
12 Jarvis plc Annual Report and Accounts 2009
Operating Review
Freight Jarvis plc Annual Report and Accounts 2009 13
Overview of Activities in the Business
The Group’s Accommodation Services
business includes Jarvis Accommodation
Services Limited (JAS), Jarvis Training
Management Limited, Jarvis Construction
(UK) Limited and seven individual Special
Purpose Companies. These carry out the
Group’s facilities management and training
activities for both internal and external
customers. The construction division 
is largely inactive although there is one
remaining construction issue outstanding
which has been fully provided for.
The rationalisation of the business has 
been finalised this year with one further
disposal taking place and is now focussed 
on continuing the improvements made to
date with the emphasis on enhancing
performance.
Facilities Management (FM)
The management team has restructured the
business in its drive to improve service and
safety, as well as reduce costs and establish
an overhead appropriate for the size of 
the business. Financial and commercial
performance has improved over the period
and cash collection – both current and aged –
has once again been a priority. Outstanding
debtors are now in line with a business of this
type and size and improvements have been
made to the procurement process. Many of
the contracts have now reached their first
benchmarking dates providing the business
with the opportunity to further improve
performance. This focus will continue
throughout 2009-10. 
With the disposal of the Bishop Auckland
contract the business now comprises of 
24 contracts. These contracts cover the
management and provision of services at 46
properties including schools, hospitals, fire
stations, military buildings and council offices
as well as the management of services on
behalf of National Express and the British
Antarctic Survey.
Training Management
This business provides both bespoke and
nationally recognised qualifications and
partners with Local Authorities to provide the
service as well as providing training for JAS.
Safety
Safety remains of paramount importance and
work has been undertaken to increase the
Health and Safety and Environmental profile
across the business. Particular focus going
forward in the FM business will be on Carbon
Reduction Commitment.
Accommodation Services 14 Jarvis plc Annual Report and Accounts 2009
Biographies
Non-Executive
Directors
Executive
Directors
Executive
Chairman
Steven Norris (64)
Executive Chairman
and Chairman of the
Nomination Committee
Steven entered
Parliament in 1983 
and was Minister for
Transport from 1992 
to 1996. He is a former
Director General of 
the Road Haulage
Association. He is
Chairman of AMT-Sybex
Group and of Saferoad
BLG Ltd and a non
executive director of IT IS
Holdings plc, Speedcheck
Services Ltd, Ardmore
Construction Ltd and
Byrne Estates Ltd. He 
is also a Member of the
Boards of Transport for
London and the London
Development Agency.
Steven is President of
ITS UK, a Patron of the
Campaign for Better
Transport and a Vice
President of the Institute
of Advanced Motorists.
He is a Companion of 
the Institution of Civil
Engineers, a Fellow of
the Chartered Institute of
Logistics and Transport
and Fellow of the
Institution of Highways
and Transportation. 
He is Chairman of the
Nomination Committee.
Richard Entwistle (56)
Chief Executive
Richard has an
Engineering degree
from Leicester
University and is 
a chartered Civil
Engineer. Much of his
early career was spent
with Shephard Hill Civil
Engineering Ltd, a
company acquired by
Jarvis in 1990. He left
the Group in 1994 to
join Balfour Beatty
where he spent two
years developing their
fledgling Highway
Maintenance business
before joining Amey
plc in 1996 to manage
the rail business which
had been acquired as
part of rail privatisation.
He joined the main
Board of Amey plc 
in 1997 with the
responsibility for both
Amey Rail and Amey
Highways (and latterly
Tube Lines). Richard
joined Jarvis as Chief
Operating Officer 
with responsibility 
for the Group’s core
operations and was
appointed Chief
Executive in June
2006.
John O’Kane (51)
Group Finance Director
John is a fellow of the
Institute of Chartered
Accountants in Ireland
and has a degree 
in Economics and
Finance from the
University of Ulster. 
He joined Jarvis after 
a brief spell as Group
Finance Director at
Eco-Bat Technologies
Limited. Previously he
was Group Finance
Director of both
Peterhouse Group plc
and Kelda Group plc.
John has also
previously held senior
management roles
with ICI and Samsung
Electronics in the UK
and KPMG in South
Africa. John was
appointed to the Board
as Group Finance
Director in April 2006.
Elizabeth Filkin (68)
Senior Independent
Non-Executive
Director
Educated at
Birmingham
University, Elizabeth
spent her early career
as a lecturer and
community worker
before becoming 
Chief Executive of the
National Association 
of Citizens Advice
Bureau. In 1988 she
became Deputy Chief
Executive of the
London Docklands
Development
Corporation, a post 
she held until 1992. 
In 1993 she was
appointed Adjudicator
for the Inland Revenue,
and consequently 
for Customs and
Excise and the DSS
Contributions Agency
in the UK and Northern
Ireland. In 1999,
Elizabeth became
Parliamentary
Standards
Commissioner, a role
she held until 2002.
A former member of
the Audit Commission,
she is Chairman of
Annington Homes plc.
Elizabeth was appointed
to the Board in August
2003. She is the Senior
Independent Director
and a member of the
Audit, Remuneration
and Nomination
Committees.
Prof. Brian Mellitt (69)
Non-Executive
Director and Chairman
of the Remuneration
Committee
Brian is Non-Executive
Chairman of Building
Research
Establishment Limited.
He is Past President of
the Institution of
Electrical Engineers.
Additionally, he has
acted as Rail Adviser 
to N M Rothschild 
and Sons Limited for
international railway
restructuring projects.
He has previously 
held positions as
Professor of Electrical
Engineering at the
University of
Birmingham and
Director of Engineering
for London Underground
Limited; from 1995 to
1999 he was the
Director of Engineering
and Production and a
main Board member
for Railtrack plc. 
Brian was appointed 
to the Jarvis Board in
October 2002. He is a
member of the Audit
and Nomination
Committees and 
is Chairman of the
Remuneration
Committee.
Christopher Rew (61)
Non-Executive
Director and Chairman
of the Audit
Committee
Chris is a Chartered
Accountant and was
formerly a partner at
RSM Robson Rhodes
until April 2004, where
he was the partner 
in charge of Market
Sectors. Chris was also
an audit and advisory
partner at the firm with
a wide range of clients.
He was appointed to
the Jarvis Board in May
2004. Chris chairs the
Audit Committee and
is a member of the
Remuneration and
Nomination
Committees. Jarvis plc Annual Report and Accounts 2009 15
Key Management
Executive T eam
Richard Thornton (55)
Group Director
Engineering and HSQE
Richard has an 
honours degree in Civil
Engineering and before
joining Jarvis in 1998
he spent over 25 years
in the rail industry,
holding a number of
senior positions in
track and structures
maintenance and
renewal, as well as
contract management
within British Rail and
the newly-privatised
railway industry. He is 
a Chartered Engineer
and is a Fellow of the
Institution of Civil
Engineers. He was
appointed as Chief Civil
Engineer Jarvis Rail in
2000, Engineering
Director in 2004 and
became Group Director
Engineering and HSQE
in December 2006. 
He represents the
Railway Infrastructure
Contractors on a
number of industry
bodies.
Mark Akinlade (41)
Group Company
Secretary and General
Counsel
Mark has an honours
degree in Law and is a
practising Solicitor. He
started his legal career
in London’s West End
in 1993 and joined the
Group’s legal team from
private practice in June
2003. During his years
in private practice he
acted for a variety of
corporate, commercial
and insurance clients in
connection with their
business affairs, dispute
management and
commercial property
interests. He has 
been Group Company
Secretary and General
Counsel since May
2007.
Kjell Karlsen (51)
Group Commercial
Director
Kjell has a business
degree from Syracuse
University in the US and
has, besides positions
in finance, held 
senior international
management positions
in the fields of
procurement,
marketing and
contracts with
companies such as
Price Waterhouse,
United Technologies,
Champion Spark 
Plug Company, ABB
and Bombardier. He
joined Jarvis as Chief
Financial Officer in
March 2005 after
having worked in
several European
countries and in Asia.
He was appointed
Group Commercial
Director in April 2006.
John Snowdon (61)
Managing Director of
Jarvis Rail and Fastline
(Plant and Transport)
John's career in
mechanical engineering
started in the gypsum
industry. In 1974 he
joined Laing working
on major construction
projects overseas. 
In 1983 he joined the
UK construction arm 
of Laing and was
primarily involved in
the building of four
sections of the M25
and later set up its UK
plant hire business.
From 1986 to 1990
John was responsible
for the delivery of a
major highway project
in Jordan. On his return
to the UK he joined
Amey as Managing
Director of its fleet
business. Following
the Group’s acquisition
by Ferrovial in 2003
John played a major
role in the restructuring
of Amey and the
integration of a number
of Ferrovial international
businesses. In 2007
John joined Jarvis as
Managing Director of
Fastline Plant. In April
2009 his role was
extended when John
became Managing
Director of Jarvis 
Rail and Fastline,
taking up the day 
to day operational
responsibilities for the
Rail as well as Plant
business.
Stuart Laird (56)
Chief Operating Officer
Stuart’s earlier career
was in construction
including 3 years in the
Middle East and senior
appointments with
various construction
organisations. In 1993,
when Director of
Operations for Tarmac
subsidiary Schal
International he
successfully developed
Tarmac Facilities
Management. In 
1997 Stuart joined the
Building and Property
Group, a venture
capitalist backed public
sector FM business.
He joined their main
board in 1998 and was
instrumental in the
Group’s strategic
development and
eventual sale to
Interserve. Following
the integration of the
business and a post
acquisition lock in,
Stuart joined Jarvis 
in 2003 as part of the
JAS management
team and in April 2008
Stuart was appointed
as Chief Operating
Officer of the Group. 
In this role he has
concentrated on the
continued improvement
of Health and Safety
performance and
restructuring the
management team 
at the same time 
as preparing for 
the opportunities 
in future years.
Bernard Westbrook (62)
Group Human
Resources Director
Bernard is a qualified 
and seasoned personnel
professional. Prior to
joining the Jarvis Group 
in 1997 he spent over 
30 years in the railway
industry, holding a
number of senior posts 
in the personnel function
of various engineering,
operational, corporate
and subsidiary business
divisions of the former
British Railways Board. 
As Group Personnel
Director of British 
Rail Infrastructure
Services, he was 
heavily involved in the
railway privatisation
process. Bernard is
currently a member 
of the CBI’s Education 
& Skills Committee 
and Chair of the CBI’s
Employment Panel. Statement of Compliance with the
Combined Code
This report explains the Board’s application of
the principles contained within the Combined
Code on Corporate Governance issued by 
the Financial Reporting Council in 2006 (the
‘Combined Code’). The Board is committed
to the principles and provisions contained 
in the Combined Code and believes that the
Company throughout the period to 31 March
2009, and to the date of signature of this
statement, complied with the principles 
and provisions set out in Section 1 of 
the Combined Code and the Preamble 
to the Combined Code.
The Board
The Board as a whole is responsible for 
the management of the Company and takes
decisions on a range of issues across the
Group. Should Directors recognise a potential
conflict of interest in relation to any given
issue the Company has procedures in 
place to ensure that the Board’s powers 
to authorise such conflicts are operated
effectively and in accordance with its Articles
of Association. These procedures have been
complied with during the year.
Certain commercial matters are delegated 
to a Committee of any two or more Directors.
All matters considered in this way are
submitted for ratification at the next regular
Board meeting. The Board has delegated
certain authority to its Audit, Nomination and
Remuneration Committees, details of which
are included later in this report and whose
terms of reference are available on the
Company’s website and have been made
available throughout the year.
Management of day-to-day operations is
delegated to the Chief Executive and to an
Operational Executive Committee comprising
the Chief Executive, the Group Finance
Director and the Executive Team.
The Chairman
Steven Norris has been Executive Chairman
since September 2005, having previously
held the position of Non-Executive Chairman.
He was identified as independent on his
appointment to the Board. In addition to his
ownership of Park Place Communications, 
a consultancy specialising in transport 
and environment matters, his other
commitments include a number of
directorships, some of a charitable nature.
During the year under review Steven Norris’s
external commitments have increased as a
result of his appointment to the boards of the
London Development Agency and Transport
for London.
There is a written division of responsibilities
between the Chairman and the Chief
Executive. The Chairman is responsible 
for the effective operation of the Board’s
proceedings and the management of the
relationship between Executive and Non-
Executive Directors and the Chief Executive
is responsible for the Group’s operations.
Approximately quarterly, the Chairman meets
with the Non-Executive Directors without the
Executive Directors being present.
Directors
Details of the composition of the Board
during the period are set out in the Directors’
Report on page 29 and biographical details 
of each Director appear on page 14. As the
Board consists of the Executive Chairman,
two Executive Directors and three Non-
Executive Directors (all of whom are deemed
independent by the Board), the ratio of 
Non-Executive Directors to Executive
Directors during the year has been 1:1. 
The Group intends to maintain the ratio of 
at least one half of the Directors, excluding
the Chairman, being independent Non-
Executives and maintains under review the
balance of skills currently available amongst
the Non-Executive Board members. Elizabeth
Filkin is the Senior Independent Director.
There were no changes to the composition 
of the Board during the year. None of the
Executive Directors hold Non-Executive
directorships in FTSE 100 companies. 
All Directors are appointed for a specific 
term and are subject to re-appointment by the
Company at the first Annual General Meeting
(AGM) after their appointment by the Board
and every three years thereafter. Biographical
material, together with an explanation of why
the Board recommends the re-appointment
of a Director, is given to Shareholders prior 
to the AGM.
16 Jarvis plc Annual Report and Accounts 2009
Corporate Governance Statement
Directors’ attendance at Board and Board Committee meetings during the year is shown in the table below. 
The figures include attendance at Committee meetings by Executive Directors, who periodically attended by invitation. 
Audit Nomination Remuneration 
Director BoardCommitteeCommitteeCommittee
Number of Meetings held 24 5 1 4
R Entwistle 24 4 – 2
E Filkin 24 5 1 4
B Mellitt 23 5 – 4
S Norris 24 4 1 2
J O’ Kane 23 4 – –
C J Rew 23 5 1 4
1 In addition to the above the Board met as a Committee on one further occasion during the year to approve the change of location of the Company’s Register 
of Members.
2 The number of Board meetings increased during the year primarily as a result of the need to consider Network Rail’s decision to defer a significant amount 
of its expenditure for enhancement projects and track renewals. Jarvis plc Annual Report and Accounts 2009 17
The Group Company Secretary and General
Counsel ensures that Directors not only
receive a suitable induction to the Board
and any training they consider necessary 
on appointment, but also that they receive
any ongoing training, which they require.
Briefings on the Group’s operations and 
site visits are arranged as appropriate. 
The Group Company Secretary and General
Counsel also ensures the timely flow of
information and provision of sufficient
resources to the Board and its Committees.
Any Director may, if necessary, seek
independent external advice at the
Company’s expense and has access to 
the Group Company Secretary and General
Counsel for his advice and services and 
to procure such independent advice 
if requested. Any concerns which a
Director may have about the running of 
the Company, or a proposed action, are
recorded in the Board minutes. If any 
such concerns arise and are not addressed,
a Non-Executive Director would be able 
to provide a written statement to the
Chairman setting out the basis of such
concern.
Performance Evaluation
A performance evaluation review was
undertaken during the period. Interviews
with each Board member, structured 
in accordance with a template in
questionnaire form, were conducted by 
an external facilitator. The Non-Executive
Directors, led by the Senior Independent
Director, were responsible for the
performance evaluation of the Chairman,
taking into account the views of Executive
Directors. The resultant reports were
considered by the Board and adopted.
Audit Committee
The members of the Audit Committee
throughout the year were Chris Rew
(Chairman of the Committee), Elizabeth
Filkin and Brian Mellitt, all independent
Non-Executive Directors. All other
Directors are entitled to attend the
Committee’s meetings, which are also
attended by the Group Company Secretary
and General Counsel, Head of Group
Internal Audit and a number of nominated
senior specialist staff. The Group Company
Secretary and General Counsel or his
deputy is the Secretary to the Committee.
Chris Rew, a Chartered Accountant, 
is considered by the Board to have the
necessary and relevant financial experience
for his role as Chairman. Elizabeth Filkin,
being a former member of the Audit
Commission, also brings invaluable
experience as does Brian Mellitt from 
his extensive business experience. 
During the year the Committee met
formally on five occasions and undertook
the following activities:
– reviewed the Group’s financial statements
for the year ended 31 March 2008 and 
for the half year ended 10 October 2008
ensuring that appropriate accounting
policies and compliance procedures were
in place;
– agreed the scope and nature of the Group’s
external audit and considered the resultant
reports agreeing follow-up actions; 
– considered the ratio of audit and non-audit
fees paid to the Group’s external auditors,
the level of non-audit expenditure, and the
external auditors’ ongoing independence;
– considered and approved the programme
of work of the Group’s Internal Audit
function;
– reviewed reports relating to the work 
of the Group’s Internal Audit function;
– evaluated the effectiveness of the 
Group’s systems of internal control
and risk management (see Internal
Controls below); and 
– reviewed and approved amendments 
to the Group’s Delegated Authority
procedure, finance manuals and
whistleblower policy.
The whistleblower policy was updated
during the year to ensure it continued to
operate effectively and is discussed in
further detail in the Corporate Social
Responsibility report on page 20. 
In addition to the formal meetings the 
Non-Executive Directors met on more than
one occasion during the year without the
presence of the Executive Directors and
held part of the meeting with the external
auditors to review the Group’s financial
statements without the presence of other
parties. The Chairman of the Committee
also met regularly throughout the year 
with the Head of Group Internal Audit.
In 2008 the Audit Committee undertook 
a facilitated self-assessment of its
effectiveness. A further self-assessment
has not been undertaken during the 
year under review. The Committee has
nonetheless progressed the course of
action agreed in 2008 to address the areas
of improvement identified at that time and
to build on its existing strengths.
Audit Committee minutes and reports are
provided to all Board members.
Nomination Committee 
The members of the Nomination
Committee throughout the year 
were Steven Norris (Chairman of the
Committee), Elizabeth Filkin, Brian Mellitt
and Chris Rew, all save the Chairman being
independent Non-Executive Directors.
Richard Entwistle, the Group’s Chief
Executive may attend by invitation.
The Nomination Committee is 
responsible for:
– identifying and nominating for the approval
of the Board suitable candidates to fill
Board vacancies;
– undertaking succession planning for 
the Board and senior management; and
– making recommendations to the Board
regarding the re-appointment of all
Directors.
The Committee only met once during the
year to 31 March 2009 as it was not called
upon to make any changes to the Board.
Succession planning was also discussed 
in the course of Board meetings or 
in meetings between the Executive
Chairman and the Non-Executive 
Directors. At meetings where discussion
on the appointment of a Nomination
Committee member takes place, the
candidate absents themselves from 
the discussions.
When considering suitable candidates for
the Board the Committee takes account 
of the skills, knowledge and experience
required on the Board before commencing
a search based on objective criteria. The
Group Company Secretary and General
Counsel acts as Secretary to the
Committee and the Group Human
Resources Director reviews the experience
and qualifications of candidates to enable
the Committee to assess issues of
independence, time commitment,
succession and Board balance.
Independent external advice is sought 
and external search consultants are used
by the Committee to ensure that a wide
range of candidates is considered when
appointments are being considered. Remuneration Committee
The work of the Remuneration Committee
and the Group’s compliance with the
Combined Code in relation to Directors’
remuneration is given in the Directors’
Remuneration Report on pages 24 to 27. 
Shareholder Communications
The Company welcomes and encourages
constructive Shareholder dialogue.
The AGM affords all shareholders the
opportunity to meet and question Directors.
The Chairmen of the Audit, Nomination 
and Remuneration Committees are also
available to answer questions regarding the
work of their Committees. Private investors
are encouraged to attend the AGM and
other General Meetings or, if they cannot, 
to vote by proxy. Outside of this forum
Shareholders are kept informed of
developments through the release of news
via the regulatory information services and
press releases are made available on the
Company’s website.  
The Chairman, Chief Executive and Group
Finance Director meet with institutional
shareholders, their representative bodies
and analysts on an ad hoc basis. Details of
these meetings are reported to the Board.
The Chairman, the Non-Executive Directors
and the Group Company Secretary and
General Counsel are also made available 
to meet with representatives of investor
protection bodies and the views of these
bodies are also reported to the Board.
Additionally, at each regular meeting, the
Board receives a report from the Group
Company Secretary and General Counsel 
on the relative share price performance of
the Company, movements in institutional
shareholdings and reports on the beneficial
holders of the share capital. Consideration is
also given to information on the issues and
concerns of the investment community.
Internal Control
The Board acknowledges that it is
responsible for the Group’s system of
internal controls and for monitoring its
effectiveness.
The Board has supplied a written
delegation of matters to its Committees as
outlined above but retains the responsibility
for setting the overall strategy, approving
annual budgets, authorising significant
investments and disposals, approving
significant contracts outside the ordinary
course of business and setting Treasury
and borrowing policy.
There has been a process for identifying,
evaluating and managing significant risks
(both financial and non-financial) throughout
the year to 31 March 2009 and up to the
date of approval of the financial statements
for that year. This has included the
following:
– updating and clarifying the Delegated
Authorities at Board level;
– revising and reissuing the Whistleblower
Policy;
– reviewing and updating of the Control 
Self Assessment Questionnaires; and
– reviewing the Risk Management Process.
The internal control system is monitored
through review visits from the Group’s
Internal Audit Department, which acts
under the overall control and direction 
of the Audit Committee. 
The Board receives and reviews frequent
reports on performance against budget,
strategic planning, operational issues, risk
management and the ongoing process
improvements being developed in the
business. The quality of each report is
subject to critical review by both the Board
and the Audit Committee. As a result the
review of internal control throughout the
period has exceeded the annual review
minimum recommended by the Combined
Code.
The system comprises principally:
– a risk identification, evaluation and
management process;
– clear delegations and limits of authority;
– clear authorisation and review procedures;
– independent internal audits;
– regular review by the Board of risk
registers;
– regular review by the Audit Committee 
of internal and external audit reports;
– regular divisional Monthly Operating
Review meetings attended by the 
Group’s senior management;
– regular contract review meetings 
at a senior level;
– monthly reporting of results against budget
and forecast, with variances explained;
– process of Control Self Assessment of 
key finance controls;
– regular reviews of tax matters;
– an annual review of the insurance
programme;
– reviews, at least annually, of pensions
exposures and risks;
– monthly reports on disputes and litigation;
– a Whistleblower Policy;
– a Nominations Committee to consider
Board appointments and succession
planning; and
– monthly reports on health, safety, quality
management and environmental matters.
However the Group’s system of internal
control can only provide reasonable, not
absolute, assurance against material
misstatement or loss as it is designed to
manage rather than eliminate the risk of
failure to achieve business objectives.
Evaluation of Business Risks
During each of the last four financial years
we have reviewed our risk identification,
evaluation and reporting processes 
by surveying the Board and senior
management. The latest survey revealed
that progress has been made in a number
of areas. These include improvements 
to the identification of safety risks and the
strengthening of the Group Internal Audit
team during the year. However, there
remains further work to be done to improve
and develop the way that external risk
factors are mitigated against and to further
enhance the risk management process as 
a whole. The Board continues to ensure
that risk identification and evaluation 
are embedded within the operational
processes of the business.
Throughout the year business risk
continued to be formally considered in 
the Monthly Operating Review meetings 
of each division. Key issues identified
during these meetings are consolidated
and any significant issues are reported to
and addressed by the Board and the Audit
Committee. A review of this process has
identified areas for improvement; these
modifications will be rolled out in the
forthcoming financial year. 
In the previous financial year the risk
management process was enhanced
through the development and
implementation of a programme of 
Control Self Assessments. A recent 
review identified areas that could 
be improved in the self-assessment
questionnaires and these changes 
were incorporated during the year.
18 Jarvis plc Annual Report and Accounts 2009
Corporate Governance Statement Jarvis plc Annual Report and Accounts 2009 19
The Board confirms that the ongoing process
for identifying, evaluating and managing
significant risks (both financial and non-
financial) faced by the Group accords with 
the Turnbull Guidance for Directors ‘Internal
Control: Guidance for Directors on the
Combined Code’ and has been in place for
the period under review and up to the date 
of approval of the Annual Report. This is
regularly reviewed by the Board.
Insured Risks
The Group obtains comprehensive insurance
cover for its operations, including cover for
third party liability, employers’ liability and
material damage. Network Rail has continued
to provide an industry-wide third party 
legal liability insurance scheme for all
infrastructure and associated work to the
level of £155m as required by the Office of
Rail Regulation. The Group’s Rail and railway
related Plant operations continue to benefit
from this cover. The Group maintains
separate third party liability insurance up 
to £155m for its Freight operation and all
other work is covered to a level of £60m.
Directors and Officers of the Company and 
its subsidiaries have the benefit of a Directors
and Officers Liability insurance policy which
provides appropriate cover in respect of legal
actions brought against the Directors. 
Internal Audit
The Group Internal Audit function provides 
an independent mechanism for monitoring
and reviewing internal control effectiveness
across the Group. The Head of Internal Audit
reports directly to the Audit Committee and
attends all Audit Committee meetings. The
terms of reference for the function continue
to be supported by the Audit Committee,
with the main focus being the assessment 
of the internal control environment. Group
Internal Audit continues to develop risk
assurance within the business risk review
process. Audit Committee approval is
required for any change in the appointment 
of the Head of Internal Audit. The annual 
audit plan for the period ended 31 March
2010 was developed and agreed by the Audit
Committee during the year under review. 
Group Internal Audit reviews are carried out
independently to assess the adequacy and
effectiveness of internal controls over the 
key risks faced by the business and reports 
of its findings are presented to management,
the Executive Directors and the Audit
Committee. Follow up reviews are also
conducted to check on the implementation 
of the recommendations of these reports.
Group Internal Audit also advises on best
practice in the design and application of
internal controls on key business projects 
and on policy and procedural change.
This statement has been approved by the
Board and is signed on its behalf by:
Mark Akinlade
Secretary
13 July 2009 Corporate Social Responsibility
Framework
At Jarvis plc we are committed to achieving
long-term profitable growth through our
various business activities. In pursuing our
economic goals we are conscious of the wide
range of stakeholders with whom we interact
and of the impact our operations may have 
on the wider community and environment.
We work hard to ensure, therefore, that
these interactions and impacts are
underpinned by a set of behaviours and
codes of internal governance designed to
ensure that we act in a responsible and
sustainable manner. 
Our Principles
To achieve this the Company operates within
a framework of 9 Principles which define the
way we do business across the Group. These
Principles, which address both compliance
and aspiration, are summarised in the table
below and set the standards we strive to
achieve. They define what is acceptable
business behaviour, guide us in what is not,
and form a fundamental part of the way we
do business.
Progress Against Principle 1
The Group has continued to strive hard 
to deliver Shareholder value in what has 
been a period of economic uncertainty
unprecedented in recent times. The efforts 
of all those within the Group who have
enabled it to deliver the pre-tax profit, before
exceptional items, reported in the financial
statements bear witness to its determination
to meet its objective of delivering the
sustained and consistent performance
Shareholders seek. During times of economic
uncertainty it is more important than ever 
that these efforts are underpinned by the
stringent levels of corporate governance and
the culture of accountability and transparency
the Group has continued to promote
throughout the year. Full details of the
Company’s Corporate Governance activities
are given in the Corporate Governance
Statement on pages 16 to 19.
Progress Against Principle 2
The Board continues to maintain and promote
integrity, ethics and transparency in the
Group’s dealings with all its stakeholders. 
An important mechanism through which
breaches of policy or significant shortfalls in
standards can be brought to its attention is
the Group’s whistleblower policy. The policy
provides employees and others with a
confidential route (including a telephone
hotline and independent email address)
through which concerns about financial 
and other matters can be raised with Non-
Executive members of the Board in the event
that normal channels prove insufficient or
inappropriate. It has continued to operate
throughout the year and since the last report
steps have been taken to update the policy to
ensure it is still fit for purpose and to raise its
profile amongst employees via the Group’s
intranet site, team briefing process and local
notice boards.
Progress Against Principle 3
Our employees remain key to the success 
of our business. The need to downsize our
operation in the latter part of the year as
described in the Chairman’s Statement 
has therefore been particularly painful and 
it is with sadness that these events have
necessitated the loss of jobs across the
Group. In carrying out this difficult process
we have nonetheless recognised the rights 
of employees and ensured that due process
20 Jarvis plc Annual Report and Accounts 2009
Corporate Social Responsibility
Our Principles
1.  Corporate Governance and Accountability
We will be accountable, promote Shareholder value, and operate transparently and to a high standard of corporate responsibility, to deliver
our long-term commitments.
2.  Integrity and Ethics
We will be ethical, lawful, transparent and honest, in our business operations.
3.  Employees
We will promote a diverse, committed, and well-trained workforce that recognises the rights of all employees.
4.  Business Partnerships
We believe partnerships are a fundamentally important way to do good, successful and meaningful business.
5.  Supply Chain Responsibility
Our supply chains are important, so we will work to support suppliers and subcontractors that want to work with us to improve the way we
do business. We will stop working with those that do not.
6.  Community Engagement
We will work with and in our communities as part of the service we deliver to support their growth and development. 
7.  Continuous Improvement in Health and Safety
Safety is our number one priority for employees, users and subcontractors. We insist on the same level of commitment to safety from our
subcontractors and suppliers. We will do all we reasonably can to design, build and manage safe projects and services.
8.  Our Ecological Footprint
We view continuous improvement in our environmental performance as an integral part of the services and facilities that we deliver. We will
do this in accordance with recognised environmental management systems.
9.  Innovation and Risks Review
We will use innovation and robust risk management tools to reduce risk, promote opportunities and improve the services and products that
we deliver to our customers and users.  Jarvis plc Annual Report and Accounts 2009 21
has been followed. Despite the difficulties
that many have had to face our employees
have continued to demonstrate commitment
and professionalism throughout. Our policies
to prevent discrimination on the basis of
disability, gender, age, sexual orientation
marital status, ethnicity or religious belief 
and to encourage diversity and opportunity
have remained in place throughout the year.
We have also continued to operate training,
retraining and further development
programmes to ensure effective working
practices and provide for career development
where appropriate.
Progress Against Principle 4
Collaborative working arrangements remain
key to the successful execution of many 
of our contracts. A prime example is the 
use of Integrated Management Teams in 
our Rail business where we work jointly with
Network Rail to deliver mutually beneficial
outcomes. Work under these arrangements
was reviewed on a monthly basis as part 
of the Group’s Monthly Operating Review
process. The Group remains committed 
to long-term framework agreements 
which enable sustainable continuous
improvements for all parties involved.
Progress Against Principle 5
New additions to the Jarvis supply chain
continue to undergo a rigorous accreditation
selection process, which assesses a broad
range of criteria to ensure they follow best
practice in safety, social, environmental 
and commercial performance. It is still 
the Group’s aim to move to fewer better
suppliers in its supply chain. Some progress
has again been made during the period in
respect of our supplier reduction programme,
but the opportunity remains to reduce
suppliers further in 2009-10.
Progress Against Principle 6
We appreciate that, whilst delivering 
long-term benefits, our engineering works
can at times cause short-term periods of
disruption to the lives of others. Our Rail 
and Plant businesses always try to minimise
this disruption and as a minimum try to
ensure that all communities affected by 
our engineering works are fully briefed 
in advance.
We have continued our involvement 
in school safety talks to educate people,
especially young people, about the dangers
of railway infrastructure and consequences 
of railway crime. These have been carried out
in conjunction with Network Rail and British
Transport Police.
Jarvis Training Management Limited
continues to deliver NVQ training to around
1,000 non-teaching staff in schools covering
the ‘Every Child Matters’ and ‘Healthy Eating’
initiatives. Our congratulations go to the 966
people who successfully completed their
externally recognised qualifications through
Jarvis Training Management Limited during
the year:  613 at NVQ Level 2; 312 at NVQ
Level 3 and 41 at Apprenticeship Levels 2 
and 3. 
Progress Against Principle 7
Throughout the year the Group has remained
committed to conducting its business
activities in a way that seeks to prevent 
injury or ill health to its employees and
anyone else who may be affected by its
activities. As such safety has remained our
number one priority and we have continued
to instruct our employees and suppliers to
work safely at all times. To underpin our
commitment to safety we are now working
towards obtaining certification of our 
safety management system against the
ISO18001:2007 standard covering
occupational health and safety management
systems, a key requirement of which is a
commitment to continual improvement.  
Policy and Objectives
During the year health and safety policies
were reviewed and re-issued and we
prepared, agreed and issued Group level and
business specific Health, Safety, Quality and
Environment (HSQE) Improvement Plans
covering the period up to March 2010. 
These contain a variety of risk based
improvement objectives with Fastline
Limited’s improvement plan also supporting
the wider railway industry’s ‘strategic 
safety plan’.
Performance
In terms of performance the rail business
achieved a pleasing 10 per cent reduction 
in its accident frequency rate (AFR), the key
performance indicator for safety, compared
with the previous year and Fastline a
noteworthy 55 per cent improvement.
Internal AFR performance targets were 
met in both businesses with the rail business
also meeting the stringent AFR target set by
its principal client. Following a 40 per cent
reduction in 2007-08, the AFR in the Facilities
Management business rose during the year.
The reasons behind this were subject to
investigation and analysis and a robust
reduction strategy is being implemented 
to achieve a specified improvement goal. 
In addition to AFR monitoring the Company
has also introduced a complementary safety
performance measurement tool based on
fatalities and weighted injuries.
Using its industry leading ‘Safety Check
Number’ (SCN) process the Company set 
and monitored an SCN target that required 
at least 85 per cent of its work on railway
infrastructure to be undertaken in a ‘green
zone’ (where no train movements are made
or where staff are physically separated from
them). This target was achieved throughout
the year and in many periods significantly
exceeded.
Behaviour Based Safety
The Company’s internal training organisation
was accredited by IOSH in 2008 to deliver 
its ‘managing safely’ and ‘working safely’
training programmes. Managers, supervisory
staff and artisan staff within the Group have
now started to attend these courses and all
will be required to participate over the next
two years.
Following analysis it became clear that
‘behaviour’ played a significant role in the root
causes of accidents and incidents in the rail
business. We are working with a recognised
specialist ‘people coaching and development’
company to focus improvement efforts in 
this area.
Aspects and Impacts
Via the Company’s ISO14001:2004
certificated environmental management
system the aspects and impacts associated
with its activities continue to be well
understood. One of the most significant of
these impacts is the unintentional loss of oil
from the operation of plant and equipment.
When compared with the previous year a 41
per cent reduction in the number of reported
incidents has been achieved during the year
together with a similar reduction in the
quantity of oil lost.
Progress Against Principle  8
The Group’s Environmental Management
System underpins its commitment to the
effective identification and management of
the environmental risks associated with its
activities. The system is audited externally 
by Lloyds against the international standard
ISO 14001:2004 and operated by the 
Rail and Fastline businesses. The system 22 Jarvis plc Annual Report and Accounts 2009
Corporate Social Responsibility
helps both businesses not only meet their
legal and contractual obligations but also
enables them to effectively manage the
environmental impacts and risks that arise.
During the year environmental manuals 
and procedures have been reviewed and 
are now updated on a six-monthly basis to
ensure that they remain focussed on the
specific needs of the business. As well as
external audit the system is subject to a
programme of internal audits focussed 
on driving continual improvement within 
the business. 
Progress on 2008 Environmental
Objectives
During the year satisfactory progress 
has been made on all objectives. Key 
non-financial performance indicators are
given in Tables 1 and 2.
It is particularly pleasing to report that once
again the number and volume of oil spills has
reduced, with a 41 per cent reduction in the
volume of hydraulic oil spills and leaks being
achieved within Fastline compared to the
previous year (see Table 1). Jarvis continues
to report all spill incidents, rather than simply
those that exceed the Environment Agency’s
reporting requirement of over 20 litres, and is
regarded by its principal client as a leader in
environmental incident reporting. 
Table 1 – 2008 OTM Hydraulic Oil Spills
Number of spill incidents
Amount of hydraulic oil lost in litres (000)
Average oil lost in litres / number of spills
The number of spill incidents has decreased
when compared with 2007 and the average
oil lost in litres against number of spills
reduced. This is again at the lowest level
since our spill data records began in 1998.
Fuel consumption in the year has reduced
marginally reflecting decreased activity within
the business (see Table 2). The Company has
also commenced an electric powered vehicle
trial to assess the viability of suitable
alternatives to diesel.
Table 2 – Fuel Consumption
Fuel use in litres (000)
Road Vehicle, Small Plant and OTM CO2
Emissions 2000-08
Number of cars / machines
Number with diesel engines
Number with petrol engines
CO2 emissions (Tonnes per M/c/pa)
Conversion factors used from DEFRA
web site.
Notes
1 All road vehicles and small plant data
included from 2005.
2 On Track Machines data added from 2006.
The Group has also achieved significant
results in reducing the amount of waste going
to landfill with an overall recycling rate of 37
per cent.
2000
2001
2002
2003
2004
2005
2006
2007
2008
0 20406080100
2000
2001
2002
2003
2004
2005
2006
2007
2008
0246810 12 14
2000
2001
2002
2003
2004
2005
2006
2007
2008
0 50 100 150 200 250 300 350 400
2003
2004
2005
2006
2007
2008
1,000 5,000 10,000 15,000
2000
2001
2002
2003
2004
2005
2006
2007
2008
2000
2001
2002
2003
2004
2005
2006
2007
2008
0 500 1,000 1,500 2,000 2,500
0 500 1,000 1,500 2,000
2000
2001
2002
2003
2004
2005
2006
2007
2008
0 100 200 300 400 500 600
2000
2001
2002
2003
2004
2005
2006
2007
2008
0246810 12 Jarvis plc Annual Report and Accounts 2009 23
Environmental Objectives for 2009
New environmental objectives have been set
for 2009. These include the delivery of further
reductions in the amount of waste sent to
landfill sites, the production of Energy
Management Plans for all of the Company’s
locations and the continuing monitoring of
fuel usage in order to set further consumption
and cost reduction targets.
Progress Against Principle 9
Formal risk reviews have continued to be
undertaken as part of the Group’s normal
commercial processes and as part of its
commitment to meet its health, safety,
quality and environmental obligations. 
During the year, however, the Group’s overall
Risk Management Process has been subject
to review as discussed in the Corporate
Governance Statement on page 18. The 
aim of this review was to enable the Group 
to recognise better the overall risks it faced
and to understand more clearly the sources
upon which it relied for assurance that these
risks were being managed effectively. Having
concluded this review steps will be taken 
in the coming year to strengthen the Risk
Management Process creating a more 
unified approach across the Group where
best practice in any given area can be
introduced throughout the Company. 24 Jarvis plc Annual Report and Accounts 2009
Directors’ Remuneration Report
Information Not Subject to Audit
This report, which also forms part of the
Group’s report on its corporate governance
activities, has been prepared on behalf 
of the Board and will be submitted for
shareholder approval at the forthcoming
Annual General Meeting.
The Remuneration Committee
The members of the Remuneration
Committee throughout the year were 
Brian Mellitt (Chairman of the Committee),
Elizabeth Filkin and Chris Rew, all
independent Non-Executive Directors. 
The Committee determines, on behalf 
of the Board, the policy of the Group for
balanced executive remuneration and
specific remuneration packages for 
each Executive Director and other senior
employees who report to the Chief
Executive. This authority extends to
pension rights, terms of service contracts,
and incentive schemes, both equity and
non-equity based. The Committee has 
the discretion to consider corporate
performance on environmental, social 
and governance issues when setting
remuneration of Executive Directors 
and is mindful to ensure that the incentive
structure for senior management does 
not raise environmental, social and
governance risks by inadvertently
motivating irresponsible behaviour. 
The remuneration of Non-Executive
Directors is a matter reserved for 
the Board.
The Committee met four times during the
year primarily to consider matters relating
to the remuneration of Executive Directors
and the Executive Team. The Group’s Chief
Executive attended by invitation. The Group
Company Secretary and General Counsel
acted as Secretary to the Committee and
together with the Group Human Resources
Director provided the Committee with
advice and assistance on the current
entitlements of Executive Directors 
and the Executive Team based on their
performance against targets. No individual
attended any parts of the Committee’s
meetings which directly affected their 
own remuneration.
Independent external advice was provided
during the year by Hewitt New Bridge
Street, who were formally appointed by 
the Committee on 13 March 2003. 
They provided advice on employee 
and executive incentive schemes and
information on comparative remuneration
from a selected peer group of companies
and companies from the FTSE small cap
group selected in terms of activity, market
capitalisation, turnover and employee
numbers.
Remuneration Policy
In terms of Directors’ remuneration 
it is the Group’s policy:
– to ensure that total rewards are designed 
to support the Group’s strategy and are 
set at levels that are competitive within 
the relevant market;
– not to award share options in any year
which amount to greater than an Executive
Director’s annual salary or to award
performance shares which would have 
a value greater than 50 per cent of the
Executive Director’s salary in any one year;
– to ensure that incentive based awards can
only be earned through the achievement 
of demanding performance conditions
which are designed to be aligned with the
interests of the Shareholders in the short,
medium and longer terms; and
– to ensure that remuneration packages are
designed to maintain a balance between
fixed and variable elements of
remuneration which the Committee
believes is appropriate.
This policy, which is unchanged from the
previous year, has been adhered to during
the year under review and it is intended that
it will be remain in place in the coming and
subsequent years.
Details of the performance conditions
which apply to each Director’s entitlement
to share options and the objective
measures which are used to assess
whether or not they have been met are
given on page 27.
Executive Directors’ Service
Agreements
Brief details of the terms of each Executive
Director’s service agreement are set out in
the table on page 26.
It is the Group’s policy to offer rolling 
one year service agreements which can 
be terminated by the Company on not 
less than 12 months’ notice, and by the
individual Director on not less than 
6 months’ notice. Such terms are 
deemed appropriate by the Remuneration
Committee given the nature of the
business.
The Remuneration Committee is
authorised to determine the compensation
terms on any early termination of a
Director’s service agreement. The
Committee considers it fair and reasonable,
in the event of termination, to respect
these existing contractual terms. On
termination a Director will normally be
entitled to payment of full salary for the
relevant notice period together with any
accrued holiday entitlement, subject to a
balanced view of reasonable mitigation.
Options granted to a Director may become
exercisable dependent upon the reasons
for the termination. Compensation
arrangements for loss of office on a change
of control are outlined in the Directors’
Report on page 30.
Where the Company releases an Executive
Director to serve as a Non-Executive
Director elsewhere, the impact of this on
the Director’s remuneration is considered
by the Remuneration Committee.
Non-Executive Directors’ Letters 
of Appointment
Brief details of each Non-Executive
Director’s letter of appointment are 
set out in the table on page 26. 
The period of notice to be given to 
Non-Executive Directors by the Company 
is 12 months, having been increased in
2005 from three months in view of the
exceptional demands made on them at 
that time. There are no provisions for
compensation on early termination of 
these contracts.
The terms and conditions of appointment
of the Non-Executive Directors are available
for inspection at the registered office of the
Company and are made available for
inspection at its AGM.
Elements of Remuneration
Details of the elements of remuneration
paid to Executive and Non-Executive
Directors are shown on page 26. Jarvis plc Annual Report and Accounts 2009 25
200
150
100
50
0
Value (£)
Key
Source: Datastream
31 Mar 04 31 Mar 05 31 Mar 06 2 Apr 07 31 Mar 08 31 Mar 09
Jarvis             FTSE All Share Support Services Index
Basic Salary and Fees
Executive Directors’ receive a basic 
salary which is reviewed each year by the
Remuneration Committee to ensure that 
this, together with other elements of 
their remuneration package and benefits,
represents a fair return for employment. 
Due consideration is given to performance
and reward relative to that of comparable
companies and the Group’s position.
The Non-Executive Directors receive 
an agreed basic fee. In addition, they 
receive compensation in recognition of the
additional responsibility assumed in chairing
Committees or assuming specific roles 
as follows: Chair of Audit Committee:
£10,000 per annum; Chair of Remuneration
Committee: £7,500 per annum; Senior
Independent Director: £5,000 per annum.
These additional fees are included in the
amounts of Directors’ remuneration
disclosed on page 26. Non-Executive
Directors are also entitled to remuneration 
at a rate per day of 1/24 of their basic fee for
any days service in excess of the 24 days per
annum for which they originally contracted.
Bonus Scheme
Each year the Remuneration Committee
reviews the Group’s annual bonus
arrangements for Executive Directors and
members of the Executive Team. Group 
and individual targets are set with bonuses
only being paid on the basis of exceptional
individual performance or on the
achievement of a mix of personal and
corporate performance criteria. Specific
performance conditions are attached 
to Director’s individual targets and to the
Group’s overall performance objectives
including its social responsibility and
environmental sustainability targets. An
individual’s maximum bonus of up to 50 per
cent of basic salary only becomes payable
where performance criteria are exceeded. 
The Remuneration Committee formally
reviews the performance of each Director
after the end of each financial year and,
where targets have been achieved will award
the bonus. In the event that a target has been
significantly exceeded, the Remuneration
Committee has the option to increase the
normal percentage applied, to reflect that
achievement. Whilst some individual
performance criteria have been met during
the financial year under review the overall
corporate performance targets have largely
not been met. As a result no bonuses have
been paid to Directors.
New objectives for the 2009-10 financial 
year are being set for Executive Directors
designed to deliver demonstrable
improvements in Shareholder value. These
are a blend of common primary objectives
aligned to the Group’s strategic goals and
overall performance as well as additional
individual objectives consistent with each
Director’s corporate role. 
Employment Benefits
Benefits provided to Directors typically
include a fully financed company car or car
allowance, private medical insurance and life
assurance, and permanent health insurance.
Directors’ Pensions
During the financial year the Group
contributed to defined contribution schemes
in respect of Richard Entwistle and John
O’Kane as detailed in the table on page 26.
None of the Executive Directors are
members of any of the defined benefit
schemes operated by the Group.
Share Options
No share options were granted to or lapsed,
surrendered or exercised by Directors either
during the financial year under review or
between the end of the financial year and 
the date of this report. Executive Directors
continue to hold share options in the 2003
Share Option Plan and the Management
Incentive Plan as detailed in the table on 
page 27. It is the view of the Remuneration
Committee that the performance criteria 
and vesting conditions, outlined in the notes
to the table, remain appropriate to the
Company’s current circumstances and
prospects. Whilst it is the Company’s policy,
save in the circumstances permitted by the
Listing Rules, to invite Shareholders to
approve all new long-term incentive schemes
and significant changes to existing schemes,
no new schemes were introduced and no
changes were made to existing schemes
during the year.
Total Shareholder Return
The graph above compares the performance
of Jarvis plc Ordinary Shares with that of the
FTSE All Share Support Services Index over
the last five years. This index has been
selected to allow comparison with a wider
range of companies in the support services
sector. The graph illustrates the value at 
31 March 2009 of £100 invested in the
Company on 31 March 2004, and at
intervening financial year ends, compared 
with the value of £100 invested in the FTSE 
All Share Support Services Index. Total
Shareholder Return has been calculated by
Hewitt New Bridge Street using data provided
by Datastream. 26 Jarvis plc Annual Report and Accounts 2009
Directors’ Remuneration Report
Directors’ Service Agreements and Letters of Appointment
Executive Directors
Effective date Unexpired Notice period Notice period
Director of contract term by Company by Director
R W Entwistle 08/09/2005 Rolling one year 12 months 6 months
S J Norris 08/09/2005 Rolling one year 12 months 6 months
J P O’Kane 24/04/2006 Rolling one year 12 months 6 months
Non-Executive Directors
Effective date of Notice period Notice period
Director appointment by Company by Director
E Filkin 07/08/2003 12 months 3 months
B Mellitt 05/10/2002 12 months 3 months
C J Rew 13/05/2004 12 months 3 months
Information Subject to Audit
Directors’ Remuneration
The table below reflects amounts paid or confirmed as payable in respect of the financial period ended 31 March 2009.
Pension
current Pension
Salary Pension Prior year period prior year
or Fees Benefits Bonus Supplement Total Total Note 1 Note 1
£000 £000 £000 £000 £000 £000 £000 £000
Executive Directors
R W Entwistle 322 17 – – 339 326 64 62
S J Norris 177 – – – 177 170 – –
J P O’Kane 212 16 – – 228 222 51 38
Non-Executive Directors
E Filkin 40 – – – 40 40 – –
B Mellitt 42 – – – 42 57 – –
C J Rew 45 – – – 45 47 – –
The benefits shown in the table include private medical insurance, car allowance and reimbursed fuel and mobile phone costs.
Notes
1 Directors’ pension contributions comprise the amounts paid by the Group to defined contribution arrangements. Pension contributions
are calculated and payable on basic salary only. Director’s Shares
(Ordinary shares of 5p each)
Shares held  Shares acquired Shares sold Shares held
at 31 March 2008 during the period during the period at 31 March 2009
R W Entwistle 69,837 0 0 69,837
E Filkin 7 0 0 7
S J Norris 184,476 200,000 0 384,476
J P O’Kane 10,000 40,000 0 50,000
No other shares were bought or sold by Directors during the period 1 April 2009 to 13 July 2009.
Director’s Share Options
Options held by Executive Directors over Ordinary shares under the Share Option Schemes of the Company were as follows.
Further details of the Jarvis share-based payment schemes are given in Note 24 to the Consolidated Financial Statements.
Granted
Options (lapsed/ Options 
held at Exercise surrendered) Exercised held at Date of
31 March price during the during the 31 March Date expiry 
2008 (Pence) period period 2009 exercisable of option
R W Entwistle
Savings Related Share Option Scheme 13,357 70.00 – – 13,357 01/06/2009 01/12/2009
2003 Share Option Plan – Note 1 550,000 54.50 – – 550,000 04/10/2009 04/10/2016
2003 Share Option Plan – Note 2 461,400 66.00 – – 461,400 03/04/2010 03/04/2017
S J Norris
Savings Related Share Option Scheme 13,357 70.00 – – 13,357 01/06/2009 01/12/2009
2003 Share Option Plan – Note 1 303,000 54.50 – – 303,000 04/10/2009 04/10/2016
2003 Share Option Plan – Note 2 250,000 66.00 – – 250,000 03/04/2010 03/04/2017
J P O’Kane 
Management Incentive Plan 450,000 56.26 – – 450,000 Note 3 08/08/2011
2003 Share Option Plan – Note 1 376,000 54.50 – – 376,000 04/10/2009 04/10/2016
2003 Share Option Plan – Note 2 315,000 66.00 – – 315,000 03/04/2010 03/04/2017
Jarvis plc Annual Report and Accounts 2009 27
Notes
1 The options issued under the 2003 Share
Option Plan at an exercise price of 54.50
pence will vest in three separate tranches.
Each tranche, over one-third of the shares
under option, will vest on the basis of an
improvement in share price against the
grant price by 20 per cent, 40 per cent and
60 per cent respectively for a period of 10
consecutive dealing days prior to the date
of vesting. The performance conditions
have to be satisfied within three years of
the date of grant. Subject to the rules of the
scheme the options cannot be exercised
before the third anniversary of the date 
of grant.
2 The options issued under the 2003 Share
Option Plan at an exercise price of 66.00
pence will vest in three separate tranches. 
Each tranche over one third of the shares 
under option will vest on the basis of an
improvement of share price by 25 per cent;
two-thirds on an improvement of 50 per
cent and the remainder on an improvement
of 75 per cent over the grant price. A further 
performance criteria of earnings per share
growth will be required for options exercised
after the third anniversary of the date 
of grant.
3 The options are exercisable in the three
tranches, each on the achievement of an
increase in the share price of the Company
for a sustained period of 10 days. The
tranches are exercisable on the share price
achieving respectively a 25 per cent, 50 per
cent and 75 per cent increase over the
grant price.
4 No options were held by other Directors
during the period under review.
5 The closing middle market price of the
Ordinary Shares as at 31 March 2009 was
3.9p and the range during the period was
between 3.81p and 37.75p.
This report has been approved by the Board
and is signed on its behalf by:
Mark Akinlade
Secretary
13 July 2009 Principal Activities and Business Review
The principal activities of the Group during 
the financial year under review were rail
infrastructure renewal and enhancement,
plant hire, freight and facilities management. 
The Chairman’s and Chief Executive’s
Statements together with the Operating 
and Financial Reviews which are contained 
in this report between pages 2 and 13 give 
a detailed account of Jarvis’s activities and
business performance during the year in
these areas and of future prospects and
outlook. In addition to reviewing the Group’s
position and prospects for the future, they
also consider the principal risks and
uncertainties within the business. The key
financial performance indicators for the
Group have been set out in the Financial
Review on page 7 and non-financial key
performance indicators are set out in the
Corporate Social Responsibility statement
between pages 20 and 23.
These statements and the reviews are
included in this report by reference.
Principal Risks
This annual report contains certain forward
looking statements. These statements are
made by the Directors in good faith, based 
on the information available to them up to 
the time of approval of this report. Actual
results may differ to those expressed in 
such statements, depending on a variety 
of factors. These factors include customer
acceptance of the Group’s services, levels of
demand in the market, restrictions to market
access, competitive pressure on pricing or
additional costs, failure to retain or recruit key
personnel and overall economic conditions.
The latter is particularly important as the
Group’s operations, like those of other
companies, are not immune from the current
severe economic downturn, the length and
severity of which may continue to have 
an impact on its activities. In addition, the
Company remains mindful that performance
continues, as always, to depend on the 
pace at which Central Government/Network
Rail undertake planned rail capital works
programmes. As ever, a risk inherent in the
industry is the nature, timing and contractual
conditions which exist at the time of contract
procurement and its dependency on one
large customer, Network Rail. The Office of
Rail Regulation reported that at the end of Q3
2008-09 Network Rail had underspent its year
to date budget on renewals by £325m and on
enhancements by £57m. If Network Rail’s
anticipated level of spend for 2009-10 is not
implemented or track renewals expenditure
and volumes are further deferred, the Group’s
business, financial position and cashflows
could be adversely affected. The Company is
restructuring its business to reflect its current
understanding of changes in phasing and
timing and of Network Rail’s overall proposed
investment in rail infrastructure in Control
Period 4 (2009-14) and believes that given 
its pricing structure, history of innovation and
safety record it is well positioned to continue
to be selected to undertake renewal and
enhancement work on Network Rail’s behalf.
Safety is of paramount importance in the
industry in which the Group operates. The
impact of failing to operate safe systems of
working can potentially have significant
implications on each of the Group’s
stakeholders, cause reputational damage to
the Company and lead to the possible loss of
future business. For these reasons the Group
has put in place robust systems of safety
management to ensure that it identifies and
manages safety risks across all of its
operations as effectively as possible. 
Results and Dividends
The loss after taxation for the financial 
year attributable to Shareholders, dealt with
in the Consolidated Financial Statements,
amounted to £9.6m (2008: profit £11.1m).
The Directors recommend that no final
dividend be paid in respect of the period
(2008: nil). The loss for the year transferred 
to reserves is £9.6m (2008: profit £11.1m).
Share Capital
Details of the Company’s authorised and
issued share capital are shown in Note 22 to
the Consolidated Financial Statements. There
were no changes to the share capital during
the year and no shares were held in treasury.
The Company has only one class of share.
These confer the following rights and
obligations. Holders of Ordinary Shares are
entitled to attend, speak and vote (subject 
to certain restrictions outlined later in this
report) at general meetings. In addition, they
have the right to be sent notices of general
meetings, a copy of the Company’s Annual
Report and Accounts, and to appoint one or
more proxies or corporate representatives 
to attend general meetings and to exercise
voting rights. Subject to meeting certain
thresholds, they may also require Directors 
to circulate resolutions which may be moved
at AGMs and statements relating to a matter
to be dealt with at general meetings, call
general meetings, demand a poll, and require
Directors to obtain an independent report on
any poll taken, or to be taken. A shareholder is
also entitled, free of charge, to one certificate
for all shares registered in his name.
Restrictions on the Transfer of Shares
The Directors can refuse to register any
transfer unless it is in respect of shares which
are fully paid; is in favour of less than four
joint holders; relates to only one class of
shares; and meets the usual requirements for
registration under the Articles of Association.
In terms of CREST shares, registration can be
refused in the circumstances set out in the
uncertificated securities rules. 
28 Jarvis plc Annual Report and Accounts 2009
Directors’ Report
Analysis of Shareholders at 31 March 2009
Shareholders Shareholders Shares Shares
Number % Number %
Range of holdings of Ordinary 5p Shares
1 – 10,000 6,730 93.59 3,030,603 1.42
10,001 – 100,000 351 4.88 11,620,562 5.45
100,001 – 250,000 35 0.49 5,357,764 2.51
Over 250,000 75 1.04 193,283,945 90.62
7,191 100 213,292,874 100 Jarvis plc Annual Report and Accounts 2009 29
Restrictions on Voting
Every member present in person or by 
proxy at a general meeting has one vote 
upon a show of hands or, on a poll, one vote
for every share he holds. Where a court or
official claiming jurisdiction to protect people
who are unable to manage their own affairs
has made an order about a Shareholder, the
person appointed to act for that Shareholder
can vote for him on a show of hands, on a poll
or by appointing a proxy. 
If more than one joint Shareholder votes,
including voting by proxy, the only vote which
will count is the vote of the person whose
name is listed before the other voters on 
the Register. 
Unless the Directors decide otherwise, 
a Shareholder cannot attend or vote at 
any general meeting or on a poll or exercise
any other right conferred by membership in
relation to general meetings or polls if he has
not paid all amounts relating to those shares.
In addition, in the event of non-compliance
with a restriction notice, the shares identified
in the notice no longer give the Shareholder
any right to attend or vote, personally or by
proxy, at Shareholders’ meetings.
Under the Company’s Articles of Association,
the deadline for submission of proxy forms is
not less than 48 hours before the meeting.
Authority to Allot Securities
At the forthcoming Annual General 
Meeting, an ordinary resolution will be
proposed in accordance with Section 80 
of the Companies Act 1985 to renew the
Directors’ authority to allot the authorised 
but unissued share capital of the Company. 
The authority sought will be for a period of
five years unless revoked, renewed or varied
and supersedes all previous authorities.
Although the authority will not expire for five
years the Directors consider it appropriate
(and in line with current practice) to seek
renewal of the authority on an annual basis
and therefore intend to seek renewal of the
authority at next year’s Annual General
Meeting. Subject to the approval of this
ordinary resolution by the Shareholders,
authority will also be sought from
Shareholders to disapply Section 89 of the
Companies Act 1985. This authority, which
has been sought from and granted by
Shareholders in previous years, will permit
the Directors to issue for cash no more than
five per cent of the current issued share
capital of the Company at the date hereof,
without first offering them pro-rata to existing
Shareholders. The Directors believe that the
resolution, disapplying Section 89 in this way,
is in the best interests of the Company.
Amendment of the Company’s Articles 
of Association
The Company’s Articles of Association 
may be amended by special resolution of 
the Company’s Shareholders. A resolution
will be put to the Annual General Meeting 
on 3 September 2009 to adopt new Articles
of Association. Details of the specific
changes being proposed are set out in the
explanatory notes to the notice of the 2009
AGM.
Financial Instruments
Details of the Group’s financial risk
management policies are disclosed in 
the Financial Review on page 7.
Directors
The Directors who held office throughout 
the year were: 
Mr R W Entwistle
Ms E Filkin * † ‡ (Non-Executive)
Professor B Mellitt * † ‡ (Non-Executive)
Mr S J Norris ‡
Mr J P O’Kane
Mr C J Rew * † ‡ (Non-Executive)
Members of the * Remuneration, 
† Audit and ‡ Nomination Committees. 
Full biographical details of the Company’s
Directors at the date of the report are given
on page 14.
There were no changes to the composition 
of the Board during the year. In accordance
with the Company’s Articles of Association
Brian Mellitt, having served two three 
year terms, will retire by rotation at the
forthcoming AGM. Richard Entwistle will
retire as Chief Executive at the AGM. The
present intention of the Board is to appoint
Stuart Laird as a Director in advance of the
AGM and he will therefore retire and stand 
for election at the AGM. Stuart Laird does 
not at present have an Executive Director’s
service agreement, but one will shortly 
be agreed and will be consistent with 
the Group’s current policies in respect of 
the remuneration of Executive Directors.
Details of the Directors’ remuneration,
shareholdings and options over the shares 
in the Company and of the Executive
Directors’ service agreements are given 
Substantial Shareholdings
At 13 July 2009 the Company had been notified, pursuant to the Disclosure and Transparency Rules (DTR 5), of the following direct or indirect
interests in three per cent or more of the voting rights over the Company’s Ordinary Shares:
Gartmore Investment Limited 15.08%
Investeringsselskabet Luxor A/S 9.14%
Barclays plc 7.92%
Legal & General Group plc 3.16% in the Directors’ Remuneration Report on
pages 24 to 27 which forms part of this
report.
Powers of Directors
The Directors manage the Company’s
business and can use all the Company’s
powers except where the Memorandum 
and Articles of Association of the Company 
or legislation say that powers can only be
used by the Shareholders voting to do so at a
general meeting. The Directors are permitted
to delegate any of their authority and the
Company has in place a schedule of
Delegated Authorities, which has been
reviewed and updated during the year. 
The Directors exercise their powers within
the Company’s corporate governance
framework, which is the subject of a separate
statement on pages 16 to 19 and forms an
integral part of this Directors’ Report. 
Directors’ Indemnities
The Directors are entitled to be indemnified
by the Company to the extent permitted 
by law and the Company’s Articles of
Association in respect of all losses arising 
out of or in connection with the execution 
of their powers, duties and responsibilities.
Directors and Officers of the Company 
and its subsidiaries have the benefit 
of a Directors’ and Officers liability 
insurance policy.
Appointment and Replacement 
of Directors
Directors may be appointed by the Company
by ordinary resolution. Each Director retires
from office at the third annual general
meeting after the annual general meeting at
which he was last elected and is then eligible
for re-election. In addition to any powers to
remove Directors conferred by legislation the
Company can pass an ordinary resolution to
remove any Director before the expiration of
his term of office.
Compensation for Loss of Office
The contracts of employment in respect of
the Executive Directors and the Executive
Team (as referred to on page 15 but with the
exception of the Group Director Engineering
and HSQE who has separate arrangements
under a railways related scheme which 
are not relevant for the purposes of this
paragraph) contain provisions relating to
compensation for loss of office on a change
of control. In the event that an Executive
Director or a member of the Executive Team
(with the exception of the Group Director
Engineering and HSQE) is made redundant
because of a takeover then he would receive
an additional redundancy payment. The
additional payment would be equal to 
12 months’ base salary in respect of an
Executive Director and 6 months’ base 
salary in respect of a member of the
Executive Team.
Significant Agreements
There are a number of commercial
agreements that take effect, alter or
terminate upon a change of control of the
Company following a takeover bid. Save 
for in respect of the Group’s working capital
facilities, none is considered to be significant
in terms of its potential impact on the
business of the Group as a whole. Under the
terms of the Group’s working capital facilities,
if any single person or group of persons
acting in concert (as defined in the City 
Code on Takeovers and Mergers) acquires 
or agrees to acquire control (as defined in
Section 416 of the Income and Corporation
Taxes Act 1988) of the Company, the
Company must immediately notify its lenders
and, on or before the acquisition takes effect,
prepay the facilities in full, together with
prepayment fees, interest, costs and
expenses, and the facilities will be
automatically cancelled.
Creditor Payment Policy
When entering into commitments for 
the purchase of services and goods, the
Company gives due consideration to quality,
delivery, price and the terms of payment.
Suppliers are made aware of these terms.
The Company abides by these terms
whenever it is satisfied that suppliers have
provided the services or goods in accordance
with agreed terms and conditions. In the
event of disputes, efforts are made to resolve
them quickly. During the year ended 31
March 2009, the Company on average paid
its creditors within 60 days (2008: 62 days) 
of receipt of invoice.
Employee Share Schemes
Where, under an employee share scheme
operated by the Company, participants are
beneficial owners of shares, but not the
registered owners, the voting rights are
normally exercised at the discretion of 
the participants.
Employment Policies
It is the policy of the Group that there 
shall be no discrimination or less favourable
treatment of employees, workers or job
applicants in respect of race, colour, ethnic or
national origins, religious beliefs, sex, sexual
orientation, disability, political beliefs, age or
marital status.
Full consideration is given to suitable
applications for employment from disabled
persons, where they have the necessary
abilities and skills for that position, and
wherever possible to re-train employees who
become disabled, so that they can continue
their employment in the same or in another
position. Jarvis plc and its subsidiaries
engage, promote, and train staff on the 
basis of their capabilities, qualifications and
experience, without discrimination, giving all
employees an equal opportunity to progress
within the Group.
The Group continues to be committed to the
health, safety and welfare of its employees
and to observe the terms of the Health &
Safety at Work Act 1974, and all other
relevant regulatory and legislative
requirements.
The Directors recognise the need for
communication with employees at every
level. All employees have access to a copy 
of the Annual Report and Accounts, which
together with team briefings and internal
noticeboard statements, keeps them
informed of the Group’s progress. In addition,
information is available on the Company’s
intranet and via its collaborative, team-
working platform TeamSpace which was
introduced during the year.
Environmental Policy
The Board is fully committed to minimising
any adverse effects that the Group’s
operations may have on the environment 
and to finding alternative ways of operating
where its activities may cause environmental
damage.
Each of the operating businesses has
developed environmental policies and
procedures appropriate to its business 
and these have been co-ordinated at Group
level in order to ensure that a consistent
approach is applied throughout. Further
details and information on the key
performance indicators used are provided 
30 Jarvis plc Annual Report and Accounts 2009
Directors’ Report Jarvis plc Annual Report and Accounts 2009 31
in the Corporate Social Responsibility 
Report on pages 20 to 23, which also gives
information on social and community issues.
Political and Charitable Donations
The Group made charitable donations of
£6,350 during the year (2008: £500), and
made no political donations (2008: nil).
Going Concern
After making enquiries, the Directors 
have formed a judgement at the time of
approving the financial statements that
there is a reasonable expectation that the
company and the Group have adequate
resources to continue in operational
existence for the foreseeable future.
In common with the majority of other
companies, the current economic
conditions create uncertainty, particularly
concerning the phasing of revenues. This
has implications for cash generation and
also, given that the Group’s borrowing
facility is partly secured against receivables,
for the timing of working capital availability.
The Group’s trading and cash flow
forecasts have been based on bottom 
up budgets prepared by divisional
management, which have then been
subjected to scrutiny and challenge by 
the Board. These forecasts have then 
been used to forecast the Group’s funding
requirements and, by using consistent
assumptions, to calculate working capital
availability. Management have applied
various sensitivities to these forecasts
including delays in obtaining funding 
on contracts, a general reduction for
unsecured revenues and margins. The
forecasts show that the Group should be
able to operate within its cash resources
and renewed bank facilities.
Disclosure of Information to Auditors
Each of the Directors at the date of
approving this report confirms that:
– so far as each Director is aware, there is 
no relevant audit information of which the
auditors are unaware; and
– each Director has taken all the steps that 
he ought to have taken as a Director in
order to make himself aware of any
relevant information needed by the
Company’s Auditors in connection with
preparing their report and to establish that
the Company’s Auditors are aware of that
information.
Auditors
A resolution to reappoint Grant Thornton
UK LLP as Auditor and to authorise the
Directors to fix their remuneration will 
be proposed at the forthcoming Annual
General Meeting. 
A Statement of Directors’ Responsibilities
is given on page 32 and is incorporated into
this report by reference.
This report has been approved by the Board
and is signed on its behalf by:
Mark Akinlade
Secretary
13 July 2009 32 Jarvis plc Annual Report and Accounts 2009
Statement of Directors’ Responsibilities
Company law in the United Kingdom
requires the Directors to prepare financial
statements for each financial period, which
give a true and fair view of the state of
affairs of the Company and the Group and
of the profit or loss of the Group for that
period. The Directors are required to
prepare the Group Financial Statements 
in accordance with IFRS as adopted by 
the EU and have elected to prepare the
Parent Company Financial Statements in
accordance with UK Generally Accepted
Accounting Practice.
In preparing each of the Group and 
Parent Company Financial Statements, 
the Directors are required to:
– select suitable accounting policies and
then apply them consistently;
– make judgments and estimates that 
are reasonable and prudent;
– for the Group Financial Statements, 
state whether they have been prepared 
in accordance with IFRS as adopted by
the EU;
– for the Parent Company Financial
Statements state whether applicable UK
Generally Accepted Accounting Practice
have been followed; and
– prepare the financial statements on 
the going concern basis unless it is
inappropriate to assume that the Group
and the Parent Company will continue in
business.
The Directors confirm that the financial
statements comply with these
requirements.
The Directors are also responsible for:
– ensuring that the Company and the Group
maintain proper accounting records which
disclose with reasonable accuracy at any
time the financial position of the Group and
Company and enable them to ensure that
the financial statements comply with the
Companies Act 1985;
– safeguarding the assets of the Company
and hence taking reasonable steps for the
prevention and detection of fraud and other
irregularities; and
– the maintenance and integrity of the
corporate and financial information 
on the Group’s website. 
Legislation in the United Kingdom
governing the preparation and
dissemination of the financial statements
and other information included in annual
reports may differ from legislation in other
jurisdictions.
Directors’ Responsibility Statement
We confirm to the best of our knowledge
that:
1 the financial statements, prepared in
accordance with International Financial
Reporting Standards as adopted by the 
EU, give a true and fair view of the assets,
liabilities, financial position and profit or 
loss of the Company and the undertakings
included in the consolidation taken as a
whole; and
2 the business review and future
developments (which cross refers to 
the Chairman’s statement) which is
incorporated into the Directors’ report
includes a fair review of the development
and performance of the business and the
position of the Group, the Company and the
undertakings included in the consolidation
taken as a whole, together with a description
of the principal risks and uncertainties 
they face.
This statement has been approved by the
Board and is signed on its behalf by:
John O’Kane
Group Finance Director
13 July 2009 Jarvis plc Annual Report and Accounts 2009 33
2009 2008
Before Exceptional Before Exceptional
exceptional items exceptional items
items (Note 5) Total items (Note 5) Total
Notes £m £m £m £m £m £m
Continuing operations
Revenue 2, 3 345.8 – 345.8 321.9 – 321.9
Cost of sales (315.0) – (315.0) (282.8) (4.7) (287.5)
Gross profit 30.8 – 30.8 39.1 (4.7) 34.4 
Administration expenses (23.1) (11.4) (34.5) (29.9) 0.6 (29.3)
Operating profit / (loss) 4 7.7 (11.4) (3.7) 9.2 (4.1) 5.1
Finance income 2.4 – 2.4 4.3 1.1 5.4 
Finance expense (5.0) – (5.0) (6.0) – (6.0)
Net finance costs 6 (2.6) – (2.6) (1.7) 1.1 (0.6)
Profit / (loss) before taxation 5.1 (11.4) (6.3) 7.5 (3.0) 4.5
Taxation 8 (3.3) – (3.3) (0.2) 5.4 5.2 
Profit / (loss) for the year from 
continuing operations 1.8 (11.4) (9.6) 7.3 2.4 9.7 
Post-tax (loss) / profit from 
discontinued operations 9 ––– (0.4) 1.8 1.4 
(Loss) / profit for the year 
attributable to equity 
shareholders 1.8 (11.4) (9.6) 6.9 4.2 11.1
Basic and diluted (loss) / earnings 
per share
– Continuing operations (4.5)p 4.7p
– Discontinued operations – 0.7p
Total 10 (4.5)p 5.4p
Consolidated Income Statement
For the year ended 31 March 2009
2009 2008
Notes £m £m
Net actuarial (losses) / gains on defined benefit pension schemes 14.2 (35.8) 1.5
Tax in respect of items taken directly to equity 10.0 –
Net income and expense recognised directly in equity (25.8) 1.5
(Loss) / profit for the year
– From continuing operations (9.6) 9.7
– From discontinued operations – 1.4
Total recognised income and expense for the year attributable to equity shareholders (35.4) 12.6
Consolidated Statement of Recognised 
Income and Expense
For the year ended 31 March 2009 34 Jarvis plc Annual Report and Accounts 2009
2009 2008
Notes £m £m
Non-current assets 
Intangible assets 11 5.4 2.8
Property, plant and equipment 12 14.8 18.6
Deferred tax assets 13 7.5 12.7
Retirement benefit assets 14 3.2 40.4
30.9 74.5
Current assets
Inventories 15 2.2 3.3
Trade and other receivables 16 69.5 98.0
Cash and cash equivalents 6.2 3.4
77.9 104.7
Total assets 108.8 179.2
Current liabilities
Borrowings 18 (27.6) (10.6)
Trade and other payables 19 (82.7) (96.1)
Current tax liabilities (1.9) (2.5)
Provisions 20 (16.9) (5.9)
(129.1) (115.1)
Non-current liabilities
Borrowings 18 (0.1) (31.6)
Trade and other payables (0.4) (0.8)
Retirement benefit obligations 14 (9.9) (15.1)
Deferred tax liabilities 13 (3.1) (15.0)
Provisions 20 – (0.1)
(13.5) (62.6)
Total liabilities (142.6) (177.7)
Net (liabilities) / assets (33.8) 1.5
Equity
Share capital 22 10.7 10.7
Share premium 23 63.3 63.3
Special reserve 23 3.7 3.7
Capital redemption reserve 23 7.2 7.2
Other reserve 23 89.7 89.7
Accumulated losses 23 (208.4) (173.1)
Total equity (33.8) 1.5
The Financial Statements were approved by the Board on 13 July 2009 and were signed on its behalf by:
R Entwistle Chief Executive
J O’Kane Group Finance Director
Consolidated Balance Sheet
At 31 March 2009 Jarvis plc Annual Report and Accounts 2009 35
2009 2008
Notes £m £m
Operating activities
Cash flows from operating activities 28 24.4 (17.8)
Restructuring costs paid (1.7) (2.2)
Income taxes received – 6.4
Net interest costs paid (4.5) (5.1)
Net cash from / (used in) operating activities 18.2 (18.7)
Investing activities
Purchase of intangible assets (2.0) (2.4)
Purchase of property, plant and equipment (1.2) (0.4)
Disposal of businesses, net of cash and cash equivalents disposed – 1.9
Disposal of property, plant and equipment 2.3 1.2
Net cash (used in) / from investing activities (0.9) 0.3
Financing activities
Net proceeds from issue of ordinary shares – 3.2
Proceeds from new debt 11.2 1.0
Repayment of old debt (25.7) (10.0)
Net cash used in financing activities (14.5) (5.8)
Net increase / (decrease) in cash and cash equivalents 2.8 (24.2)
Opening cash and cash equivalents 3.4 27.6
Closing cash and cash equivalents 6.2 3.4
Cash and cash equivalents comprise:
– Unrestricted cash 2.8 –
– Restricted use cash* 3.4 3.4
6.2 3.4
*Use is restricted to certain contracts in accordance with defined contractual obligations. 
Consolidated Cash Flow Statement
For the year ended 31 March 2009 36 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements
1 Summary of significant accounting policies
Basis of preparation
The Consolidated Financial Statements have been prepared in accordance with International Financial Reporting Standards (IFRS)
adopted for use in the European Union and IFRIC interpretations and the Companies Act 1985. The Company has elected to prepare its
Parent Company Financial Statements in accordance with UK Generally Accepted Accounting Principles (UK GAAP). These are presented
on pages 57 to 60.
The Group has applied all accounting standards and interpretations issued by the International Accounting Standards Board and the
International Financial Reporting Interpretations Committee (IFRICs) relevant to its operations and effective for the year ending 31 March
2009.
The Consolidated Financial Statements have been prepared on a going concern basis. The Directors forming a judgement at the date of
approving the financial statements that there is a reasonable expectation that the Group has adequate resources to continue in
operational existence for the foreseeable future.
Standards that have been issued in the year but are not yet effective and are not expected to have a significant impact include:
– IAS 1 (Revised 2007) “Presentation of financial statements”, effective for the year ending 31 March 2010;
– IFRS 2 (Revised) “Share based payments” effective for years ending 31 March 2010;
– IFRS 3 (Revised 2008) “Business combinations”, effective for the year ending 31 March 2011;  
– IFRS 8 “Segmental reporting”, effective for the year ending 31 March 2010;
– IAS 27 (Revised 2008) “Consolidated and separate financial statements”, effective for the year ending 31 March 2010;
– IAS 23 (Amendment) “Borrowing costs” effective, for the year ending 31 March 2010; and
– IAS 32 (Amendment) 2007 “Financial instruments”, effective for the year ending 31 March 2010.
Comparative results are presented for the financial year 3 April 2007 to 31 March 2008, the Group having extended its 2007 financial
year-end by two days to incorporate the Placing and Open Offer transaction completed on 2 April 2007.
The Consolidated Financial Statements are prepared on the historical cost basis, except that share-based payments are measured at their
fair value as of the date of grant, and retirement assets and liabilities are stated at fair value at the balance sheet date.
1.2 Basis of consolidation
The Consolidated Financial Statements comprise the financial statements of Jarvis plc and subsidiaries controlled by the Group at each
year end.
Subsidiaries are all entities over which the Group has the power to govern the financial and operating policies. Subsidiaries are fully
consolidated from the date on which control is transferred to the Group, generally where there is a shareholding of more than one half
of the voting rights, and deconsolidated from the date on which control ceases. The financial statements of subsidiaries are prepared
using accounting polices consistent with those of the Group.
Inter-company balances and transactions including unrealised profits arising from intra-group transactions have been eliminated in full.
Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
1.3 Segmental reporting
A business segment is a group of assets and operations engaged in providing products or services that are subject to risks and returns
that are different from those of other business segments. The Group is organised into three main business segments: Rail, Plant and
Accommodation Services. The secondary format for segmental information is geographical area, which is based on the location of the
Group’s operations.
1.4 Taxation
Tax expense represents the sum of the tax currently payable and deferred tax.
(i) Current taxation
The tax currently payable is based on the taxable profit for the year. Taxable profit differs from net profit as reported in the income
statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items
that are never taxable or deductible. The Group’s liability for current tax is calculated using tax rates and laws that have been enacted or
substantively enacted by the balance sheet date. 1.4 Taxation (continued)
(ii) Deferred taxation
Deferred taxation is provided in full, using the balance sheet liability method, on temporary differences arising between the carrying
amounts of assets and liabilities used for financial reporting purposes and the amounts used for taxation purposes. Deferred taxation is
determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date and are expected to
apply when the related deferred tax asset is realised or the deferred tax liability is settled.
Deferred taxation is provided in full on temporary taxable differences associated with pension scheme surpluses. Deferred tax assets
arising from unused tax losses eligible to cover such differences are recognised accordingly.
Deferred tax assets are recognised to the extent that it is probable future taxable profit will be available against which the temporary
differences can be utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefit will be
realised. This requires judgement to be made in respect of the forecast of future taxable income.
Deferred taxation is provided on temporary differences arising on investments in subsidiaries, associates and joint ventures, except
where the Group controls the timing of the reversal of the temporary difference and it is probable that the temporary difference will not
reverse in the foreseeable future.
Accruals for tax contingencies require management to make judgements and estimates of ultimate exposures in relation to tax audit
issues. Tax benefits are not recognised unless the tax positions can be ascertained with reasonable certainty. Once considered probable,
management reviews each material tax benefit to assess whether a provision should be taken against a full recognition of that benefit
on the basis of potential settlement through negotiation or litigation.
Current and deferred tax charges or credits are recognised in the Consolidated Income Statement except where they relate to items
recognised directly in equity, in which case the charge or credit is also recognised directly in equity.
1.5 Intangible assets
Intangible assets are stated at cost less accumulated amortisation and impairment losses. Amortisation is charged to the Consolidated
Income Statement on a straight-line basis over the useful economic lives of the assets concerned, from the date they are brought into
operational use. Computer software and licenses are the only intangible assets held by the Group at 31 March 2009. They have an estimated
life of 3 to 5 years. Software development costs are only capitalised where they are considered to generate future economic benefit.
1.6 Property, plant and equipment
Property, plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses.
The initial cost of an asset comprises the purchase price or construction cost, any costs directly attributable to bringing the asset into
operation, the initial estimate for any decommissioning obligations, and, for qualifying assets, any borrowing costs. The purchase price
or construction cost is the aggregate amount paid and the fair value of any other consideration given to acquire the asset. The capitalised
values of any finance leases are also included within property, plant and equipment.
Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate. Expenditure on major
maintenance refits or repairs comprises the cost of replacement assets or parts of assets, inspection costs and overhaul costs.
Inspection costs associated with major maintenance programmes are capitalised and amortised over the period to the next inspection.
Other repairs and maintenance costs are charged to the income statement during the financial period in which they are incurred.
Where an asset or part of an asset that was separately depreciated and is now written off is replaced, and it is probable that future
economic benefits associated with the item will flow to the Group, and the cost of the item can be measured reliably, the expenditure
is capitalised.
Depreciation on assets is calculated using the straight-line method to allocate the cost of each asset to its residual value over its
estimated useful life as follows:
Leasehold land and buildings Over the period of the lease
Leasehold improvements 5 to 20 years or period of the lease if shorter
Plant and machinery 3 to 15 years
Fixtures, fittings and office equipment 3 to 10 years
The expected useful lives and residual values of property, plant and equipment are reviewed on an annual basis and, if necessary,
changes in expected useful lives and residual values are accounted for prospectively.
1.7 Impairment
The carrying amount of property, plant and equipment, and intangible assets for each cash generating unit are reviewed for impairment
when events or changes in circumstances indicate that the carrying amount may be impaired. If any such indication exists, the
recoverable amount of the asset is estimated in order to determine the extent of any impairment loss. Where the asset does not
generate cash flows that are independent of other assets, the Group estimates the recoverable amount of the cash generating unit to
which the asset belongs.
Jarvis plc Annual Report and Accounts 2009 37
Notes to the Consolidated Financial Statements 1.8 Inventories
Inventories are valued at the lower of cost and net realisable value. Cost is determined by the first in first out method and comprises
direct purchase costs, and, where applicable, costs of production, transportation and any directly attributable overheads.
1.9 Financial instruments
(i) Financial assets
The company’s financial assets relate to trade and other receivables, and cash and cash equivalents. Trade and other receivables are
classified as loans and receivables and are measured on initial recognition at fair value plus transaction cost, and subsequently at
amortised cost using the effective interest method, less provision for any impairment. Any change in their value through impairment or
reversal of impairment is recognised in the Income Statement. Cash and cash equivalents are classified as loans and receivables. No
financial assets are classified as fair value through profit and loss or as held to maturity or available for sale.
All financial assets are assessed for indicators of impairment at each balance sheet date. Financial assets are impaired where there is
evidence that a loss event has occurred and that estimated future cash flows of the financial asset have been impacted. For certain
categories of financial asset, such as trade receivables, assets are assessed for impairment on a collective basis. Objective evidence of
impairment for a portfolio of receivables could include the Group’s past experience of collecting payments, an increase in the number of
delayed payments in the portfolio and the average credit period, as well as observed changes in the national or local economic conditions
that correlate with default on receivables.
(ii) Financial liabilities
Financial liabilities, which include bank loans, overdrafts and trade and other payables are measured initially at fair value net of transaction
costs and thereafter at amortised cost under the effective interest method. Finance charges are accounted for on an accruals basis to
the Consolidated Income Statement using the effective interest method.
1.10 Cash and cash equivalents
Cash and cash equivalents are carried in the balance sheet at amortised cost and comprise cash at bank and in hand and deposits
available upon demand. Cash at bank includes amounts where the use is restricted to certain contracts in accordance with defined
contractual obligations. For the purposes of the Consolidated Cash Flow Statement, cash and cash equivalents also include bank
overdrafts, as they are an integral part of the Group’s cash management.
1.11 Provisions
Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, and when it is
probable that an outflow of resources will be required to settle the obligation.
Long-term provisions are measured at the present value of management’s best estimate of the expenditure required to settle the
present obligation at the balance sheet date. The present value of long-term provisions is determined by discounting the expected future
cash flows at a rate that reflects the current market assessment of the risk and time value of money and, where appropriate, the risks
specific to the liability. Where discounting is used, the change in the provision due to the passage of time and changes in discount rates
is included within other finance expense.
1.12 Operating leases
Leases where substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments
made under operating leases are charged to the income statement on a straight-line basis over the period of the lease.
1.13 Retirement benefits
The Group operates both defined contribution and defined benefit pension schemes. The Group contributes to these schemes according
to the arrangements agreed with employees. Contributions paid by the Group to defined contribution pension schemes are charged to
the Income Statement as they become payable in accordance with the rules of the schemes.
The defined benefit schemes are valued every three years by a qualified actuary, the rates of contribution payable being determined by
the actuary. In the intervening years the appropriateness of the last valuation is reviewed annually. Obligations to employees are
measured at discounted present value whilst plan assets are measured at fair value. The operating and finance costs of such plans are
recognised separately in the Consolidated Income Statement. Service costs are spread systematically over the lives of employees and
financing costs are recognised in full in the periods in which they arise. Actuarial gains and losses are recognised immediately in the
Statement of Recognised Income and Expense. The asset or liability recognised in the Consolidated Balance Sheet is the fair value of
plan assets less the present value of the defined benefit obligations.
1.14 Equity
Ordinary shares are classified as equity determined by the nominal value of shares that have been issued. The share premium account
represents premiums received on the initial issue of the share capital. Details of other equity held by the Group are detailed in Note 23
to the Consolidated Financial Statements.
1.15 Share-based payments
The Group operates equity-settled share-based payment schemes for certain employees. The cost of share-based payments is measured
at fair value at the date of grant, excluding the effect of non market-based vesting conditions. The cost is recognised in the Consolidated
38 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 1.15 Share-based payments (continued)
Income Statement on a straight-line basis over the vesting period with the corresponding amount credited to equity, based on an
estimate of the number of shares that will eventually vest. The estimate of awards expected to vest is assessed each year. The fair value
of employee share option plans is calculated by using the Black-Scholes-Merton valuation model.
1.16 Revenue
Revenue represents the fair value of consideration receivable, excluding value added tax, for services supplied to external customers.
Revenue from Facilities Management contracts is recognised according to the services provided to date. All other service and
construction related contracts recognise revenue according to the degree of completion of each individual contract, based on amounts
certified by the customer.
1.17 Long-term contracts
Long-term contracts are accounted for in accordance with IAS 11 ‘Construction Contracts’. When the outcome of a long-term contract
can be estimated reliably, contract revenue is recognised by reference to the degree of completion of each contract, based on the
amounts certified and to be certified by the customer.
Incentive payments and insurance claims arising from long-term contracts are included where they have been agreed with the client.
Variations and other claims are included where it is probable that the amount will be settled. When the outcome of a long-term contract
cannot be estimated reliably, contract revenue is recognised to the extent of contract costs incurred where it is probable those costs will
be recoverable.
Contract costs are recognised as expenses in the period in which they are incurred. When it is probable that total contract costs will
exceed total contract revenue, the expected loss is recognised immediately.
All costs incurred in advance of contracts being awarded are written off to the Consolidated Income Statement, until the date that, in
the opinion of the Directors, it is probable that the contract will be secured. Costs incurred during the period between the contract being
probably secured and the eventual award are carried as work in progress to the extent they are expected to be recovered.
Where revenue recognised exceeds progress billings, the balance is shown as due from customers on long-term contracts within trade
and other receivables. Where progress billings exceed costs incurred, the balance is shown as due to customers on long-term contracts
within trade and other payables.
1.18 Exceptional items
Exceptional items are material items which individually or, if of a similar type, in aggregate, need to be disclosed by virtue of their size
or incidence because of their relevance to understanding the entity’s financial performance.
1.19 Critical accounting judgements and key areas of estimation uncertainty
The preparation of financial statements in accordance with IFRS requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities, income and expenses, which may differ from actual results. The key areas of estimates
and assumptions that have the most significant risk of causing a material adjustment to the carrying amounts of assets and liabilities
within the next financial year are identified below.
(i) Defined benefit pension schemes
Details of the Group’s defined benefit pension schemes are set out in Note 14 to the Consolidated Financial Statements. These are
accounted for in accordance with IAS 19 ‘Employee Benefits’ which, in order to calculate the value of pension scheme liabilities, requires
estimates to be made in relation to future salary increases, rates of increase of pension benefits, mortality rates and inflation. These
calculations are performed by the scheme actuary, with whom the Directors have agreed the underlying assumptions to be applied. The
discount rates used are from market rates on corporate bonds matched to the profile of the ages of the scheme members and the
maturity of the scheme liabilities at the balance sheet date.
(ii) Revenue recognition
Long-term contracts are accounted for in accordance with IAS 11 ‘Construction Contracts’, which require estimates to be made for future
contract costs and revenues. Provisions are made where contracts are estimated to result in losses or where further rectification work
will be required to complete the project. In making these provisions, management consider the detailed criteria for revenue recognition
set out in IAS 18 ‘Revenue’ and in particular whether the risks and rewards have been transferred.
Areas of critical accounting judgement include:
(i) Deferred tax
Deferred tax is accounted for on temporary differences using the liability method. Management consider it reasonable to recognise
deferred tax assets attributable to defined benefit pension scheme deficits and unused tax losses (as detailed in Note 13 to the
Consolidated Financial Statements), based on future profit projections.
(ii) Capitalisation of software development
Management capitalise development costs in line with the accounting policy set out in 1.5. The Directors have to apply their judgement
in deciding whether software development and projects costs meet the criteria for capitalisation.
Jarvis plc Annual Report and Accounts 2009 39
Notes to the Consolidated Financial Statements 2 Segmental analysis for continuing business 
Segmental information is presented in respect of the Group’s business segments, which are the primary format of segmental reporting
and reflect the Group’s management reporting structure. The Group is organised into three main business segments:
Rail – provides rail infrastructure works to the UK rail industry, including rail renewal, major track development, electrical and
signalling services.
Plant – provides on-track machinery, small plant equipment and manages an extensive fleet of purpose-built vehicles for the rail and other
industries; provides bulk haulage rail freight services.
Accommodation Services – undertakes facilities management operations.
Inter-segment pricing is determined on an arm’s length basis.
2.1 Performance by business segment for the year ended 31 March 2009
Centre,
eliminations
Accommodation and
Rail Plant Services unallocated Total
£m £m £m £m £m
External revenue 252.7 50.8 42.3 – 345.8
Inter-segment revenue – 40.6 – (40.6) –
Total revenue 252.7 91.4 42.3 (40.6) 345.8 
Operating profit / (loss) before exceptional items 14.4 3.6 (0.1) (10.2) 7.7 
Exceptional items (3.3) (7.7) – (0.4) (11.4)
Operating profit / (loss) 11.1 (4.1) (0.1) (10.6) (3.7)
Centre recharges (4.1) (2.9) (2.6) 9.6 –
Operating profit / (loss) after centre recharges 7.0 (7.0) (2.7) (1.0) (3.7)
Net finance costs –––– (2.6)
Taxation –––– (3.3)
Loss for the year from continuing operations –––– (9.6)
Segment assets 43.1 32.6 12.8 6.7 95.2 
Unallocated assets – – – 13.6 13.6
Total assets 43.1 32.6 12.8 20.3 108.8
Segment liabilities (57.5) (28.5) (14.9) (9.1) (110.0)
Unallocated liabilities – – – (32.6) (32.6)
Total liabilities (57.5) (28.5) (14.9) (41.7) (142.6)
Net (liabilities) / assets (14.4) 4.1 (2.1) (21.4) (33.8)
Capital expenditure 0.2 1.0 – 2.9 4.1
Depreciation and amortisation 0.1 3.2 – 0.3 3.6
Unallocated assets represent cash and cash equivalents and deferred tax assets. Unallocated liabilities represent current and non-current
borrowings, current tax liabilities and deferred tax liabilities.
40 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 2.2 Performance by business segment for the year ended 31 March 2008
Centre,
eliminations
Accommodation and
Rail Plant Services unallocated Total
£m £m £m £m £m
External revenue 206.3 53.4 62.2 – 321.9 
Inter-segment revenue – 35.1 – (35.1) –
Total revenue 206.3 88.5 62.2 (35.1) 321.9 
Operating profit / (loss) before exceptional items 14.7 9.0 (2.1) (12.4) 9.2 
Exceptional items (0.9) (0.2) (3.0) – (4.1)
Operating profit / (loss) 13.8 8.8 (5.1) (12.4) 5.1 
Centre recharges (4.3) (4.3) (3.0) 11.6 –
Operating profit / (loss) after centre recharges 9.5 4.5 (8.1) (0.8) 5.1
Net finance costs –––– (0.6)
Taxation –––– 5.2
Profit for the year from continuing operations –––– 9.7
Segment assets 80.5 60.0 15.6 7.0 163.1 
Unallocated assets – – – 16.1 16.1 
Total assets 80.5 60.0 15.6 23.1 179.2 
Segment liabilities (62.4) (24.9) (19.4) (11.2) (117.9)
Unallocated liabilities – – – (59.8) (59.8)
Total liabilities (62.4) (24.9) (19.4) (71.0) (177.7)
Net assets / (liabilities) 18.1 35.1 (3.8) (47.9) 1.5 
Capital expenditure 0.1 0.4 – 2.8 3.3 
Depreciation and amortisation 0.1 3.1 – – 3.2 
In the year ended 31 March 2008 there was a post-tax profit from discontinued operations of £1.4m, relating to Herefordshire Jarvis
Services Limited.
2.3 Performance by geographic origin
The Group’s trading activities are all transacted in Europe.
3 Revenue 
Revenue from continuing operations is analysed below.
2009 2008
£m £m
Service revenue 345.1 313.8
Construction contract revenue 0.7 8.1
345.8 321.9
Jarvis plc Annual Report and Accounts 2009 41
Notes to the Consolidated Financial Statements 4 Operating profit before exceptional items
Operating profit before exceptional items is stated after charging:
2009 2008
£m £m
Repairs and maintenance expenditure on property, plant and equipment 10.3 8.6
Trade receivables impairment – 0.1
Inventories impairment 0.1 –
Cost of inventories recognised as an expense 2.7 3.3
Depreciation of property, plant and equipment 3.3 3.2
Amortisation of intangible assets 0.3 –
Operating lease rentals 10.4 16.4
Fees payable to Company’s auditor for the audit of the Consolidated Financial Statements 
and Parent Company 0.1 0.1
Fees payable to the Company’s auditor for other services
– Audit of the Company’s subsidiaries 0.3 0.3
– Other services supplied pursuant to legislation 0.1 0.1
5 Exceptional items
2009 2008
£m £m
Restructuring costs (8.1) (2.0)
Termination costs (2.2) (2.7)
Other (1.1) 0.6
Corporation tax refund – 5.4
Interest on corporation tax refund – 1.1
Exceptional items relating to continuing operations (11.4) 2.4
Exceptional items relating to discontinued operations (Note 9) – 1.8
Total exceptional items (11.4) 4.2
Restructuring costs in the year relate to the restructuring of the Rail and Plant businesses, following a significant reduction in demand
by Network Rail for these services. 
Termination costs of £2.2m incurred are from the closure of the Group’s freight container services business. The £2.7m of costs incurred
in 2008 relate to the termination of loss-making facilities management contracts.
Other exceptional items relate to impairment losses of £0.6m, legacy contract settlement costs of £0.4m and a net £0.1m cost incurred
in the first half of the year from the termination of an operating depot lease.
6 Net finance costs
2009 2008
£m £m
Finance income 
Net finance income from defined benefit pension schemes* 2.0 4.1
Other interest 0.4 0.2
2.4 4.3
Finance expense
Interest payable on bank and other loans (3.8) (5.6)
Other interest (1.2) (0.4)
(5.0) (6.0)
Net finance cost before exceptional items (2.6) (1.7)
Exceptional finance income (Note 5) – 1.1
Total net finance cost for continuing operations (2.6) (0.6)
*Includes £0.7m of pension scheme administration expenses paid for by the Company.
42 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 7 Employees
The average number of persons employed by the Group during the year, including Executive Directors, analysed by operating division is
shown below. 
2009 2008
Number Number
Rail 1,381 1,293
Plant 656 696
Accommodation Services 812 1,605
Central 81 111
Continuing operations 2,930 3,705
Discontinued operations – 176
2,930 3,881
The employment costs of all employees included in continuing operations are shown below.
2009 2008
£m £m
Wages and salaries 104.6 106.0
Social security costs 10.4 10.5
Share-based payments 0.1 0.1
Defined contribution pension scheme costs 2.1 2.3
Current service cost of defined benefit pension schemes 3.0 3.8
120.2 122.7
8 Income tax recognised in the Consolidated Income Statement
8.1 Taxation for continuing operations
2009 2008
£m £m
UK corporation tax at the standard rate:
– Adjustment in respect of prior year – 6.3
Total current tax credit – 6.3
UK deferred tax:
– Current year (3.3) (1.1)
Total deferred tax charge (Note 13) (3.3) (1.1)
Total income tax (charge) / credit (3.3) 5.2
There is no taxation charge in the year attributable to discontinued operations (2008: £nil).
8.2 Factors affecting the tax charge for the year
The tax charge for the year and effective tax rate are reconciled to the loss for the year in the analysis below.
2009 2008
£m £m
(Loss) / profit before taxation (6.3) 4.5
Tax at the UK standard rate of 28% (2008: 30%) (1.8) 1.4
Expenses not deductible for tax purposes 0.4 0.3
Utilisation of previously unrecognised tax losses (4.8) (4.5)
Release of tax losses recognised against pension surplus 5.6 –
Current year tax losses for which no deferred tax asset recognised 3.9 3.9
Adjustments to tax charge in respect of prior years – (6.3)
Total tax charge / (credit) for year 3.3 (5.2)
Jarvis plc Annual Report and Accounts 2009 43
Notes to the Consolidated Financial Statements 9 Discontinued operations
There have been no new discontinued activities during the year. Discontinued operations in 2008 relate to the disposal of the Group’s
80 per cent interest in Herefordshire Jarvis Services Limited.
10 Earnings per share 
2009 2008
£m £m
(Loss) / profit for the year
– Continuing operations (9.6) 9.7
– Discontinued operations – 1.4
Total (9.6) 11.1
Number of shares Number (m) Number (m)
Weighted average number of shares in issue – basic 213.3 208.0
Effect of share options and warrants – 0.3
Weighted average number of shares in issue – diluted 213.3 208.3
Basic and diluted (loss) / earnings per share
– Continuing operations (4.5)p 4.7p
– Discontinued operations – 0.7p
Total (4.5)p 5.4p
11 Intangible assets
Computer
software and 
licenses
£m
At 3 April 2007 –
Additions 2.8
At 31 March 2008 2.8
Additions 2.9
At 31 March 2009 5.7
Accumulated amortisation
At 3 April 2007 –
Charge for the year –
At 31 March 2008 –
Charge for the year 0.3
At 31 March 2009 0.3
Net book value
At 31 March 2009 5.4
At 31 March 2008 2.8
During the year £2.8m of costs have been incurred in the development of the Group’s new Enterprise Resource Planning (ERP) business
system, and software licenses with a value of £0.1m have been purchased. Amortisation of the ERP costs will commence when
the system is brought into operational use during the 2009-10 financial year. The software licenses are being amortised over a period of
five years.
44 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 12 Property, plant and equipment
Plant,
Leasehold vehicles and 
improvements equipment Total
£m £m £m
Cost or valuation
At 3 April 2007 1.8 47.9 49.7 
Additions 0.1 0.4 0.5 
Disposals – (6.7) (6.7)
At 31 March 2008 1.9 41.6 43.5 
Additions 0.2 1.0 1.2 
Disposals – (2.4) (2.4)
At 31 March 2009 2.1 40.2 42.3 
Accumulated depreciation
At 3 April 2007 1.7 25.2 26.9 
Charge for the year 0.1 3.1 3.2 
Disposals – (5.2) (5.2)
At 31 March 2008 1.8 23.1 24.9 
Charge for the year 0.1 3.2 3.3 
Impairment loss – 1.2 1.2 
Disposals – (1.9) (1.9)
At 31 March 2009 1.9 25.6 27.5 
Net book value
At 31 March 2009 0.2 14.6 14.8 
At 31 March 2008 0.1 18.5 18.6 
13 Deferred taxation 
Deferred tax assets / (liabilities) are attributable as shown below.
Assets Liabilities Net
2009 2008 2009 2008 2009 2008
£m £m £m £m £m £m
Accelerated capital allowances 0.1 0.1 (2.2) (3.7) (2.1) (3.6)
Retirement benefit liability 2.8 4.2 – – 2.8 4.2
Retirement benefit asset – – (0.9) (11.3) (0.9) (11.3)
Taxation losses 4.6 8.4 – – 4.6 8.4
Other short term temporary differences – – – – – –
7.5 12.7 (3.1) (15.0) 4.4 (2.3)
Movements in net deferred tax assets / (liabilities) are analysed below.
Accelerated Retirement
capital benefit Taxation
allowances asset / liability losses Other Total
£m £m £m £m £m
At 3 April 2007 0.1 (10.9) 9.7 (0.1) (1.2)
(Charge) / credit to Consolidated Income Statement (3.7) 3.8 (1.3) 0.1 (1.1)
At 31 March 2008 (3.6) (7.1) 8.4 – (2.3)
Credit / (charge) to Consolidated Income Statement 1.5 (1.0) (3.8) – (3.3)
Credit to equity – 10.0 – – 10.0 
At 31 March 2009 (2.1) 1.9 4.6 – 4.4 
The Group has not recognised deferred tax assets of £78.6m (2008: £76.5m) in respect of losses amounting to £280.7m (2008: £273.5m)
that can be carried forward against future taxable income.
Jarvis plc Annual Report and Accounts 2009 45
Notes to the Consolidated Financial Statements 46 Jarvis plc Annual Report and Accounts 2009
14 Retirement benefits
14.1 Overview
For the disclosure requirements of IAS19 ‘Employee Benefits’, the Railways Pension Scheme (RPS) and the Streamline Pension
Schemes are the only material defined benefit pension schemes operated by the Group. All other schemes are accounted for as defined
contribution.
Railways Pension Scheme
The scheme is administered in accordance with its trust deed, and is commonly known as a shared cost scheme, under which the
employer and employees are liable for the costs and any surplus or deficit arising under the scheme in the proportion of 60:40
respectively. Eligible employees participate in three shared cost sections of the RPS, being the Relayfast, Fastline and Jarvis Facilities
sections. The latest triennial actuarial valuation of the RPS was as at 31 December 2007, and was undertaken by professionally qualified
and independent actuaries. At that date the market value of the assets was £398.4m and the average funding level was 101%.
For the year ended 31 March 2009, employer contributions to the three Jarvis sections of the RPS were 17.22%, 16.82% and 14.40%
of pensionable pay for the Relayfast, Fastline and Jarvis Facilities sections respectively. The employer contributions to the RPS were
£2.7m in the year ended 31 March 2009 (2008: £2.9m).
Streamline Pension Schemes
The schemes comprise the Streamline Pension Fund (SPF) and the Streamline Local Government Pension Scheme (SLG). The latest
triennial actuarial valuation for the SLG was as at 5 April 2007 and at that date the market value of the assets was £6.3m and the funding
level was 76.1%. Following this triennial actuarial valuation, the employer contribution rates for the SLG were maintained at 20% of
pensionable salaries. In addition, special employer contributions of £130,000 per annum are payable over a 14 year period from April
2009. The employer contributions (including special employer contributions) to the SLG were £0.2m in the year ended 31 March 2009
(2008: £0.2m).
The latest triennial actuarial valuation for the SPF was as at 5 April 2007 and at that date the market value of the assets was £26.5m and
the funding level was 65.5%. Following this triennial actuarial valuation, the employer contribution rates for the SPF were maintained as
23.9%, 16.5% and 12.9% of pensionable salaries for the 1968, 1984 and 1992 sections respectively. In addition, special employer
contributions of £1,190,000 per annum are payable over a 14 year period from April 2009. The employer contributions (including special
employer contributions) to the SPF were £1.1m in the year ended 31 March 2009 (2008: £1.0m).
The total employer contribution to the defined benefit pension schemes for the year ending 31 March 2010, including special
contributions, is estimated to be £3.8m.
All Group defined benefit pension schemes are closed to new entrants, other than for new employees who qualify for participation in
the RPS and employees transferring from the public sector, where conditions are specified in the terms of their transfer, who are
admitted into the SLG. Other eligible new employees are offered participation in the Group’s defined contribution schemes.
Contributions made to defined contribution arrangements for other eligible Group employees are based on a pre-determined percentage
of individual salaries. Contributions by the Group into defined contribution schemes and non-material defined benefit schemes are
disclosed in Note 7.
14.2 IAS 19 disclosures
Assets and liabilities for IAS 19 accounting purposes have been estimated by independent qualified actuaries, updating the most recent
triennial actuarial valuations. The weighted averages of the principal assumptions used are shown below.
2009 2008
% %
Discount rate for scheme liabilities 7.00 6.10
Retail price inflation 3.10 3.50
Rate of increase in salaries 3.55* 3.95
Rate of increase to pensions in payment 3.10 3.50
Rate of increase to deferred pensions 3.10 3.50
Expected return on scheme assets** 6.09 6.96
* Nil for one year, thereafter 3.55%.
** The expected return on scheme assets is based on the market expectations at the beginning of the year for returns over the life of the benefit obligation.
For both the RPS and Streamline Schemes the mortality basis is in line with the basis used by the respective Trustees at the last
valuation. The Streamline schemes have adopted the ‘PA92(C=2015)mc + 2 years’ table for all members. The RPS uses scheme specific
assumptions based on industry experience.
Notes to the Consolidated Financial Statements 14 Retirement benefits (continued)
14.2 IAS 19 disclosures (continued)
The life expectancies, for a male aged 65, implied by the mortality assumptions used are shown below.
2009 2008
Streamline Pension Schemes
Active / deferred 19.8 19.8
Pensioner 19.8 19.8
Railways Pension Scheme
Active / deferred 21.8 19.0
Pensioner 19.9 17.8
Railways Streamline
Pension Scheme Pension Schemes Total
Expected Share of Share of Share of 
Expected rates of return and long term Market total scheme Market total scheme Market total scheme
analysis of scheme assets rate of return value assets value assets value assets
as at 31 March 2009 %£m % £m %£m %
Equity 7.54 86.2 57.4 12.4 49.2 98.6 56.2
Property 5.94 12.9 8.6 – – 12.9 7.4
Gilts 4.04 19.4 12.9 9.2 36.5 28.6 16.3
Corporate bonds (currency hedged) 7.00 14.8 9.9 2.9 11.5 17.7 10.1
Cash 0.50 16.9 11.2 0.7 2.8 17.6 10.0
Fair value of scheme assets 6.09 150.2 100.0 25.2 100.0 175.4 100.0
As at 31 March 2008
Equity 7.70 124.1 60.3 14.6 50.0 138.7 59.0
Property 6.50 17.2 8.3 – – 17.2 7.3
Bonds (including gilts) 5.05 23.5 11.4 14.6 50.0 38.1 16.2
Hedge funds 7.84 18.5 9.0 – – 18.5 7.9
Cash 5.25 22.6 11.0 – – 22.6 9.6
Fair value of scheme assets 6.96 205.9 100.0 29.2 100.0 235.1 100.0
The expected long term rate of return for equity, property and bonds is based on the yield to redemption on 20 year fixed interest gilts
of 4.04% (2008: 4.60%) plus an adjustment to reflect market expectations of the equity, property and bond asset classes respectively.
Cash comprises mainly of cash holdings and the expected long term rate of return reflects the current short term returns on such
deposits. The expected return for each asset class was weighted based on the actual asset allocation, to develop an overall expected
long-term rate of return on assets assumption for the portfolio. The overall expected return is then reduced to allow for expected
non-investment expenses and PPF levies in respect of the RPS.
Railways Streamline Railways Streamline
Pension Pension 2009 Pension Pension 2008
Amounts recognised in the Scheme Schemes Total Scheme Schemes Total
Consolidated Income Statement £m £m £m £m £m £m
Current service cost – charged to operating profit (2.9) (0.1) (3.0) (3.6) (0.2) (3.8)
Interest cost (9.9) (2.5) (12.4) (9.2) (2.5) (11.7)
Expected return on pension assets 13.3 1.9 15.2 14.3 1.5 15.8 
Total amount credited / (charged) to finance income 3.4 (0.6) 2.8 5.1 (1.0) 4.1 
Total credited / (charged) to the 
Consolidated Income Statement 0.5 (0.7) (0.2) 1.5 (1.2) 0.3 
Jarvis plc Annual Report and Accounts 2009 47
Notes to the Consolidated Financial Statements 14 Retirement benefits (continued)
14.2 IAS 19 disclosures (continued)
Railways Streamline Railways Streamline
Pension Pension 2009 Pension Pension 2008
Amounts recognised in the Consolidated Scheme Schemes Total Scheme Schemes Total
Statement of Recognised Income and Expense £m £m £m £m £m £m
Actual return less expected return on pension 
scheme assets (62.1) (5.6) (67.7) (15.8) (1.8) (17.6)
Gain / (loss) arising from changes in the assumptions 
underlying the present value of scheme liabilities 21.7 10.2 31.9 15.4 3.7 19.1 
Net actuarial (loss) / gain in the Consolidated
Statement of Recognised Income and Expense (40.4) 4.6 (35.8) (0.4) 1.9 1.5 
The actual loss on scheme assets for the year ended 31 March 2009 was £52.5m (2008: £1.7m).
Railways Streamline Railways Streamline
Pension Pension 2009 Pension Pension 2008
Scheme Schemes Total Scheme Schemes Total
Balance sheet analysis £m £m £m £m £m £m
Present value of funded defined benefit obligations 
brought forward (165.5) (44.3) (209.8) (177.5) (49.3) (226.8)
Current service cost (2.9) (0.1) (3.0) (3.6) (0.2) (3.8)
Interest cost (9.9) (2.5) (12.4) (9.2) (2.5) (11.7)
Benefits paid 9.6 1.6 11.2 9.4 4.0 13.4 
Net actuarial gain / (loss) recognised in the Consolidated 
Statement of Recognised Income and Expense 21.7 10.2 31.9 15.4 3.7 19.1 
Present value of funded defined benefit obligations 
carried forward (147.0) (35.1) (182.1) (165.5) (44.3) (209.8)
Pension assets brought forward 205.9 29.2 235.1 213.9 32.3 246.2 
Expected return on scheme assets 13.3 1.9 15.2 14.3 1.5 15.8 
Benefits paid (9.6) (1.6) (11.2) (9.4) (4.0) (13.4)
Actuarial loss (62.1) (5.6) (67.7) (15.8) (1.8) (17.6)
Contributions paid by employer 2.7 1.3 4.0 2.9 1.2 4.1 
Contributions paid by employees –– – –––
Pension assets carried forward 150.2 25.2 175.4 205.9 29.2 235.1 
Net defined benefit obligation 3.2 (9.9) (6.7) 40.4 (15.1) 25.3 
Railways Streamline Railways Streamline
Pension Pension 2009 Pension Pension 2008
Pension surplus / (deficit) recognised as a Scheme Schemes Total Scheme Schemes Total
non-current asset / (liability) £m £m £m £m £m £m
Fastline (1.1) – (1.1) 14.4 – 14.4
Relayfast 0.9 – 0.9 5.6 – 5.6
Jarvis Facilities 3.4 – 3.4 20.4 – 20.4
Streamline LG Scheme – (1.2) (1.2) – (1.9) (1.9)
Streamline Pension Fund – (8.7) (8.7) – (13.2) (13.2)
Net defined benefit pension obligation 3.2 (9.9) (6.7) 40.4 (15.1) 25.3 
48 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 14 Retirement benefits (continued)
14.2 IAS 19 disclosures (continued)
History of experience gains and losses – 
Railways Pension Scheme 2009 2008 2007 2006 2005
Present value of defined benefit obligations (£m) (147.0) (165.5) (177.5) (177.0) (162.3)
Fair value of scheme assets (£m) 150.2 205.9 213.9 199.0 166.7 
Surplus in scheme (£m) 3.2 40.4 36.4 22.0 4.4 
Experience (losses) / gains on scheme assets (£m) (62.1) (15.8) 8.4 28.6 17.7 
Percentage of scheme assets (%) (41.4) (7.7) 3.9 14.4 10.6 
Experience (losses) / gains on scheme liabilities (£m) (2.2) – – – 1.9 
Percentage of the present value of scheme liabilities (%) (1.5) – – – 1.2 
Total amount recognised in the Consolidated Statement of 
Recognised Income and Expense (£m) (40.4) (0.4) 11.7 17.2 11.1 
Percentage of the present value of scheme liabilities (%) (27.5) (0.2) 6.6 9.7 6.8 
History of experience gains and losses – 
Streamline Pension Schemes 2009 2008 2007 2006 2005
Present value of defined benefit obligations (£m) (35.1) (44.3) (49.3) (50.0) (48.7)
Fair value of scheme assets (£m) 25.2 29.2 32.3 32.1 28.5 
Deficit in scheme (£m) (9.9) (15.1) (17.0) (17.9) (20.2)
Experience (losses) / gains on scheme assets (£m) (5.6) (1.8) (1.3) 1.9 0.7 
Percentage of scheme assets (%) (22.2) (6.2) (3.9) 5.9 2.5 
Experience losses on scheme liabilities (£m) – (1.2) – – (1.0)
Percentage of the present value of scheme liabilities (%) – (2.7) – – (2.1)
Total amount recognised in the Consolidated Statement of 
Recognised Income and Expense (£m) 4.6 1.9 (0.3) 2.4 (3.2)
Percentage of the present value of scheme liabilities (%) 13.1 4.3 (0.6) 4.8 (6.6)
The cumulative amount of actuarial gains and losses since 1 April 2004 recognised in the Consolidated Statement of Recognised Income
and Expense is £75.7m (2008: £40.5m).
15 Inventories
2009 2008
£m £m
Raw materials and consumables 0.7 1.1
Work in progress 0.3 0.8
Finished goods and goods for resale 1.2 1.4
2.2 3.3
The above balances include an impairment provision of £0.2m (2008: £0.3m). The replacement cost of inventories is not considered
different to the amounts disclosed above. 
16 Trade and other receivables
2009 2008
£m £m
Trade receivables 10.5 16.5
Amounts due from customers on contracts 42.4 62.8
Other receivables 10.9 9.2
Prepayments and accrued income 5.7 9.5
69.5 98.0
Jarvis plc Annual Report and Accounts 2009 49
Notes to the Consolidated Financial Statements 17 Construction contracts
Contracts in progress at the balance sheet date are analysed below.
2009 2008
£m £m
Due from customers for contract work, included in trade and other receivables 0.5 0.7
Due to customers for contract work, included in trade and other payables – –
0.5 0.7
The aggregate amount of costs incurred plus recognised profits (less recognised losses) for all contracts in progress at the balance sheet
date was £0.7m (2008: £8.1m).
18 Borrowings
18.1 Summary of borrowings
2009 2008
Fixed Floating Total Fixed Floating Total
£m £m £m £m £m £m
Current
Bank loans and loan notes – 27.0 27.0 – 10.1 10.1 
Other loans 0.6 – 0.6 0.5 – 0.5 
0.6 27.0 27.6 0.5 10.1 10.6 
Non-current
Bank loans and loan notes ––– – 31.5 31.5 
Other loans 0.1 – 0.1 0.1 – 0.1 
0.1 – 0.1 0.1 31.5 31.6 
Total borrowings 0.7 27.0 27.7 0.6 41.6 42.2 
All borrowings are denominated in sterling.
18.2 Maturity profile of borrowings
Bank loans and 2009 Bank loans and 2008
Other loans loan notes Total Other loans loan notes Total
£m £m £m £m £m £m
Not later than one year 0.6 27.0 27.6 0.5 10.1 10.6 
Between one and two years 0.1 – 0.1 0.1 31.5 31.6 
Between two and five years ––– –––
0.7 27.0 27.7 0.6 41.6 42.2 
18.3 Borrowing facilities
The Group’s floating rate borrowings relate to its committed facility of £60.0m arranged by Burdale Financial Limited, the secured
asset-based lending subsidiary of the Bank of Ireland, secured by way of a fixed and floating charge on the Group’s assets, in particular
its plant, machinery and receivables under its rail renewal and plant hire contracts. Subsequent to the year end the Group negotiated a
£50.0m facility and extended the terms of its borrowings to 31 January 2011.
At 31 March 2009 the Group had available £33.4m of undrawn borrowing facilities (2008: £20.2m).
18.4 Effective interest rates
The effective interest rates on the Group’s interest bearing borrowings at the balance sheet date are shown below.
2009 2008
% %
Loan notes and bank loans 5.1 11.0
Other loans 13.4 12.2
50 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 19 Trade and other payables 
2009 2008
£m £m
Current
Trade payables 33.8 37.6
Other payables 7.4 8.5
Accruals and deferred income 31.1 33.1
Advance payments on contracts 0.5 1.1
Other taxation and social security 9.9 15.8
82.7 96.1
Non-current
Other payables 0.4 0.8
0.4 0.8
20 Provisions
Onerous leases Restructuring Other Total 
£m £m £m £m
At 3 April 2007 1.0 3.6 2.7 7.3 
Additional provisions – 1.0 1.6 2.6 
Provisions utilised (0.6) (2.3) (0.5) (3.4)
Businesses disposed of – – (0.5) (0.5)
At 31 March 2008 0.4 2.3 3.3 6.0 
Additional provisions – 14.2 0.6 14.8 
Provisions utilised (0.3) (1.2) (2.4) (3.9)
At 31 March 2009 0.1 15.3 1.5 16.9 
Disclosed within:
Current liabilities 0.1 15.3 1.5 16.9
Non-current liabilities ––––
0.1 15.3 1.5 16.9
Provisions represent the best estimate of obligations at the balance sheet date. The provision for onerous leases has been calculated at
the net present value of rent payable less rents receivable (having taken account of potential void years and lease incentives) up to the
end of the lease. Allowance has been made for empty rates and agents’ fees.
The restructuring provision principally relates to the restructuring of the Rail and Plant businesses, following a significant reduction in
demand by Network Rail for these services. The other provisions relate to liabilities in respect of contracts and third party claims and
represent the net present value of the expected cash outflow in relation to these obligations.
Jarvis plc Annual Report and Accounts 2009 51
Notes to the Consolidated Financial Statements 21 Financial instruments
There were no derivative financial instruments outstanding at the balance sheet date.
Non-derivative financial instruments consist of cash at bank, short term deposits, trade and other receivables, bank overdrafts,
borrowings and trade and other payables. The fair value of these approximate to the carrying value in the balance sheet. The fair value
of the non-current borrowings is their net present value computed at the market rate that would arise if the commitment had been
entered into at the balance sheet date. The fair value of all other non-derivative financial instruments approximate to their carrying values
because of the short term maturity of these instruments. A summary of the carrying value of financial assets and liabilities held by the
Group is given below.
2009 2008
£m £m
Financial assets (classified as loans and receivables)
Trade and other receivables 63.8 88.5
Cash and cash equivalents 6.2 3.4
70.0 91.9
Financial liabilities (classified as held at amortised cost)
Trade and other payables 52.0 63.8
Borrowings 27.7 42.2
79.7 106.0
The maturity profile of the Group’s financial liabilities is detailed below.
Trade and 
other
Borrowings payables
£m £m
31 March 2009
Due within one year 27.6 51.6 
Due between one and two years 0.1 0.4 
Between two and five years ––
27.7 52.0
31 March 2008
Due within one year 10.6 63.0 
Due between one and two years 31.6 0.4 
Between two and five years – 0.4 
42.2 63.8 
Capital risk management
The Group manages its capital to ensure that entities of the Group will be able to continue as a going concern, whilst maximising the
return to stakeholders through optimisation of the debt and equity balance. The capital structure of the Group consists of cash and cash
equivalents and equity attributable to holders of the parent, comprising issued share capital and reserves as disclosed in the accounting
policies. The Group is not subject to external imposed capital requirements, other than the minimum capital requirements and duties
regarding reduction of capital, as imposed by the Companies Act 2006 for all Public Limited Companies.
Financial risk management
The Group has a centralised Treasury function whose primary role is to manage the financial risks that the Group is exposed to, within
parameters approved by the Group Board. These risks include interest rate risk, liquidity risk, and credit risk. The Group does not
undertake any material transactions in foreign currencies.
Interest rate risk
The Group’s floating rate borrowings relate to its Burdale Financial Limited banking facilities, further details of which are given in 
Note 18. These borrowings are subject to floating rates of interest linked to the LIBOR. A one percentage point rise in interest rates
would increase the annual net interest charge on these borrowings by approximately £0.3m. 
Liquidity risk
The Group manages its liquidity risk by maintaining sufficient banking facilities and continuously monitoring its forecast and actual cash
flows. Details of undrawn borrowing facilities, and a maturity profile of the Group’s borrowings are given in Note 18. 
52 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 21 Financial instruments (continued)
Credit risk
Credit risk arises on financial instruments held by the Jarvis Group, being trade receivables and cash and cash equivalents. Policies and
procedures are in place to ensure that credit is only given to customers that have an appropriate credit history and cash is deposited with
highly credit-rated authorised counterparties based on ratings issued by the major rating agencies. A significant proportion of the Group’s
trading is with one customer, Network Rail, which gives rise to a concentration of credit risk.
Trade receivables are included in the balance sheet net of provision for impairment, estimated by the Group’s management on an
individual customer by customer basis. This is based on prior experience and their assessment of the current economic environment.
The ageing of trade receivables and provision for impairment are detailed in the table below. There are no reasons to believe that those
debts past due but not impaired are not recoverable.
Gross Gross
receivables Impairment receivables Impairment
2009 2009 2008 2008
£m £m £m £m
Not past due 6.1 – 8.8 –
Past due up to three months 1.4 – 4.1 –
Past due three to six months 0.3 – 1.7 –
Past due six to twelve months 1.0 – 0.9 –
Past due more than 12 months 2.0 (0.3) 1.4 (0.4)
10.8 (0.3) 16.9 (0.4)
The movement in the provision for impairment of trade receivables during the year is shown below.
2009 2008
£m £m
Provision at start of the year 0.4 1.9
Increase in provision during the year – 0.1
Provision utilised during the year (0.1) (1.6)
Provision at end of the year 0.3 0.4
22 Share capital
22.1 Authorised
2009 2009 2008 2008
Number £m Number £m
Ordinary shares of 5p each 340,000,000 17.0 340,000,000 17.0 
22.2 Allotted, called up and fully paid
Number £m
At 31 March 2009 and 31 March 2008 213,292,874 10.7 
At 3 April 2007 204,379,497 10.2 
Shares authorised / issued in the year 8,913,377 0.5 
At 31 March 2008 213,292,874 10.7 
Jarvis plc Annual Report and Accounts 2009 53
Notes to the Consolidated Financial Statements 23 Reconciliation of movement in shareholders’ equity
Capital
Share Share Special redemption Other Accumulated Total
capital premium reserve reserve reserve losses equity
£m £m £m £m £m £m £m
At 1 April 2008 10.7 63.3 3.7 7.2 89.7 (173.1) 1.5 
Loss for the year ––––– (9.6) (9.6)
Actuarial losses on defined benefit 
pension schemes ––––– (35.8) (35.8)
Tax in respect of items taken directly to equity ––––– 10.0 10.0 
Equity settled share-based payments ––––– 0.1 0.1 
At 31 March 2009 10.7 63.3 3.7 7.2 89.7 (208.4) (33.8)
At 3 April 2007 10.2 581.4 – 7.2 89.7 (702.8) (14.3)
Profit for the year ––––– 11.1 11.1 
Transfer between reserves – capital reduction – (520.7) 3.7 – – 517.0 –
Actuarial gains on defined benefit 
pension schemes ––––– 1.5 1.5 
Shares issued in connection with exercise 
of warrants 0.5 2.6 –––– 3.1
Equity settled share-based payments ––––– 0.1 0.1 
At 31 March 2008 10.7 63.3 3.7 7.2 89.7 (173.1) 1.5 
The special reserve relates to the High Court approved capital reduction during the year ended 31 March 2008.
The capital redemption reserve arose from the Placing and Open Offer completed on 29 September 2005, when £7.2m of ordinary
shares were cancelled.
The other reserve arose on the acquisition of Streamline Holdings plc in the year ended 31 March 1998, the Company taking advantage
of merger relief under section 131 of the Companies Act 1985.
24 Share-based payments
The Group has appraised its share options granted on or after 7 November 2002 and not vested at 1 April 2005, in accordance with IFRS 1
and IFRS 2. In the year ended 31 March 2009 the amount charged to the Consolidated Income Statement in relation to share-based
payments totalled £0.1m (2008: £0.1m).
With the exception of the Savings Related Share Option Scheme (SAYE scheme) there are share price performance conditions applicable
to each of these schemes, with all schemes requiring continuous employment.
Options are  valued using the Black-Scholes option pricing model. All options have a life of three years. The expected volatility used in
the valuation model is based on historical volatility over the last three years of a peer group and a nil dividend yield has been assumed.
The principal assumptions and key data used in the calculations are shown below.
Fair value per option
Share price at Exercise Expected Risk free Pence
grant date price volatility interest rate
Grant date Pence Pence % % Tranche 1 Tranche 2 Tranche 3
The Management Incentive Plan
30 November 2005 87 108 – 152 21.3 4.0 17 14 9
8 August 2006 56 70 – 98 20.5 5.0 11 9 6
4 October 2006 45 57 – 80 20.5 5.0 9 7 4
SAYE scheme
4 April 2006 70 70 20.5 5.0 14 – –
The 2003 Share Option Plan
4 October 2006 55 65 – 87 20.5 5.0 11 9 6
3 April 2007 66 83 – 116 28.8 4.6 18 18 18
5 September 2007 72 90 – 125 28.8 4.6 20 20 20
54 Jarvis plc Annual Report and Accounts 2009
Notes to the Consolidated Financial Statements 24 Share-based payments (continued)
The weighted average exercise price at 31 March 2009 is 86p (2008: 87p). No share options have been exercised during the year and
913,000 were exercisable at 31 March 2009. The options outstanding and movements during the year are shown below.
Outstanding Outstanding Outstanding
at GrantedSurrendered, at Granted Surrendered, at
3 April during cancelled or 31 March during cancelled or 31 March
Grant date 2007 the year exercised 2008 the year exercised 2009
The Management Incentive Plan
30 November 2005 2,655,000 – (2,565,000) 90,000 – (90,000) –
8 August 2006 550,000 – – 550,000 – (100,000) 450,000
4 October 2006 1,296,000 – (313,000) 983,000 – (370,000) 613,000
SAYE scheme
4 April 2006 2,753,380 – (696,013) 2,057,367 – (407,366) 1,650,001
The 2003 Share Option Plan
4 October 2006 2,798,000 – (239,000) 2,559,000 – (330,000) 2,229,000
3 April 2007 – 1,026,400 – 1,026,400 – – 1,026,400
5 September 2007 – 2,990,473 – 2,990,473 – (703,715) 2,286,758
25 Commitments
25.1 Capital commitments
The Group had no capital commitments at 31 March 2009 (2008: nil).
25.2 Operating leases
The Group has entered into commercial leases on certain properties, motor vehicles and items of plant and equipment. The total of future
minimum lease payments under non-cancellable operating leases is shown in the table below.
Vehicles, Vehicles, 
plant and 2009 plant and 2008
equipment Property Total equipment Property Total
£m £m £m £m £m £m
Within one year 6.5 2.8 9.3 8.4 3.7 12.1 
More than one year but within five years 10.2 6.1 16.3 12.1 9.8 21.9 
After five years 0.7 12.6 13.3 1.2 14.8 16.0 
17.4 21.5 38.9 21.7 28.3 50.0 
Operating lease charges recognised in the Consolidated Income Statement are shown in Note 4.
26 Contingent liabilities
The Group has guaranteed performance bonds and given guarantees in respect of contracts entered into by subsidiary undertakings in
the normal course of business.
The Group has provided guarantees to certain local authorities in connection with the potential rebate of unitary charges paid by those
authorities to the relevant wholly-owned Jarvis special purpose company, should this become necessary as a result of underperformance
in connection with agreed service standards.
The Group’s banking facilities are subject to certain financial covenants and events of default. Breaches of financial covenants or events
of default can be waived or consented to by the lenders but such waivers or consents may require the payment of fees and costs to
the lenders.
27 Related party transactions
Related party transactions in the year are limited to compensation for key management. Key management personnel comprise the
Executive and Non-Executive Directors, as identified in the Directors’ Remuneration Report on pages 24 to 27, along with the Executive
Team. The remuneration of these key personnel is detailed below.
2009 2008
£m £m
Salaries and short-term benefits 2.3 2.4
Post employment benefits 0.3 0.3
Termination payments 0.2 0.2
2.8 2.9
Jarvis plc Annual Report and Accounts 2009 55
Notes to the Consolidated Financial Statements 56 Jarvis plc Annual Report and Accounts 2009
28 Cash generated from operations
2009 2008
(Loss) / profit from operations £m £m
Operating (loss) / profit from continuing operations (3.7) 5.1
Operating loss from discontinued operations – (0.4)
(3.7) 4.7
Adjustments for non-cash movements
Depreciation of property, plant and equipment and amortisation of intangible assets 3.6 3.2
Impairment loss on property, plant and equipment 0.6 –
Closure of freight container services business* 2.2 –
Non-cash pension costs 0.3 1.1
Restructuring costs 8.1 1.0
Profit on disposal of property plant and equipment (1.8) (0.6)
13.0 4.7
Movement in working capital
Decrease in inventories 1.0 0.1
Decrease / (increase) in receivables 28.6 (14.0)
Decrease in payables and provisions (14.5) (13.3)
15.1 (27.2)
Cash flows from operating activities 24.4 (17.8)
*Includes £0.6m asset impairment.
29 Principal subsidiary undertakings and associates at 31 March 2009
The subsidiaries of Jarvis plc which, in the opinion of the Directors, principally affect Group trading results and net assets are
listed below.
Company Nature of business
Fastline Limited* Rail and other plant hire business
Jarvis Rail Limited Rail infrastructure services
Jarvis Accommodation Services Limited Facilities management 
Jarvis Construction (UK) Limited Construction management
Somerford Equipment Limited* Specialist vehicle delivery
*Indirectly owned by Jarvis plc.
All principal subsidiary undertakings are incorporated in England and Wales and are wholly owned.
Notes to the Consolidated Financial Statements 2009 2008
Notes £m £m
Fixed assets
Intangible assets 5 5.4 2.8
Investments in subsidiary undertakings 6 74.0 73.9
79.4 76.7
Current assets
Debtors 7 81.6 93.3
Cash at bank and in hand 0.2 –
81.8 93.3
Creditors: amounts falling due within one year 8 (10.2) (11.8)
Net current assets 71.6 81.5
Total assets less current liabilities 151.0 158.2
Creditors: amounts falling due after more than one year 8 (0.5) (0.8)
Provisions for liabilities 9 (1.2) (1.7)
Net assets 149.3 155.7
Capital and reserves
Share capital 10 10.7 10.7
Share premium 10 63.3 63.3
Special reserve 10 3.7 3.7
Capital redemption reserve 10 7.2 7.2
Other reserve 10 89.6 89.6
Profit and loss account 10 (25.2) (18.8)
Equity shareholders’ funds 149.3 155.7
The Financial Statements were approved by the Board on 13 July 2009 and were signed on its behalf by:
R Entwistle Chief Executive
J O’Kane Group Finance Director
Jarvis plc Annual Report and Accounts 2009 57
Company Balance Sheet
At 31 March 2009  1 Principal accounting policies
1.1 Basis of accounting
The Company’s Financial Statements have been prepared under the historical cost convention and in accordance with applicable UK
accounting standards and the Companies Act 1985. The Company has not presented its own profit and loss account, in accordance with
the exceptions allowed by Section 230(4) of the Companies Act 1985. The loss for the year is £6.5m (2008: £18.3m).
1.2 Intangible assets
Intangible assets are stated at cost less accumulated amortisation and impairment losses. Amortisation is charged to the profit and loss
account  on a straight-line basis over the useful economic lives of the assets concerned, from the date they are brought into operational
use. Computer software and licenses are the only intangible assets held by the Company at 31 March 2009. They have an estimated life
of 3 to 5 years. Software development costs are only capitalised where they are considered to generate future economic benefit.
1.3 Investments
Investments are stated at cost less provision for any impairment in value.
1.4 Provisions 
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event and when it is
probable that an outflow of resources will be required to settle the obligation. Provisions are measured at the Directors’ best estimate
of the expenditure required to settle the obligation at the balance sheet date, and are discounted to present value.
1.5 Share-based payments
The Company operates equity-settled share-based payment schemes for certain employees. The cost of share-based payments is
measured at fair value at the date of grant, excluding the effect of non market-based vesting conditions. The cost is recognised in the
profit and loss account on a straight-line basis over the vesting year with the corresponding amount credited to equity, based on an
estimate of the number of shares that will eventually vest. The fair value of employee share option plans is calculated by using the
Black-Scholes-Merton valuation model. 
For share-based payments to employees of subsidiary undertakings the charge is reflected in the accounts of the subsidiary entities to
which the benefit relates. The charge is reflected in the cost of investment the parent company holds in its subsidiary.
1.6 Current taxation
The tax currently payable is based on the taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss
account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that
are never taxable or deductible. The Group’s liability for current tax is calculated using tax rates and laws that have been enacted or
substantively enacted by the balance sheet date.
1.7 Deferred taxation
Full provision has been made for deferred taxation in respect of timing differences that have originated but not reversed at the balance
sheet date as the result of an event which results in an obligation to pay more or less tax in the future, except that:
– Provision is made for gains on disposal of assets that have been rolled over into replacement assets only where there is a commitment
to dispose of the replacement assets.
– Deferred tax assets are recognised to the extent that it is more likely than not that there will be suitable taxable profits from which the
future reversal of the underlying timing differences can be deducted.
Deferred tax is measured on a non-discounted basis at the tax rates expected to apply in the period in which the timing differences
reverse, based on tax rates enacted at the balance sheet date.
2 Auditors’ remuneration
The auditors’ remuneration for audit services to the Parent Company for the year ended 31 March 2009 was £0.1m (2008: £0.1m).
3 Payroll costs and employee numbers
2009 2008
£m £m
Wages and salaries 4.7 5.8
Social security costs 0.5 0.7
Pension costs 0.4 0.5
5.6 7.0
The average number of employees in the year, including Executive Directors, was 81 (2008: 111).
58 Jarvis plc Annual Report and Accounts 2009
Notes to the Company Balance Sheet 4 Dividends
No dividends were paid during the year (2008: nil).
5 Intangible assets 
Intangible assets held at 31 March 2009 relate to computer software and licenses. Details are given in Note 11 to the Consolidated
Financial Statements.
6 Fixed asset investments in subsidiary undertakings
£m
At 1 April 2008 73.9
Additions in the year – share-based payments 0.1
At 31 March 2009 74.0
Investments in subsidiary undertakings primarily relate to the subsidiary undertakings disclosed in Note 29 to the Consolidated
Financial Statements.
7 Debtors
2009 2008
£m £m
Amounts owed by Group undertakings 80.0 88.6
Other debtors 1.3 4.5
Prepayments and accrued income 0.3 0.2
81.6 93.3
8 Creditors
2009 2008
£m £m
Amounts falling due within one year
Bank loans and loan notes 0.6 0.6
Trade creditors 1.6 1.7
Accruals and deferred income 5.9 7.5
Taxation and social security 0.2 0.2
Corporation tax payable 1.9 1.8
10.2 11.8
Amounts falling due after more than one year
Bank loans and loan notes 0.1 –
Other creditors 0.4 0.8
0.5 0.8
Details of borrowing and security arrangements are set out in Note 18 to the Consolidated Financial Statements.
9 Provisions for liabilities and charges
Onerous leases Restructuring Total 
£m £m £m
At 1 April 2008 0.4 1.3 1.7 
Utilised (0.3) (0.2) (0.5)
At 31 March 2009 0.1 1.1 1.2 
Provisions represent the best estimate of obligations at the balance sheet date. The provision for onerous lease commitments has been
calculated at the net present value of rent payable less rents receivable (having taken account of potential void years and lease
incentives) up to the end of the lease. Allowance has been made for empty rates and agents’ fees. The restructuring provision relates
to the costs associated with the ongoing operational restructuring.
Jarvis plc Annual Report and Accounts 2009 59
Notes to the Company Balance Sheet 10 Capital and reserves
Profit and 
Other reserves loss account
£m £m
At 1 April 2008 89.6 (18.8)
Loss for the year – (6.5)
Movements relating to share-based payments – 0.1 
At 31 March 2009 89.6 (25.2)
Details of the Company’s authorised and issued share capital, share premium and capital redemption reserve are given in Notes 22 and
23 to the Consolidated Financial Statements.
The cumulative amount of goodwill written off direct to reserves in respect of acquisitions prior to 31 March 1998 is £89.2m 
(2008: £89.2m) which arose in connection with the acquisition of rail businesses.
11 Capital commitments 
The Company had no capital commitments at 31 March 2009 (2008: £nil). 
12 Contingent liabilities
Details are given in Note 26 to the Consolidated Financial Statements.
60 Jarvis plc Annual Report and Accounts 2009
Notes to the Company Balance Sheet Jarvis plc Annual Report and Accounts 2009 61
Group Historical Summary 
Unaudited
2009 2008 2007 2006 2005
£m £m £m £m £m
Consolidated Income Statement
Revenue* 345.8 321.9 288.5 335.3 432.9 
Operating profit / (loss)* 7.7 9.2 4.9 15.2 (62.5)
Net finance costs (2.6) (1.7) (4.6) (67.8) (27.7)
Exceptional items (11.4) (3.0) (13.4) (1.1) (289.1)
(Loss) / profit before tax* (6.3) 4.5 (13.1) (53.7) (379.3)
Taxation (3.3) 5.2 2.0 0.1 2.6 
(Loss) / profit for the year* (9.6) 9.7 (11.1) (53.6) (376.7)
Post-tax profit / (loss) from discontinued operations – 1.4 (10.6) (3.0) 44.6 
(Loss) / profit for the year attributable to equity shareholders (9.6) 11.1 (21.7) (56.6) (332.1)
Basic and diluted (loss) / earnings per share (4.5)p 5.4p (13.5)p (39.4)p (231.2)p
Capital employed
Equity shareholders’ (deficit) / funds (33.8) 1.5 (14.3) (28.2) (414.3)
Net debt 21.5 (38.8) (23.6) (23.5) (307.5)
*From continuing operations. 62 Jarvis plc Annual Report and Accounts 2009
Report of the Independent Auditor 
to the members of Jarvis plc
We have audited the group and parent
company financial statements (the
‘’financial statements’’) of Jarvis plc for the
year ended 31 March 2009 which comprise
the group income statement, the group and
parent company balance sheets, the group
cash flow statement, the group statement
of recognised income and expense and
notes 1 to 29 for the group consolidated
accounts and notes 1 to 12 in respect of
the parent company accounts. These 
group financial statements have been
prepared under the accounting policies 
set out therein. We have also audited the
information in the Directors’ Remuneration
Report that is described as having been
audited.
This report is made solely to the company’s
members, as a body, in accordance with
Section 235 of the Companies Act 1985.
Our audit work has been undertaken so that
we might state to the company’s members
those matters we are required to state to
them in an auditor’s report and for no other
purpose. To the fullest extent permitted 
by law, we do not accept or assume
responsibility to anyone other than the
company and the company’s members 
as a body, for our audit work, for this 
report, or for the opinions we have formed.
Respective Responsibilities of Directors
and Auditors
The directors’ responsibilities for preparing
the Annual Report and the group financial
statements in accordance with United
Kingdom law and International Financial
Reporting Standards (IFRSs) as adopted by
the European Union, and for preparing the
parent company financial statements and
the Directors’ Remuneration Report in
accordance with United Kingdom law and
Accounting Standards (United Kingdom
Generally Accepted Accounting Practice)
are set out in the Statement of Directors’
Responsibilities.
Our responsibility is to audit the financial
statements and the part of the Directors’
Remuneration Report to be audited in
accordance with relevant legal and
regulatory requirements and International
Standards on Auditing (UK and Ireland).
We report to you our opinion as to
whether the financial statements give 
a true and fair view and whether the
financial statements and the part of the
Directors’ Remuneration Report to be
audited have been properly prepared 
in accordance with the Companies Act
1985 and whether, in addition, the group
financial statements have been properly
prepared in accordance with Article 4 of
the IAS Regulation. We also report to you
whether in our opinion the information
given in the Directors’ Report is consistent
with the financial statements. The
information given in the Directors’ 
Report includes that specific information
presented in the chairman’s statement, 
the chief executive review, the financial
review, and the operating review that is
cross referred from the Business Review
section of the Directors’ Report.
We review whether the Corporate
Governance Statement reflects the
company’s compliance with the nine
provisions of the 2006 Combined Code
specified for our review by the Listing
Rules of the Financial Services Authority,
and we report if it does not. We are not
required to consider whether the board’s
statements on internal control cover all
risks and controls, or form an opinion on
the effectiveness of the group’s corporate
governance procedures or its risk and
control procedures. In addition we report
to you if, in our opinion, the company has
not kept proper accounting records, if we
have not received all the information and
explanations we require for our audit, or 
if information specified by law regarding
directors’ remuneration and other
transactions is not disclosed.
We read other information contained in 
the Annual Report and consider whether 
it is consistent with the audited financial
statements. The other information
comprises only the Directors’ Report, 
the unaudited part of the Directors’
Remuneration Report, the Chairman’s
Statement, Chief Executive review, the
financial review, the operating review, 
the biographies, the corporate governance
statement and the corporate social
responsibility statement. We consider the
implications for our report if we become
aware of any apparent misstatements or
material inconsistencies with the financial
statements. Our responsibilities do not
extend to any other information.
Basis of Audit Opinion
We conducted our audit in accordance
with International Standards on Auditing
(UK and Ireland) issued by the Auditing
Practices Board. An audit includes
examination, on a test basis, of evidence
relevant to the amounts and disclosures 
in the financial statements and the part of
the Directors’ Remuneration Report to be
audited. It also includes an assessment of
the significant estimates and judgments
made by the directors in the preparation 
of the financial statements, and of
whether the accounting policies are
appropriate to the group’s and company’s
circumstances, consistently applied and
adequately disclosed. 
We planned and performed our audit 
so as to obtain all the information and
explanations which we considered
necessary in order to provide us with
sufficient evidence to give reasonable
assurance that the financial statements
and the part of the Directors’
Remuneration Report to be audited are
free from material misstatement, whether
caused by fraud or other irregularity or
error. In forming our opinion we also
evaluated the overall adequacy of the
presentation of information in the financial
statements and the part of the Directors’
Remuneration Report to be audited.
Opinion
In our opinion:
– the group financial statements give a true
and fair view, in accordance with IFRSs
as adopted by the European Union, 
of the state of the group’s affairs as at
31 March 2009 and of its loss for the year
then ended;
– the group financial statements have been
properly prepared in accordance with the
Companies Act 1985 and Article 4 of the
IAS Regulation;
– the parent company financial statements
give a true and fair view, in accordance
with United Kingdom Generally Accepted
Accounting Practice, of the state of
the parent company’s affairs as at
31 March 2009;
– the parent company financial statements
and the part of the Directors’ Remuneration
Report to be audited have been properly
prepared in accordance with the
Companies Act 1985; and
– the information given in the Directors’
Report is consistent with the financial
statements.
Grant Thornton UK LLP
Registered Auditor
Chartered Accountants
Leeds
13 July 2009 Jarvis plc Annual Report and Accounts 2009 63
Investor Information
Shareholder Services
Registrars
Equiniti Limited
Aspect House
Spencer Road
Lancing
West Sussex
BN99 6DA
Amalgamation of Accounts
Shareholders who receive duplicate sets
of Company mailings as a result of multiple
accounts registered in their names should
write to the Registrar to have their accounts
amalgamated.
Gifting Your Shares to Charity
Shareholders who have a small number of
shares can often find it uneconomical to sell
them. An alternative is to consider donating
them to the charity ShareGift (registered
charity 1052686), which collects donations
of unwanted shares until there are enough
to sell and uses the proceeds to support
other UK charities. Further information can
be obtained from the Company’s Registrars
or from ShareGift on 020 7930 3737 or from
www.ShareGift.org. There is no implication
for Capital Gains Tax (no gain or loss) when
you donate shares to charity and UK
taxpayers may be able to claim income 
tax relief on the value of their donation.
Investor Centre Website
The Company’s Investor Centre website
provides users with timely access to
up-to-date and historical information on
Jarvis, including results announcements,
presentations, annual reports, regulatory
announcements and other investor relations
materials and tools including a real time
share price feed and share price calculator.
The Investor Centre can be accessed at:
www.jarvisplc.com/jarvisplc/investor/.
Company Details
Registered Office
Meridian House
The Crescent
York YO24 1AW
Company Registration
Registered in England
No. 2238084
Our Advisers
Auditors
Grant Thornton UK LLP
No 1 Whitehall Riverside
Whitehall Road
Leeds LS1 4BN
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London EC1Y 8YY
Stockbrokers
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London EC2N 1PH Printed by Royle Print Limited, London  Jarvis plc
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York
YO24 1AW
T +44 (0)1904 712712
www.jarvisplc.com