GSH GROUP
Annual Report and Accounts
for the year ended 31 July 2003
GSH GROUP Annual Report and Accounts for the year ended 31 July 2003
GSH Group Limited
GSH House
Forge Lane
Stoke-on-Trent
ST1 5PZ
Tel: +44 (0) 1782 200400
Fax: +44 (0) 1782 408822
www.gshgroup.com Contents
01 Operational and Financial Highlights
02 Our Group at a Glance
04 Chairman’s Statement
05 Chief Executive’s Review
07 Financial Review
08 Case Study – Land Securities Trillium
Department for Work and Pensions
10 Case Study – T -Mobile
12 Case Study – Hewlett-Packard
14 Executive Board
15 Senior Management
17 Directors’ Report
19 Directors’ Responsibilities in the Preparation 
of Financial Statements
20 Independent Auditors’ Report to the Members of 
GSH Group Limited
21 Consolidated Profit and Loss Account
22 Consolidated Statement of Total Recognised Gains 
and Losses
23 Consolidated Balance Sheet
24 Balance Sheet
25 Consolidated Cash Flow Statement
26 Reconciliations of Movements in Shareholders’ Funds
27 Accounting Policies
30 Notes to the Financial Statements
44 Advisors
GSH Group provides facilities management and energy management services,
principally to large commercial and governmental organisations. 
The Group has a well-established track record in the management of large,
complex contracts, requiring superior service levels and has a reputation 
for service excellence and innovation. 
GSH’s client base is exceptional and includes:  GSH Group Annual Report and Accounts 2003  01
Financial Highlights
■ Profit before tax rose by 20% to £2.9m
■ Record level of new business signed at £100.6m
■ Turnover increased to £86.1m – despite streamlining of portfolio
■ Net cash balances strong at £3.8m
■ Order book increased to £435m
2003: £86.1m
2002: £81.0m
Turnover 
2003: £2.9m
2002: £2.4m
Profit Before Tax 
Operational Highlights
■ Contract base growing strongly:
new wins include Hewlett-Packard and Diageo,
consultancy work for Office of Public Works, Ireland.
■ Continuing success in contract extensions and rebids: 
Department for Work and Pensions / Land Securities Trillium 
contract extended by 14 years, 
Marks & Spencer contract expanded to include NW region. 
■ Excellent progress at new division, energyplus.
■ Bidding for contracts worth in excess of £300m. Our Group at a Glance
GSH’s core strengths lie in its professional 
skills and cutting edge technology.
02 GSH Group Annual Report and Accounts 2003
Our Offer
GSH is a leading provider of facilities management services
in the UK. The Group operates from a network of offices
across Great Britain and Ireland and undertakes every
aspect of facilities management, tailoring contracts to
clients’ individual requirements. GSH also has a presence 
in the United States and Continental Europe.
The Group advises clients in a range of sectors, including
banking, industrial, retail, media, telecomms and 
manufacturing as well as governmental. Our contracts are
scaleable and we also offer existing customers an innovative
energy management service, which provides guaranteed 
savings on energy expenditure. 
Our expertise is based on substantial experience and 
knowledge of clients’ requirement and we have a well-
established reputation for delivering first class service levels.
The range of services we offer encompasses: 
■ Building Engineering
■ Energy Management
■ Environmental Services
■ Fabric Maintenance
■ Helpdesk
■ Landscaping
■ Security
■ Specialist & General Cleaning
■ Waste Management
Training & Staff Development
We place great importance on staff development and GSH was
one of the first facilities management companies to attain an
Investors in People accreditation. We pay considerable attention
to training at all levels in the Group, from graduate level through
to management, so that employees are able to develop their 
skills in a structured way. We also provide one of the best 
trade apprenticeship training programmes in our industry. 
Our culture fosters professionalism and integrity and we 
were delighted when a recent Investors in People assessment
praised our “innovative programme”.  Our Technology
Over recent years, we have made significant investment in 
our operating systems and have adopted and integrated
new technologies. 
Our clients now benefit from tailored solutions that utilise the
latest information and communication technology. Management
information is held in real-time and can be accessed remotely
via a secure on-line connection. Wireless hand-held devices
enable both our staff and clients to retrieve information and
update files whenever and wherever it is required. 
We believe our powerful combination of exceptional people and
cutting edge technology will continue to ensure that our service
levels remain the highest in our industry. 
Lying at the heart of GSH’s systems is Maximo. Delivered 
over a dedicated and private data network, contract data 
is available to staff, operatives and clients alike.
GSH Group Annual Report and Accounts 2003  03
Vehicle Management 
GSH tracks its fleet of operatives’ vehicles via a Global
Positioning System (GPS). This enables our helpdesk to rapidly
locate engineers by skill and proximity to a work request. As
well as speeding up our response times, we can also provide
clients with estimated times of arrival and other key benefits.
With effective logistics management, our vehicle tracking
capability also means that we can reduce our own operational
costs. All in all, this makes the GSH mobile fleet more efficient
and more cost effective.
2003: Award for Information and 
Communications Technology The Group has made excellent progress during the year and 
I am pleased to be able to report another strong set of results.
Results
For the year ended 31 July 2003, operating profit rose by 18% 
to £2.96m (2002: £2.50m) and profit before tax by 20% to
£2.87m (2002: £2.38m), maintaining our record of consistently
high profit growth. While turnover increased by 6% to £86.13m
(2002: £80.98m), this increase does not reflect the Group’s
underlying rate of growth, since we withdrew from a number 
of contracts over the period. This streamlining of our portfolio
followed a review of our contract base to ensure that all contracts
generate an acceptable level of return. GSH’s underlying rate of
growth was significant, with a total of £100.6m of new business
secured during the year. At the year end, our order book stood at
approximately £435m.
During the twelve months, pre-tax margin strengthened to 3.3%,
compared to 2.9% for the previous year. Our cash position
remains very healthy, with net cash balances at £3.8m at the 
year end. 
Operations
The year has seen the Group take some significant steps forward.
We have secured a number of important new contract wins and
customer retention remains very high. Reflecting the success we
have achieved in both expanding the scope of our contracts and
extending average contract terms, we have reorganised the way 
in which we support major clients. All major clients are now
managed by dedicated Key Account Directors. This enables us 
to provide superior service levels and sets the basis for a closer
working partnership. 
We have continued to add to the range of services we offer 
our clients. Our energyplus business, introduced two years ago,
continues to grow strongly. From a standing start, the business
which enables our clients to take advantage of significant cost
savings on their energy expenditure with no loss in efficiency, 
now represents a meaningful proportion of Group turnover. 
The service has potential for our entire customer base and 
we therefore expect its growth rate over the next few years 
to remain high. We have therefore decided to manage energyplus
separately with representation at Group level. The benefits of our
investment in new IT systems in 2001/02 and new IT initiatives
over the year have been very much in evidence. Our systems not
only provide us with the most up-to-date information in real time
but also enable our clients to access management information via
our in-house developed portal. We firmly believe our emphasis on
using the latest information and communication technology helps
to underpin our high service standards as well as ensure that we
operate with maximum efficiency as a Group. We view staff
training and product innovation in the same light and these will
remain cornerstones of our growth plans. 
The Future 
The Group’s history goes back to 1895 when my grandfather
started the business. Now, over 100 years later, I am proud to be
able to say that GSH has established itself as a leading provider of
facilities management services in the UK, providing consistently
superior service levels. Our client base today, which includes many
leading blue chip companies, such as Land Securities Trillium,
Hewlett Packard and HBOS, reflects our increasing success. It is
also pleasing to note that our growth to date has been achieved
organically.
The Group’s prospects remain very encouraging. Outstanding bids
at present total in excess of £300m and we are ahead of targeted
revenue growth for 2004. In particular, energyplus represents an
exciting new income stream and we expect it to continue to grow
vigorously. This, together with our record of success in winning
new bids and the highly visible nature of our earnings, gives me
great confidence of reporting another year of excellent progress. 
Finally, I would like to thank all our staff for their energy and
commitment over the year. GSH’s continuing success is based 
on their hard work and contribution. 
Ian Scarr-Hall
Chairman
Chairman’s Statement
“The Group has made excellent progress during the year, 
with profit before tax rising by 20%. ”
04 GSH Group Annual Report and Accounts 2003
2003 Achievements
■ Excellent organic growth.
■ Profit before tax up by 20% to £2.9m.
■ Record level of new business secured over year.
■ Very healthy order book at £435m at 31 July 2003.
■ Prospects remain very encouraging. Introduction
The year to 31 July 2003 saw continuing strong organic growth
across all our markets and our excellent results maintain our
track record of double-digit profit growth. Over the period, we
secured 319 new contracts, worth approximately £100.6m in
total and maintaining our target of winning one in three new
bids. The total number of contracts the Group now manages
stands at 1,731. 
Significant new contract wins include, Hewlett-Packard, Diageo,
Hilton Hotels and the Office of Public Works in Ireland which
covers 7million sq ft of government buildings.
Our success in the management of clients’ complex service
requirements is reflected in our high level of contract retentions
and extensions. HBOS has extended its partnership with us to
the end of 2006. We now manage over 2million sq ft of HBOS
properties in England, Wales and Ireland. Our contract with T-
Mobile has been expanded to incorporate all of T-Mobile’s base
stations in over 6,000 locations. Marks & Spencer has expanded
our portfolio to include the North West region in addition to the
Midlands, Wales, Scotland and Ireland, taking the total number
of stores that we manage to over 190. Our work with Land
Securities Trillium for the Department for Work and Pensions
has been highly successful and reflecting this, our contract has
been extended to a new term of 14 years. 
Business Development
Our focus remains on enhancing our service offering and 
its delivery and, during the year, we introduced a number 
of important new initiatives in both these areas. 
Reorganisation
An important operational change this year was the roll out of
Dedicated Client Teams across all our major contracts. These
Teams, headed by Key Account Directors, complement our
existing service network. Each Team operates with a high
degree of autonomy and is well positioned to manage contracts
on any scale, national or international. Most importantly, this
approach promotes a closer working relationship with our major
clients and feedback has been very positive indeed. Clients who
now benefit from this new approach include British Airways
Avionic Engineering, Merrill Lynch and Tesco.
New Services
The year saw us continue to make very good progress in further
enhancing the range of services we offer. While we continue to
use sub-contractors to deliver certain services, we now provide 
a wider range of services as principal, allowing for margin
improvement. Reviewing our progress over the year, it has been
encouraging to see that a significant portion of our growth has
been as a result of add-ons to existing contracts and I expect 
the increasing breadth of our service offering to support our
success in this area. 
Our energy management service, energyplus, which we
introduced as a branded product two years ago, continued 
to make excellent progress over the period. The service 
enables us to offer clients significant cost savings on their
energy expenditure as well as other benefits. Savings, which 
we can guarantee, are achieved using our expertise in
engineering and property & asset management. Clients benefit
not only from reduced energy costs but also higher service
standards, which invariably exceed recognised ‘best practice’. 
We are very excited by the tremendous growth potential of
energyplus and over the year secured new contracts worth a
total of £4.4m. Our energyplus clients now include Carpetright,
Sheraton Hotels and American International University.
Chief Executive’s Review
“I am excited at the opportunities ahead and confident 
that we will achieve our objectives in the coming year.”
GSH Group Annual Report and Accounts 2003  05
2003 Achievements
■ Significant wins include: Hewlett Packard, HBOS and New Jersey Transit Company.
■ High level of contract extensions, including Marks & Spencer and T -Mobile.
■ Continuing excellent growth of energyplus, our energy management service.
■ Product offering enhanced.
■ Ahead of target revenue growth for 2004. Technology and Staff Training
We have always believed that in order to deliver first class
service levels and ensure a solid platform for continuing
successful growth, it is important to invest in new technology
and staff development.
The new ICT systems implemented over the last financial year
are now yielding real benefits. We have continued with our
programme to enhance functionality and, during the period,
introduced new initiatives. Our data gathering and analysis has
been strengthened, enabling us to mobilise new contracts 
faster and improve asset lifecycle management. Operational
information is now available in real-time and access is more
flexible. Information can be delivered via hand-held computers,
extranets and our global wide area network. This means that, 
at the point of delivery, the most current information is always
to hand. We have also enabled our clients to access
management information via our portal, improving visibility 
of our service delivery. In October 2003, we were delighted 
to appoint Maxwell Segal as Group Technology & Innovations
Director. Maxwell, who joined GSH in 2001 and has over 24
years of IT experience, is now responsible for the design, 
delivery and maintenance of the Group’s ICT strategy. 
As an Investors in People accredited Group, we focus on
training at all levels within the Group. Our fast-track graduate
development programme attracted some excellent candidates
this year and continues to provide the platform of opportunity
for ambitious young professionals. Alongside this, our
management development programme enables our employees
to develop their skills in a structured way, with all the necessary
support and guidance. 
Awards 
In October 2003, we were delighted to win the IMBM British
Building Maintenance Award 2003 for Energy Management.
Our service was commended for its innovation and high levels 
of customer satisfaction. During the period under review, we
also received our ISO 14001 accreditation and the prestigious 
Energy Star Partnership award (a symbol often seen on white
goods). We are one of the first companies in our industry to
receive this recognition.
Prospects
Much has been achieved during the year in all aspects of the
business. I am very pleased with the significant contract wins
we have made, the Group’s level of profitability and the overall
shape of the business. The management team is highly
experienced and our operational and administrative teams
second to none.
With our strong operational delivery, tight financial controls and
importantly, excellent client base, we have a strong platform to
build on going forward.
Our strategy is to continue to establish long-term relationships
with blue chip clients. We will continue to differentiate
ourselves by our innovative use of technology and our
energyplus programme. We remain totally committed to
developing long-term, multi service contracts throughout 
our geographic marketplaces.
I am excited at the opportunities ahead and confident that we
will achieve our objectives in the coming year. With our range 
of product offering and geographical coverage, I believe we are
ideally placed to take full advantage of the expanding facilities
management marketplace.
Colin Tennent
Chief Executive Officer
Chief Executive’s Review cont.
“I am very pleased with the significant contract wins we have
made, the Group’s level of profitability and the overall shape
of the business.”
06 GSH Group Annual Report and Accounts 2003 As reported in the Chairman’s Statement, the Group continues 
to show healthy financial results, with turnover increasing to
£86.1m. All geographic sectors contributed to this growth.
Tight control of our overheads saw administration costs increase
by less than 1% despite continued investment in our IT
infrastructure as well as in staff training and development. As a
result, the 6% increase in turnover translated into a 20% increase
in profit before tax at £2.9m (2002: £2.4m). 
Our continued emphasis on working capital management and
cash collection has again shown healthy cash inflow from
operations of £3.8m. The Group’s net cash position is £3.8m and,
for the sake of flexibility, bank overdraft facilities are maintained
across the Group.
Treasury management 
The Group funds its ongoing activities through cash generated
from its operations. The cash flow is analysed in detail in Note 
19-21 to the accounts.
The Group finance function is responsible for treasury
management throughout the Group’s operations. The cash flow
dynamics are such that, even with significant growth, there is an
overall inflow of cash. Strong cash collection processes ensure that
this is maintained. It is our policy to pay all suppliers to agreed
credit terms.
The Group’s business does not involve any material cross-border
trade and, accordingly, there is no material exposure to any foreign
currency transaction risk.
Inflation is covered through trade relevant escalation clauses within
contracts or part of specific contract pricing agreements.
Taxation
The Group’s effective tax rate, including deferred taxation, in 2003
was 34%. The variation between this and the UK corporation tax
rate of 30% is explained in Note 6 to the accounts.
Dividends
For the year to 31 July 2003, a total of £0.8m was paid to
shareholders. No dividend was paid in the prior financial year.
Pensions
The Group operates various pension schemes in the operating
Divisions. In terms of employee membership, 94% of the
employees are members of, or eligible to join, money purchase
schemes. The remaining 6% is covered by two defined benefits
schemes. These are included within contractual agreements with
clients and are part of the relevant contract pricing structure. As
such, they hold no material risk to the Group.
Staff and Systems
Our ability to manage complex facilities management contracts is
a key strength of the Group. It is therefore important for me as
Chief Financial Officer to ensure this whole process is underpinned
by an experienced financial team, working within a framework of
tight financial controls, relevant policies and robust systems. 
All the finance and accounting for GB and Ireland is performed 
at our head office in Stoke-on-Trent. For good practice reasons, 
the Finance Directors for Continental Europe and USA have local
structures based in Rotterdam and New Jersey respectively. 
The Group Finance function performs an overall control and
management function as well as supporting the Executive 
Board in achieving its profit and growth plans. 
Our finance systems and controls are strong and integrated 
with operations. Furthermore, our finance staff have energy 
and experience. We are positioned well to play our part in the 
further growth of the Group. 
David Simons
Chief Financial Officer
Financial Review
“The Group continues to show healthy financial results, 
with all geographic sectors contributing to growth.”
GSH Group Annual Report and Accounts 2003  07
2003 2002
Turnover £86.1m £81.0m
Operating profit £3.0m £2.5m
Profit before tax £2.9m £2.4m
Pre-tax margin 3.3% 2.9%
Dividend paid 80p – 08 GSH Group Annual Report and Accounts 2003 Our Client 
Land Securities Trillium
Part of Land Securities Group plc, Land Securities Trillium is 
one of the UK’s leading providers of total property outsourcing
solutions.  
The Department for Work and Pensions 
The Department for Work and Pensions aims to promote
opportunity and independence for all. It delivers support and
advice through a modern network of services to people of
working age, employers, pensioners, families and children and
disabled people. The Department includes JobCentre Plus, The
Pension Service, The Child Support Agency, The Disability and
Carer Service and The Appeals Service. It has the largest civil
estate in the government.
Background
In 1998, the Department for Work and Pensions transferred 
the ownership and management of almost all of its estate 
to Land Securities Trillium in an agreement known as PRIME
(Private sector Resource Initiative for the Management of the
Estate). The 20 year contract was a ground-breaking initiative 
as the first contract of its type in the UK.
Our Services
GSH was selected by Land Securities Trillium as a service partner
and our initial contract in 1998 covered 270 sites, representing
a third of the Department for Work and Pensions’ total
portfolio. Now, six years on and at the end of our first term,
GSH’s contract has been extended for a further 14 years. 
Land Securities Trillium has also expanded the scope of our
activities to include an additional 230 sites, taking the total
number of properties under GSH’s care to in excess of 500.
These properties include some of the Department for Work
and Pensions’ former Employment Services sites and its
flagship buildings in Leeds, Edinburgh and Glasgow.  
Scope of services
We provide a range of services including mechanical and
electrical engineering, landscaping and grounds maintenance.
We also provide a 24-hour helpdesk.
Benefits
Our services bring considerable benefits, reducing occupancy
costs and enabling more accurate budgeting on the back of
predictable future property costs as well as continuing to drive
customer service through investment in people and systems.
Land Securities Trillium
Department for Work and Pensions
GSH Group Annual Report and Accounts 2003  09 10 GSH Group Annual Report and Accounts 2003 Our Client
T-Mobile UK is part of T-Mobile International, one of the 
largest mobile telecommunications companies in the world. 
Our Services 
We provide facilities management services for T-Mobile’s 
base stations and switch stations in the UK and also for
property in the Netherlands. 
Our relationship commenced in 2000, when we were awarded
a contract to provide services to T-Mobile’s portfolio in the
North of England. In 2002, the contract was expanded to
include all T-Mobile’s main switch sites in the UK and then
further extended to incorporate all T-Mobile’s base stations 
in the UK. We currently manage approximately 6,000 base
stations in total. 
Our service is critical to T-Mobile’s operations since its base
stations transmit signals across the T-Mobile network. It is
therefore vital that we operate at an exceptionally high
standard, with rigorous forward planning and highly 
effective delivery.
Scope of Services
We provide T-Mobile with mechanical and electrical engineering
services. These are delivered on a 24 hour/ 365 day basis. 
We are also responsible for landscaping at all T-Mobile sites.
Benefits to T-Mobile
T-Mobile benefits from improved network resilience and 
reduced costs.
T-Mobile
“GSH provides a market leading service for T-Mobile – ensuring
our network is functional and making best use of our assets. ”
GSH Group Annual Report and Accounts 2003  11 12 GSH Group Annual Report and Accounts 2003 Our Client
Hewlett-Packard, which incorporates Compaq, provides world
leading technology solutions to consumers, businesses and
institutions globally. 
Our Services
Hewlett-Packard has a mixed and complex property portfolio,
consisting of 30 sites across the UK and Ireland, including
manufacturing plant, offices, two 24-hour call centres and 
a mission critical data centre. 
Before GSH’s appointment, Hewlett-Packard’s portfolio was
managed by a large number of different agents, both third
party and in-house. 
GSH was selected to provide a full range of facilities
management services across Hewlett-Packard’s entire estate 
in the UK and Ireland. The account was mobilised very rapidly in
approximately 6 weeks, including the compilation of a register
of over 10,000 items of plant. GSH has now established a very
close working partnership with Hewlett-Packard and is
delivering a highly effective ‘one-stop shop’ solution.
Scope of Services
The wide range of services we provide includes mechanical and
electrical engineering, fabric maintenance, water treatment and
landscaping. We also provide a 24-hour helpdesk. 
Benefits to Hewlett-Packard 
We are facilitating Hewlett-Packard’s objective of using support
companies to deliver improved services and drive efficiencies.
Our ability to service Hewlett-Packard’s entire estate has 
brought significant advantages, including a single point of
contact and consistency in service delivery and standards.
Hewlett-Packard
“Hewlett-Packard was delighted to award this contract 
to GSH and have been very pleased with GSH’s overall
performance and results.”
GSH Group Annual Report and Accounts 2003  13 Executive Board
14 GSH Group Annual Report and Accounts 2003
Ian Scarr-Hall, Chairman 
Ian Scarr-Hall, aged 65 years, joined GSH in 1954 
and was appointed a director of the Group in 1968. 
In 1982, he was appointed Chairman and Managing Director.
He is a fellow of the Chartered Institution of Building Service
Engineers, a member of the European Federation of National
Engineering Associations (FEANI), a fellow of the Institution of
Mechanical Engineers and a member of the Institutes of Energy
and Chartered Engineers. 
Colin Tennent, Chief Executive Officer
Colin Tennent, aged 39 is a Chartered Engineer and member
of the Institute of Energy. Colin joined the Group in 1988 and
in 1991 became Regional Director of Scotland and a member
of the main Board. In 1997, he moved to New Jersey as
President of the Group’s US operations. Colin returned to 
the UK in 2000 to become Chief Executive Officer.
David Simons, Chief Financial Officer
David Simons, aged 51 years, has substantial financial
management and management consultancy experience, both in
facilities management and related industry sectors. He joined
GSH as Chief Financial Officer in 1999, having previously been
Finance Director at Atkins plc’s Property Division. He has also
held senior financial positions at Tarmac plc and Caradon plc.  Senior Management
GSH Group Annual Report and Accounts 2003  15
Gary Coyle, Group Operations Director 
Gary Coyle, aged 36 years, joined GSH 10 years ago and 
has held a number of management roles. He has a strong 
track record in delivering operational efficiency throughout all
aspects of the business. In February 2003, he was appointed 
to his current position, responsible for improving the efficiency
and effectiveness of service delivery throughout the Group.
Mark Thomas, Managing Director – Service
Mark Thomas, aged 43 years, joined the Group in September
2003 as Managing Director of the branch based mobile service
business in GB. His earlier career has been in the business
support services and facilities management sectors, where he
held senior management roles at Amey plc, Citex Group Ltd
and Drake & Scull FM.
Maxwell Segal, Group Technology and Innovations Director
Maxwell Segal, aged 45 years, has over 24 years of IT
experience and particular expertise in strategic IT design as 
well as the Group’s ICT strategy. He is responsible for delivering
operational and service innovation through technology.
Maxwell joined the Group in 2001 and has previously held
senior IT positions at Luxfer Group, British Aluminium, British
Alcan and Siemens. 
Christopher Kenneally, Managing Director – GB
Christopher Kenneally, aged 42 years, joined the Group 
in 2001 and was initially responsible for the expansion of 
our business in London and the South-East. In 2003, he was
appointed Deputy Managing Director of the Group’s core 
GB business, becoming Managing Director in June 2003. 
Chris previously held positions at board level at York
International, the Fortune 500 company, ADT Fire & 
Security plc and Caradon Gent Ltd.  Senior Management cont
16 GSH Group Annual Report and Accounts 2003
Ray Taylor, Managing Director – Ireland
Ray Taylor, aged 34 years, joined the Group in 1992 as a
Graduate Engineer and, after an initial training period in GB,
opened the start-up branch in Belfast in 1993. Ray subsequently
was directly responsible for the development of the Group’s
operations and its expansion in Ireland opening the Dublin
branch in 2001. Ray is currently Managing Director of the
Group’s operations in Ireland.
Frank Bosch, Managing Director – Continental Europe
Frank Bosch, aged 37 years, joined the Group in 1993 after
working as a Project Manager for Fokker Aircraft BV. Frank’s
initial role was as Manager of the start-up Dutch operation
based in Haarlem. Since then Frank has developed the Group’s
network of branches in the Netherlands and Belgium. Frank’s
current role is Managing Director, George Hall Europe.
Neil Murray, Managing Director – USA
Neil Murray, aged 30 years, joined GSH in 1998 as a
management trainee, having previously worked as an
operations manager for Stena Line. Neil opened the Group’s
operations in Dublin and was instrumental in establishing our
presence in the Republic of Ireland. In the Autumn of 2002,
Neil transferred to the USA. Neil’s current role is Managing
Director, GSH Inc – USA.
Christopher McLain, Managing Director – energyplus
Christopher McLain, aged 39 years, is responsible for the
development of the Group’s new energy management service,
energyplus. A Chartered Engineer, he joined the Group in 1987
and has substantial management and commercial experience
including overseas in the USA.  GSH Group Annual Report and Accounts 2003 17
Directors’ Report
The Directors submit their report and the Group financial statements of GSH Group Limited (formerly George S
Hall Limited) for the year ended 31 July 2003.
Principal Activities
The principal activity of the company is that of a holding company providing management services to its
subsidiary companies.
The principal activity of subsidiary undertakings is the provision of facilities management services and 
asset management.
On 15 April 2003 the company changed its name from George S Hall Limited to GSH Group Limited.
Results and Dividends
The Group trading profit for the year, after taxation, was £1,892,000 (2002: £1,104,000).
The Directors do not recommend the payment of a final dividend (2002: £nil) making a total for the year 
of £800,000 (2002: £nil) which leaves a profit of £1,092,000 (2002: £1,104,000) to be retained.
Review of the Business
A review of the business for the year ended 31 July 2003 is included within the Chairman’s Statement on 
page 4, the Chief Executive’s Review on page 5 and the Financial Review on page 7.
Political and Charitable Contributions
The Group made no political contributions during the year. Donations to UK charities amounted to £7,639
(2002: £6,993).
Market Value of Land and Buildings
The Directors are of the opinion that the market value of property at 31 July 2003 would significantly exceed
the net book value included in the financial statements, but they are unable to quantify this excess in the
absence of a professional valuation, the costs of which are not considered justifiable in view of the Group’s
intention to retain ownership of its existing property for use in its business for the foreseeable future.
Employee Involvement
The Group’s policy is to consult and discuss with employees matters likely to affect employees’ interests.
Information on matters of concern to employees is given through information bulletins and reports, which 
seek to achieve a common awareness on the part of all employees of the regular and frequent financial and
economic factors affecting the Group’s performance.
The Group’s policy is to recruit disabled workers for those vacancies that they are able to fill. All necessary
assistance with initial training courses is given. Once employed, a career plan is developed so as to ensure
suitable opportunities for each disabled person. Arrangements are made, wherever possible, for retraining
employees who become disabled to enable them to perform work identified as appropriate to their aptitudes.
Environmental Policy
The Group has been involved in the management, carriage and disposal of both special and non-special waste
for a number of years including waste management, recycling and management. As licensed waste carriers, 
the company provides 24 hour, year round service from experienced and dedicated personnel.
The Group is compliant with BS EN ISO 9001:2000 and ISO 14001 and can offer advice and bespoke reporting
as part of the service; the company can also help clients to achieve ISO 14001. Directors’ Report cont
The Group is fully committed to sustainable development and, where possible, strives to meet the UK
government objectives:
– Social progress which meets the needs of everyone
– Effective protection of the environment
– Prudent use of natural resources
– Maintenance of high and stable levels of economic growth and employment
The Group has developed a range of specialised services to help clients to achieve these objectives.
Directors
The following Directors have held office since 1 August 2002:
I Scarr-Hall
R Scarr-Hall
CR Tennent
D Simons
FO Bosch
Directors’ Interests in Shares and Debentures
Directors’ interests in the shares of the company were as follows:
2003 2002
Number Number
I Scarr-Hall – A ordinary shares of £1 each – 46,247
– Ordinary shares of 5p each 924,940 –
CR Tennent – A ordinary shares of £1 each – 251
– Ordinary shares of 5p each 5,020 –
D Simons – A ordinary shares of £1 each – 251
– Ordinary shares of 5p each 5,020 –
FO Bosch – A ordinary shares of £1 each – 251
– Ordinary shares of 5p each 5,020 –
None of the other Directors who held office at the end of the financial year had any disclosable interest in the
shares of Group companies.
According to the register of Directors’ interests, no rights to subscribe for shares in or debentures of the
company were granted to any of the Directors or their immediate families, or exercised by them, during the
financial year.
Auditors
Our auditors, KPMG LLP, resigned on 6 August 2003 and the Directors thereupon appointed Baker Tilly to fill
the vacancy arising. Accordingly a resolution to reappoint Baker Tilly, Chartered Accountants, as auditors will 
be put to the members at the annual general meeting.
By order of the board
D Simons
Director
GSH House
Forge Lane
Stoke-on-Trent
Staffordshire  ST1 5PZ
11 May 2004
18 GSH Group Annual Report and Accounts 2003 Directors’ Responsibilities in the Preparation 
of Financial Statements
Company law requires the Directors to prepare financial statements for each financial year which give a true
and fair view of the state of affairs of the company and the Group and of the profit or loss of the Group for
that period. In preparing those financial statements, the Directors are required to:
a. select suitable accounting policies and then apply them consistently;
b. make judgements and estimates that are reasonable and prudent;
c. state whether applicable accounting standards have been followed, subject to any material departures
disclosed and explained in the financial statements;
d. prepare the financial statements on the going concern basis unless it is inappropriate to presume that the
company will continue in business.
The Directors are responsible for keeping proper accounting records which disclose with reasonable accuracy at
any time the financial position of the company and to enable them to ensure that the financial statements
comply with the requirements of the Companies Act 1985. They are also responsible for safeguarding the
assets of the Group and hence for taking reasonable steps for the prevention and detection of fraud and other
irregularities.
GSH Group Annual Report and Accounts 2003 19 Independent Auditors’ Report to the Members of 
GSH Group Limited (Formerly George S Hall Limited)
We have audited the financial statements on pages 21 to 43.
This report is made solely to the company’s members, as a body, in accordance with section 235 of the
Companies Act 1985. Our audit work has been undertaken so that we might state to the company’s members
those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest
extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the
company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Respective Responsibilities of Directors and Auditors 
The Directors’ responsibilities for preparing the Annual Report and the financial statements in accordance with
applicable law and United Kingdom Accounting Standards are set out in the Statement of Directors’
Responsibilities. 
Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory
requirements and United Kingdom Auditing Standards. 
We report to you our opinion as to whether the financial statements give a true and fair view and whether the
financial statements 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 transactions 
with the company and other members of the Group is not disclosed. 
We read the other information contained in the Annual Report, and consider whether it is consistent with the
audited financial statements. This other information comprises only the Directors’ Report. We consider the
implications for our report if we become aware of any apparent misstatements or material inconsistencies with
the financial statements. Our responsibilities do not extend to any other information. 
Basis of Opinion 
We conducted our audit in accordance with United Kingdom Auditing Standards 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. It also includes an assessment of the significant estimates and judgements made by the
Directors in the preparation of the financial statements, and of whether the accounting policies are appropriate
to the 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
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. 
Opinion 
In our opinion the financial statements give a true and fair view of the state of affairs of the company and the
Group at 31 July 2003 and of the Group profit for the year then ended and have been properly prepared in
accordance with the Companies Act 1985. 
BAKER TILLY 
Registered Auditor
Chartered Accountants 
Festival Way
Stoke-on-Trent
Staffordshire  ST1 5BB
12 May 2004
20 GSH Group Annual Report and Accounts 2003 Consolidated Profit and Loss Account
For the year ended 31 July 2003
2003 2002
Note £000 £000
Turnover – continuing operations 1 86,125 80,980
Cost of sales (60,357) (55,904)
Gross profit 25,768 25,076
Administrative expenses (22,813) (22,623)
Other operating income – 51
Operating profit – continuing operations 2,955 2,504
Other interest receivable 2 5 11
Interest payable and similar charges 3 (95) (134)
Profit on ordinary activities before taxation 1-5 2,865 2,381
Taxation 6 (973) (1,277)
Profit on ordinary activities after taxation 1,892 1,104
Dividends paid and proposed on equity shares 7 (800) –
Retained profit for the year 1,092 1,104
GSH Group Annual Report and Accounts 2003 21 Consolidated Statement of Total Recognised Gains and Losses
For the year ended 31 July 2003
2003 2002
£000 £000
Profit for the financial year 1,892 1,104
Unrealised surplus on revaluation of properties – 811
Exchange differences arising on the retranslation of overseas undertakings 29 181
Total recognised gains and losses relating to the year 1,921 2,096
Total gains and losses recognised since last Annual Report 1,921
22 GSH Group Annual Report and Accounts 2003 Consolidated Balance Sheet
At 31 July 2003
2003 2002
Note £000 £000 £000 £000
Fixed assets
Intangible assets 8 691 879
Tangible assets 9 4,257 4,732
Investments 10 293 293
5,241 5,904
Current assets
Stocks 11 2,526 1,292
Debtors of which £309,000 (2002: £166,000) 
is receivable in more than one year 12 14,125 12,143
Cash at bank and in hand 3,822 2,612
20,473 16,047
Creditors: Amounts falling due within one year 13 (22,770) (19,854)
Net current liabilities (2,297) (3,807)
Total assets less current liabilities 2,944 2,097
Creditors: Amounts falling due in more 
than one year 14 (77) (377)
Provisions for liabilities and charges 15 (92) (66)
Net assets 2,775 1,654
Capital and reserves
Called up share capital 16 300 300
Share premium account 17 2 2
Capital redemption reserve 17 582 582
Revaluation reserve 17 811 811
Profit and loss account 18 1,080 (41)
Shareholders’ funds 2,775 1,654
Shareholders’ funds
Equity 2,525 1,404
Non-equity 250 250
2,775 1,654
Approved by the board on 11 May 2004
I Scarr-Hall
Director
GSH Group Annual Report and Accounts 2003 23 Balance Sheet
At 31 July 2003
2003 2002
Note £000 £000 £000 £000
Fixed assets
Intangible assets 8 21 21
Tangible assets 9 38 189
Investments 10 4,000 4,000
4,059 4,210
Current assets
Debtors 12 11,614 7,999
Creditors: Amounts falling due within one year 13 (3,982) (3,760)
Net current assets 7,632 4,239
Net assets 11,691 8,449
Capital and reserves
Called up share capital 16 300 300
Share premium account 17 2 2
Capital redemption reserve 17 582 582
Revaluation reserve 17 3,997 3,997
Profit and loss account 18 6,810 3,568
Shareholders’ funds 11,691 8,449
Shareholders’ funds
Equity 11,441 8,199
Non-equity 250 250
11,691 8,449
Approved by the board on 11 May 2004
I Scarr-Hall
Director
24 GSH Group Annual Report and Accounts 2003 Consolidated Cash Flow Statement
For the year ended 31 July 2003
2003 2002
Note £000 £000 £000 £000
Cash flow from operating activities 19 3,788 6,480
Returns on investments and
servicing and finance
Interest received 6 12
Interest paid (48) (79)
Interest element of finance lease rental payments (50) (60)
Net cash outflow for returns on
investments and servicing of finance (92) (127)
Taxation (315) (107)
Capital expenditure
Purchase of intangible fixed assets – (710)
Purchase of tangible fixed assets (590) (385)
Sale of tangible fixed assets 154 178
Purchase of unlisted investments – (12)
Net cash outflow for capital expenditure (436) (929)
Equity dividends paid (800) –
Cash inflow before financing 2,145 5,317
Financing
Amounts paid on buy back of shares (486) (611)
Capital element of finance lease rental payments (383) (485)
Net cash outflow from financing (869) (1,096)
Increase in cash in the year 21 1,276 4,221
GSH Group Annual Report and Accounts 2003 25 Reconciliations of Movements in Shareholders’ Funds
For the year ended 31 July 2003
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
Profit for the financial year 1,892 1,104 4,061 3,719
Dividends (800) – (819) (19)
1,092 1,104 3,242 3,700
Other recognised gains and losses relating to the year 29 992 – –
New share capital subscribed – 2 – 2
Purchase of own shares – (1,065) – (1,065)
Net addition to shareholders’ funds 1,121 1,033 3,242 2,637
Opening shareholders’ funds 1,654 621 8,449 5,812
Closing shareholders’ funds 2,775 1,654 11,691 8,449
26 GSH Group Annual Report and Accounts 2003 Accounting Policies
Basis of Accounting 
The financial statements have been prepared under the historical cost convention modified to include the
revaluation of freehold and leasehold properties and in accordance with applicable accounting standards. 
The company has taken advantage of the exemption contained in Financial Reporting Standard 8 and has
therefore not disclosed transactions or balances with entities which form part of the GSH Group Limited Group
(or investees of the Group qualifying as related parties).
Basis of Consolidation 
The consolidated financial statements incorporate those of GSH Group Limited (formerly George S Hall Limited)
and all of its subsidiary undertakings for the year. The difference between the cost of acquisition of shares in
subsidiaries and the fair value of the separable net assets acquired is capitalised and written off on a straight
line basis over its estimated economic life. Provision is made for impairment. All financial statements are made
up to 31 July 2003.
As permitted by Section 230(4) of the Companies Act 1985, the company has not presented its own profit and
loss account.
Purchased Goodwill
Goodwill representing the excess of the purchase price compared with the fair value of net assets acquired is
capitalised and written off evenly over 20 years as in the opinion of the Directors this represents the period
over which the goodwill is effective.
Negative goodwill arising on business combinations in respect of acquisitions since 1 January 1998 is included
within fixed assets and released to the profit and loss account in the period in which the fair values of the 
non-monetary assets purchased on the same acquisition are recovered whether through depreciation or sale.
Intangible Fixed Assets
Intangible fixed assets purchased separately from a business are capitalised at their cost.
Licences capitalised, during the year, are amortised to nil by equal annual instalments over their expected useful
life of 4 years.
Tangible Fixed Assets 
Depreciation is provided on all tangible fixed assets at rates calculated to write each asset down to its
estimated residual value evenly over its expected useful life, as follows: 
Leasehold properties – over the life of the lease
Plant and machinery – 14-25% per annum straight line
Fixtures, fittings and equipment – 20-50% per annum straight line or 15% reducing balance
Motor vehicles – 25% per annum straight line
Investment properties are revalued annually by the Directors on an open market basis. No depreciation is
provided on freehold investment properties or on leasehold investment properties where the unexpired lease
term exceeds 20 years.
Depreciation on freehold buildings is not provided, as any uncharged depreciation for the year and the
accumulated uncharged depreciation would be immaterial in aggregate, as a result of the company’s policy to
maintain the properties in good condition, which substantially prolongs this useful life, and the estimated high
residual values of the properties.
GSH Group Annual Report and Accounts 2003 27 Accounting Policies cont
Tangible Fixed Assets cont
Tangible fixed assets which are not depreciated will be reviewed for impairment annually by the Directors in
accordance with Financial Reporting Standard 11.
Investments
Fixed asset investments are stated at cost. Provision is made for any impairment in the value of fixed asset
investments.
Stocks and Work in Progress 
Stocks and work in progress are valued at the lower of cost and net realisable value. In determining the cost 
of raw materials, consumables and goods purchased for resale the weighted average purchase price is used.
For work in progress and finished goods, cost is taken as production cost, which includes an appropriate
proportion of attributable overheads.
Provision is made where necessary for obsolete, slow moving stock and for work in progress over 120 days old.
Foreign Currencies 
Assets and liabilities denominated in foreign currencies are translated at the rate of exchange ruling at the
balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the
transaction. All differences are taken to the profit and loss account. 
Assets, liabilities and results of overseas subsidiaries are translated at the rate ruling at the balance sheet date.
Exchange differences arising are dealt with through reserves.
Deferred Taxation 
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the
balance sheet date where transactions or events that result in an obligation to pay more tax in the future or a
right to pay less tax in the future have occurred at the balance sheet date. Timing differences are differences
between the company’s taxable profits and its results as stated in the financial statements that arise from the
inclusion of gains and losses in tax assessments in periods different from those in which they are recognised in
the financial statements. 
Deferred tax is measured at the average tax rates that are expected to apply in the periods in which timing
differences are expected to reverse, based on tax rates and laws that have been enacted or substantially
enacted by the balance sheet date. Deferred tax is measured on a non-discounted basis.
Leased Assets and Obligations 
Where assets are financed by leasing agreements that give rights approximating to ownership (“finance
leases”), the assets are treated as if they had been purchased outright. The amount capitalised is the present
value of the minimum lease payments payable during the lease term. The corresponding leasing commitments
are shown as obligations to the lessor. 
Lease payments are treated as consisting of capital and interest elements, and the interest is charged to the
profit and loss account in proportion to the remaining balance outstanding. 
All other leases are “operating leases” and the annual rentals are charged to profit and loss on a straight line
basis over the lease term. 
28 GSH Group Annual Report and Accounts 2003 Accounting Policies cont
Retirement Benefits 
The Group operates a defined contribution scheme. The amount charged to the profit and loss account in
respect of pension costs and other post retirement benefits is the contributions payable in the year. Differences
between contributions payable in the year and contributions actually paid are shown as either accruals or
prepayments in the balance sheet.
Employee Share Ownership Plans
The company operates an ESOP trust and has de facto control of the shares held by the trust and bears their
benefits and risks. The company records certain assets and liabilities of the trust as its own. Finance costs and
administrative expenses are charged as they accrue.
Turnover 
Turnover represents the invoiced value, net of Value Added Tax of goods and services provided to customers.
Turnover is derived entirely from the company’s principal activities. Revenue is recognised when substantially all
of the obligations under a sales contract have been fulfilled.
Maintenance contracts are accounted for on a time apportionment basis over the period of the contact.
GSH Group Annual Report and Accounts 2003 29 Notes to the Financial Statements
For the year ended 31 July 2003
1 Turnover and profit on ordinary activities before taxation
The Group’s turnover and profit before taxation were all derived from its principal activities. Sales were made in
the following geographical markets:
2003 2002
£000 £000
Great Britain 67,406 65,685
Ireland and Northern Ireland 4,769 4,118
Continental Europe 8,500 6,965
United States of America 5,450 4,212
86,125 80,980
2 Other interest receivable
2003 2002
£000 £000
Bank interest 5 11
3 Interest payable and similar charges
2003 2002
£000 £000
On amounts payable to Group companies – 4
On bank loans and overdrafts 13 49
Net exchange losses – 19
Other interest 32 2
Finance leases and hire purchase contracts 50 60
95 134
30 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
4 Profit and ordinary activities before taxation
2003 2002
£000 £000
Profit on ordinary activities before taxation is stated after
charging/(crediting):
Depreciation and amounts written off tangible fixed assets:
Charge for the year
Owned assets 655 522
Leased assets 253 161
Amortisation of computer licences 173 127
Amortisation of goodwill arising on consolidation 15 16
Loss/(profit) on disposal of fixed assets 1 (8)
Operating lease rentals:
Plant and machinery 3,380 3,625
Auditors’ remuneration:
Audit services 75 107
Other services 16 –
Fees paid by GSH Group Limited (formerly George S Hall Limited) to the auditors for audit services were
£10,000 (2002: £26,000) and for other services were £16,000 (2002: £nil).
Exceptional items for both years are analysed as follows:
2003 2002
£000 £000
Restructuring provision (130) (350)
Surplus balances (773) –
(903) (350)
These items arose from the Group’s restructuring process and due to their size and nature, have been treated
as exceptional to the Group’s performance.
These credits were used to fund the creation of a provision of £300,000 in respect of contractual liabilities, also
arising from the events of prior years.
GSH Group Annual Report and Accounts 2003 31 Notes to the Financial Statements cont
For the year ended 31 July 2003
5 Employees
2003 2002
Number Number
The average monthly number of persons (including Directors) 
employed by the Group during the year was:
Administration and management 518 476
Other operatives 865 850
1,383 1,326
2003 2002
£000 £000
Staff costs for the above persons:
Wages and salaries 33,668 30,381
Social security costs 3,372 2,708
Other pension costs 1,325 877
38,365 33,966
Directors’ remuneration
2003 2002
£000 £000
Emoluments 444 168
Money purchase pension contributions 61 11
Total emoluments 505 179
Directors’ emoluments disclosed above include the following payments:
Highest paid Director
2003 2002
£000 £000
Emoluments 164 58
Money purchase pension contributions 20 –
Total emoluments 184 58
The number of Directors to whom retirement benefits are accruing under:
Number Number 
Money purchase schemes was 3 3
32 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
6 Taxation
2003 2002
£000 £000 £000 £000
Current tax:
UK corporation tax on profits of the year 1,055 524
Adjustments in respect of previous periods – 229
Foreign tax 61 –
Total current tax 1,116 753
Deferred tax:
Origination and reversal of timing differences (143) 524
Total deferred tax (143) 524
Tax on profit on ordinary activities 973 1,277
Factors affecting tax charge for the year:
2003 2002
£000 £000
The tax assessed for the year is higher than the standard rate 
of corporation tax in the UK (30%). The differences are explained below:
Profit on ordinary activities before tax 2,865 2,381
Profit on ordinary activities multiplied by standard 
rate of corporation tax in the UK 30% (2002: 30%) 860 714
Effects of:
Expenses not deductible for tax purposes 200 405
Non taxable gains (14) (75)
Other timing differences 129 (520)
Tax losses carried forward (59) –
Adjustment in respect of previous periods – 229
Current tax charge for the year 1,116 753
GSH Group Annual Report and Accounts 2003 33 Notes to the Financial Statements cont
For the year ended 31 July 2003
7 Dividends
2003 2002
£000 £000
Ordinary:
Interim paid 800 –
8 Intangible fixed assets
Positive Computer Intellectual
goodwill licences Property rights Total
Group £000 £000 £000 £000
Cost
At beginning and end of year 312 689 21 1,022
Amounts written off
At beginning of year 16 127 – 143
Charge in the year 15 173 – 188
At end of year 31 300 – 331
Net book value
At 31 July 2003 281 389 21 691
At 31 July 2002 296 562 21 879
Intellectual
property
rights
Company £000
Cost
At beginning and end of year 21
Amounts written off
At beginning and end of year –
Net book value
At 31 July 2003 21
At 31 July 2002 21
34 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
9 Tangible fixed assets
Freehold Short Fixtures
land and leasehold Plant and fittings and Motor Investment
buildings property machinery equipment vehicles properties Total
Group £000 £000 £000 £000 £000 £000 £000
Cost or valuation
At beginning of year 2,150 619 908 4,276 96 27 8,076
Exchange adjustment – – (1) (1) (1) – (3)
Additions – 23 16 543 8 – 590
Disposals (150) (262) (142) (2,170) (30) – (2,754)
Transfers – 526 – (526) – – –
At end of year 2,000 906 781 2,122 73 27 5,909
Depreciation
At beginning of year – 227 539 2,530 48 – 3,344
Exchange adjustment – – – (1) – – (1)
Charged in the year – 26 49 812 21 – 908
Disposals – (262) (142) (2,170) (25) – (2,599)
Transfers – 105 – (105) – – –
At end of year – 96 446 1,066 44 – 1,652
Net book value
At 31 July 2003 2,000 810 335 1,056 29 27 4,257
At 31 July 2002 2,150 392 369 1,746 48 27 4,732
The net book value of plant and machinery includes £11,000 (2002: £15,000) in respect of assets held under
finance leases and hire purchase contracts. Depreciation for the year on these assets was £4,000 (2002:
£4,000).
The net book value of fixtures, fittings and equipment includes £498,000 (2002: £723,000) in respect of assets
held under finance leases and hire purchase contracts. Depreciation for the year on these assets was £232,000
(2002: £147,000).
The net book value of motor vehicles includes £26,000 (2002: £41,000) in respect of assets held under finance
leases and hire purchase contracts. Depreciation for the year on these assets was £17,000 (2002: £10,000).
Freehold land and buildings consist of:
– Land at Etruria Valley, Stoke-on-Trent, together with office premises. The freehold property was revalued in
July 2002 by Butters John Bee, Chartered Surveyors and Valuers, on the basis of open market value. The
valuation was for £2m.
The Directors are not aware of any material changes in value therefore valuations set out above have not 
been updated.
GSH Group Annual Report and Accounts 2003 35 Notes to the Financial Statements cont
For the year ended 31 July 2003
9Tangible fixed assets cont
Freehold land Fixtures fittings Investment
and buildings and equipment properties Total
Company £000 £000 £000 £000
Cost
At beginning of year 150 65 27 242
Disposals (150) – – (150)
At end of year – 65 27 92
Depreciation
At beginning of year – 53 – 53
Charged in the year – 1 – 1
At end of year – 54 – 54
Net book value
At 31 July 2003 – 11 27 38
At 31 July 2002 150 12 27 189
10 Fixed asset investments
Other unlisted Investment in
investments own shares Total
Group £000 £000 £000
Cost
At beginning and end of year 43 250 293
Amounts written off
At beginning and end of year – – –
Net book value
At 31 July 2003 43 250 293
At 31 July 2002 43 250 293
The investment in own shares are held by the Group’s Employee Benefit Trust. Following the adoption of
UITF32 the assets and liabilities of the Employee Benefit Trust have been consolidated in the results of GSH
Group Limited.
36 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
10 Fixed asset investments cont
Shares in
Group
undertakings
Company £000
Cost
At beginning and end of year 4,000
Amounts written off
At beginning and end of year –
Net book value
At 31 July 2003 4,000
At 31 July 2002 4,000
The company holds more than 20% of the equity (and no other share or loan capital) of the following active
undertakings:
Class and percentage
Country of of shares held
Subsidiary undertaking registration Principal activity Group Company
George S Hall International Limited England Intermediate holding company 100% ord 100% ord
George S Hall GB Limited England Intermediate holding company 100% ord –
George S Hall Central Limited England Trading company 100% ord –
George S Hall Northern Limited England Trading company 100% ord –
George S Hall Southern Limited England Trading company 100% ord –
George S Hall London Limited England Trading company 100% ord –
George S Hall Wales Limited England Trading company 100% ord –
George S Hall Service Limited England Trading company 100% ord –
George S Hall Streamline Limited England Trading company 100% ord –
George S Hall HSS Limited England Trading company 100% ord –
George S Hall Projects Limited England Trading company 100% ord –
George S Hall Hanover Limited England Trading company 100% ord –
George S Hall Limited England Trading company 100% ord –
George S Hall Woodcote Limited England Trading company 100% ord –
George Hall Ireland Limited Ireland Trading company 100% ord –
George S Hall NI Limited Northern 
Ireland Trading company 100% ord –
George Hall Europe Holdings NV Netherlands Intermediate holding company 100% ord –
George Hall Netherlands 
Holdings BV Netherlands Intermediate holding company 100% ord –
George Hall Hoofddorp BV Netherlands Trading company 100% ord –
George Hall Utrecht BV Netherlands Trading company 100% ord –
George Hall Eindhoven BV Netherlands Trading company 100% ord –
George Hall Rotterdam BV Netherlands Trading company 100% ord –
George Hall Belgium NV Belgium Trading company 100% ord –
George S Hall Americas Limited England Intermediate holding company 100% ord –
George S Hall Inc USA Trading company 100% ord –
The principal activity of trading companies is facilities management and energy management. It is the intention
of the Directors to reduce the number of trading companies.
A full list of the subsidiary undertakings will be included in the company’s annual return.
GSH Group Annual Report and Accounts 2003 37 Notes to the Financial Statements cont
For the year ended 31 July 2003
11 Stocks
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
Raw materials and consumables 295 220 – –
Work in progress 2,231 1,072 – –
2,526 1,292 – –
12 Debtors
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
Due within one year:
Trade debtors 12,647 9,692 – –
Amounts owed by Group undertakings – – 11,464 2,937
Other debtors 370 591 97 1,088
Directors’ loan accounts 71 549 51 472
Prepayments and accrued income 726 1,143 – 3,500
Called up share capital not paid 2 2 2 2
13,816 11,977 11,614 7,999
Due in more than one year:
Deferred tax asset 309 166 – –
14,125 12,143 11,614 7,999
13 Creditors: Amounts falling due within one year
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
Bank loans and overdrafts – 95 1,878 3,110
Obligations under finance leases 313 423 – –
Trade creditors 12,548 11,526 – –
Amounts owed to Group undertakings – – 1,805 –
Corporation tax 1,454 667 97 21
Other taxation and social security costs 3,945 1,383 85 85
Other creditors 80 767 38 522
Accruals and deferred income 4,430 4,993 79 22
22,770 19,854 3,982 3,760
The bank overdrafts are part of the various composite banking arrangements and facilities that are in place
around the Group. These arrangements encompass all of the relevant Group companies.
The bank facilities are secured, in part, by an unlimited guarantee dated 25 March 1997 between George S
Hall Central Limited, George S Hall GB Limited and GSH Group Limited, taken on bank standard form.
38 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
14 Creditors: Amounts falling due in more than one year
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
Obligations under finance leases 77 364 – –
Other creditors – 13 – –
77 377 – –
Obligations under finance leases and hire purchase contracts:
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
Amounts payable:
Within one year 313 423 – –
Within two to five years 77 364 – –
390 787 – –
15 Provisions for liabilities and charges
Deferred taxation
asset
£000
Group
At beginning of year (166)
Credit for the year (143)
At end of year (309)
The elements of the deferred tax asset, which is carried within current assets, are as follows:
2003 2002
£000 £000
Excess of tax allowances over depreciation (38) 16
Other timing differences (271) (182)
(309) (166)
Pension and
Onerous lease similar
provision obligations Total
£000 £000 £000
Group
At beginning of year 54 12 66
Utilised in the year (7) (12) (19)
Charge for the year 45 – 45
At end of year 92 – 92
GSH Group Annual Report and Accounts 2003 39 Notes to the Financial Statements cont
For the year ended 31 July 2003
15 Provisions for liabilities and charges cont
The onerous lease provision has been made to provide for future costs on leased properties from which the
Group no longer operate. Where the property has been sub-let a provision is made for the deficit between
amounts paid on the head lease and income from the sub-lease.
The provision for pension costs is made against back service contributions to the Dutch pension scheme. 
This provision is required under Dutch law.
16 Share capital
2003 2002
£000 £000
Authorised:
Equity: nil (2002: 200,000) ordinary “A” shares of £1 each – 200
Equity: nil (2002: 100,000) ordinary “B” shares of £1 each – 100
Equity: 10,660,000 (2002: nil) ordinary shares of 5p each 533 –
Non-equity: 250,000 (2002: 483,000) cumulative redeemable 
preference shares of £1 each 250 483
783 783
Authorised: SFr SFr
Non-equity: 350,000 cumulative redeemable preference shares of SFrl each 350 350
Allotted, issued and fully paid:
Equity: nil (2002: 50,000) ordinary “A” shares of £1 each – 50
Equity: 1,000,000 (2002: nil) ordinary shares of 5p each 50 –
Non-equity: 250,000 cumulative redeemable preference shares of £1 each 250 250
300 300
The following share movements occurred during the year:
– On 4 September 2002 each of the 200,000 authorised A ordinary shares of £1 each, each of the 100,000
authorised B ordinary shares of £1 each and 233,000 of the authorised and un-issued cumulative redeemable
preference shares of £1 each were subdivided into 20 ordinary shares of 5p each.
– As a consequence on 4 September 2002 each of the issued 50,000 A ordinary shares of £1 each were
subdivided into 20 ordinary shares of 5p each.
The cumulative redeemable preference shares are redeemable on 19 July 2009, or the company, at its own
option, may redeem earlier on giving three months written notice to the holder of the shares. The cumulative
redeemable preference shares hold no voting rights with the exception of a resolution to wind up the company.
40 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
17 Reserves
Capital
Share premium redemption Revaluation
account reserve reserve
£000 £000 £000
Group
At beginning and end of year 2 582 811
Capital
Share premium redemption Revaluation
account reserve reserve
£000 £000 £000
Company
At beginning and end of year 2 582 3,997
18 Profit and Loss account
Group Company
£000 £000
At beginning of year (41) 3,568
Profit for the financial year 1,892 4,061
Dividends (800) (819)
Exchange differences arising on the retranslation of overseas undertakings 29 –
At end of year 1,080 6,810
19 Reconciliation of operating profit to net cash flow from operating activities
2003 2002
£000 £000
Operating profit 2,955 2,504
Depreciation 908 683
Amortisation 188 143
Loss/(profit) on disposal of fixed assets 1 (8)
(Increase)/decrease in stocks (1,234) 1,163
(Increase)/decrease in debtors (2,004) 521
Increase in creditors 2,974 1,492
Decrease in provisions – (18)
Cash flow from operating activites 3,788 6,480
GSH Group Annual Report and Accounts 2003 41 Notes to the Financial Statements cont
For the year ended 31 July 2003
20 Reconciliation of net cash flow to movement in net funds
£000
Increase in cash in the year 1,276
Cash outflow from decrease in debt and lease financing 383
1,659
Other non cash changes 14
Translation difference 29
Movements in net funds in the year 1,702
Net funds at 31 July 2002 1,730
Net funds at 31 July 2003 3,432
21 Analysis of net funds
At 31 July Other non Exchange At 31 July
2002 Cash flow cash changes movement 2003
£000 £000 £000 £000 £000
Cash in hand, at bank 2,612 1,181 – 29 3,822
Bank loans and overdrafts (95) 95 – – –
2,517 1,276 – 29 3,822
Finance leases (787) 383 14 – (390)
Total 1,730 1,659 14 29 3,432
22 Capital commitments 
There were no capital commitments at the end of the financial year (2002: £nil).
23 Commitments under operating leases
Group Company
2003 2002 2003 2002
£000 £000 £000 £000
At 31 July 2003 annual commitments under non-cancellable 
operating leases were as follows:
Land and buildings
Expiring within one year 114 52 – –
Expiring between two and five years 409 320 – –
Expiring after five years 219 310 – –
Other
Expiring within one year 599 605 – –
Expiring between two and five years 1,426 2,243 – –
2,767 3,530 – –
42 GSH Group Annual Report and Accounts 2003 Notes to the Financial Statements cont
For the year ended 31 July 2003
24 Contingent liabilities
Subsidiary undertakings have given unsecured guarantees to third parties as follows:
Company
2003 2002
£000 £000
Zurich GSG Limited 100 100
NLG000 NLG000
ABN Amro Bank NV – 730
25 Pension commitments
The Group operates a defined contribution pension scheme whose assets are held separately from those of the
Group in an independently administered fund. 
The pension cost charge represents contributions payable by the Group and amounted to £1,325,000 (2002:
£877,000). Contributions totalling £98,000 (2002: £101,000) were payable to the funds at the year end and
are included in creditors.
26 Related party transactions
During the financial year the company had the following transactions with related parties as defined by
Financial Reporting Standard 8:
Loans to Directors
The following Directors had loans from Group companies during the year. The amounts outstanding during the
year were as follows:
I Scarr-Hall G Coyle
£000 £000
Amounts outstanding:
At beginning of year 472 32
Additions 325 –
Repayments (746) (12)
At end of year 51 20
The maximum balance on the I Scarr-Hall loan account during the year was £746,000.
G Coyle was a Director of subsidiary undertakings during the year.
It is the intention of the Directors involved that these loans will be repaid substantially during the financial year
to 31 July 2004.
Other transactions
During the year the Group paid for the use of facilities at Amhuinnsuidhe Castle Estate which is owned by Ian
Scarr-Hall. The total value of these transactions was £105,000 (2002: £nil). The amount outstanding at the year
end was £nil (2002: £nil).
GSH Group Annual Report and Accounts 2003 43 Advisors
44 GSH Group Annual Report and Accounts 2003
Group details:
GSH Group Limited
GSH House
Forge Lane
Stoke-on-Trent
ST1 5PZ
Tel: +44 (0) 1782 200400
Fax: +44 (0) 1782 408822
www.gshgroup.com
Company No. 358239
Financial Advisor
Amethyst Corporate Finance PLC
107 Fleet Street
London
EC4A 2AB
Financial Public Relations 
Biddicks
Mercury House
Triton Court
14-18 Finsbury Square
London
EC2A 1BR
Lawyers
DLA
Victoria Square House
Victoria Square
Birmingham
B2 4DL
Heatons
33-43 Price Street
Burslem
Stoke-on-Trent
ST6 4JJ
Auditors 
Baker Tilly
Festival Way
Stoke-on-Trent
ST1 5BB
Insurance and Pension Advisors 
Aon Limited
158 Edmund Street
Birmingham
B3 2HB Contents
01 Operational and Financial Highlights
02 Our Group at a Glance
04 Chairman’s Statement
05 Chief Executive’s Review
07 Financial Review
08 Case Study – Land Securities Trillium
Department for Work and Pensions
10 Case Study – T -Mobile
12 Case Study – Hewlett-Packard
14 Executive Board
15 Senior Management
17 Directors’ Report
19 Directors’ Responsibilities in the Preparation 
of Financial Statements
20 Independent Auditors’ Report to the Members of 
GSH Group Limited
21 Consolidated Profit and Loss Account
22 Consolidated Statement of Total Recognised Gains 
and Losses
23 Consolidated Balance Sheet
24 Balance Sheet
25 Consolidated Cash Flow Statement
26 Reconciliations of Movements in Shareholders’ Funds
27 Accounting Policies
30 Notes to the Financial Statements
44 Advisors
GSH Group provides facilities management and energy management services,
principally to large commercial and governmental organisations. 
The Group has a well-established track record in the management of large,
complex contracts, requiring superior service levels and has a reputation 
for service excellence and innovation. 
GSH’s client base is exceptional and includes:  GSH GROUP
Annual Report and Accounts
for the year ended 31 July 2003
GSH GROUP Annual Report and Accounts for the year ended 31 July 2003
GSH Group Limited
GSH House
Forge Lane
Stoke-on-Trent
ST1 5PZ
Tel: +44 (0) 1782 200400
Fax: +44 (0) 1782 408822
www.gshgroup.com