Johnson Service Group PLC
Annual Report 2005
www.johnsonplc.com
Johnson Service Group PLC Annual Report 2005
JSG028_AR_2005 Cover  30/3/06  09:25  Page 1 Johnson Service Group PLC Contents
02 Financial Highlights
03 Johnson Service Group
04 Chairman’s Statement 
08 Chief Executive’s Review
20 Financial Review
24 Directors’ and Officer’s Biographies
26 Directors and Advisors
27 Five Year Record
28 Consolidated Profit and Loss Account
29 Balance Sheets
30 Consolidated Cash Flow Statement
31 Consolidated Statement of Total 
Recognised Gains and Losses
31 Consolidated Historical Cost
Profits and Losses 
32 Statement of Accounting Policies
35 Notes to the Financial Statements
62 Corporate Governance 
68 Directors’ Report
71 Board Report on Remuneration
81 Auditors’ Report 
83 Notice of Annual General Meeting
Contents
Stalbridge Linen Services supplies the bed linen and towels
for The Royal Hotel, Cardiff
Dimensions supplies Corporatewear for Boots
Jeeves of Belgravia provides a home collection and delivery
service in London
SGP’s Ray Twigg project managing the fit out of a new 
Carphone Warehouse in Ruislip
4
3
2
1
1
2
3
4
JSG028_AR_2005 IFC-09  30/3/06  09:26  Page 2 The Group | Our Mission    Johnson Service Group PLC  
01
Johnson Service Group provides a unique
range of support services that allow our
corporate clients to focus on their core
activities, and enable individual
consumers to find the best in textile care.
We operate in two principal areas. Our market
leading textile-related services include clothing
people at work, renting and laundering workwear
garments, drycleaning and providing hospitality
equipment. Our facilities management operations
provide a comprehensive range of high value
services to both commercial and retail clients.
Our aim is to become the integrated service
provider of choice in the markets we serve. 
We intend to deliver sustained and profitable
growth within a dynamic culture that allows 
us to:
• Provide excellent services that exceed the
expectations of our customers and offer 
real value
• Attain the highest possible standards of
quality, efficiency and convenience
• Build genuine and mutually beneficial
partnerships with our clients, customers 
and suppliers
• Continue developing, empowering and
incentivising our people, and ensure that
they are rewarded for results
• Respect our obligations to the community
and environment.
Our Mission The Group
Rental
Johnsons Apparelmaster is the UK leader in the
laundering and rental of workwear and Stalbridge Linen
Services is Britain’s leading supplier of premium linen hire
services. Johnson Hospitality Services (JHS) is the market
leader in the provision of furniture and catering equipment
to the contract catering market. 
Corporatewear
Our Corporatewear division consists of six premium
brands; Dimensions, DCC, CCM, Yaffy, Boyd Cooper and
Wessex, and together they are the largest suppliers of
clothing to people at work in the UK.
Drycleaning
Our market leading Drycleaning business operates under
the Johnsons Cleaners, Sketchley and Jeeves of Belgravia
brands. Alex Reid is the leading supplier of consumables 
to the drycleaning industry and is the European Master
Licence holder for the environmentally preferable
GreenEarth® process. Firbimatic UK, a division of Alex
Reid, is the market leader in the supply and servicing of
drycleaning machinery and ancillary equipment.      
Facilities Management
Our Facilities Management division consists of Johnson
Workplace Management (JWM), who deliver facilities
management services to the commercial office market
complemented by SGP Property Services (SGP) who
specialise in the provision of property management 
and maintenance services to the financial, leisure and
retail sectors.
JSG028_AR_2005 IFC-09  30/3/06  09:26  Page 01 Johnson Service Group PLC Financial Highlights
02
Financial Highlights
UK GAAP IFRS UK GAAP
2005 2005 2004
Restated
Turnover (£m) 431.9 431.9 364.0
Turnover* (£m) 363.5 363.5 278.0
Profit before taxation (£m) 15.7 23.6 15.4
Adjusted profit before taxation (£m) 27 .9 28.1 24.6
Adjusted fully diluted earnings per share (pence) 33.6 33.8 30.2
Net debt (£m) 137.0 137.2 74.1
Dividend per share (pence) 19.4 19.4 18.5
Rental
2005 2004
Corporatewear
Drycleaning
Facilities Management
113.3
37 .6
97.4
 29.7
128.4
87 .1
101.4
46.6
Contribution to Group turnover* (£m)
Turnover* (£m)
Adjusted profit 
before tax (£m)
Dividend per ordinary
share (pence)
05
04
03
02
363.5
278.0
219.6
219.2
05
04
03
02
27 .9
24.6
23.1
21.0
05
04
03
02
19.4
18.5
17.6
17.6
* Excluding costs recharged to customers
JSG028_AR_2005 IFC-09  30/3/06  09:26  Page 02 Johnson Service Group    Johnson Service Group PLC  
03
Johnson Service Group
Drycleaning Corporatewear
Facilities
Management Rental
The UK’s leading managing agency
for corporate clothing. Dimensions’
market leading design and sourcing
provide high service levels to a
large number of the UK’s major
employers. Dimensions has market
dominance in the UK retail sector.
The UK’s leading workwear rental
business, providing a comprehensive
clothing portfolio to the workplace,
supported by sourcing, supply and
aftercare service solutions.
The UK’s market leader in the
provision of premium linen,
catering garments and aftercare
support services to the hospitality,
food service and corporate
entertainment markets.
The UK’s market leader in the hire
of catering equipment, hospitality
furniture and related items to
major sporting and other large,
spectator events.
This business signifies the
Johnson strategic entry into the
growing workplace and facilities
management market. It manages
over 250 locations, covering some
15 million square feet, for a range
of blue-chip corporate customers
and Government departments.
Workplace Engineering provides
hi-tech electrical, engineering and
project fit-out services on a
planned and reactive basis. It
brings together the two recently
acquired businesses, Ace (Ascot)
and Acame.
SGP specialises in the provision of
property management services to
the financial, leisure and retail
sectors, including 24/7 /365
maintenance help desk, building
services, project, asset and health
and safety audit services.
Britain’s number one drycleaners
with a network of conveniently
located stores nationwide. Leaders
in drycleaning, specialist textile
and garment aftercare services.
Jeeves is a respected luxury brand 
offering a premium quality service
to customers including haute-
couture houses, a wide range of
City and bespoke-service-seeking
individuals and is the holder of two
Royal Warrants.
Jeeves International – The world
franchising arm of the Jeeves
brand. It is currently represented
in Hong Kong, New York, Jakarta
and Istanbul.
The UK’s leading supplier to the
clothes care sector , serving a wide
range of customers from small
independent drycleaners and
launderettes to national chains 
and large industrial laundries.
Firbimatic is the market leader in
the supply and servicing of
drycleaning machinery.
Alex Reid are marketing and making
available the GreenEarth® process
under licence to all UK drycleaning
independents and establishing sub
licence relationships with
distributors across Europe.
DCC provides both a managing
agency for corporate clothing to
the UK financial sector as well as
a high quality mail order clothing
catalogue.
One of Europe’s leading workwear
sourcing companies. Delivering
innovative supply solutions
through global partnerships and
bespoke customer managed
services.
The UK’s leading supplier of high
performance technical outerwear to
UK police authorities. It holds long
term contracts to design or supply
this outer wear and body armour
carriers to UK police forces.
A leading supplier of uniforms to
the health service with 225 years
experience and the holder of a
Royal Warrant.
The leading provider of ambulance
and paramedic uniforms in the UK.
Environmental Pest Control
provides pest control services 
to workplace, retail and leisure
markets ranging from rodent 
and bird flocking control to the
environmental management 
of potential and actual risks to
locations throughout the UK.
JSG028_AR_2005 IFC-09  30/3/06  09:26  Page 03 Johnson Service Group PLC Chairman’s Statement
04
Chairman’s Statement
I am pleased to
report a year of
further progress 
for the Group.
Particularly strong
performances by
our newer Facilities
Management and
Corporatewear
businesses have
helped us to
achieve our financial objectives
despite the impact on Drycleaning 
of the weak retail market. We have
also managed to stabilise and grow
our Apparelmaster garment rental
business after several years of
industry-wide decline and we continue
to see excellent growth from our
Stalbridge linen rental business.
Roller towels being laundered in Apparelmaster’s 
Perry Barr facility
JSG028_AR_2005 IFC-09  30/3/06  09:27  Page 04 Chairman’s Statement    Johnson Service Group PLC  
05
Group results
Our results for the year were in line with our
expectations. Total turnover grew by 19% to £432 million
(2004: £364 million), while turnover, excluding costs
recharged to customers in our Facilities Management
division, increased by 31% to £364 million (2004: £278
million). Excluding acquisitions and costs recharged to
customers, underlying revenue rose by 4%.
The Group interest charge rose to £8.4 million (2004:
£5.5 million), reflecting the £86 million expenditure on
acquisitions, net of disposals, over the last two years.
As a result of our acquisitions, amortisation of intangible
assets increased substantially. We also incurred net
exceptional costs of £0.6 million (2004: £2.0 million);
these comprised restructuring costs of £4.0 million; a
£1.0 million provision for environmental and asbestos
remediation work and exceptional income of £4.4 million
relating to the gain on the sale of ten retail properties
and a textile rental facility. The restructuring expenditure
arose as we integrated our acquired businesses and
rationalised back office functions. This restructuring has
already led to a saving of some £500,000 in 2005 and is
expected to yield annual savings of £1.3 million from
2006. In addition, we rationalised the number of
premises that Johnson Hospitality Services trades 
from and incurred additional costs as we integrated 
the business under the management of Stalbridge 
Linen Services.
Under UK GAAP, reported profit before taxation rose by
2% to £15.7 million.
The Group has prepared its consolidated financial
statements to 31st December 2005 under UK GAAP,
supplemented with summary IFRS financial information,
rather than under IFRS as previously indicated. This is to
comply with the Companies Act 1985 (as amended
November 2004) and is a result of the 2005 accounting
year commencing on 26th December 2004, i.e. prior to
the IFRS adoption date of 1st January 2005. 
The only significant difference in the Group profit and
loss account is the treatment of amortisation of goodwill
and intangibles. Therefore, the adjusted profit (before
amortisation, restructuring and environmental costs and
exceptional items) under IFRS is nearly identical to that
reported under UK GAAP. Summary IFRS information has
been included in note 37 of the Financial Statements. 
To aid comparability with our peers who will be reporting
under IFRS, the following numbers used in this
commentary are IFRS based unless otherwise stated.
Adjusted profit before taxation rose by 15% to £28.1 million
(2004: £24.4 million) and adjusted fully diluted earnings
per share by 9% to 33.8 pence (2004: 30.9 pence).
Finances
In July we established a new £200 million five year
Revolving Credit Facility with a syndicate of seven banks.
This was agreed on more favourable terms than our
previous facility, which began to amortise at the end of
June 2005.
The Group’s net debt at the year end was £137 million
(2004: £74 million). This £63 million increase reflected
our net cash spend on acquisitions of £56.2 million,
continuing capital expenditure and a £3.4 million rise in
our working capital. Capital expenditure is expected to
continue at a substantial level through 2006, as
previously advised, but then decrease substantially as
our major IT and building programmes are completed.
The interest charge was covered over four times by
adjusted operating profit. 
Dividend
The Board is recommending an increased final dividend
of 15.0 pence per share (2004: 14.3 pence). Together with
the interim dividend of 4.4 pence paid in October , this
makes a total for the year of 19.4 pence (2004: 18.5 pence),
a rise of 5%. It is the Board’s intention to continue to
pursue a progressive dividend policy while maintaining a
prudent level of cover.
JSG028_AR_2005 IFC-09  30/3/06  09:27  Page 05 Johnson Service Group PLC Chairman’s Statement
06
Operations
All the business-to-business divisions of the Group
performed well during the year, with Corporatewear 
and Facilities Management making particularly strong
progress. In the Rental division, Johnsons Apparelmaster’s
revenues stabilised after several years of decline;
Stalbridge maintained its excellent growth record and
Johnson Hospitality Services has begun to benefit from
its integration into this successful business. In a poor
trading climate for high street retailers in general, the
Drycleaning division experienced reductions in both 
like-for-like sales and profits. The Chief Executive and 
our divisional Managing Directors provide a fuller
commentary on these and other developments in their
Review on pages 8 to 19 of this report.
Acquisitions 
During the year we made eight acquisitions for a total
value of £62.2 million, including deferred consideration.
The acquisitions continued our strategy of refocusing the
Group towards markets which offer higher growth
business-to-business services, with strong recurring
revenue streams, hence reducing our exposure to our
traditional and more cyclical markets in garment rental
and drycleaning.  
All the acquisitions are meeting or exceeding our initial
expectations.
SGP’s Ray Twigg project managing the fit out of a new 
Carphone Warehouse in Ruislip
JSG028_AR_2005 IFC-09  30/3/06  09:27  Page 06 Chairman’s Statement    Johnson Service Group PLC  
07
Outlook
The Group remains focused on further developing its
business-to-business operations which have high levels of
recurring revenues and real growth potential.
Our textile offering is comprehensive and unique, while
our expanded Facilities Management activities now cover
both the commercial and retail sectors. The strong
business model we have developed allows us to exploit
the cross-selling opportunities that exist within and
between our core activities and to deliver sustained
growth to the top and bottom line.
With our Corporatewear and Facilities Management
businesses performing well in growing markets and with
improving conditions in the workwear rental sector we
are confident in the future of the Group. 
Trading conditions for our retail Drycleaning business
remain unpredictable.
Subject to the comments above, we remain well placed to
deliver another satisfactory outcome for the year as a
whole.
Simon Sherrard
Chairman
13th March 2006
Johnson Hospitality Services supplies Café Spice Namasté, owned
by celebrity chef Cyrus Todiwala MBE, with tablewear for events
JSG028_AR_2005 IFC-09  30/3/06  09:27  Page 07 Johnson Service Group PLC Chief Executive’s Review
08
Over the last three
years we have
transformed this
long-established
laundry and
drycleaning
company into a
modern and
balanced support
services Group.
The business is
now well equipped to meet the
challenges and opportunities of 
the twenty-first century. We have a
clear mission and vision for the
future, a tight focus on our two core
activities, significantly increased
exposure to growth markets and a
dynamic and supportive corporate
culture. We identified clear strategic
priorities and have delivered all our
objectives to date, while consistently
growing turnover . Most importantly,
we have built up strong management
in depth. This team has significant
capability and capacity to deliver
profitable growth into the future, 
as we exploit the undoubted 
potential of our core skills in both
Britain and Europe.
SGP’s Estates Surveyor Justine Beeson at Top Shop in York
Chief Executive’s Review
JSG028_AR_2005 IFC-09  30/3/06  09:27  Page 08 Chief Executive’s Review    Johnson Service Group PLC  
09
In 2005 we continued to build successfully on the
foundations laid over the previous two years through 
our programme of acquisitions and divestment, the
strengthening of our management and the process of 
top-to-bottom cultural change. The Group is firmly
committed to focusing on two fundamental components
with real growth potential: textile-related services and
facilities management. We have again grown in both these
sectors through a combination of organic development
and acquisition. 
Acquisitions 
The two principal acquisitions made during the year were
in the Corporatewear and Facilities Management
divisions. At the start of the financial year we acquired
the DCC corporatewear business, focusing primarily on
customers in the financial services and leisure sectors,
for a maximum consideration of £23.0 million.  
In October 2005 we bought SGP Property Services,
providing white-collar facilities management to the
financial services, leisure and retail sectors, for a
maximum consideration of £24.8 million.  
Both businesses extended our service offerings and
ideally complemented our established strengths in
corporatewear for retailers and facilities management 
for the commercial office market. Our enlarged business
dedicated to clothing people at work has an annualised
throughput of well over 10 million garments while our
Facilities Management division now provides a greatly
expanded range of services to an even larger number 
of both customers and locations nationally.
Other, smaller acquisitions made during the year were
further bolt-ons to our Corporatewear and Facilities
Management divisions and trade and asset purchases
designed to strengthen Apparelmaster and Stalbridge
while reducing industry overcapacity in their market place.
Investment
During the year we spent £23.2 million on fixed assets 
to enhance efficiency, introduce new technologies and
enlarge our capacity in markets with long-term growth
potential. Our largest single project is the £11 million 
roll-out of an Enterprise Resource Planning system,
which is expected to be largely completed by the end 
of 2006 on budget. This will give us a real competitive
advantage by allowing us to increase efficiency, reduce
costs and ensure operational best practice across the
Group. We have acquired an additional laundry to enable
Stalbridge Linen Services to continue its exemplary
organic growth, and will this year begin construction of 
a new facility for the brand in the East Midlands.
We also saw a marked increase in our rental stock
expenditure, which rose to £24.8 million (2004: 
£19.4 million). This increase was due to the high organic
growth levels experienced at our linen rental business,
Stalbridge, together with the return to growth of our
workwear rental operation, Apparelmaster. Another sign
of the improvement in Apparelmaster’s performance was
that receipts from customers who terminated their
contracts fell to £3.5 million (2004: £5.1 million) as
retention rates improved.
Strategic Overview
JSG028_AR_2005 IFC-09  30/3/06  09:27  Page 09 Johnson Service Group PLC Chief Executive’s Review
10
The Rental division saw an increase in revenues of 13%
(7% excluding acquisitions), consisting of a welcome
stabilisation in Johnsons Apparelmaster revenues and
continued strong growth from Stalbridge Linen Services.
However, adjusted operating profit fell 7% as Johnson
Hospitality Services underperformed during the second
half of the year with sales down 7%.
Johnsons Apparelmaster 
Apparelmaster, the UK leader in the laundering and
rental of workwear, has seen several years of sales
decline. Following significant management effort we
have achieved an improved business performance in
2005, with organic revenues increasing by 2%. Total
revenues rose 4% following the acquisition of customer
contracts from four small competitors who were exiting
the market. This is the first time in several years that we
have achieved a stabilising in revenues, as we
contracted in tandem with a market that has suffered
from the rapid decline in UK manufacturing. 
Strategically we have focused on developing our
turnover with smaller and medium-sized customers in
response to particularly intense price competition for
large national accounts. This approach, together with
continued investment into our sales force and marketing
plans, has resulted in new business sales and our
customer retention rates both improving. We have also
sustained the rate of investment made over the last two
years in the people and infrastructure within the
business. This has enabled us to provide a high quality
and efficient service to our customers, while maintaining
a low cost base. This action, together with the
acquisitions, has enabled us to improve the total
operating profit margin from 13.3% to 13.9%. 
Rental
David Toon
Executive Director
Rental and Corporatewear
The cleanroom at Apparelmaster’s Exeter facility 
which cleans workwear for the food industry
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It is expected that the operating profit margin will be
under pressure during 2006 as the cost increases we
are experiencing are unlikely to be totally matched by
price rises.
In January 2006 Rentokil Initial announced the closure
of its UK linen and workwear operations. We are actively
marketing to the customers that it is intending to stop
servicing with some success. In addition, the processing
capacity that will be closing may help the industry
achieve greater price stability.
Stalbridge Linen Services and 
Johnson Hospitality Services (JHS)
Stalbridge again achieved excellent organic revenue
growth of 28% in the premium hotel, catering and
corporate hospitality sector, where it is the market
leader. These remarkable results have been achieved
against at best a broadly inert marketplace, which
makes the performance even more impressive. Total
revenues increased by 46% following the strategic
acquisitions of businesses in Winchester and Essex,
which increase our geographic coverage. The operating
margin decreased from 15.5% to 12.8% as expected,
following the acquisitions and the increased investment
in operational and management infrastructure required
to support future growth. Further expansion is planned
in 2006, when we will begin construction of a new state-
of-the-art laundry facility in the East Midlands. Business
has grown in all parts of the country, supported by
innovative marketing that is recognised as the best in
the industry, and by successful new product launches.
Very high levels of customer retention again
complemented an exceptional new business sales
performance. Indeed, the company prides itself in its 
‘no contract’ offering, based on our confidence that
customers will receive service levels far in excess of
those offered elsewhere. 
JHS is the market leader in the provision of furniture
and catering equipment to the contract catering market.
Following a disappointing trading performance during
the second half of the year JHS was merged under the
Stalbridge management team, though they remain as
separate customer-facing brands. This integration was
designed to enhance service, maximise cross-selling
opportunities and realise operational and distribution
efficiencies and cost savings. The new management
Stalbridge Linen Services provides table linen
for Nunsmere Hall Hotel near Chester
team is also working to develop a flexible cost base that
more appropriately reflects the seasonal pattern of
demand. We also embarked on a rationalisation of the
JHS branch network, with three locations closing in
2005 and a further closure planned in the current year,
when we will also be relocating the head office to new
premises in Buckingham. We have expanded and
radically altered the JHS sales function to focus on the
business-to-business market, and to ensure that we
leverage the strong cross-selling opportunities with
Stalbridge. We remain convinced that the combined JHS
and Stalbridge offering is a robust business model and
we have already seen an improvement in the
performance of JHS in 2006.
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 11 Johnson Service Group PLC Chief Executive’s Review
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Clothing for people at work
The Corporatewear Division saw revenue growth of 132%
and adjusted operating profit growth of 178% over the
year, largely due to our acquisition activity during 2004
and the start of 2005. Excluding the acquisitions we still
saw good organic revenue growth of 10%. The five
acquired businesses complemented our existing
company, CCM, and achieved our aim of creating the UK’s
clear market leader in the supply of high quality
corporate clothing. 
The market for corporatewear is continuing to grow
strongly and has significant further potential. Over half
the workers in the US wear corporate uniforms. In the UK
penetration is under 40%, and on the Continent it is
below 20%. As the market leader in Britain and one of
the largest suppliers in Europe, we are well placed to
benefit from the development potential this affords.
Our strategy is to capitalise on the individual strengths of
the various businesses we have acquired, which all have
strong brands and close customer relationships built on
specialist knowledge of distinct market sectors. This
enables us to provide our customers with the focus that
they demand. At the same time, we have been able to
leverage our Group scale in worldwide sourcing to reduce
product costs and improve quality, while enhancing
efficiency and service levels through the integration of
back office functions. These efficiencies have seen the
operating margin of the division increase from 11% to
13%. Management has been unified under a
Corporatewear board to ensure that we exploit potential
synergies and cross-selling opportunities to the full.
All our brands achieved good organic growth during the
year . Dimensions, which is primarily focused on large, blue
chip retail customers, has continued to develop its enviable
client list, which includes Tesco, Sainsbury’s, Waitrose,
Marriott hotels, Marks & Spencer and Boots. 
DCC mainly serves the financial services sector , where its
clients include HSBC, Lloyds TSB and Royal Bank of
Scotland. Our workwear brand CCM continued to exceed
our expectations, achieving organic revenue growth of 7%. 
Dimensions supplies corporatewear for Boots
Corporatewear
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 12 Chief Executive’s Review    Johnson Service Group PLC  
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Wessex provides clothing for 
Surrey Ambulance Service NHS Trust
We have also developed a public services offering with
Yaffy, focusing on high quality police outerwear, and
Wessex, providing clothing for ambulance staff. 
These were complemented by the £4.0 million acquisition
in April 2005 of Boyd Cooper, a supplier of nurses’
uniforms. All these businesses have performed well and
are benefiting from being part of a larger organisation.
Across the business we are experiencing good growth that
reflects the strength of our customer relationships and the
high quality of our newer and more comprehensive
catalogue offering. Our skills in design and logistics
enable us to provide even the largest corporations with
comprehensive management of their clothing brand
images. In addition, the substantially increased
throughput coupled with our procurement experience 
is resulting in savings of £3 million per annum in the
sourcing of new garments. Many of these savings will be
passed onto customers, but together with our other skills
they have contributed to a number of notable business
gains during the year, such as Group4Securicor, Post
Office Counters, Mothercare and Alliance Pharmacy.
2006 has already started strongly with two major pan-
European contracts being secured as well as Virgin
Atlantic Airways being won as a new customer.
David Toon
Executive Director
Rental and Corporatewear
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Our market-leading retail drycleaning business, which
operates under the Johnsons, Sketchley and Jeeves
brands, was affected by the general reduction in
consumer spending on the high street throughout 2005.
Although overall revenue of the division that includes
Alex Reid, rose 4% to £101 million, we saw like for like
shop sales fall by 2.7% during the year. We took a range
of actions to reduce costs, which resulted in the
operating margin of the retail business improving from
3.8% in the first half of the year to 7.7% in the second
half, without compromising quality.
During the year Johnsons Cleaners opened 13 new
concessions within Sainsbury’s stores, and four new
drive-in sites at Sutton Coldfield, Plymouth, Winchester
and St Austell. We also acquired four independent shops
and closed 31 underperforming branches, giving us a
total of 587 units at the year end. A further 60 branches
were converted to the environmentally friendly
GreenEarth® cleaning process during the year, extending
the technology to 230 locations.
Our Priority Club is continuing to expand, and at the 
year end reached a total of 520,000 active members. 
In the final months of the year we began a co-ordinated
marketing drive designed to increase customer numbers
and the frequency of their visits.
Following a full staff survey and independent consumer
research, comprehensive change plans have been
developed to raise the profile of our shops and further
improve the effectiveness of our marketing. We have also
begun trialling a range of innovative services designed to
enhance our convenience to customers, including 
24-hour drop-off boxes for depositing drycleaning, 
Drycleaning
David Bryant
Executive Director
Drycleaning
A drive-in drycleaning shop in Congleton
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 14 Chief Executive’s Review    Johnson Service Group PLC  
15
and a home and office collection and delivery service. 
In line with this strategic priority, the focus of our future
branch opening plans will be on the acquisition of highly
accessible and convenient drive-in sites.
The trading performance of Jeeves of Belgravia, 
our luxury brand, steadily improved during the year, 
as we began to see the results of increasing customer
recognition of our investment in both technology and
people. We are confident that further improvements will
be achieved in the current year, when we plan to launch
an exciting new brand design.
Alex Reid, our business which is the leading supplier of
consumables to the drycleaning industry, performed well
in holding revenue and profits steady despite the tough
market conditions experienced during the year. In August
2005 we strengthened the business by acquiring
Firbimatic UK, a market leader in the supply and servicing
of drycleaning machinery and ancillary equipment.
Excellent progress has been made in developing cross-
selling opportunities and capitalising on the synergies
available. 
As the European Master Licence holder, Alex Reid has
actively promoted the operational and marketing
advantages of the environmentally preferable
GreenEarth® cleaning system process to drycleaners
across the EU. Although poor market conditions have
limited investment by potential customers, sales were
encouraging in the latter part of the year.
In addition to the trading activities outlined above, the
Drycleaning segmental results include £1.8 million 
(2004: £1.4 million) of profit from the disposal of
freehold properties and other non-trading income. 
A similar income is expected during 2006. 
The Drycleaning business benefits from a property
portfolio that extends to around 90 freehold sites. 
If these sites were leasehold and charged at a market
rent to the division, the operating profit of the retail
business would be approximately £1.6 million 
(2004: £1.7 million) lower.
David Bryant
Executive Director
Drycleaning
Jeeves of Belgravia provides a home collection
and delivery service in London
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 15 Johnson Service Group PLC Chief Executive’s Review
16
Organic revenue growth of 5% was supported by the
acquisitions of Acame in January and SGP Property
Services (SGP) in October 2005. These helped our
Facilities Management division grow total revenues
(excluding costs recharged to customers) by 57% and
adjusted operating profit by 144%, with the margin
moving from 6.1% to 9.4%.
SGP specialises in the provision of property management
services to the financial, leisure and retail sectors, ideally
complementing Johnson Workplace Management (JWM),
our existing facilities management business, which is
focused primarily in the commercial office market. Both
share the ‘white collar’ model of facilities management,
subcontracting lower-value commodity services. The
acquisition gives us significantly enhanced scale in this
market, enabling us to offer a more complete service to
potential customers. 
SGP has met all our expectations since acquisition, and has
enjoyed outstanding year-on-year growth. Strong sales
progress was achieved both organically with established
clients, and through a number of business gains with
leading national retailers and financial service companies. 
SGP provides a full range of property management
services structured into three key profit centres:
Technical, Property and Maintenance. Technical
comprises building services, project management, health
and safety, surveying and construction services and
procurement. In Property, we provide asset and
investment management, landlord and tenant services,
portfolio and property management, retail agency
services and advice on rating and service charges. 
Facilities Management
Workplace Engineering personnel installing
network infrastructure
Simon Moate
Executive Director
Facilities Management
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17
Our Maintenance centre operates a state-of-the-art
24/7 /365 helpdesk which handles roughly 750,000 
calls each year, and is recognised as the market leader 
in this sector.
There is already an encouraging new business pipeline
with both existing and potential new clients. This is aided
by the current retail downturn, which is a positive
environment for selling the outsourced services that we
offer. Although we will exploit the synergies available in
procurement we intend to maintain the distinctive
strengths of our two customer-facing brands.
JWM has achieved good organic growth of 5%, with a
number of new three-year contracts being recently awarded
by existing clients in the pharmaceuticals, electronics and
telecoms sectors. We have also gained a number of new
clients in both the public and private sectors. At the same
time, we have again been successful in reducing costs
through the delivery of improved operational efficiencies.
Continuing investment in staff training and development
programmes has played a key role in reinforcing our
position as the UK’s premier provider of outsourced
facility management services. 
Workplace Engineering is our new brand for the delivery
of hi-tech electrical, engineering and project fit-out
services. It brings together two recently acquired
businesses, Ace (Ascot) and Acame, both of which
achieved significant growth in 2005 through a
combination of open market tenders and referrals from
JWM. Their integration has now been completed,
providing further efficiencies and cost savings and
enabling us to take full advantage of the continuing
opportunities in this buoyant sector.
The continuing development of new management
processes, supported by integrated IT solutions, will
ensure that we remain at the forefront in delivering
leading edge facilities management services to a
broadening market place.
Simon Moate
Executive Director 
Facilities Management
Workplace Management provides facilities management services to
Enham Alamein – the charity for disabled persons
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 17 Johnson Service Group PLC Chief Executive’s Review
18
I would like to thank my colleagues in management and 
all employees for their contribution to the Group as a
whole and for their part in the achievements in the year
under review.
We have made good progress towards our strategic
objectives of creating a dynamic, empowered culture 
in which all our people are motivated to exceed our
customers’ expectations and are properly rewarded for
success. This has made an important contribution to
meeting our performance targets for the Group over the
last year as we seek to ensure that the interests of all
our people are aligned with those of our Shareholders 
as a whole.
People and Culture
We remain totally committed to fulfilling our Corporate
Social Responsibility to the environment and the wider
community. During the year we were pleased to have this
commitment recognised by confirmation of our
membership of the FTSE4GOOD Index, and admission to
the Kempen/SNS Smaller Europe SRI Index of socially
responsible companies.
The Group Environmental Committee has continued to
play a critical role in monitoring and mitigating risk
across the Group, and in driving improvements to the
environmental friendliness of our plants and processes. 
A particularly important contribution has been made by
the continued roll-out of the GreenEarth® cleaning
system in our own drycleaning business and across
Europe under our Master Licence. This technology
replaces traditional chlorinated or hydrocarbon based
solvents with a process based on siloxane. This degrades
rapidly after use to harmless silica and does not 
bio-accumulate. 
We attach great importance to our written code of
business ethics, which sets out clear guidelines for all
staff to ensure that the Group meets the highest
standards of conduct in business dealings. 
The Community and 
the Environment
GreenEarth® drycleaning is odour free and 
kinder to the environment
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 18 Chief Executive’s Review    Johnson Service Group PLC  
19
Over the last three years we have made solid,
incremental progress in building a managed services
Group that is equipped to deliver sustained growth at
both the top and bottom line. We have sold
underperforming and volatile businesses, and invested 
in those with more predictable revenues and genuine
growth potential. All of our operations are either clear
market leaders or in positions of real strength.
Management capabilities have been greatly enhanced,
including the recruitment of a number of senior people
with experience of markets outside the UK. Our excellent
team has been supported by the roll-out of state-of-the-
art IT systems, while our people have been empowered,
motivated and rewarded for their successes. Together
these actions give us a real competitive edge.
I am confident that Johnson Service Group has the 
right combination of material, intellectual and cultural
resources to continue delivering our proven strategy 
and to generate value for Shareholders.
Stuart Graham
Chief Executive
13th March 2006
The Future
We pay close attention to the standards observed by our
major overseas garment suppliers, with whom we have
agreed a written code of conduct. Compliance with this is
monitored through regular factory visits.
The Group also seeks to fulfil its social responsibilities by
supporting good causes. Last year we made charitable
donations to Macmillan Cancer Relief, the NSPCC and the
RNLI, while the Johnson Group Cleaners Charity has
continued to support a range of registered charities
targeted at improving the well-being of the sick and
underprivileged.
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 19 Johnson Service Group PLC Financial Review
20
Financial Review
Acquisition activity
continued into
2005 with eight
acquisitions being
completed. We
have arranged a
new debt facility,
at a lower margin,
under a five year
agreement. Capital
investment in new
plant and in IT systems has reduced
cash generation in the short term
but it is expected that capital
expenditure will return to more
normal levels in 2007.
Apparelmaster’s Gold Standard workwear
cleaning facility in Letchworth
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 20 Financial Review    Johnson Service Group PLC  
21
Reporting
The annual report for 2005 presents the results in
accordance with UK GAAP, in order to comply with
current legislation. As the majority of UK listed
companies will be reporting under IFRS for 2005,
summary IFRS information is provided in note 37.
There is little difference in the adjusted profit before
taxation between UK GAAP and IFRS, following the
adoption of FRS 17 (Retirement Benefits) and FRS 20
(Share-based Payment) which have the same impact 
on profit under both GAAP and IFRS. The effects of
adopting the two new standards are detailed in note 2.
Results
The segmental analysis in note 10, which on the new
basis does not allocate central overheads across the four
divisions, clearly shows our success in repositioning the
Group into stronger and expanding markets. The method
of presenting the segmental analysis has been changed
so that the divisional performance is clearer.
The Rental division now accounts for 35% of Group
revenue (excluding costs recharged to customers) 
(2004: 41%). Within this division we have achieved a
stabilisation of revenue from our garment rental business
whilst enjoying continued double digit growth from
Stalbridge, our premium linen rental business. 
The divisional adjusted operating margin before central
overhead fell from 14.5% to 11.8% due to continued
pressure on the cost base in our garment rental business
and a disappointing result from Johnson Hospitality
Services (JHS), the hospitality service business. JHS was
restructured towards the end of the year with significant
reductions in the fixed cost base as we reduced the
number of operating sites and brought the business
under the management of our Stalbridge operation. 
The Corporatewear division has been significantly
expanded over the last two years by acquisitions and now
represents 24% (2004: 13%) of Group revenue (excluding
costs recharged to customers). The adjusted operating
margin before central overhead is 13.1% (2004: 10.9%)
which reflects the quality of service provided and
efficiencies achieved particularly in procurement which
are being realised in the growing business.
The Drycleaning division, which now includes the
specialist supplies business Alex Reid, represents a
reduced proportion of Group revenue (excluding costs
recharged to customers), 28% compared to 35%. 
In common with many high street businesses low
consumer spending and confidence has resulted in a fall
in like-for-like sales of 2.7%. Despite our actions to reduce
costs across the branch network adjusted operating
margin before central overhead fell from 11.1% to 9.7%.
The Facilities Management division continued to expand
with the acquisition of SGP in October 2005 and in 2005
accounted for 13% (2004: 11%) of Group revenue
(excluding costs recharged to customers) at an adjusted
operating margin before central overhead of 9.4%
(2004: 6.1%). The reduction in throughput revenue in
2005 arises from the acquisition of a specialist
mechanical services company and an engineering
business in November 2004 and January 2005
respectively, resulting in the turnover now being included
in turnover excluding costs recharged to customers.
Overall adjusted operating profit has increased by 21% 
to £36.3 million on revenue growth of 31%. The operating
margin at adjusted operating profit level has fallen from
10.7% to 10.0%. This is primarily due to the continued
decrease in the margin of the Rental division. Given the
increased proportion of the Group’s revenue (excluding
costs recharged to customers) and profit from the
Rental (£m) Corporatewear (£m) Drycleaning (£m)
Facilities
Management (£m)
05
04
03
128.4
113.3
114.4
05
04
03
 101.4
97.4
74.2
05
04
03
87 .1
37 .6
26.3
05
04
03
 46.6
29.7
4.7
* Excluding costs recharged to customers.
Divisional Turnover*
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 21 Johnson Service Group PLC Financial Review
22
Corporatewear and Facilities Management divisions it is
likely that the Group’s adjusted operating profit margin
will remain above 10% in the foreseeable future.
We have incurred a restructuring provision of £4 million in
the year . This has arisen from integrating the acquisitions
made over the preceding eighteen months. The restructuring
will produce annual cost savings of £1.3 million. In addition 
a provision of £1 million has been made relating to
environmental and asbestos clean up. Both of these costs
have been excluded from the adjusted operating profit.
The exceptional income of £4.4 million arose from the
disposal of both retail property and a textile rental site. 
The proceeds arising from these disposals were £8.3 million.
The interest charge reflects the increase in borrowings
following acquisition activity during the year. Under the
newly adopted FRS 17 the interest charge includes a
notional net cost of £0.9 million (2004: £0.7 million) in
respect of the excess of interest on pension scheme
liabilities over pension scheme assets. This charge is a
non cash item.
Taxation
The effective tax rate excluding exceptional items and
intangibles amortisation was 28.3% (2004: 28.5%). 
The tax relief on all exceptional items was £1.4 million. 
Tax relief is only available on intangibles amortisation in
certain circumstances and available capital losses have
offset any tax charge arising on property disposals.
Acquisitions
The Group completed eight acquisitions during the year
at a total cost of £62.2 million of which £55.8 million was
paid in cash during the year. Net cash expenditure on
current and prior year acquisitions amounted to £56.2
million. The two largest acquisitions were DCC Corporate
Clothing at the end of December 2004, at a total cost of
£23.0 million, and SGP Property Services, in October 2005,
at a total cost of £24.8 million.
Several small acquisitions have been made in the Rental
division which have helped to take out production
capacity within the market and to improve efficiency at
our existing plants.
Dividend
A final dividend of 15p is proposed bringing the total
dividend to 19.4p (2004: 18.5p). The recommended
dividend is covered 1.7 times by adjusted fully diluted
earnings per share.
Capital Expenditure
The Group has continued its programme of investment in
the infrastructure with expenditure of £22.4 million, 
up from £12.6 million in 2004. This includes £7.7 million
of expenditure on software relating to the design, build
and implementation of the new Enterprise Resource
Planning software. This project remains on target in 
both timing and cost.
The upgrading of rental production facilities has
continued with resultant efficiency improvements and
this process will continue. We are nearing capacity in our
Stalbridge Linen plants and work has commenced on a
new facility for this expanding business with an expected
capital cost of £7.0 million. 
Rental stock expenditure increased to £24.5 million from
£20.1 million reflecting the expansion of the Stalbridge
customer base and improved customer retention in our
garment rental business, Apparelmaster. Rental stock
expenditure is likely to remain at a similar level to 2005
as long as the market continues to improve.
Cash Flow and Borrowings
Free cash flow excluding net capital expenditure was
109% (2004: 116%) of adjusted operating profit and is
used as a key cash management measure by the Group.
Net debt increased to £137 million from £7 4 million
reflecting fixed asset additions and acquisition activity.
Interest cover remains satisfactory at 4.3 times (2004: 5.5
times) based on adjusted operating profit. 
The Group’s committed bank facility was increased to £200
million in July 2005, arranged with a group of seven banks,
at a reduced margin. The facility extends to 2010. 
In addition we have access to a £10 million overdraft facility
which is utilised to manage working capital requirements.
Defined Benefit Liabilities
As previously reported in our Trading Update in January
2006 we face an increased deficit in our pension
schemes as the result of rising life expectancy and lower
corporate bond yields. Our main defined benefit scheme,
the Johnson Group Staff Pension Scheme, was closed to
new entrants in 2002. However, the normal triennial
valuation was conducted during the year and this,
updated in December under FRS 17, has resulted in an
£11.3 million increase in the deficit compared with that
reported last year. This brings the net deficit after tax for
all our pension schemes to a total of £34 million. 
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 22 Financial Review    Johnson Service Group PLC  
23
The two main sensitivities associated with the valuation
of the schemes are related to longevity assumptions and
movements in the discount rate, both of which are
outside the control of the Group. A one year change in
the longevity assumed will alter the deficit by £5 million
whilst a 0.5% movement in the discount rate will cause
the deficit to change by £17 million. The age assumptions
used are that women of 65 will live for 24 years whilst
men will live for 21 years.
Treasury Policy
Treasury activity is managed centrally and is principally
concerned with the monitoring of working capital,
managing internal and external funding requirements
and monitoring and managing the Group’s interest rate
and foreign currency exposure.
The treasury operation is not a profit centre and its
activities are carried out in accordance with Board
approved policies.
Policies and Strategies
The Group’s financial instruments comprise borrowings,
cash and various items such as trade debtors, trade
creditors and provisions that arise directly from its
operations. The main purpose of these financial
instruments is to raise finance for Group operations.
It is, and has been throughout the period under review,
the Group’s policy that no trading in financial
instruments shall be undertaken.
The main risks arising from the Group’s financial
instruments are interest rate risk, liquidity risk and
foreign currency risk. A Board Committee reviews and
agrees policies for managing each of these risks and
these are summarised below.
The policies are designed to mitigate the impact of
fluctuations in interest and exchange rates and are
unchanged from previous years.
Interest Rate Risk
The Group finances its operations through a mixture of
retained profit, bank borrowings and lease arrangements.
The Group borrows at floating rates and has hedging
products in place to provide fixed rate interest payments
over a specified period. This enables the Group to
forecast borrowing costs with a degree of certainty. 
At December 2005 a proportion of the Group’s
borrowings was at fixed rates.
As required by FRS 13 the fair value of the interest rate
risk hedge has been disclosed in note 33.
Liquidity Risk
The Group’s policy on liquidity is to ensure that it has a
committed borrowings facility available to provide
continuity of funding. The current facility, which is of the
multi-option type, is complemented by an overdraft
facility to allow short term flexibility. Additional facilities
to fund acquisitions are negotiated when required.
Foreign Currency Risk
The Group has little investment in overseas operations
and consequently all current borrowings are in sterling.
With the value of overseas trade undertaken by the
Group continuing to increase, foreign currency hedges
are entered into by the Group’s central treasury function,
when considered appropriate. At December 2005 a
proportion of the Group’s future currency requirements
was covered by forward exchange rate contracts. 
As required by FRS 13 the fair value of the exchange rate
risk hedge has been disclosed in note 33.
Details of the numerical results of the above policies are
disclosed in note 33 to the financial statements.
Going Concern
After due consideration the Directors confirm that they
have a reasonable expectation that the Company and the
Group have adequate resources to continue in
operational existence for the foreseeable future.
Accordingly, they continue to adopt the going concern
basis in preparing the Group’s financial statements.
Summary
The Group is in a strong financial position and we look
forward to another successful year.
Jim Wilkinson
Chief Financial Officer
Financial Calendar 
Results for the Year announced in March
Annual General Meeting to be held on 11th May 2006
Results for the Half Year announced in September
Dividend Payment Dates
Interim 2005 21st October 2005
Final 2005 15th May 2006
Interim 2006 October 2006
JSG028_AR_2005 p10-23  30/3/06  09:29  Page 23 Johnson Service Group PLC Directors’ & Officer’s Biographies
24
1 2
3 4
5 6
7 8
9 10
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 24 Directors’ & Officer’s Biographies    Johnson Service Group PLC  
25
Directors’ & Officer’s Biographies
Simon Sherrard
Non-Executive Chairman (58)
Joined the Board as a Non-Executive Director in January 2000
and was appointed as Chairman in December 2003. He is the
Chairman of the Port of London Authority, Bibby Line Group
Limited and A&P Group Limited and Deputy Chairman of 
Lloyd’s Register.
1
Stuart Graham
CEO (51)
Joined the Group as Chief Executive in June 2002. Previously
he was Group Chief Operating Officer of ISS, one of the world’s
largest facility services providers, which he had joined in 1990.
Prior to joining ISS he worked with Lonrho and subsequently
Brengreen and BET PLC.
2
Jim Wilkinson
CFO (40)
Joined the Group in September 2004. Previously he was Group
Finance Director of Informa plc, which he joined in 1994. Prior
to joining Informa he was with Touche Ross, where he qualified
as a Chartered Accountant.
3
David Toon
Rental and Corporatewear (45)
Joined the Group in 2000 and was Managing Director of CCM,
until October 2002 when he was appointed Managing Director
of the Rental Division. He was appointed to the Board in May
2003 and is now Managing Director of the Rental and
Corporatewear Divisions. He has been closely associated with
the industry since 1983, having worked for various suppliers of
garments to the UK retail and service sectors.
4
David Bryant
Drycleaning (59)
Joined the Group in 1969 and has subsequently held a number
of senior management positions. He was appointed to the
Board in November 1994 and as Managing Director of Johnsons
Cleaners in January 1995, and of Jeeves of Belgravia in 2004.
5
Simon Moate
Facilities Management (43)
Joined the Group in October 2002 having previously held
senior commercial roles with Aramark and Coca Cola. He was
appointed to the Board in May 2004 and is also responsible for
Corporate Strategy.
6
Michael Gatenby
Senior Independent Non-Executive Director (61)
Joined the Board as a Non-Executive Director in September
2002. He is a qualified Chartered Accountant and was Vice
Chairman of Charterhouse Bank from 1989-1995. He currently
holds a number of other Non-Executive Directorships, including
Alliance Pharma PLC, SRS Technology Group PLC, Cobra Bio
Manufacturing PLC and Porvair PLC.
7
Baroness Judith Wilcox
Non-Executive Director (65)
Joined the Board as a Non-Executive Director in October 2003. 
She was Chairman of the National Consumer Council from 
1990-1995. She is also a Non-Executive Director of Carpetright
plc and Cadbury Schweppes plc, a Member of the House of
Lords and President of both the National Consumer Federation
and the Institute of Trading Standards.
8
Michael Del Mar
Non-Executive Director (59)
Joined the Board in May 2004. Until December 2003 he 
was with UBS Investment Bank, having joined S G Warburg 
in 1990. He is also a Non-Executive Director of Regional
Airports Limited.
9
Yvonne Monaghan
Company Secretary & Financial Controller (47)
Joined the Company as Group Management Accountant in 1984
after qualifying as a Chartered Accountant with Deloitte
Haskins and Sells. She was appointed as Company Secretary
and Financial Controller in 1985.
10
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 25 Johnson Service Group PLC Directors & Advisors
26
Directors & Advisors
DIRECTORS
Simon Patrick Sherrard
Non-Executive Chairman 
Chairman of Nomination Committee 
Member of Remuneration Committee 
Stuart William Graham
Chief Executive
Member of Nomination Committee
James Henry Wilkinson, BSc, ACA
Chief Financial Officer 
David Robert Toon,BSc
Rental and Corporatewear
David Bryant 
Drycleaning 
Board member responsible for Health, 
Safety and Environment
Simon Richard Moate 
Facilities Management 
Corporate Strategy
Michael Richard Brock Gatenby, FCA
Non-Executive 
Senior Independent Director
Chairman of Audit Committee 
Member of Remuneration Committee 
Member of Nomination Committee
Baroness Judith Ann Wilcox
Non-Executive 
Chairman of Remuneration Committee 
Member of Nomination Committee 
Member of Audit Committee
Michael Bernard Del Mar
Non-Executive
Member of Remuneration Committee
Member of Nomination Committee
Member of Audit Committee
COMPANY SECRETARY AND 
FINANCIAL CONTROLLER
Yvonne May Monaghan, BSc, FCA
REGISTERED OFFICE
Mildmay Road 
Bootle 
Merseyside  L20 5EW 
Telephone 0151 933 6161
Website www.johnsonplc.com
ADVISORS
PRINCIPAL BANKERS
The Royal Bank of Scotland plc 
1 Exchange Flags 
Liverpool  L3 3XN
SOLICITORS
Pinsent Masons
Dashwood House
69 Old Broad Street
London  EC2M 1NR
Allen & Overy LLP
One New Change 
London  EC4M 9QQ
AUDITORS 
PricewaterhouseCoopers LLP 
8 Princes Parade 
St Nicholas Place 
Liverpool  L3 1QJ
FINANCIAL ADVISORS AND STOCKBROKERS
Investec
2 Gresham Street
London  EC2V 7QP
REGISTRAR AND TRANSFER OFFICE
Capita Registrars 
The Registry 
34 Beckenham Road Beckenham 
Kent  BR3 4TU
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 26 Five Year Record    Johnson Service Group PLC  
27
UK GAAP IFRS
2001 2002 2003 2004 2005 2005
Restated
TURNOVER (£m)
220.4 219.2 231.6 364.0 431.9 431.9
TURNOVER EXCLUDING COSTS 
RECHARGED TO CUSTOMERS (£m)
220.4 219.2 219.6 278.0 363.5 363.5
ADJUSTED OPERATING PROFIT (£m)
29.4 26.3 27 .1 30.1 36.3 36.3
ADJUSTED PROFIT BEFORE TAX (£m)
23.7 21.0 23.1 24.6 27 .9 28.1
ADJUSTED EARNINGS PER SHARE (pence)
30.2 26.6 28.7 30.2 33.6 33.8
INCREASE YEAR ON YEAR (%)
9.4 (11.9) 7.9 5.2 11.3 9.4
DIVIDEND PER ORDINARY SHARE (pence)
17.6 17.6 17.6 18.5 19.4 19.4
INCREASE YEAR ON YEAR (%)
2.9 – – 5.1 4.9 4.9
SHAREHOLDERS’ FUNDS (£m)
106.8 107.1 104.9 80.5 70.3 89.9
Five Year Record
Figures for 2001 to 2005 are stated under UK GAAP in force for each accounting period commencing on or before 26th December 2004.
Additional summary information is also given for 2005 under International Financial Reporting Standards (IFRS) (see also note 37). 
2004 figures have been restated in accordance with the provisions of FRS 17 “Retirement Benefits” and FRS 20 “Share-based Payment” .
Profit, earnings per share and Shareholders’ funds for 2001 have been restated in accordance with the provisions of FRS 19, “Deferred tax” .
Shareholders’ funds for 2001 through 2003 have been restated in accordance with the provisions of UITF Abstract 38, “Accounting for ESOP
Trusts” .
Adjusted operating profit and adjusted profit before tax exclude goodwill or intangibles amortisation (arising on acquisitions), exceptional items
and, in 2004 and 2005, restructuring costs and in 2005 environmental costs. 
Adjusted earnings per share figures are given on a fully diluted basis to exclude the effects of goodwill or intangibles amortisation, exceptional
items and, in 2003, the non-recurring tax credit, of £3.9 million, relating to specific matters in prior periods, in 2004 and 2005 restructuring costs,
and in 2005 environmental costs, all net of taxation.
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 27 Johnson Service Group PLC Consolidated Profit and Loss Account
28
Year ended Year ended
31st December 25th December
2005 2004
£m £m
Restated
Note
10 TURNOVER
Continuing 390.6 364.0
Acquisitions 41.3 –
TOTAL TURNOVER 431.9 364.0
Costs recharged to customers (68.4) (86.0)
10 Turnover excluding costs recharged to customers 363.5 278.0
10 OPERATING PROFIT BEFORE RESTRUCTURING AND 
ENVIRONMENTAL COSTS AND GOODWILL AMORTISATION
Continuing 29.9 30.1
Acquisitions 6.4 –
Total 36.3 30.1
Restructuring and environmental costs (5.0) (2.0)
Amortisation of goodwill (11.6) (7.2)
4 OPERATING PROFIT
Continuing 16.2 20.9
Acquisitions 3.5 –
Total 19.7 20.9
5 EXCEPTIONAL ITEMS
Gain on disposal of property 4.4 –
PROFIT ON ORDINARY ACTIVITIES BEFORE INTEREST 24.1 20.9
9 Net interest (8.4) (5.5)
10 PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION 15.7 15.4
11 Tax on profit on ordinary activities (6.5) (6.3)
PROFIT ON ORDINARY ACTIVITIES AFTER TAXATION 9.2 9.1
12 Dividends (11.4) (10.6)
LOSS FOR THE FINANCIAL YEAR (2.2) (1.5)
13 EARNINGS PER SHARE
Basic 15.7p 15.9p
Fully diluted 15.4p 15.6p
13 ADJUSTED EARNINGS PER SHARE
Basic 34.3p 30.8p
Fully diluted 33.6p 30.2p
A statement showing the movement on reserves is shown in note 27 on page 51.
Consolidated Profit and Loss Account
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 28 Balance Sheets    Johnson Service Group PLC  
29
Group Company
31st December 25th December 31st December 25th December
2005 2004 2005 2004
£m £m £m £m
Restated Restated
Note
FIXED ASSETS
14 Intangible fixed assets – goodwill 156.0 111.4 – –
Tangible fixed assets:
15 Property, plant and equipment 77.6 68.3 9.5 1.4
17 Rental items 30.1 24.5 – –
107.7 92.8 9.5 1.4
18 Investments – – 535.2 506.3
263.7 204.2 544.7 507.7
CURRENT ASSETS
19 Stocks 30.2 19.8 – –
20 Debtors:
Amounts falling due within one year 64.9 54.1 7.8 1.8
Amounts falling due after more than one year 0.1 0.2 53.6 23.7
65.0 54.3 61.4 25.5
Cash at bank and in hand 7.5 4.5 – –
102.7 78.6 61.4 25.5
CURRENT LIABILITIES
Creditors:
21 Amounts falling due within one year (100.0) (88.0) (21.3) (21.3)
NET CURRENT ASSETS/(LIABILITIES) 2.7 (9.4) 40.1 4.2
TOTAL ASSETS LESS CURRENT LIABILITIES 266.4 194.8 584.8 511.9
Creditors:
21 Amounts falling due after more than one year (148.6) (78.1) (466.7) (416.1)
23 PROVISIONS FOR LIABILITIES AND CHARGES (12.2) (12.3) (0.5) (0.5)
24 PENSION AND OTHER RETIREMENT 
BENEFIT LIABILITIES (NET) (35.3) (23.9) (33.4) (23.0)
NET ASSETS 70.3 80.5 84.2 72.3
CAPITAL AND RESERVES
25 Called-up share capital 5.9 5.8 5.9 5.8
27 Share premium account 11.9 9.5 11.9 9.5
27 Revaluation reserve 6.3 8.0 – –
27 Other reserves 2.1 2.1 15.4 15.4
27 Profit and loss account 44.1 55.1 51.0 41.6
28 EQUITY SHAREHOLDERS’ FUNDS 70.3 80.5 84.2 72.3
The financial statements on pages 28 to 61 were approved by the Board of Directors on 13th March 2006 and signed on its behalf by:
J. H. Wilkinson CFO
Balance Sheets
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 29 Johnson Service Group PLC Consolidated Cash Flow Statement
30
Year ended Year ended
31st December 25th December
2005 2004
£m £m
Restated
Note
29 NET CASH INFLOW FROM OPERATING ACTIVITIES 53.2 44.9
RETURNS ON INVESTMENTS AND SERVICING OF FINANCE
Interest received 0.2 0.1
Interest paid (6.4) (4.1)
Interest paid in respect of finance agreements (0.3) (0.2)
Issue costs on new bank loans (0.9) –
NET CASH OUTFLOW FOR RETURNS ON INVESTMENTS AND 
SERVICING OF FINANCE (7.4) (4.2)
TAX PAID (6.2) (5.8)
CAPITAL EXPENDITURE AND FINANCIAL INVESTMENT
Payments to acquire tangible fixed assets – property, plant and equipment (23.2) (6.4)
Receipts from sales of tangible fixed assets – property, plant and equipment 11.5 1.5
Payments to acquire tangible fixed assets – rental items (24.8) (19.4)
Proceeds from tangible fixed assets – rental items withdrawn from circulation 3.5 5.1
NET CASH OUTFLOW FOR CAPITAL EXPENDITURE AND
FINANCIAL INVESTMENT (33.0) (19.2)
FREE CASHFLOW 6.6 15.7
ACQUISITIONS AND DISPOSALS
30 Payments to acquire businesses (58.0) (32.5)
30 Cash balances and bank overdrafts acquired with businesses 1.8 1.3
Receipts from disposal of businesses – 1.1
NET CASH OUTFLOW FOR ACQUISITIONS AND DISPOSALS (56.2) (30.1)
EQUITY DIVIDENDS PAID (10.8) (10.2)
CASH OUTFLOW BEFORE FINANCING (60.4) (24.6)
FINANCING
Issue of Ordinary share capital 2.5 1.7
Debt due in more than one year:
Loans repaid (116.2) (0.3)
New loans advanced 178.2 26.0
Capital element of payments under finance agreements (1.1) (0.5)
NET CASH INFLOW FROM FINANCING 63.4 26.9
31 INCREASE IN CASH IN THE YEAR 3.0 2.3
Consolidated Cash Flow Statement
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 30 Statement of Total Recognised Gains and Losses    Johnson Service Group PLC  
31
Year ended Year ended
31st December 25th December
2005 2004
£m £m
Restated
GROUP
Profit on ordinary activities after taxation 9.2 9.1
Actuarial (loss)/gain on defined benefit schemes (15.7) 0.2
Taxation in respect of actuarial loss on defined benefit schemes 4.7 –
Total recognised gains and losses for the year (1.8) 9.3
Prior year adjustment – adoption of FRS 17 (note 2) (25.4)
Prior year adjustment – adoption of FRS 20 (note 2) 0.4
Total gains and losses recognised since last annual report (26.8)
Consolidated Statement of Total Recognised 
Gains and Losses
Year ended Year ended
31st December 25th December
2005 2004
£m £m
Restated
GROUP
Profit on ordinary activities before taxation 15.7 15.4
Realisation of property revaluation gains from previous years 1.7 0.5
Difference between historical cost depreciation charge and 
actual depreciation charge – 0.1
Historical cost profit on ordinary activities before taxation 17.4 16.0
Historical cost loss for the year after taxation and dividends (0.5) (0.9)
Consolidated Historical Cost Profits and Losses
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 31 Johnson Service Group PLC Statement of Accounting Policies
32
BASIS OF ACCOUNTING
The historical cost convention, modified to include the revaluation of certain properties, has been used throughout these
financial statements on a basis consistent with the prior year with the exception of the adoption of FRS 17 “Retirement
Benefits” and FRS 20 “Share-based Payment” . These changes in accounting policy are described further in note 2. 
The financial statements have been prepared in accordance with the Companies Act 1985 and applicable accounting
standards in the United Kingdom.
Accounting standards, FRS 21 “Events after the balance sheet date”, FRS 22 “Earnings per share”, FRS 23 “The effects of
changes in foreign exchange rates”, FRS 24 “Financial reporting in hyper inflation economies”, FRS 25 “Financial
Instruments: disclosure and presentation”, FRS 26 “Financial Instruments: measurement” and FRS 28 “Corresponding
amounts” have not been adopted in these financial statements as their effective date is for accounting periods
commencing on or after 1st January 2005 and early adoption is not permitted.
CONSOLIDATED FINANCIAL STATEMENTS
The financial statements consolidate the results of Johnson Service Group PLC and its subsidiary undertakings. The
principal subsidiary undertakings are listed in note 36. The accounting periods of subsidiary undertakings are co-
terminous with those of the Company. Results and cash flows of subsidiary undertakings acquired are included from 
the effective date of acquisition and accounted for by the acquisition method of accounting. Results and cash flows of
subsidiary undertakings disposed of are included up to the date of disposal.
FOREIGN CURRENCIES
Transactions in foreign currencies are recorded at the exchange rates ruling on the dates of those transactions, adjusted
for the effect of any hedging arrangements. Foreign currency monetary assets and liabilities are translated into sterling 
at year end rates, unless the item is hedged, when it will be translated at the hedged rate.
FINANCIAL INSTRUMENTS
The Group uses derivative financial instruments to hedge its exposures to fluctuations in interest rates in line with the
Group’s risk management policies. Amounts payable or receivable in respect of these instruments are recognised as
adjustments to interest expense over the relevant period of the financial instrument.
GOODWILL
Goodwill, which represents the excess of the fair value of consideration over the fair value of net assets acquired, arising
on consolidation and on trading acquisitions by subsidiary undertakings prior to 27th December 1997 has been written off
against reserves. In accordance with FRS 10, the goodwill arising on acquisitions after that date has been included on the
balance sheet as an intangible fixed asset and depreciated over the shorter of 20 years or the expected useful life of the
goodwill. The Directors regard 20 years as a reasonable maximum for the estimated useful life of goodwill. Goodwill which
has been written off to reserves will be transferred to the profit and loss account on the subsequent disposal of the
business to which it relates. For those acquisitions where consideration is contingent upon one or more future events, 
the Directors include their best estimate of the amounts expected to be payable in the future. The cost of acquisition is
adjusted where revised estimates are made, with consequential corresponding adjustments continuing to be made to
goodwill until the ultimate amount is known.
Where circumstances indicate there may have been an impairment of the carrying value of goodwill, an impairment
review is carried out using cash flows from approved budgets and projections discounted at the Group’s weighted average
cost of capital. Any such impairment is charged to the profit and loss account.
TURNOVER AND INCOME RECOGNITION
Turnover represents the invoiced value of goods and services supplied exclusive of VAT and similar taxes. Rental 
services, Corporatewear and Facilities Management income is recognised on an accruals basis representing contractual
arrangements. Drycleaning income is recognised at the time that goods are processed. Facilities Management turnover
comprises fees receivable and costs recharged to customers, where the relationship with the supplier of services is that 
of principal. The element of turnover that comprises supplier costs recharged to customers has been shown separately 
on the profit and loss account to aid interpretation of the business.
Statement of Accounting Policies
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 32 Statement of Accounting Policies    Johnson Service Group PLC  
33
PROVISIONS
Property
Provision is made for the anticipated net costs of onerous leases on non trading properties and for dilapidations and
environmental clean up costs. Liabilities for environmental costs are recognised as a property provision when
environmental assessments or clean-ups are probable and the associated costs can be reliably estimated. Generally, the
timing of these provisions coincides with the commitment to a formal plan of action or, if earlier, on divestment or on
closure of inactive sites. The provisions will be utilised by the payment of annual costs, shortfalls on sub-tenanted
property, expenses of early termination, environmental clean up operations and dilapidations.
Self Insurance
Provision is made for the expected costs of uninsured incidents arising prior to the balance sheet date and for the
anticipated cost of benefits due to existing claimants under the, now discontinued, self insured incapacity payroll scheme.
Deferred Taxation
Deferred taxation is accounted for on an undiscounted basis at expected tax rates on all differences arising from the
inclusion of items of income and expenditure in taxation computations in periods different from those in which the items
are reported in the profit and loss account. Deferred tax is not provided on timing differences arising from the revaluation
of fixed assets where there is no commitment to sell the asset. A deferred tax asset is recognised when it is more likely
than not that there will be suitable taxable profits from which the future reversal of timing differences can be deducted.
PENSIONS AND POST RETIREMENT BENEFITS
The Group has defined benefit plans, defined contribution plans and an unfunded post retirement medical benefit scheme.
The plans are generally funded through payments to insurance companies or trustee-administered funds, determined by
periodic actuarial calculations.
The liability recognised in the balance sheet in respect of defined benefit pension plans is the present value of the defined
obligation at the balance sheet date less the fair value of plan assets, together with adjustments for unrecognised
actuarial gains or losses and past service costs and is shown net of related deferred tax (to the extent that it is
recoverable). The defined benefit obligation is calculated annually by independent actuaries using the projected unit
credit method. The present value of the defined benefit obligation is determined by discounting the estimated future cash
outflows using interest rates of high quality corporate bonds that are denominated in the currency in which benefits will
be paid, and that have terms to maturity approximating to the terms of the related pension liability. Actuarial gains and
losses, differences between the expected and actual returns, and the effect of changes in actuarial assumptions are
recognised in the statement of total recognised gains and losses in the year in which they arise. The expected service cost
under the plan is recognised as an employee benefit expense and the expected interest income on plan assets and
expected interest cost on plan liabilities are recognised as interest in the profit and loss account.
For defined contribution plans, the Group pays contributions to publicly or privately administered pension insurance plans
on a mandatory, contractual or voluntary basis. The Group has no further payment obligations once the contributions
have been paid. The contributions are recognised as an employee benefit expense when they are due. Prepaid
contributions are recognised as an asset to the extent that a cash refund or a reduction in future payments is available.
For the unfunded post retirement medical benefit scheme, the cost of post retirement cover, as calculated by an
independent actuary, is charged to operating profit, and the liability recognised on the balance sheet, net of deferred tax
(to the extent that it is recoverable). Finance costs in the profit and loss account include a charge equal to the expected
increase in the plan’s liabilities over the year.
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 33 Johnson Service Group PLC Statement of Accounting Policies
34
TANGIBLE FIXED ASSETS – PROPERTY, PLANT AND EQUIPMENT
Tangible fixed assets are stated at cost, or valuation, less depreciation which is calculated to write off these assets, by
equal annual instalments, over their estimated useful lives. The estimated life of plant and fixtures is two to fifteen years
and of vehicles four to five years. Improvements to short leasehold properties are amortised over the terms of the leases.
Following the implementation of FRS 15 freehold and long leasehold buildings are depreciated over their estimated
remaining useful life not exceeding 50 years commencing on 26th December 1999 or, if later, date of purchase. The Group
has not adopted a policy of revaluation but, as permitted by the transitional provisions of FRS 15, the carrying amounts of
freehold and long leasehold properties reflect previous valuations. In the event of an impairment in property value the
deficit below cost is charged to the profit and loss account.
The fitting out costs of new freehold or long leasehold industrial buildings are depreciated, in equal annual instalments, over
their expected useful lives which range from ten to twenty five years from the date on which the assets are fully commissioned.
Tangible fixed assets bought through acquisition of other businesses are accounted for as if they had been owned by the
Group since new.
TANGIBLE FIXED ASSETS – RENTAL ITEMS
Rental items, which principally comprise workwear garments, cabinet towels, linen, dust mats and event hire equipment,
are initially treated as stock. On issue to customers or into pool stock, rental items are transferred to fixed assets and are
stated at invoiced cost less depreciation. Depreciation is calculated on a straight line basis over the estimated lives of the
items in circulation, which range from two to ten years. Issued rental items bought through acquisition of other
businesses are accounted for as if they had been owned by the Group since new.
Where proceeds are received in respect of textile rental items withdrawn from circulation these are deducted from the net
book value of those items. Amounts invoiced to customers in relation to breakages of event hire equipment are treated as
turnover and the related estimated net book value deducted from fixed assets and charged as cost of sales.
LEASED ASSETS
Rentals payable in respect of operating leases are charged to the profit and loss account on a straight line basis over the
lease term.
Where assets are financed by leasing or hire purchase arrangements which give rights approximating to ownership, the
assets are treated as if they had been purchased outright and are capitalised at their fair value at the date of inception of
the lease. The capital element of outstanding lease or hire purchase commitments is treated as a liability and disclosed as
obligations under finance agreements. Interest is allocated to the profit and loss account over the period of the lease or
hire purchase agreement and represents a constant proportion of the outstanding commitment.
INVESTMENT IN OWN SHARES
Ordinary shares in the Company held by the Trustee of the Employee Share Option Plan (ESOP) are recorded in the
balance sheet as a reduction in Shareholders’ funds.
FACILITIES MANAGEMENT PRE CONTRACT COSTS
Pre contract costs are expensed as incurred up to the point that preferred bidder status is awarded from which time
further directly attributable pre contract costs are recognised as an asset and amortised over the life of the contract.
STOCKS
Stocks of materials, stores, goods for resale and new rental items are valued at the lower of cost and net realisable value.
Cost is stated on a first in, first out basis and comprises invoiced cost in respect of the purchase of finished goods and
materials, direct labour and a share of production overheads in respect of garments for sale.
SHARE-BASED PAYMENTS
The expense for employee share options is calculated with reference to the fair value of the award on the date of grant.
The fair value is recognised as an employee expense over the vesting period of the scheme, adjusted to reflect actual and
expected levels of vesting, with a corresponding increase in equity. The fair value of each award is calculated using a
suitable option valuation model, based on the terms of each award.
Statement of Accounting Policies continued
JSG028_AR_2005 p24-34  30/3/06  09:31  Page 34 Notes to the Financial Statements    Johnson Service Group PLC  
35
1 As permitted by Section 230(3) of the Companies Act 1985 the profit and loss account of the Parent Company is not presented within
these financial statements. The retained profit of the Parent Company is shown in note 27 on page 51.
2 CHANGES IN ACCOUNTING POLICIES
The Group has changed its accounting policy in respect of share-based payments to comply with the provisions of FRS 20, “Share-based
Payment”. The standard requires that the fair value of share-based payments be recognised as an expense in the profit and loss account
over the period of service to which the award relates. In accordance with the transitional rules of FRS 20, the Group has applied the
requirements of the standard to awards granted after 7th November 2002 that had not vested by 26th December 2004.
The Group has also changed its accounting policy in respect of pensions and other retirement benefits to comply with the provisions of
FRS 17, “Retirement Benefits”. The standard requires the assets and liabilities of defined benefit retirement plans to be shown in the
balance sheet, service costs and expected interest on plan assets and liabilities to be shown in the profit and loss account and changes in
actuarial assumptions and movements on scheme assets and liabilities to be shown in the statement of total recognised gains and losses.
Consequently, the Group has made the following adjustments in respect of 2004:
Operating Profit Before Profit After Shareholders’
Profit Taxation Taxation Funds
£m £m £m £m
Year ended 25th December 2004
FRS 20 – Share-based Payments (0.2) (0.2) (0.3) 0.4
FRS 17 – Retirement Benefits 0.7 (0.1) (0.1) (25.4)
Total Prior Year adjustment 0.5 (0.3) (0.4) (25.0)
For the year ended 31st December 2005, the adoption of FRS 20 and FRS 17 has increased operating profit by £0.3 million and reduced
profit before taxation by £0.7 million.
The prior year adjustment has reduced Company Shareholders’ funds at 25th December 2004 by £21.1 million.
3 RESTRUCTURING AND ENVIRONMENTAL COSTS
2005 2004
£m £m
Restructuring costs 4.0 2.0
Environmental costs 1.0 –
5.0 2.0
Restructuring costs are in respect of the re-organisation of the operation and management of recently acquired businesses into the
Group’s divisions and comprise largely of redundancy costs and the write-off of fixed assets. The environmental costs relate to a
provision for the anticipated environmental remediation cost of vacating an existing site and asbestos clean-up.
4 OPERATING PROFIT
2005 2004
£m £m
Restated
Turnover 431.9 364.0
Cost of sales
– goodwill amortisation (11.6) (7.2)
– costs recharged to customers (68.4) (86.0)
– restructuring and environmental costs (5.0) (2.0)
– other (222.9) (163.0)
(307.9) (258.2)
Gross profit 124.0 105.8
Other operating expenses:
Distribution costs (25.0) (18.3)
Administration costs (79.3) (66.6)
Operating profit 19.7 20.9
All activities in 2005 are in respect of continuing operations.
In relation to acquisitions during the year, the following are included; cost of sales of £30.9 million, distribution costs of £3.0 million and
administration costs of £3.9 million. Cost of sales relating to acquisitions includes £0.2 million and £2.7 million for restructuring costs
and goodwill amortisation respectively.
Notes to the Financial Statements
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 35 Johnson Service Group PLC Notes to the Financial Statements
36
5 EXCEPTIONAL ITEMS
2005 2004
£m £m
Gain on disposal of property 4.4 –
Property disposals relate to the gain on disposal of a small group of trading properties and a textile rental facility. Cash received in
respect of the property disposals in the year was £8.3 million.
No taxation arises on the exceptional items.
6 STATUTORY INFORMATION
2005 2004
£m £m
Operating profit is stated after charging/(crediting):
Depreciation of tangible fixed assets
– owned property, plant and equipment 9.8 8.6
– property, plant and equipment held under finance agreements 1.1 0.6
– rental items 16.6 13.0
Profit on sale of tangible fixed assets – property, plant and equipment (1.9) (0.4)
Amortisation of goodwill 11.6 7.2
Operating lease payments – plant and machinery 2.2 1.4
– land and buildings 12.9 11.5
Auditors’ Remuneration
Audit services – Group statutory audit (including £40,000 (2004: £17,000) in respect of the Company) 0.5 0.3
Non audit services can be analysed as follows:-
Services relating to corporate finance transactions 0.2 0.1
Tax services – compliance 0.2 0.1
– advisory 0.1 0.1
All other services 0.1 –
Non audit services – UK 0.6 0.3
7 EMPLOYEES
2005 2004
£m £m
Restated
Staff costs, including directors, during the year:
Wages and salaries 117.3 100.9
Social security costs 9.7 8.3
Defined contribution pension costs 2.9 2.8
Other pension costs – current service costs (note 24) 1.4 1.4
Cost of employee share schemes (note 26) 0.5 0.3
Total 131.8 113.7
The average number of persons employed by the Group, based on period of ownership, during the year was:
2005 2004
Number Number
Restated
Rental Full time 2,496 2,282
Part time 422 427
Corporatewear Full time 701 372
Part time 39 6
Drycleaning Full time 1,408 1,376
Part time 1,989 2,005
Facilities Management Full time 647 614
Part time 65 66
Total 7,7 67 7,148
The average number of persons employed by the Company during the year was 50 (2004: 24) of which 6 are part time (2004: 2). 
All of these persons are engaged in administrative roles.
Notes to the Financial Statements continued
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 36 Notes to the Financial Statements    Johnson Service Group PLC  
37
8 DIRECTORS’ EMOLUMENTS
Detailed disclosures that form part of these financial statements are given in the section ‘Information subject to audit’ in the Board
Report on Remuneration on pages 75 to 80.
9 NET INTEREST
2005 2004
£m £m
Restated
Interest payable:
– On bank loans and overdrafts (7.3) (4.6)
– Amortisation of bank loan issue cost (0.1) (0.1)
– On finance leases (0.3) (0.2)
(7.7) (4.9)
Other interest receivable 0.2 0.1
Net interest before notional interest on defined benefit liabilities and assets (7.5) (4.8)
Notional interest on defined benefit liabilities:
– Pension (8.9) (8.8)
– Private healthcare (0.1) (0.1)
(9.0) (8.9)
Notional interest on defined benefit assets 8.1 8.2
(0.9) (0.7)
Net interest (8.4) (5.5)
10 SEGMENTAL INFORMATION
Operating Profit
Turnover before Restructuring
Excluding Costs and Environmental 
Recharged to Costs and Goodwill Profit before
Turnover Customers Amortisation Taxation
2005 2004 2005 2004 2005 2004 2005 2004
£m £m £m £m £m £m £m £m
Restated Restated Restated Restated
Rental 128.4 113.3 128.4 113.3 15.2 16.4 11.5 13.6
Corporatewear 87 .1 37 .6 87 .1 37 .6 11.4 4.1 5.0 2.6
Drycleaning 101.4 97.4 101.4 97.4 9.8 10.8 10.2 7.3
Facilities Management 115.0 115.7 46.6 29.7 4.4 1.8 2.0 0.4
Unallocated costs (4.5) (3.0) (4.6) (3.0)
Total 431.9 364.0 363.5 278.0 36.3 30.1 24.1 20.9
Interest (8.4) (5.5)
Profit before taxation 15.7 15.4
Segmental information includes the following in respect of acquisitions:
Operating Profit
before Restructuring
and Environmental
Costs and Goodwill Operating
Turnover Amortisation Profit
£m £m £m
Rental 6.3 0.9 0.1
Corporatewear 24.6 3.9 2.3
Drycleaning 2.7 0.3 0.2
Facilities Management 7.7 1.3 0.9
41.3 6.4 3.5
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 37 Johnson Service Group PLC Notes to the Financial Statements
38
10 SEGMENTAL INFORMATION continued
2005 2004
£m £m
Restated
GROUP NET ASSETS
Rental 112.1 113.0
Corporatewear 74.9 54.9
Drycleaning 34.9 36.6
Facilities Management 38.3 10.1
260.2 214.6
Unallocated net liabilities (189.9) (134.1)
70.3 80.5
All operations are continuing.
The basis of segmental analysis has been revised to show the unallocated central overheads separately and to include the results of Alex Reid
Limited within the Drycleaning segment. 2004 has been re-analysed accordingly. The operating profit before restructuring and
environmental costs and goodwill amortisation and profit before taxation from Drycleaning includes £1.8 million (2004: £1.4 million) of 
profit from the disposal of properties formerly occupied by the Drycleaning business and other non-trading items. Of the exceptional 
items in 2005, £2.1 million has been included in the Rental segment and £2.3 million in the Drycleaning segment in the analysis of profit
before taxation.
Turnover from continuing activities originates in the United Kingdom. There is no significant difference between turnover by origin and
turnover by destination.
11 TAXATION
2005 2004
£m £m
Restated
CURRENT TAX
UK corporation tax charge for the year at 30% (2004: 30%) 6.3 6.0
Adjustment in relation to previous years (0.1) (0.8)
Current tax charge for the year 6.2 5.2
DEFERRED TAX
Origination and reversal of timing differences 0.3 0.5
Adjustment in relation to previous years – 0.6
Deferred tax charge for the year 0.3 1.1
Total charge for taxation 6.5 6.3
The tax for the period is higher (2004: higher) than the standard rate of corporation tax in the UK. 
The differences are explained below:
2005 2004
£m £m
Restated
Profit on ordinary activities before taxation 15.7 15.4
Profit on ordinary activities before taxation multiplied by standard rate of
corporation tax in the UK of 30% (2004: 30%) 4.7 4.6
Factors affecting charge for the year:
Expenses not deductible for tax purposes 4.0 2.5
Profit on disposal of property and non taxable income (2.1) (0.7)
Capital allowances in excess of depreciation – (0.2)
Utilisation of tax losses (0.3) (0.2)
Adjustments to tax in respect of prior periods (0.1) (0.8)
Current tax charge for the year 6.2 5.2
The tax relief on the restructuring and environmental costs incurred has reduced UK corporation tax by £1.2 million (2004 : £0.6 million).
Tax relief on goodwill amortisation has reduced UK corporation tax by £0.2 million (2004: £0.1 million). There is no tax charge on the
exceptional items as disclosed in note 5. 
Notes to the Financial Statements continued
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 38 Notes to the Financial Statements    Johnson Service Group PLC  
39
12 DIVIDENDS
2005 2004
Paid Proposed Total Total
£m £m £m £m
Dividends on equity shares:
– Ordinary shares at 19.4p (2004: 18.5p) per share 2.6 8.8 11.4 10.6
On 21st October 2005 an interim dividend of 4.4p was paid on the Ordinary shares. A proposed final dividend of 15.0p will be paid on
15th May 2006 to Shareholders on the register of members on 18th April 2006. The Trustee of the ESOP has waived the entitlement to
receive dividends on the Ordinary shares held by the Trust.
13 EARNINGS PER SHARE
2005 2004
£m £m
Restated
Profit on ordinary activities after taxation 9.2 9.1
Exceptional items and restructuring and environmental costs (net of taxation) (0.6) 1.4
Goodwill amortisation (net of taxation) 11.4 7.1
Adjusted profit attributable to Ordinary Shareholders 20.0 17.6
Weighted average number of Ordinary shares 58,208,126 57 ,419,393
Dilutive options 1,149,222 1,072,873
Fully diluted number of Ordinary shares 59,357,348 58,492,266
Basic earnings per share 15.7p 15.9p
Adjustment for goodwill amortisation 19.5p 12.5p
Adjustment for exceptional items and restructuring and environmental costs (0.9)p 2.4p
Adjusted basic earnings per share 34.3p 30.8p
Diluted earnings per share 15.4p 15.6p
Adjustment for goodwill amortisation 19.2p 12.2p
Adjustment for exceptional items and restructuring and environmental costs (1.0)p 2.4p
Adjusted diluted earnings per share 33.6p 30.2p
Basic earnings per share is calculated using the weighted average number of shares in issue during the year, excluding those held by 
the ESOP, based on the profit on ordinary activities after taxation.
Adjusted earnings per share figures are given to exclude the effects of goodwill amortisation, restructuring and environmental costs 
and exceptional items, all net of taxation and are considered to show the underlying results of the Group. For diluted earnings per share, 
the weighted average number of Ordinary shares in issue is adjusted to assume conversion of all dilutive potential Ordinary shares. 
The Company has dilutive potential Ordinary shares arising from share options granted to employees where the exercise price is less
than the average market price of the Company’s Ordinary shares during the year.
14 INTANGIBLE FIXED ASSETS – GOODWILL
£m
GROUP
COST
At 26th December 2004 131.9
Goodwill arising on acquisitions (note 30) 56.0
Revision to deferred consideration of previous year acquisitions 0.2
At 31st December 2005 188.1
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 39 Johnson Service Group PLC Notes to the Financial Statements
40
14 INTANGIBLE FIXED ASSETS – GOODWILL continued
AMORTISATION
At 26th December 2004 20.5
Charged during the year 11.6
At 31st December 2005 32.1
NET BOOK VALUE
At 31st December 2005 156.0
At 25th December 2004 111.4
Goodwill is amortised mainly over 20 years being the Directors’ estimate of its useful life.
15 TANGIBLE FIXED ASSETS – PROPERTY, PLANT AND EQUIPMENT
Properties
Long Short Plant &
Freehold Leasehold Leasehold Equipment Total
£m £m £m £m £m
GROUP
COST OR VALUATION
At 26th December 2004 30.0 6.6 3.9 102.2 142.7
Additions – 0.1 0.5 21.8 22.4
Acquired with businesses 1.3 – – 6.3 7.6
Disposals (4.9) – (0.7) (5.2) (10.8)
At 31st December 2005 26.4 6.7 3.7 125.1 161.9
DEPRECIATION
At 26th December 2004 3.9 1.2 2.4 66.9 74.4
Charge for the year 0.4 0.1 0.3 10.1 10.9
Acquired with businesses ––– 4.5 4.5
Disposals (0.1) – (0.6) (4.8) (5.5)
At 31st December 2005 4.2 1.3 2.1 76.7 84.3
NET BOOK VALUE
At 31st December 2005 22.2 5.4 1.6 48.4 77.6
At 25th December 2004 26.1 5.4 1.5 35.3 68.3
The net book value of tangible fixed assets includes £5.5 million (2004: £5.7 million) in respect of assets held under finance agreements.
Plant &
Equipment Total
£m £m
COMPANY
COST
At 26th December 2004 1.4 1.4
Additions 7.8 7 .8
Intra-Group transfers 0.6 0.6
At 31st December 2005 9.8 9.8
DEPRECIATION
At 26th December 2004 ––
Charge for the year 0.3 0.3
At 31st December 2005 0.3 0.3
NET BOOK VALUE
At 31st December 2005 9.5 9.5
At 25th December 2004 1.4 1.4
Notes to the Financial Statements continued
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41
16 PROPERTIES AT COST OR VALUATION
As permitted by the transitional provisions of FRS 15, valuations at 25th December 1999 have been retained although the Group does
not have a policy of revaluation. The cost or valuation of properties is detailed as follows:
Long Short
Freehold Leasehold Leasehold
£m £m £m
Properties at cost 15.8 3.9 3.7
Properties at valuation in:
– 1987 10.6 0.8 –
– 1992 –2.0 –
26.4 6.7 3.7
17 TANGIBLE FIXED ASSETS – RENTAL ITEMS
£m
COST
At 26th December 2004 41.9
Additions 24.5
Acquired with businesses 2.6
Withdrawn from circulation (13.6)
At 31st December 2005 55.4
DEPRECIATION
At 26th December 2004 17.4
Charge for the year 16.6
Acquired with businesses 1.4
Withdrawn from circulation (10.1)
At 31st December 2005 25.3
NET BOOK VALUE
At 31st December 2005 30.1
At 25th December 2004 24.5
18 FIXED ASSET INVESTMENTS
Group Company
2005 2004 2005 2004
£m £m £m £m
Restated
Investment in subsidiary undertakings – – 535.2 506.3
The Group has a 6% interest in GreenEarth Cleaning LLC, a company incorporated in the United States of America. This investment is
recorded at nil net book value.
Company
£m
Investment in subsidiary undertakings
COST
At 26th December 2004 531.9
Additions 28.7
Revision to deferred consideration 0.2
At 31st December 2005 560.8
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42
18 FIXED ASSET INVESTMENTS continued
PROVISION FOR IMPAIRMENT
At 26th December 2004 (25.6)
Written off –
At 31st December 2005 (25.6)
NET BOOK VALUE
At 31st December 2005 535.2
At 25th December 2004 506.3
Additions in the year relate to the acquisition of DCC Corporate Clothing Limited, Boyd Cooper Limited and SGP Property Services
Limited (note 30).
Particulars of principal subsidiary undertakings are shown in note 36.
19 STOCKS
Group Company
2005 2004 2005 2004
£m £m £m £m
New rental items 2.7 1.4 – –
Goods for resale 18.8 12.7 – –
Work in progress 2.5 2.6 – –
Raw materials and stores 6.2 3.1 – –
30.2 19.8 – –
20 DEBTORS
Group Company
2005 2004 2005 2004
£m £m £m £m
Restated Restated
Amounts falling due within one year:
Trade debtors 46.1 38.3 – –
Other debtors 9.9 3.1 7.0 0.5
Amounts owed by subsidiary undertakings – – 0.6 1.3
Prepayments and accrued income 8.9 12.7 0.2 –
64.9 54.1 7.8 1.8
Amounts falling due after more than one year:
Amounts owed by subsidiary undertakings – – 53.4 23.0
Deferred tax asset (note 23) – – 0.2 0.7
Other debtors 0.1 0.2 – –
0.1 0.2 53.6 23.7
65.0 54.3 61.4 25.5
Notes to the Financial Statements continued
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 42 Notes to the Financial Statements    Johnson Service Group PLC  
43
21 CREDITORS
Group Company
2005 2004 2005 2004
£m £m £m £m
Amounts falling due within one year:
Bank overdraft – – 1.3 2.9
Other loans 1.0 3.2 0.1 2.3
Trade creditors 26.9 25.1 1.3 1.6
Amounts due to subsidiary undertakings – – 0.2 0.1
Dividends payable 8.8 8.2 8.8 8.2
Other creditors 23.7 21.7 5.2 4.5
Obligations under finance agreements 1.1 0.9 – –
Corporation tax 2.7 2.0 – –
Other taxation and social security 12.3 10.4 0.2 –
Accruals 23.5 16.5 4.2 1.7
100.0 88.0 21.3 21.3
Amounts falling due after more than one year:
Bank loans at variable interest rates which are
linked to LIBOR – repayable not by instalments 138.2 69.9 138.2 69.9
Other creditors 6.2 3.6 5.7 2.9
Obligations under finance agreements 4.2 4.6 – –
148.6 78.1 143.9 72.8
Amounts due to subsidiary undertakings – – 322.8 343.3
148.6 78.1 466.7 416.1
Bank loans repayable: 
– between one and two years – 70.0 – 70.0
– between two and five years 139.0 – 139.0 –
– unamortised issue costs of bank loans (0.8) (0.1) (0.8) (0.1)
138.2 69.9 138.2 69.9
Obligations under finance agreements are repayable as follows: 
– between one and two years 1.1 0.9
– between two and five years 3.0 2.3
– in five years or more 0.1 1.4
Bank loans are unsecured and are drawn down under a committed Revolving Credit Facility, which matures between two and five years.
Individual tranches are drawn down, in sterling, for periods of up to six months at the rates of interest prevailing at the time of draw down.
The Group and Company unsecured bank loans are stated net of unamortised issue costs of £0.8 million (2004: £0.1 million). In 2005 the
Company incurred total issue costs of £0.9 million in respect of the five year multi–option committed facility entered into in July 2005.
Of the amounts due to subsidiary undertakings after more than one year, £173.9 million (2004: £214.5 million) bears interest at 1%
below base rate and £148.9 million (2004: £128.8 million) does not bear interest.
22 CONTINGENT LIABILITIES
GROUP
At 31st December 2005 there were no contingent liabilities except for those arising from the ordinary course of the Group’s business.
Johnsons Apparelmaster Ltd is the defendant in a claim from an employee of a subcontractor. Johnsons Apparelmaster’s defence is in
the process of being proved and currently it intends to strongly resist the claim in both quantum and cause. The likely outcome cannot
be determined at this time.
Sketchley Services Ltd (Sketchley) acquired in 2004, may benefit from potential tax benefits from the future utilisation of brought
forward trading losses which could arise subject to agreement with the Inland Revenue. Due to the uncertainty surrounding the
availability and value of the losses the Directors believe it to be prudent not to recognise any potential benefit at this stage. If a benefit
is realised in future years this will give rise to a liability for deferred consideration, the maximum liability under the agreement being 
£5 million. If the maximum liability arises, tax benefits of £8.5 million will have been realised.
COMPANY
The Company has guaranteed the banking facilities of certain UK subsidiary undertakings under a cross guarantee arrangement. 
No losses are expected to result from this contingent liability.
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 43 Johnson Service Group PLC Notes to the Financial Statements
44
23 PROVISIONS FOR LIABILITIES AND CHARGES
Deferred Self
Taxation Property Insurance Total
£m £m £m £m
GROUP
At 26th December 2004 as restated 0.3 10.1 1.9 12.3
Released during year – (0.6) – (0.6)
Utilised during year – (0.9) (0.3) (1.2)
Charged during year 0.3 1.2 0.2 1.7
At 31st December 2005 0.6 9.8 1.8 12.2
Self
Insurance Total
£m £m
COMPANY
At 26th December 2004 as restated 0.5 0.5
Utilised during year (0.1) (0.1)
Charged during the year 0.1 0.1
At 31st December 2005 0.5 0.5
PROPERTY
The property provision includes leases which expire during the period to 2016 and the estimated clean up costs of property where an
environmental problem has been identified and a course of action has been determined. The Group has a programme to dispose of
vacant properties.
SELF INSURANCE
The self insurance provision includes a provision for payments due to existing claimants under the self funded incapacity scheme over a
period of 27 years. This scheme is now closed. The balance of the provision, which is in respect of general insurance arrangements, is
expected to be utilised within five years except for any claims resulting in litigation.
DEFERRED TAXATION
The deferred tax balance comprises the following:
Group Company
2005 2004 2005 2004
£m £m £m £m
Restated Restated
Accelerated capital allowances 2.3 1.7 – –
On share options (0.5) (0.4) (0.4) (0.4)
Other timing differences (0.9) (0.6) 0.2 (0.3)
Losses (0.3) (0.4) – –
Total provision/(asset) for deferred taxes 0.6 0.3 (0.2) (0.7)
The Company’s deferred tax asset of £0.2 million (2004: £0.7 million) is included in debtors (note 20).
Deferred tax is not provided on timing differences arising from the revaluation of fixed assets where there is no commitment to sell the
asset as such tax would only become payable if the property were sold without relief being obtained. The tax which would be payable in
such circumstances is estimated to be £nil (2004: £nil) due to the existence of indexation allowances and capital losses.
The Group also has a £15.1 million (2004: £10.2 million) deferred tax asset in respect of its defined benefit liabilities. In accordance with
current UK accounting requirements, the deferred tax asset is netted off against the gross defined benefit liability and is therefore excluded
from the above figures.
Notes to the Financial Statements continued
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 44 Notes to the Financial Statements    Johnson Service Group PLC  
45
24 PENSION AND OTHER RETIREMENT BENEFIT LIABILITIES
The Group operates pension schemes of both the funded defined benefit and the defined contribution type for a substantial number of
employees.
The disclosures below are in respect of all of the Group schemes. The Company accounts reflect the liabilities of the Johnson Group
Staff Pension Scheme, the Semara Augmented Pension Plan and the Private Healthcare Scheme.
The assets of the schemes are held in separate trustee administered funds. The schemes are subject to independent actuarial valuations
every three years, using the Attained Age Method, and pension costs are assessed in accordance therewith.
Date of
Valuation
PENSIONS – DEFINED BENEFIT
Johnson Group Staff Pension Scheme 5th April 2005
Semara Augmented Pension Plan 30th June 2004
WML Final Salary Pension Scheme 5th April 2005
JOHNSON GROUP STAFF PENSION SCHEME
The updated actuarial valuation at 31st December 2005 showed an increase in the deficit to £45.7 million (2004: £30.0 million).
Discussions are still taking place regarding the new contribution rate to be paid.
SEMARA AUGMENTED PENSION PLAN
The updated actuarial valuation at 31st December 2005 showed a small reduction in the deficit. Contributions to the Semara Augmented
Pension Plan were equal to the individual funding rates for each active member plus £81,700 per annum.
WML FINAL SALARY PENSION SCHEME
On 28th October 2003, the Group inherited the WML Final Salary Pension Scheme as a result of its acquisition of Workplace Management.
The updated actuarial valuation at 31st December 2005 showed an increase in the deficit to £2.6 million (2004: £2.0 million). Cash
contributions to the scheme have been at the rate of 41.9% of Pensionable Salaries from 5th April 2002. The results of the actuarial
valuation at 5th April 2005 are still being discussed.
PENSIONS – DEFINED CONTRIBUTION
The Johnson Group Retirement Plan is a defined contribution scheme. The cost for the year was £2.3 million (2004: £2.0 million).
PRIVATE HEALTHCARE
The Group operates an unfunded defined benefit private healthcare scheme for eligible retirees. The scheme is subject to an
independent actuarial review which assesses the cost of providing benefits for current and future eligible retirees.
The latest formal review was undertaken as at 31st December 2005. The actuarial review was performed using the Projected Unit Credit
Method, using a discount rate of 4.9%. The main long term actuarial assumptions used in the review were that the annual increase in
medical costs would be 4.25% and that the retirement age of eligible employees will be 60 for females and 62 for males.
The full actuarial valuations of the pension schemes disclosed above have been updated to 31st December 2005 by an independent
qualified actuary.
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 45 Johnson Service Group PLC Notes to the Financial Statements
46
24 PENSION AND OTHER RETIREMENT BENEFIT LIABILITIES continued
The main financial assumptions used in calculating the FRS 17 liability are:
UK Pension Private
Schemes Healthcare
2005 2004 2003 2005 2004 2003
Inflation 2.8% 2.7% 2.8% – ––
Rate of increase in salaries 3.3% 3.2% 3.3% – ––
Rate of increase of pensions in payment (5% LPI linked) 2.8% 2.7% 2.8%
Rate of increase of pensions in deferment 2.8% 2.7% 2.8% – ––
Rate of increase of pensions in payment (2.5% LPI linked) 2.2% –– – ––
Rate of increase in medical costs – –– 7.65% 8.5% 8.25%
Rate used to discount scheme liabilities 4.9% 5.3% 5.4% 4.9% 5.3% 5.4%
The rate of increase in medical costs is assumed to reduce, on a straight line basis in years 2 to 5, to 4.25% and remain constant
thereafter. (2004: reduce on a straight line basis in years 2 to 6, to 4.25% and remain constant thereafter; 2003: reduce on a straight
line basis in years 2 to 7, to 4.25% and remain constant thereafter).
The Group made the following contributions to the main pension schemes:
Johnson Group Staff Pension Scheme 1.10.03 to 31.03.06 11.4% of basic salary
01.04.06 onwards still to be determined
Johnson Group Retirement Plan 1.4.03 to 31.3.04 between 1.5% and 10.5% of pensionable salary,
dependent on grade
1.4.04 onwards between 2.0% and 22% of pensionable salary,
dependent on grade
Semara Augmented Pension Plan 1.1.05 onwards between 3.8% and 32.4% of pensionable salary,
dependent on grade 
WML Final Salary Pension Scheme 28.10.03 (date of acquisition) to 31.03.06 41.9% of pensionable salary
01.04.06 onwards still to be determined
An annual contribution of £81,700 will be payable to the Semara Augmented Pension Plan for the next 10 years in respect of past
service. The Company is in discussion with the Trustees regarding additional contributions to be made to the Johnson Group Staff
Pension Scheme and WML Final Salary Pension Scheme in order to reduce the deficit over an agreed period of time.
The contribution rates to the Johnson Group Retirement Plan are not expected to be significantly different from the rates 
disclosed above.
History of experience gains/(losses):
2005 2004 2003 2002
Difference between the expected and actual 
return on plan assets:
Amount (£ million) 14.6 3.4 9.7 (28.7)
Percentage of plan assets 9% 2% 7% (25%)
Experience gains and losses on plan liabilities:
Amount (£ million) 1.9 (1.4) 0.3 (2.0)
Percentage of the present value of plan liabilities 1% (1%) – (1%)
Total amount recognised in statement of total 
recognised gains and losses:
Amount (£ million) (15.7) 0.2 (2.9) (37.1)
Percentage of the present value of plan liabilities (8%) – (2%) (26%)
The post retirement healthcare scheme is unfunded. The Company accounted for a charge of £1,600 per eligible member in the profit
and loss account in 2005 (2004: £1,600) and expects this to reduce to £975 in 2006.
Notes to the Financial Statements continued
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47
24 PENSION AND OTHER RETIREMENT BENEFIT LIABILITIES continued
The assets in the schemes and the expected rates of return were:
UK Pension Post Retirement
Schemes Healthcare
Long Term Long Term Total
Rate of Value Rate of Value Plans
Return £m Return £m £m
DECEMBER 2005
Equities 7.1% 98.1 – – 98.1
Bonds 4.4% 57 .2 – – 57 .2
Other 4.5% 1.6 – – 1.6
Total market value of assets 156.9 – 156.9
Present value of scheme liabilities (205.5) (1.8) (207.3)
Shortfall in schemes (48.6) (1.8) (50.4)
Related deferred tax asset 14.6 0.5 15.1
Net liability (34.0) (1.3) (35.3)
UK Pension Post Retirement
Schemes Healthcare
Long Term Long Term Total
Rate of Value Rate of Value Plans
Return £m Return £m £m
DECEMBER 2004
Equities 6.6% 91.3 – – 91.3
Bonds 4.8% 45.6 – – 45.6
Other 2.7% 1.5 – – 1.5
Total market value of assets 138.4 – 138.4
Present value of scheme liabilities (170.8) (1.7) (172.5)
Shortfall in schemes (32.4) (1.7) (34.1)
Related deferred tax asset 9.7 0.5 10.2
Net liability (22.7) (1.2) (23.9)
UK Pension Post Retirement
Schemes Healthcare
Long Term Long Term Total
Rate of Value Rate of Value Plans
Return £m Return £m £m
DECEMBER 2003
Equities 6.8% 98.2 – – 98.2
Bonds 5.0% 32.2 – – 32.2
Other 2.8% 1.0 – – 1.0
Total market value of assets 131.4 – 131.4
Present value of scheme liabilities (164.0) (1.6) (165.6)
Shortfall in schemes (32.6) (1.6) (34.2)
Related deferred tax asset 9.8 0.5 10.3
Net liability (22.8) (1.1) (23.9)
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 47 Johnson Service Group PLC Notes to the Financial Statements
48
24 PENSION AND OTHER RETIREMENT BENEFIT LIABILITIES continued
Movement in deficit during the two years to 31st December 2005:
2005 2004
£m £m
At beginning of year (34.1) (34.2)
Current service cost (1.4) (1.4)
Contributions 1.7 1.9
Other finance expense (0.9) (0.6)
Actuarial (losses)/gains (15.7) 0.2
At end of year (50.4) (34.1)
The amounts charged to the consolidated profit and loss and consolidated statement of total recognised gains and losses for the two
years ended 31st December 2005 are set out below:
2005 2004
£m £m
Current service cost 1.4 1.4
Expected return on scheme assets (8.1) (8.2)
Interest on scheme liabilities 9.0 8.9
Other financial expense 0.9 0.7
Total charged to profit before taxation 2.3 2.1
In addition, the following amounts have been recognised in the statement of total recognised gains and losses:
2005 2004
% of % of
scheme scheme
£m assets £m assets
Difference between actual and expected return 
on scheme assets 14.6 9 3.4 2
Experience gains / (losses) on scheme liabilities 1.9 1 (1.4) (1)
Changes in actuarial assumptions (32.2) (21) (1.8) (1)
(15.7) 0.2
Notes to the Financial Statements continued
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 48 Notes to the Financial Statements    Johnson Service Group PLC  
49
25 CALLED-UP SHARE CAPITAL
2005 2004
£m £m
GROUP AND COMPANY
Authorised
83,025,739 (2004: 83,025,739) Ordinary shares of 10p each 8.3 8.3
Issued and fully paid
Shares £m Shares £m
Ordinary shares of 10p each:
Brought forward 57 ,922,7 42 5.8 57 ,349,253 5.7
Allotted under share option schemes 901,708 0.1 573,489 0. 1
Carried forward 58,824,450 5.9 57 ,922,7 42 5.8
Options over Ordinary shares of 10p each
During the year, options have been exercised over 901,708 Ordinary shares, with a nominal value of £90,171. The proceeds received on
allotment were £2.5 million.
Potential issues of Ordinary shares
Certain senior executives hold options in respect of potential issues of Ordinary shares of 10p each granted pursuant to the Johnson
Group Savings Related Share Option Scheme, 2003 Executive Share Option Scheme and unapproved share option schemes at prices
ranging from 297.0 pence to 454.5 pence.
Certain company employees hold options in respect of potential issues of Ordinary shares of 10p each granted pursuant to the Johnson
Group Savings Related Share Option Scheme at prices ranging from 203.0 pence to 334.0 pence.
The number of shares subject to options under each scheme which were outstanding at 31st December 2005, the periods in which they
were granted and the periods in which they may be exercised are given below:
Date Options Number of Date Price per
Granted Shares Exercisable Share
Savings Related 4th October 2000 23,815 1st November 2005 204.0p
Savings Related 5th October 2001 112,415 1st December 2006 264.0p
Savings Related 7th October 2002 49,871 1st December 2005 203.0p
Savings Related 7th October 2002 209,167 1st December 2007 203.0p
Executive 13th May 2003 50,000 13th May 2006 305.0p
Executive 24th June 2003 1,050,000 24th June 2006 297.0p
Savings Related 15th October 2003 147,179 1st December 2006 269.0p
Savings Related 15th October 2003 166,486 1st December 2008 269.0p
Executive 22nd April 2004 1,060,000 22nd April 2007 394.5p
Savings Related 6th October 2004 205,951 1st December 2007 315.0p
Savings Related 6th October 2004 188,984 1st December 2009 315.0p
Executive 22nd October 2004 60,000 22nd April 2007 394.5p
Executive 18th April 2005 1,264,500 18th April 2008 454.5p
Savings Related 6th October 2005 240,918 1st December 2008 334.0p
Savings Related 6th October 2005 122,997 1st December 2010 334.0p
4,952,283
Options granted under the Savings Related Scheme are normally exercisable within six months from the date exercisable as shown above.
Options under the Executive Scheme and unapproved share option schemes are normally exercisable within seven years from the date
exercisable as shown above.
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 49 Johnson Service Group PLC Notes to the Financial Statements
50
26 SHARE-BASED PAYMENTS
Equity-settled share-based payments
The Johnson Group 2003 Executive Share Option Scheme and unapproved share option schemes provide for an exercise price equal to
the average quoted market price of the Company’s shares on the date of grant, as determined by the Remuneration Committee. The
vesting period is generally three years. Both market based and non-market based performance conditions are generally attached to the
options, for which an appropriate adjustment is made when calculating the fair value of an option.
The Johnson Group Savings Related Share Option Scheme provides for an exercise price equal to the average quoted market price of
the Company’s shares on the date of grant, less 20 percent. The vesting period is either three or five years and no performance
conditions are attached to the options.
If options remain unexercised after a period of 10 years from the date of grant, the options expire. Furthermore, options will lapse if the
employee leaves the Group before the options vest, unless under exceptional circumstances.
2005 2004
Weighted Weighted
average average
2005 exercise 2004 exercise
Options price (£) Options price (£)
Executive and unapproved schemes
Outstanding at beginning of period 3,018,354 3.39 2,058,463 2.96
Granted during the period 1,279,500 4.54 1,390,000 3.96
Lapsed during the period (202,500) 3.63 (88,586) 3.87
Exercised during the period (610,854) 3.06 (341,523) 2.96
Outstanding at the end of the period 3,484,500 3.75 3,018,354 3.39
Exercisable at the end of the period 100,000 4.33 ––
Savings related schemes
Outstanding at beginning of period 1,607,464 2.57 1,611,340 2.35
Granted during the period 370,238 3.34 486,291 3.15
Lapsed during the period (219,065) 2.70 (258,201) 2.34
Exercised during the period (290,854) 2.09 (231,966) 2.50
Outstanding at the end of the period 1,467,783 2.84 1,607,464 2.57
Exercisable at the end of the period 49,871 2.03 42,278 2.64
Options were exercised on a regular basis throughout the period. The weighted average share price of Johnson Service Group PLC
during the period was £4.43 (2004: £3.92).
For options outstanding at 31st December 2005, the exercise date and the exercise price are disclosed within Note 25.
During the year, a long term incentive plan (LTIP) in which certain executive directors and senior executives may be invited to participate
was introduced. The plan is designed to reinforce the importance of management meeting the Group’s medium term financial objectives in
a way that will align their reward with shareholder returns. Full details of the plan are included within the Board Report on Remuneration.
The inputs into the share option valuation models (Black-Scholes and Monte Carlo) used in calculating fair values are as follows:
Options Options
granted granted
during 2005 during 2004
Weighted average share price at date of grant (£) 3.92 3.92
Weighted average exercise price (£) 4.27 3.7 4
Weighted average fair value (£) 0.42 0.37
Expected volatility (%) 14.94 16.91
Expected life (years) 3.60 3.68
Risk free rate (%) 4.39 4.70
Expected dividend yield (%) 5.03 5.32
Expected volatility and expected dividend yield were determined by calculating the historical volatility of the Group’s share price and the
historical dividend yield for a period akin to the expected life of each option scheme. The risk free rate of return is based on the rate for
UK government gilts on the date of grant, for a period akin to the expected life of the option.
The Group recognised total expenses of £0.5 million and £0.3 million in relation to equity-settled share based payment transactions in
2005 and 2004 respectively. In addition a charge of £0.3 million (2004: £nil) was recognised in relation to the LTIP.
Notes to the Financial Statements continued
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 50 Notes to the Financial Statements    Johnson Service Group PLC  
51
27 RESERVES
Other Reserves
Capital 
Share Premium Revaluation Redemption Merger Profit and Loss 
Account Reserve Reserve Reserve Account
£m £m £m £m £m
GROUP
At 25th December 2004 9.5 8.0 0.6 1.5 80.1
Prior year adjustment –––– (25.0)
At 25th December 2004 as restated 9.5 8.0 0.6 1.5 55.1
Loss for year –––– (2.2)
Actuarial loss, net of taxation –––– (11.0)
Adjustment in respect of employee 
share schemes –––– 0.5
Transfer to realised reserve – (1.7) – – 1.7
Premium on allotment 2.4––––
At 31st December 2005 11.9 6.3 0.6 1.5 44.1
The cumulative amount of goodwill written off, net of any goodwill on disposals, is estimated to be £13.3 million (2004: £13.3 million).
Any tax effect arising on the revaluation surplus realised is included, where applicable, in the tax on property disposals.
The Trustee of the ESOP holds 105,127 (2004: 130,129) Ordinary shares of the Company in respect of one of the Group’s share option
plans, with a market value at 31st December 2005 of £0.5 million (2004: £0.5 million). £0.3 million (2004: £0.3 million) is deducted from
the Profit and Loss account in respect of these shares. Dividends on the shares held by the Trust have been waived.
Other Reserves
Capital 
Share Premium Redemption Capital Merger Profit and Loss
Account Reserve Reserve Reserve Account
£m £m £m £m £m
COMPANY
At 25th December 2004 9.5 0.6 11.3 3.5 62.7
Prior year adjustment –––– (21.1)
At 25th December 2004 as restated 9.5 0.6 11.3 3.5 41.6
Profit for year –––– 19.5
Actuarial loss, net of taxation –––– (10.6)
Adjustment in respect of employee 
share schemes –––– 0.5
Premium on allotment 2.4––––
At 31st December 2005 11.9 0.6 11.3 3.5 51.0
The Trustee of the ESOP holds 48,962 (2004: 73,962) Ordinary shares of the Company in respect of one of the Company’s share option
plans, with a market value at 31st December 2005 of £0.2 million (2004: £0.3 million). £0.2 million (2004: £0.2 million) is deducted from
the Profit and Loss account in respect of these shares.
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52
28 RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS’ FUNDS
Group Company
2005 2004 2005 2004
£m £m £m £m
Restated Restated
Profit on ordinary activities after taxation 9.2 9.1 30.9 2.5
Dividends (11.4) (10.6) (11.4) (10.6)
(Loss)/profit for the financial year (2.2) (1.5) 19.5 (8.1)
Movement in share capital 0.1 0.1 0.1 0.1
Share premium 2.4 1.5 2.4 1.5
Consideration received by ESOP – 0.1 – –
Transfer to share option reserve 0.5 0.3 0.5 0.3
Actuarial gains/(losses) (net of taxation) (11.0) 0.1 (10.6) 0.1
Net addition/(reduction) to Shareholders’ funds (10.2) 0.6 11.9 (6.1)
Opening Shareholders’ funds, as previously stated 105.5 104.9 93.4 99.8
Prior year adjustment (25.0) (25.0) (21.1) (21.4)
Opening Shareholders’ funds, as restated 80.5 79.9 72.3 78.4
Closing Shareholders’ funds 70.3 80.5 84.2 72.3
29 RECONCILIATION OF OPERATING PROFIT TO NET CASH INFLOW FROM OPERATING ACTIVITIES
2005 2004
£m £m
Restated
Operating profit 19.7 20.9
Depreciation of – tangible fixed assets - property, plant and equipment 10.9 9.2
– tangible fixed assets - rental items 16.6 13.0
Amortisation of goodwill 11.6 7.2
Profit on sale of tangible fixed assets - property, plant and equipment (1.9) (0.4)
Charge for share options 0.5 0.3
Difference between retirement benefit charge and cash paid (0.3) (0.6)
Increase in stocks (3.5) (2.7)
Increase in debtors (2.8) (1.9)
Increase in creditors 2.9 0.7
Adjustments in respect of provisions (0.5) (0.8)
Net cash inflow from operating activities 53.2 44.9
30 ACQUISITIONS
Businesses acquired during the year are shown below:
Accounting Fair Value
Consideration Net Assets Fair Value Policy of Assets
Date and Costs Acquired Adjustments Realignment Acquired Goodwill
£m £m £m £m £m £m
DCC Corporatewear Ltd 31st December 2004 23.0 5.7 (0.2) – 5.5 17.5
SGP Property Services Ltd 11th October 2005 24.8 (2.9) (0.1) – (3.0) 27.8
Boyd Cooper Ltd 6th April 2005 4.0 0.8 (0.1) – 0.7 3.3
Other 10.4 3.1 (0.2) 0.1 3.0 7.4
62.2 6.7 (0.6) 0.1 6.2 56.0
Adjustments to prior period 0.3– 0.1– 0.1 0.2
Total acquisitions in the year 62.5 6.7 (0.5) 0.1 6.3 56.2
Notes to the Financial Statements continued
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53
30 ACQUISITIONS continued
Other acquisitions during the year include the purchase of the trade and assets of Bentleys, Albany Rentals, Berkhamsted Laundry and
Firbimatic UK, in March 2005, April 2005, September 2005 and August 2005 respectively and the share capital of Wintex Ltd and
Acame Maintenance Ltd in January 2005.
Consideration
and Costs
£m
Consideration has been satisfied by:
Cash consideration payable 55.8
Deferred consideration 6.4
Costs relating to previous year acquisitions 0.3
62.5
The deferred consideration relates to the acquisitions as follows:
SGP Property Services Limited 5.7
Boyd Cooper Limited 0.2
Acame Maintenance Limited 0.5
6.4
The deferred consideration of £6.4 million is dependent upon the achievement of certain performance targets and is the best estimate
of the amount payable.
Accounting
Net Assets Fair Value Policy Fair Value
Acquired Adjustments Realignment of Assets
£m £m £m £m
Tangible fixed assets - property, plant and equipment 3.3 (0.2) – 3.1
Tangible fixed assets - rental items 1.4 (0.3) 0.1 1.2
Stocks 6.7 – – 6.7
Debtors 8.4 (0.1) – 8.3
Cash and overdraft 1.8 – – 1.8
Corporation tax (0.5) – – (0.5)
Creditors (9.3) – – (9.3)
Loans and finance leases (5.1) – – (5.1)
6.7 (0.6) 0.1 6.2
Adjustments have been made to reflect the provisional fair value of assets and liabilities acquired and relate primarily to asset valuation
adjustments.
Adjustments made to the fair value of assets of businesses acquired in 2005 are provisional due to the short period of ownership.
Adjustments in respect of acquisitions in 2004 arose due to increased knowledge of assets and liabilities resulting from a longer 
period of ownership.
Analysis of net flow of cash in respect of acquisitions:–
£m
Cash consideration and costs paid 55.8
Deferred consideration paid on acquisitions in prior years 2.2
Payments to acquire businesses 58.0
Cash acquired (1.8)
Net cash flow 56.2
There is no material difference between operating profit arising from acquisitions and cash flows contributed by those acquisitions.
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54
31 RECONCILIATION OF NET CASH INFLOW TO MOVEMENT IN NET DEBT
2005 2004
£m £m
Increase in cash in year 3.0 2.3
Cash (inflow) on change in debt and lease financing (60.9) (25.2)
Change in net debt resulting from cash flows (57.9) (22.9)
Finance leases – new (0.7) (5.1)
Issue costs of new bank loans 0.9 –
Amortisation of issue costs of bank loans (0.1) (0.1)
Issue of loan notes – (2.3)
Loans and leases acquired with subsidiaries (5.1) (0.3)
Movement in net debt in year (62.9) (30.7)
Opening net debt (74.1) (43.4)
Closing net debt (137.0) (7 4.1)
32 ANALYSIS OF NET DEBT
Acquisitions
At 25th (Excluding Other At 31st
December Cash Cash and Non-Cash December
2004 Flow Overdrafts) Changes 2005
£m £m £m £m £m
Cash in hand and at bank 4.5 3.0 – – 7 .5
Debt due within one year (3.2) 2.2 – – (1.0)
Debt due after more than one year (69.9) (64.2) (4.9) 0.8 (138.2)
Finance leases (5.5) 1.1 (0.2) (0.7) (5.3)
(60.9)
Total (7 4.1) (57.9) (5.1) 0.1 (137.0)
Non-cash changes represent the effects of amortising issue costs relating to bank loans and new finance leases.
33 FINANCIAL INSTRUMENTS
POLICIES AND STRATEGIES
Details of the Group’s policies and strategies in relation to financial instruments are given in the paragraphs on Policies and Strategies,
Interest Rate Risk, Liquidity Risk and Foreign Currency Risk in the Financial Review on page 23.
FRS 13 “Derivatives and Other Financial Instruments – Disclosures” requires numerical disclosures in respect of financial assets and
liabilities and these are set out below. The Group has taken advantage of the exemptions available under the FRS, to exclude details in
respect of short term debtors and creditors.
Group
2005 2004
£m £m
FINANCIAL ASSETS
Cash at bank and in hand
– Sterling 7.4 4.0
– US dollar 0.1 0.5
7.5 4.5
For interest purposes cash, which earns interest at prevailing floating rates, is offset against overdrafts through a pooling arrangement
with the Group’s principal banker. Surplus cash is placed on Treasury Deposit with one of the Group’s bankers. 
Notes to the Financial Statements continued
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55
33 FINANCIAL INSTRUMENTS continued
Group
2005 2004
£m £m
FINANCIAL LIABILITIES
Unsecured bank loans, net of unamortised issue costs 138.2 69.9
Other loans 1.0 3.2
Finance leases 5.3 5.5
Other financial liabilities 6.2 3.6
Provisions 11.6 12.0
162.3 94.2
Other
Finance Financial
Debt Leases Liabilities Provisions Total
£m £m £m £m £m
AS AT DECEMBER 2005:
Within one year 1.0 1.1 – 4.8 6.9
Within one to two years – 1.1 4.9 1.8 7.8
Within two to five years 138.2 3.0 1.3 2.0 144.5
Over five years –0.1 – 3.0 3.1
139.2 5.3 6.2 11.6 162.3
AS AT DECEMBER 2004:
Within one year 3.2 0.9 – 3.6 7.7
Within one to two years 69.9 0.9 3.0 1.7 75.5
Within two to five years – 2.3 0.6 2.5 5.4
Over five years – 1.4 – 4.2 5.6
73.1 5.5 3.6 12.0 94.2
At December 2005, under the new bank facility arranged in July 2005, the Group’s £200.0 million term loan facility has been classified
as payable within two to five years, as the expiry date of the facility is July 2010.
The total facility available as at 31st December 2005 was £200.0 million (2004: £110.0 million) leaving an undrawn committed facility of
£61.0 million (2004: £40.0 million). The Group also has an overdraft facility of £10.0 million which is reviewed annually, the next review
date being December 2006.
HEDGES
As explained in the Financial Review it is the Group’s policy to partly hedge interest and exchange rate risks.
The table below shows the extent to which the Group has off-balance sheet (unrecognised) gains and losses in respect of financial
instruments used as hedges at the end of the year. It also shows the amount of such gains which have been included in the profit and
loss account for the year and those gains and losses which are expected to be included in the next year’s, or later, profit and loss
account.
Total Net
Gains/
(Losses)
£m
Unrecognised losses on hedges at 27th December 2003 (1.5)
Losses not recognised in 2003 recognised in 2004 1.0
Gains arising in 2004 not recognised in 2004 0.3
Unrecognised losses on hedges at 25th December 2004 (0.2)
Losses not recognised in 2004 recognised in 2005 0.2
Unrecognised losses on hedges at 31st December 2005 –
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56
33 FINANCIAL INSTRUMENTS continued
INTEREST RATE RISK PROFILE
Financial
Fixed Rate Floating Rate Liabilities
Financial Financial on which no
Liabilities Liabilities Interest is paid Total
£m £m £m £m
AS AT DECEMBER 2005:
Sterling 55.3 89.2 17.8 162.3
AS AT DECEMBER 2004:
Sterling 30.5 48.1 15.6 94.2
The Group’s creditors falling due within one year (other than bank and other borrowings) are excluded from the above tables either due
to the exclusion of short term items or because they do not meet the definition of a financial liability.
FIXED RATE FINANCIAL LIABILITIES
The effect of the Group’s interest swap is to classify £50 million (2004: £25 million) of borrowings in the above table as fixed rate, 
the weighted average rate, excluding margin, being 4.63% (2004: 6.62%) and weighted average period remaining being 31 months
(2004: 3 months).
The interest rates on finance lease arrangements are fixed and are set at the point of inception. The average interest rate incurred is
6.2% (2004: 6.4%) and the weighted average period remaining is 60 months (2004: 67 months).
FLOATING RATE FINANCIAL LIABILITIES
Floating rate financial liabilities bear interest at rates based on relevant national LIBOR equivalents. Interest rate swaps are taken to fix
interest rate payments for periods of between one and six months. The weighted average period remaining for floating rate financial
liabilities is 55 months (2004: 18 months).
FAIR VALUES OF FINANCIAL ASSETS AND LIABILITIES
Bank loans are drawn down and interest fixed for no more than a six month period. In view of this the fair value of bank loans is not
materially different from the book value. Except as shown in the table below, the fair value of other financial liabilities was not materially
different from the book value.
Book Value Fair Value Book Value Fair Value
2005 2005 2004 2004
£m £m £m £m
Derivative financial instruments held to 
manage the interest and exchange rate profile:
Interest rate products –(0.2) – (0.2)
Exchange rate products –0.2 ––
Where available, market rates have been used to determine fair value.
34 FINANCIAL COMMITMENTS
2005 2004
£m £m
CAPITAL EXPENDITURE
GROUP
Estimated amount of capital expenditure contracted but not provided for 2.4 1.1
COMPANY
There were no capital commitments at 31st December 2005 (2004: £nil).
Notes to the Financial Statements continued
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57
34 FINANCIAL COMMITMENTS continued
2005 2004
£m £m
REVENUE EXPENDITURE
GROUP
Commitments by the Group under operating leases to make payments in the following year:
Land and buildings:
Operating leases which expire – within one year 0.7 1.2
– between two and five years 3.9 3.9
– in five years or more 8.5 7.8
13.1 12.9
Plant and machinery:
Operating leases which expire – within one year 0.8 0.3
– between two and five years 1.6 1.4
2.4 1.7
35 RELATED PARTY TRANSACTIONS
During 2005, Johnson Hospitality Services Limited purchased £32,176 of goods from CCGF Limited and paid rent of £5,265 to RS & 
JL Higgin. Mr. C. Piggott is a director of both Johnson Hospitality Services Limited and CCGF Limited. Mr. R. Higgin was a director of
Johnson Hospitality Services Limited until July 2005 and owns the property rented to the Company during the year.
36 PRINCIPAL SUBSIDIARY UNDERTAKINGS
Principal activity
Johnsons Apparelmaster Limited* Textile Rental and Specialist Linen Rental (Stalbridge)
Johnson Clothing Ltd (formerly CCM Ltd)* Garment Sourcing
Dimensions Corporatewear Limited* Garment Sourcing
Wessex Textiles Limited Garment Sourcing
S Yaffy Limited Garment Sourcing
Boyd Cooper Limited Garment Sourcing
DCC Corporate Clothing Limited Garment Sourcing
Johnson Cleaners UK Limited Drycleaning
Jeeves of Belgravia Limited Drycleaning
Jeeves International Limited* Drycleaning Franchises
Johnson Workplace Management Limited* Facilities Management
Ace (Ascot) Limited* Electrical Contractors
Acame Maintenance (SW) Limited* Mechanical Contractors
Alex Reid Limited Clothes Care Supplies
Johnson Hospitality Services Limited Hospitality and Events Hire
Johnson Environmental Pest Control Limited Pest Control
Johnson Group Properties PLC Property
Johnson Finance Limited Finance
Johnson Investment Limited Holding Company
Semara Estates Limited* Property
SGP Property Services Limited Property and Facilities Management
Johnson Service Group PLC owns directly or indirectly the entire share capital of each of these companies. The share capital of the
companies annotated* is held through intermediate holding companies. All companies above are incorporated in Great Britain and
registered in England, other than S Yaffy Limited which is registered in Scotland. 
The share capital of all subsidiary undertakings is Ordinary share capital.
A full list of subsidiary undertakings will be annexed to the next Annual Return of Johnson Service Group PLC to be filed with the
Registrar of Companies.
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58
37 SUMMARY IFRS INFORMATION
a)  BASIS OF PREPARATION
The Group will be required to report under IFRS for the accounting period ending on 31st December 2006. The summary income statement and
balance sheet for 2005 and 2004 presented below have been prepared in accordance with IFRS as they are expected to apply to the Group.
The summary IFRS information that follows in this note has been prepared in accordance with those IFRS standards and the International
Financial Reporting Interpretations Committee (IFRIC) interpretations issued and endorsed or issued and expected to be endorsed by the
European Union (EU), as at the time of preparing these summary statements (March 2006). In addition, the Group has adopted the
amendment to IAS 19, Employee Benefits, that permits actuarial gains and losses arising on defined benefit pension plans to be taken to the
Statement of Recognised Income and Expense.
The Johnson Service Group PLC consolidated financial statements were prepared in accordance with UK Generally Accepted Accounting
Principles (UK GAAP) until 31st December 2005. UK GAAP differs in some areas from IFRS. Summary reconciliations and descriptions of the
effect of the transition from UK GAAP to IFRS on the Group’s equity and its net income and cash flows are provided in this note.
The summary information presented in this note does not include all the disclosures required in full IFRS financial statements and is
therefore not fully in accordance with IFRS disclosure requirements.
The revised principal accounting policies set out in the IFRS Impact Statement issued in July 2005 are expected to be formally adopted by
the Group when it prepares its first annual report for the year ending 31st December 2006. These standards remain subject to further
amendments and interpretative guidance from the International Accounting Standards Board (IASB) as well as ongoing review and
endorsement by the EU. Consequently, the accounting policies are provisional and are subject to change.
b)  SUMMARY CONSOLIDATED INCOME STATEMENT UNDER IFRS
Year Year
ended ended
31st December 25th December
2005 2004
£m £m
REVENUE 431.9 363.7
Costs recharged to customers (68.4) (86.0)
Revenue excluding costs recharged to customers 363.5 277 .7
OPERATING PROFIT 31.8 27 .3
OPERATING PROFIT BEFORE INTANGIBLES AMORTISATION AND 
EXCEPTIONAL ITEMS 36.3 29.9
Amortisation of intangible assets (3.9) (0.6)
Restructuring and environmental costs (5.0) (2.0)
Profit on disposal of property 4.4 –
OPERATING PROFIT 31.8 27 .3
Finance costs (8.2) (5.5)
PROFIT BEFORE TAXATION 23.6 21.8
Taxation (6.6) (5.6)
PROFIT FOR THE PERIOD 17.0 16.2
ADJUSTED PROFIT BEFORE TAXATION 28.1 24.4
EARNINGS PER SHARE
Basic 29.2p 28.3p
Fully diluted 28.6p 27.8p
Adjusted (fully diluted) (see note 37(f)) 33.8p 30.9p
ORDINARY DIVIDENDS PAID AND PROPOSED
Interim dividend 4.4p 4.2p
Final dividend 15.0p 14.3p
Notes to the Financial Statements continued
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59
37 SUMMARY IFRS INFORMATION continued
c)  SUMMARY CONSOLIDATED BALANCE SHEET UNDER IFRS
As at As at
31st December 25th December
2005 2004
£m £m
ASSETS
NON-CURRENT ASSETS
Goodwill 140.7 108.3
Intangible assets 50.6 16.3
Property, plant and equipment 68.0 66.0
Rental items 30.1 24.5
Deferred tax assets 17.9 12.9
307.3 228.0
CURRENT ASSETS
Inventories 30.2 19.8
Trade and other receivables 65.0 54.3
Derivative financial assets 0.2 –
Cash and cash equivalents 7.5 4.5
102.9 78.6
LIABILITIES
CURRENT LIABILITIES
Trade and other payables 26.9 25.1
Other creditors and accruals 61.1 50.1
Current income tax liabilities 2.7 2.0
Borrowings 2.1 4.2
Derivative financial instruments 0.2 –
93.0 81.4
NET CURRENT ASSETS / (LIABILITIES) 9.9 (2.8)
NON-CURRENT LIABILITIES
Borrowings 142.6 74.7
Retirement benefit obligations 50.4 34.4
Deferred tax liabilities 14.6 6.8
Provisions and other non-current liabilities 19.7 17.5
227 .3 133.4
NET ASSETS 89.9 91.8
EQUITY
CAPITAL AND RESERVES ATTRIBUTABLE TO 
THE COMPANY’S EQUITY HOLDERS
Called up share capital 5.9 5.8
Share premium 11.9 9.5
Other reserves 2.1 2.1
Retained earnings 70.0 74.4
TOTAL EQUITY 89.9 91.8
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60
37 SUMMARY IFRS INFORMATION continued
d)  SEGMENTAL INFORMATION – ANALYSIS OF TURNOVER, OPERATING PROFIT BEFORE RESTRUCTURING AND
ENVIRONMENTAL COSTS AND INTANGIBLES AMORTISATION AND PROFIT BEFORE TAXATION
Turnover Excluding
Costs Recharged
Turnover to Customers
2005 2004 2005 2004
£m £m £m £m
CONTINUING
Rental 128.4 113.3 128.4 113.3
Corporatewear 87 .1 37 .6 87 .1 37 .6
Drycleaning 101.4 97.1 101.4 97.1
Facilities Management 115.0 115.7 46.6 29.7
431.9 363.7 363.5 277 .7
Operating Profit before
Restructuring and
Environmental Costs and Profit before
Intangibles Amortisation Taxation
2005 2004 2005 2004
£m £m £m £m
CONTINUING
Rental 15.2 16.4 14.4 16.4
Corporatewear 11.4 4.1 6.8 3.6
Drycleaning 9.8 10.6 11.9 8.6
Facilities Management 4.4 1.8 3.3 1.7
Unallocated costs (4.5) (3.0) (4.6) (3.0)
36.3 29.9 31.8 27 .3
Interest (8.2) (5.5)
Profit before taxation 23.6 21.8
e)  ADJUSTED PROFIT BEFORE TAXATION
Year Year
ended ended
31st December 25th December
2005 2004
£m £m
Profit before taxation 23.6 21.8
Intangibles amortisation 3.9 0.6
Restructuring and environmental costs 5.0 2.0
Disposal of property (4.4) –
Adjusted profit before taxation 28.1 24.4
Intangibles amortisation relates to intangible assets arising on acquisitions. Amortisation of computer software, which is also classified
in the balance sheet as intangible assets, is included in arriving at adjusted profit before taxation.
Notes to the Financial Statements continued
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61
37 SUMMARY IFRS INFORMATION continued
f)  EARNINGS PER SHARE
Year Year
ended ended
31st December 25th December
2005 2004
£m £m
Profit for the period 17.0 16.2
Restructuring and environmental costs (net of taxation) 3.8 1.4
Disposal of property (net of taxation) (4.4) -
Intangibles amortisation (net of taxation) 3.7 0.5
Adjusted profit attributable to Ordinary Shareholders 20.1 18.1
Weighted average number of Ordinary shares 58,208,126 57 ,419,393
Fully diluted number of Ordinary shares 59,357,348 58,492,266
EARNINGS PER SHARE
Basic 29.2p 28.3p
Fully diluted 28.6p 27.8p
ADJUSTED EARNINGS PER SHARE
Basic 34.5p 31.5p
Fully diluted 33.8p 30.9p
Basic earnings per share is calculated using the weighted average number of shares in issue during the period, excluding those held by
the ESOP, based on the profit for the period. Adjusted earnings per share figures are given to exclude the effects of intangibles
amortisation and exceptional items, all net of taxation.
For fully diluted earnings per share, the weighted average number of Ordinary shares in issue is adjusted to assume conversion of all
dilutive potential Ordinary shares. The Company has dilutive potential Ordinary shares arising from share options granted to employees
where the exercise price is less than the average market price of the Company’s Ordinary shares during the period.
g)  RECONCILIATION OF UK GAAP PROFIT AND LOSS ACCOUNT TO IFRS INCOME STATEMENT
Year Year
ended ended
31st December 25th December
2005 2004
£m £m
Profit before taxation – UK GAAP 15.7 15.4
Add: Goodwill amortisation 11.6 7.2
Less:  Intangible assets amortisation (3.9) (0.6)
Less: Other differences – (0.2)
Add: Interest – IAS39 0.2 –
Profit before taxation – IFRS 23.6 21.8
h)  RECONCILIATION OF UK GAAP NET ASSETS TO IFRS NET ASSETS
31st December 25th December
2005 2004
£m £m
Net Assets – UK GAAP 70.3 80.6
Add: Goodwill amortisation 18.8 7.2
Less: Intangible assets amortisation (4.5) (0.6)
Add: Dividends 8.8 8.2
Less: Other (3.5) (3.6)
Net Assets – IFRS 89.9 91.8
JSG028_AR_2005 p35-61  30/3/06  09:31  Page 61 Johnson Service Group PLC Corporate Governance
62
The Board has reviewed the procedures, as required by the UK Listing Authority, to comply with the provisions of 
Section 1 of the Revised Combined Code on Corporate Governance issued by the Financial Reporting Council in July 2003
(‘Revised Combined Code’).
COMPLIANCE
The Company has complied with the provisions of the Revised Combined Code throughout the period other than the
provisions for the attendance by the Senior Independent Director at meetings with major Shareholders. The Chairman,
Chief Executive and Chief Financial Officer all regularly meet with the Company’s major Shareholders and the Board is of
the opinion that additional regular meetings, other than those specifically requested by Shareholders, with the Senior
Independent Director would not assist further in the dialogue with Shareholders. The Senior Independent Director is
available to meet with Shareholders, at their request, and the Board believes this arrangement to be sufficient. In addition
all Non-Executive Directors have met with the Company’s largest Shareholder.
The Company’s compliance with the Code has been reviewed by the Auditors to the extent specified by the UK Listing
Authority and their report is given on pages 81 and 82.
THE BOARD
The Board met formally seven times during 2005. Additionally, the Directors met informally on two other occasions.
Individual attendance at the formal meetings is set out in the table below. Where N/a appears in the table, the Director is
not a Committee member.
Board Audit Nomination Remuneration
Name (Formal) Committee Committee Committee
Simon Sherrard 7 N/a 1 7
Stuart Graham 7 N/a 1 N/a
Jim Wilkinson 7 N/a N/a N/a
David Toon 7 N/a N/a N/a
David Bryant 7 N/a N/a N/a
Simon Moate 7 N/a N/a N/a
Michael Gatenby 7 4 1 8
Baroness Judith Wilcox 7 4 1 8
Michael Del Mar 7 3 1 8
Number of Meetings 7 4 1 8
In addition, the Non-Executive Directors have met during the year without their Executive colleagues and additionally
without the Chairman. A performance evaluation of the Board was conducted during the year by way of one-to-one
meetings between the Chairman and each member of the Board. These meetings discussed the Board composition, the
format and effectiveness of Board Meetings and the contribution to the Board of the particular member. The Senior
Independent Director, with input from discussions with the Executive Directors, appraised the performance of the
Chairman.
During the year a formal evaluation of the Audit Committee was conducted by means of a questionnaire being sent 
to members of the Audit Committee. The responses were reviewed by the Chairman of the Committee and actions to
improve the effectiveness of the Committee were agreed and have been implemented accordingly. 
The results of these reviews were discussed by the Board as a whole, with action taken as appropriate.
The Board currently consists of a Non-Executive Chairman, five Executive Directors and three Non-Executive Directors, 
all of whom are considered to be independent in character and judgment. Until December 2003, Mr. M. B. Del Mar had 
been connected to the Company through his position at UBS Investment Bank, the Company’s former corporate finance
advisors. Prior to his appointment, the Board considered the independence of Mr. M. B. Del Mar with particular care and
Corporate Governance
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concluded that Mr. Del Mar was fully independent. He has demonstrated this independence in the manner in which he 
has discharged his duties to date. The Non-Executive Directors are a strong element within the Board with their views
carrying significant weight in the decision making process. All Directors are subject to re-election at the Annual General
Meeting if appointed by the Board since the last Annual General Meeting or if they have held office for more than 30
months since last appointment. Appropriate training is available to Directors upon appointment and as required on an
ongoing basis. Furthermore, on appointment, Directors participate in a customised induction programme to familiarise
them with the Group.
There is a clear division of responsibility, as set out in writing and agreed by the Board, between the Chairman and the
Chief Executive, each of which has clearly defined roles. The Chairman is responsible for the effective running of the
Board whilst the Chief Executive is responsible for operating the business and implementing the Board’s strategies 
and policies. The commitments of the Chairman are disclosed within the Directors’ and Officer’s Biographies’ Section on
page 25. The overall time commitments have not changed during the year.
The Board, in addition to routine consideration of both financial and operational matters, determines the strategic
direction of the Group. The Board has a formal schedule of matters specifically reserved for its decision which can only 
be amended by the Board itself. The specific responsibilities reserved for the Board include: approval of the Group’s long-
term objectives and overall strategy; approval and monitoring of the annual operating budget; approval of major
acquisitions, disposals and capital expenditure; dividend policy; approval of appointments to the Board and of the
Company Secretary; approval of policies relating to Directors’ remuneration; consideration of succession planning for 
key members of the management team; and determining the terms of reference for the Board committees.
To assist the Board in performing these responsibilities, information appropriate in quality and timeliness, is received in 
an agreed format, for each Board meeting.
The following responsibilities have been delegated to Executive management: the development of strategic plans that
reflect the longer term objectives and priorities established by the Board; implementation of strategies and policies as
determined by the Board; monitoring of operational and financial performance against plans and budgets; and developing
and implementing risk management systems.
The Directors have access to the advice and services of the Company Secretary and it is acknowledged that individual
Directors may wish to seek independent professional advice in connection with their responsibilities and duties. The
Company will meet reasonable expenses incurred in this regard.
The Committees of the Board are the Audit Committee, Remuneration Committee and the Nomination Committee. The
Audit Committee consists wholly of the Non-Executive Directors. The Remuneration Committee consists of the Chairman
and the Non-Executive Directors whilst the Nomination Committee consists of the Chairman, Non-Executive Directors and
the Chief Executive. Board appointments are subject to approval by the Board as a whole. Members of the Committees 
are shown on page 26. Each Committee has written terms of reference which are available on the Company’s website.
AUDIT COMMITTEE
The Audit Committee meets at least three times per year, on each occasion also meeting, in private, with the external
auditors. The Board has satisfied itself that the composition of the Audit Committee is in compliance with the 
Combined Code.
The main responsibilities of the Committee include: review of the financial statements and announcements relating to
financial performance and recommending them to the Board; review of the system of internal control including the 
work of internal audit; ensuring the maintenance of a control environment and the appropriate management of risk;
recommendation of appointment of and liaison with the external auditors; annual review and monitoring of external
auditors’ independence and objectivity and the effectiveness of the audit process; development and implementation of
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policy on the engagement of the external auditor to supply non-audit services; and review of arrangements under which
employees may, in confidence, raise concerns about possible improprieties in matters of financial reporting or other
matters ensuring that arrangements are in place for the proportionate and independent investigation and appropriate
follow-up action.
In 2005 the Audit Committee discharged its responsibilities by: reviewing the Group’s draft financial statements and
interim results statement prior to Board approval and reviewing the external auditors’ report thereon; reviewing the
progress of the IFRS conversion project and the appropriateness of accounting and transition policies to be adopted;
reviewing appropriateness of UK GAAP accounting policies; reviewing the external auditors’ plan for the audit of the Group
accounts, confirmations of auditor independence and proposed audit fee and approving terms of engagement for the audit;
reviewing internal audit’s work programme and reports on its work during the year; review of the risk management
programme; review of Group Directors’ expenses; formalisation of auditor independence policy; and monitoring of
reporting and follow up of items reported on the employee hotline established in line with the Code of Ethics.
The Committee also regularly monitors the non-audit services being provided by the external auditors. Note 6 details fees
relating to non-audit services, summarised according to the type of services provided. A policy regarding the provision of
non-audit services has been formalised, such that non-audit work has been categorised into three areas: normally
performed by the auditor; may be performed by the auditor; and that normally performed by another provider. With
reference to this policy, the selection of professional service firms for non-audit work is at the discretion of the
management, taking into account which firm is best placed to perform such work to meet the interests of the Company
and Shareholders and with regard to ensuring that independence is not compromised.
The Committee confirms it is satisfied with the independence, objectivity and effectiveness of the external auditors,
PricewaterhouseCoopers LLP and accordingly a resolution to re-appoint PricewaterhouseCoopers LLP as auditors will 
be proposed at the forthcoming Annual General Meeting.
The work undertaken by the Audit Committee, supported by the internal audit function, helps to enable the Board to
make the statements relating to internal control on page 65 and the going concern basis on page 23.
REMUNERATION COMMITTEE
The responsibilities of the Remuneration Committee are outlined in the Board Report on Remuneration, page 71.
NOMINATION COMMITTEE
The responsibilities of the Nomination Committee include: reviewing the Board structure, size and composition; identifying
and nominating candidates to fill vacancies; keeping up to date and fully aware of the strategic and commercial changes
affecting the Group and the markets in which it operates; keeping under review the leadership needs of the business with
a view to ensuring the continued ability to compete effectively in the marketplace; considering the continuing service of a
Director; and providing recommendations for reappointment of Directors retiring by rotation.
The Committee meets as required and met during the year to review the structure and composition of the Board. 
No changes were recommended during the year.
RELATIONS WITH SHAREHOLDERS
The Company has an active investor relations programme with the Chief Executive and the Chief Financial Officer
meeting key institutions, both Shareholders and prospective Shareholders, in the periods following the announcement 
of the annual and interim results and at other appropriate times during the year. To ensure effective two-way
communication the Chairman also meets with major Shareholders during the year. The Board is of the opinion that
additional routine meetings with the Senior Independent Director would not assist further in the dialogue with
shareholders. However the Senior Independent Director is available to meet with shareholders, at their request. Feedback
is provided to the Board on any issues raised at these meetings. External brokers’ reports are circulated to the Directors.
Corporate Governance continued
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The Shareholders’ views of the meetings with the Chief Executive and Chief Financial Officer following the interim and
final results are obtained by the Group’s brokers and circulated to the Board.
The Board welcomes private and institutional Shareholders to the Annual General Meeting, which is normally attended by all
Directors, to discuss appropriate topics during the meeting or with the Directors after the formal proceedings have ended.
The Board considers that the Preliminary Announcement, Annual Report including the Chairman’s Statement, Chief
Executive’s Review of Operations and Financial Review which are contained therein, and the Interim Report present a
balanced and clear assessment of the Group’s position and prospects. 
INTERNAL CONTROL
The Board is responsible for the Group’s system of internal control and for reviewing its effectiveness. Such a system is
designed to manage rather than eliminate the risk of failure to achieve business objectives and can only provide
reasonable and not absolute assurance against material misstatement or loss.
There is an on-going process for identifying, evaluating and managing the Group’s significant risks that has been in 
place throughout the year ended 31st December 2005 and up to the date of approval of the financial statements. 
This process has been regularly reviewed by the Board and accords with the internal control guidance of the Revised
Combined Code for Directors.
The Audit Committee receives reports setting out key performance and risk indicators and considers possible control
issues brought to its attention by early warning mechanisms which are embedded within the operational units and
reinforced by risk awareness training. 
The Audit Committee also receives regular reports from the internal audit function and, where appropriate,
recommendations for improvement are considered. The Audit Committee’s role in this area is confined to a high level
review of the arrangements for internal control.
The Board’s agenda includes a bi-annual consideration of risk and control and it receives reports thereon from the 
Audit Committee. The emphasis is on obtaining the relevant degree of assurance and not merely reporting by exception.
The main features of the internal financial control framework are detailed below.
FINANCIAL REPORTING
The Board reviews the strategies of the Group and of the subsidiary undertakings. There is a detailed budgeting system
with an annual budget both challenged and approved by the Board. Monthly trading results and indebtedness are
reported against the corresponding figures for the budget and the previous year with corrective action initiated by the
Board as appropriate. 
TREASURY MANAGEMENT
The Group’s treasury activities are operated within Board-approved guidelines. Facilities are approved by the Board and 
all transactions are controlled and monitored. Frequent reports are made to the Chief Financial Officer and monthly
summaries are prepared for the Board. Speculative transactions are not undertaken. 
RISK MANAGEMENT
The identification of major business risks is carried out in conjunction with operating management and reviewed by the
Audit Committee and the Board. The Board regularly assesses the financial implications and effectiveness of the control
process in place to mitigate or eliminate these risks. The Group has insurance cover where it is considered appropriate
and cost effective.
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FINANCIAL CONTROL 
Each business maintains financial controls and procedures appropriate to its own operating environment.
The Group has a centralised internal audit function, based at Head office, which can second additional resources from
operating companies, and which reviews the systems and procedures in all operating companies and reports regularly to
the Audit Committee. A review of control procedures is undertaken in respect of all new acquisitions, within the first three
months of ownership, and action taken where necessary to bring the controls up to the level required by the Group.
The Group has clearly defined guidelines for the review and approval of capital expenditure projects. These include annual
budgets and designated levels of authority.
CODE OF ETHICS
The Group has a written code on business ethics, which is reviewed regularly by the Board and which sets out guidelines
for all staff to enable the Group to meet the highest standards of conduct in business dealings including those with
overseas garment suppliers. New acquisitions are made aware of these standards on joining the Group and plans are put
in place to ensure compliance is achieved. 
Senior employees are required to sign an annual statement of compliance with the code. A confidential hotline service is
available to employees should anyone wish to report perceived improprieties. Arrangements are in place to ensure any
reports are followed up and the appropriate action taken. 
ENVIRONMENTAL MATTERS
The Board is aware of its responsibilities with regard to the environment and receives regular reports on all environmental
matters and has nominated an Executive Director responsible for such matters. Potential areas of risk are identified
through the Group’s risk assessment programme and mitigated wherever possible. A Group Environmental Committee has
been established to consider the risks presented by environmental matters and to develop and implement plans to clean
up contaminated sites and to prevent future contamination. A working party monitors environmental performance and
assists with the education of employees. Key operating locations are subject to comprehensive, quantitative audits which
enable a measure of environmental improvement to be made. The Group keeps under review the advances made in
technology and the requirements of relevant regulations. Several of the Group’s operating companies have achieved or
are working towards ISO 14001 European Environmental Management Systems Accreditation. In the course of the year,
the Group has been prosecuted and fined £10,000 for one minor environmental offence relating to a discharge to
controlled waters.
STATEMENT OF DIRECTORS' RESPONSIBILITIES
Company law requires the directors to prepare financial statements for each financial year that give a true and fair view 
of the state of affairs of the Company and the Group and of the profit or loss and cash flows of the Group for that period.
In preparing those financial statements the Directors are required to
• Select suitable accounting policies and apply them consistently.
• Make judgments and estimates that are reasonable and prudent.
• State whether applicable accounting standards have been followed, subject to any material departures 
disclosed and explained in the financial statements.
• Prepare the financial statements on a going concern basis, unless it is inappropriate to presume the Group 
will continue in business.
The Directors confirm that they have complied with the above requirements in preparing the financial statements.
Corporate Governance continued
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The Directors are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time
the financial position of the Company and the Group and to enable them to ensure that the financial statements comply
with the Companies Act 1985. They are also responsible for safeguarding the assets of the Company and the Group and
hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The maintenance and integrity of the Johnson Service Group PLC website is the responsibility of the Directors. The work
carried out by the Auditors does not involve consideration of these matters and accordingly, the Auditors accept no
responsibility for any changes that may have occurred to the financial statements since they were initially presented 
on the website.
Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from
legislation in other jurisdictions.
By order of the Board
Yvonne M. Monaghan
Secretary
13th March 2006
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The Directors present their annual report and the audited Group financial statements for the year ended 31st December 2005.
ACTIVITIES AND BUSINESS REVIEW
The Group is engaged, in Great Britain, principally in:
Rental – rental and laundering of workwear, roller towels, corporate apparel and dust mats, the rental of event catering
and hospitality equipment. Corporatewear – managing agency for garment sourcing and design. Drycleaning – provision of
retail and commercial drycleaning and other associated support services and sourcing of consumables and drycleaning
machinery services. Facilities Management – workplace management services to the public and private sector. A summary
of the Group’s performance and future development is set out in the Chairman’s Statement, the Chief Executive’s Review
of Operations and Financial Review on pages 4 to 23.
RESULTS AND DIVIDENDS
The Group profit for the year after taxation amounted to £9.2 million (2004: £9.1 million).
The dividend on the Ordinary shares comprises an interim dividend of 4.4p (2004: 4.2p) per share and a proposed final
dividend of 15.0p (2004: 14.3p) per share. This total dividend of 19.4p (2004: 18.5p) per share will amount to £11.4 million
(2004: £10.6 million) for the year.
SHARE CAPITAL
Details of the shares issued during the year and the outstanding options are given in note 25 to the financial statements.
ACQUISITION OF BUSINESSES
Details of acquisitions during the year are given in note 30 to the financial statements.
DIRECTORS
A list of the Directors of the Company is shown on page 26. They all held office throughout the year. Mr. S. P. Sherrard, 
Mr. S. W. Graham, Mr. D. Bryant and Mr. M. R. B. Gatenby retire by rotation and being eligible, offer themselves for 
re-election.
DIRECTORS’ INTERESTS
Share Capital
The interests of the Directors who were in office at 31st December 2005, in the shares of the Company at the
commencement and close of the financial year are disclosed in the Board Report on Remuneration on pages 75 to 77.
Details of the Company’s interest in its own shares are disclosed in note 27 to the financial statements.
Contracts
None of the Directors have any material interests in contracts of the Company or the Group.
MAJOR INTERESTS IN THE COMPANY’S SHARE CAPITAL
At 13th March 2006 the Company had been advised, under Sections 198 to 208 of the Companies Act 1985 (as amended),
of the following interests, of a material nature, in its share capital:
% of Ordinary
share capital owned
Aberforth Partners 16.3%
Aviva plc 7.8%
Barclays PLC 4.1%
Legal & General Investment Management 3.7%
Artemis Investment Management Ltd 3.6%
Prudential Plc 3.4%
Royal & Sun Alliance Insurance Group plc 3.1%
Directors’ Report
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SHAREHOLDERS’ AUTHORITY FOR THE PURCHASE BY THE COMPANY OF ITS OWN SHARES
At the Annual General Meeting on 11th May 2005 Shareholders authorised the Company to make market purchases of 
up to a maximum aggregate of 5,797,363 Ordinary shares. The minimum price allowed for such purchases is 10p and the
maximum is 105% of the average of the middle market price of such shares for the five business days prior to purchase.
Except for amending the maximum number of shares subject to the authority, the Directors intend to seek renewal of this
authority which is due to expire at the conclusion of the 2006 Annual General Meeting. Further details are given in the
Notice of the Annual General Meeting.
EMPLOYMENT POLICIES
The employment policies of the Group embody the principles of equal opportunity and are tailored to meet the needs of
its different businesses and the local areas in which they operate. The involvement of employees in the performance of
the business is encouraged and efforts are made to give all employees an understanding of the financial position through
periodic Group newsletters. Each operating company is responsible for the development of employee involvement and
communication practices which are appropriate to its own particular needs. An approved Savings Related Share Option
Scheme has been in operation for eligible employees since 1987.
The Group is committed to providing adequate training for employees at all levels and is constantly reviewing and
improving its procedures. Johnsons Apparelmaster Limited holds Investor in People status. 
Suitable procedures are in operation to support the Group’s policy that disabled persons, whether registered or not, 
shall be considered for employment and subsequent training, career development and promotion on the basis of their
aptitudes and abilities. Where members of staff become disabled every effort is made to ensure that they are retrained
according to their abilities.
HEALTH AND SAFETY
The Board is aware of its responsibilities on all matters relating to the health and safety of employees, visitors and
customers on Group premises and to others affected by the Group’s activities and has nominated Mr. D. Bryant, an
Executive Director, as the Director responsible for such matters. The Board has appointed Mr. S. R. Moate as the
successor to Mr. D. Bryant following his announced retirement from the Board in October 2006.
Health and Safety matters are a permanent agenda item at all Board and subsidiary company Board meetings.
A detailed report outlining subsidiary company activities is provided for each regular Board meeting, including up to date
statistics relating to accidents and incidents that have occurred since the last report.
The Board has appointed the Health and Safety Director of Johnson Workplace Management to advise the Directors and
senior executives on matters relating to compliance with health and safety legislation.
All operating companies are required to have clearly defined health and safety policies relevant to their operations and
risks. Implementation of all policies into the work environment are audited annually to ensure their fitness for purpose.
These audits are in addition to each company’s own internal audit protocols. All audit results are notified to the Board.
The Group health and safety policy statement is brought to the attention of all employees and copies of the statement are
available upon request to all interested parties.
Each individual operating company has developed a safety management system appropriate to their operations and in
accordance with either HS(G)65 or OHSAS 18OO1.
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The Board has approved the continued use of a computer based Safety Management System for use by all operating
companies and in addition Johnson Workplace Management has developed a robust Safety Management System
appropriate to their operations which has been certified to OHSAS 18OO1.
All companies have arrangements in place to consult with employees on matters which may affect their health and safety.
The Group Health and Safety Committee, consisting of representatives from all subsidiary companies, meets at least 
three times a year.
The Group is in regular contact with regulatory bodies both directly and via industry trade associations.
The health and safety performance of all subsidiary companies is collectively benchmarked against other companies
operating in similar business sectors.
All new companies acquired by the Group undergo a stringent audit of their Safety Management Systems to establish
compliance with appropriate legislation and Group policy. 
CHARITABLE AND POLITICAL DONATIONS
Contributions by the Group to charitable causes during the year totalled £41,000. The Group promotes the return and
reuse of hangers and as a result of this programme, over £19,000 was donated to Macmillan Cancer Relief during the
year. Other contributions are principally to local charities serving the communities in which the Group operates. 
No donations for political purposes were made during the year.
AUDITORS
In accordance with the recommendation of the Audit Committee, as disclosed on page 64 and Section 384 of the
Companies Act 1985, a resolution to reappoint the Auditors, PricewaterhouseCoopers LLP, will be proposed at the Annual
General Meeting.
POLICY ON PAYMENT TO SUPPLIERS
The Company and its subsidiaries fully support the CBI initiative on payments to suppliers and have continued to apply
the Prompt Payment Code in respect of all suppliers. The main features of the Code are that payment terms are agreed 
at the outset of a transaction and are adhered to; that there is a clear and consistent policy that bills will be paid in
accordance with the contract; and that there are no alterations to payment terms without prior agreement. Copies of
the Code can be obtained from the CBI. The trade creditor days of the Company were 23 days.
NOTICE OF ANNUAL GENERAL MEETING
The Resolutions to be proposed as Special Business at the Annual General Meeting are the renewal of the Directors’
authority to allot shares, the disapplication of pre-emption rights, and the renewal of the Company’s limited authority 
to purchase its own shares. 
By Order of the Board
Yvonne M. Monaghan
Secretary 
13th March 2006
Incorporated and registered in England and Wales under Company number 523335.
Directors’ Report continued
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INFORMATION NOT SUBJECT TO AUDIT
REMUNERATION COMMITTEE
The Remuneration Committee consists of the Non-Executive Directors: Baroness J. A. Wilcox (Chairman), 
Mr. S. P. Sherrard, Mr. M. R. B. Gatenby and Mr. M. B. Del Mar. None of the members of the Committee have or had any
personal financial interests (other than as Shareholders), conflicts of interests arising from cross-directorships or day 
to day involvement in running the business.
The Committee is responsible for overseeing the policy regarding executive remuneration and for determining the
remuneration packages for the Executive Directors.
During the year the Committee consulted the Chief Executive about its proposals with regard to remuneration and terms
of employment of Executive Directors, other than the Chief Executive himself. The Committee has also consulted with
KPMG and Mercer who have provided advice in relation to Directors’ pension arrangements and the proposed changes 
to pension legislation. The Group Human Resources Director has provided assistance to the Committee with regards 
to benchmarking Executive Directors’ remuneration. Allen & Overy LLP provided advice in relation to the design of the
Long Term Incentive Plan which was approved at the 2005 AGM.
Reward surveys provided by New Bridge Street Consultants and KPMG have been used for benchmarking purposes.
REMUNERATION POLICY
Executive Directors’ remuneration is designed to attract, motivate and retain executives of the necessary calibre and to
reward them for enhancing shareholder value. Total remuneration comprises fixed pay, variable pay and benefits, of which
fixed pay currently forms the largest proportion. Remuneration is aligned with shareholders’ interests through an annual
bonus scheme which is based on performance related criteria. A long term performance based share option scheme, 
the 2003 Executive Share Option Scheme, has also operated during the year.
The current remuneration of Executive Directors comprises the five elements of basic salary, annual bonus, taxable
benefits, share options and for some Executive Directors, a Long Term Incentive Plan.
BASIC SALARY
A salary which reflects the Remuneration Committee’s assessment of the market rate for relevant positions and the
individual Director’s experience and value to the business. Annual reviews are considered against published information
for similar sized Groups and the level of increases awarded to staff throughout the Group.
ANNUAL BONUS
The Group operates a Short Term Incentive Programme (STIP) for senior executives. The Executive Directors participate
in the STIP, which provides for a performance related bonus based on a combination of the Group’s results, achievement
of goals set in relation to the individual’s area of responsibility and divisional results. The individual targets for the
Executive Directors are established by the Committee with a view to maximising shareholder value and meeting other
Group objectives. Subject to the achievement of the targets, the annual performance related bonus can represent up to
100% of basic salary for Mr. S. W. Graham, Mr. J. H. Wilkinson, Mr. D. R. Toon and Mr. S. R. Moate and up to 75% of basic
salary for Mr. D. Bryant. The Committee reviews, on an annual basis, the performance criteria for each Executive Director
to ensure that they remain appropriate.
TAXABLE BENEFITS
Taxable benefits principally include a car allowance, private medical insurance and life assurance.
SHARE OPTIONS
The Executive Share Option Scheme which was available to Executive Directors and other senior executives within the
Group reached the end of its life in 1997. The last grant under this Scheme was in April 1996.
Board Report on Remuneration
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Board Report on Remuneration continued
The 2003 Executive Share Option Scheme (the “Plan”) was approved at the 2003 Annual General Meeting. The Plan 
is designed to align the long term incentives provided by the Company for senior employees with the interests of
Shareholders. Options have been granted under the Plan (which comprises an Inland Revenue approved plan and an
unapproved plan) to Executive Directors and other selected managers in the Group. Grants have been made subject to 
an individual maximum limit based on the market value of the underlying shares on the date of grant of options under 
the plan, which will normally not exceed two times earnings. However, in year one of an individual’s participation in the
Plan it has been the practice of the Committee to apply a limit of up to three times salary, which was the limit applied 
for the 2003, 2004 and 2005 year one awards. Further, although the rules of the Plan refer to multiples of earnings, the
Committee has determined that awards will be restricted so as to replace the word “earnings” with “salary” . The options
may not normally be exercised earlier than three years or more than ten years after the date of grant, provided that any
performance conditions imposed have been fulfilled.
The vesting of options will normally be subject to stretching performance conditions which will be based upon a
combination of Total Shareholder Return (“TSR”), adjusted earnings per share growth (“EPS”) and operating profit,
depending on the employee’s position within the Group. The performance conditions will be tested after three years and
no re-testing will be permitted.
Vesting will be as follows:
• 25% of options subject to relative TSR-based conditions will vest if the Company’s three year TSR equals the TSR of a
specified index. Options will vest in full if the Company’s TSR exceeds that of the index by 10% per annum. For
performance between these levels, options will vest on a straight line sliding scale.
• 25% of options subject to absolute TSR-based conditions will vest if the Company’s three year TSR equals 7% per
annum. Options will vest in full if the Company’s three year TSR exceeds 17% per annum. For performance between
these levels, options will vest on a straight line sliding scale.
• 25% of options subject to EPS-based conditions will vest if the Company’s three year adjusted EPS growth equals RPI
plus 3% per annum. Options will vest in full if the Company’s adjusted EPS growth exceeds RPI plus 6% per annum. For
performance between these levels, options will vest on a straight line sliding scale.
• 25% of options subject to division operating profit conditions, aggregated over the three year performance period and
adjusted, as appropriate, to reflect the effect of any acquisitions or disposals will vest for budgeted operating profit
performance. Options will vest in full at a predetermined level of operating profit performance, which is set by the
Committee each year with reference to the budgeted level of performance and which is deemed to represent stretching
financial performance. For performance between these levels, options will vest on a straight line sliding scale.
These performance measures were chosen since the Committee believes that both TSR and EPS growth are closely
related to the interests of the Shareholders. EPS growth also provides a measure of Group financial performance, whilst
divisional operating profit provides a measure of financial performance for those individuals with responsibility for
specific divisions. The FTSE Small Cap Index excluding investment companies was the specified index for the awards in
2003 and the FTSE Support Services Index was the specified index in 2004 and 2005. In the opinion of the Committee
the FTSE Support Services Index was, at the time of grant, the most appropriate index against which to compare the TSR
of the Group since it includes companies operating in similar sectors.
It is the current intention of the Committee that no further awards will be made under the 2003 Executive Share Option
Scheme.
Grants under the plan were made to the Executive Directors, and other senior managers on 18th April 2005.
Executive Directors are also eligible to participate in the Group’s Savings Related Option Scheme.
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On 15th February 2006 the Remuneration Committee approved a change to the rules of the 2003 Executive Share 
Option Scheme to allow participants to elect to receive the value of vesting share options by equity-settled SAR’s (Share
Appreciation Rights) instead of the full number of shares subject to option. The calculation of the fully diluted number of
shares will continue to be based on the full number of shares under option even though in practice only some of these
shares may be issued.
LONG TERM INCENTIVE PLAN
A new long term incentive plan for executive directors and senior executives was introduced following shareholder
approval during the year. The plan is designed to reinforce the importance of management meeting the Group’s medium
term financial objectives in a way that will align their reward with shareholder returns. The Remuneration Committee will
periodically review the grant policy and the performance targets under the plan to ensure that they remain appropriate
for the Company.
The principal features of the Johnson Service Group 2005 Long Term Incentive Plan are as follows:
• With the exception of Mr. S. W. Graham, who will be granted an award to receive shares which are not subject to any
restriction, eligible employees selected to participate will be granted awards to receive a number of shares, a proportion
of which will be subject to restrictions as described below. The shares acquired in either case will have a value (at the
time of vesting) equal to the amount of the award specified at the date of grant which has vested.
• Vesting of the award will normally be subject to continued employment and the satisfaction of performance targets. 
A participant who receives restricted shares on the vesting of his award will, ordinarily, be required to retain 25% of 
the shares vested for a period of one year from the date of vesting and a further 25% of the shares vested for a period
of two years from the date of vesting.
• The maximum level of an award will be five times’ the annual salary of the eligible employee at the time of the award.
• The performance targets will be determined by the Remuneration Committee and, in normal circumstances, will have to
be satisfied over a performance period of three years. It is currently envisaged that 50% of each award will have a
performance target based on the annual compound growth in adjusted earnings per share (EPS) of the Company over
the performance period and 50% will have a performance target based on a measurement of the Company’s total
shareholder return (TSR) over the performance period ranked against the TSR performance of the companies in the
FTSE 250 Index (excluding investment trusts).
• The EPS target will be reviewed at the time of each award but, in respect of the initial awards, there will be no vesting
at all of the tranche of the award subject to the EPS target if the annual compound growth in the Company’s EPS over
the performance period is 5% or less. 100% of the tranche of the award will vest if the annual compound growth in EPS
is 13% or more with vesting on a sliding scale between these two points.
• The TSR target will be reviewed at the time of each award. However, in respect of the initial awards: if the Company is
ranked at or below the median the tranche of an award subject to the TSR target will not vest at all; if the Company is
ranked at or above the upper quartile all of the tranche of the award subject to the TSR target will vest; and if the
Company is ranked between the median and the upper quartile the tranche of the award subject to the TSR target will
vest on a pro-rata straight line basis between 0% and 100%.
• Where an award is to be satisfied by the transfer of shares, this may be done either by the transfer of shares from
treasury or by the transfer of shares purchased in the market by the Company’s employee share ownership plan trust.
Awards may not be satisfied by the issue of new shares. 
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74
Board Report on Remuneration continued
NON-EXECUTIVE DIRECTORS
Non-Executive Directors receive fees which are set by the Board and which are commensurate with their experience and
contribution to the Group. Non-Executive Directors do not participate in decisions regarding their own remuneration. They
do not participate in any of the Group’s pension, share option or performance related bonus schemes.
SERVICE CONTRACTS
In the event of termination, without cause, the Company has a contractual obligation to compensate the Director for the
unexpired period of his notice. The Company will seek to reduce this payment by means of the Director’s duty to mitigate
this payment wherever possible.
Executive Directors
Mr. S. W. Graham, Mr. J. H. Wilkinson, Mr. D. R. Toon and Mr. S. R. Moate are employed under service contracts, dated 22nd
April 2002, 28th September 2004, 16th December 2002 and 1st October 2002 (as amended on 22nd January 2003)
respectively, which provide that the Company has to give twelve months’ notice and the Director is required to give six
months’ notice.
The service contract of Mr. D. Bryant, dated 14th February 2003, provides for the period of notice to be given by both the
Company and the Director, to be twelve months. Mr. D. Bryant has given notice of his intention to retire from the Company
and the Board in October 2006.
Non-Executive Directors
The Non-Executive Directors have fixed term appointments.
Each Non-Executive Director has a letter of appointment, dated as detailed below, which requires the Company to provide
three months’ notice and the Director is expected to provide at least one months’ notice. At 31st December 2005, the
unexpired terms of the Non-Executive Directors letters of appointment were:-
Date of Letter of Appointment Unexpired Term
S. P. Sherrard 8th December 2005 3 years
M. R. B. Gatenby 8th December 2005 2 years 9 months
Baroness J. A. Wilcox 22nd September 2003 9 months
M. B. Del Mar 17th May 2004 1 year 5 months
PERFORMANCE GRAPH
Over the last five years to December 2005 the Group has
outperformed the FTSE Small Cap Index excluding Investment
Companies and the FTSE Support Services Index to give a net
total shareholder return of 120% against a net return of 16%
and a net decline of 25% for the respective Indices.
These indices have been selected for this comparison as, in
the opinion of the Directors, they represent the general and
specific sectors in which the Company operates.
250
Dec 00 Dec 01 Dec 02 Dec 03 Dec 04 Dec 05
200
150
100
50
JSG
FTSE Small Cap Index excluding investment companies
FTSE Support Services Index
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75
INFORMATION SUBJECT TO AUDIT
DIRECTORS’ REMUNERATION
Basic Taxable Total Total
Salary/Fees Bonus Benefits 2005 2004
£000 £000 £000 £000 £000
EXECUTIVE DIRECTORS
S. W. Graham 274 228 34 536 520
J. H. Wilkinson 205 185 11 401 84
D. Bryant 138 50 27 215 189
D. R. Toon 164 118 24 306 191
S. R. Moate 125 90 13 228 120
NON-EXECUTIVE DIRECTORS
S. P. Sherrard 92 – – 92 87
M. R. B. Gatenby 34 – – 34 31
Baroness J. A. Wilcox 29 – – 29 27
M. B. Del Mar 27 – – 27 25
FORMER DIRECTORS
M. A. Sutton (resigned 27 /09/04) –––– 473
1,088 671 109 1,868 1,7 47
Remuneration is for the period from the date of appointment as a Director.
During the year the Directors made total gains of £751,000 (2004: £55,000) on the exercise of share options of which
£551,000 (2004: £nil) was made by the highest paid Director, Mr. S. W. Graham and £200,000 by Mr. D. Bryant. The gains
are calculated as at the exercise date, although the shares may have been retained.
INTERESTS IN SHARE CAPITAL
The interests of the Directors who were in office at 31st December 2005, in the shares of the Company at the
commencement, or date of appointment if later, and close of the financial year, were as follows:
31st December 25th December
2005 2004
Ordinary shares Ordinary shares
of 10p each of 10p each
BENEFICIAL
S. W. Graham 53,700 53,700
J. H. Wilkinson 5,000 5,000
D. Bryant 15,463 12,963
D. R. Toon 4,717 4,717
S. R. Moate 3,250 3,250
S. P. Sherrard 20,000 20,000
M. R. B. Gatenby 5,000 5,000
Baroness J. A. Wilcox 5,375 3,225
M. B. Del Mar 6,000 6,000
NON-BENEFICIAL
J. H. Wilkinson and others 588,452 588,452
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Board Report on Remuneration continued
INTERESTS IN SHARE OPTIONS
The interests of the Directors, who have served during the year, in share options of the Company at the commencement
and close of the financial year were as follows:
BENEFICIAL
1987 Executive Share Option Scheme
At 25th At 31st 
December December
2004 Options Options 2005
(or date of Exercised Cancelled (or date of Market Price
Date of Grant resignation) During Year During Year resignation) Option Price At Exercise
D. Bryant 3rd April 1996 46,774 (46,774) – – 279.0p 465p
The share options granted under the 1987 Executive Share Option Scheme were granted at nil cost to the Directors and
were in respect of past performance. Once awarded, the exercise of the share options is unconditional. 
They became exercisable on the third anniversary of their grant and lapse on the tenth anniversary of their grant.
BENEFICIAL
2003 Executive Share Option Scheme – Unapproved
At 25th Options Options At 31st
December Granted Exercised December Market Price
Date of Grant 2004 During Year During Year 2005 Option Price At Exercise
S. W. Graham 24th June 2003 150,000 – – 150,000 297.0p –
22nd April 2004 75,000 – – 75,000 394.5p –
18th April 2005 – 75,000 – 75,000 454.0p –
J. H. Wilkinson 22nd October 2004 60,000 – – 60,000 394.5p –
18th April 2005 – 60,000 – 60,000 454.0p –
D. Bryant 13th May 2003 120,348 – (70,348) 50,000 305.0p 465p
24th June 2003 90,000 – – 90,000 297.0p –
22nd April 2004 45,000 – – 45,000 394.5p –
18th April 2005 – 56,000 – 56,000 454.0p –
D. R. Toon 24th June 2003 90,000 – – 90,000 297.0p –
22nd April 2004 45,000 – – 45,000 394.5p –
18th April 2005 – 60,000 – 60,000 454.0p –
S. R. Moate 24th June 2003* 60,000 – – 60,000 297.0p –
22nd April 2004* 75,000 – – 75,000 394.5p –
18th April 2005 – 56,000 – 56,000 454.0p –
* Share options granted prior to appointment as Director
Following the approval of the 2003 Executive Share Option Scheme, options were granted to Mr. D. Bryant on 13th May
2003 to replace the Share Appreciation Rights (“SARs”) which were issued to him in December 2002. Of these options
70,348 replaced those SARs which had been issued as compensation for reduction in his service contract notice period.
These options vested immediately. The vesting of the balance of the options issued on 13th May 2003 is linked to
continuing employment. They vest on the third anniversary of their grant. These options lapse on the tenth anniversary 
of their grant.
Those options granted to Mr. S. W. Graham, Mr. J. H. Wilkinson and Mr. S. R. Moate, prior to vesting, are subject to the
performance conditions discussed on page 72 in the following ratio: 50% relative TSR, 25% absolute TSR and 25%
adjusted EPS growth. Those options granted to Mr. D. Bryant and Mr. D. R. Toon on the same day are subject to the
performance conditions in the following ratio: 15% relative TSR, 7.5% absolute TSR, 7.5% adjusted EPS growth and 70%
operating profit of those companies for which they have responsibility. These options, except those issued to Mr. J. H.
Wilkinson on 22nd October 2004, subject to achievement of the performance criteria, vest on the third anniversary of
their grant and lapse on the tenth anniversary of their grant. The options issued to Mr. J. H. Wilkinson on 22nd October
2004, subject to achievement of the performance criteria, vest on 22nd April 2007 and lapse on 22nd April 2014.
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77
BENEFICIAL
Unapproved Option
At 25th At 31st
December Exercised December Market Price
Date of Grant 2004 During Year 2005 Option Price At Exercise
S. W. Graham 26th September 2002 280,000 (280,000) – 268.0p 465p
D. R. Toon 20th December 2002* 25,000 – 25,000 289.5p –
S. R. Moate 20th December 2002* 25,000 – 25,000 289.5p –
* Share options granted prior to appointment as Director.
Options were issued to Mr. S. W. Graham in September 2002 in connection with fulfilling an obligation under his service
contract, which the Company undertook in order to secure his recruitment.
25,000 options each were issued to Mr. D. R. Toon and Mr. S. R. Moate in December 2002, prior to their appointment as
Directors. The options vested on 20th December 2005 but may only be exercised whilst they remain in the employment
of the Company. The options lapse to the extent unexercised on 20th December 2012.
BENEFICIAL
Savings Related Share Option
At 25th Options At 31st
December Granted December
Date of Grant 2004 During Year 2005 Option Price
S. W. Graham 6th October 2004 3,007 – 3,007 315p
D. Bryant 4th October 2000 3,308 – 3,308 204p
7th October 2002 2,793 – 2,793 203p
D. R. Toon 7th October 2002* 2,793 – 2,793 203p
6th October 2004 1,203 – 1,203 315p
6th October 2005 – 1,674 1,674 335p
* Share options granted prior to appointment as Director
The Savings Related Scheme is open to all employees, including Executive Directors, who have completed one year’s
service at the date of invitation and who open an approved savings contract. When the savings contract is started options
are granted to acquire the number of shares that the total savings will buy when the savings contract matures. Details of
the scheme’s exercise periods and normal expiry dates are given in note 25 on page 49.
OTHER DETAILS
No other directors have been granted share options in the shares of the Company or other group entities. None of the
terms or conditions of the share options were varied during the year.
The mid market price of the Ordinary shares of 10p each on 31st December 2005 and 25th December 2004 was 446.0p
and 412.5p respectively. During the period the mid market price of the Ordinary shares of 10p each ranged between
410.5p and 476.0p.
There have been no changes in the Directors' interests during the period 31st December 2005 to 13th March 2006.
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78
Board Report on Remuneration continued
LONG TERM INCENTIVE PLAN
Award Granted During Year At 31st December 2005
Date of Award £000 £000
S. W. Graham 25th May 2005 1,400 1,400
J. H. Wilkinson 25th May 2005 1,000 1,000
D. R. Toon 25th May 2005 860 860
A new long term incentive plan for executive directors and senior executives was introduced during the year. The principal
features are outlined on page 73.
PENSION ARRANGEMENTS
Retirement benefits, which are calculated on basic salary, are accruing to the Executive Directors under one or more of
the Group's contributory defined benefit schemes or defined contribution scheme. 
Details of the schemes are given in note 24 on pages 45 to 48.
PENSION BENEFITS OF EXECUTIVE DIRECTORS
Set out below are details of pension benefits to which each Executive Director, who served during the year, is entitled
under the Group’s defined benefit schemes.
Additional Additional
accrued accrued
benefits benefits Transfer Increase in
earned in earned in Accrued Accrued value of net Transfer Transfer transfer
the year the year entitlement entitlement increase in value at value at value less
(including (excluding at December at December accrued December December Directors’
inflation) inflation) 2005 2004 benefits 2005 2004 contributions
£000 £000 £000 £000 £000 £000 £000 £000
S. W. Graham 4 4 13 9 35 170 106 51
D. Bryant 3 1 81 78 9 1,511 1,319 185
D. R. Toon 2 2 28 26 13 303 240 57
S. R. Moate 1 1 5 3 4 36 21 9
The accrued pension entitlement shown is the amount that would be paid annually on retirement based on service to 31st
December 2005. This pension is calculated based on the total period of service to the Company, both before and after
becoming a director.
The increase in the accrued entitlement is the difference between the accrued benefit at the year end and that at the
previous year end.
All transfer values have been calculated on the basis of actuarial advice in accordance with Actuarial Guidance Note GN11.
The transfer values of the accrued entitlement in respect of qualifying services represent the value of assets that the
pension scheme would need to transfer to another pension provider on transferring the scheme’s liability in respect of 
the Director’s pension benefits that they earned for qualifying services. They do not represent sums payable to individual
Directors and therefore cannot be added meaningfully to annual remuneration.
The increase in the transfer value less Directors’ contributions is the increase in the transfer value of accrued benefits 
in respect of qualifying services during the year after deducting the Director’s personal contributions to the scheme.
Voluntary contributions paid by Directors and the resulting benefits are not shown.
With the exception of Mr. J. H. Wilkinson, who is a member of the Johnson Group Retirement Plan, a defined contribution
scheme, and Mr. D. R. Toon, who is a member of the Johnson Group Retirement Plan, a defined contribution scheme, 
the Johnson Group Staff Pension Scheme and the Semara Augmented Pension Plan, both defined benefit arrangements,
the remaining Directors are all members of the Johnson Group Staff Pension Scheme, a defined benefit arrangement.
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79
Set out below is the benefit structure applicable under the pension arrangements for each Director:
The accrual rate for Mr. S. W. Graham is 1/30th for each year of pensionable service, based on one-half of salary, subject
to the Earnings Cap (the “Cap”), which is currently £105,600. For the period prior to 31st March 2004, employee
contributions were 8% of one-half of salary subject to the Cap. With effect from 1st April 2004, Mr. S. W. Graham’s
employee contributions were increased to 12% of one-half of salary subject to the Cap. Mr. S. W. Graham’s normal
retirement age was reduced to 60 on 1st June 2005;
Prior to 31st March 2004, the accrual rate for Mr. D. Bryant was such that a pension of two thirds salary would be payable 
at age 63, previously his normal retirement age, which equated to an accrual rate of 1/58th for each year of pensionable
service since 1st December 2000 and 1/60th for each year of pensionable service prior to that date. For service from 
1st April 2004, the accrual rate has been changed to 1/60th for each year of pensionable service. Mr. D. Bryant is not
subject to the Cap. For the period prior to 31st March 2004 employee contributions were 4% of salary and increased to
5% with effect from 1st April 2004. Mr. D. Bryant’s normal retirement age was reduced to age 60 on 1st June 2005. A 15%
reduction will be applied to those benefits arising out of pensionable service accrued as on and from 1st April 2004 up to
and including 31st May 2005 where Mr. D. Bryant retires at normal retirement age. An actuarial reduction will be applied
on early retirement before 60 for all service;
Mr. D. R. Toon is a member of both the Johnson Group Staff Pension Scheme and the Semara Augmented Pension Plan. 
Prior to 31st March 2004 the accrual rate under these arrangements was such that a pension of two thirds salary, 
which is subject to the Cap, would be payable at age 65, previously his normal retirement age. This equated to accrual
rates of 1/60th and 1/397th under the Johnson Group Staff Pension Scheme and the Semara Augmented Pension Plan,
respectively. With effect from 1st April 2004, the accrual rate under the Johnson Group Staff Pension Scheme has
changed to 1/80th. Employee contribution rates, effective from 1st October 2004, are 6% of salary subject to the Cap. 
Mr D. R. Toon’s normal retirement age was reduced to age 60 on 1st June 2005. A 25% reduction will be applied to those
benefits arising out of pensionable service accrued as on and from 1st April 2004 up to and including 31st May 2005
where Mr D. R. Toon retires at normal retirement age. An actuarial reduction will be applied on early retirement before
age 60 for all service. With effect from 1st April 2004, the Company also pays £15,000 per annum into the Johnson Group
Retirement Plan for Mr. D. R. Toon;
The accrual rate for Mr. S. R. Moate is 1/60th for each year of pensionable service prior to 1st April 2003 and 1/80th
thereafter. Benefits are subject to the Cap. Employee contribution rates, effective from 1st October 2003, are 6% of salary
subject to the Cap. Mr. S. R. Moate’s normal retirement age was reduced to age 60 on 1st June 2005. A 25% reduction will
be applied to those benefits arising out of pensionable service accrued as on and from 1st April 2003 up to and including
31st May 2005 where Mr. S. R. Moate retires at normal retirement age. An actuarial reduction will be applied on early
retirement before age 60 for all service;
Mr. J. H. Wilkinson is a member of the Johnson Group Retirement Plan. The employee contribution rate, chosen by 
Mr. J. H. Wilkinson, is 7% of salary subject to the Cap. The corresponding Company contribution rate is 14% of salary
subject to the Cap. Mr. J. H. Wilkinson’s normal retirement age was reduced to age 60 on 1st June 2005.
Other provisions of the Johnson Group Staff Pension Scheme which are applicable to all members of the scheme include: 
a spouse’s pension at the rate of 50% of the member’s pension payable on the death of the member; pensions accrued in
respect of service prior to 6th April 1997 are guaranteed to increase at the rate of 3% per annum on the excess over the
member’s Guaranteed Minimum Pension; pensions accrued in respect of service after 5th April 1997 will increase at the
rate of 5% per annum, or the increase in the Retail Price Index, if lower, with a guaranteed minimum of 3% per annum.
For Mr. S. W. Graham, Mr. D. Bryant and Mr. D. R. Toon, the 3% per annum minimum guarantee is not applicable to
pensions accrued in respect of service after 1st April 2004. For all other members the minimum guarantee is not
applicable to pensions accrued in respect of service after 1st April 2003.
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80
Board Report on Remuneration continued
In the context of impending changes to pensions taxation in 2006, no changes have yet been made to the remuneration
of Executive Directors or senior executives. The Remuneration Committee will be consulting with the Chief Executive and
external advisers on the appropriateness of any changes which may be proposed for future pension provision in due
course.
ANNUAL GENERAL MEETING
A resolution will be proposed at the Annual General Meeting to seek approval of the Board Report on Remuneration.
Baroness Judith A. Wilcox
Chairman of Remuneration Committee
13th March 2006
JSG028_AR_2005 p62-end  30/3/06  09:33  Page 80 Auditors’ Report    Johnson Service Group PLC  
Auditors’ Report
Independent Auditors’ report to the members of Johnson Service Group PLC
We have audited the Group and Parent Company financial statements (the ‘‘financial statements’’) of Johnson Service
Group PLC for the period ended 31st December 2005, which comprise the Consolidated Profit and Loss Account, the
Group and Parent Company Balance Sheets, the Consolidated Cash Flow Statement, the Consolidated Statement of Total
Recognised Gains and Losses, the Consolidated Historical Cost Profits and Losses and the related notes. These financial
statements have been prepared under the accounting policies set out therein. We have also audited the information in the
Board Report on Remuneration that is described as having been audited.
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the Annual Report, the Board Report on Remuneration and the financial
statements in accordance with applicable law and United Kingdom 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 Board Report on Remuneration to be audited in
accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland).
This report, including the opinion, has been prepared for and only for the Company’s members as a body in accordance
with Section 235 of the Companies Act 1985 and for no other purpose. We do not, in giving this opinion, accept or assume
responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may
come save where expressly agreed by our prior consent in writing.
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 Board Report on Remuneration to be audited have been properly prepared in accordance
with the Companies Act 1985. We also report to you if, in our opinion, the Directors’ Report is not consistent with the
financial statements, if 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 review whether the Corporate Governance Statement reflects the Company’s compliance with the nine provisions of
the 2003 FRC 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.
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 Board Report
on Remuneration, the Chairman’s Statement, the Chief Executive’s Review, the Financial Review and the Corporate
Governance 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.
81
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82
Auditors’ Report continued
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 Board Report on Remuneration 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 Board Report on Remuneration 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 Board Report on Remuneration to be audited.
OPINION
In our opinion:
• the financial statements give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting
Practice, of the state of the Group’s and the Parent Company’s affairs as at 31st December 2005 and of the Group’s
profit and cash flows for the period then ended; and
• the financial statements and the part of the Board Report on Remuneration to be audited have been properly prepared
in accordance with the Companies Act 1985.
PricewaterhouseCoopers LLP
Chartered Accountants and Registered Auditors
Liverpool
13th March 2006
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83
Notice of Annual General Meeting
NOTICE is hereby given that the Annual General Meeting of Johnson Service Group PLC will be held at Radisson SAS
Hotel, 107 Old Hall Street, Liverpool L3 9BD on Thursday 11th May 2006 at 3 pm.
The business of the meeting will be:
ORDINARY BUSINESS
To consider and, if thought fit, pass the following resolutions which will be proposed as Ordinary Resolutions:
1. To receive the financial statements for the year ended 31st December 2005 together with the reports of the 
Directors and the Auditors on those financial statements.
2. To approve the Board Report on Remuneration as set out on pages 71 to 80 of the 2005 Annual Report.
3. To confirm the payment of the interim dividend and to declare a final dividend.
4. To re-elect Mr. S. P. Sherrard as a Director.
5. To re-elect Mr. S. W. Graham as a Director.
6. To re-elect Mr. D. Bryant as a Director.
7. To re-elect Mr. M. R. B. Gatenby as a Director.
8. To re-appoint PricewaterhouseCoopers LLP as Auditors of the Company, to hold office until the conclusion of the
next general meeting at which accounts are laid before the Company and to allow their remuneration to be fixed by
the Audit Committee.
SPECIAL BUSINESS
9. To consider and, if thought fit, pass the following resolution as an Ordinary Resolution:
“That for the purposes of Section 80 of the Companies Act 1985 (“the Act”), the Directors of the Company be and
they are hereby generally and unconditionally authorised to exercise all powers of the Company to allot relevant
securities (as defined by Section 80(2) of the Act) to such persons at such times and on such terms and conditions 
as they may determine provided that:
(a) the aggregate of the nominal amount of such securities that may be allotted under this authority shall not
exceed £2,276,958; and 
(b) this authority shall expire at the conclusion of the next Annual General Meeting of the Company to be held
after the passing of this Resolution, save that the Company may before such expiry make any offer or
agreement which would or might require relevant securities to be allotted after such expiry and the Directors
of the Company may allot relevant securities in pursuance of any such offer or agreement as if the authority
conferred hereby had not expired and that any previous unutilised authorities under Section 80 of the Act
shall henceforth cease to have effect (save to the extent that the same is exercisable pursuant to section
80(7) of the Companies Act 1985 by reason of any offer or agreement made prior to the date of this
resolution which would or might require relevant securities to be allotted on or after that date); and 
(c) this authority is a substitution for any authority to allot relevant securities previously granted to the Directors
of the Company, which is revoked, such revocation not to have retrospective effect.”
10. To consider and, if thought fit, pass the following resolution as a Special Resolution:
“That subject to the passing of the Ordinary Resolution (numbered 9 in this notice of Annual General Meeting of
the Company) the Directors of the Company be and they are hereby empowered pursuant to Section 95 of the
Companies Act 1985 (“the Act”):
(i) to allot equity securities (as defined by Section 94(2) of the Act for the purposes of Section 89 of the Act) for
cash pursuant to the authority conferred by the previous Resolution; and
(ii) to allot equity securities as defined in Section 94(3A) of the Act,
in either case, as if Section 89(1) of the Act did not apply to any such allotment provided that this power shall
be limited:
(a) to the allotment of equity securities in connection with an offer or issue to or in favour of holders of Ordinary
shares in the capital of the Company on the register on a date fixed by the Directors. Where the equity
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84
Notice of Annual General Meeting continued
securities respectively attributable to the interests of all holders of Ordinary shares in the capital of the
Company are proportionate (as nearly as may be) to the respective numbers of shares held by them on that
date provided that the Directors of the Company may make such exclusions or other arrangements to deal
with any legal or practical problems under the laws of any territory or the requirement of any regulatory 
body or any stock exchange or with fractional entitlements as they consider necessary or expedient; and
(b) to the allotment (otherwise than pursuant to sub paragraph (a) above) of equity securities up to an 
aggregate nominal amount of £294,256 (being 5% of the Company’s issued Ordinary share capital as at 
13th March 2006), 
and that the authority contained in this Resolution shall expire at the conclusion of the next Annual General
Meeting of the Company or, if earlier 15 months after the passing of this Resolution save that the Company may
before such expiry make an offer or agreement which would or might require equity securities to be allotted after
such expiry and the Directors of the Company may allot equity securities in pursuance of such offer or agreement
as if the power conferred hereby had not expired. All previous authorities under Section 95 of the Act shall cease
to have effect.”
11. To consider and, if thought fit, pass the following resolution as a Special Resolution:
“That, in accordance with article 8 of the articles of association of the Company and Part V of the Companies Act
1985 (the “Act”), the Company be and is hereby granted general and unconditional authority (pursuant to section
166 of the Act) to make market purchases (as defined in section 163 of the Act) of any of its own Ordinary shares 
of 10p each on such terms and in such manner as the Board of Directors of the Company may from time to time
determine provided that:
(a) the maximum number of Ordinary shares that may be purchased under this authority is 5,885,122;
(b) the maximum price which may be paid for an Ordinary share is an amount equal to not more than 105% of the
average of the middle market quotations for the Ordinary shares as derived from the London Stock Exchange
Daily Official List for the five business days immediately preceding the day on which the purchase is made
exclusive of attributable expenses payable by the Company (if any);
(c) the minimum price which may be paid for an Ordinary share is 10p exclusive of attributable expenses payable
by the Company (if any); and 
(d) unless previously revoked or varied, the authority conferred by this Resolution shall expire at the conclusion 
of the next Annual General Meeting of the Company held after the passing of this Resolution except that the
Company may, before such expiry, enter into a contract for the purchase of its own Ordinary shares which 
may be completed or executed wholly or partly after the expiration of this authority.” 
All Shareholders will find enclosed with this document a form of proxy to be used in connection with the AGM. 
A member entitled to attend and vote at the meeting may appoint a proxy to attend and, on a poll, vote in his stead.
The proxy need not be a member of the Company.
By Order of the Board
Yvonne M. Monaghan, Secretary
Mildmay Road, Bootle, Merseyside L20 5EW 
4th April 2006
JSG028_AR_2005 p62-end  30/3/06  09:33  Page 84 NOTES
1) The form of proxy is enclosed. The form of proxy and power of attorney or other authority, if any, under which it 
is signed or a notarially certified copy of such power of authority must be received by the Company’s registrars,
Capita Registrars, The Registry, 34 Beckenham Road, Beckenham, Kent BR3 4BR not later than 48 hours prior to
the commencement of the Annual General Meeting. Completion of the form will not prevent you from attending
and voting at the meeting instead of the proxy, if you wish.
2) CREST members who wish to appoint a proxy or proxies by utilising the proxy voting service may do so for the
meeting (and any adjournment thereof) by following the procedures described in the CREST Manual. CREST
Personal Members or other CREST sponsored members (and those CREST members who have appointed a voting
service provider) should refer to their CREST sponsor or voting service provider, who will be able to make the
appropriate action on their behalf.
In order for a proxy appointment made by means of CREST to be valid, the appropriate CREST message (a “CREST
Proxy Instruction”) must be properly authenticated in accordance with CRESTCo’s specifications and must contain
the information required for such instructions, as described in the CREST Manual. The message (regardless of
whether it relates to the appointment of a proxy or to an amendment to the instruction given to a previously
appointed proxy) must, in order to be valid, be transmitted so as to be received by the issuer’s agent (ID “RA10”) 
by the latest time(s) for receipt of proxy appointments specified in, or in a note to, the notice of meeting. For this
purpose, the time of receipt will be taken to be the time (as determined by the timestamp applied to the message
by the CREST Applications Host) from which the issuer’s agent is able to retrieve the message by enquiry to CREST
in the manner prescribed by CREST.
CREST members (and, where applicable, their CREST sponsors or voting service providers) should note that
CRESTCo does not make available special procedures in CREST for any particular messages. Normal system timings
and limitations will therefore apply in relation to the input of CREST Proxy Instructions. It is the responsibility of
the CREST member concerned to take (or, if the CREST member is a CREST personal member or sponsored
member or has appointed a voting service provider, to procure that his CREST sponsor or voting service provider
takes) such action as shall be necessary to ensure that a message is transmitted by means of the CREST system 
by any particular time. In this connection, CREST members (and, where applicable, their CREST sponsors or voting
service providers) are referred, in particular, to those sections of the CREST Manual concerning practical limitations
of the CREST system and timings.
The Company may treat as invalid a CREST Proxy Instruction in the circumstances set out in Regulation 35(5)(a) 
of the Uncertificated Securities Regulations 2001.
3) The following documents will be available for inspection at the Registered Office of the Company during normal
business hours on any business day from the date of this Notice until the close of the meeting and at the place 
of the meeting for 15 minutes prior to and during the meeting: 
3.1) the Register of Directors’ interests kept by the Company under Section 325 of the Companies Act 1985; 
3.2) copies of all service contracts between the Directors and the Company together with other appropriate
documentation; and 
3.3) copies of the terms and conditions of appointment of the Non-Executive Directors.
4) Pursuant to Regulation 41 of the Uncertificated Securities Regulations 2001, the Company specifies that only
those shareholders registered in the Register of Members of the Company as at 6.00pm on 9th May 2006, or in
the event that the Meeting is adjourned, in the Register of Members 48 hours before the time of any adjourned
meeting, shall be entitled to attend or vote at the Meeting in respect of the number of shares registered in their
name at the relevant time. Changes to entries on the Register of Members after 6.00pm on 9th May 2006 or, in 
the event that the Meeting is adjourned, less than 48 hours before the time of any adjourned meeting, shall be
disregarded in determining the rights of any person to attend or vote at the Meeting.
5) In accordance with the Companies Act 1985, directors of listed companies are required to prepare a remuneration
report which must be approved by the members of the Company at the meeting at which the Company’s annual
accounts are to be laid. Therefore, it is proposed that the Board Report on Remuneration for the financial year
ended 31st December 2005, as set out on pages 71 to 80 of the Company’s Annual Report, be approved.
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Notice of Annual General Meeting continued
The Remuneration Report contains inter alia details of the Directors who were members of the Remuneration
Committee, a forward looking statement of the Company’s policy on Directors’ remuneration for subsequent
financial years, a performance graph showing the Company’s total shareholder return and the return on the FTSE
Small Cap Index, excluding investment trusts and FTSE Support Services Index, details of the Directors’ service
contracts and specific disclosures relating to each Director’s remuneration.
Resolution 2 will be proposed as an Ordinary Resolution to approve the Board Report on Remuneration.
6) Biographies of Mr. Sherrard, Mr. Graham, Mr. Bryant and Mr. Gatenby can be found on page 25 of the 2005 
Annual Report.
7) Explanation of Special Business
7.1) Renewal of Directors’ authority to allot shares and disapplication of pre-emption rights
At the Annual General Meeting held on 11th May 2005 the Directors were empowered to allot shares and, in
certain circumstances, to allot shares for cash otherwise than pro rata to existing shareholdings. Resolutions 
9 and 10 seek approval for the renewal of such authorities.
Resolution 9 seeks approval for the renewal of the Directors’ authority to allot relevant securities in
accordance with Section 80 of the Companies Act 1985. The authority will be limited to an aggregate nominal
value of £2,276,958 of Ordinary shares which represents approximately 38.7% of the Ordinary share capital in
issue at the date of this Notice. This limit comprises a number of Ordinary shares equivalent to approximately
one third of the Ordinary shares in issue as at 13th March 2006 plus a further number of Ordinary Shares set 
aside for issue on the exercise of outstanding share options, and is calculated in accordance with generally
accepted guidelines.
The Directors have no present intention of exercising this authority. This resolution will be proposed as an
Ordinary Resolution.
Resolution 10 seeks approval for the renewal of the Directors’ power to allot equity securities for cash other
than by way of a rights issue or other offer to Shareholders or for the purpose of the Group’s share option
schemes. If approved, Resolution 10 will authorise the Directors to issue shares in connection with a rights
issue and otherwise to issue shares for cash up to a nominal amount of £294,256 which includes the sale on a
non pre-emptive basis of any shares the Company holds in treasury for cash. The £294,256 nominal amount
of equity securities to which this authority relates represents approximately 5% of the issued share capital of
the Company as at 13th March 2006.
The authority given under Resolutions 9 and 10 will lapse at the conclusion of the next Annual General 
Meeting of the Company.
The renewal of the authority to allot shares in the Company will enable your Board to take full advantage of
any business or financing opportunities which may arise in the future. Your Board also considers it desirable
that the Company should, in certain circumstances, have the ability to issue shares for cash other than on a
pro rata basis.
7.2) Renewal of Company’s authority to purchase Ordinary shares
A Special Resolution (numbered 11) will be proposed to seek renewal of the authority for the Company to make
market purchases of up to 5,885,122 Ordinary shares, representing 10% of the Company’s issued Ordinary
share capital as at 13th March 2006.
The price paid for shares will not be less than the nominal value of 10p per share nor more than 5% above 
the average of the middle-market quotation of the Company’s ordinary shares as derived from the London
Stock Exchange Daily Official List for the five business days immediately preceding the day on which the
shares are purchased.
The authority given under this Resolution will lapse, unless renewed, at the conclusion of the next Annual
General Meeting of the Company. It is the present intention of the Directors to seek renewal of this authority
annually. The Directors have no present intention of purchasing Ordinary shares in the market.
Renewing the authority for the Company to purchase Ordinary shares in the market will allow your Board to
take advantage of any opportunities that may arise to increase Shareholder value.
JSG028_AR_2005 p62-end  30/3/06  09:33  Page 86 The power given by this Resolution will only be exercised if the Directors are satisfied that any purchase will
increase the earnings per share of the Ordinary share capital in issue after the purchase and, accordingly, that
the purchase is in the interests of Shareholders. The Directors will also give careful consideration to gearing
levels of the Company and its general financial position. The purchase price would be paid out of distributable
profits. The total number of options to subscribe for Ordinary shares that were outstanding at 13th March
2006 (being the latest practicable date prior to publication of this Notice) was 4,925,515. The proportion of
issued share capital that they represented at that time was 8.4 per cent and the proportion of issued share
capital that they will represent if the full authority to purchase shares (existing and being sought) is used is
9.3 per cent. With effect from 1st December 2003 the Companies (Acquisition of Own Shares) (Treasury
Shares) Regulations 2003 (the “Regulations”) enables certain listed companies to hold shares in treasury as
an alternative to cancelling them following a purchase of own shares by the company in accordance with the
Companies Act 1985.
Shares held in treasury may subsequently be cancelled, sold for cash or used to satisfy share options and
share awards under the Company’s Employees’ Share Schemes.
Once held in treasury, the Company is not entitled to exercise any rights, including the right to attend and
vote at meetings in respect of shares. Further, no dividend or other distribution of the Company’s assets may
be made to the Company in respect of the treasury shares.
If the Directors exercise the authority conferred by Resolution 11, they will consider holding those shares in
treasury, rather than cancelling them. The Directors believe that holding shares in treasury would provide the
Company with greater flexibility in the management of its share capital.
Although none of the investor groups has yet issued any guidelines in relation to the purchase, holding or
resale of treasury shares, your Board will have regard to any such guidelines which may be in force at the time
of any such purchase, holding or re-sale of treasury shares.
7.3) Voting
Your Directors consider the passing of Resolutions 9, 10 and 11 to be in the best interests of the Company and
its Shareholders and accordingly recommend that you vote in favour of these Resolutions as they intend to do
in respect of their own shareholdings.
ELECTRONIC COMMUNICATIONS
The Company offers Shareholders the opportunity to receive communications such as notices of Shareholder meetings
and the annual report and accounts electronically. The Company encourages the use of electronic communication as, 
not only does it save the Company printing and mailing costs, it is also a more convenient and prompt method of
communication.
If you decide to receive communications electronically, you will be sent an e.mail message each time a new
Shareholder report or notice of meeting is published. The e.mail will contain links to the appropriate website 
where documents can be viewed. It is possible to change your instruction at any time by amending your details 
on the register.
If you would like to receive electronic communications, you will need to register your e.mail address by accessing the
Shareholder Services page within the Investor Relations section of the Company’s website at www.johnsonplc.com.
This will link you to the service offered by the Company’s Registrar. If you decide not to register an e.mail address 
with the Registrar, you will continue to receive all communications in hard copy form.
Those Shareholders who are CREST members and who wish to appoint a proxy or proxies utilising the proxy voting
service please refer to Note 2 of the Notice of Annual General Meeting.
If you have any queries regarding electronic communications, please contact the Company’s registrar, 
Capita Registrars, on 0870 1623100.
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Notes
JSG028_AR_2005 p62-end  30/3/06  09:33  Page 88 We would like to thank all the Group employees who are featured in this year’s Annual Report – James Cronshaw, 
Ray Twigg, Kevin Brookes, Justine Beeson, Beryl Rogers, Karen Tierney, Balbir Khera and Hannah Blackmore.
With special thanks to Nunsmere Hall Hotel, Boots Group PLC, Top Shop, Surrey Ambulance Service NHS Trust, 
HBOS plc, The Carphone Warehouse Group PLC, The Royal Hotel Cardiff, Enham Alamein and Cyrus Todiwala, 
owner of Café Spice Namasté.
Designed and produced by Barrett Howe Plc.
The paper used for this document was produced at a mill with ISO 14001 environmental accreditation. 
Printed in England, using vegetable based inks, by Royle Corporate Print, a company accredited to the ISO 14001
environmental management system.
JSG028_AR_2005 p62-end  30/3/06  09:33  Page 89 Johnson Service Group PLC
Annual Report 2005
www.johnsonplc.com
Johnson Service Group PLC Annual Report 2005
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