annual report and accounts 2011
seeing the benefits
speedy hire plc annual report and accounts 2011
wwwspeedyhireplcuk overview
01 seeing the benefits 
14 speedy at a glance 
16 speedy figures
18 understanding our markets
business review
20 chairman’s statement 
22 chief executive’s review 
26 principal risks and uncertainties 
28 uk  ireland asset services 
30  international  advisory services
32 group financial review 
36 corporate responsibility 
governance
44 board of directors 
46 directors’ report 
49 corporate governance
54 remuneration report
64 audit committee report 
65 nomination committee report
66 independent auditor’s report 
financial statements
68 consolidated income statement 
69 consolidated statement of comprehensive income 
70 consolidated balance sheet
71 consolidated cash flow statement
72 consolidated statement of changes in equity 
73 notes to the consolidated financial statements 
98 company balance sheet 
99 company cash flow statement
100 company statement of changes in equity
101 notes to the company financial statements
105 fiveyear summary
investor information
106 shareholder information
107 registered office and advisers
108 awards
ibc accreditations and memberships
speedy contents
overview business review governance financial statements investor information
accreditations and memberships
iso accreditations
iso 9001
speedy asset services limited
†
speedy engineering services limited
iso 14001
speedy asset services limited
speedy engineering services limited
iso 18001
speedy asset services limited
speedy engineering services limited
iso 17020
speedy asset services limited
industry supplier accreditations
achilles linkup – rail supplier qualification and verification scheme
achilles uvdb – utilities prequalification scheme
achilles building confidence – construction prequalification scheme
constructionline – uk register of prequalified construction services
chas – the contractors health and safety scheme
safecontractor – the contractor accreditation scheme for business
safehire – hae hire and rental certification scheme
professional body and trade association memberships
hae hire association of europe
pasma prefabricated access suppliers and 
manufacturers association
leea lifting equipment engineers association
operc offhighway plant and equipment research centre
era european rental association
bsc british safety council international asset services
cbi confederation of british industry steve corcoran member 
of construction council
ftse4good
bitc business in the community
cpa contractors plant association
british water authority
federation of communication services
mpba modular and portable building association
rospa the royal society for the prevention of accidents
 partial accreditation only
†
 all uk locations accredited
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this annual report is available at wwwspeedyhireplcuk
designed and produced by the college  wwwthecollegeukcom overview 01 
we are now seeing the benefits of  
our operating rigour and disciplined 
action which have demonstrated our 
ability to work through challenging 
economic cycles
it has been a difficult period and the outlook remains challenging 
in 2011
at speedy we are building a longterm service based proposition 
which will provide a sustainable platform in hire and value added 
services to drive our performance every day every quarter and 
every year 
steady sustained recovery is underway we are well positioned  
to take advantage of the eventual upturn in trading conditions  
we have a solid base on which to build our business and this  
report aims to define and explain the factors that are important  
in our pursuit of growth and future success
ready for the future
  managing capital 
expenditure on  
our assets
 focusing on cash and costs
consolidating our  
no1 position
  managing our network
  developing our service 
offering
building relationships 
with major customers
  providing a stable income 
stream
  access to subcontractor 
market
seeing the benefits
overview
speedy hire plc annual report and accounts 2011 speedy hire plc annual report and accounts 2011
£110m
reduction in costs from peak 
costs during 2008
£1139m
net debt down a further £54m  
on last year
40
by nbv of the uk’s itemised hire  
fleet is less than three years old
ready
for the future
02 overview  seeing the benefits
seeing the benefits
cost continual drive for 
efficiencies  savings
we continue to focus on rightsizing our 
cost base and have been streamlining our 
senior management and depot structure 
seeking efficiencies wherever possible
cash flow maintaining  
a stable financial base
our cash generation has remained strong 
and is a big contributor to paying down 
debt as a result net debt continues to fall 
contributing to a strong balance sheet
asset management the value 
of a diverse fleet
hire fleet investment has increased and 
as a result there has only been a slight 
increase in the average age of the hire fleet 
hire fleet investment has been consistently 
proportional to revenue we have invested 
in new equipment using the funds from the 
disposal of under utilised older assets hire fleet cost lhs hire fleet nbv lhs revenue rhs
h2 fy11 h1 fy11 h2 fy10 h1 fy10 h2 fy09 h1 fy09 h2 fy08 h1 fy08 h2 fy07 h1 fy07
0
700
0
500
hire fleet £m
revenue £m
speedy hire plc annual report and accounts 2011
managing capital expenditure  
overview  seeing the benefits 03 
 adjusted to include accommodation assets in hire fleet at net book value before exceptional write down
hire fleet
net debt and overheads
0
50
100
150
200
250
300
h2 fy11 h1 fy11 h2 fy10 h1 fy10 h2 fy09 h1 fy09 h2 fy08 h1 fy08 h2 fy07 h1 fy07
net debt overheads
peak annualised overheads estimated at c£137m for the half year ✗ peak debt of £303m in july 2008 ✗
  overheads are shown for group less new businesses international  advisory and are before amortisation and exceptional costs
7
7
overview speedy hire plc annual report and accounts 2011
n o 1
consolidating our
position
seeing the benefits
04 overview  seeing the benefits
developing our service offering 
the core of our business is providing safe 
and compliant equipment for hire but 
we now support this with comprehensive 
safety and skills training advisory services 
and test repair inspection  
and maintenance services
transforming the market
sustainable seems to be the word in 2011 
with both customers and suppliers looking 
to build stable working relationships
 
with government budget cuts it’s likely 
in 2011 that the private sector will fund 
a larger percentage of construction 
projects changing even transforming 
parts of the market
outperforming the market
the tools lifting  survey business 
performed 16 better than the market 
when comparing q3 v q4 in 2010 
we have also seen considerable growth in 
international which established a strong 
foothold overseas this combined with our 
training  advisory services division has 
seen an increase in revenue of over 280  speedy hire plc annual report and accounts 2011
consolidating our networks
overview  seeing the benefits 05 
in order to extend our service 
capability we have embarked upon 
a depot network plan that will see 
us change the format of our national 
network of depots over the course of 
the next few years this involves the 
creation of more multiservice centres 
msc’s to expand on the first which 
opened in warrington the creation 
of more superstores to add to those 
now operational in stoke edinburgh 
and bristol and a consolidation of our 
local depots into an express format 
multiservice centres
size 610 acres
service full service 247
market sectors construction 
industrial infrastructure
customer base heavy 
construction mainstream 
construction civil engineering
superstores
size 25000 sq ft
service rapid response
market sectors clean trades  
fit out
customer base electrician 
electrical engineers dry liners 
ceiling fixers fitout contractors 
shopstore fitters service 
maintenance engineers
express depot
size 5000 sq ft
service principally customer collect
market sectors local trades 
local industry
customer base local trades 
builders local industry 
service maintenance engineers
overview major 
customers
building relationships with
seeing the benefits
06 overview  seeing the benefits
going for long term contracts
whilst hire rates may be lower the average 
duration of hire is twice as long with major 
contractors and with higher volumes 
generally this results in yielding higher 
revenue per contract
value in supply chain
major contractors will increasingly win 
more of the projects in the market and  
will be key to accessing the marketplace  
by having framework agreements that 
then cascade to their subcontractors
stable income stream
as major contractors increasingly 
move towards winning work in the  
more sustainable and regulated  
market areas to secure their own  
revenue streams this in return  
provides a more stable revenue  
stream for speedy
speedy hire plc annual report and accounts 2011 new contracts
overview  seeing the benefits 07 
galliford try group
galliford try group awarded speedy a five
year first call supplier agreement in 2010 worth 
approximately £20m over the term to supply 
core products through a dedicated desk in 
speedy direct 
mears
a preferred supplier agreement was signed  
with mears in february 2011 this is a twoyear 
deal worth approximately £15m over the course 
of the agreement speedy provide tools lifting 
and survey equipment as well as power and 
powered access products 
interserve
in january 2011 we were delighted to sign 
a 24month renewal of a preferred supplier 
agreement with interserve worth £45m to the 
group over the course of the contract speedy 
will provide a comprehensive package of 
equipment and tools on both a regional and 
national scale 
wilmott dixon group 
in 2010 we signed a preferred supplier  
renewal with wilmott dixon group  
worth approximately £35m over the  
24 month term
overview
speedy hire plc annual report and accounts 2011 winning 
08 overview  seeing the benefits
new business and targeting value markets
energy
decommissioning plans for a four year 
investment of approximately £12 billion 
new build is estimated to be over 
£32 billion making the nuclear sector 
a key market for future growth
major investment in future offshore  
wind and onshore wind farms over 
the next five years of £90 billion make 
the renewable energy market more 
substantial with major projects already 
scheduled and under way for 201112
recycling
with the closure of 300 uk landfill sites 
over the next decade in order to cope 
with these closures the government 
and private investors are investing an 
estimated £1020 billion over the next  
10 years to support the sector
speedy hire plc annual report and accounts 2011 speedy hire plc annual report and accounts 2011
overview  seeing the benefits 09 
new business and targeting value markets
transport
longterm investment in rail with a 
projected spend of £78 billion until 2014 
excluding high speed 2 hs2 £30bn 
 crossrail currently £16bn ensures 
that this sector remains promising 
in 2011 and beyond in addition the 
highways agency has plans to invest 
£10 billion over the next five years on 
road maintenance
water
major investment in the water market 
to maintain and improve the current 
uk infrastructure is planned with amp5 
worth £22bn excluding capital works 
over 201015 making this a key market 
for sustainable spend 
overview managing  
our assets
speedy hire plc annual report and accounts 2011
10 overview  seeing the benefits the restructuring of our uk business into one 
company has provided greater utilisation of our assets 
we now have improved visibility of where equipment 
is located and can maximise usage across our entire 
depot network we have made great steps forward in 
moving equipment through our workshops at a faster 
rate giving increased availability for our customers in 
addition the consolidation of our depot network has 
enabled specialisation and rationalisation of our kit
speedy hire plc annual report and accounts 2011
overview  seeing the benefits 11 
overview motivated  
employees
we have carried out our people matters survey  
for the fourth time now and have measured 
engagement for the last two surveys through our 
efforts in improving employee communication and 
feedback plus a greater emphasis on ‘job chats’ we 
have leapt forward in improving our engagement 
the lynchpin of motivated employees is our line 
management we are investing across all levels with 
management leadership and senior leadership 
development programmes and introducing people 
measures more clearly as part of the speedy 
compass scorecard
speedy hire plc annual report and accounts 2011
12 overview  seeing the benefits
employee engagement index
2011 versus 2010

 7   speedy hire plc annual report and accounts 2011
overview  seeing the benefits 13 
overview 14 overview  speedy at a glance
speedy at a glance
speedy story
speedy is a leading service provider 
offering equipment for both hire and 
sale and associated services to 
construction infrastructure industrial 
and related industries 
 
founded in 1977 we are the uk’s  
largest provider of hire equipment and 
have grown our turnover to over £300m 
with over 100000 customers over 4000 
employees and a national network of 
over 325 depots workshops and offices
 
our customers include organisations 
such as amec balfour beatty carillion 
exxonmobil and thames water plus 
many thousands of smaller customers 
who are just as important to us 
 
our mission
to be an international organisation 
providing multiple services one  
that understands our customers in 
depth and is ready to adapt to their 
changing needs and markets  
at any time we will do this through 
superior knowledge integrated  
systems and operational effectiveness
our strategy remains unchanged
tool and  
equipment  
hire
quality
network availability
range
uk
continue to build solid 
relationships to increase 
our circa 10 market share 
in the uk hire market
international
work closely with key 
clients and identify ways 
in which we can support 
them in their activities 
overseas on a ‘follow  
the customer’ principle
sales
provide a comprehensive 
range of consumable items 
and personal protective 
equipment for sale as well 
as advising customers on 
hire lease or purchase of 
their core equipment
services
extend our core business  
offering with consultancy 
assurance and training 
services providing an 
enhanced portfolio  
of solutions
sales
services
international
uk
speedy hire plc annual report and accounts 2011 overview  speedy at a glance 15 
we are committed to providing the most 
effective fulfillment model in the uk our 
business is characterised by our people  
who combine their extensive product  
and technical knowledge with a real 
commitment to service excellence
during the past 12 months we have aligned 
ourselves to our customers and the markets 
they operate within this has given us a 
depth of knowledge that ensures that our 
service offering is fully aligned to the sectors 
that our clients serve
 
service performance measures are a key  
tool for evaluating our effectiveness and 
driving continuous improvement our it 
infrastructure provides our employees with 
real time measures of service and through 
the ‘my speedy extranet’ we provide visibility 
and transparency to our clients in relation 
to our performance
 
these and other measures underpin  
our objective of delivering true asset 
management to our clients this ensures  
that whether a customer wishes to hire 
lease or buy an asset we can deliver a 
solution that is precisely tailored to their 
unique needs
international asset services
we support our customers in delivering 
major overseas projects in the oil  gas 
and infrastructure sectors by providing 
a managed site support service which 
combines our core expertise in equipment 
hire with asset management training and 
logistics services a key part of our service 
is helping our customers to make more 
efficient use of assets whilst ensuring safe 
delivery and managing risk effectively
training  advisory services
we work closely with our customers to 
provide service solutions that manage 
risk and reduce costs whilst ensuring 
compliance in an environment of 
ever increasing legislation we are proud 
to build on speedy’s long established core 
brand values of safety compliance  
and innovation and support our customers 
with a comprehensive safety and  skills 
training service and a growing advisory 
services offering which now includes health 
and safety lean site sustainability and 
environmental assurance
speedy divisions
uk  ireland asset services
international  advisory services
£3435m
revenue
£107m
revenue
founded in 1977 we are the uk’s largest 
provider of hire equipment and have grown 
our turnover to over £300m with over 
100000 customers over 4000 employees 
and a national network of over 325 depots 
workshops and offices
overview
speedy hire plc annual report and accounts 2011 16 overview  speedy figures
speedy figures
highlights
adjusted loss before tax reduced from £62m in  
2010 to £07m demonstrating an improving year 
on year trend 
second half adjusted profit before tax of £92m  
compared to first half loss of £99m
revenue up 09 to £3542m 2010 £3511m up  
36 when adjusted for fleet equipment sales 
and the disposed accommodation hire operation
ebita up 38 at £83m 2010 £80m following  
a first half ebita loss of £46m second half profit 
of £129m
loss before tax post amortisation and  
exceptional items of £270m 2010 loss £228m 
£109m increase in net capex with net debt  
reduced by £54m to £1139m 2010 £1193m 
sale of olderunderutilised equipment has raised  
£162m 2010 £226m for reinvestment into new 
hire fleet
post yearend sale of the lossmaking  
accommodation hire operation for £349m  
76x fy11 ebitda pre allocations recharges  
and exceptional items
net debtebitda remains strong at 179x   
2010 175x proforma 13x when adjusted  
for accommodation hire disposal
final dividend proposed of 02 pence per share  
2010 02 pence per share
financial kpis
201011 200910 20089 20078 20067
3360
4659
4827
3511 3542
ebitda as a  of revenue
revenue £m
operating profit £m   
ebitda £m
201011 200910 20089 20078 20067
299
282
259
194
179
  preamortisation and exceptional items
201011 200910 20089 20078 20067
1003
1316
1251
682
634
  preamortisation and exceptional items
201011 200910 20089 20078 20067
500
640
492
80 83
  preamortisation and exceptional items
 preamortisation and exceptional items
speedy hire plc annual report and accounts 2011 overview  speedy figures 17 
speedy have had publicly reported nonfinancial kpi’s 
in place since 2007 initially set for three years to 2010 
this year we are pleased to report our first year 
performance against our new fiveyear targets 
to 2015 below are our top five nonfinancial kpi’s 
for a full list visit wwwspeedyhireplcukoverview
marketplace   
number of products in the go range  
target to have 50 products in the range 
target not achieved 30 products  
in the range
our people   
employee engagement target to increase 
baseline figure of 54 to reach 58
target achieved 61
the environment   
co
2
e per capita reduce from 89 tonnes per 
capita base line to 8 tonnes per capita
target achieved 7 95 tonnes per capita
health  safety   
reduction in major accident frequency 
rate mafr reduce from base line of 014 to 013
target achieved mafr at 011
our community   
number of prison workshop rehabilitation 
training places provided target to provide  
200 places
target achieved 200 places provided
nonfinancial kpis
net book value of property plant  equipment £m
group operating margin   
return on capital employed   
earnings per share pence
3
3
3
3
7
201011 200910 20089 20078 20067
2957
3729
3232
2856
2199
  ppe has reduced in 201011 principally as a consequence of the sale of 
accommodation assets referred to on page 46
201011 200910 20089 20078 20067
1764
1987
1300
141 002
  preamortisation and exceptional items restated for rights issue 
where applicable
201011 200910 20089 20078 20067
169
152
109
20 23
  preamortisation and exceptional items
201011 200910 20089 20078 20067
149
137
102
23 23
  preamortisation and exceptional items
overview
speedy hire plc annual report and accounts 2011 18 overview  understanding our markets
understanding  
our markets
£114bn
46
97
in 2010 we saw our own 
customers working closely  
with their competitors sharing 
technology reducing risks and 
costs and even forming new  
joint ventures to secure projects
 
with construction output in 2009 being down 137 the 
small recovery in 2010 of 46 means the market is still 
suppressed from the prerecession levels with large cuts 
in public spending as part of the government’s spending 
review the outlook for 2011 remains challenging but not 
without opportunities
  the uk construction industry in 2010 showed promising  
growth in the first three quarters before the seasonal 
decline in quarter four
  during 2010 billions of pounds were saved on effective  
supply chain management from resource to waste 
efficiency which improved the delivery time on 
construction projects
construction output for 2010 
is £113754 billion
total construction output  
was up in 2010 46  
compared to 2009
all new work was up 97 
compared to 2009
2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000
71029
125983
113754
76153
85215
95095
104350
109084
115776
124354
108764
all new work
repair  maintenance
64
36
2010 output  construction output £m
source ons data
privatepublic sectors 2010 total  seasonality £m
private
public
infrastructure
the uk construction industry output
24000
25000
26000
27000
28000
29000
30000
31000
32000
33000
2009 2010
quarter 1 quarter 2 quarter 3 quarter 4
 2010 revised
55
28
17
speedy hire plc annual report and accounts 2011 overview  understanding our markets 19 
we’ve seen dramatic changes  
in the top 50 construction 
companies with the larger 
construction companies now 
winning the majority of projects 
order books for the next 12 
months are already promising 
 
for 2011 we’ll start to see 
changes in the supply chain 
as customers acquire suppliers 
assets or even their own 
competitors through acquisitions 
they will strengthen their market 
share or enter new markets for 
strategic gain
  new work in 2010 showed  
investment from the public sector 
with new housing increasing  
by 464
  private funded projects saw   
a slight decline compared to  
2009 of 01
  housing repair  maintenance  
saw an increase of 43 in the 
public sector and 70 in the 
private sector overall this sector 
increased by 61
  this section of the market   
was funded 65 by the private 
sector in 2010 previously 64  
in 2009
government spending review
public vs private spending
464
spent on new housing public
private
public
private
public
publicprivate spending in housing repair  
 maintenance 
public private
2010 2009
7343
13023
7662
13936
2009 
source ons data
private
public
infrastructure
2010 
private
public
infrastructure
housing repair  maintenance  
£m 
new housing public 464
new housing private 157
infrastructure 250
new work public 206
private industrial 58
private commercial 85
total 97
35
65
57
17
26
big spenders v 2009
62
15
23
overview
speedy hire plc annual report and accounts 2011 20 business review  chairman’s statement
chairman’s 
statement
“ we have established a solid 
platform from which to build 
and whilst we remain alert 
to the continuing uncertainty 
in the economy we expect 
to make further progress 
in 201112” 
 
ishbel macpherson 
nonexecutive chairman
overview
whilst it has been another challenging year for our sector  
i am pleased to report that the business has been stabilised 
through continued cost management improvement in pricing 
and an ongoing investment programme in our depot network 
it trading platform hire fleet and services each of these has 
contributed to the establishment of a solid base from which  
to return the business to growth
notwithstanding exceptional costs of £208m which contributed 
to an overall loss before tax of £270m we saw the benefits of these 
actions in 201011 in the reversal of the first half losses to end the 
year at a broadly breakeven position profit before tax amortisation 
and exceptional items the year on year revenue comparatives 
improved throughout the course of the year with particular progress 
made in recovering uk hire rates following the declines over the last 
few years our loss before tax preamortisation and exceptional 
items was £07m compared to a loss of £62m in 200910 and 
a loss of £99m in the first half of 201011 our ongoing drive to keep 
tight control over costs whilst working to improve revenues has 
resulted in a further reduction in likeforlike operating costs of 29 
year on year our ebitda margin preamortisation and exceptional 
items improved during the course of the year having been 140 
in the first half and 217 in the second half we also managed the 
business so as to maximise cash generation with the result that 
year end net debt was £54m lower than at the previous year end 
despite a 52 increase in net capex to £317m 
the sale of our lossmaking accommodation hire operation for 
£349m in cash and the unwinding of its retained working capital 
estimated to be approximately £36m will also serve to reduce  
debt further speedy hire plc annual report and accounts 2011
business review  chairman’s statement 21 
strategic progress
these results and particularly the recovery in the second half 
where the ebita margin preexceptional items increased by 
99 percentage points compared to the first half are a reflection 
of the successful implementation of the group’s strategy of 
developing close longterm strategic partnerships with major 
customers and industrial groups this has allowed us to gain access 
to their supply chains at low cost and offer broader complementary 
activities in testing inspection repair maintenance asset 
management training and advisory services both in the uk 
and increasingly internationally 
having taken decisive action in 2009 in response to the global 
financial crisis and realigned the cost base the focus in 201011 has 
been on strengthening the balance sheet to prepare the business 
for growth in line with this strategy as the economy recovers 
during 201011 we continued to invest in our network our it 
infrastructure our assets and in our complementary nonhire 
services eg testing training and sales which differentiate the 
business and thereby provides it with a platform to broaden its 
offerings to a wider range of customer segments our strategy will 
continue to underpin the group throughout 201112 as we maintain 
our focus on cash costs and customers whilst recovering growth 
in our business
our priority remains to restore our uk business to full health 
investing to refresh the fleet and in the improvement of the  
efficiency of our property portfolio we will also continue to 
develop our fledgling businesses principally international 
and training  advisory services at a measured pace
funding
the group’s bank facility which is a revolving credit facility  
of £210m matures in june 2012 in preparation for this the group  
is in advanced discussions with its existing bank group along with 
other lenders regarding its refinancing requirements and expects  
to secure replacement funding in the near future 
dividend
the company paid an interim dividend of 02p per ordinary 
share on 28 january 2011 consistent with the interim dividend  
paid in 200910
we remain committed to a progressive dividend policy as markets 
recover but remain cautious in our approach to cash in the interim 
the board is therefore recommending an unchanged final dividend 
of 02 pence per share this represents a cash cost of c£1m 
if approved by shareholders at the forthcoming agm this will 
bring the total for the year to 04 pence per share 
governance and board changes
since the company listed on the london stock exchange in 1993 our 
board and executive governance structures have developed and 
improved we are fully compliant with the uk corporate governance 
code and firmly believe that good governance reduces risk and 
adds value to the business
the board has undergone a number of changes in the past year 
and further changes will take place in the forthcoming year 
justin read the group finance director has resigned to join the 
board of segro plc as its group finance director justin will be 
leaving on 26 august 2011 a recruitment process for a new group 
finance director will commence immediately and an announcement 
will be made once this process has been concluded 
the board would like to express its gratitude to justin for his 
invaluable contribution to the group over the last three years  
and to wish justin every success in his future career
david wallis retired at the end of december 2010 having served 
as chairman of the company for over 10 years claudio veritiero 
md of asset services left the group in october 2010 as part of our 
cost reduction programme michael averill was appointed as senior 
independent director on 1 january 2011 at the same time as i 
became chairman further changes amongst the nonexecutive 
directors will take place this year as peter atkinson will retire at the 
forthcoming agm having served six years on the board the board 
has commenced a search for a new nonexecutive director
we are most grateful to david claudio and peter for their invaluable 
contributions and wish them well for the future 
employees
201011 saw another year of tremendous commitment from our 
people the quality of our people continues to be a core strength 
of our business our recovery through this year is down to the 
performance of steve corcoran his team and all the employees 
who continue to build the business i would like to thank them  
all on behalf of the board for their skill dedication hard work 
and loyalty throughout this period of upheaval and difficult 
economic conditions 
outlook
in conclusion whilst we acknowledge that our business has 
been through a very difficult and unrewarding period for our 
shareholders management has aggressively taken action with 
regard to cash costs and capex to ensure that the group has not 
only survived the short term challenges to its future but that it is 
now far stronger as a business and is very well placed for the future 
whilst april’s trading was affected by the impact of the late easter 
and the subsequent royal wedding public holiday the new financial 
year has begun satisfactorily although we remain alert to the 
continuing uncertainty in the economy which we believe will 
continue for some time to come in the construction sector in 
particular we are confident that the actions we have taken give  
us a solid platform from which to build and that we will continue 
to make progress in 201112 our leading market position our 
advanced systems our strong cash flow and our clear market 
approach position the group strongly to take full advantage of  
the market upturn when economic conditions eventually improve
annual general meeting
the agm will be held at 1100am on 13 july 2011 at mere court hotel 
 conference centre knutsford cheshire i look forward to seeing 
you there
ishbel macpherson
nonexecutive chairman
business review 22 business review  chief executive’s review
chief executive’s 
review
“ with revenues up rates and 
margins improving and costs 
down we are well set to deliver 
sustainable growth” 
 
steve corcoran 
chief executive
overview
the financial year which closed 31 march 2011 signalled the 
end of the most tumultuous period in the group’s history with the 
business recording a profit before tax amortisation and exceptional 
items of £92m in the second half reversing a £99m loss in the first 
half when the financial crisis broke in september 2008 our business 
was on a significant growth curve having reported 223 revenue 
growth in the first half of 200809 and was still in the process of 
integrating hewden tools which we had acquired in the prior year 
the subsequent sharp contraction in construction activity left us with 
effectively two businesses to restructure as well as an integration 
to complete since that time through aggressive and determined 
action we have reduced our headcount by 29 our vehicle fleet 
by a similar amount and removed 33 of our operational sites 
it was this determined action that gave us the confidence to 
announce at this year’s interims that after a two year period 
of disappointing results we were confident that the business 
had turned the corner our second half performance has 
supported that claim speedy hire plc annual report and accounts 2011
business review  chief executive’s review 23 
our performance in 201011
i am pleased to report that we have reversed our first half losses 
in the second half of the year to end the year at a broadly break 
even position profit before tax amortisation and exceptional items 
in line with our expectations whilst it was a challenging target 
to turn around a £99m first half loss loss before tax amortisation 
and exceptional items it was satisfying to have delivered on that 
expectation with a second half performance which delivered  
a 99 percentage point improvement in operating margin pre
amortisation and exceptional items and a 546 increase in our 
ebitda performance preexceptional items over the six months 
at a time when our principal market construction continued  
to be in decline the achievement is even more encouraging 
when considering that the performance of our accommodation 
hire operation continued to decline year on year and one of our 
principal clients connaught plc fell into administration it is 
pleasing to note that after a period of eighteen months of 
aggressive selfhelp in which we merged eleven trading entities 
into one established a single uk based shared services centre 
completed the move of the entire group onto a single it platform 
and took the robust action against costs as outlined above 
which have collectively contributed to an annualised reduction 
in our operating costs of approximately £110m since june 2008 
that we saw the benefits of those initiatives come through in the 
second half 
looking ahead into the current year and beyond in the uk we are 
benefitting from improving hire rates closing the year up 10 year 
on year increasing demand and a more efficient cost base 
having sold the loss making accommodation hire operation 
we are confident that we have secured a strong platform that will 
provide for a sustainable recovery in addition we have diversified 
our business with the continued development of the new 
international operation based in the uae the specialist engineering 
operation to target activity in the industrial and rail markets and the 
training  advisory operation to assist clients with their risk 
management especially in the use and application of rented plant 
and machinery whilst these operations are at an early stage in 
their development we are encouraged by their progress and are 
confident that they will provide a meaningful contribution and 
differentiation in the future
operating network
our strategy provides for a reduction in the number of operational 
outlets as we consolidate a number of operations that exist in the 
same or adjacent towns and cities into fewer larger sites this will 
support us in the development of a three tier operating model of
regional multi service centre’s msc’s which will act as regional  
distribution centres as well as hosting our main workshop 
services and specialist hire facilities light plant fencing  safety 
decking 
superstores which will provide a tools lifting and survey  
capability under one roof to serve the major conurbations we 
will retain the integrity of independent specialist skills but realise 
greater efficiency from our transport administration and 
maintenance capabilities and
local tool hire where customer needs tend to be more  
unplanned and reactive in order to support our local regional 
and national customers and those more transient customers 
engaged in service maintenance and fm activities it is 
important that we offer full geographic coverage and be close 
to their operations especially in areas of specific industrial 
or economic activity eg grangemouth sellafield scunthorpe 
and fawley 
in pursuit of this strategy during the year we reduced the overall 
number of outlets from which we operate from 363 to 327 and 
opened our ninth superstore we have a further eight superstores 
in various stages of internal planning or development
it trading platform
we have rigorously maintained our commitment to increasing both 
our investment in and use of technology after a year of further it 
investment £26m 201011 was the first full year in which we 
benefitted from the transfer of all business activities onto a single it 
trading platform when combined with the consolidation of the uk 
hire operations into one trading entity we now have full 
transparency of all our assets customers and trading activities 
the benefits from this investment are already evident with greater 
visibility over our hire fleet availability its location and operational 
status helping to drive improvements in utilisation q4 utilisation in 
the uk was up 12 year on year and thereby reduce capex needs 
with the availability of improved information and reporting we are 
able to analyse better our performance as well as to identify older 
or underutilised assets these can then be disposed of and the 
cash proceeds £162m in 201011 made available to be recycled 
for reinvestment into new assets in areas of greater demand this 
capability has enabled us to replenish the fleet whilst reducing the 
need for traditional levels of additional debt or capital 
we are confident that our extensive investment in it which  
was maintained throughout the downturn will provide the platform 
to drive margin growth improve return on capital employed and 
enhance our overall customer service which already enjoys a 927 
recommendation score the advancements in our systems also 
provide flexibility to adopt new services and activities in support 
of our clients’ risk management as well as enhancing our 
international growth capability 
disposal of accommodation hire operation
since the year end we have announced the disposal of our 
accommodation hire operation for £349m retaining the working 
capital estimated to be £36m to elliott group a wholly owned 
subsidiary of algeco scotsman which is the world’s leading provider 
of rented temporary accommodation as a part of the disposal both 
parties have entered into a three year exclusive partnering 
agreement which will see us support each other in the provision 
of our respective fleet services elliott will become the provider 
of accommodation services and toilet hire to speedy throughout 
the uk with speedy supporting elliott’s requirements in the 
provision of tools and equipment such as power generation 
lighting and compaction equipment in addition we will also 
further expand our service based revenues through the provision 
of engineering support to maintain elliott’s c1650 strong generator 
fleet for an initial period of three years from may 2011 the disposal 
is a sensible move with clear commercial benefit to the group  
as it removes our only established non market leading and loss 
making operation from the business whilst enabling two market 
leaders to offer their respective customers access to a more 
comprehensive offering 
business review speedy hire plc annual report and accounts 2011
24 business review  chief executive’s review
chief executive’s review  
continued
contractual revenue stream with major businesses  
and their downstream contractors
despite the challenging market conditions that have persisted the 
business has continued in its objective to secure closer relationships 
with the uk’s major construction engineering and infrastructure 
groups we are convinced that this has proven to be the right 
strategy evidenced by the fact that
we have broadened our customer base into nonconstruction  
markets such that nonconstruction now accounts for around 
53 of group revenue in construction 585 of our revenues 
are secured with the major contractors directly
at a time of heightened financial uncertainty larger clients offer  
far greater debt security and more importantly workload 
security 
with the conditions facing uk construction forecast to remain  
difficult spending on infrastructure especially in markets 
associated with water waste energy and transport are 
expected to be more resilient and these activities tend to be the 
domain of the major contractors and specialist trades 
work in these markets is more visible sustainable and securely  
funded 
the trust of major clients gives access to and influence over their  
subcontractor base and
forecasts suggest there will be further consolidation in our end  
markets with the major contractors taking more market share 
stronger relationships with them ensure that we are able to gain 
market share from this consolidation process
our improved knowledge and understanding of end markets  
has also enabled us to secure work directly with the end users 
themselves for example in the water sector we have won hire 
contracts with thames water and wessex water and services 
contracts from united utilities and severn trent water in the energy 
sector we have also secured significant new business awards from 
murco chevron and exxon for integrated site based supply 
outside of infrastructure we have also successfully targeted large 
capital projects these projects are subject to extensive financial 
and commercial due diligence which provides us with confidence 
that the funding structures are secure and the projects themselves 
more sustainable with large capital commitments in highly 
complex engineering and construction programmes these projects 
require careful planning and highly skilled project management 
they therefore also tend to be the domain of the major contractors 
our success in understanding these issues is evidenced by our 
award this month of the integrated onsite facilities with brookfield 
multiplex at the new £750m glasgow south hospital 
cash and finance
our business is a strong generator of cash and the capacity to use 
this to pay down debt has been one of the great achievements 
during the recent difficult years 
we entered the downturn with peak net debt at july 2008 of 
£3032m and we finished the 201011 year with net debt of £1139m 
before receipts from the disposal of the accommodation hire 
operation since the start of the recession we have reduced debt 
by almost £190m whilst approximately £100m of this was with the 
support of our shareholders through a rights issue in july 2009 
we have paid off a further £90m through funds internally 
generated despite total cash costs of £268m associated with 
bank facility amendment fees property closures redundancy costs 
and other activities associated with our restructuring programme 
this equates to a total cash generation through the period 
of £1168m 
at the end of the financial year we have net debt to ebitda at less 
than two times and net debt to net tangible fixed assets at only 
052x we have a strong balance sheet which leaves us well placed 
as we move forward to capitalise on the strength of our cash 
generation to fund further capital investment as trading conditions 
continue to improve
strategy
our strategy is to develop a service led capability one that is built 
around customer intimacy by gaining a real understanding of our 
customers and their markets as we know them better we are more 
able to develop services that are specifically designed for them and 
support the requirements they have to maintain their own 
differentiation to their clients success is evident in that for the year 
ended 31 march 2011 over 28 of our revenues have been derived 
from nonrental services these activities are less dependent upon 
capital and provide far greater engagement with our customers 
whilst providing clear differentiation from those peers who continue 
to operate a vanilla hire offering it is our firm view that without the 
addition of value added service capabilities hire in isolation will 
continue to see price erosion and eventually become a commodity 
based activity service is valued the provision of a product  
or an asset is not
to not have a value added offering also fails to understand why 
customers have turned to hire in the first place our customers 
hire to mitigate three risks
capital risk the capital cost to purchase equipment and to  
replace equipment together with the balance sheet impact 
of owning the equipment
operating risk the risk associated with the costs involved  
in financing landproperty rental to operate a plant fleet  
the cost of spares and parts in maintaining equipment and the 
logistics costs associated with transporting storing and moving 
equipment all of these are costs that have to be recovered 
in customers’ tenderingbidding processes but yet are not 
core activities and
legislative risk the increasing risks associated with legislative  
compliance especially in areas of health and safety and 
increasingly environmental management and sustainability  speedy hire plc annual report and accounts 2011
business review  chief executive’s review 25 
however hiring alone will not remove these risks for example 
if hired equipment is given to someone who is inadequately trained 
or who uses it in an inappropriate manner then the customer runs 
the risk of injury to people or damage to the machinery or property 
exposing the customer to additional compliance or financial risk 
equally legislative risk resides if the wrong equipment is specified  
or is hired where it is not suitable for use in an activity exposed  
to safety or environmental risk customers take more comfort from 
having access to the experts we can give guidance on the most 
suitable product applicable mitigating risks to the company 
individuals and the brand 
it is an appreciation and understanding of issues like these and the 
drivers for hire that has led us to establish our training  advisory 
service our test repair inspection and maintenance capability and 
our consumable and equipment sales offering this ensures that 
our customers have access to the support mechanisms and the 
range of service requirements to enable them better to manage 
the risks associated with plant and machinery in their own 
operations by developing these services we also enhance 
the capability to shift our business from a rented asset provider  
to a plant services outsourcer
this move is not a radical shift from what we do but an evolutionary 
extension of what we have traditionally provided both in support 
of our own business and also in an adhoc way to our clients now 
encompassed in our service business they are being increasingly 
recognised by customers as a real value add extension in our 
offering and as such a clear business differentiation when 
accompanied with the benefits afforded from our industry leading 
it capability we are increasingly able to offer our clients 
a compelling proposition it is of particular relevance to those  
clients who are large regular users of hired equipment and they 
therefore value what we do 
our business is now in a strong position although it has 
been through a very difficult period which has not provided our 
shareholders a satisfactory return in recent times we are confident 
that the aggressive action taken to rightsize the business has 
provided us with a secure platform from which to rebuild our 
decisions whilst having to be appropriate for the environment in 
which we found ourselves have always been accompanied with 
a clear view for the needs of the business over the longer term 
our prime focus has been on ensuring that we had a strong and 
healthy balance sheet throughout the downturn even if that was 
at the expense of short term profitability this action was driven  
by a clear focus on the 3 c’s of cash costs and customers this has 
ensured that the group has not only survived the severe short term 
challenges to its future but has emerged far stronger and is now 
very positively positioned for future growth 
current trading and prospects
as a result of the aggressive and determined action taken by 
management in pursuit of our strategy group revenue excluding 
fleet equipment sales has improved year on year by 36 after 
adjusting for the drag effect of the accommodation hire operation 
the improvement was 32 for the core uk tools lifting and survey 
operations our power business which was loss making in the 
earlier part of 201011 traded profitably in the second half and with 
the fledgling operations in international engineering a part of uk 
asset services and training  advisory also progressively moving 
towards profitability we are confident that our recovery is well under 
way however we are not complacent since 201112 will not be 
without its challenges
the construction market is forecast to remain difficult with output  
expected to fall a further 08 this year
the 1 increase in national insurance contributions which came  
into effect in april 2011 will add to our operating cost as we 
remain very much a people business employing almost 3800 
people in the uk
fuel costs remain persistently high and are forecast to remain  
so for the foreseeable future every penny increase in fuel per 
litre increases our costs by c£80000 annually
local authorities are expected to increase the business rates  
to offset spending cuts and other financial challenges with 
over 300 outlets in the uk business rates cost us £40m 
in 201011 and
the april period was down year on year as expected as a result  
of a late easter followed by an additional public holiday for the 
royal wedding leading into the may day bank holiday these 
combined to reduce the number of charging days in the period 
and resulted in many customers taking an extended break 
we are confident in our ability to deal with these issues with  
a renewed vigour in the group having successfully restructured  
the business we are now very firmly focussed on looking forward 
whilst maintaining a tight control over the 3 c’s of cash costs and 
customers capex investment will be progressively increased and 
will continue to be supported through the disposal of underutilised 
or older assets such that net investment will remain lower than that 
traditionally seen 
finally it is important to recognise the continued commitment  
of the dedicated people throughout the business our people  
have responded magnificently throughout these difficult times  
and i am pleased to acknowledge their hard work with trading 
improving rates recovering and return on capital increasing 
we look forward with increasing confidence however this more 
positive outlook is tempered with an acknowledgement that in the 
short term there will continue to be challenges as our business and 
the country as a whole emerge from recession 
steve corcoran 
chief executive
business review speedy hire plc annual report and accounts 2011
26 business review  principal risks and uncertainties
principal risks and uncertainties
the group board is fully committed to a programme of continual 
improvement which includes identifying evaluating and managing 
significant risks facing the business and has developed a set of 
processes to allow it to do so ten key risk areas have been 
identified the successful management of which is seen as essential 
to the group’s ability to achieve its corporate goals a revised risk kpi 
dashboard has been agreed and will be reviewed by the board 
every quarter additionally the internal audit plan is aligned to the 
key risks the text below summarises in alphabetical order the 
risks that were identified as key together with a short description 
of monitoringmitigation
risk description mitigation
1 attracting and maintaining key staff 
lack of staff with appropriate skills hinders our ability to win mobilise and  
deliver our business 
speedy offers competitive benefits packages and provides training at all levels 
including a training academy skill and resource requirements for meeting the 
group’s objectives have been identified and action taken to address any gaps 
speedy also offers career development and succession plans
2 business continuity 
any interruption to the group’s it systems or infrastructure could have a 
material adverse effect on the group’s business communication capabilities 
management of projects and overall financial performance and reporting
responsibility for the integrity of the group’s it systems rests with the director  
of information technology preventative controls and backup and recovery 
procedures are in place for key systems and all buildings changes to group 
systems are considered as part of wider change management programmes and 
implemented in phases wherever possible the group has critical incident plans 
for all its uk and international operations insurance cover is reviewed at regular 
intervals to ensure we are covered in the event of a business continuity event
3 data and management information 
to achieve its strategic aims the business needs to measure and analyse 
performance in every business area and across all products and services 
leveraging revenuegenerating opportunities exceeding customer 
expectations effective decisionmaking and keeping costs down all require 
effective systems mi and kpis 
the group has it systems throughout all business areas which are the 
responsibility of the director of information technology the ‘one speedy’ project 
which has been running since mid2009 continues to deliver material data and 
information benefits and will continue to do so ongoing investment is planned  
to use technology further to improve asset management data management and 
customer management information
4 external influences 
a downturn in constructionindustrial activity or a decline in the desirability 
of hiring tools and equipment to fulfil such activity may reduce the prices that  
the group can charge for its services and may reduce activity levels 
government expenditure is important across the wider construction industry in 
the uk any reduction in government expenditure which is not offset by an 
increase in private sector expenditure could adversely affect the group 
the group continually monitors and assesses market capacity by reference  
to a number of external sources together with internal data which reports 
customer product and geographical demand it operates a flexible model 
that can react to prevailing market conditions
the group assesses changes in government spending as part of its wider  
market analysis the impact on the group of any such reduction in expenditure  
is assessed as part of the ongoing financial and operational budgeting and 
forecasting process our strategy is to develop a broader spectrum of services 
across different markets and to ensure that we are well positioned with clients 
who are likely to benefit from those areas in which increased activity is forecast
5 failureinsolvency of major customer 
whilst no single customer accounts for more that 7 of revenue or receivables  
in the event of the loss of a major customer the revenue generated by the 
group could be reduced with a corresponding impact on the group’s market 
position and the group could experience bad debts in respect of business 
already transacted 
credit control processes are in place to monitor the potential for credit defaults 
and exposures this is reported on a regular basis to the executive management 
team and where necessary issues are escalated to resolve payment issues 
as soon as practicable visibility of exposures to individual customer groups 
is improving through the implementation of the business information and credit 
management systems given the diversified customer base the group does 
not maintain credit insurance and management of the risk of debt default 
is managed as part of the daytoday operations of the business speedy hire plc annual report and accounts 2011
business review  principal risks and uncertainties 27 
risk description mitigation
6 finance
should the group be unable to obtain sufficient capital in the future it may not  
be able to take advantage of strategic opportunities or it may be required to 
reduce or delay capital expenditure resulting in the ageing of the fleet andor 
availability issues this could disadvantage the group relative to its competitors 
and may adversely impact its ability to command acceptable levels of pricing 
the group’s treasury policy sets out objectives regarding the nature amount and 
maturity of committed funding facilities that should be in place to support the 
group’s activities
in line with the policy the group’s capital requirements and potential sources  
of finance are reviewed at board level on a regular basis in order that its 
requirements can be adequately planned for close relationships are maintained 
with the group’s bankers in order to ensure that the group enjoys a broad 
degree of support short lead times for purchasing hire equipment are 
maintained in order to manage capital requirements
7 increase in competition 
the equipment rental industry is extremely competitive and highly fragmented 
many of the markets in which the group operates are served by numerous 
competitors ranging from national equipment rental companies to local 
independents some of the group’s principal competitors may have greater 
financial resources be more geographically diversified in particular regions 
have greater brand recognition in certain market sectors and may be better 
able to withstand adverse market conditions within the industry
the group monitors its competitive position closely with a view to ensuring that  
it is able to offer its customers the best solution to their requirements capital 
expenditure requirements are assessed as part of the budgeting process and 
throughout the year via regular forecasts daytoday capital expenditure 
requirements are assessed on a needs basis with limited longterm future 
ordering commitments the group monitors the performance of its major 
accounts against market forecasts and individual expectations with a view  
to ensuring that the opportunities for the group are maximised market share  
is regularly measured and our competitors’ activities are reported on and  
reacted to where appropriate
8 international 
a part of the group’s growth strategy relies on the development of our 
international business speedy’s ‘follow the customer’ international approach 
requires that these customers identify profitable and consistent project 
workflow additionally some of our current and target markets are politically 
volatile there are also challenges inherent in controlling operations in 
countries that are a long distance from the uk
speedy’s international partners are all wellestablished multinational 
businesses with years of experience of operating abroad we have a dedicated 
international business that coordinates all foreign activities to ensure that local 
cultural political and legal requirements are complied with we have plans in 
place to manage the extraction of staff from our international operations when 
the need arises
9 planning and change management 
to address the material reduction in the size of the hire market since 2008 the 
group is executing a strategy that delivers growth and profit though leveraging 
core competencies better than our competitors developing new and better 
ways of operating and entering new markets for example the middle east 
where different risks to those faced in the uk and ireland will emerge if the 
strategy is wrong or not executed effectively or the changes undermine our 
ability to plan and forecast the group may not achieve its objectives
indepth and ongoing reviews of business strategy have been undertaken by  
the board and its advisors in determining strategy the change programme has 
been communicated to all employees to explain the group’s strategy and plans 
to deliver the strategy are compared to actual performance significant projects 
are subject to careful evaluation and monitoring at board level with risks being 
subject to ongoing reporting around appropriate mitigation strategies in 2010  
we expanded our programme management office and created the role  
of strategic programme director
10 safety 
the group operates in an industry where safety is a critical consideration 
failure to meet customers’ safety expectations or regulatory requirements 
increases the risk of legal financial and brand damage this requires an 
uncompromising attitude to safety
the group is recognised for its industryleading position promoting enhanced 
health and safety compliance together with a commitment to product 
innovation the group’s systems and health and safety and environment teams 
measure and promote employee understanding of and compliance with 
procedures that affect safety also customer account managers address any 
service and safety issues arising in respect of those customers
business review speedy hire plc annual report and accounts 2011
28 business review  our performance
“ our strategy is built on 
developing intimate and  
longterm relationships with  
our customers this strategy 
is underpinned by our focus 
on consistency of service  
quality of equipment and  
legal and safety compliance“
david graham 
managing director uk asset services
our division is structured to incorporate specialist disciplines 
grouped into four key service lines
uk hire our largest operation comprising product specialist  
depots offering small tools lifting and materials handling 
equipment light plant power generation compressors pumps 
surveying and specialist safety and communication equipment 
sales teams are organised along market sector lines
engineering services this operation was created in 2009 and  
provides three distinct service offerings 
test repair inspection and maintenance services  −
major industrial  petrochemical onsite and shutdown  −
services and latterly
the development of our specialist rail activities and  −
procure resale responsible for the groups’ sales of personal  
protection equipment consumables and increasingly 
equipment sales our markets are served in three ways a resale 
operation through our depot network direct bulk distribution to 
our clients and increasingly through internet sales
the division also includes our operations in ireland which 
comprises five depots offering the full range of speedy products  
into the irish markets 
strategy
our strategy is based on developing strong relationships with 
our customers focused on fulfilling their equipment and site 
infrastructure needs through a range of hire and asset 
management services 
our aim is to maximise profitability and returns and to broaden 
our service offering so that we are able to support the entire asset 
cycle in order for uk asset services to reach ‘preferred’ or ‘strategic 
partner’ status customers demand that we provide quality 
consistency and added value to their businesses investment 
in fleet the uk’s largest operational network and an expanding 
range of services are ensuring we are well placed to meet 
these requirements
our plan is simple
be customer intimate know our customers and their markets  
give our customers the best service align our offering  
and service capability to our customers’ needs
add value through innovation extend into other areas   
of our customers’ value chain and
safety and sustainability at the core of our offer  
priorities for 201112
market conditions in 201011 were difficult and challenging 
however despite this we stabilised our business and have created 
a solid platform from which to move forward importantly we have 
underpinned our future through extensive it development leading 
to completion of the full roll out of axapta speedy’s it platform 
other developments include enhanced service measurement tools 
and reporting simplified and shortened reporting lines and the 
reorganisation of the sales operation to become market and sector 
focussed all of this is now supported by a central asset function 
that ensures asset quality coordinates fleet replacement and fleet 
disposals and is tasked with optimising utilisation
uk  ireland  
asset services
what we do
we deliver asset management for our customers 
with tailored services and a continued commitment 
to relationship management this means that 
whether a customer wants to hire lease or  
buy an asset we can advise them and support 
their needs speedy hire plc annual report and accounts 2011
business review  our performance 29 
large major contractors
balfour beatty plc oneyear group wide preferred supplier  
agreement
bam nuttall threeyear preferred supplier agreement  
galliford try fiveyear preferred supplier agreement  
wilmott dixon group renewal of twoyear preferred supplier  
agreement
sector clients
thames water fiveyear framework agreement  
welsh water fiveyear exclusive supplier agreement  
sector specialists
j murphy twoyear renewal of preferred supplier agreement  
waterutilities
mcnicholas construction services twoyear renewal of preferred  
supplier agreement waterutilities
barratt group twoyear preferred supplier agreement housing  
east ayrshire council twoyear framework agreement public  
tesco twoyear framework agreement commercial  
industrial
rowecord engineering twoyear preferred supplier agreement  
doosan babcock oneyear preferred supplier agreement  
babcock international group threeyear preferred supplier  
agreement
after a weak first half our second half recovery was primarily driven 
by the performance of our tools lifting and survey operations
whilst turnover was broadly flat in the second half versus the first 
half the key performance improvements came on the back of gross 
profit improvements of 95 and robust cost controls with 
overheads falling by £59m
hire fleet efficiency has improved as a result of improving utilisation 
and the planned disposal programme this programme resulted in 
sales of £75m of slow movingobsolete equipment which 
generated a gain over net book values
the accommodation hire operation proved to be a considerable 
drag on our trading performance and whilst the second half saw 
some reduction in its losses market rates and volumes remained 
depressed
in contrast the power operation which had a poor first half did 
start to recover strongly in the second half with several major 
industrial shut downs which had been delayed or postponed 
recommencing and with an increasing number of offshore oil 
and energy projects
these and the other actions we have taken represent significant 
steps toward the completion of the delivery of the benefits of one 
speedy a consistent approach to our customers in the delivery of 
service excellence
in the following 12 months our priorities and initiatives include
the delivery of improved trading performance financial returns  
and asset efficiency combined with strong profit to cash 
conversion
consolidating our leading approach to providing tailored support  
and onsite facilities to major projects 
delivering our transition to a market and sector based model for  
client relationship management ensuring we are well placed to 
benefit from the more robust markets in infrastructure transport 
energy waste and utilities
growing our new sales offer procure through webbased sales  
and an enhanced inbranch proposition
expanding our industrial engineering and rail operations by  
securing additional longterm asset management contracts
increasing yield through the application of service measurement  
financial control and improved reporting
delivering a further improvement in our safety record reducing  
accidents in the workplace and risk for all our stakeholders
continuing to focus on sustainability and expanding our ‘getting  
greener from the ground up’ programme to support our clients’ 
carbon reduction programmes and
delivering ‘my speedy’ client extranet facility providing real time  
information reducing administration and transaction costs 
through the whole supply chain
our markets
our key markets in the uk and ireland are construction 
infrastructure utilities and major industrial groups 
commercial construction rentals are geared towards contractors 
conducting newbuild and repair and renovation work who hire 
a wide range of equipment industrial rentals are geared towards 
businesses conducting routine plant maintenance as well as special 
projects that require power and welding equipment lifting and 
material handling equipment and safety products 
alongside our core market of construction the sectors that we will 
focus on in 201112 are those where we see both robustness and 
growth namely infrastructure transport energy waste and utilities 
this focus will be reflected in the assets we add to our fleet 
the service offering we provide and the allocation of our 
human resources
how we performed
during the period we secured a range of major longterm contract 
awards renewals and extensions across a number of sectors by 
focusing on
the largest general contractors who generally have activity and  
large order books across all robust and growth sectors and 
provide us with low cost access to their subcontractors
sector clients who put in place long term framework supplier  
arrangements covering all of their operating and capital 
investment programmes and
sector specific contractors and subcontractors’ who tend  
to specialise in more highly regulated sectors
business review speedy hire plc annual report and accounts 2011
30 business review  our performance
international  
advisory services
what we do
we support our customers in delivering major 
overseas projects and facilities management 
contracts by providing a managed site support 
service which combines our core expertise in 
equipment hire with asset management site 
infrastructure and logistics services
priorities for 201112
our first priority is to remain focused on delivering the targets and 
kpis in our contracts with strategic customers including al futtaim 
carillion and costain and to extend our reach to support their 
businesses as they win projects across the wider region our 
second priority is to sign further longterm strategic service 
agreements with a select group of both existing and new 
customers
our markets
we are focusing on two key markets oil and gas and government
backed infrastructure and industrial projects the oil and gas  
market is global and speedy has a long track record of supporting 
customers on projects from europe to east asia our base in the 
middle east not only provides greater access to the oil and gas 
industry in the region but provides a base from which we can 
extend our range of services to oil and gas projects in central and 
east asia the infrastructure and industrial sector is more focused 
on the middle east region and we believe that the recent political 
issues in a number of countries are only likely to accelerate 
longterm plans to invest in infrastructure as governments seek 
to address structural shortages in water power and transport and 
push on with social programmes with new hospitals schools and 
universities furthermore governments across the region are 
pursuing a strategy of industrial diversification with major 
investment programmes underway 
how we performed
our focus this year has been implementing the key change 
programmes that are the cornerstone of our fiveyear exclusive 
strategic services agreement with al futtaim carillion and we have 
already delivered tangible savings to them we also signed a similar 
threeyear exclusive outsourcing contract with costain who has 
been established in abu dhabi’s oil and gas industry for over 35 
years and we have won a number of highprofile projects in the oil 
and gas sector across the region supporting baker hughes qmena 
and other longestablished customers of speedy turnover was 
lower than expected at £84m largely due to delayed starts on a 
number of major customer projects and whilst we have maintained 
our investment in building a team that can deliver our strategy we 
have also exercised tight control over our costs to minimise our 
startup losses with an ebita loss of £19m steady revenue growth 
throughout the year reduced second half losses to £05m 
compared to a loss of £14m in the first half a healthy pipeline 
of visible opportunities provides us with optimism for continued 
growth in 201112 
international asset services
we help our customers manage risk on major overseas projects 
and contracts by delivering the highest safety and quality 
standards often in challenging environments and by tracking and 
controlling assets through our inhouse management information 
and control systems we also work with our customers to help them 
make more efficient and effective use of assets on major contracts 
we will implant experienced teams into our customers’ operations 
to work in partnership with their management teams to apply our 
expertise and innovation in driving measurable efficiency savings
strategy
our ultimate vision is to be able to support our customers on any 
major project anywhere in the world by following our existing 
customers into new markets we can then reach out to new 
customers who will benefit from our services
we are implementing the first phases of our strategy by investing in 
the middle east where there is a high concentration of our existing 
customers engaged on key projects in the oil and gas infrastructure 
and industrial sectors speedy hire plc annual report and accounts 2011
business review  our performance 31 
“ our ultimate vision for our international business is to 
support our customers on any major project anywhere 
in the world in addition our key priorities are to develop 
and grow our advisory services in conjunction with 
strengthening our training offering” 
 
mike mcgrath 
managing director international asset services 
priorities for 201112
our shortterm priority is to develop and grow our new advisory 
services in conjunction with strengthening and growing our existing 
training offering 
we are introducing new advisory services including fire risk 
assessments water and air testing to both traditional and new 
markets new initiatives for 201112 such as elearning will help  
us to grow our training services and attract a wider portfolio 
of customers 
our markets
whilst our focus remains firmly on the delivery of training and 
advisory services to customers within the group’s traditional 
markets we have expanded our customer base into nontraditional 
markets such as property management companies this year and 
we now look to grow our commercial relationships in new sectors 
including airport authorities and local and central government 
in 201112
how we performed
in the past year we focused on expanding our training offering 
to include over 200 accredited or certified courses in addition to 
developing bespoke courses to suit our customers’ individual needs 
we offer courses from over 100 nationwide training locations and 
our training services now include national vocation qualification 
nvq training
we have established new advisory offerings including health and 
safety risk assessments and asbestos surveys our customer base 
now includes property management companies and consultants for 
long term construction projects half of our revenue for the 201011 
financial year has been generated from new advisory services 
training  advisory services
we are proud to build on speedy’s long established core brand 
values of safety skills compliance and innovation our focus is on 
understanding our customer’s business and providing solutions for 
critical operational issues including compliance we are improving 
the range of training and advisory services that we offer these now 
include health and safety lean site sustainability environmental 
assurance and waste assurance 
our primary activity in the year has been the delivery of cost 
effective high quality training services to speedy customers  
and the establishment and growth of new advisory services
strategy
we will deliver a comprehensive range of solutionsorientated 
assurance services addressing financial risk and compliance to 
existing group customers and to new customers in both traditional 
and non traditional sectors in the uk and international markets our 
services will broaden and strengthen the speedy brand and extend 
customer brand awareness to a wider range of industries 
what we do
for many years speedy has worked closely  
with its customers to ensure a safe working 
environment by providing compliant quality 
equipment for hire we now support this with a 
comprehensive safety and skills training service 
and a growing advisory services offering 
business review 32 business review  group financial review
group financial 
review
“ despite the £109m increase 
in capex net debt has fallen  
from £1193m at the beginning  
of the year to £1139m 
at 31 march 2011” 
 
 justin read 
group finance director
group financial performance
revenue in the year to 31 march 2011 of £3542m was 09 above 
the prior year period 2010 £3511m notwithstanding the impact of 
the loss of a significant contract with network rail in december 2010 
and the collapse of connaught plc a major customer in september 
2010 included in turnover are planned fleet equipment sales 
totalling £56m 2010 £85m excluding these disposals revenue 
was up 18
gross margin improved to 613 2010 594 and the group 
reported ebita before exceptional costs of £83m 2010 £80m 
after deducting depreciation charges of £551m 2010 £602m
the group’s loss before taxation amortisation and exceptional 
items was £07m 2010 loss £62m the loss after taxation 
amortisation and exceptional items was £193m 2010 loss £183m  speedy hire plc annual report and accounts 2011
business review  group financial review 33 
revenue in the uk  ireland asset services division totalled 
£3435m of which £59m relates to the irish operations which was 
11 down on the prior year despite this £39m drop in turnover the 
division increased profits at the operating level with ebita before 
exceptional costs of £189m 2010 £150m after absorbing a £17m 
charge 2010 nil in connection with the collapse of connaught plc 
the uk  ireland asset services operating profit margin before 
amortisation and exceptional costs rose to 54 from 42 in 2010
turnover in the fledgling international  advisory services segment 
almost tripled rising to £107m compared to £37m in the prior year 
£84m of the turnover relates to the international asset services 
division 2010 £24m the training  advisory services division 
reported turnover of £23m in the year 2010 £13m largely derived 
from servicing the training requirements of some of the group’s 
major customers in line with our strategy the operating loss 
before amortisation and exceptional items of this segment 
amounted to £31m 2010 profit £05m reflecting incremental 
overhead of £68m going in to support the growth of these two  
new businesses
the figures for the segments reported above are stated before 
corporate costs these costs amounted to £75m before exceptional 
costs in the year 2010 £75m equivalent to 21 of gross revenue 
2010 21 despite a £11m increase in share option charges for 
future awards 
first halfsecond half financial performance
in the six months to 30 september 2010 the group’s loss before 
taxation amortisation and exceptional items was £99m 2010 
loss £48m the equivalent figure for the second half of the year 
was a profit of £92m 2010 loss £14m notwithstanding turnover 
that was 02 lower at the uk  ireland asset services ebita level 
before exceptional items the first halfsecond half swing was 
a positive £159m
the overall group ebita margin before exceptional items in the 
second half rose to 73 from 26 in the first half and 23  
in the prior year period although the first half performance 
was hampered by the £17m charge taken in connection with 
the collapse of connaught plc underlying performance in the 
second half has benefitted from improved cost management 
and better pricing
additionally net interest expense before exceptional items was 
£16m lower in the second half as compared with the first half this 
largely reflects the runoff of relatively expensive hedges between 
september 2010 and february 2011 as well as the move to a lower 
interest margin in november 2010 and lower average net debt in the 
second half
interest and hedging
net interest expense before exceptional items totalled £90m 
2010 £142m of which £37m was incurred in the second half 
of the year 
borrowings under the group’s bank facility are priced on the basis 
of libor plus a margin while the unutilised commitment is charged 
at 50 of the applicable margin during the year the margin 
payable on the majority of outstanding debt fluctuated between 
25 and 30 depending on the group’s performance with respect 
to thresholds contained within the facility agreement’s leverage 
covenant the current applicable margin is 30 a small portion 
of outstanding debt attracts a margin of 70 this relates to 
borrowings linked to the group’s international operations
the group utilises interest rate hedges to manage fluctuations 
in libor typically it aims to hedge between 40 and 70 of net 
debt at the year end hedges with a notional value of £60m 
2010 £110m were in place equivalent to approximately 53  
of net debt outstanding the fair value of these hedges was a 
liability of £06m at year end and they have varying maturity dates 
out to february 2014 the incremental interest cost arising from 
these hedges amounted to £27m during the year 2010 £37m 
exceptional items
exceptional items totalled £208m before taxation 2010 £111m 
these costs fall into three areas firstly those relating to 
restructuring and costsaving initiatives that were undertaken 
during the year these totalled £55m 2010 £111m and were 
principally in respect of the creation of onerous lease provisions 
for closed depots and redundancies secondly certain items 
relating to the april 2011 disposal of the group’s accommodation 
hire operation at 31 march 2011 these assets were shown in the 
balance sheet as being held for sale and were written down to their 
fair value net of costs to sell this treatment created an exceptional 
item totalling £138m 2010 nil finally exceptional financial 
expense of £15m 2010 nil which relates to additional 
amortisation of bank and advisor fees incurred in connection 
with the bank facility amendment process that was completed 
in june 2010 
the cash cost before taxation of these exceptional items was  
£52m of which £24m was spent in 2011 the total future tax 
benefit arising from these exceptional items is anticipated  
to be £56m 2010 £27m
business review speedy hire plc annual report and accounts 2011
34 business review  group financial review
group financial review  
continued
taxation
the group’s income statement shows a tax credit for the year 
of £77m 2010 credit £45m substantially all of which represents 
a reduction in the group’s deferred tax liability held on the balance 
sheet at the year end of this amount £21m relates to a pre
exceptional tax credit based on an effective tax rate of 333 
2010 credit 154 the balance represents a credit of £56m 
in respect of the exceptional items referred to above
cash tax in the year ending 31 march 2011 amounted to a net 
payment of £13m 2010 net refund of £59m in relation to tax 
liabilities of prior accounting periods
shares earnings per share and dividends
at the year ending 31 march 2011 5172m shares were outstanding 
of which 103m were held in the employee benefits trust including 
76m jointly owned shares 
the basic loss per share before amortisation and exceptional items 
was 002 pence 2010 loss 141 pence after amortisation and 
exceptional costs it was 381 pence 2010 loss 437 pence
the board remains committed to the payment of dividends when 
prudent to do so subsequent to the year end it has recommended 
a final dividend of 02 pence per share 2010 02 pence which 
represents a total cash cost of approximately £10m this gives 
a total dividend for the year on a uk gaap basis of 04 pence 
per share 2010 04 pence if approved by shareholders the 
final dividend will be paid on 17 august 2011 to all shareholders 
on the register on 17 june 2011 
capital expenditure and disposals
total capital expenditure during the year amounted to £479m 
of which £430m 2010 £335m related to equipment for hire 
including £50m in the international asset services division and  
the balance principally to investments in the group’s depot network 
3 new superstores were opened in the year and it groupwide 
investment in pda’s this compares to £438m in 2010 an increase 
of 94 with disposal proceeds of £162m 2010 £230m overall 
net capital expenditure totalled £317m 2010 £208m and net 
capex investment in hire fleet rose 1479 the disposal of 
damaged older or surplus hire fleet during the year generated 
profit of £50m 2010 £27m underlining the appropriateness 
of the carrying value of the group’s fixed assets 
a consequence of the increase in hire fleet investment is that there 
has been only a slight increase in the average age of the group’s 
hire fleet at 31 march 2011 the average age was estimated at 47 
years 2010 42 years based on net book value approximately 
40 of the uniquely identifiable fleet is less than three years old 
additionally over the next three years it is anticipated that only 
approximately £120m will be required to replace existing hire 
fleet passing through their useful economic lives 
cash flow and net debt
cash generation has remained positive with net cash flow 
generated from operating activities amounting to £123m in the year 
2010 £435m the principal reasons for the year on year reduction 
were a £146m increase in net investment in hire equipment a 
£91m decrease in trade and other payables consistent with the 
objective to improve supplier payment experience and a £72m 
swing from tax receipt to tax paid
free cash flow ie before acquisitions dividends and financing 
activities amounted to £74m 2010 £337m there were no 
acquisitions during the year 2010 nil and dividend payments 
amounted to £21m 2010 £43m
accordingly despite the increase in capex net debt has fallen from 
£1193m at the beginning of the year to £1139m at 31 march 2011 
a £54m decrease 
gearing net debt divided by shareholders’ funds has remained 
broadly stable at 497 484 at 31 march 2010 similarly net 
debt to ebitda before exceptional items was also stable  
at 179x 2010 175x 
balance sheet
net assets at 31 march 2011 totalled £2294m a £172m decrease 
on the £2466m reported at 31 march 2010 principally reflecting 
the write down of the accommodation hire assets which were sold 
on 30 april 2011 net assets per share amount to 443 pence 
327 pence based on tangible assets net property plant and 
equipment was £2199m at 31 march 2011 of which equipment for 
hire represents approximately 844 net debtnet property plant 
and equipment of 052x at 31 march 2011 2010 042x underlines 
the strong asset backing within the business
gross trade debtors totalled £978m at 31 march 2011 2010 
£1010m bad debt and credit note provisions totalled £72m at 
31 march 2011 £106m at 31 march 2010 equivalent to 74 of the 
debtor book 105 at 31 march 2010 a reduction which reflects the 
improvement in debtor weeks calculated on a countback basis to 
98 weeks at yearend compared to 111 weeks at 31 march 2010 speedy hire plc annual report and accounts 2011
150
speedy hire plc ftse 250 excluding investment trusts
0
50
0
volume m
price pence
mar jan nov sept jul may
business review  group financial review 35 
capital structure and treasury
speedy’s longterm funding is provided through a combination 
of shareholders’ funds and bank debt
shareholders’ funds totalled £2294m at 31 march 2011 2010 
£2466m the year on year decline of £172m largely results from 
a £176m reduction in retained earnings which itself principally 
reflects the loss for the year including the accommodation hire 
assets’ writedown and the dividends paid during the year
bank funding for the group is via a committed bank facility provided 
by seven relationship banks at 31 march 2011 the amount of the 
facility was £210m and headroom under the facility amounted  
to approximately £96m £1405m at 31 march 2010 including 
£125m of cash the facility is a revolving credit facility which 
matures in june 2012 the facility includes quarterly interest fixed 
charge leverage and cash flow cover tests speedy was compliant 
with these tests throughout the year
discussions regarding the refinancing of the group’s bank facility 
are progressing well based on bank responses received so far 
the board is confident that it can secure a replacement term facility 
at an amount and on blended pricing similar to its existing facility 
heads of terms have been agreed and independent due diligence 
completed documentation of the new facility is in process and 
completion is expected shortly
the group will continue to maintain a tight focus on cash 
generation recognising however the need to invest in order 
to maintain the quality of its uk hire fleet additionally prudent 
investment will be provided to help support growth of the group’s 
international operations
return on capital
return on capital based on ebita before exceptional items totalled 
23 in the year ended 31 march 2011 this compares to 20 in the 
prior year period the principal reason for the increase was that 
despite ebita before exceptional items remaining broadly stable 
average gross capital employed was £363m lower at £3546m 
2010 £3909m
sale of accommodation hire operation
on 30 april 2011 the group completed the sale of the business and 
fixed assets of its accommodation hire operation formerly known 
as ‘speedy space’ for £349m working capital in the operation at 
the date of sale totalling approximately £36m was retained for the 
benefit of speedy 
in preparation for the sale at 31 march 2011 the fixed assets of the 
accommodation hire operation were transferred to assets held for 
sale and were written down to fair value less costs to sell this has 
resulted in an exceptional loss of £138m being included within the 
results for the year to 31 march 2011 this represents the significant 
portion of the overall exceptional loss that is anticipated to arise 
as a result of the disposal 
this operation was a part of the uk  ireland asset services 
division and its financial results are contained within the division’s 
segmental results during the year the accommodation hire 
operation contributed turnover of £355m 2010 £406m ebitda 
before recharges allocations and exceptional items of £46m 
£68m and made a contribution loss before recharges allocations 
and exceptional items of £45m 2010 loss £21m the proforma 
impact of this disposal on group margins for the year to 31 march 
2011 is to increase the group’s ebita margin before exceptional 
items from 23 to 40 and its roce margin before exceptional 
items from 23 to 42
 justin read 
group finance director
oneyear share price record compared to ftse 250
business review speedy hire plc annual report and accounts 2011
corporate responsibility
one plan
…for responsible business practice
over the last six years speedy has established a proactive 
approach to our wider responsibilities which has been well 
received by our customers and wider stakeholders and has 
attracted national recognition this year we are looking to raise 
the bar once again
 
in 2011 we are launching one plan our goal is to become  
one of the most respected support services businesses 
we are working with our employees our customers and our 
suppliers to ensure that sustainability sits at the heart of everything 
that they and we do this means a commitment to reducing 
carbon increasing efficiencies trading safely and ethically and 
ultimately helping our customers become the organisations they 
aspire to be
we’re doing this because we understand the world has to change 
to meet a new set of social economic and climate challenges
at speedy we are ready to play our part
36 business review  corporate responsibility speedy hire plc annual report and accounts 2011
business review  corporate responsibility 37 
2011
speedy is delighted to announce  
that it has achieved silver in business  
in the community’s 2011 corporate 
responsibility index cri the uk’s 
leading voluntary benchmark of 
corporate responsibility achieving 
silver means that speedy conducts 
effective stakeholder engagement 
and has the right processes in place 
in order to identify and manage 
risks and opportunities 
business review speedy hire plc annual report and accounts 2011
corporate responsibility 
continued
our marketplace 
in terms of our responsibilities speedy sees the marketplace  
as the place where all the key areas that we can influence converge 
in this respect it is of huge significance to how we conduct our 
business and the impacts we can have by supporting our 
customers in their approach to the corporate responsibility agenda 
in advocating responsible business practice throughout our supply 
chain and in marketing and selling our services to the highest 
ethical standards our approach is one of partnership and we look 
to engage with key stakeholders in our industry from the major 
contractors group to the health and safety executive hse and 
from the carbon disclosure project to charitable and community 
based organisations some of these relationships are covered 
under separate headings later in this section but the three main 
aspects of customers suppliers and wider stakeholders are 
outlined below
our customers
supporting our customers not only with equipment and services 
of the highest quality but also with a responsible approach to the 
environment and wider social impacts is becoming a clear 
differentiator for the group our go green option initiative has the 
objective of reducing our customers’ energy usage and production 
of waste therefore providing them with carbon and cost efficiencies 
expert assessment of our product ranges allows us to supply our 
customers with greener options for key areas of their operations 
from space and power to lighting and general site design our 
transport logistics are regularly monitored and our depot network 
and structure reviewed to assess where the greatest efficiencies lie
one plan
…for responsible business practice
38 business review  corporate responsibility speedy hire plc annual report and accounts 2011
business review  corporate responsibility 39 
customer excellence indicators have been established and 
implemented by our business and customer excellence team 
and are reviewed regularly at board meetings the feedback 
culminates in a customer nett promoter score ie the proportion 
of our customers who would recommend speedy to others 
that score has been over 90 for the last 12 months and  
we are seeking to increase it further
investment in our go product range national awards for 
our responsible approach to marketing and a passion for 
customer service excellence are providing the foundation  
for our customer relationships
our suppliers
our message to our suppliers has been consistent and clear 
innovate innovate innovate improved environmental performance 
products safer in design and use a creative approach to delivery 
patterns product packaging and more sustainable supply chain 
activity are huge factors in building customer relations and sales 
we are delighted to have some of the best suppliers in our industry 
working for us and through our supplier excellence programme 
sep speedy is looking to an ever increasing partnership approach 
to the challenges and opportunities which are inherent in our 
industry
our sep in particular looks to support our suppliers’ environmental 
and corporate responsibility programmes and drive commercial 
environmental and social excellence in partnership with our  
supply chain
stakeholder engagement
creating an environment where our industry our customers and 
suppliers can thrive is not something we can achieve in isolation 
neither is it something we can achieve simply by engaging with 
our customer base and supply partners open dialogue with our 
employees communities investors and wider industry stakeholders 
is a crucial part of ensuring our corporate responsibility agenda 
remains relevant and focused 
therefore all the key aspects of corporate responsibility have been 
designed and delivered in collaboration with our customers and 
suppliers our award winning safety from the ground up campaign 
launched in 2005 set the trend designed in collaboration with our 
customers suppliers and wider stakeholders in particular the hse 
it formed the basis of our ‘from the ground up’ communication 
process addressing key industry issues at site level a similar 
approach supported the design and introduction of our go  
product range
regular communications with the investment community our  
award winning web site and proactive communications with our 
charity and community partners also help to shape our business 
and aspirations for the future
speedy’s approach to corporate responsibility looks to engage  
and collaborate with our stakeholders at every opportunity 
we are very proud to have received 
a prestigious ‘big tick’ award from 
business in the community out of 
hundreds of entries we were among 
a small cadre of businesses to receive 
the coveted national big tick for our 
’lighting the path to innovation’ 
programme in the responsible supply 
chain category
business review speedy hire plc annual report and accounts 2011
our people
our commitment to our people is simple and transparent we aim 
to keep them safe and healthy engaged and motivated and 
recognised and rewarded 
training
we have invested over £8 million in training our people over the last 
four years alone and we have created a reporting structure that is 
simple and effective supporting the ‘can do’ culture of innovation 
and service excellence that we have built the business on
training covers all aspects of our operations from inductions 
and health and safety to technical training and customer 
service excellence speedy’s ‘what good looks like’ programme 
has established great clarity in ‘what a good job looks like’ 
developing a structure to train our people to exceed customer 
expectations and provide a transparent path to progressing through 
the organisation
communications
regular communication with our people is a central element 
of keeping everyone involved informed and we hope inspired 
our intranet and email communications provide a quick and 
effective communication tool this is supported by up to speed our 
bimonthly employee newsletter which covers all aspects of our 
performance from commercial excellence to updates on our 
environmental and social key performance indicators
people matters
annually we use our people matters survey to take the 
‘temperature’ of the business and we were delighted this year that 
the percentage of our people returning the survey hit its best ever 
figure at over 80 we believe that a series of articles in up 
to speed over the last 12 months documenting the group’s actions 
against feedback from the previous people matters survey under 
the heading ‘you said – we did’ has been a contributing factor 
in achieving this it is vital that we engage regularly and effectively 
with our people who are the heartbeat of our operations and 
equally importantly listen to what our people say and act 
accordingly where appropriate
spot rewards
the introduction of ‘spot rewards’ to recognise those employees 
who have gone above and beyond the call of duty has also been 
a resounding success these are rewards given to our people 
directly by their line managers to recognise exceptional 
performance and provide reward ‘on the spot’ allowing managers 
to recognise employee efforts and rewarding our people as 
appropriate throughout the year over £75000 worth of once in a 
lifetime experiences have already been awarded to employees who 
have served our customers communities or colleagues beyond our 
normal high standards
the group is committed to making the statement ‘our people are at 
the heart of our organisation’ a reality in the day to day running of 
our operations spot rewards are just one of a number of ways in 
which we look to recognise and reward the passion our people 
bring to the business
corporate responsibility  
continued
one plan
…for responsible business practice
40 business review  corporate responsibility speedy hire plc annual report and accounts 2011
business review  corporate responsibility 41 
the environment
no responsible business can ignore the environmental challenges 
we all face and we are approaching this as an opportunity rather 
than a threat using internal environmental management to 
champion cost efficiencies and excellence in energy use improve 
waste management and monitoring our use of that increasingly 
valuable commodity water have all helped to establish the internal 
environmental agenda as important and achievable
our responsibilities roadmap made up of 40 key performance 
indicators helps the group to measure performance in all areas 
of our approach to corporate responsibility and none is more 
important than our approach to the environment current targets 
covered annually in our corporate responsibility report include 
reducing carbon emissions on a per capita basis a five year target 
for nil waste to landfill and operating with a duty of care to the 
ecology that surrounds our depot network
we report on our carbon footprint annually and are increasingly 
asking our suppliers to do likewise as a way of monitoring progress 
and improvement our carbon footprint shows quite clearly that 
our biggest challenge is based on our transport emissions and 
we are looking at ways of improving this through the provision 
of lower emission company vehicles group incentives to choose 
the lowest emission car in any given category our star car 
programme and a proactive approach to new technologies 
we were for example one of the first hire companies to introduce 
electric vehicles in major cities
the environmental challenges we all face are not easy we know 
we do not have all the answers but we are committed to a process 
of continuous improvement
go green option product range
our biggest external contribution to climate change is our  
go product range at its core the initiative has the simple objective 
of supplying our customers with expert advice and guidance on the 
environmental performance of key product ranges such as power 
and lighting these ratings are set against average performance for 
similar products and allow our customers to make informed hire 
and purchase decisions to add value to the process our customers 
are also sent a monthly statement outlining the carbon savings 
attached to their previous hires
wider benefits attached to the programme include our suppliers 
becoming increasingly aware of our requirements for improved 
energy efficiency reduced waste and resource efficiency in the 
procurement decisions that we make driving environmental 
awareness and excellence into our supplier base
as sponsors of innovation at this year’s executive hire show and 
previously of the show’s green zone and also running an internal 
awards process for green innovation in our supply chain we are 
keen to recognise and reward those making most progress 
on environmental excellence
business review speedy hire plc annual report and accounts 2011
health  safety
our vision for health and safety like many of our customers  
is one of zero harm to make that vision a reality we realise  
will take a huge amount of effort and dedication when we set 
about a more comprehensive approach to health and safety 
in 2004 we committed not only to making health and safety part 
of the dna of the group but also to basing our activity on extensive 
research engaging with a variety of external stakeholders and 
supporting our customers and the wider industry in general 
to improve on health and safety performance 
our excellence in health and safety management is based on the 
following key elements
knowledge experience and expertise
our safety health environment and quality sheq team is made 
up of 23 talented individuals with in excess of 200 years of hs 
experience between them the minimum requirement to form part 
of the team is the nebosh general certificate however all our senior 
sheq managers have or have committed to achieving the nvq 
level 4 nebosh qualification and two members of the team 
including the sheq director hold the nebosh diploma nvq67 
which is equivalent to a degree qualification
this just forms the foundation of our approach and a programme 
of ongoing training and development provide the team with fresh 
skills and competencies both in health and safety and general 
management skills
we believe our health and safety policy and management system  
to be the most comprehensive in the industry
influencing behaviours
internal – proud as the group is of its health and safety team 
we realise that the excellence we strive for in health and safety 
management can only be achieved if health and safety forms 
part of every individual’s responsibility within the group from 
the company induction to driver training from depot meetings 
to senior management development health and safety is integral 
to everything we do internally our programme is called ‘safety 
starts here’ and it has been crucial in achieving continuous 
improvement in our health and safety performance
external – speedy’s multiaward winning ‘safety from the ground 
up’ communications programme continues to target areas 
of industrywide concern and focus on getting safety messages 
to where they are most needed onsite toolbox talks the 
communication process to get safety messages simply and 
effectively to people working in the industry remain an important 
key performance indicator for the group
so far safety from the ground up has covered safety concerns 
including working from height hand arm vibration and dust issues 
which have affected in excess of one million construction workers 
over the last 10 years
 
corporate responsibility  
continued
42 business review  corporate responsibility
one plan
…for responsible business practice speedy hire plc annual report and accounts 2011
business review  corporate responsibility 43 
our community
alongside our commitment to commercial environmental and 
health and safety excellence sits our commitment to social 
excellence our communities are made up of our people our 
customers and our potential customers we want our brand 
to reflect the passion and commitment we bring to delivering 
excellence in all aspects of our operations
employee engagement
through our internal charities committee we help to provide 
a structure for our people to ‘give something back’ we have been 
delighted at how this has progressed over a short period of time 
whether through activity such as dragon boat racing which we 
turned into a family fun day with over 200 of our people attending 
a fun event at salford quays and raising over £12000 for help for 
heros or smaller one off requests such as our support for wellchild 
speedy is always up for a challenge a recent wellchild request for 
support resulted in over 50 speedy employees volunteering for  
an activity requiring only five people
the lighthouse club
the lighthouse club is the construction industry charity which 
provides support for construction workers and their families 
corporately we have supported the lighthouse club for many 
years producing their quarterly newsletter from internal resources 
recycling our mobile phones through their fundraising programme 
and looking to build support for their excellent activities into our day 
to day operations
looking ahead
the diverse activity that helps to deliver our commitment 
to corporate responsibility is now being brought together 
under one heading – one plan
one plan to continually add value for our customers one plan 
to innovate and to provide options for a more sustainable future 
one plan to support our people their training needs and future 
development and one plan to assure our investors and wider 
communities that our future growth will be safe responsible 
and sustainable wherever and whenever we operate
last year at our national conference we were delighted to give 
space and prominence to the lighthouse club resulting in over 
100 new members for the lighthouse club in one day alone
our commitment to the lighthouse club is an ongoing one
the rehabilitation agenda
speedy has a reputation for tackling big issues head on as our 
catalogue says when others say enough we say bring it on
the group is keen to support young people education and sport 
and a range of activities look to engage our people in these areas 
however few issues have such a negative impact on all our 
communities as crime and the fear of crime added to this is the 
great waste of potential talent in prisons across the uk and the  
high percentage of reoffending
in partnership with her majesty’s prison service speedy runs 
a small well resourced programme training prisoners in electrical 
tool maintenance the programme is accredited and verified 
by external training partners up to nvq level 2 and we hope 
that the prison partnerships we hold with four prisons are helping  
to provide relevant training and opportunities for those prisoners 
due for release
business review board of directors
ishbel macpherson
nonexecutive chairman  
ishbel macpherson joined the 
board in july 2007 and became 
the senior independent director 
and chair of the remuneration 
committee in march 2008 
ishbel was appointed to the 
roles of nonexecutive 
chairman and chair of the 
nomination committee on 
1 january 2011 at which time  
she ceased to be senior 
independent director and chair 
of the remuneration committee 
ishbel is an investment banker 
of over 20 years’ standing who 
has specialised in uk mid
market corporate finance 
ishbel was head of uk emerging 
companies corporate finance 
at dresdner kleinwort 
wasserstein from 1999 to 2005 
and is presently a nonexecutive 
director of game group plc 
hydrogen group plc may 
gurney integrated services plc 
and dignity plc
 
steve corcoran
chief executive 
steve corcoran was 
appointed chief executive  
of the company in april 2005 
and was previously the chief 
operating officer from april 
2001 having joined the 
company in 1987 when the 
business had 13 outlets he has 
been progressively promoted 
‘through the ranks’ he has over 
25 years’ experience in the hire 
industry and is a member of the 
cpa council the industry’s 
principal trade body and 
vice chairman of the cbi 
north west 
justin read
group finance director 
justin read joined the board 
in april 2008 prior to joining 
speedy he worked for 13 years 
at hanson plc the international 
building materials company 
at the time of leaving hanson 
he held the dual roles 
of managing director hanson 
continental europe and head 
of corporate development 
previously he held a number 
of other senior roles within 
hanson including deputy 
finance director head of risk 
management and treasury 
and group treasurer he 
had also been responsible 
for hanson’s corporate 
communications and 
investor relations
mike mcgrath
managing director  
international asset services
mike mcgrath became 
managing director 
international asset services  
in 2009 he previously held 
the role of group commercial 
director from 2006 to 2009 
and was company secretary 
on a parttime basis from 2001 
to 2006 mike has been involved 
in structuring a number 
of the major outsourcing 
arrangements with the group’s 
larger customers and was 
responsible for advising speedy 
in relation to the majority  
of its acquisitions over the  
last 18 years mike was formerly 
a partner at pinsent masons 
44 governance  board of directors michael averill
nonexecutive director and 
senior independent director
michael averill joined the board 
on 1 may 2008 he was 
appointed senior independent 
director and chair of the 
remuneration committee  
on 1 january 2011 previously he 
held the position of group chief 
executive of shanks group plc 
for 13 years until september 
2007 michael is also chairman 
of enviroco limited previously 
he was chairman of jbm 
international limited and 
a nonexecutive director of care 
uk plc tdg plc and the waste 
and resources action 
programme wrap
peter atkinson
nonexecutive director 
peter atkinson joined the board 
in june 2005 peter is currently 
chief executive of macfarlane 
group plc a position which he 
has held since october 2003 
prior to this he held a number 
of senior positions within 
brambles industries plc 
gkn plc sc johnson wax  
and procter  gamble
james morley
nonexecutive director 
james morley joined the board 
on 2 april 2009 and became 
chairman of the audit 
committee on 8 may 2009  
he is a chartered accountant 
with some 26 years’ experience  
as a board member at both 
listed and private companies 
most recently james was 
chief operating officer 
of primary insurance group 
he currently holds nonexecutive 
directorships at clarkson 
plc costain group plc the 
innovation group plc and bms 
associates previously james 
was also a nonexecutive 
director of the bankers 
investment trust ws atkins and 
the trade indemnity group 
suzana koncarevic
general counsel and  
company secretary
suzana koncarevic joined  
the company in april 2009 
suzana has a corporate and 
commercial law background 
and was formerly a senior 
legal adviser at united  
utilities group plc for five years 
prior to that suzana was a 
corporate lawyer at herbert 
smith in london and at dla 
phillips fox in sydney australia
governance  board of directors 45
governance 46 governance  directors’ report
directors’ report
principal activity
the company is a public limited company incorporated in england 
registered number 927680 with its registered office at chase 
house 16 the parks newtonlewillows merseyside wa12 0jq
the principal activity of the group is the provision of equipment  
for hire and sale and associated services to construction 
infrastructure industrial and related industries the principal activity 
of the company is that of a holding company a fuller description 
of the business activities is contained within the business review  
on pages 20 to 43
business review
the chairman’s statement on pages 20 and 21 the chief executive’s 
review on pages 22 to 25 the business review on pages 20 to 43 
and the principal risks and uncertainties on pages 26 and 27 
provide a detailed review of the group’s activities likely future 
developments and principal risks and uncertainties all the 
information detailed in these pages is incorporated by reference 
into this report and is deemed to form part of this report
results and dividends
the consolidated loss after taxation for the year was £193m 2010 
loss £183m this is after a taxation credit of £77m 2010 credit 
£45m representing an effective rate of 333 2010 154 pre 
exceptional items an interim dividend of 02 pence per share was 
paid during the year the directors propose that a final dividend  
of 02 pence per share be paid making a total dividend distribution 
in respect of the year of 04 pence per share 2010 04 pence
postbalance sheet events
the following significant events has taken place since the balance 
sheet date which does not require adjustment to the financial 
statements but is important in understanding the company’s 
current position the disposal of the accommodation hire operation 
to elliott group limited a wholly owned subsidiary of algeco 
scotsman for £349m 
related party transactions
except for director service contracts the company did not have any 
material transactions or transactions of an unusual nature with and 
did not make loans to related parties in the periods in which any 
director is or was materially interested
buyback of shares
at the annual general meeting held on 20 july 2010 a special 
resolution was passed to authorise the company to make 
purchases on the london stock exchange of up to 10  
of its ordinary shares 
as at 17 may 2011 no shares had been purchased under this 
authority shareholders will be requested to renew this authority  
at the forthcoming agm in july 2011
employment of disabled persons
the group recognises its responsibilities towards disabled persons 
and gives full and fair consideration to applicants in positions 
suited to their own particular abilities where appropriate 
openings exist where employees become disabled in the course 
of their employment every effort is made to provide them with 
continuing employment
equal opportunities
in the recruitment of employees and their subsequent career 
development individuals are considered having regard to their 
aptitudes and abilities irrespective of race sex marital status  
age religion or disability
employee involvement
the group aims to achieve a shared commitment from all 
employees to the success of the businesses in which they 
are employed 
the board believes in the financial effectiveness of incentive 
bonuses it is the group’s policy that every employee should be in 
some form of incentive scheme as soon as practicable after joining 
the group and concluding the relevant probationary period details 
of such incentive schemes including annual bonus arrangements 
for executive directors are summarised in the remuneration 
committee’s report on page 54
payments to suppliers
it is the group’s policy to make suppliers aware of the terms and 
conditions upon which the group will trade with them and to abide 
by those terms codes or standards on payment practice are 
followed where appropriate the group had 85 days of purchases 
outstanding at the end of the financial year company 29 days
financial instruments
the group holds and uses financial instruments to finance its 
operations and manage its interest rate and liquidity risks full 
details of the group’s arrangements are contained in note 33  
of the financial statements
going concern
as detailed in note 1 of the financial statements basis of 
preparation the directors continue to adopt the going concern 
basis in preparing the annual report and financial statements
political and charitable donations
the group made charitable donations amounting to £51000 2010 
£50000 during the year the company did not make any charitable 
donations 2010 £35000 in accordance with the policy of the 
group no political donations were made during the year
principal beneficiaries include the lighthouse club and crash 
in the construction sector and wider partnerships with habitat for 
humanity and learning for life the group’s charities committee 
meets quarterly to assess applications and make 
recommendations membership comes from across the group’s uk 
operations and the committee also helps to instigate and support 
employee fundraising activity ‘inkind’ support through our depot 
network and community engagement
speedy hire plc annual report and accounts 2011 governance  directors’ report 47 
substantial shareholders
as at 17 may 2011 the company had been notified in accordance 
with the disclosure and transparency rules of the following holders 
of shares with 3 or more of the total voting rights in the issued 
share capital of the company
shareholder
percentage of 
voting rights
schroder investment management 1303
hermes pensions management 1034
fidelity investments 981
jo hambro capital management 803
legal  general investment management 358
nmas1 320
directors
the directors who served during the year and the interests  
of directors in the share capital of the company are set out  
on pages 49 and 61
justin read michael averill and peter atkinson are retiring 
by rotation at the agm and justin read and michael averill 
are offering themselves for reelection peter atkinson will retire 
from the group board on the day of the agm the board has 
commenced a search for a replacement nonexecutive director 
justin read will be stepping down on 26 august 2011 but is still 
required to be reelected in order to serve as a director until that 
date  the board commenced a search for justin’s replacement 
immediately following his resignation
the group board unanimously supports the reelection of justin 
read and michael averill
no director had any interest either during or at the end of the year 
in any disclosable contracts or arrangements other than a contract 
of service with the company or any subsidiary company no 
director had any interest in the shares of any subsidiary company 
during the year
disclosure of information to auditors
the directors who held office at the date of approval of this 
directors’ report confirm that so far as they are each aware there 
is no relevant audit information of which the company’s auditors are 
unaware and each director has taken all the steps that he or she 
ought to have taken as a director to make himself or herself aware 
of any relevant audit information and to establish that the 
company’s auditors are aware of that information
statement of directors’ responsibilities in respect of the annual 
report and the financial statements
the directors are responsible for preparing the annual report and 
the group and parent company financial statements in accordance 
with applicable law and regulations
company law requires the directors to prepare group and parent 
company financial statements for each financial year under that 
law they are required to prepare the group financial statements in 
accordance with ifrss as adopted by the eu and applicable law and 
have elected to prepare the parent company financial statements 
on the same basis
under company law the directors must not approve the financial 
statements unless they are satisfied that they give a true and fair 
view of the state of affairs of the group and parent company and 
of their profit or loss for that period in preparing each of the group 
and parent company financial statements the directors are 
required to
select suitable accounting policies and then apply  
them consistently
make judgements and estimates that are reasonable  
and prudent
state whether they have been prepared in accordance   
with ifrss as adopted by the eu and
prepare the financial statements on the going concern basis  
unless it is inappropriate to presume that the group and the 
parent company will continue in business
the directors are responsible for keeping adequate accounting 
records that are sufficient to show and explain the parent 
company’s transactions and disclose with reasonable accuracy 
at any time the financial position of the parent company and 
enable them to ensure that its financial statements comply 
with the companies act 2006 they have general responsibility 
for taking such steps as are reasonably open to them to safeguard 
the assets of the group and to prevent and detect fraud and 
other irregularities
under applicable law and regulations the directors are also 
responsible for preparing a directors’ report directors’ 
remuneration report and corporate governance statement that 
comply with that law and those regulations
the directors are responsible for the maintenance and integrity of 
the corporate and financial information included on the company’s 
website legislation in the uk governing the preparation and 
dissemination of financial statements may differ from legislation 
in other jurisdictions 
statement of directors’ responsibilities pursuant to disclosure 
and transparency rules 4112
the directors confirm that to the best of their knowledge
i the financial statements prepared in accordance with the 
applicable set of accounting standards give a true and fair view 
of the assets liabilities financial position and profit or loss of the 
company and the undertakings included in the consolidation taken 
as a whole and
ii the business review includes a fair review of the development 
and performance of the business and the position of the company 
and the undertakings included in the consolidation taken  
as a whole together with a description of the principal risks 
and uncertainties that they face
the names and functions of the directors of the company are set 
out on pages 44 and 45 of the annual report
governance
speedy hire plc annual report and accounts 2011 48 governance  directors’ report
directors’ report continued
auditors
kpmg audit plc were reappointed at the agm of the company 
held on 20 july 2010 and their appointment expires at the 
conclusion of this year’s agm kpmg audit plc offer themselves 
and are recommended by the board for reappointment under 
the provisions of section 489 of the companies act 2006 
takeover directive information
where not provided elsewhere in this report the additional 
information required for shareholders as a result of the 
implementation of the takeover directive into english law  
is set out below
share capital
as at 31 march 2011 the company’s share capital comprised a 
single class of ordinary shares of 5 pence each as at 31 march 2011 
the authorised share capital of the company was £35000000 
comprising 700000000 ordinary shares of 5 pence each and the 
issued share capital was £25860783 comprising 517215666 
ordinary shares of 5 pence each there are no special rights 
or obligations attaching to the ordinary shares
restrictions on share transfers
the company’s articles of association provide that the company 
may refuse to transfer shares in the following customary 
circumstances
where the share is not a fully paid share  
where the share transfer has not been duly stamped with the  
correct amount of stamp duty
where the transfer is in favour of more than four joint transferees  
where the share is a certificated share and is not accompanied  
by the relevant share certificates and such other evidence as 
the board may reasonably require to prove the title of the 
transferor or 
in certain circumstances where the shareholder in question   
has been issued with a notice under section 793 of the 
companies act 2006
these restrictions are in addition to any which are applicable  
to all uk listed companies imposed by law or regulation
shares with special rights
there are no shares in the company with special rights with regard 
to control of the company
restrictions on voting rights
the notice of the agm specifies deadlines for exercising voting 
rights and appointing a proxy or proxies to vote in relation to 
resolutions to be passed at the agm all proxy votes are counted 
and the numbers for against or withheld in relation to each 
resolution are announced at the agm and published on the 
company’s website after the meeting
agreements which may result in restrictions on share transfers
the company is not aware of any agreements between 
shareholders which may result in restrictions on the transfer 
of securities andor on voting rights
appointment and replacement of directors
the company’s articles of association provide that all directors must 
stand for election at the first agm after having been appointed 
by the board
each director must also stand for reelection at the third agm 
following their last election or reelection if the number of directors 
standing for reelection is less than onethird of the current board 
which excludes any directors appointed by the board who are 
standing for election for the first time then additional directors must 
also stand for reelection in order that at least onethird is standing
articles of association
the company’s articles of association may be amended by special 
resolution of the company’s shareholders 
directors’ powers
at the agm to be held on 13 july 2011 shareholders will be asked 
to renew the directors’ power to allot shares and buy back shares in 
the company and to renew the disapplication of preemption rights
change of control – significant agreements
there are no significant agreements to which the company  
is a party that may take effect alter or terminate upon a change 
of control following a takeover bid other than in relation to 
i employee share schemes and ii the company’s borrowings 
which would become repayable on a takeover being completed
shares in the company are held in the speedy hire employee 
benefits trust for the purpose of satisfying awards made under the 
company’s performance plan and coinvestment plan unless 
otherwise directed by the company the trustees of the trust abstain 
from voting on any shares held in the trust in respect of which the 
beneficial interest has not vested in any beneficiary in relation 
to shares held in the trust where the beneficial interest has vested 
in a beneficiary the beneficiary can direct the trustees how to vote
compensation for loss of office
there are no agreements between the company and its directors 
or employees providing for compensation for loss of office or 
employment whether through resignation purported redundancy 
or otherwise that occurs because of a takeover bid
directors’ indemnities
as permitted by the companies act 2006 the company has 
indemnified each of the directors who held office during the year
annual general meeting
the company’s agm will be held at mere court hotel and 
conference centre warrington road mere knutsford cheshire 
wa16 0rw at 1100am on wednesday 13 july 2011 a formal notice 
of meeting an explanatory circular and a form of proxy will be sent 
separately to shareholders
by order of the board on 17 may 2011
suzana koncarevic
company secretary
speedy hire plc annual report and accounts 2011 governance  corporate governance 49 
corporate governance
highlights
following the retirement of david wallis as chairman   
of the board and chairman of the nomination committee  
on 31 december 2010 the appointment of ishbel macpherson  
as chairman of the board and chairman of the nomination 
committee previously senior independent director and 
chairman of the remuneration committee on 1 january 2011 
and the appointment of michael averill as senior independent 
director and chairman of the remuneration committee  
on 1 january 2011
ongoing review of the effectiveness of the board’s operation  
continued full compliance with the group board’s combined  
code compliance statement
corporate governance code compliance statement including  
terms of reference of the board and each committee available 
on the company’s website
combined code compliance
the board is committed to maintaining high standards of corporate 
governance the board first reported its compliance with the new 
combined code in 2004 and since then has continued to comply 
in full with the combined code and to develop further its approach 
to corporate governance and the effective management of risk 
in the context of a rapidly growing business
the following paragraphs explain how the company has applied 
the principles of good governance and the code of best practice 
set out in the last edition of the combined code
throughout the year ended 31 march 2011 the company has been 
in compliance with the provisions set out in the combined code
directors
the board
in the year ended 31 march 2011 the board met nine times including 
an offsite meeting solely to discuss strategy the board also meets 
as required on an ad hoc basis to deal with urgent business 
including the consideration and approval of transactions the table 
below lists the directors’ attendance at the board meetings and 
committee meetings during the year ended 31 march 2011
board and committee attendance
board
audit 
committee
nomination 
committee
remuneration 
committee
executive directors
steve corcoran 9 – – –
mike mcgrath 9 – – –
justin read 9 – – –
claudio veritiero 
resigned on  
31 october 2010 4 – – –
nonexecutive directors
michael averill 9 5 5 6
peter atkinson 9 5 5 6
ishbel macpherson 9 5 5 6
james morley 9 5 5 6
david wallis  
retired on 31 dec 2010 6 – 5 3
the executive directors of the company may attend meetings  
of the committees at the invitation of the chairman of the  
respective committee 
the board has approved a schedule of matters reserved for 
decision by it this schedule which forms part of a corporate 
governance code compliance statement formally adopted by the 
board is available for inspection at the company’s registered office 
and on the company’s website
the combined code compliance statement was last revised 
on 22 may 2009 and has now been replaced with a corporate 
governance code compliance statement from the commencement 
of the 201011 financial year the matters reserved for specific 
approval by the board can be subdivided into a number of key 
areas including but not limited to
financial reporting including the approval of interim and  
final financial statements interim management statements 
and dividends
the group’s finance banking and capital structure  
arrangements
group strategy and transactions  
stock exchangelisting authority matters including the issue  
of shares the approval of circulars and communications  
to the market
approval of the policies and framework in relation to  
remuneration across the group following appropriate 
recommendations from the remuneration committee
approval of the group’s risk management and control   
framework following appropriate recommendations  
from the audit committee
the constitution of the board itself including its various  
committees and succession planning following appropriate 
recommendations from the nomination committee and 
approving the group’s policies in relation to inter alia the  
environment health and safety and corporate responsibility
matters requiring board and committee approval are generally  
the subject of a proposal by the executive directors submitted  
to the board together with supporting information as part of the 
board or committee papers circulated prior to the relevant 
meeting the implementation of matters approved by the board 
particularly in relation to matters such as significant acquisitions 
or other material projects sometimes includes the establishment  
of a subcommittee comprising at least one nonexecutive director
the posts of chairman and chief executive are held by ishbel 
macpherson and steve corcoran respectively in addition to the 
chairman the board includes three independent nonexecutive 
directors peter atkinson michael averill and james morley 
together they bring a strong and independent nonexecutive 
element to the board the senior independent director 
is michael averill
governance
speedy hire plc annual report and accounts 2011 50 governance  corporate governance
corporate governance continued
the audit committee is chaired by james morley its other members 
are peter atkinson and michael averill in accordance with the smith 
guidance on audit committees the chairman ishbel macpherson 
is not a member of the audit committee
the remuneration committee is chaired by michael averill its other 
members are peter atkinson and james morley
the nomination committee is chaired by ishbel macpherson 
its other members are peter atkinson michael averill and 
james morley
the chairman and other nonexecutive directors meet at least  
twice a year without the executive directors present in addition  
the chairman regularly briefs the other nonexecutive directors 
on relevant developments regarding the company and group 
as necessary the senior independent director michael averill and 
the other nonexecutive directors meet at least annually without the 
chairman present to appraise the chairman’s performance as part 
of the overall board annual appraisal process
the minutes of all meetings of the board and each committee are 
taken by the general counsel and company secretary suzana 
koncarevic in addition to constituting a record of decisions taken 
the minutes reflect questions raised by the directors relating to the 
company’s businesses and in particular issues raised from the 
reports included in the board or committee papers circulated prior 
to the relevant meeting any unresolved concerns are recorded 
in the minutes
on resignation concerns if any raised by an outgoing  
nonexecutive director are circulated by the chairman  
to the remaining members of the board
appropriate directors’ and officers’ insurance cover is arranged and 
maintained via the company’s insurance brokers jardine lloyd 
thompson ltd and its terms are reviewed annually
the companies act 2006 allows directors of public companies 
to authorise conflicts and potential conflicts of interest of directors 
where the articles of association contain a provision to that effect 
the company’s articles of association give the board authority 
to authorise matters which may result in the directors breaching 
their duty to avoid a conflict of interest directors who have 
an interest in matters under discussion at a board meeting must 
declare that interest and abstain from voting only directors who 
have no interest in the matter being considered are able to approve 
a conflict of interest and in taking that decision the directors must 
act in a way they consider in good faith would be most likely 
to promote the success of the company the directors are able 
to impose limits or conditions when giving authorisation if they feel 
this is appropriate any conflicts considered by the board and any 
authorisations given are recorded in the board minutes and in the 
register of conflicts which are reviewed annually by the board the 
board considers that its procedures to approve conflicts of interest 
and potential conflicts of interest are operating effectively
chairman and chief executive
a statement as to the division of the responsibilities of the chairman 
and chief executive is included in the combined code compliance 
statement formally adopted by the board and referred to above  
the board considers that the chairman on her appointment met the 
independence criteria set out in paragraph a31 of the combined 
code the board has an established policy that the chief executive 
should not go on to become chairman
board balance and independence
currently there are in addition to the chairman three nonexecutive 
directors on the board out of a total of seven directors and their 
respective experience details of which are set out on pages 
44 and 45 clearly indicates that they are of sufficient calibre and 
number for their views to carry appropriate weight in the board’s 
decisions the senior independent director michael averill 
is available to shareholders if they have concerns which contact 
through the normal channels of chairman chief executive  
or group finance director fail to resolve or for which such contact 
is inappropriate
the board considers that all of the nonexecutive directors are 
independent on the basis of the criteria specified in paragraph  
a31 of the combined code and generally are free from any 
business or other relationship which could materially interfere 
with the exercise of their independent judgement
two members of the board are also nonexecutive directors 
of companies which are customers of or suppliers to the group 
ishbel macpherson is a nonexecutive director of may gurney 
integrated services plc a customer of the group james morley 
is a nonexecutive director of costain group plc which  
is a customer of the group
the group’s trading with each of these companies is conducted 
entirely on arm’s length terms and in the ordinary and normal 
course of the group’s business additionally the board considers 
that in each case the sums involved are de minimis these 
potential conflicts of interest have been approved by the board 
in accordance with both board procedures and the procedures 
established under the companies act 2006 in order to ensure that 
there can be no possible suggestion of a conflict of interest it has 
been resolved by the board that in the event that the board should 
ever be required to discuss or make decisions in relation to the 
group’s relationships with these companies the affected directors 
would not take part in or receive any material information in 
relation to those discussions none of these directors has been 
involved in any commercial negotiations between the group and 
the other companies
speedy hire plc annual report and accounts 2011 governance  corporate governance 51 
appointments to the board
the board has established a nomination committee its terms 
of reference are also included in the combined code compliance 
statement referred to above the committee meets formally as 
necessary but at least twice a year and met five times during this 
financial year the principal functions of the nomination committee 
are to consider and review the structure and composition of the 
board and membership of board committees it also considers 
candidates for board nomination including job description 
reelection to the board for those candidates retiring by rotation 
and succession planning generally a specification for the role 
of chairman including anticipated time commitment is included 
as part of the written statement of division of responsibilities 
between chairman and chief executive which was revised and 
updated in may 2009 details of the chairman’s other material 
commitments are set out on page 44 and are disclosed to the 
board in advance and included in a register of the same 
maintained by the company secretary
the terms and conditions of appointment of all the nonexecutive 
directors and those of the chairman are available for inspection 
at the company’s registered office during normal business hours 
each letter of appointment specifies the anticipated level of time 
commitment including where relevant additional responsibilities 
derived from involvement with the audit remuneration or 
nomination committees details of other material commitments  
are disclosed to the board and a register of the same is maintained 
by the company secretary
none of the directors is a nonexecutive director or chairman  
of a ftse 100 company 
a more detailed summary of the work of the nomination committee 
during the year is contained in the separate report of the committee 
on page 65
information and professional development
before each scheduled board meeting all directors receive 
appropriate information regarding the group comprising  
a financial report and briefings from senior executives the chief 
executive and group finance director also brief directors on results 
key issues and strategy during board meetings the nonexecutives 
regularly make further enquiries of the executive directors and seek 
further information which is provided either at the relevant meeting 
or subsequently
an information pack on market data including information and 
activities in relation to competitors and the construction industry 
generally is compiled for each board meeting this information 
is drawn from a number of respected sources and provides 
a current updated summary of trends in the group’s market
the board also recognises the importance of ongoing training  
and education particularly regarding new laws and regulations 
which relate to or affect the group such training and education 
is obtained by the directors individually through the company 
through other companies of which they are directors or through 
associated professional firms
all the nonexecutive directors have during the course of the year 
attended briefings and seminars relevant to their role including 
updates on best practice in audit and remuneration issues and 
economic affairs in general as well as bringing knowledge and 
information gathered from their other business interests
the chairman and the company secretary meet on a regular basis 
to discuss corporate governance and other issues including inter 
alia information flows induction and training programmes for 
directors and operational management
procedures are in place to enable directors to take independent 
professional advice if necessary at the company’s expense  
in the furtherance of their duties the procedure to enable such 
advice to be obtained is included in the company’s combined  
code compliance statement
all directors have access to the advice and services of the company 
secretary whose role is to ensure that all procedures are followed 
and that applicable rules and regulations are complied with the 
appointment or removal of the company secretary is a matter 
specifically reserved for decision by the board
performance evaluation
during the financial year ended 31 march 2006 the chairman and 
company secretary engaged the services of specialist performance 
consultants linstock to carry out a detailed independent review 
of the board’s processes and procedures and in the past five 
years the chairman has undertaken an internal review of the 
board’s processes and procedures 
reelection
under the company’s articles of association all directors are 
subject to election by shareholders at the first agm following 
appointment and all directors are subject to retirement by rotation 
provisions requiring reelection at intervals of no more than three 
years biographical details of all the directors including those 
subject to reelection are included in this report in order to enable 
shareholders to take an informed decision on any reelection 
resolution the letters of appointment of each of the nonexecutive 
directors and the chairman confirm that appointments are for 
specified terms and that reappointment is not automatic peter 
atkinson commenced a second threeyear term in 2008 ishbel 
macpherson and michael averill commenced their first threeyear 
terms in 2008 james morley commenced his first three year term  
in 2009 
governance
speedy hire plc annual report and accounts 2011 52 governance  corporate governance
corporate governance continued
directors’ remuneration
level and makeup of remuneration
the performancerelated elements of the remuneration of the 
executive directors form a significant proportion of their potential 
total remuneration packages the performancerelated elements 
of the schemes in which the executive directors are entitled to 
participate are set out in more detail in the remuneration report 
the remuneration committee with the advice of hewitt new bridge 
street hnbs reviews on a regular basis the company’s 
remuneration policy including the design of performancerelated 
remuneration schemes such performancerelated elements have 
been designed with a view to aligning the interests of the executive 
directors with those of shareholders and to incentivise performance 
at the highest level the board’s policy is that no executive share 
options should be offered at a discount save as permitted by the 
listing rules
levels of remuneration payable to nonexecutive directors are 
regularly benchmarked with the assistance of external advisers 
against companies of a similar size the levels of remuneration 
also reflect the time commitment and responsibilities of each role 
including where relevant chairmanship of board committees  
it is the policy of the board that remuneration for nonexecutive 
directors should not include share options or any other sharebased 
incentives no current executive director serves as a nonexecutive 
director elsewhere
the service contracts of all executive directors provide for 
termination by the company on one year’s notice
procedure
the board has constituted a remuneration committee which met 
six times during the year its terms of reference are included in the 
combined code compliance statement and are fully compatible 
with the provisions of paragraph b21 of the combined code the 
remuneration committee consists of the nonexecutive directors 
excluding the chairman who are independent of management and 
free from any business or other relationship which could materially 
interfere with the exercise of their independent judgement the 
chief executive occasionally attends by invitation but is not present 
for discussions relating to his own remuneration the remuneration 
committee has appointed hnbs to advise it in relation to the design 
of appropriate executive remuneration structures hnbs has 
no other connection with the company
the responsibilities of the remuneration committee include setting 
remuneration policy ensuring that remuneration including pension 
rights and compensation payments and the terms of service of the 
executive directors are appropriate and that executive directors are 
fairly rewarded for the contribution which they make to the group’s 
overall performance it is also responsible for the allocation of 
shares under longterm incentive arrangements approved by 
shareholders and in accordance with agreed criteria in addition 
it monitors current best practice in remuneration and related issues
the remuneration of nonexecutive directors is dealt with  
by a committee of the board specifically established for this 
purpose comprising the chief executive and the group finance 
director without the presence of the nonexecutive directors 
the remuneration of the nonexecutive directors is usually the 
subject of regular benchmarking reviews with the assistance 
of hnbs however no such benchmarking exercise was necessary 
in 2010 as there were no salary increases
the board’s policy is that all new longterm incentive schemes 
as defined in the listing rules and significant changes to existing 
schemes should be specifically approved by shareholders while 
recognising that the remuneration committee must have 
appropriate flexibility to alter the operation of these arrangements 
to reflect changing circumstances
a more detailed summary of the work of the remuneration 
committee during the year is contained in the separate report  
of the committee on page 54
accountability and audit
financial reporting
the directors’ report and auditors’ report appear on pages  
46 to 48 and 66 respectively and comply with the provisions 
of paragraphs c11 and c12 of the combined code
internal control
the board is responsible for the company’s schemes of internal 
control and for reviewing the effectiveness of such systems
the board via the audit committee conducts a review at least 
annually of the group’s systems of internal control such a review 
examines all material controls including financial operational 
and compliance controls and risk management systems and 
accords with the recommendations contained in the turnbull 
guidance a formal report is prepared by kpmg audit plc kpmg 
highlighting matters identified in the course of its statutory audit 
work and reviewed by the audit committee in the presence of 
kpmg and by invitation the chief executive the group finance 
director and the head of the group’s internal audit function 
the committee also considers formal reports prepared and 
presented by the internal audit function the findings and 
recommendations of the committee are then reported to the 
board for detailed consideration
audit committee and auditors
the board has established an audit committee which met five times 
during the year the terms of reference of the audit committee are 
set out in full in the combined code compliance statement such 
terms of reference are compatible with the provisions of paragraph 
c3 of the combined code the board is satisfied that the chairman 
of the audit committee james morley has appropriate recent and 
relevant financial experience
speedy hire plc annual report and accounts 2011 governance  corporate governance 53 
in addition to its work in relation to the group’s systems of internal 
control set out above the committee is also responsible for 
reviewing the integrity of the company’s accounts including the 
annual and interim results and recommending their approval to the 
board the committee’s work also includes reviewing the adequacy 
of the group’s ‘whistleblowing’ procedures
the committee meets on a regular basis with the external auditors 
and internal audit function without the executive directors being 
present to review and discuss issues arising from internal and 
external audits and to agree the scope and planning  
of future work
the effectiveness of the group’s internal audit function is one of the 
matters reviewed in conjunction with kpmg
the audit committee has primary responsibility for making 
a recommendation on the appointment reappointment and 
removal of the external auditors the policy of the audit committee 
is to ensure auditor objectivity and independence is safeguarded 
at all times the use of the company’s auditors for nonaudit 
services must be preapproved by the audit committee where 
the total anticipated costs of any particular project exceed £30000 
taking into account factors such as cost speed and efficiency 
of delivery in determining whether to approve their appointment 
during the year the company used two additional firms for 
nonauditrelated services accordingly the audit committee 
considers that the company’s auditors are independent
a more detailed description of the work of the audit committee 
during the year is contained in the separate report of the committee 
on page 64
relations with shareholders
dialogue with institutional shareholders
the chairman routinely attends brokers’ and analysts’  
presentations in relation to the company’s interim and fullyear 
results the chairman with assistance from the company’s brokers 
collates feedback from such presentations and reports the findings 
to the next meeting of the board the chairman is also available 
to discuss matters with major shareholders in relation to inter alia 
strategy and corporate governance issues the senior independent 
director michael averill is available to attend meetings with major 
shareholders in order to understand their issues and concerns 
should the normal communication channels with the chairman 
chief executive or the group finance director be ineffective 
or inappropriate
constructive use of the agm
the company’s agm procedures indicate as a matter of course  
the level of proxies lodged on each resolution and the balance 
for and against each resolution and votes withheld after each has 
been dealt with on a show of hands it is also the company’s policy 
to propose a separate resolution at the agm on each substantive 
separate issue including in relation to the report and accounts and 
the directors’ remuneration report
all committee chairs are available at the agm
the company’s standard procedure is to ensure that the notice 
of agm and related papers are sent to shareholders at least 
20 working days before the meeting in compliance with paragraph 
d24 of the combined code
responsible investment disclosure guidelines
environmental social and governance risks are considered  
by the board as part of the ongoing process of risk assessment  
the impact of risk is evaluated not only in financial terms but also 
according to its effects on employees operational efficiency and 
stakeholder relations for further details regarding the steps which 
the board takes through the risk management process in managing 
and mitigating risk please see page 53
pages 26 27 and 36 to 43 of the business review outline the 
company’s approach to risk corporate responsibility and 
sustainability for more detail concerning the opportunity which 
the board sees in sustainable growth through sound corporate 
responsibility please refer to the speedy corporate responsibility 
report which is due to be published in september 2011 this report 
will refer to the kpi targets running through to 31 march 2012 which 
have been established for monitoring progress against the group’s 
environmental community and workplace strategies together 
with an evaluation of performance from previous financial years
risk management controls
in 2010 the group’s head of internal audit carried out a full review  
of enterprisewide risks to business objectives so that the group 
board could update its understanding of how well risks were 
mitigated by the control environment risks were identified  
in a series of workshops held in every key part of the group and 
were followed by discussions between the head of internal audit 
and specialists who could advise on the quality of controls to 
mitigate the risks identified in the workshops physical evidence 
of the quality of these controls was sought where appropriate 
the enterprise risk management erm programme was continuous 
throughout 2010 and the latest findings were submitted to the 
group board in may 2011
the results of this work identified that the group needs to focus  
on a number of key risk areas as detailed on pages 26 and 27 
under the heading ‘principal risks and uncertainties’ in order to 
maximise its chances of achieving its strategic aims each member 
of the executive team has at least one risk template to manage 
which describes the nature of the risk the events that need to be 
prevented the kpis that measure the probability of these events 
occurring the current controls and a prioritised action plan with 
names and dates the updated templates are presented regularly 
to the group board
the internal audit plan is informed by the erm programme findings 
and the findings from these audits feed into the above process 
of the group board review of business risks and controls
governance
speedy hire plc annual report and accounts 2011 54 governance  remuneration report
this report has been prepared by the remuneration committee and 
approved by the board for the financial year ended 31 march 2011 
it has been prepared in accordance with the companies act 2006 
this report provides the company’s statement of how it has applied 
the principles of good governance relating to directors’ 
remuneration and is intended to communicate the company’s 
policies and practices on executive remuneration this report will 
be subject to an advisory shareholder vote at the forthcoming agm 
information relating to the emoluments and pension contributions 
of the directors on pages 60 to 61 and executive directors’ interests 
in the company’s performance plan coinvestment plan and uk 
saye scheme on page 62 has been audited
reflecting the board’s commitment to maintaining high standards  
of corporate governance the remuneration committee has 
complied during the year with the remuneration requirements  
of the combined code
remuneration committee
the remuneration committee comprises three nonexecutive 
directors michael averill chairman of the remuneration 
committee from 1 january 2011 james morley and peter atkinson 
each of james morley peter atkinson and michael averill is 
considered by the board to be independent biographies of the 
members of the remuneration committee are set out on pages 
44 and 45 ishbel macpherson was chairman of the remuneration 
committee from 1 april 2010 until her appointment as group 
chairman on 1 january 2011
at the invitation of the chair of the remuneration committee 
the chairman and the chief executive may attend meetings of the 
remuneration committee except when their own remuneration 
is under consideration no director is involved in determining his 
or her own remuneration the company secretary acts as the 
secretary to the remuneration committee the members of the 
remuneration committee can where they judge it necessary 
to discharge their responsibilities obtain independent professional 
advice at the company’s expense
the remuneration committee’s duties include
to make recommendations to the board on the company’s  
framework and policy for the remuneration of the chairman 
executive directors group company secretary and senior 
executives
to review and determine on behalf of the board the executive  
remuneration and incentive packages to ensure such packages 
are fair and reasonable
to review and approve directors’ expenses  
to determine the basis on which the employment of executives   
is terminated
to design the company’s share incentive schemes and other  
performancerelated pay schemes and to operate and 
administer such schemes
to determine whether awards made under performancerelated  
and share incentive schemes should be made the overall 
amount of the awards the individual awards to executives 
and the performance targets to be used
to ensure that no director is involved in any decisions   
as to their own remuneration and 
to review regularly the ongoing appropriateness and  
effectiveness of all remuneration policies
the remuneration committee met on six occasions during the year 
details of the attendance at remuneration committee meetings are 
set out in the corporate governance report on page 49 the 
committee reviewed the following matters at those meetings
design of executive remuneration structure for the financial  
year 201112
sharesave scheme awards to be made in the financial  
year 201011
directors’ shareholding guidelines and progress of achievement  
in relation to each director
directors’ expenses in the financial year 201011  
group wide remuneration update in relation to pay bonus   
and other reward arrangements
interim and final progress of employee share plan performance  
measures against targets and consequent approval of any 
vesting of awards
progress of bonus achievement for 201011 executive bonus  
25 year long service awards for the financial year 201011  
the amount of the termination payment made to   
claudio veritiero
terms of reference for and effectiveness of the  
remuneration committee
ongoing appropriateness and effectiveness of remuneration   
and benefits policies
performance of external remuneration advisers  
remuneration policy for high potential employees other   
potential successors and for developing future leaders and
use of equity for employee share plans in relation to head  
room limits
the remuneration committee’s terms of reference are published  
on speedy’s website at wwwspeedyhireplcuk and are available  
in hard copy form on application to the company secretary
advisers
during the year the remuneration committee received advice from 
hewitt new bridge street hnbs a brand of aon hewitt limited 
who are independent remuneration consultants in connection with 
remuneration matters including the provision of general guidance 
on market and best practice and the development of the group’s 
performancerelated remuneration policy hnbs has no other 
connection or relationship with the group hnbs and aon hewitt 
have provided no other services to the group during the financial 
year ended 31 march 2011 
remuneration report
speedy hire plc annual report and accounts 2011 governance  remuneration report 55 
the committee also sought advice from the company’s legal 
advisers pinsent masons llp in connection with the operation 
of the performance plans coinvestment plans and saye schemes 
described later in this report
remuneration policy and objectives
the remuneration policy with respect to the executive directors has 
been designed to ensure that pay practices at speedy remain 
appropriate for both the company and its shareholders 
the principal objectives of the policy are to attract and retain the 
best talent to deliver speedy’s strategy and to drive shareholder 
value within a framework of good corporate governance and the 
company’s risk profile
the key principles of this policy are
between lower quartile and median salaries but with the  
potential to earn upper quartile rewards for sustained 
exceptional performance provided stretching and demanding 
performance conditions are met
a reward structure that balances shortterm and longterm  
performance and
competitive incentive arrangements that are underpinned by  
a balance of financial and operational performance metrics 
to provide both a focus on business performance and alignment 
with the interests of shareholders
the committee acknowledges that the principle with respect 
to lower to median quartile salaries for executive directors has 
become more difficult to maintain given the reduction of the 
company’s market capitalisation in recent years however 
to counterbalance this effect executive directors’ salaries have 
not increased since 2008
there is no restriction on the committee which prevents it from 
taking into account performance on environmental social and 
governance issues the committee notes with approval the 
continued effort being made by the company in motivating 
responsible behaviour in relation to these issues by encouraging 
reduced energy consumption and providing incentives to choose 
more efficient company vehicles in addition the committee seeks 
to ensure that the company’s pay policies do not encourage 
inappropriate operational risktaking 
the committee believes that it is incumbent upon it to ensure 
that the remuneration policy as it applies to the senior executives 
is effectively delivered in a manner that takes full account of the 
company’s specific and developing circumstances this has proved 
a particular challenge for the committee this year against a 
backdrop of the continuing difficult economic climate additionally 
in determining the remuneration arrangements of the executive 
directors the remuneration committee takes into consideration 
not only the performance of the executive directors but also pay 
and employment conditions elsewhere in the group through 
regular interaction with the company’s hr function and senior 
operational executives
as a result the remuneration committee has determined that the 
remuneration of executive directors will provide an appropriate 
balance between fixed and performancerelated pay elements 
the chart below illustrates the average mix between the fixed ie 
salary benefits and pension and variable ie bonus performance 
shares and coinvestment plan shares elements of remuneration 
of the executive directors at an ontarget and maximum 
performance the remuneration committee will continue to review 
the remuneration policy to ensure it takes due account of best 
remuneration practice and is aligned to shareholders’ interests 
 
0 10 20 30 40 50 60 70 80 90 100
fixed pay bonus longterm incentives
stretch
target
governance
speedy hire plc annual report and accounts 2011 56 governance  remuneration report
components of remuneration
the main components of the remuneration packages of the executive directors consist of the following elements
purpose delivery detailed policy
basic salary reflect the value of the  
individual and his or her role 
skills experience and 
performance
cash  
monthly  
pensionable  
normally reviewed annually   
on or around 1 april and 
benchmarked against 
comparable companies
no increases were made  
in april 2009 or april 2010
executives have been given  
the opportunity to earn 
increases in base salary for 
201112 if certain targets are 
met see below
annual bonus incentivise delivery of specific  
group divisional and 
personal annual goals
deferred share element  
aids retention and alignment 
with shareholders
annual payment subject  
to performance
cash up to 50 of salary  
rest in shares 
performancerelated  
nonpensionable  
for 201112 payments  
based on group profit 
before tax performance 
and projectbased kpis
bonus potential of up to 100  
of salary 
any bonus above 50  
of salary paid in shares  
linked to coinvestment plan
longterm incentives encourage longterm  
value creation
encourage coinvestment  
align executives’ interests  
with those of shareholders
retention  
sharebased  
annual awards  
shares may be released   
after three years
performancerelated  
nonpensionable  
performance plan
70 of salary maximum   
for 201112 vesting based  
on comparative tsr targets 
with an underpin
coinvestment plan
matching shares based on  
investment of bonus up to 21
vesting based on real  
eps growth
no awards were made in the  
past three years and there 
will be no award in 2011
benefits to provide competitive  
benefits
retention  
ongoing   car allowance medical  
insurance and life assurance
pension to provide competitive  
postretirement benefits
ongoing  
payable on retirement  
1020 of basic salary  
depending on length 
of service
executive directors have   
been offered cash in lieu  
of pension
share ownership guidelines to align the interests  
of executive directors 
with shareholders
ongoing   must build a shareholding  
of 100 of salary
remuneration report continued
speedy hire plc annual report and accounts 2011 governance  remuneration report 57 
base salary
base salary for each executive director is determined by the 
remuneration committee taking account of the director’s 
performance experience and responsibilities the remuneration 
committee has regard to salary levels paid by uk listed companies 
i which operate within the same broad business space as speedy 
and with which speedy competes for key talent and ii market 
capitalisation and geographic operations this approach ensures 
that the best available benchmark data for each director’s specific 
position is obtained comparative pay data is used carefully 
recognising the risk of an upward ratchet in remuneration caused 
by over reliance on such data when determining executive 
directors’ base salaries the remuneration committee also has 
regard to economic factors remuneration trends and the general 
level of salary increases awarded throughout the group
recognising the commitment of the executive directors to deliver the 
company’s strategy but the importance of actually delivering it the 
remuneration committee has approved a possible staggered pay 
rise for the executive directors linked to the achievement of group 
profit targets which will take effect in the 201112 financial year 
three increases of 1 of annual salary may be made in july 2011 
october 2011 and january 2012 if certain targets are achieved  
by the group if all targets are met the maximum amount paid 
to each director in 201112 would be equivalent to a 15 pay 
increase if this maximum annual increase is achieved the  
executive directors’ salaries at the end of 201112 would be 
steve corcoran – £350302 justin read – £257575 mike mcgrath 
– £225666 no pay rises will take place if the targets are not 
achieved by the group other group employees are participating 
in a similar staggered pay rise linked to achievement of group 
budget but with an additional 1 of annual salary paid in april 2011 
if all targets are met the maximum amount paid to employees 
in 201112 would be equivalent to a 25 pay increase as 
justin read has resigned with effect from 26 august 2011  
he will not receive a pay rise
performancerelated annual bonus
the committee‘s general policy is that every employee in the 
group is brought within some form of incentive scheme as soon 
as practicable after joining the group although as previously 
reported no annual bonus opportunity was earned by the executive 
directors or other senior employees in 200910
following a review of incentive arrangements the remuneration 
committee determined that an incentive to deliver against 
shortterm operational drivers of the business was appropriate for 
201011 however the maximum bonus opportunity was reduced 
from 120 of salary to 100 of salary
for 201011 the bonus was based on adjusted profit before tax 
targets 70 and a range of key strategic objectives 30 the 
threshold level of performance was not achieved and so no bonus 
was earned for the year
for 201112 the maximum bonus opportunity remains at 100 
of salary the bonus opportunity will be split as follows i 85  
of the bonus will be payable by reference to performance against  
a challenging range of adjusted profit before tax targets and  
ii 15 will be payable for performance against key strategic 
objectives relating to revenue overhead group net debt 
working capital ecommerce capability gross profit margin 
and strategic development
outstanding performance will be required for a maximum bonus 
to become payable with no bonus payable unless a number 
of financial ie adjusted profit before tax and nonfinancial 
thresholds are achieved a claw back provision will be applied 
for specified circumstances
as in previous years if a bonus is earned any bonus earned over 
50 of salary will be subject to a compulsory deferral into shares 
with such shares subject to a corresponding matching award under 
the coinvestment plan see page 62
as justin read has resigned with effect from 26 august 2011  
he will not receive a bonus nonexecutive directors also  
do not receive a bonus
longterm incentive plan
in line with the overall remuneration policy of the remuneration 
committee the objectives of the company’s sharebased longterm 
incentive arrangements which were approved by shareholders in 
2004 and 2009 are
to support the company’s strong performance culture and  
provide exceptional rewards for exceptional performance
to provide a competitive total compensation package  
to link rewards to group performance so that the interests of  
executives are fully aligned with speedy’s shareholders and
to create an expectation of ownership on the part of executives  
in accordance with shareholding guidelines established by the 
committee requiring executive directors to build up and retain 
shares in the company of a value equivalent to 100 of 
basic salary
the two main sharebased longterm incentive plans operated 
for senior executives are i the performance plan and ii the 
coinvestment plan as set out on page 60 the performance plan 
measures speedy’s tsr performance and the coinvestment plan 
speedy’s eps performance the remuneration committee considers 
that the combination of these measures will encourage shareholder 
value creation and improved financial performance 
benefits under the performance plan and the coinvestment plan 
are nonpensionable
governance
speedy hire plc annual report and accounts 2011 58 governance  remuneration report
remuneration report continued
performance plan
the key features of the performance plan are as follows
for 201112 awards of 70 of salary will be granted to the  
executive directors with the exception of justin read who has 
resigned with effect from 26 august 2011 and accordingly will 
not receive any awards
the normal maximum award that can be made each year is over  
shares worth up to 100 of salary however in 201011 and 
201112 the committee has agreed the maximum award 
is capped at 70 of salary
2011 awards will vest subject to i tsr performance measured  
over a three year period beginning with the date of the grant  
and ii continued employment
20 of each award will vest if speedy ranks at the median  
compared to the ftse 250 excluding investments trusts 
measured over the three year performance period with full 
vesting at the upper quartile and straight line vesting between 
these points
an underpin also applies to the primary tsr measure under  
which the committee may reduce the number of shares that 
provisionally vest by reference to performance against the 
relative tsr condition if this performance is not considered to be 
truly representative of the company’s underlying performance 
over the relevant period when considering the company’s 
underlying performance the committee will take account of 
performance against a range of targets including operating cash 
flow profit against targets working capital management and 
share price progression and
see page 63 for details of performance conditions applying  
to earlier awards
as stated above the committee has recently reviewed the executive 
directors’ incentive pay policy encompassing a review of longterm 
incentive provision following this review it has been deemed that 
performance plan awards will be made in the forthcoming year 
subject to a maximum 70 of salary individual limit the vesting 
of the awards will be subject to continued employment and the 
satisfaction of a tsrbased performance condition with the same 
structure as that outlined previously for the awards made last year
tsr has been used again as the primary performance measure for 
the performance plan awards as it is currently considered a robust 
measure of speedy’s longterm performance the committee will 
ensure that appropriate independent verification is sought as to the 
extent to which these performance conditions are satisfied 
the 2006 2007 and 2008 performance plan awards have not 
vested due to performance below the threshold levels 
coinvestment plan
the key features of the coinvestment plan are as follows
executive directors are required to defer any annual bonus over  
50 of basic salary in speedy shares they can choose to defer 
and invest the rest of their bonus
deferral is for three years  
matching shares are awarded by the committee which vest  
at the end of the threeyear deferral period if i predetermined 
performance criteria are satisfied ii the deferred shares are 
retained and iii the individual remains employed by speedy 
the maximum matching which is only awarded for exceptional 
performance could be on a 21 or 200 basis by reference 
to the gross amount of bonus deferred and
performance is based on eps growth over the deferral period  
for the last awards made to obtain the maximum match eps 
growth of greater than consumer price index cpi plus 125 per 
annum calculated on a compound basis was required a match 
of 11 is earned if eps growth is greater than cpi plus 75 per 
annum also calculated on a compound basis with no awards 
vesting if eps growth equals cpi plus 75 per annum and 
straightline vesting between 75 and 125 per annum
as there was no annual bonus payable to the executive directors 
in 200809 or 200910 there has been no coinvestment plan 
award in 2009 or 2010 as no bonus was earned for 201011 
there will also be no award in 2011
the 2006 2007 and 2008 coinvestment plan awards have not 
vested due to performance below criteria threshold levels
dilution
the performance plan coinvestment plan and saye share 
option schemes provide that overall dilution through the issuance 
of new shares for employee share schemes should not exceed 
an amount equivalent to 10 of the company’s issued share capital 
over a 10 year period within this 10 limit dilution through the 
performance plan and coinvestment plan is limited to an amount 
equivalent to 5 of the company’s issued share capital over 
a 10 year period both limits are in line with institutional 
shareholder guidelines
the committee monitors the position prior to making awards under 
these schemes to ensure that the company remains within this limit 
as at the date of this report 313 of the 5 limit and 502 of the 
10 limit has been used
speedy hire plc annual report and accounts 2011 governance  remuneration report 59 
share ownership guidelines
executive directors must build and maintain a shareholding  
of 100 of salary steve corcoran and mike mcgrath are meeting 
this requirement in full justin read has shares with a value equal 
to approximately 90 of his salary
benefits in kind
the group operates a policy whereby executive directors and senior 
management are offered a car or cash alternative as appropriate 
health insurance and life cover and pension contributions or cash  
in lieu of pension contributions further details of which are set out 
on page 61 justin read also received a housing allowance
the group does not operate a defined benefit pension scheme 
and has no plans to introduce such a scheme
total shareholder return tsr
the graph below shows speedy’s performance measured by 
tsr compared with the performance of the ftse small cap index 
excluding investment trusts also measured by tsr the graph 
illustrates the movement of speedy’s tsr assuming dividends are 
reinvested on the exdividend date against that of the comparator 
index for the fiveyear period to 31 march 2011 the ftse small cap 
index excluding investment trusts has been used as it is an index 
in which speedy is a constituent however the chart also shows the 
ftse 250 index excluding investment trusts as this provides 
consistency with previous years and the performance measurement 
of the group’s executive share incentive plans 
service contracts
it is the committee’s general policy that the service contracts 
of executive directors none of which are for a fixed term should 
provide for termination of employment by giving 12 months’ notice 
or by making a payment of an amount equal to 12 months’ basic 
salary and pension contributions in lieu of notice together with any 
accrued bonus entitlement it is the company’s ongoing policy for 
bonus to not be included in any new joiner’s termination payments 
it is also the committee’s general policy that no executive director 
should be entitled to a notice period or payment on termination of 
employment in excess of the levels set out in their service contracts 
in determining amounts payable on termination the committee 
also considers where it is able to do so appropriate adjustments 
to take into account accelerated receipt and the executive director’s 
duty to mitigate his loss
the service contracts of steve corcoran mike mcgrath and justin 
read contain express provisions relating to their duty to mitigate 
their loss and for accelerated receipt in the event of termination 
claudio veritiero resigned as an executive director on 31 october 
2010 and received a termination payment in accordance with the 
provisions of his service agreement the amount of which is set 
out below on page 60
subject to the above no executive director has the benefit of 
provisions in his service contract for the payment of predetermined 
compensation in the event of termination of employment
the execution dates of the service contracts of the executive 
directors are set out below
contract date
s corcoran 7 january 2002
m mcgrath 10 march 2006
j read 1 april 2008
nonexecutive directors
the remuneration of the nonexecutive directors is set by the 
executive directors the policy of the board is that the remuneration 
of the nonexecutive directors should be consistent with the levels 
of remuneration paid by companies of a similar size with due 
regard to their expected time commitment and responsibility 
in performing their duties the levels of nonexecutive director 
remuneration are the subject of benchmarking exercises carried 
out with the assistance of hnbs typically at least every two years 
no such benchmarking exercise was considered necessary this 
year and therefore the nonexecutive directors’ remuneration levels 
are unchanged from those paid last year nonexecutive directors 
receive an annual fee and are reimbursed expenses incurred 
in performing their duties they do not receive any performance
related bonuses pension contributions share awards or other 
forms of benefit
0
160
31 march 
2011
31 march 
2010
31 march 
2009
31 march 
2008
31 march 
2007
31 march 
2006
speedy hire plc ftse 250 excluding investment trusts index
ftse smallcap excluding investment trusts index
value £
this graph shows the value by 31 march 2011 of £100 invested in speedy 
hire plc on 31 march 2006 compared with the values of £100 invested in the 
ftse 250 excluding investment trusts index or the ftse smallcap excluding 
investment trusts the other points plotted are the values at intervening 
financial yearends
governance
speedy hire plc annual report and accounts 2011 60 governance  remuneration report
remuneration report continued
the chairman and nonexecutive directors do not have contracts 
of service but their terms are set out in letters of appointment  
david wallis retired as a nonexecutive director and chairman  
on 31 december 2010 
peter atkinson commenced a second threeyear term in july 2008 
ishbel macpherson commenced her second three year term 
in july 2010 michael averill commenced his first threeyear term  
in july 2008 james morley commenced his first three year term  
in july 2009 
appointments are subject to earlier termination by three months’ 
notice on either side in the case of each of peter atkinson ishbel 
macpherson michael averill and james morley the letters of 
appointment copies of which are available for inspection at the 
company’s registered office during normal business hours specify 
an anticipated time commitment of 50 days per annum in relation 
to ishbel macpherson 21 days per annum in the case of michael 
averill and james morley and 19 days per annum in the case 
of peter atkinson
the execution dates of the appointment letters of the nonexecutive 
directors are set out below
appointment letter date
p atkinson 3 may 2005
m averill 16 may 2008
i macpherson 17 july 2007
j morley 31 march 2009
emoluments of the directors
the emoluments of the directors of speedy for the year under 
review were as follows
aggregate emoluments audited
2011
£000
2010
£000
salaries and fees 1175 1275
benefits 49 54
termination payments 266 –
annual performancerelated bonuses – –
pension contributions 159 155
total 1649 1484
a payment of £18000 was also made to the widow of a former 
director 2010 £18000
payments to executive directors audited
base salaries for executive directors and remuneration levels for nonexecutive directors were not increased in the year
salaries and fees pension contributions
salary
£000
benefits
£000
termination
£000
bonus
£000
total
2011
total 
2010
2011
£000
2010
£000
s corcoran 340 15 – – 355 351 68 68
m mcgrath 220 3 – – 223 230 31 29
c veritiero resigned 31 october 2010 118 7 266 – 391 213 30 30
j read 250 24 – – 274 273 30 28
total 928 49 266 – 1243 1067 159 155
speedy hire plc annual report and accounts 2011 governance  remuneration report 61 
pensions
the committee reviews the pension arrangements for the executive 
directors to ensure that the benefits provided are consistent with 
those provided by similar companies and take account of changes 
in relevant legislation
the company does not offer a defined benefit pension scheme 
instead it makes contributions to an approved pension scheme 
of the executive director’s choice pensions contributions range 
between 10 and 20 of basic salary depending on length 
of service executive directors are also offered cash in lieu  
of a pension contribution
the amount of pension contributions or cash in lieu made 
in respect of each executive director is set out on page 60
save as set out on page 60 there are no other pension 
arrangements for the executive directors
individual emoluments of nonexecutive directors audited 
2011
£000
2010
£000
d wallis resigned on 31 december 2010 79 105
p atkinson 34 34
i macpherson 57 41
m averill 36 34
j morley 41 41
total 247 255
directors’ interests in shares and options audited
interests in shares 
the interests of the directors of speedy hire plc in the issued share 
capital of speedy hire plc at the beginning and end of the year 
or date of appointment where appropriate are shown below
speedy hire plc  
ordinary shares
31 march 
2011
31 march 
2010 

s corcoran 2186423 2186423
m mcgrath 1291500 1291500
c veritiero resigned on 31 october 2010 199608

986245
d wallis resigned on 31 december 2010 187069

187069
p atkinson 42800 42800
i macpherson 216940 216940
j read 1204864 1201307
m averill 87010 50000
j morley 165000 158236
 post rights issue
 as at 31 october 2010
 as at 31 december 2010
this table includes joint ownership interests in exsop awards which 
are included in the table on page 62
there have been no changes in the interests of the directors in the 
share capital of speedy hire plc since 31 march 2011 
governance
speedy hire plc annual report and accounts 2011 62 governance  remuneration report
directors’ interests in share options performance plan and coinvestment plan awards
the options under the saye scheme were granted for nil consideration
the market price of speedy ordinary shares at 31 march 2011 was 2875 pence and the range during the year was  
1925 pence to 3625 pence per share
the price of an ordinary share on 24 june 2010 when the performance plan awards were made was 265 pence
details of the executive directors’ interests in the uk saye scheme performance plan and coinvestment plan are as follows
interest at 
1 april 2010
1
optionsawards
lapsed during 
the year
optionsawards
granted during
the year
interest at 
31 march 2011
2
exercise price
pence
expected date from 
which exercisable
vested
s corcoran
save as you earn 2010 – – 26400 26400 21 feb 2014 – july 2014
performance plan 2007
3
96273 96273 – – nil na
performance plan 2008
45
181809 – – 181809 nil jun 2011
performance plan 2009
6
1323697 – – 1323697 na sep 2012
performance plan 2010
75
– – 769977 769977 nil jun 2013
coinvestment plan 2007
8
80812 80812 – – nil na
coinvestment plan 2008
59
342486 – – 342486 nil jun 2011
s corcoran total 2025077 177085 796377 2644369
m mcgrath
save as you earn 2009 9012 – – 9012 29 nov 2012 – apr 2013
save as you earn 2010 – – 19028 19028 21 feb 2014 – july 2014
performance plan 2007
3
62204 62204 – – nil na
performance plan 2008
45
117641 – – 117641 nil jun 2011
performance plan 2009
65
856510 – – 856510 na sep 2012
performance plan 2010
7
– – 498220 498220 nil jun 2013
coinvestment plan 2007
8
114196 114196 – – nil na
coinvestment plan 2008
59
257467 – – 257467 nil jun 2011
m mcgrath total 1417030 176400 517248 1757878
j read
save as you earn 2009 9012 – – 9012 29 nov 2012 – apr 2013
save as you earn 2010 – – 19028 19028 21 feb 2014 – july 2014
performance plan 2008
45
133684 – – 133684 nil jun 2011
performance plan 2009
6
973307 – – 973307 na sep 2012
performance plan 2010
75
– – 566159 566159 nil jun 2013
coinvestment plan 2008
59
284728 – – 284728 nil jun 2011
j read total 1400731 – 585187 1985918
c veritiero
10
save as you earn 2009 9012 – – 9012 29 nov 2010 – apr 2011
performance plan 2008
45
102934 – – 102934 nil jun 2011
performance plan 2009
6
788378 – – 788378 na sep 2012
performance plan 2010
75
– – 458589 458589 nil jun 2013
coinvestment plan 2007
8
27431 27431 – – nil na
coinvestment plan 2008
59
208425 – – 208425 nil jun 2011
c veritiero total 1136180 27431 458589 1567338
total 5979018 380916 2357401 7955503
no options were exercised during the year
remuneration report continued
speedy hire plc annual report and accounts 2011 governance  remuneration report 63 
1
 the interests at 1 april 2010 are stated after adjustment where relevant  
for the 2009 rights issue
2
 or date of cessation as a director of the company if earlier
3
 neither the tsr nor the eps target was met and the awards lapsed 
4
 the 2008 performance plan awards were subject to a combination of tsr 
and eps performance targets 50 of the award was based on comparative 
tsr against the ftse 250 excluding investment trusts 20 of this portion 
of the award will vest at median with straightline vesting to upper quartile 
performance at which point this portion of the award will vest in full the 
balance of the award was based on eps growth targets 20 of this portion 
of the award will vest for the achievement of a threshold level of eps growth 
being at least cpi plus 75 per annum calculated on a compound basis with 
the entire portion of this award vesting if eps growth is at least cpi plus 15 
per annum also on a compound basis with straightline vesting in between 
neither the tsr nor the eps targets were met and so these awards will lapse
5
 performance plan awards other than those granted in 2009 – see note 6 and 
co investment plan matching awards were options to acquire shares for an 
aggregate £1 exercise price for all the award shares no consideration was 
paid for the grant of these options 
6
 the 2009 performance plan awards were in the form exsop awards which 
involve the acquisition of shares jointly by the participant and the trustee  
of the company’s employee trust exsop awards were subject to the same 
performance condition as the 2011 performance plan awards as detailed on 
page 58 to the extent the performance condition is satisfied the participant 
can benefit from any growth of the shares in excess of a hurdle initial value 
awards entitle the holder to a value in shares or cash equal to the number 
of exsop shares if any in respect of which the performance condition is met 
multiplied by the share value on the award date or if lower the share value 
when the exsop award crystallises 
7
 the 2010 performance plan awards were subject to the same performance 
condition as the 2011 performance plan awards as detailed on page 58
8
 the eps target was not met and the awards lapsed 
9
 the 2008 co investment plan awards were subject to performance targets 
based on eps growth over the deferral period to obtain maximum matching 
eps growth is required to be greater than cpi plus 125 per annum calculated 
on a compound basis a 11 match is earned if eps growth is greater than cpi 
plus 75 per annum also calculated on a compound basis with no awards 
vesting if eps growth equals cpi plus 75 per annum and straightline vesting 
in between 75 and 125 per annum the eps target was not met and so 
these awards will lapse
10
 claudio veritiero’s award details are as at 31 october 2010 being the date 
of his departure 
saye scheme
options may be granted over shares in speedy under the speedy 
sharesave scheme the ‘uk saye scheme’ in which all eligible 
employees including executive directors are entitled to participate 
at the end of a threeyear period participants have the right 
if they choose to use funds accumulated under the savings contract 
linked to the saye scheme to purchase shares in speedy  
at up to a 20 discount to the price of speedy’s shares at the  
date employees are invited to join the scheme 
in november 2007 the committee established an irish revenue
approved irish sharesave scheme the ‘irish saye scheme’ to 
enable irish employees of the group to participate in a comparable 
taxfavoured manner to their english counterparts for which 
shareholder approval was obtained at the 2008 agm the 
committee is keen to encourage ownership of speedy’s shares 
by employees at all levels in the group and grants are made under 
the saye schemes on a regular normally annual basis a grant 
was made under both the uk and the irish saye schemes in 
december 2010 
492 employees participated in the 2010 grant and as at 31 march 
2011 there were in aggregate 1314 live accounts spread across 1009 
participants in the uk and irish saye schemes as allemployee 
schemes no performance targets are attached to options granted 
under the saye schemes 
longterm service awards
consistent with the speedy approach of recognising the contribution 
of its employees at all levels in the business the group operates 
a longterm service award scheme under which employees serving 
10 20 and 25 years receive a range of additional benefits including 
additional days of annual holiday entitlement and including the 
employee’s birthday for reaching 20 years’ service employees 
serving 20 years receive an additional £1000 in basic salary and 
those serving 25 years a further increase of £1000 and an award 
of shares in the company to the value of £1000 members of the 
20 and 25year clubs attend an annual luncheon hosted by the 
chief executive
these benefits are popular amongst employees and speedy 
believes that they fulfil a business need by encouraging and 
rewarding the loyalty and motivation of longserving employees 
and by rewarding those employees with higher levels of experience
this report was approved by the board on 17 may 2011
michael averill
chairman of the remuneration committee
governance
speedy hire plc annual report and accounts 2011 64 governance  audit committee report
audit committee report
the audit committee presents a separate report in relation to the 
financial year ended 31 march 2011
composition of the audit committee
the audit committee comprises three nonexecutive directors 
james morley chairman of the audit committee peter atkinson 
and michael averill all of whom are considered by the board  
to be independent biographies of each of the members of the  
audit committee are set out on pages 44 and 45 james morley  
is a chartered accountant with over 26 years’ experience as a board 
member at both listed and private companies he currently holds  
nonexecutive directorships at clarkson plc costain group plc  
the innovation group plc and bms associates previously james 
was also a nonexecutive director of the bankers investment trust 
ws atkins and trade indemnity group the board is satisfied that 
james morley has recent and relevant financial experience
operation of the audit committee
the audit committee met on five occasions during the year details 
of the attendance at audit committee meetings are set out in the 
corporate governance report on page 49 
the chairman chief executive and group finance director together 
with representatives from the external auditors and the head 
of internal audit are invited to attend all meetings of the committee 
by the chairman of the audit committee the external auditors and 
the head of internal audit regularly meet privately with the audit 
committee to advise them of any matters which they consider 
should be brought to the audit committee’s attention without the 
executive directors present the external auditors and the head 
of internal audit may also request a meeting with the audit 
committee if they consider it necessary
the company secretary acts as secretary to the audit committee 
the members of the audit committee can where they judge it 
necessary to discharge their responsibilities obtain independent 
professional advice at the company’s expense
the audit committee’s duties include inter alia
monitoring the integrity of the group’s financial statements and  
formal announcements relating to the group’s performance
monitoring the effectiveness of the external process including  
the appointment cost and independence of the external 
auditors
reviewing the effectiveness of internal controls and the internal  
audit function
approving the appointment or replacement of the head  
of internal audit and
reviewing the board’s process for reviewing and managing  
significant risk in the business
the audit committee undertakes its activities in line with an annual 
programme of business the audit committee agrees the scope 
of the external audit work and discusses the results of the fullyear 
audit and halfyear review each year with the external auditors and 
the group finance director and chief executive
the terms of reference of the audit committee are published 
on speedy’s website at wwwspeedyhireplcuk and are available 
in hard copy form on application to the company secretary
during the year the audit committee reviewed the group’s 
whistleblowing procedures to ensure arrangements are in place 
to enable employees to raise concerns about possible malpractice 
or wrongdoing by the group or any of its employees on a 
confidential basis this includes arrangements to investigate 
proportionately and independently such matters and for 
appropriate followup action
internal control and risk management
the board is responsible for the group’s system of internal control 
and risk management and for reviewing its effectiveness 
the audit committee undertook a review of the effectiveness of 
and the framework for the group’s system of internal control and 
risk management including financial operational and compliance 
controls during the year in addition to this review the external 
auditors provided the audit committee with reports of the results 
of their controls testing as part of the external audit 
review of the work of the external auditors
subject to the annual appointment of the external auditors 
by shareholders the audit committee regularly reviews the 
relationship between the group and the external auditors 
this review includes an assessment of their performance  
costeffectiveness objectivity and independence
the audit committee is responsible for ensuring that an appropriate 
relationship is maintained between the group and the external 
auditors the group has implemented a policy to control the 
provision of nonaudit services by the external auditors in order 
to ensure that their objectivity and independence are safeguarded 
this policy requires that the provision of any nonaudit services 
in excess of £30000 by the external auditors are subject to prior 
approval by the audit committee during the year nonaudit 
services were provided to the group by both the external auditors 
and other accounting or consulting firms and the group anticipates 
that this will continue in 2011 a full breakdown of the audit and 
nonaudit related fees is set out in note 4 to the group financial 
statements on page 81
the audit committee considered the external auditors’  
performance during their period in office and reviewed the level 
of fees charged and considered them appropriate given the size 
of the group the audit committee is satisfied that the level and 
scope of nonaudit services undertaken by the external auditors 
do not impair their independence and objectivity having 
considered the results of the audit committee’s work the board 
is recommending the reappointment of the external auditors
this report was approved by the board on 17 may 2011
james morley
chairman of the audit committee
speedy hire plc annual report and accounts 2011 governance  nomination committee report 65 
nomination committee report
the nomination committee presents a separate report in relation  
to the financial year ended 31 march 2011
composition of the nomination committee
the nomination committee comprises the four nonexecutive 
directors ishbel macpherson the chairman of the nomination 
committee from 1 january 2011 peter atkinson michael averill 
and james morley all of whom are considered by the board  
to be independent biographies of the members of the nomination 
committee are set out on pages 44 and 45 david wallis was 
chairman of the remuneration committee from 1 april 2010 until  
his retirement from group board on 31 december 2011
operation of the nomination committee
the nomination committee met on five occasions during the year 
details of the attendance at nomination committee meetings are 
set out in the corporate governance report on page 49
the nomination committee’s duties include inter alia
reviewing the size and composition of the board and  
membership of board committees
evaluating the balance of skills knowledge and experience  
of the board
ensuring that succession planning is in place for the board  
ensuring that there is a formal and transparent procedure for the  
appointment of new executive and nonexecutive directors to 
the board and making recommendations to the board on such 
appointments and
the reappointment of directors following their retirement  
by rotation
during the year the nomination committee reviewed the balance  
of skills knowledge and experience of the board together with the 
size structure and composition of the board and reviewed the 
succession plans for the board including the making of relevant 
recommendations to the group board in relation to the successor  
to david wallis the appointment of a new nonexecutive director 
following the retirement of peter atkinson at the forthcoming agm 
and the reelection of justin read and michael averill as referred 
to in the directors’ report on page 49 
when dealing with the appointment of a successor to the chairman 
the senior independent nonexecutive director will normally chair 
the nomination committee instead of the chairman as ishbel 
macpherson was a potential successor to david wallis michael 
averill chaired those meetings in which the chairman’s succession 
was discussed
the nomination committee has a formal rigorous and 
transparent procedure for the appointment of new directors to the 
board the process in relation to the appointment of a new group 
finance director and nonexecutive director to replace justin read 
and peter atkinson respectively involves the nomination committee 
interviewing suitable candidates who are proposed by an external 
search company or existing board members careful consideration 
is being given to ensure any potential appointees have enough 
time available to devote to the role and that the balance of skills 
knowledge and experience on the board is maintained when 
the nomination committee has identified a suitable candidate 
the chairman of the nomination committee will make 
a recommendation to the board with the board making 
the final decision
at the invitation of the chairman of the nomination committee the 
chief executive may attend meetings of the nomination committee 
the company secretary acts as secretary to the nomination 
committee the members of the nomination committee can where 
they judge it necessary to discharge their responsibilities obtain 
independent professional advice at the company’s expense
the terms of reference of the nomination committee are published 
on speedy’s website at wwwspeedyhireplcuk and are available 
in hard copy form on application to the company secretary
this report was approved by the board on 17 may 2011
ishbel macpherson
chairman of the nomination committee
governance
speedy hire plc annual report and accounts 2011 66 governance  independent auditor’s report
independent auditor’s report  
to the members of speedy hire plc
we have audited the financial statements of speedy hire plc for the 
year ended 31 march 2011 set out on pages 68 to 104 the financial 
reporting framework that has been applied in their preparation 
is applicable law and international financial reporting standards 
ifrss as adopted by the eu and as regards the parent company 
financial statements as applied in accordance with the provisions  
of the companies act 2006
this report is made solely to the company’s members as a body 
in accordance with chapter 3 of part 16 of the companies act 2006 
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 auditor
as explained more fully in the directors’ responsibilities statement 
set out on page 47 the directors are responsible for the preparation 
of the financial statements and for being satisfied that they give 
a true and fair view our responsibility is to audit and express an 
opinion on the financial statements in accordance with applicable 
law and international standards on auditing uk and ireland 
those standards require us to comply with the auditing practices 
board’s apb’s ethical standards for auditors
scope of the audit of the financial statements
a description of the scope of an audit of financial statements 
is provided on the apb’s website at  
wwwfrcorgukapbscopeprivatecfm 
opinion on financial statements
in our opinion
the financial statements give a true and fair view of the state of  
the group’s and of the parent company’s affairs as at 31 march 
2011 and of the group’s loss for the year then ended
the group financial statements have been properly prepared in  
accordance with ifrss as adopted by the eu 
the parent company financial statements have been properly  
prepared in accordance with ifrss as adopted by the eu and 
as applied in accordance with the provisions of the companies 
act 2006 and 
the financial statements have been prepared in accordance with  
the requirements of the companies act 2006 and as regards the 
group financial statements article 4 of the ias regulation
opinion on other matters prescribed by the companies act 2006
in our opinion
the part of the directors’ remuneration report to be audited  
has been properly prepared in accordance with the 
companies act 2006
the information given in the directors’ report for the financial  
year for which the financial statements are prepared is 
consistent with the financial statements and
information given in the corporate governance statement set   
out on pages 49 to 53 with respect to internal control and risk 
management systems in relation to financial reporting 
processes and about share capital structures is consistent 
with the financial statements 
matters on which we are required to report by exception
we have nothing to report in respect of the following
under the companies act 2006 we are required to report to you  
if in our opinion
adequate accounting records have not been kept by the parent  
company or returns adequate for our audit have not been 
received from branches not visited by us or
the parent company financial statements and the part   
of the directors’ remuneration report to be audited are not 
in agreement with the accounting records and returns or
certain disclosures of directors’ remuneration specified by law  
are not made or
we have not received all the information and explanations  
we require for our audit or
a corporate governance statement has not been prepared  
by the company 
under the listing rules we are required to review
the directors’ statement set out on page 46 in relation to going  
concern
the part of the corporate governance statement on pages 49 to  
53 relating to the company’s compliance with the nine provisions 
of the june 2008 combined code specified for our review and
certain elements of the report to shareholders by the board  
on directors’ remuneration 
m newsholme senior statutory auditor
for and on behalf of kpmg audit plc statutory auditor
chartered accountants
st james square
manchester
united kingdom
m2 6ds 
17 may 2011 
speedy hire plc annual report and accounts 2011 financial statements
financial statements
68 consolidated income statement 
69 consolidated statement of comprehensive income 
70 consolidated balance sheet
71 consolidated cash flow statement
72 consolidated statement of changes in equity 
73 notes to the consolidated financial statements 
98 company balance sheet 
99 company cash flow statement
100 company statement of changes in equity
101 notes to the company financial statements
105 fiveyear summary
investor information
106 shareholder information
107 registered office and advisers
108 awards
109 accreditations and memberships
financial statements investor information
financial statements
speedy hire plc annual report and accounts 2011
financial statements 67  consolidated income statement
for the year ended 31 march 2011
note
before 
exceptional 
items
2011
£m
exceptional
items
2011
£m
total
2011
£m
before
exceptional
items
2010
£m
exceptional
items
2010
£m
total
2010
£m
revenue 2 3542 – 3542 3511 – 3511
cost of sales 1369 – 1369 1427 – 1427
gross profit 2173 – 2173 2084 – 2084
distribution costs 352 – 352 378 – 378
administrative expenses 1793 193 1986 1681 111 1792
analysis of operating lossprofit
operating profit before amortisation 
and exceptional items 83 – 83 80 – 80
amortisation 55 – 55 55 – 55
exceptional restructuring costs 3 – 55 55 – 111 111
exceptional write down 
of accommodation assets 3 – 138 138 – – –
operating lossprofit 4 28 193 165 25 111 86
financial expense 37 90 15 105 142 – 142
loss before taxation 62 208 270 117 111 228
taxation 38 21 56 77 18 27 45
loss for the financial year 41 152 193 99 84 183
attributable to
equity holders of the parent 193 183
pence pence
earnings per share
– basic 9 381 437
– diluted 9 381 437
nongaap performance measures
ebitda before exceptional costs 11 634 682
profit before tax amortisation  
and exceptional costs 11 07 62
     
speedy hire plc annual report and accounts 2011
68 financial statements  consolidated income statement  consolidated statement of comprehensive income
for the year ended 31 march 2011
2011
£m
2010
£m
loss for the financial year 193 183
other comprehensive income
effective portion of change in fair value of cash flow hedges 25 26
tax on items taken directly to equity 02 –
exchange difference on retranslation of foreign operations 06 05
other comprehensive income net of tax 33 21
total comprehensive income for the financial year 160 162
attributable to equity holders of the parent 160 162
financial statements
speedy hire plc annual report and accounts 2011
financial statements  consolidated statement of comprehensive income 69  consolidated balance sheet
at 31 march 2011
note
2011
£m
2010
£m
assets
noncurrent assets
intangible assets 12 602 657
property plant  equipment
hire equipment 13 1857 2469
nonhire equipment 13 342 387
2199 2856
2801 3513
current assets
inventories 14 102 113
trade and other receivables 15 977 1034
assets classified as held for sale 16 334 –
cash and cash equivalents 02 125
1415 1272
total assets 4216 4785
  
liabilities
current liabilities
borrowings 19 11 02
other financial liabilities 18 06 32
trade and other payables 17 633 709
provisions 20 35 48
income tax 03 17
688 808
noncurrent liabilities
borrowings 19 1130 1316
provisions 20 12 25
deferred tax liabilities 21 92 170
1234 1511
total liabilities 1922 2319
net assets 2294 2466
  
equity
share capital 22 259 259
share premium account 1902 1902
merger reserve 10 37
hedging reserve 09 34
translation reserve 01 05
retained earnings 131 307
total equity attributable to equity holders of the parent 2294 2466
       
the financial statements on pages 68 to 97 were approved by the board of directors on 17 may 2011 and were signed on its behalf by
steve corcoran     justin read
director      director
company registered number 927680
speedy hire plc annual report and accounts 2011
70 financial statements  consolidated balance sheet  consolidated cash flow statement
at 31 march 2011
note
2011
£m
2010
£m
cash generated from operations before changes in hire fleet 24 497 629
purchase of hire equipment 418 336
proceeds from sale of hire equipment 162 226
cash generated from operations 241 519
net financial expense 105 143
tax paidreceived 13 59
net cash flow from operating activities 123 435
cash flow from investing activities
purchase of other property plant  equipment 49 102
disposal of other property plant  equipment – 04
net cash flow from investing activities 49 98
net cash flow before financing activities 74 337
cash flow from financing activities
finance lease payments 01 01
repayment of bank loans 184 1275
proceeds from rights issue – 1055
rights issue costs – 58
dividends paid 21 43
net cash flow from financing activities 206 322
decreaseincrease in cash 132 15
cash at the start of the financial year 125 110
cash at the end of the financial year 07 125
analysis of cash
cash 02 125
bank overdraft 09 –
07 125
financial statements
speedy hire plc annual report and accounts 2011
financial statements  consolidated cash flow statement 71  consolidated statement of changes in equity
for the year ended 31 march 2011
share
capital
£m
share
premium
£m
merger
reserve
£m
hedging
reserve
£m
translation
reserve
£m
retained
earnings
£m
total
equity
£m
at 31 march 2009 25 1110 37 60 – 563 1675
total comprehensive income for the year – – – 26 05 183 162
dividends – – – – – 43 43
equity settled sharebased payments – – – – – 01 01
issue of ordinary shares 229 768 – – – – 997
employee benefits trust allotments 05 24 – – – 29 –
at 31 march 2010 259 1902 37 34 05 307 2466
total comprehensive income for the year – – – 25 06 191 160
dividends – – – – – 21 21
equity settled sharebased payments – – – – – 09 09
transfer to retained earnings – – 27 – – 27 –
at 31 march 2011 259 1902 10 09 01 131 2294
              
  transfer to retained earnings relates to the realised element of the merger reserve the transfer is being made retrospectively in relation to the disposal of a business 
which occurred a number of years ago
speedy hire plc annual report and accounts 2011
72 financial statements  consolidated statement of changes in equity  notes to the consolidated financial statements
1 accounting policies
speedy hire plc is a company incorporated in the united kingdom the consolidated financial statements of the company for the year 
ended 31 march 2011 comprise the company and its subsidiaries together referred to as the ‘group’ the consolidated and parent 
company financial statements were approved by the board of directors on 17 may 2011
statement of compliance
both the group and parent company financial statements have been prepared and approved by the directors in accordance with 
international financial reporting standards as adopted by the european union ‘ifrs’ 
basis of preparation
the financial statements are prepared on the historical cost basis except that derivative financial instruments are held at fair value 
the accounting policies set out below have been applied consistently to all periods presented in these consolidated financial statements
as highlighted in note 18 to the financial statements the group meets its day to day working capital requirements through operating cash 
flows supplemented as necessary by borrowings
the directors have prepared cash flow projections for the period to june 2012 which show that the group is capable of continuing 
to operate within its existing loan facilities and can meet the covenant tests set out within its bank facility agreement the key 
assumptions on which the projections are based include an assessment of the impact of future market conditions on projected 
revenues and an assessment of the net capital investment required to support the expected level of revenues
the group has initiated discussions to ensure new debt facilities are available to the group beyond maturity of the current facility  
in june 2012 these discussions are progressing well and the directors anticipate that new facilities will be secured on acceptable 
terms shortly 
further information on the group’s business activities together with the factors likely to affect its future development performance and 
position is set out in the chief executive’s review above the financial position of the group its cash flows liquidity position and borrowing 
facilities are described in the group financial review above in addition note 18 to the financial statements includes the group’s objectives 
policies and processes for managing its capital its financial risk management objectives details of its financial instruments and hedging 
activities and its exposure to credit risk and liquidity risk
whilst the directors consider that there is a degree of subjectivity involved in their assumptions on the basis of the above the directors 
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 of accounting in preparing the annual report and 
financial statements
basis of consolidation
subsidiaries are entities controlled by the company control exists when the company has the power directly or indirectly to govern the 
financial and operating policies of an entity so as to obtain benefits from its activities the financial statements of subsidiaries are included 
in the consolidated financial statements from the date that control commences until the date that control ceases
intragroup balances and any unrealised gains and losses or income and expenses arising from intragroup transactions are eliminated 
in preparing the consolidated financial statements 
adoption of new accounting standards 
the following amendments to existing standards and ifrics have been adopted the changes have had no material impact on the 
financial statements
 ifrs 3 business combinations 2008 requires some significant changes to the way business combinations are accounted for   
all costs associated with business combinations are expensed directly to the income statement additionally any changes  
to contingent consideration classified as debt must now be dealt with through the income statement subsequent to acquisition 
 frs 2 group cashsettled sharebased payment transactions the amendments clarify the scope of ifrs 2 as well as the accounting   
for group cashsettled sharebased payment transactions in the separate or individual financial statements of an entity receiving the 
goods or services when another group entity or shareholder has the obligation to settle the award
 improvements to ifrss in april 2009 the international accounting standards board issued its second omnibus of amendments   
to its standards primarily with a view to removing inconsistencies and clarifying wording the adoption of these amendments which 
are effective for accounting periods beginning on or after 1 january 2010 did not have any impact on the reporting of the financial 
position or performance of the group 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 73  notes to the consolidated financial statements
continued
1 accounting policies continued
accounting standards not yet effective
a number of new standards amendments to standards and interpretations are not yet effective for the year ended 31 march 2011 
and have not been applied in preparing these consolidated financial statements none of these will have an effect on the consolidated 
financial statements of the group the key changes are as follows
ias 24 revised in 2009 – related party disclosures effective for annual periods beginning on or after 1 january 2011  
ifric 19 – extinguishing financial liabilities with equity instruments effective for annual periods beginning on or after 1 july 2010  
improvements to ifrss issued may 2010 effective for annual periods beginning on or after 1 july 2010 or 1 january 2011  
amendments to ifrs 7 – financial instruments disclosures effective for annual periods commencing on or after 1 july 2011  
ifrs 9 – financial instruments effective for annual periods commencing on or after 1 january 2013  
revenue
revenue is measured at the fair value of consideration received or receivable net of returns trade discounts and volume rebates
revenue is recognised in the income statement on a straightline basis over the period of the hire 
revenue arising from the sale of exhire fleet assets and consumable stock is recognised in the income statement when the 
significant risks and rewards of ownership have been transferred to the buyer transfer occurs when the product or asset is received  
at the customer’s location
property plant  equipment
items of property plant and equipment are stated at cost less accumulated depreciation and impairment losses cost includes 
expenditure that is directly attributable to the acquisition of the asset 
depreciation of property plant and equipment is charged to the income statement so as to write off the cost of the assets over the 
estimated useful lives after taking account of estimated residual values residual values are reassessed annually land is not depreciated 
hire equipment assets are depreciated so as to write them down to their residual value over their normal working lives which range from 
three to 15 years depending on the category of the asset 
the principal rates and methods of depreciation used are as follows
hire equipment  
tools and general equipment – between three and seven years straightline
access equipment – five to ten years straight line
surveying equipment – five years straightline
power equipment – between five and ten years straightline
accommodation and storage units – between eight and 15 years straightline
nonhire assets  
freehold buildings and long leasehold improvements – over the shorter of the lease period and 50 years straightline
short leasehold property improvements – over the period of the lease
fixtures and fittings and office equipment excluding it – 2545 per annum reducing balance
it equipment and software –  between three and five years straight line or over the period 
of software licence if shorter
motor vehicles – 25 per annum reducing balance
planned disposals of hire equipment are transferred at net book value to inventory prior to sale
startup expenses and lease incentives
legal and startup expenses incurred in respect of new hire depots are written off as incurred 
premiums paid or incentives received including rent free periods extending beyond a depot’s opening date on the acquisition of trading 
locations are written off over the period of the lease 
leases
leases in which the group assumes substantially all of the risks and rewards of ownership are classified as finance leases these assets 
are included in the balance sheet at the lower of the fair value or present value of minimum lease payments at inception and are 
depreciated accordingly the capital element of the corresponding financing commitments is included in the balance sheet 
speedy hire plc annual report and accounts 2011
74 financial statements  notes to the consolidated financial statements  1 accounting policies continued
lease payments in respect of finance leases are apportioned between the finance charge and the reduction of the outstanding liability 
the finance charge is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the remaining 
balance of the liability
payments made under operating leases are recognised in the income statement on a straightline basis over the term of the lease lease 
incentives received are recognised in the income statement as an integral part of the total lease expense
financing income and costs
financing costs comprise interest payable on borrowings and gains and losses on financial instruments that are recognised  
in the income statement
interest income is recognised in the income statement as it accrues using the effective interest rate
interest payable on borrowings includes a charge in respect of attributable transaction costs which are recognised in the income 
statement over the period of the borrowings on an effective interest basis the interest expense component of finance lease payments 
is recognised in the income statement using the lease’s implicit interest rate
income tax
income tax is recognised in the income statement except to the extent that it relates to items recognised directly in equity in which case  
it is recognised in equity income tax comprises current and deferred tax current tax is the expected tax payable on the taxable income for 
the year using tax rates substantively enacted at the balance sheet date and any adjustment to tax payable in respect of previous years 
deferred tax is recognised using the balance sheet liability method providing for temporary differences between the carrying amounts 
of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes the following temporary differences 
are not provided for goodwill not deductible for tax purposes the initial recognition of assets or liabilities affecting neither accounting nor 
taxable profit and differences relating to investments in subsidiaries to the extent that they will probably not reverse in the foreseeable 
future the amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets 
and liabilities using tax rates enacted or substantively enacted at the balance sheet date 
ias 12 ‘income taxes’ does not require all temporary differences to be provided for in particular the group does not provide for deferred 
tax on undistributed earnings of subsidiaries where the group is able to control the timing of the distribution and the temporary difference 
created is not expected to reverse in the foreseeable future 
a deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset 
can be utilised deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the 
related tax benefit will be realised 
segment reporting
the group determines and presents operating segments based on the information that internally is provided to the group board which 
is the group’s ‘chief operating decision maker’ 
an operating segment is a component of the group that engages in business activities from which it may earn revenues and incur 
expenses including revenues and expenses that relate to transactions with any of the group’s other components an operating segment’s 
operating results are reviewed regularly by the group board to make decisions about resources to be allocated to the segment and assess 
its performance and for which discrete financial information is available 
segment results that are reported to the group board include items directly attributable to a segment as well as those that can 
be allocated on a reasonable basis unallocated items comprise mainly corporate assets primarily the company’s headquarters 
and head office expenses
segment capital expenditure is the total cost incurred during the period to acquire property plant and equipment and intangible assets 
other than goodwill 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 75  notes to the consolidated financial statements
continued
1 accounting policies continued
intangible assets
as part of its transition to ifrs the group elected to restate only those business combinations that occurred on or after 1 april 2004 
in respect of acquisitions prior to 1 april 2004 goodwill represents the amount recognised under the group’s previous accounting 
framework uk gaap less subsequent impairments
goodwill  
all business combinations are accounted for by applying the purchase method in respect of acquisitions since 1 april 2004 and before 
1 april 2010 goodwill represents the difference between the cost of acquisition and the fair value of the identifiable assets liabilities and 
contingent liabilities acquired 
from 1 april 2010 the group has applied ifrs 3 business combinations 2008 in accounting for business combinations the change 
in accounting policy has been applied prospectively and has had no impact for acquisitions on or after 1 april 2010 the group 
measures goodwill at the acquisition date as the fair value of the consideration transferred plus the recognised amount of any 
noncontrolling interests in the acquiree plus if the business combination is achieved in stages the fair value of the existing equity 
interest in the acquiree less the net recognised amount generally fair value of the identifiable assets acquired and liabilities assumed 
when the excess is negative a bargain purchase gain is recognised immediately in profit or loss the consideration transferred does 
not include amounts related to the settlement of preexisting relationships such amounts are generally recognised in profit or loss 
costs related to the acquisition other than those associated with the issue of debt or equity securities that the group incurs in 
connection with a business combination are expensed as incurred any contingent consideration payable is recognised at fair value 
at the acquisition date if the contingent consideration is classified as equity it is not remeasured and settlement is accounted for within 
equity otherwise subsequent changes to the fair value of the contingent consideration are recognised in profit or loss
goodwill is stated at cost less any accumulated impairment losses and is included as an intangible asset it is allocated  
to cashgenerating units and is tested annually for impairment and at each reporting date to the extent that there are any  
indicators of impairment 
gains and losses on the disposal of an entity include the carrying amount of goodwill relating to the entity sold
other intangible assets  
intangible assets other than goodwill that are acquired by the group are stated at cost less accumulated amortisation and impairment 
losses note 12 
expenditure on internally generated goodwill and brands is recognised in the income statement as an expense as incurred
amortisation  
amortisation is charged to the income statement on a straightline basis over the estimated useful economic lives of identified 
intangible assets intangible assets excluding goodwill are amortised from the date that they are available for use for a number of its 
acquisitions the group has identified intangible assets in respect of sole supply contracts customer lists brands and noncompete 
agreements the values of these intangibles are recognised as part of the identifiable assets liabilities and contingent liabilities 
acquired the useful lives are estimated as follows
sole supply contracts – over the unexpired period of the contracts up to five years
customer lists – over the period of agreement up to ten years
brand – over the period of use in the business up to four years
noncompete agreements – over the period of the agreement up to five years
impairments 
the carrying amounts of the group’s nonfinancial assets other than inventory and deferred tax are reviewed at each reporting date 
to determine whether there is any indication of impairment if any such indication exists then the asset’s recoverable amount is estimated 
being the higher of net realisable value and value in use and if there is an impairment loss then this loss is recognised such that the 
carrying amount is reduced accordingly
impairment losses recognised in respect of cashgenerating units are allocated first to reduce the carrying amount of any goodwill 
allocated to the units and then to reduce the carrying amount of the other assets in the unit or group of units on a pro rata basis
own shares held by employee benefits trust
transactions of the companysponsored employee benefits trust are treated as being those of the company and are therefore reflected  
on the parent company and group financial statements in particular the trust’s purchases of shares in the company are debited directly 
to equity
speedy hire plc annual report and accounts 2011
76 financial statements  notes to the consolidated financial statements  1 accounting policies continued
inventories
inventories are stated at the lower of cost and net realisable value using fifo or in the case of ex hire equipment assets at the lower of cost 
less accumulated depreciation and impairment at the date of transfer to inventory or net realisable value cost comprises direct materials 
and where appropriate overheads that have been incurred in bringing the inventory to its present location and condition net realisable 
value is the estimated selling price in the ordinary course of business less the estimated costs of completion and selling expenses
assets classified as held for sale
noncurrent assets or disposal groups comprising assets and liabilities that are expected to be recovered primarily through sale rather 
than through continuing use are classified as held for sale immediately before classification as held for sale the assets or components  
of a disposal group are remeasured in accordance with the group’s accounting policies thereafter generally the assets or disposal 
group are measured at the lower of their carrying amount and fair value less cost to sell any impairment loss on a disposal group first 
is allocated to goodwill and then to remaining assets and liabilities on a pro rata basis except that no loss is allocated to inventories 
financial assets deferred tax assets employee benefit assets which continue to be measured in accordance with the group’s accounting 
policies impairment losses on initial classification as held for sale and subsequent gains or losses on remeasurement are recognised 
in profit or loss gains are not recognised in excess of any cumulative impairment loss
derivative financial instruments 
the group uses derivative financial instruments to hedge its exposure to interest rate risks arising from financing activities in accordance 
with its treasury policy the group does not hold or issue derivative financial instruments for trading purposes however derivatives that 
do not qualify for hedge accounting are accounted for as trading instruments and the movement in fair value is recognised in the 
income statement
derivatives are recognised initially at fair value attributable transaction costs are recognised in profit or loss when incurred subsequent  
to initial recognition changes in the fair value of the derivative hedging instrument designated as a cash flow hedge are recognised 
directly in equity to the extent that the hedge is effective to the extent that the hedge is ineffective changes in fair value are recognised 
in profit or loss
if the hedging instrument expires no longer meets the criteria for hedge accounting is sold is terminated or is exercised then hedge 
accounting is discontinued prospectively the cumulative gain or loss previously recognised in equity remains there until the forecast 
transaction occurs when the hedged item is a nonfinancial asset the amount recognised in equity is transferred to the carrying amount 
of the asset when it is recognised in other cases the amount recognised in equity is transferred to profit or loss in the same period that the 
hedged items affects profit or loss 
intragroup financial instruments
where the company enters into financial guarantee contracts to guarantee the indebtedness of other companies within its group  
the company considers these to be insurance arrangements and accounts for them as such in this respect the company treats the 
guarantee contract as a contingent liability until such time as it becomes probable that the company will be required to make a payment 
under the guarantee
trade and other receivables
trade and other receivables are stated at their nominal amount less impairment losses
cash and cash equivalents
cash and cash equivalents comprise cash balances and overnight deposits
interestbearing borrowings
interestbearing borrowings are recognised initially at fair value less directly attributable transaction costs subsequent to initial 
recognition interestbearing borrowings are stated at amortised cost with any difference between cost and redemption value being 
recognised in the income statement over the period of the borrowings on an effective interest basis
translation of foreign currencies
transactions in foreign currencies are initially recorded at the rate of exchange prevailing at the transaction date monetary assets and 
liabilities denominated in foreign currencies are retranslated at the rates of exchange ruling at the balance sheet date exchange gains 
and losses arising on settlement or retranslation of monetary assets and liabilities are included in the income statement
assets and liabilities of overseas subsidiaries are translated at the rate of exchange ruling at the balance sheet date the results 
of overseas subsidiary undertakings are translated into sterling at the average rates of exchange during the period exchange 
differences resulting from the translation of the results and balances of overseas subsidiary undertakings are charged or credited  
directly to the foreign currency translation reserve such translation differences become recognised in the income statement in the  
period in which the subsidiary undertaking is disposed
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 77  1 accounting policies continued
employee benefits
pension schemes  
the group offers a stakeholder pension arrangement to employees and in addition makes contributions to personal pension schemes 
for certain employees obligations for contributions to these defined contribution pension plans are recognised as an expense in the 
income statement as incurred
sharebased payment transactions  
the group operates a number of schemes which allow certain employees to acquire shares in the company including the 
performance plan the coinvestment plan and the all employee sharesave schemes the fair value of options granted is recognised  
as an employee expense with a corresponding increase in equity the fair value is measured at grant date and spread over the period 
during which the employees become unconditionally entitled to the options the fair value of the options granted is measured using 
an appropriate option pricing model taking into account the terms and conditions upon which the options were granted the amount 
recognised as an expense is adjusted to reflect the actual number of share options that vest except where forfeiture is only due to total 
shareholder return not achieving the threshold for vesting for sharebased payment awards with nonvesting conditions the grant 
date fair value of the sharebased payment is measured to reflect such conditions and there is no trueup for differences between 
expected and actual outcomes
provisions
a provision is recognised in the balance sheet when the group has a present legal or constructive obligation as a result of a past event  
the obligation can be measured reliably and it is probable that an outflow of economic benefits will be required to settle the obligation 
if the effect is material provisions are determined by discounting the expected future cash flows at a pretax rate that reflects current 
market assessments of the time value of money and where appropriate the risks specific to the liability
exceptional items
exceptional items are those material items which by virtue of their size or incidence are presented separately in the income statement 
to give a full understanding of the group’s financial performance transactions which may give rise to exceptional items include the 
restructuring of business activities
significant judgements and estimates
the preparation of financial statements in conformity with ifrs requires management to make judgements estimates and assumptions 
that affect the application of accounting policies and the reported amounts of assets and liabilities income and expense the estimates 
and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the 
circumstances the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not 
readily apparent from other sources actual results may differ from these estimates
the judgements and estimates and underlying assumptions are reviewed on an ongoing basis revisions to accounting estimates are 
recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future 
periods if the revision affects both current and future periods
in relation to the group’s property plant and equipment note 13 useful economic lives and residual values of assets have been 
established using historical experience and an assessment of the nature of the assets involved assets are assessed on an ongoing  
basis to determine whether circumstances exist that could lead to potential impairment of the carrying value of such assets 
the group has a number of properties which are leased but no longer occupied the future cost of these ongoing lease obligations 
is provided for by way of an onerous property contract provision see note 20 in determining the level of provision required the group 
assesses the likelihood of mitigating future lease costs as a result of break clauses in leases or the likelihood of subletting the property 
to third parties in doing so the group obtains external professional advice where the amounts involved are material
goodwill is reviewed annually to assess the requirement for impairment other intangible assets are assessed on an ongoing basis 
to determine whether circumstances exist that could lead to the conclusion that the carrying value of such assets is not supportable 
impairment testing on goodwill is carried out in accordance with the analyses described in note 12 such calculations require judgement 
relating to the appropriate discount factors and long term growth prevalent in particular markets as well as shortterm business 
performance the directors draw upon experience as well as external resources in making these judgements in the year to 31 march 2011 
an impairment review was undertaken in respect of intangible assets and property plant and equipment using the basis and key 
assumptions set out in note 12
upon acquisition of a business its identifiable assets and liabilities are assessed to determine their fair value the values attributed 
to assets and liabilities as part of this process are where appropriate based on market values identified for equivalent assets together 
with management’s experience and assessments where possible for example in respect of the acquisition of hire assets comparison 
is made to the carrying value of assets of a similar condition and age in the existing business
in addition judgement is applied in relation to the classification of assets held for sale
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
78 financial statements  notes to the consolidated financial statements  2 segmental analysis
the segmental disclosure presented in the financial statements reflects the format of reports reviewed by the chief operating  
decisionmaker codm
uk and ireland asset services are managed separately at below codm level but have been aggregated into one operating segment as 
they have similar economic characteristics including the nature of the products and services the type or class of customer for their 
products and services and the methods used to distribute their products or provide their services
the international and advisory services segment contains the ‘international asset services’ and ‘training and advisory’ divisions which 
commenced trading in april 2009 but are not currently material to the group’s operations these represent all other segments
for the year ended 31 march 2011
uk  ireland
asset services
£m
international
 advisory 
services
£m
corporate
items
£m
total
£m
segmental revenue 3491 110 – 3601
intragroup revenue 56 03 – 59
revenue 3435 107 – 3542
segment result
ebitda before exceptional items 698 08 56 634
amortisation 55 – – 55
depreciation 509 23 19 551
exceptional restructuring costs 46 02 07 55
exceptional write down of accommodation assets 138 – – 138
operating loss 50 33 82 165
net financial expense 105
loss before tax 270
taxation 77
loss for the financial year 193
intangible assets 602 – – 602
hire equipment 1717 140 – 1857
nonhire equipment 340 02 – 342
current assets 995 41 43 1079
assets held for sale 334 – – 334
cash – – 02 02
total assets 3988 183 45 4216
liabilities 594 26 71 691
bank overdraft – – 09 09
corporate borrowings – – 1127 1127
taxation liabilities – – 95 95
total liabilities 594 26 1302 1922
capital expenditure 382 52 45 479
within the international and advisory services segment revenue operating loss and net assets of the international operations are 
£84m £19m and £152m respectively 2010 £24m £05m and £104m respectively 
uk and ireland asset services deliver asset management with tailored services and a continued commitment to relationship 
management international asset services deliver major overseas projects and facilities management contracts by providing  
a managed site support service training  advisory services offers a comprehensive safety and skills training service and  
a growing advisory services offering 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 79  2 segmental analysis continued
for the year ended 31 march 2010 
uk  ireland 
asset services 
£m
international
 advisory 
services
£m
corporate
items
£m
total 
£m
segmental revenue 3534 37 – 3571
intragroup revenue 60 – – 60
revenue 3474 37 – 3511
ebitda before exceptional restructuring costs 720 10 48 682
amortisation 55 – – 55
depreciation 570 05 27 602
exceptional restructuring costs 73 – 38 111
operating profitloss 22 05 113 86
net financial expense 142
loss before tax 228
taxation 45
loss for the financial year 183
intangible assets 657 – – 657
hire equipment 2374 95 – 2469
nonhire equipment 387 – – 387
current assets 1060 18 69 1147
cash – – 125 125
total assets 4478 113 194 4785
liabilities 655 09 157 821
corporate borrowings – – 1311 1311
taxation liabilities – – 187 187
total liabilities 655 09 1655 2319
capital expenditure 264 78 96 438
intragroup transactions are undertaken on an arm’s length basis 
corporate costs comprise certain central activities and costs which are not directly related to the activities of the operating segments
the financing of the group’s activities is undertaken at head office level and consequently net financing costs cannot be analysed 
segmentally the unallocated net assets comprise principally working capital balances held by the support services function and are  
not directly attributable to the activities of the operating segments together with net corporate borrowings and taxation liabilities 
geographical information
in presenting geographical information revenue is based on the geographical location of customers assets are based on the 
geographical location of the assets 
2011
revenues
£m
2011
noncurrent 
assets
£m
2010
revenues
£m
2010
noncurrent 
assets
£m
uk 3399 2611 3429 3353
ireland 59 48 58 65
middle east and north africa 84 142 24 95
3542 2801 3511 3513
major customer
no one customer represents more than 10 of revenue reported profit or combined assets of all reporting segments
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
80 financial statements  notes to the consolidated financial statements  3 exceptional items
for the year ended 31 march 2011
in advance of the disposal of the accommodation hire assets from uk asset services on 30 april 2011 the assets were transferred to the 
‘assets held for sale’ category and were written down to fair value less costs to sell incurring an exceptional charge of £138m 
restructuring and cost saving initiatives resulted in a number of nonrecurring items of expense these included costs in relation 
to property closures and provision for vacant property £25m and writing off related fixtures and fittings £01m and redundancy 
and related costs £29m
in june 2010 the group successfully completed amendments to enhance its banking facility in order to provide greater flexibility for future 
capital investment particularly with regard to the international operations management have assessed the impact of this modification 
in line with the guidance contained within ias 39 and have concluded that it does not represent a significant modification as part of this 
process the group incurred fees and transaction costs of £35m these costs have been capitalised and are being amortised using the 
effective interest rate method this has resulted in £15m having been treated as exceptional finance costs in the year 
the resulting tax credit in relation to exceptional items amounted to £56m of which £17m related to current tax and £39m related 
to deferred tax
for the year ended 31 march 2010
as part of the group’s restructuring and costsaving initiatives a number of nonrecurring items of expense were incurred items included 
costs related to the creation of a new shared services centre £06m provisions in respect of further property closures including provision 
for vacant property £39m and writing off related fixtures  fittings £07m redundancy and related costs £39m and reorganisation 
costs associated with depot and back office restructuring £20m 
the resulting tax credit in relation to exceptional items amounted to £27m of which £25m related to current tax and £02m related 
to deferred tax
4 operating lossprofit
operating lossprofit is stated after chargingcrediting
2011
£m
2010
£m
amortisation of intangible assets 55 55
depreciation
of owned property plant and equipment 550 601
of property plant and equipment held under hirepurchase and finance leases 01 01
profit on disposal of property plant and equipment 50 25
impairment of other property plant and equipment 01 07
operating lease rentals
of plant and equipment 16 16
of land and buildings 139 146
of vehicles 113 126
auditors’ remuneration
audit of these financial statements 01 01
amounts receivable by auditors in respect of
audit of financial statements of subsidiaries pursuant to legislation 01 01
other nonaudit services 07 04
nonaudit services in 2011 relate to debt advisory services £05m which are being amortised over the remaining life of the facility and 
consultancy work in relation to pricing in the uk £02m which have been written off in the year nonaudit services in 2010 relate to work 
associated with the rights issue in july 2009 and the costs have been applied against the share premium arising on the rights issue
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 81  5 employees
the average number of people employed by the group including directors during the year was as follows
number of employees
2011 2010
uk  ireland asset services 3613 3714
international  advisory services 190 41
central 321 512
4124 4267
    
the aggregate payroll costs of these employees were as follows
2011
£m
2010
£m
wages and salaries 1042 1050
social security costs 95 99
other pension costs 08 07
sharebased payments 10 01
1155 1155
6 directors’ remuneration
2011
£000
2010
£000
directors’ emoluments
basic remuneration including benefits 1224 1329
performancerelated bonuses – –
payments to former directors 18 18
termination payments 266 –
company pension contributions to personal pension plans 159 155
1667 1502
emolument of the highest paid director
basic remuneration including benefits 355 352
performancerelated bonuses – –
company pension contributions to personal pension plans 68 68
423 420
   
further analysis of directors’ remuneration can be found in the remuneration report
all of the directors’ remuneration is paid by speedy support services limited a whollyowned subsidiary of speedy hire plc 
7 financial expense
2011
£m
2010
£m
financial expense
interest on bank loans and overdrafts 57 99
hedge interest payable 27 37
amortisation of bank fees in connection with refinancing in june 2010 15 –
other finance costs 06 06
105 142
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
82 financial statements  notes to the consolidated financial statements  8 taxation
2011
£m
2010
£m
tax chargedcredited in the income statement
current tax
uk corporation tax on profits for the period at 28 2010 28 – –
adjustment in respect of prior years 01 28
total current tax 01 28
deferred tax
uk deferred tax at 26 2010 28 note 21 54 49
adjustment in respect of prior years 15 24
impact of rate change 07 –
total deferred tax 76 73
total tax credit 77 45
tax chargedcredited in equity
deferred tax
net loss on revaluation of cashflow hedges 02 –
    
the tax credit in the income statement for the year is higher than the standard rate of corporation tax in the uk of 28 2010 28  
and is explained as follows
2011
£m
2010
£m
loss before tax 270 228
accounting loss multiplied by the standard rate of corporation tax at 28 2010 28 76 64
expenses not deductible for tax purposes 14 19
nontaxable income 05 07
sharebased payments 02 01
unrecognised tax losses 03 02
overseas tax losses arising not subject to tax 07 –
adjustment to deferred taxation relating to future changes in corporation tax rates 07 –
adjustment to tax in respect of prior years 15 04
tax credit for the year reported in the income statement 77 45
tax chargedcredited in equity note 21
deferred tax charge 02 –
    
there are no unrecognised deferred tax liabilities 2010 £nil
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 83  9 lossearnings per share
the calculation of basic lossearnings per share is based on the loss attributable to equity holders of the parent of £193m 2010 loss 
£183m and the weighted average number of 5 pence ordinary shares in issue during the year ended 31 march 2011 calculated as follows
2011 2010 
loss £m
loss for the year after tax – basic earnings 193 183
intangible amortisation charge after tax 40 40
exceptional items after tax 152 84
adjusted lossearnings after tax 01 59
weighted average number of shares in issue million
at the beginning of the year 4191 1865
change in weighted average number of ordinary shares 878 2324
exercise of share options – 02
at the end of the year – basic number of shares 5069 4191
share options – –
employee share scheme – –
at the end of the year – diluted number of shares 5069 4191
lossearnings per share pence
basic lossearnings per share 381 437
amortisation 079 096
exceptional costs 300 200
adjusted lossearnings per share 002 141
basic lossearnings per share 381 437
share options – –
employee share scheme – –
diluted loss per share 381 437
adjusted lossearnings per share 002 141
share options – –
employee share schemes – –
adjusted diluted lossearnings per share 002 141
    
total number of shares outstanding at 31 march 2011 amounted to 517215666 including 10274626 shares held in the employee benefit 
trust which are excluded in calculating earnings per share 
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
84 financial statements  notes to the consolidated financial statements  10 dividends 
the aggregate amount of dividend comprises
2011
£m
2010
£m
2009 final dividend 64 pence on 507m shares – 32
2010 interim dividend 02 pence on 5172m shares – 11
2010 final dividend 02 pence on 5172m shares 11 –
2011 interim dividend 02 pence on 5172m shares 10 –
21 43
    
subsequent to the end of the year and not included in the results for the year the directors recommended a final dividend of 02 pence 
2010 02 pence per share bringing the total amount payable in respect of the 2011 year to 04 pence 2010 04 pence to be paid  
on 17 august 2011 to shareholders on the register on 17 june 2011 
the employee benefit trust established to hold shares for the performance plan and coinvestment plan has waived its right to the interim 
and final proposed dividends at 31 march 2011 the trust held 10294626 ordinary shares 2010 10410896 including 7594666 jointly 
owned shares 2010 7594666 
11 nongaap performance measures
the group believes that the measures below provide valuable additional information for users of the financial statements in assessing the 
group’s performance the group uses these measures for planning budgeting and reporting purposes and for its internal assessment 
of the operating performance of the individual divisions within the group 
2011
£m
2010
£m
operating loss 165 86
add back amortisation 55 55
add back exceptional items 193 111
operating profit before amortisation and exceptional costs 83 80
add back depreciation 551 602
ebitda before exceptional costs 634 682
profit before tax 270 228
add back amortisation 55 55
add back exceptional items 208 111
profit before tax amortisation and exceptional costs 07 62
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 85  12 intangible fixed assets
goodwill
£m
customer
lists
£m
noncompete 
agreements
£m
brand
£m
supply 
agreements
£m
total
£m
cost 
at 1 april 2009 31 march 2010 and 31 march 2011 935 362 49 41 179 1566
amortisation
at 1 april 2009 492 154 30 35 143 854
charged in year – 30 08 06 11 55
at 31 march 2010 492 184 38 41 154 909
charged in year – 34 11 – 10 55
at 31 march 2011 492 218 49 41 164 964
net book value
at 31 march 2011 443 144 – – 15 602
at 31 march 2010 443 178 11 – 25 657
at 31 march 2009 443 208 19 06 36 712
            
all goodwill has arisen from business combinations on transition to ifrs the balance of goodwill as measured under uk gaap was 
allocated to cashgenerating units cgus these are independent sources of income streams and represent the lowest level within the 
group at which the associated goodwill is monitored for management purposes as explained in note 2 the group’s reportable business 
segments comprise uk  ireland asset services and international  advisory services all intangible assets are held in the uk part of the 
uk and ireland asset services segment and it is this cgu which is assessed for impairment testing
goodwill arising on business combinations after 1 april 2004 has been allocated to the cgus that are expected to benefit from that 
business combination 
the group tests goodwill annually for impairment or more frequently if there are indications that goodwill might be impaired
the recoverable amounts of the goodwill and intangible assets allocated to cgus are determined by value in use calculations the value  
in use calculations use cash flow projections based on fiveyear financial forecasts approved by management the key assumptions for 
these forecasts are those regarding revenue growth net margin and the level of capital expenditure required to support trading which 
management estimates based on past experience adjusted for current market trends and expectations of future changes in the market  
to prepare value in use calculations the group uses cash flow projections for a fifteen year period the projections are made up of the 
2011–2012 budget a subsequent four year period using the group’s business plan and a further ten years income the final ten years’ 
income is extrapolated at an estimated average longterm nominal growth rate estimated at 25 2010 25 being an estimate of 
inflation the resulting forecast cash flows are discounted back to present value using the group’s pretax discount rate the discount rate 
assumptions use an estimate of the group’s weighted average cost of capital the pretax discount rate has been adjusted for company 
and market specific risks the pretax discount rate used to discount cash flow forecasts is 123 2010 126
at 31 march 2011 the recoverable amount calculated using the discounted forecast cash flows results in a surplus over carrying value  
of £780m 2010 £519m impairment calculations are sensitive to changes in key assumptions of revenue growth and discount rate 
an increase of 1 in the pretax discount rate with all other assumptions held constant would reduce discounted cash flows by £162m 
leaving headroom against carrying value at £618m a decrease of 1 in the forecast revenue growth with all the other assumptions held  
constant would reduce discounted cash flows by £104m at 31 march 2010 an increase of 1 in the discount rate with other  
assumptions held constant would have reduced headroom against carrying value to £346m a 1 decrease in the forecast 
revenue growth with other assumptions held constant would have reduced headroom against carrying value to £321m
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
86 financial statements  notes to the consolidated financial statements  13 property plant  equipment
land and
buildings
£m
hire
equipment
£m
other
£m
total 
£m
cost 
at 1 april 2009 280 5143 583 6006
additions 26 335 77 438
disposals 39 491 96 626
transfers to inventory – 275 – 275
at 31 march 2010 267 4712 564 5543
additions 20 430 29 479
disposals – 315 – 315
transfers to inventory – 121 – 121
transfer to assets held for sale 07 1073 15 1095
at 31 march 2011 280 3633 578 4491
depreciation
at 1 april 2009 150 2309 315 2774
charged in year 28 500 74 602
impairment note 3 07 – – 07
disposals 39 425 91 555
transfers to inventory – 141 – 141
at 31 march 2010 146 2243 298 2687
charged in year 25 460 66 551
disposals – 239 – 239
impairment note 3 01 – – 01
transfers to inventory – 85 – 85
transfer to assets held for sale 06 603 14 623
at 31 march 2011 166 1776 350 2292
net book value
at 31 march 2011 114 1857 228 2199
at 31 march 2010 121 2469 266 2856
at 31 march 2009 130 2834 268 3232
    
the net book value of land and buildings comprises
2011
£m
2010
£m
freehold properties 03 05
long leasehold properties 05 06
short leasehold properties 106 110
114 121
    
at 31 march 2011 the net carrying amount of leased hire equipment was £02m 2010 £04m
an impairment review has been completed during the year using the basis set out in note 12
14 inventories
2011
£m
2010
£m
finished goods and goods for resale 102 113
    
the amount of inventory expensed in the year amounted to £465m 2010 £453m included within cost of sales no provision in respect  
of writedown in inventory is held at the year end or prior year end 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 87  15 trade and other receivables
2011
£m
2010
£m
trade receivables 906 904
other receivables 47 58
prepayments and accrued income 24 72
977 1034
      
there are £400m 2010 £456m of trade receivables that are past due at the balance sheet date that have not been provided against 
there is no indication as at 31 march 2011 that debtors will not meet their payment obligations in respect of trade receivables recognised 
in the balance sheet that are past due and unprovided the ageing of trade receivables net of impairment provision at the year end 
was as follows
2011
£m
2010
£m
not past due 506 448
past due 030 days 239 210
past due 31120 days 129 175
more than 120 days past due 32 71
906 904
    
the movement in the allowance for impairment in respect of trade receivables during the year was as follows
2011
£m
2010
£m
at 1 april 67 94
impairment provision charged to the income statement 76 29
written off in the year 102 56
at 31 march 41 67
    
16 assets held for sale
on 30 april 2011 the group completed the sale of its accommodation hire assets to elliott group ltd a subsidiary of algeco scotsman  
for a total cash consideration of £349m these assets are included within the ‘assets held for sale’ category as at the balance sheet date 
at fair value less costs to sell a £138m exceptional loss was recognised in the income statement note 3
17 trade and other payables
2011 
£m
2010
£m
trade payables 232 433
other payables 68 52
accruals 333 224
633 709
      
18 financial instruments
the group holds and uses financial instruments to finance its operations and to manage its interest rate and liquidity risks the group 
primarily finances its operations using share capital retained profits and borrowings a full description of the group’s approach 
to managing these risks is set out below
the group does not engage in trading or speculative activities using derivative financial instruments a group offset arrangement exists 
in order to minimise the interest costs on outstanding debt
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
88 financial statements  notes to the consolidated financial statements  18 financial instruments continued
fair value of financial assets and liabilities
the fair values of financial assets and liabilities together with the carrying amounts shown in the balance sheet are as follows
2011
carrying
amount
£m
2011
fair value
£m
2010
carrying
amount
£m
2010
fair value
£m
trade and other receivables 953 953 1011 1011
cash 02 02 125 125
bank overdraft 11 11 – –
secured bank borrowings 1127 1127 1311 1311
finance lease liabilities 05 05 07 07
interest rate swaps caps and collars used for hedging 06 06 32 32
trade and other payables 300 300 485 485
494 494 699 699
unrecognised gainloss – –
basis for determining fair values
the following summarises the principal methods and assumptions used in estimating the fair value of financial instruments reflected  
in the table above
a derivatives broker quotes are used for all interest rate swaps caps and collars
b interestbearing loans and borrowings fair value is calculated based on discounted expected future principal and interest cash flows
c trade and other receivablespayables for receivablespayables with a remaining life of less than one year the notional amount is 
deemed to reflect the fair value all other receivablespayables are discounted to determine the fair value
the main risks arising from the group’s financial instruments are credit interest rate foreign currency and liquidity risk the board reviews 
and agrees the policies for managing each of these risks on an annual basis
interest rates used for determining fair value 
the interest rate used to discount estimated cash flows where applicable has been estimated at 123 2010 126
fair value hierarchy
the group and company’s financial instruments relate to cash flow hedges which are carried at fair value in both the current and prior 
year the valuation is based on inputs other than quoted prices but which are directly observable ie as prices classified as level 2 
in accordance with ifrs 7
credit risk
credit risk is the risk of financial loss to the group if a customer or counterparty to a financial instrument fails to meet its contractual 
obligations and arises principally from the group’s receivables from customers
the exposure to credit risk is monitored on an ongoing basis credit evaluations are performed on all customers requiring credit over 
a certain amount
at the balance sheet date there were no significant concentrations of credit risk the maximum exposure to credit risk is represented  
by the carrying amount of each financial asset including derivative financial instruments in the balance sheet no individual customer 
accounts for more than 10 of the group’s sales transactions and the group’s exposure to outstanding indebtedness follows this profile 
no collateral is held as security in respect of amounts outstanding however in a number of instances deposits are held against the value 
of hire equipment provided the extent of deposit taken is assessed on a casebycase basis and is not considered significant 
in comparison to the overall amounts receivable from customers
transactions involving derivative financial instruments are undertaken with counterparties within the syndicate of banks which provide  
the group’s term loan revolving credit facility given their high credit ratings management does not expect any counterparty to fail  
to meet its obligations 
the group establishes an allowance for impairment that is based on historical experience of dealing with customers within the same  
risk profile 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 89  18 financial instruments continued
liquidity risk
liquidity risk is the risk that the group will not be able to meet its financial obligations as they fall due the group’s approach to managing 
liquidity is to ensure as far as possible that it will always have sufficient liquidity to meet its liabilities when due under both normal and 
stressed conditions without incurring unacceptable losses or risking damage to the group’s reputation
the group uses both short and longterm cash forecasts to assist in monitoring cash flow requirements typically the group uses  
shortterm forecasting to ensure that it has sufficient cash on demand to meet operational expenses and to service financing obligations 
for a period of 12 weeks longerterm forecasts are performed on a regular basis to assess compliance with bank covenants on existing 
facilities ensuring that activities can be managed within reason to ensure covenant breaches are avoided 
at 31 march 2011 the group had available loan facilities amounting to £210m 2010 £260m as detailed in note 19 of these facilities 
£96m remained unutilised at 31 march 2011 2010 £128m details of the repayment profile of the drawn facilities at the year end 
is included in note 19
the group monitors available facilities against forward requirements on a regular basis and where necessary obtains additional sources 
of financing to provide the group with the appropriate level of headroom against the required borrowing the group has obtained 
additional bank and equity funding in recent years as the business has grown and maintains close contact with its syndicate of banks
this analysis is based on the undiscounted contractual maturities on the group’s financial liabilities including estimated interest that will 
accrue except where repayment is entitled and before its contractual maturity 
undiscounted cash flows – 31 march 2011
at 31 march 2011
2012
£m
2013
£m
2014
£m
total
£m
revolving credit – 1127 – 1127
finance leases 02 02 01 05
02 1129 01 1132
interest payments 64 16 – 80
66 1145 01 1212
         
undiscounted cash flows – 31 march 2010
at 31 march 2010
2011
£m
2012
£m
2013
£m
total
£m
term loan 397 298 – 695
revolving credit – – 616 616
finance leases 03 03 01 07
400 301 617 1318
interest payments 81 45 11 137
481 346 628 1455
market risk
market risk is the risk that changes in market prices such as foreign exchange rates and interest rates will affect the group’s income or the 
value of its holdings of financial instruments generally the group seeks to apply hedge accounting in order to manage volatility in profit
currency risk  
the group is exposed to currency risk on the translation of the results of its subsidiaries which are resident in the republic of ireland 
speedy hire ireland limited and waterford hire services limited and in the united arab emirates speedy international asset services 
equipment rental llc it is the group’s policy to review the net investment in all companies on a regular basis and to hedge against 
potential exposures to movements in foreign currency where considered appropriate at 31 march 2011 speedy hire ireland limited 
had net liabilities of £42m 2010 £43m waterford hire services limited had net assets of £15m 2010 £15m and speedy 
international asset services equipment rental llc had net liabilities of £22m 2010 assets £05 and no hedging instruments are in 
place to cover potential movements in foreign currency
interest rate risk  
the group is exposed to a risk of a change in cash flows due to changes in interest rates as a result of its use of variable rate 
borrowings the group’s policy is to review regularly the terms of its borrowing facilities and to assess and manage the longterm 
borrowing commitment accordingly and to put in place interest rate hedges to reduce the group’s exposure to significant fluctuations in 
interest rates the group adopts a policy of ensuring that between 40 and 70 of its borrowings are covered by some sort of interest 
rate hedge
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
90 financial statements  notes to the consolidated financial statements  18 financial instruments continued
the principal derivative financial instruments used by the group are interest rate swaps caps and collars the notional contract amount 
and the related fair value of the group’s financial instruments can be analysed as follows
group and company
2011
fair value
£m
2011
notional
amount
£m
2010
fair value
£m
2010
notional
amount
£m
designated as cash flow hedges
fixed interest rate swaps 06 525 19 500
interest rate collars – – 10 400
interest rate caps – 75 03 200
06 600 32 1100
        
future cash flows associated with the above instruments are dependent upon movements in libor over the contractual period interest 
is paid or received under the instruments on a quarterly or monthly basis depending on the individual instrument referenced to the 
relevant prevailing uk libor rates
the weighted average interest rate of the fixed interest rate swaps is 2780 2010 5026 and the instruments are for a weighted 
average period of 19 months 2010 11 months the maximum contractual period is 34 months
no collar instruments were in place in the current year in the prior year collar instruments bear interest rates between 4300 
and 6500 for a weighted average period of seven months 
capped rate instruments bear a weighted average interest rate of 5013 2010 6245 for a weighted average period of seven months 
2010 10 months the maximum contractual period is 12 months
sensitivity analysis
in managing interest rate and currency risk the group aims to reduce the impact of shortterm fluctuation on the group’s earnings over 
the longer term however permanent changes in foreign exchange and interest rates would have an impact on consolidated earnings
at 31 march 2011 it is estimated that a general increase of 1 point in interest rates would decrease the group’s profit before tax 
by approximately £09m interest rate swaps caps and collars have been included in this calculation
capital management
the group requires capital for amongst other things purchasing hire equipment to replace the existing asset base that has reached 
the end of its useful life and for growth including growth by establishing new rental locations completing acquisitions and refinancing 
existing debts in the longer term the group defines gross capital as net debt cash less borrowings plus shareholders’ funds and seeks 
to ensure an acceptable return on gross capital the group has obtained additional bank borrowings and equity in recent years as the 
business has grown the board seeks to maintain a balance between debt and equity funding such that it maintains a sound capital 
position relevant for the prevailing economic environment
the board’s policy is to maintain a strong capital base so as to maintain investor creditor and market confidence and to sustain future 
development of the business the board of directors monitors both the demographic spread of shareholders in order to ensure that the 
most attractive mix of capital growth and income return is made available to investors
the group encourages participation in ownership of speedy hire plc shares by employees at all levels within the group and has 
developed this objective through the introduction of long term incentive plans and saye schemes
there were no changes in the group’s approach to capital management during the year neither the company nor any of its subsidiaries 
are subject to externally imposed capital requirements
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 91  19 borrowings
2011
£m
2010
£m
current borrowings
bank overdraft 09 –
finance leases 02 02
11 02
noncurrent borrowings
maturing between one and two years
revolving credit facility 1127 –
maturing between two and five years
term loan – 695
revolving credit facility – 616
finance leases 03 05
total noncurrent borrowings 1130 1316
total borrowings 1141 1318
less cash at bank and in hand 02 125
net debt 1139 1193
both the overdraft and syndicated loan facility are secured by a fixed and floating charge over all the assets of the group and are rated  
pari passu 
the term and revolving loan facility was originally entered into in june 2007 and was amended and restated in june 2008 march 2009 
and june 2010 with all facilities maturing in june 2012 at 31 march 2011 the current facility is subdivided into
i a secured overdraft facility provided by barclays bank plc up to a maximum of £5m 
ii syndicated multicurrency revolving facilities made up of
a a revolving credit ‘a facility’ of £212m and
b a revolving credit ‘b facility’ including overdraft of £1888m
the total b facility is for £1888m but is reduced to the extent that ancillary facilities are provided
the revolving credit ‘a facility’ increased by £185m on 1 april 2011 the revolving credit ‘b facility’ reduced by £185m on 1 april 2011
the revolving credit facilities can be drawn for various periods specified by the company up to the maturity date with interest being 
calculated for the drawn period by reference to the london inter bank offer rate applicable to the period drawn plus a margin which 
during the year ranged from 250 to 300 basis points 2010 250 to 400 basis points for facility b and 700 basis points on facility a  
at 31 march 2011 the margin for facility b was 250 basis points 
the effective interest rate applicable to cash deposits during the year was 04 2010 02 the effective interest rates before exceptional 
finance costs on bank overdraft and revolving credit facilities were 27 and 34 2010 30 and 41 respectively
the group’s bank overdrafts are secured by cross guarantees and debentures given by group companies in favour of barclays bank plc 
the bank loans are secured by a fixed and floating charge over all the assets of the group 
analysis of consolidated net debt
at 31 march
2010
£m
noncash
movement
£m
cash flow
£m
at 31 march
2011
£m
cash at bank and in hand 125 – 123 02
borrowings 1318 – 177 1141
1193 – 54 1139
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
92 financial statements  notes to the consolidated financial statements  20 provisions
onerous
property
contracts
£m
at 1 april 2009 79
created in the year 39
provision utilised in the year 48
unwinding of discount 03
at 31 march 2010 73
created in the year 25
provision utilised in the year 50
unwinding of discount 01
at 31 march 2011 47
     
of the £47m £35m 2010 £48m is due within one year and £12m 2010 £25m is due after one year the key assumption underlying 
the calculation of the provision relates to the assumed sublet period the provision is calculated based on a gross liability to the earlier 
of three years and the estimated date of sublet or break clause and includes estimated dilapidations at current market rates the total 
liability is discounted at 123 2010 126 if leases on properties which are forecast to be exited in 2014 are not exited until 2015 the 
increase required in the discounted provision would amount to £01m after taking account of leases that expire during the additional year
21 deferred tax
property
plant  
equipment
£m
intangible
assets
£m
sharebased
 payments
£m
other items
£m
total
£m
at 1 april 2009 225 34 – 16 243
recognised in income 54 15 – 04 73
at 31 march 2010 171 19 – 20 170
recognised in income 85 04 01 14 76
recognised in equity – – – 02 02
at 31 march 2011 86 15 01 08 92
          
the group has trading losses carried forward at 31 march 2011 amounting to approximately £49m 2010 £37m a deferred tax asset 
of £nil 2010 £02m has been recognised in respect of those losses
the group also has capital losses carried forward at 31 march 2011 amounting to approximately £58m 2010 £75m no deferred tax asset 
has been recognised in respect of these losses
in his budget in march 2011 the chancellor of the exchequer announced budget changes which if enacted in the proposed manner 
will have a significant impact on the group’s future tax position however as at 31 march 2011 the tax changes announced in the budget 
reducing the main rate of corporation tax from 26 to 23 was not substantively enacted and as such in accordance with ias 12 the 
changes have not been reflected in the group’s financial statements as at 31 march 2011
the budget proposed a decrease in the rate of corporation tax from 26 to 23 by 1 each year from april 2012 the effect of the reduction 
in the tax rate to 23 on the group’s deferred tax liability would be to reduce the deferred tax liability by £15m which would substantively 
be recognised in the income statement 
the tax change will also impact the amount of future cash tax payments to be made by the group 
the effect on the group of these proposed changes to the uk tax system will be reflected in the group’s financial statements in future 
years as appropriate if the proposals are substantively enacted 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 93  22 share capital 
2011
£m
2010
£m
allotted called up and fully paid
5172 million 2010 5172 million ordinary shares of 5 pence each 259 259
     
there were no changes to share capital during the year during 2010 458658900 ordinary shares of 5p were issued on exercise of the 
rights issue for a cash consideration of £997m net of £58m issue costs
an employee benefits trust was established in 2004 the ‘trust’ the trust holds shares issued by the company in connection with the 
performance plan and coinvestment plan no shares were allotted to the trust during the year the company allocated 7594666 shares 
to the trust in 2010 which are held jointly with the participating employees as part of the exsop award arrangements no shares were 
transferred to employees during the year 2010 nil at 31 march 2011 the trust held 10294626 2010 10410896 shares – including 
7594666 jointly owned shares
the movement in issued share capital was as follows
number
million £m
as at 1 april 2009 509 25
employee benefits trust allotments 76 05
placing of ordinary shares 4587 229
at 31 march 2010 and 31 march 2011 5172 259
23 share incentives
at 31 march 2011 options and awards over 26883206 shares 2010 19036681 were outstanding under employee share schemes 
the group operates three share incentive schemes during the year no options were exercised by employees 2010 nil 
as at 31 march 2011 options to acquire 8339678 2010 5014731 speedy hire plc shares were outstanding under the speedy hire 
sharesave scheme these options are exercisable by employees of the group at prices between 17 and 183 pence 2010 29 and 
255 pence at dates between december 2010 and june 2014 2010 february 2010 and april 2013 at 31 march 2011 options to acquire 
11164241 2010 6427284 and awards over 7379287 2010 7594666 shares were outstanding under the performance and  
coinvestment plans these options were exercisable at effectively nil cost between march 2011 and september 2013 2010 june 2011 
and december 2012 awards granted under the performance plan as exsop awards involve the acquisition of shares jointly by the 
participant and the trustee of the company’s employee trust on terms that to the extent certain performance conditions are satisfied 
the participant can benefit from any growth of the shares in excess of a hurdle initial value awards entitle the holder to a value in shares 
or cash equal to the number of exsop shares if any in respect of which the performance condition is met multiplied by the share value 
on the award date or if lower the share value when the exsop award crystallises
the number and weighted average exercise price ‘waep’ of share options and awards under all the share incentive schemes  
are as follows
2011 
waep 
pence
2011 
number
2010 
waep 
pence
2010 
number
outstanding at 1 april 10 19036681 145 1610332
rights adjustment – – – 4322131
10 19036681 39 5932463
granted 8 10606221 9 15645660
exercised – – – –
lapsed 28 2759696 74 2541442
outstanding at 31 march 7 26883206 10 19036681
exercisable at 31 march 183 85094 233 75583
        
options and awards outstanding at 31 march 2011 have weighted average remaining contractual lives as follows
2011
years
2010
years
exercisable at nil pence 18 22
exercisable at 17 pence 28 –
exercisable at 29 pence 15 25
exercisable at 183 pence – 08
exercisable at 255 pence – 04
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
94 financial statements  notes to the consolidated financial statements  23 share incentives continued
the fair value of services received in return for share options granted and shares awarded is measured by reference to the fair value 
of those instruments the pricing models and inputs used for the outstanding options on a weighted average basis where appropriate 
are as follows
speedy hire share save plan
december 
2010
september 
2009
december 
2007
september 
2007
december 
2006
pricing model used stochastic stochastic stochastic stochastic stochastic
exercise price 21p 29p 183p 255p 233p
share price volatility 882 857 255 229 229
option life 325 years 325 years 325 years 325 years 3 years
expected dividend yield 14 31 21 15 13
risk free interest rate 14 21 45 53 51
coinvestment plan
july 
2008
july 
2007
july 
2006
pricing model used stochastic stochastic stochastic
exercise price nil nil nil
share price volatility – – –
option life 3 years 3 years 3 years
expected dividend yield 37 14 16
riskfree interest rate 52 58 42
performance plan
july 
2010
september 
2009
july 
2008
july 
2007
july 
2006
pricing model used stochastic stochastic stochastic stochastic stochastic
exercise price nil nil nil nil nil
share price volatility 940 880 293 236 224
option life 3 years 3 years 3 years 3 years 3 years
expected dividend yield 15 31 37 14 16
riskfree interest rate 12 21 52 58 42
24 note to the cash flow statement – cash from operating activities
2011 
£m
2010 
£m
loss before tax 270 228
financial expense net 105 142
exceptional write down of accommodation assets 138 –
amortisation 55 55
depreciation 551 602
profit on disposal of hire equipment 50 27
loss on disposal of other property plant and equipment – 02
exceptional writedown of other property plant and equipment 01 07
decrease in inventories 11 09
decrease in trade and other receivables 64 09
decreaseincrease in trade and other payables 91 65
movement in provisions 26 06
equitysettled sharebased payments 09 01
cash from operating activities 497 629
     
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 95  25 contingent liabilities
at the balance sheet date the group has given warranties including taxation warranties and indemnities to the purchasers of five 
businesses disposed of over the last twelve years these warranties and indemnities expire at various dates up to 12 years from the date  
of disposal
in the normal course of business the company and certain subsidiaries have given performance bonds issued on behalf of group 
companies and parental guarantees have been given in support of the contractual obligations of group companies on both a joint  
and a several basis
26 commitments
the group had contracted capital commitments amounting to £20m 2010 £27m at the end of the financial year for which no provision 
has been made 
the total of future minimum lease payments under noncancellable operating leases is as follows
land  buildings other
2011 
£m
2010 
£m
2011 
£m
2010 
£m
total future minimum lease payments
– not later than one year 164 162 94 112
– later than one year and not later than five years 517 508 103 120
– later than five years 357 392 – 01
1038 1062 197 233
27 post balance sheet events
dividends
the directors have proposed a dividend of 02 pence per share as a final dividend in respect of the year ended 31 march 2011 no charge  
in respect of the proposed dividend has been made in the income statement for the year and there were no tax consequences the total 
amount payable if the dividend is approved at the agm is as follows
2011
£m
2010
£m
02 pence 2010 02 pence on 5172m 2010 5172m ordinary shares 10 10
    
notes to the consolidated financial statements
continued
speedy hire plc annual report and accounts 2011
96 financial statements  notes to the consolidated financial statements  27 post balance sheet events continued
disposal of accommodation hire operation 
on 30 april 2011 the group completed the sale of its accommodation hire assets to elliott group ltd a subsidiary of algeco scotsman  
for a total cash consideration of £349m these assets are included within the ‘assets held for sale’ category as at the balance sheet date 
together with a £138m exceptional loss in the income statement the disposal will deliver a proforma increase in speedy’s operating 
margin and return on capital and delivers a reduction in group borrowings working capital in the operation at the date of sale totalling 
approximately £36m was retained for the benefit of speedy
the accommodation hire operation was reported within the uk  ireland asset services segment the proforma income statement 
adjusting for the disposal of the accommodation hire operation is as follows
group 
2011 
£m
disposal
23
 
2011 
£m
proforma 
2011 
£m
group 
2010 
£m
disposal
23
 
2010 
£m
proforma 
2010 
£m
revenue 3542 355 3187 3511 406 3105
                                                                                    
ebitda
1
634 46 588 682 68 614
ebitda
1 
margin 179 130 184 194 167 198
                                                                                    
operating profit
1
83 45 128 80 21 101
operating profit
1
 margin 23 127 40 23 52 33
                                                                                          
1
 before amortisation and exceptional costs 
2
 disposal of the accommodation hire operation
3
  the ebitda
1
 and operating profit
1
 of the accommodation hire operation are the contribution before depreciation amortisation and exceptional items and contribution 
before amortisation and exceptional items respectively and are stated before allocations and recharges
28 related party disclosures
key management remuneration
the group’s key management personnel are the executive and nonexecutive directors as identified in the remuneration report
in addition to their salaries the group also provides noncash benefits to executive directors and contributes to approved pension 
schemes on their behalf executive directors also participate in the group’s share option schemes 
nonexecutive directors receive a fee for their services to the speedy hire plc board
full details of key management personnel compensation and interests in the share capital of the company as at 31 march 2011 are given  
in the remuneration report
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the consolidated financial statements 97  company balance sheet
at 31 march 2011
note
2011 
£m
2010 
£m
assets
noncurrent assets
investments 30 945 945
deferred tax asset 35 03 02
948 947
current assets
trade and other receivables 31 4120 3537
tax receivable – 10
4120 3547
total assets 5068 4494
liabilities
current liabilities
bank borrowings 34 66 21
trade  other payables 32 1501 846
other financial liabilities 33 06 32
income tax 02 –
1575 899
noncurrent liabilities
borrowings 34 1127 1311
total liabilities 2702 2210
net assets 2366 2284
equity
share capital 36 259 259
share premium account 1902 1902
merger reserve 23 86
hedging reserve 09 34
retained earnings 191 71
total equity 2366 2284
       
the company financial statements on pages 98 to 104 were approved by the board of directors on 17 may 2011 and were signed on its behalf by
steve corcoran     justin read
director      director
company registered number 927680
speedy hire plc annual report and accounts 2011
98 financial statements  company balance sheet  note
2011 
£m
2010
£m
cash generated from operations 40 162 334
interest received 117 133
interest paid 106 149
tax received 13 59
net cash flow from operating activities 160 377
cash flow from investing activities 
acquisition of minority interest – 02
– 02
net cash flow before financing activities 160 375
cash flow from financing activities
repayment of bank loans 184 1351
proceeds from rights issue – 1055
rights issue costs – 58
dividends paid 21 43
net cash flow from financing activities 205 397
decrease in cash 45 22
cash at the start of the financial year 21 01
cash at the end of the financial year 66 21
analysis of cash
cash – –
bank overdraft 66 21
66 21
company cash flow statement
for the year ended 31 march 2011
financial statements
speedy hire plc annual report and accounts 2011
financial statements  company cash flow statement 99  company statement of changes in equity
for the year ended 31 march 2011
share 
capital 
£m
share 
premium 
£m
merger 
reserve 
£m
hedging
 reserve 
£m
retained 
earnings 
£m
total 
equity 
£m
at 31 march 2009 25 1110 86 60 129 1290
profit for the financial year – – – – 15 15
effective portion of change in fair value of cash flow hedges – – – 26 – 26
total comprehensive income for the year – – – 26 15 41
dividends – – – – 43 43
equity settled sharebased payments – – – – 01 01
issue of ordinary shares 229 768 – – – 997
employee benefits trust allotments 05 24 – – 29 –
at 31 march 2010 259 1902 86 34 71 2284
profit for the financial year – – – – 67 67
effective portion of change in fair value of cash flow hedges – – – 25 – 25
tax on items taken directly to equity – – – – 02 02
total comprehensive income for the year – – – 25 69 94
dividends – – – – 21 21
equity settled sharebased payments – – – – 09 09
transfer to retained earnings – – 63 – 63 –
at 31 march 2011 259 1902 23 09 191 2366
  transfer to retained earnings relates to the known realised element of the merger reserve the transfer is being made retrospectively in relation to the disposal  
of a business which occurred a number of years ago
speedy hire plc annual report and accounts 2011
100 financial statements  company statement of changes in equity  29 accounting policies
the company financial statements have been prepared in accordance with the accounting policies set out in note 1 supplemented as 
below the company is taking advantage of the exemption in s408 of the companies act 2006 not to present its individual income 
statement or statement of comprehensive income and related notes that form part of the approved financial statements 
investments in subsidiary undertakings are stated at cost less any provisions for permanent diminution in value dividends received and 
receivable are credited to the company’s profit and loss account to the extent that they represent a realised profit for the company 
the company does not have any employees directors are paid by other group companies
30 investments 
investments 
in subsidiary 
undertakings 
£m
other 
investments 
£m
total 
£m
cost
at 31 march 2009 1130 01 1131
additions 02 – 02
at 31 march 2010 and 31 march 2011 1132 01 1133
provisions
at 1 april 2009 31 march 2010 and 31 march 2011 188 – 188
net book value
at 31 march 2011 944 01 945
at 31 march 2010 944 01 945
at 31 march 2009 942 01 943
notes to the company financial statements 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the company financial statements 101  30 investments continued
following the impairment testing performed in accordance with ias 36 see note 12 the company’s carrying value of investment 
in subsidiary undertakings has been reviewed and no impairment has been made 2010 £nil
the company’s principal subsidiary undertakings are as follows
incorporation and operation principal activity
ordinary share capital 
held
speedy asset services limited uk hire services 100
speedy hire centres northern limited uk hire services 100
speedy hire centres southern limited uk hire services 100
speedy hire centres western limited uk hire services 100
speedy hire centres limited uk hire services 100
speedy hire scotland limited uk hire services 100
speedy hire ireland limited uk hire services 100
speedy hire ireland limited republic of ireland hire services 100
waterford hire services limited republic of ireland hire services 100
speedy hire direct limited uk hire services 100
speedy lifting limited uk hire services 100
speedy lgh limited uk hire services 100
speedy space limited uk hire services 100
speedy power limited uk hire services 100
speedy lch generators limited uk hire services 100
speedy pumps limited uk hire services 100
speedy survey limited uk hire services 100
speedy engineering services limited uk hire services 100
speedy support services limited uk provision of group services 100
speedy transport limited uk provision of group services 100
allen investments limited uk property management 100
speedy asset leasing limited uk leasing services 100
speedy international asset services holdings limited uk hire services 100
speedy international asset services equipment rental llc uae hire and associated services 49
speedy international leasing limited uk leasing services 100
speedy international asset services oman hire services 70
speedy international asset services egypt hire services 100
 indirect holding via a 100 subsidiary undertaking
  although the group holds less than half of the voting rights it is able to govern the financial and operating policies of the company the group therefore consolidates 
the company
a full list of the company’s subsidiary undertakings can be found in the annual return filed at companies house
the company holds voting rights in each subsidiary undertaking in the same proportion to its holdings in the ordinary share capital  
of the respective subsidiaries 
notes to the company financial statements
continued
speedy hire plc annual report and accounts 2011
102 financial statements  notes to the company financial statements  31 trade and other receivables
2011 
£m
2010 
£m
amounts owed by group undertakings 4095 3484
other receivables 25 31
prepayments and accrued income – 22
4120 3537
     
32 trade and other payables
2011 
£m
2010 
£m
trade payables – 04
amounts owed to group undertakings 1490 815
accruals 11 27
1501 846
      
33 financial instruments
the company financial instruments are stated in accordance with note 18
the fair values of financial assets and liabilities together with the carrying amounts shown in the balance sheet are as follows
2011 
carrying 
amount 
£m
2011 
fair value 
£m
2010 
carrying 
amount 
£m
2010 
fair value 
£m
trade and other receivables 4120 4120 3515 3515
bank overdraft 66 66 21 21
secured bank borrowings 1127 1127 1311 1311
interest rate swaps caps and collars used for hedging 06 06 32 32
trade and other payables 1490 1490 819 819
1431 1431 1332 1332
unrecognised gainloss – –
34 borrowings
2011 
£m
2010 
£m
current borrowings
bank overdraft 66 21
66 21
noncurrent borrowings
maturing between one and two years
revolving credit facility 1127 –
maturing between two and five years
term loan – 695
revolving credit facility – 616
total noncurrent borrowings 1127 1311
total borrowings 1193 1332
less cash at bank and in hand – –
net debt 1193 1332
the company borrowings are stated in accordance with note 19
both the overdraft and syndicated loan facility are secured by a fixed and floating charge over all the assets of the group and are  
rated pari passu 
financial statements
speedy hire plc annual report and accounts 2011
financial statements  notes to the company financial statements 103  35 deferred tax
company
total 
£m
at 1 april 2009 01
recognised in income 01
at 31 march 2010 02
recognised in income 01
recognised in equity 02
at 31 march 2011 03
36 share capital and share incentives
the company share capital and share incentives are stated in accordance with note 22 and 23
37 contingent liabilities and commitments
the company contingent liabilities and commitments are stated in accordance with note 25 and 26
38 post balance sheet events
the company post balance sheet events are stated in accordance with note 27
39 related party disclosures
the company related party disclosures are stated in accordance with note 28
40 note to the company cash flow statement
2011 
£m
2010 
£m
cash flow from operating activities
profitloss before tax 65 23
financial income 117 133
financial expense 106 148
increase in trade and other receivables 583 311
increase in trade and other payables 682 654
equitysettled sharebased payments 09 01
162 334
notes to the company financial statements
continued
speedy hire plc annual report and accounts 2011
104 financial statements  notes to the company financial statements  2011 
£m
2010 
£m
2009 
£m
2008 
£m
2007 
£m
income statement
revenue 3542 3511 4827 4659 3360
gross profit 2173 2084 2880 2984 2168
analysis of operating lossprofit
operating profit before amortisation and exceptional costs 83 80 492 640 500
amortisation 55 55 92 72 41
exceptional costs 193 111 907 100 –
operating lossprofit 165 86 507 468 459
net financial expense 90 142 158 159 95
net financial expense – exceptional 15 – 46 04 –
total net financial expense 105 142 204 163 95
lossprofit before taxation 270 228 711 305 364
nongaap performance measures
ebitda before exceptional items 634 682 1251 1316 1003
adjusted profit before tax exceptional costs and amortisation 07 62 334 481 405
balance sheet
hire equipment – original cost 3633 4712 5143 5717 4383
hire equipment – net book value 1857 2469 2834 3361 2704
total equity 2294 2466 1675 2401 1711
cash flow
cash flow generated from operations
3
497 629 981 1597 1484
free cash flow 74 337 314 133 45
purchase of hire equipment 418 336 586 859 823
profitloss on disposal of hire equipment
1
50 27 60 97 70
in pence 
dividend per share
2
 uk gaap 04 04 35 54 46
adjusted earnings per share
12
00 14 130 199 176
net assets per share 04 05 09 13 10
in percent
gearing 497 484 1483 1065 1030
return on capital operating
1
23 20 109 152 169
ebitda margin
1
179 194 259 282 299
in ratios
net debtebitda
1
18 17 20 19 18
net debtnet tangible fixed assets 05 04 08 07 06
in numbers
employee numbers 4124 4267 5109 4692 3573
depot numbers 327 324 399 488 357
1
 before amortisation and exceptional items
2
 adjusted for rights issue
3
 before changes in hire fleet
fiveyear summary
financial statements
speedy hire plc annual report and accounts 2011
financial statements  fiveyear summary 105  shareholder information
annual general meeting
the annual general meeting will be held on wednesday 13 july 2011 
at 1100am at mere court hotel and conference centre warrington 
road mere knutsford cheshire wa16 0rw
details of the business of the agm and the resolutions  
to be proposed will be sent to shareholders
shareholders will be asked to approve the directors’ remuneration 
report and the reelection of justin read and michael averill to  
the board
other resolutions will include proposals to renew for a further year 
the directors’ general authority to allot shares in the company 
to allot a limited number of shares for cash on a non preemptive 
basis and to buy back its own shares and resolutions to amend the 
articles of association
share price informationperformance
the latest share price is available at wwwspeedyhireplcuk 
by selecting ‘our shares’ under the investor information section 
shareholders can check the value of their shareholding online 
or review share charts illustrating annual share price 
performance trends
shareholders can download copies of our annual report and 
accounts and interim accounts from wwwspeedyhireplcuk
dividend reinvestment plan drip
you can choose to reinvest dividends received to purchase 
further shares in the company through a drip a drip application 
form is available from our registrar whose contact details are 
08713842268 and from overseas 44 01214157173 please 
note that calls to this number cost 8p per minute from a bt 
landline other providers’ costs may vary lines are open 830am 
to 530pm monday to friday alternatively you can write to our 
registrar at equiniti aspect house spencer road lancing 
west sussex bn99 6da
electronic communications 
you can elect to receive shareholder communications electronically 
by writing to our registrar equiniti at aspect house spencer road 
lancing west sussex bn99 6da this will save on printing and 
distribution costs creating environmental benefits when you 
register you will be sent a notification to say when shareholder 
communications are available on our website and you will be 
provided with a link to that information
enquiries on shareholdings
any administrative enquiries relating to shareholdings  
in speedy such as dividend payment instructions or a change 
of address should be notified direct to the registrar equiniti at 
aspect house spencer road lancing west sussex bn99 6da 
your correspondence should state speedy hire plc and the 
registered name and address of the shareholder for further 
details of the shareholder services offered by our registrars 
visit  wwwshareviewcouk 
forward looking statements
this annual report includes statements that are forward looking in 
nature forward looking statements involve known and unknown 
risks assumptions uncertainties and other factors which may 
cause the actual results performance or achievements of the group 
to be materially different from any future results performance or 
achievements expressed or implied by such forward looking 
statements except as required by the listing rules the disclosure 
and transparency rules and applicable law the company 
undertakes no obligation to update revise or change any forward 
looking statements to reflect events or developments occurring on 
or after the date of this annual report
contact details
we are happy to answer queries from current and potential 
shareholders similarly please let is know if you wish to receive 
past present or future copies of the annual report and accounts 
please contact us by telephone email fax or via the website
speedy hire plc
chase house
16 the parks
newtonlewillows
merseyside
wa12 0jq
telephone 01942 720000
facsimile 01942 402870
email plcadminspeedyhirecom
wwwspeedyhireplcuk
106 investor information  shareholder information
speedy hire plc annual report and accounts 2011 registered office and advisers
registered office
speedy hire plc
chase house
16 the parks
newtonlewillows
merseyside
wa12 0jq
telephone 01942 720000
facsimile  01942 402870
email plcadminspeedyhirecom
wwwspeedyhireplcuk
registered number 927680
company secretary
suzana koncarevic
financial advisers
nm rothschild  sons limited
1 king william street
london
ec4n 7ar
stockbrokers
evolution securities limited
100 wood street
london 
ec2v 7an
legal advisers
pinsent masons llp
1 park row
leeds
ls1 5ab
auditors
kpmg audit plc
st james square
manchester
m2 6ds
bankers
barclays commercial bank
1st floor
3 hardman street
spinningfields
manchester
m3 3ap
the royal bank of scotland plc
corporate banking
1 spinningfields square
manchester
m3 3ap
public relations – financial
hudson sandler
29 cloth fair
london
ec1a 7nn
public relations – trade
citypress
2nd floor
bank house
faulkner street
manchester
m1 4eh
registrars and transfer office
equiniti limited
aspect house
spencer house
lancing 
west sussex
bn99 bda
insurance brokers
jardine lloyd thompson ltd
st james house
7 charlotte street
manchester
m1 4dz
investor information
investor information  registered office and advisers 107 
speedy hire plc annual report and accounts 2011 awards
2011
business in the community – cr index – silver ranking
business in the community – ‘big tick award’ for responsible  
supply chain
hire association europe – excellence in training – winner
hire association europe – hire achiever of the year – 
highly commended
rospa health and safety – silver achievement award
2010
hire association europe – environmental initiative – winner
hire association europe – excellence in training – high commended
the environment and energy awards – the environment product
service award – highly commended
environment  energy awards – best sustainability communications 
campaign award – highly commended
green organisation – green apple award and green hero 
investor relations society best practice awards – best corporate 
website small cap  aim
coins – innovator of the year
builder  engineer awards – energy efficient project of the year
builder  engineer awards – supplier of the year
national business awards – finalist the orange innovation award
2009
green apple award for environmental best practice
business in the community – reaccreditation of ‘big tick award’  
for responsible marketing
british safety council – international safety award
hire association europe – catalogue of the year
coins – supplier of the year
2008
hire association europe – hire company of the year over 
five outlets
hire association europe – best contribution to environmental issues
bsif safety awards – service excellence
national business awards – finalist business of the year
institute of directors – north west director of the year  
steve corcoran
european rental association – european rental person of the year 
steve corcoran
business in the community – reaccreditation of ‘big tick award’ 
for responsible marketing
business in the community – cr index – silver ranking
108 investor information  awards
speedy hire plc annual report and accounts 2011 overview
01 seeing the benefits 
14 speedy at a glance 
16 speedy figures
18 understanding our markets
business review
20 chairman’s statement 
22 chief executive’s review 
26 principal risks and uncertainties 
28 uk  ireland asset services 
30  international  advisory services
32 group financial review 
36 corporate responsibility 
governance
44 board of directors 
46 directors’ report 
49 corporate governance
54 remuneration report
64 audit committee report 
65 nomination committee report
66 independent auditor’s report 
financial statements
68 consolidated income statement 
69 consolidated statement of comprehensive income 
70 consolidated balance sheet
71 consolidated cash flow statement
72 consolidated statement of changes in equity 
73 notes to the consolidated financial statements 
98 company balance sheet 
99 company cash flow statement
100 company statement of changes in equity
101 notes to the company financial statements
105 fiveyear summary
investor information
106 shareholder information
107 registered office and advisers
108 awards
ibc accreditations and memberships
speedy contents
overview business review governance financial statements investor information
accreditations and memberships
iso accreditations
iso 9001
speedy asset services limited
†
speedy engineering services limited
iso 14001
speedy asset services limited
speedy engineering services limited
iso 18001
speedy asset services limited
speedy engineering services limited
iso 17020
speedy asset services limited
industry supplier accreditations
achilles linkup – rail supplier qualification and verification scheme
achilles uvdb – utilities prequalification scheme
achilles building confidence – construction prequalification scheme
constructionline – uk register of prequalified construction services
chas – the contractors health and safety scheme
safecontractor – the contractor accreditation scheme for business
safehire – hae hire and rental certification scheme
professional body and trade association memberships
hae hire association of europe
pasma prefabricated access suppliers and 
manufacturers association
leea lifting equipment engineers association
operc offhighway plant and equipment research centre
era european rental association
bsc british safety council international asset services
cbi confederation of british industry steve corcoran member 
of construction council
ftse4good
bitc business in the community
cpa contractors plant association
british water authority
federation of communication services
mpba modular and portable building association
rospa the royal society for the prevention of accidents
 partial accreditation only
†
 all uk locations accredited
printing and paper this report has been printed in the uk by the colourhouse our printers 
are accredited with the iso14001 and hold full fsc chain of custody they are also carbon 
neutral all inks used are vegetablebased the paper used is heaven 42 which is fully 
recyclable and biodegradable and is an fsc mixed sources accredited material using an 
elemental chlorine free ecf process and partly bleached using a totally chlorine free 
tcf process 
if you have finished reading this report and no longer wish to retain it please pass it  
on to other interested readers return it to speedy hire plc or recycle it thank you
this annual report is available at wwwspeedyhireplcuk
designed and produced by the college  wwwthecollegeukcom annual report and accounts 2011
seeing the benefits
speedy hire plc annual report and accounts 2011
wwwspeedyhireplcuk


Summary:
 20 business review  chairman’s statement
chairman’s 
statement
“ we have established a solid 
platform from which to build 
and whilst we remain alert 
to the continuing uncertainty 
in the economy we expect 
to make further progress 
in 201112” 
 
ishbel macpherson 
nonexecutive chairman
overview
whilst it has been another challenging year for our sector  
i am pleased to report that the business has been stabilised 
through continued cost management improvement in pricing 
and an ongoing investment programme in our depot network 
it trading platform hire fleet and services each of these has 
contributed to the establishment of a solid base from which  
to return the business to growth
notwithstanding exceptional costs of £208m which contributed 
to an overall loss before tax of £270m we saw the benefits of these 
actions in 201011 in the reversal of the first half losses to end the 
year at a broadly breakeven position profit before tax amortisation 
and exceptional items the year on year revenue comparatives 
improved throughout the course of the year with particular progress 
made in recovering uk hire rates following the declines over the last 
few years our loss before tax preamortisation and exceptional 
items was £07m compared to a loss of £62m in 200910 and 
a loss of £99m in the first half of 201011 our ongoing drive to keep 
tight control over costs whilst working to improve revenues has 
resulted in a further reduction in likeforlike operating costs of 29 
year on year our ebitda margin preamortisation and exceptional 
items improved during the course of the year having been 140 
in the first half and 217 in the second half we also managed the 
business so as to maximise cash generation with the result that 
year end net debt was £54m lower than at the previous year end 
despite a 52 increase in net capex to £317m 
the sale of our lossmaking accommodation hire operation for 
£349m in cash and the unwinding of its retained working capital 
estimated to be approximately £36m will also serve to reduce  
debt further speedy hire plc annual report and accounts 2011
business review  chairman’s statement 21 
strategic progress
these results and particularly the recovery in the second half 
where the ebita margin preexceptional items increased by 
99 percentage points compared to the first half are a reflection 
of the successful implementation of the group’s strategy of 
developing close longterm strategic partnerships with major 
customers and industrial groups this has allowed us to gain access 
to their supply chains at low cost and offer broader complementary 
activities in testing inspection repair maintenance asset 
management training and advisory services both in the uk 
and increasingly internationally 
having taken decisive action in 2009 in response to the global 
financial crisis and realigned the cost base the focus in 201011 has 
been on strengthening the balance sheet to prepare the business 
for growth in line with this strategy as the economy recovers 
during 201011 we continued to invest in our network our it 
infrastructure our assets and in our complementary nonhire 
services eg testing training and sales which differentiate the 
business and thereby provides it with a platform to broaden its 
offerings to a wider range of customer segments our strategy will 
continue to underpin the group throughout 201112 as we maintain 
our focus on cash costs and customers whilst recovering growth 
in our business
our priority remains to restore our uk business to full health 
investing to refresh the fleet and in the improvement of the  
efficiency of our property portfolio we will also continue to 
develop our fledgling businesses principally international 
and training  advisory services at a measured pace
funding
the group’s bank facility which is a revolving credit facility  
of £210m matures in june 2012 in preparation for this the group  
is in advanced discussions with its existing bank group along with 
other lenders regarding its refinancing requirements and expects  
to secure replacement funding in the near future 
dividend
the company paid an interim dividend of 02p per ordinary 
share on 28 january 2011 consistent with the interim dividend  
paid in 200910
we remain committed to a progressive dividend policy as markets 
recover but remain cautious in our approach to cash in the interim 
the board is therefore recommending an unchanged final dividend 
of 02 pence per share this represents a cash cost of c£1m 
if approved by shareholders at the forthcoming agm this will 
bring the total for the year to 04 pence per share 
governance and board changes
since the company listed on the london stock exchange in 1993 our 
board and executive governance structures have developed and 
improved we are fully compliant with the uk corporate governance 
code and firmly believe that good governance reduces risk and 
adds value to the business
the board has undergone a number of changes in the past year 
and further changes will take place in the forthcoming year 
justin read the group finance director has resigned to join the 
board of segro plc as its group finance director justin will be 
leaving on 26 august 2011 a recruitment process for a new group 
finance director will commence immediately and an announcement 
will be made once this process has been concluded 
the board would like to express its gratitude to justin for his 
invaluable contribution to the group over the last three years  
and to wish justin every success in his future career
david wallis retired at the end of december 2010 having served 
as chairman of the company for over 10 years claudio veritiero 
md of asset services left the group in october 2010 as part of our 
cost reduction programme michael averill was appointed as senior 
independent director on 1 january 2011 at the same time as i 
became chairman further changes amongst the nonexecutive 
directors will take place this year as peter atkinson will retire at the 
forthcoming agm having served six years on the board the board 
has commenced a search for a new nonexecutive director
we are most grateful to david claudio and peter for their invaluable 
contributions and wish them well for the future 
employees
201011 saw another year of tremendous commitment from our 
people the quality of our people continues to be a core strength 
of our business our recovery through this year is down to the 
performance of steve corcoran his team and all the employees 
who continue to build the business i would like to thank them  
all on behalf of the board for their skill dedication hard work 
and loyalty throughout this period of upheaval and difficult 
economic conditions 
outlook
in conclusion whilst we acknowledge that our business has 
been through a very difficult and unrewarding period for our 
shareholders management has aggressively taken action with 
regard to cash costs and capex to ensure that the group has not 
only survived the short term challenges to its future but that it is 
now far stronger as a business and is very well placed for the future 
whilst april’s trading was affected by the impact of the late easter 
and the subsequent royal wedding public holiday the new financial 
year has begun satisfactorily although we remain alert to the 
continuing uncertainty in the economy which we believe will 
continue for some time to come in the construction sector in 
particular we are confident that the actions we have taken give  
us a solid platform from which to build and that we will continue 
to make progress in 201112 our leading market position our 
advanced systems our strong cash flow and our clear market 
approach position the group strongly to take full advantage of  
the market upturn when economic conditions eventually improve
annual general meeting
the agm will be held at 1100am on 13 july 2011 at mere court hotel 
 conference centre knutsford cheshire i look forward to seeing 
you there
ishbel macpherson
nonexecutive chairman
business review