view more online at wwwreguscom
annual report and accounts 2010
global growth
regus plc annual report and accounts 2010
rg012coversvawindd   4 07042011   1057 we work your way 
regus is the world’s only global provider of flexible workspace 
we are 6000 people running 1100 business centres in 500 cities across  
87 countries we help our customers work more effectively to work 
their way every day
t o more than 800000 people we are the mission critical platform upon 
which they run some or all of their business every day
our products and services allow our customers to concentrate on their 
core business and use their talents to best effect we help them be 
more flexible more costeffective and more agile – and better able to 
face the unexpected challenges of business in the 21st century
our unrivalled footprint and 
unique customer proposition  
is driving growth worldwide
directors’ report – 
business review
financial highlights 1
group overview 2
our products and services 3
where we are 4  
chairman’s statement 6
chief executive’s review 7
financial review 10
corporate responsibility 14
directors’ report – 
corporate governance
board of directors  15
other information 16
corporate governance  18
director statements 24
remuneration report 25
auditors’ report 31
financial statements
consolidated income statement 32
consolidated statement 
of comprehensive income 33
consolidated statement 
of changes in equity 34
consolidated balance sheet 35
consolidated cash flow statement 36
notes to the accounts 37
parent company accounts 76
shareholder and  
other information
segmental analysis 77
five year summary 79 
shareholder information 80
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directors’ report business review
financial highlights
a solid year of performance
revenue £m £10404m
0
200
400
600
800
1000
1200
8624
10772
10551
10404
2010 2009 2008 2007
gross proﬁt £m  £2159m
0
50
100
150
200
250
300
350
2010 2009 2008 2007
2519
3057
2356
2159
operating proﬁt £m £225m
0
30
60
90
120
150
2010 2009 2008 2007
225
1226
1474
703
net cash balance £m £1915m
0
50
100
150
200
250
1014
2112
2370
1915
2010 2009 2008 2007
proﬁt after tax £m £180m
0
20
40
60
80
100
120
2010 2009 2008 2007
180
1149
520
1036
basic earnings per share p 19p
0
2
4
6
8
10
12
2010 2009 2008 2007
19
105
120
54
 excludes exceptional items in 2009 and 2010
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directors’ report business review
group overview
extending our global network
for more information visit wwwreguscom
what we do
we have to constantly evolve to meet our customers’ needs
what our customers say
our unrivalled customer service is driven across everything we do
the world of business is constantly 
changing and so are we 20 years ago 
we were an innovative provider of 
serviced ofﬁ ces because that was what 
our customers needed yet work today 
is radically different to the early 1990s 
as a result we have to constantly evolve 
to meet the ever changing needs of 
our customers
yes we still rent serviced ofﬁ ces but 
that’s an increasingly small part of what 
we do now what we provide is the 
means – the workspaces – from which 
our customers can do whatever it is
they want to do we are facilitators 
concierges technical support teams 
property managers and business 
advisers our customers want meeting
rooms workstations coffee lounges 
videocommunications facilities and all 
the latest it and telecommunications 
support we provide bookkeeping and 
payroll services transcription services 
and help our customers purchase a wide 
range of ancillary business products and 
services sometimes they even want us 
to tell them what they need
above all we take care of the everyday 
details of running a business so that our 
customers be they the very largest 
global corporate or an entrepreneur with 
an idea can concentrate on what they 
do best which is run their business
and work their way every modern 
international business large or small 
must be agile able to make decisions 
quickly change direction or shift 
resources at short notice 
in today’s ever more complex ever more 
unpredictable ever more interconnected 
world regus helps them to do just that
juniper
founded in 1996 juniper 
currently employs more than 
7000 workers in nearly 50 
countries since its inception 
juniper has been at the forefront 
of network innovation – providing 
solutions that solve the most 
complex networking problems
“ with regus we are no longer 
on the real estate roller coaster 
where we are constantly 
ramping up and ramping down 
our portfolio we can now 
acquire just what we need 
when we need it for as long 
as we need it without risk or 
excessive costs”
coleen hurley director of 
corporate real estate juniper
yell
yell is a leading international 
directories company that offers 
quality business leads and 
marketing solution to small 
and medium sized enterprises 
in the uk us spain and parts 
of latin america
“ with regus we are far more 
cost effective lower risk ﬂ exible 
and sustainable but will over 
time increase productivity as 
less time is spent commuting 
and working in poorly equipped 
places such as hotels and cafes”
simon taylor 
head of property yell
capco health group inc
torontobased capco 
health group inc a provider 
of healthcare services in the 
north american medical 
insurance community has 
been a regus client since 2000 
and has started to use regus 
virtual ofﬁ ces to pursue new 
business opportunities
“ for as little as a few hundred 
dollars a month virtual ofﬁ ces 
allow us to move into additional 
markets such as mexico and 
central america” 
ernie gershon president 
and coo of capco
the network collective
the network collective is an 
independent telecommunications 
procurement consultancy it 
works with major uk and 
multinational organisations to 
help them achieve the best 
possible results through
their telecommunications 
procurement
“ our team travels a lot and it’ s 
important for us to have a high 
quality base whilst on the road 
regus help us be as productive 
as we can in a cost effective way”
john waterhouse 
founder and ceo of 
the network collective
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our products and services
serving 800000 customers every day
businessworld
our unique worldwide membership scheme – instant access to all of our 
1100 business centres the ultimate in productive mobile working with 
more than half a million members
equipped of ces
a productive ﬂ exible and costefﬁ cient work environment bespoke for every 
single customer company from startups and established local businesses to 
satellite ofﬁ ces for the very largest corporates all workspace can be fully 
personalised to reﬂ ect the customer’s brand and culture mainly fulltime but 
also available by the hour
virtual of ce
a professional business address and local telephone number with call handling 
and message management plus mail collection and forwarding services used 
by all types and sizes of businesses especially those looking to enter new 
markets in a low cost low risk way
meeting rooms
conveniently located customisable meeting rooms in a dedicated business 
environment costefﬁ cient and ﬂ exible our customers are able to book by 
the hour not just by the day 
disaster recovery
dedicated ofﬁ ce space conﬁ gured to our customers’ exact requirements 
including telephone and it connectivity reserved and kept ready for 
whenever it is required
video communication
the world’s largest network of video communication suites in more than 
4000 locations worldwide our customers save management time travel 
costs and reduce their carbon footprint by using the very latest hd technology
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directors’ report business review
where we are
growing our global network
in 2010 we added 125 new centres 
and oman lithuania and ghana to 
our global network 2011 will see 
similar levels of growth
800000
daily customers
500
cities
6000
people
87
countries
park avenue
new york usa
american express retiro
buenos aires argentina
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view our online operational 
case studies in action
wwwreguscominvestor
city point
london england
world trade centre
beijing china
bandra kurla 
complex
mumbai  india
ark ofﬁ ce
sydney australia
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directors’ report business review
chairman’s statement
determined strategic implementation
this coupled with consistent trading 
across all our markets has enabled the 
group to weather the unpredictable 
economic challenges of 2010 i am 
particularly pleased that our mature 
margins have started to recover during 
2010 and in addition the business has 
generated more cash year on year with 
cash from operations increasing to £1097 
million 2009 £1051 million the strength 
of this cash generation has enabled the 
business to invest signiﬁ cantly in growth 
opening 125 centres with an estimated 
cost to our proﬁ t and loss of £182 million 
and to our cash ﬂ ow of £697 million it has 
also enabled us to increase our dividend 
by 22 to £232 million while maintaining 
a robust net cash position at £1915 
million the board remains conﬁ dent in the 
signiﬁ cant opportunities for our business 
as the global trend towards ﬂ exible mobile 
work accelerates
network growth
to capitalise on the signiﬁ cant 
opportunities created by the trend towards 
increased ﬂ exible working we continue to 
grow our network to provide these agile 
workers with a mobile work platform our 
approach is twofold to open in new 
countries such as oman ghana and 
lithuania thus increasing our global 
footprint and deepen existing incountry 
networks opening in cities such as 
canberra and brasilia thereby getting 
ever closer to new and existing customers
in the year to 31 december 2010 we 
added 20122 workstations an increase 
of 13 on 2009 for a total investment of 
£697 million approximately half of this 
growth came from acquisitions in markets 
such as brazil china uk and usa we 
will continue to explore such opportunities 
as we look to strengthen our market 
position and deliver on our strategy 
board changes
i would like to thank ulrich ogiermann 
who resigned from the board as of 
31 december 2010 for his contribution to 
the business over the years and we wish 
him well for the future 
dividend
it remains the intention of the board to 
pay dividends at a level which it believes is 
sustainable throughout economic cycles 
and is in line with its progressive payment 
policy reﬂecting the underlying strength 
of the group’s trading performance our 
strong cash generation robust cash 
position and future conﬁdence in 
the group’s prospects the board is 
recommending an 8 increase in the full 
year dividend per share to 26p per share 
subject to the approval of shareholders 
at the 2011 agm this ﬁnal dividend will 
be paid on friday 27 may 2011 to 
shareholders on the register at the close 
of business on tuesday 26 april 2011
douglas sutherland
chairman
21 march 2011
i am pleased to report 
a solid performance 
by the group resulting 
from the determined 
implementation of 
our strategy which 
has transformed our 
business model over 
the last two years
douglas sutherland
chairman
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directors’ report business review
chief executive’s review
a strong track record of delivery
2010 was a solid year of performance 
made possible by the delivery of key 
strategic initiatives rather than any 
noticeable pick up in the world economy 
that the business remained proﬁ table and 
in 2010 generated more cash than in 2009 
demonstrates our strong and deep 
foundations 
we are now a much ﬁ tter and more 
nimble business which will be to the 
beneﬁ t of our customers and 
shareholders the strategic initiatives of 
2010 were focused on orientating the 
business to recover occupancy and 
margin in 2011 regardless of the rate of 
economic recovery this includes having 
the right business centres in the right 
places on the right terms generating 
more enquiries and increasing the sales 
conversion streamlining processes and 
structures continually innovating our 
product and service mix and crucially 
investing in our people such investments 
have come at some cost but it is 
important to highlight these investments 
are fully self funded and we expect to see 
a return in 2011
we continue to experience broadbased 
demand across all markets and market 
sectors but especially from large 
multinationals for our assistance in 
supporting their move to lower cost ﬂ exible 
working models this accelerating trend is 
one of the key drivers of our business and 
we believe will be so for years to come 
with renewed focus we have delivered 
the growth we set out to achieve at the 
beginning of 2010 we opened 125 new 
centres which led us into seven new 
countries it is our intention to sustain this 
growth rate into 2011 as we look to 
extend our global reach and strengthen in 
country networks giving us an ever 
greater addressable market 
strategy 
our vision is clear to be where people 
and businesses want to work and to be 
the platform from which they work be it 
mobile or ﬁ xed virtual or physical large 
company or small as a result our 
strategy is equally simple to be in as 
many of those locations as quickly as we 
can that we are the only business that 
can aspire to this demonstrates the scale 
of the opportunity in a world of more than 
a billion mobile workers 
strategic highlights
in 2010 we delivered a number of key 
strategic initiatives which have 
transformed the business these are
2009 and 2010 have been 
momentous years for 
the world economy and 
all businesses have had 
to respond and adapt in 
order to progress we 
have been no different 
mark dixon 
chief executive 
• strengthened management structure
– to better manage our growing 
business within our regions we have 
started the process of organising day
today management of 30 country
market groupings with supervisory 
oversight from our new global 
management centre in geneva 
decision making is being accelerated 
and improved in 2010 key hires 
and internal promotions were made 
across all our major geographies 
including canada brazil mexico and 
japan amongst others it is of crucial 
importance that the business continues 
to add to this cadre of its management 
population throughout 2011
• refocused marketing – spend was 
increased by 27 over the course 
of 2010 vs 2009 to £333 million 
the marketing management team 
was reorganised to deliver incountry 
planning and global campaign 
integration moving us away from a 
regional approach additionally a 
number of tasks were brought back 
inhouse including web and search 
engine marketing together this 
resulted in a 32 increase in overall 
global enquiries but more importantly 
a dynamic approach to generating 
enquiries in the locations that most 
need them
• improved sales – signiﬁ cant changes 
to our sales structure supporting 
systems and improved customer 
targeting together with comprehensive 
bespoke training and development 
resulted in deal volumes that were 
12 higher in 2010 than 2009 
good progress was made with our 
corporate accounts team refreshing 
our entire product offering providing 
targeted marketing support and 
systems increasing headcount from 
30 to 79 and making four key senior 
management hires as a result our 
sales picked up strongly in h2 and this 
team now has momentum into 2011 
• streamlined operations – 2010 saw 
further signiﬁ cant progress with our 
ecommerce rollout speciﬁ cally titan 
peoplesoft and oracle which are now 
ﬁ rmly embedded within the business 
a signiﬁ cant number of centre routines 
and procedures were redesigned freeing 
up centre team time to dedicate to 
customers the centralisation of our back 
ofﬁ ce service functions to our shared 
rg012ifcp13awindd   7 07042011   0913 08 regus plc annual report and accounts 2010   
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directors’ report business review
chief executive’s review continued
scale  
density
unique market 
position
brand
operational 
efﬁ ciency
product 
and service 
innovation
partnerships
our vision is clear to be where people 
and businesses want to work and to 
be the platform from which they work 
be it mobile or ﬁ xed virtual or physical 
large company or small as a result our 
strategy is equally simple to be in as 
many of those locations as quickly as 
we can that we are the only business 
that can aspire to this demonstrates 
the scale of the opportunity in a world 
of more than a billion mobile workers 
strategy and objectives 
service centres was completed in q4 
it is already delivering both operational 
and ﬁ nancial efﬁ ciencies for example 
centralising our it support desk has 
already resulted in annualised savings 
of £15 million 2011 will see further 
centralisation including parts of the 
marketing price and inventory functions
• delivered procurement new centre 
cost efﬁ ciencies – over 2010 we 
continued our proactive approach to 
driving cost and realising efﬁ ciency gains 
throughout the business centralised 
procurement programmes were put in 
place and key hires made the beneﬁ ts 
of which we believe will be felt in 2011 
and beyond excluding the extra costs 
that have been incurred increasing the 
capacity of the business and some 
speciﬁ c investments since the second 
half of 2008 annualised savings have 
been made of circa £135 million 
operational review 
operationally 2010 has been a busy year 
for the group during q4 alone we 
averaged a centre opening a day our 
strategy of controlled and disciplined 
growth has resulted in an increase in total 
capacity including nonconsolidated 
workstations of 9 to 188567 
workstations in the year and the number of 
actual workstations by 88 to 178084 
workstations as at 31 december 2010 
the group opened 125 new centres during 
the year with the total number now 
standing at 1084 of these 61 were as a 
result of organic growth of which 37 were 
opened on ﬂ exible low risk leases
on a regional basis revenues and centre 
contribution can be analysed as follows
               revenue               contribution            mature margin 
£ million 2010 2009 2010 2009 2010 2009
americas 4369 4238 991 929 24 23
emea 2812 3062 658 830 25 28
asia paciﬁ c 1417 1323 364 403 29 30
uk 1789 1914 132 185 8 10
other 17 14 14 09  
  10404 10551 2159 2356 22 23
 the mature business is deﬁ ned as the performance from centres owned and operated at 1 january 2009
americas 
our business in the americas comprises 
canada usa and the countries of latin 
america some 517 centres across 15 
countries our main business in the usa 
operates 411 centres at actual exchange 
rates the region delivered revenues of 
£4369 million – up 31 on 2009 with 
average mature occupancy of 80 during 
the period 2009 79 during the year 
we added 46 centres which contributed 
to the increase in the average number of 
consolidated workstations from 72277 in 
2009 to 74265 in 2010 
the business made two key acquisitions in 
november 2010 one in dallas adding nine 
centres and one in brazil adding 16 the 
latter acquisition makes us the number 
one workplace provider in that market 
emea
our business in emea encompasses 278 
centres across 49 countries the region 
delivered revenues of £2812 million down 
82 on 2009 and achieved an average 
mature occupancy of 77 2009 80 
during the year we opened 36 centres 
including 16 through acquisition this 
contributed to the increase in the average 
number of consolidated workstations from 
34260 in 2009 to 36120 in 2010 we 
opened our ﬁ rst centres in ghana oman 
t anzania and lithuania new cities porto 
and basel
asia paciﬁ c
our business in asia operates in 133 
centres across 16 countries the region 
delivered revenues of £1417 million up 
71 on 2009 and achieved an average 
mature occupancy of 80 2009 76 
during the year we opened 20 centres 
which increased the average number of 
consolidated workstations from 21390 in 
2009 to 23437 in 2010 
uk
conditions during 2010 continued to be 
extremely challenging with renewed 
pressure on key performance indicators 
and particularly price set against this 
backdrop the region delivered revenues 
of £1789 million down 65 on 2009 
and achieved an average mature 
occupancy of 76 2009 78 during 
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the year we opened 23 centres of which 
15 were through acquisition this 
increased the average number of 
consolidated workstations from 33528 in 
2009 to 34851 in 2010 
in q2 we embarked on a signiﬁ cant 
restructure of our uk lease portfolio 
working in partnership with our landlords 
many were renegotiated and regeared 
and only three centres were closed this 
process concluded in q3 and will result in 
annualised savings of up to £15 million per 
annum we are conﬁ dent that in 2011 our 
uk business will return to operating proﬁ t
market opportunities – how 
we help our customers 
our extensive geographic network offers 
a broad range of opportunities for regus 
as organisations of all sizes begin to 
seriously address structural inefﬁ ciencies 
in their property portfolio and as pressure 
from workers increases to make work 
more ﬂ exible in terms of both time and 
geographic location
businesses around the world from the very 
largest to the newest startup are 
increasingly recognising the beneﬁ ts of 
being propertylight reducing the number 
of ofﬁ ces they lease this then enables their 
people to work where they need to rather 
than where they always have been and for 
their business to realise the immediate 
beneﬁ ts of increased productivity and 
decreased costs as such a move to 
regus is very much a commercial and 
ﬁ nancially driven decision with the regus 
advantage regularly delivering savings of 
5080 vs a comparable traditional leased 
ofﬁ ce model we are attractive to any size 
of business and not just small and medium 
sized businesses on a short term basis 
60 of our customers use us for more 
than 30 months 40 of our customer 
base is large corporates and 20 sole 
traders and micro businesses 
the scale and density of our ever 
expanding network our strong track 
record of delivery and our constant ability 
to innovate both product and service 
mean we are well placed to help our 
customers both current and future 
address the challenges of work wherever 
they need us for example
yell – uk based business 
directory service
closed 18 underutilised sales ofﬁ ces and 
transferred circa700 sales consultants to 
regus through our businessworld model 
this approach is more cost effective 
lower risk ﬂ exible sustainable and is 
gradually increasing productivity as less 
time is spent commuting and working in 
poorly equipped places 
711 – leading us franchised 
food retailer
since year end we have signed a deal with 
711 whereby they will close more than 35 
underutilised regional ofﬁ ces more than 
250 franchise managers will use the regus 
network establishing ﬂ exible zone ofﬁ ces in 
regus centres coupled with 250 days of 
meeting rooms per month and several 
hundred businessworld cards 711 will 
reduce overhead by eliminating small ofﬁ ces 
from their property portfolio and franchise 
managers will have more time to spend with 
their customers as they leverage more than 
400 regus business centres
att – leading telecommunications 
service provider
use regus ofﬁ ces in 18 countries 
including canada china vietnam 
denmark and peru coupled with 500 
businessworld cards att rely on regus 
to ensure ﬂ exibility and speed of response 
especially when working on major new 
contracts in new or challenging markets
network growth 
in an ever more mobile nomadic world of 
work our primary asset our business 
centres will remain the foundation for our 
growth indeed it is our extensive 
network virtually impossible to replicate in 
the medium term which is so attractive to 
our customers and prospects and from 
which we will create signiﬁ cant 
shareholder value
a larger network is necessary because
• our addressable market grows locally 
from the businesses immediately 
surrounding the new location and 
globally for multinational businesses that 
want to do business in that location
• we can leverage operational efﬁ ciencies
• additional brand exposure
• we become an ever more attractive 
partner to other high proﬁ le global 
brands and
• the barriers to competitive entry 
become greater 
as such continued growth is core to our 
strategy
it is important to state that our growth 
strategy is based upon making our past 
successes repeatable we focus on 
projects that we can do again and again 
moving us from one level to the next 
growth is always low risk and balanced it 
is never growth for its own sake
the acquisitions we have made and the 
organic growth which has happened 
alongside have expanded our served and 
addressable market we now have 1084 
centres worldwide
outlook
against a tough economic backdrop the 
business delivered solid ﬁ nancial results in 
2010 driven almost entirely by execution 
of a range of key strategic initiatives we 
have seen little beneﬁ t from any economic 
upturn we have continued to invest in 
growth mature margins have held up well 
and cash ﬂ ow continued to be strong 
reﬂ ecting the underlying health of 
the business
we remain cautious on the economy 
however we have been encouraged by 
recent positive trends that reﬂ ect the 
continued strategic delivery of the group in 
2011 we are well positioned for a year of 
solid revenue growth business improvement 
with strong underlying cashﬂ ow generation
arguably the recession of the last two years 
has been good for our business it made us 
take a long hard look at everything we did 
improve it and in doing so we have been 
transformed that we have emerged from 
2010 for the better is a testament to the 
hard work and dedication of our global 
team of highly motivated individuals we 
have restructured and streamlined our 
management we have grown and opened 
up new markets we have continued to 
innovate we have radically improved our 
sales and marketing and we have 
continued to automate and improve our 
processes we are a better business than 
we were when the recession started and 
we will realise the beneﬁ ts of the many 
improvements made over the years to 
come
finally i would like to thank our employees 
customers shareholders suppliers and all 
other partners for their continuing support 
we look forward to an improved 2011 and 
the opportunity to grow our business and 
in doing so lead our industry
mark dixon 
chief executive 
21 march 2010
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directors’ report business review
financial review
robust cash generation
this cash inﬂ ow has enabled the business to 
pay an increased dividend to shareholders 
£232 million buy back shares £73 million 
restructure the uk £137 million to 31 
december 2010 as well as invest in 
capacity growth £697 million
our net cash position at 31 december 2010 
remained strong at £1915 million compared 
to £2370 million at 31 december 2009
if we had translated our 2009 results 
at 2010 rates revenue and gross proﬁ t 
would have increased by £163 million 
and £44 million respectively on a 
constant currency basis revenue fell 
by 29 and gross proﬁ t by 100
our mature or “like for like” business 
revenues decreased by £608 million and 
gross proﬁ t by £245 million driven by 
reductions in price this is partially offset 
by real reductions in costs and the 
transfer of some other costs into 
overheads 
however while the overall proﬁ tability has 
fallen year on year mature margin has 
recovered during 2010 
£ million h2 2009 h1 2010 h2 2010
mature revenue 4945 4899 4903
mature gross 
proﬁ t 1094 1038 1095
margin 221 212 223
  the above numbers are at constant currency and 
have been adjusted for the impact of certain costs 
being moved into overheads during 2010
centres added in 2009 contributed £130 
million of revenue and £48 million of 
gross proﬁ t reﬂ ecting the improving 
occupancy and ability to reduce the 
normal start up losses as centres mature 
new centres in 2010 contributed £251 
million of revenue but reduced gross proﬁ t 
by £70 million due to the normal start up 
losses incurred in establishing new centres 
despite the challenging 
trading conditions 
experienced across 
all of our markets the 
business has generated 
more cash in 2010 than it 
did it 2009 with cash from 
operations increasing 
to £1097 million 2009 
£1051 million
stephen gleadle
chief financial of cer
£ million revenue gross proﬁ t margin 
fy 2009 10551 2356 223
impact of exchange rates 163 44
fy 2009 at constant exchange rates 10714 2400 224
change in mature business 608 245
centres added in 2009 130 48
centres added in 2010 251 70
centres closed 83 26
fy 2010 pre exceptional costs 10404 2159 208
exceptional costs  119
fy 2010 10404 2040
revenue and gross proﬁ t centre 
contribution 
revenue for the group decreased 14 
to £10404 million 2009 £10551 
million and gross proﬁ t centre 
contribution decreased 84 to 
£2159 million 2009 £2356 million
this movement can be analysed as follows
the year on year impact of centre closures 
was to reduce revenue by £83 million but 
increase gross proﬁ t by £26 million
taking all this together margins before 
exceptional costs reduced from 223 to 
208
administration expenses
in 2010 administrative expenses pre 
exceptional costs increased by £281 
million to £1934 million this increase 
can be broadly analysed as follows
£ million
administrative
costs
fy 2009 1653
impact of exchange rates 18
fy 2009 at constant 
exchange rates 1671
transfer of costs from centres 64
incremental costs associated 
with capacity growth 53
2010 investments 
sales marketing and it 111
other cost movements 35
fy 2010
pre exceptional costs 1934
exceptional costs 39
fy 2010 1973
£64m of costs were transferred from 
centres arising from both our programmes 
to centralise certain functions and 
processes previously carried out by 
centre staff and from the annualised 
effect of other transfers made in 2009
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as a result of adding workstations 
overhead costs are also adversely 
affected as we invest in such costs as 
extra marketing regional management 
legal and other compliance costs year on 
year the increase in these costs is 
estimated at £53 million 
to drive enquiries and future revenue 
growth the group has invested an extra 
£90 million in sales and marketing in 
addition £21 million has been spent to 
centralise our it support structure which 
will start to yield savings in 2011 
net of the above there has been an 
underlying increase in overhead of 
£35 million
growth costs
as the rate of capacity growth increases 
the short term costs of this growth also 
increase to give shareholders a better 
appreciation of the impact of this on our 
2010 proﬁ t and loss these costs have 
been estimated as follows
£ million
growth 
costs
start up losses within centre 
contribution including £27m 
of depreciation 70
costs of teams that support 
the acquisition and 
implementation of centres 47
incremental marketing costs 
to launch centres 19
other overhead costs sales 
ﬁ nance legal management 46
182
in arriving at this number there has been 
no allowance for general management 
time and effort expensed across the 
business supporting growth which is also 
likely to be substantial
using these estimates before and after 
proﬁ tability can then be summarised as 
follows
£ million
before growth 
costs
after growth 
costs
ebitda 1126 972
ebit 420 238
 before exceptional costs
taking into account an overall 
assessment of growth costs within the 
business and the expectation of further 
increases in capacity and therefore 
revenue it is anticipated that an
‘ex growth’ overhead rate would be
circa 12 of revenues
cost reduction initiatives
the cost management actions taken by 
the group throughout 2009 have been 
progressed in 2010 delivering further 
cost savings in the underlying business 
the most signiﬁ cant savings are being 
driven through centre costs where we 
are now seeing the beneﬁ t of reduced 
rent and service charges cost savings 
are also being made as we close 
underperforming centres and the 
centralisation of certain functions and 
processes has contributed operational 
efﬁ ciencies such as improved customer 
collections
the trend in the total cost base is shown 
below excluding the extra costs that 
have been incurred increasing the 
capacity of the business and some 
speciﬁ c investments in 2010 since the 
second half of 2008 annualised savings 
have been made of circa £135 million
operating proﬁ t before exceptional 
items
arising from the above operating proﬁ t 
was £225 million 2009 £677 million 
representing a margin of 22 2009 
64
exceptional items
during the year the group has undertaken 
a uk restructuring programme and incurred 
exceptional charges of £158 million these 
costs relate to a combination of asset 
writedowns dilapidations legal and 
professional fees relocation costs 
reorganisation costs and ancillary closure 
costs net of any onerous lease or other 
property related provision releases
cost trend of base business at constant exchange
£million h2 2008 h1 2009 h2 2009 h1 2010 h2 2010
base business 5327 5058 4860 4806 4650
growth costs 25 55 89 202 406
2010 investments – – – 54 57
total costs 5352 5113 4949 5062 5113
of the net £158 million £137 million has 
so far been expended in cash 
as a result of the programme annualised 
rent savings have been achieved of up to 
£15 million
share of proﬁ t in joint ventures
the share of joint venture proﬁ ts 
attributable to regus decreased to £13 
million 2009 £20 million this reﬂ ects 
the acquisition of one of our jv partners 
in december 2009 which is now fully 
consolidated 
financing costs 
financing costs can be summarised as 
follows
£ million fy 2010 fy 2009
interest payable 05 16
interest receivable 18 26
finance lease interest 01 01
noncash 
amortisation of 
deferred ﬁ nancing fees – 05
noncash uk 
acquisition related 14 15
total ﬁ nancing 
costs 02 11
the lower interest payable of £05 million 
reﬂ ects costs associated with bank 
overdrafts in a limited number of countries 
and commissions on bank guarantees
the £08 million decrease in interest 
receivable reﬂ ects the impact of lower 
global interest rates reducing the group’ s 
average yield from 12 to 09 on a lower 
average interest bearing cash balance of 
£2048 million 2009 £2192 million
finance lease costs have remained 
unchanged reﬂ ecting the continued low 
level of ﬁ nance lease liabilities held by the 
group the amortisation of deferred 
ﬁ nancing fees relates to the facility 
arrangement costs incurred for the new 
credit facilities entered into during 2006 
and which were voluntarily surrendered in 
april 2009 resulting in the recognition of 
an accelerated amortisation charge of 
£05 million in that year the unwinding of 
discounted fair value adjustments on the 
regus uk acquisition resulted in a non 
cash net ﬁ nancing charge of £14 million 
in the period to 31 december 2010 2009 
£15m
taxation
the group has recognised a £59 million 
tax charge for the period compared to a 
tax charge of £192 million in the 
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directors’ report business review
financial review continued
comparative period this includes a 
deferred tax charge of £05 million 
associated with the uk restructuring 
the tax rate is 237 excluding the 
exceptional item compared to 269 pre 
exceptional in the comparative period 
the deferred tax charge of £284 million 
includes the reversal of previously 
recognised deferred tax assets on losses 
which no longer satisfy the group’s 
recognition policy giving rise to a decrease 
in the deferred tax asset from £651 million 
at 31 december 2009 to £371 million at 
31 december 2010 in addition the group 
has beneﬁ ted from a credit in relation to 
the settlement of a number of tax audits in 
relation to prior years 
on a cash basis the group paid £155 
million in tax cash tax represents 
approximately 65 of proﬁ t before tax 
excluding the exceptional charge this 
arises largely because taxes paid in the year 
include ﬁ nal payments for earlier periods 
earnings per share 
earnings per share for the full year before 
exceptionals have decreased to 19p 
2009 54p with the impact of falling 
underlying operating proﬁ ts partially offset 
by cost savings the average number of 
shares in issue decreased to 947462881 
2009 948203737 which reﬂ ects the 
net impact of the reissue of treasury 
shares held by the group in order to 
settle the exercise of share awards 
partially offset by the impact of share 
purchases 
dividend
a ﬁ nal payment relating to 2009 of 
16p per share was paid in may 2010 
following shareholder approval h1 2009 
12p per share 
an increased interim dividend relating to 
2010 of 085p per share h1 2009 08p 
was paid in october 2009
it is proposed subject to shareholder 
approval to pay an increased ﬁ nal 
dividend for 2010 of 175p 2009 16p 
this will be paid on friday 27 may 2011 to 
shareholders on the register at the close of 
business on tuesday 26 april 2011 
if approved this will represent an 8 
increase in the full year dividend 
increasing from 24p per share for 2009 
to 26p per share for 2010
since 2008 regus shareholders have 
been able to elect to receive either 
luxembourgsourced dividends from 
regus plc sa “plc” or uksourced 
dividends from a ukresident subsidiary 
of plc the “ias arrangements” the ias 
arrangements were put in place to allow 
shareholders to choose the dividend 
source which best suits their own tax 
position 
following various changes in relevant tax 
law and practice however the tax 
implications of receiving a dividend from 
either plc or a uk subsidiary should now 
be the same for most shareholders in 
order to enable the discontinuance of the 
ias arrangements which are no longer 
considered necessary regus has 
implemented a restructuring as a result 
all shareholders will be paid dividends 
directly from plc commencing with the 
ﬁ nal dividend to be paid to shareholders 
on or around friday 27 may 2011 all 
such dividends should be payable by plc 
without deduction of luxembourg 
withholding tax regardless of the 
residence of the recipient 
in general terms uk resident 
shareholders receiving dividends from plc 
in the future should be taxed in the same 
way as if they had received a dividend 
from a uk company tax outcomes do 
however depend on the speciﬁ c 
circumstances of shareholders and any 
shareholder in doubt about their tax 
position including in particular uk 
resident but non uk domiciled individuals 
who have elected to be taxed on a 
remittance basis should consult their own 
professional adviser without delay
goodwill
regus has £2824 million of goodwill in 
the balance sheet principally arising from 
the purchase in august 2004 of hq global 
holdings inc and the purchase in april 
2006 of the remaining 58 interest in the 
regus uk business not already owned 
following the restructure of the uk 
business the carrying value of the 
goodwill was tested for impairment and 
this indicated that no impairment was 
necessary although the short term 
performance of the business has 
worsened since the 2009 impairment 
review was carried out the adverse 
impact of the resulting reduction in our 
anticipated future cash ﬂ ows has been 
offset by the savings arising from the uk 
restructuring it should be noted 
however that the headroom in the uk 
goodwill calculations still remains low it is 
therefore possible that a future noncash 
impairment may be necessary arising 
from relatively small changes in 
assumptions 
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£ million fy 2010 fy 2009
cash from operations 1097 1051
other income 18 12
cash in 1115 1063
  
maintenance capex 308 202
interest and tax 154 241
free cash ﬂ ow 653 620
acquisitions 170 10
new centre openings and property purchase 427 267
share buybacks settlement of share awards and dividends 314 204
exceptional costreceipt 137 183
other 30 19
cash out 1078 297
  
change in cash  cash equivalents 425 323
opening cash 2451 2195
fx 20 67
closing balance – cash cash equivalents 
and liquid investments 2046 2451
cash ﬂ ow 
the group’s cash ﬂ ow statement can be summarised as follows
cash ﬂ ow from operations has increased 
£46 million from £1051 million to £1097 
million despite the reduction in operating 
proﬁ t this arose from a net working 
capital inﬂ ow in 2010 in contrast to an 
outﬂ ow in 2009 
the increase in free cash ﬂ ow is £33 
million arising from lower interest and tax 
payments offset by increased 
maintenance spend in our centres in 
particular in the uk
this cash inﬂ ow has enabled the business 
to pay an increased dividend £232 
million buy back shares £73 million 
restructure the uk £137 million to 31 
december 2010 as well as invest in 
capacity growth £542 million and 
ﬁ nance the purchase of our ﬁ rst property 
£55 million in 2010 we have opened or 
acquired 125 centres 
the net cash balance can be analysed as 
follows
£ million fy 2010 fy 2009
cash cash 
equivalents and liquid 
investments 2046 2451
bank and other loans 89 60
finance leases 42 21
net ﬁ nancial assets
net cash 1915 2370
of the balance of £1915 million £936 
million was held in group immediately 
available for use £653 million was held in 
the regions and £326 million is set aside 
to support letters of credit the business 
has issued and various other 
commitments of the group
risk management and leasing
with the recent publication of an 
exposure draft on lease accounting there 
has been increased focus on the extent of 
our lease liability while the contents of 
any potential new accounting standard 
remain uncertain it is not possible to 
estimate how or what impact on our 
ﬁ nancial statements this might have 
however i can provide some insight into 
our lease exposures
our current annual property related lease 
rentals are circa £400 million per annum 
and the minimum contractual lease 
rentals on a gaap basis total £1557 
million as disclosed in note 27 of our 
audited annual accounts the npv of 
which is circa £1100 million having 
carried out our own analysis of what we 
believe to be our actual exposure taking 
into account commercial reality and from 
past experience we estimate the npv of 
our minimum lease rental to be nearer 
circa £553 million or a little less than one 
and half years of lease rental
principal risks and uncertainties 
the principal risks and uncertainties 
affecting regus plc remain unchanged 
from those detailed in the regus plc 2009 
annual report and accounts
the principal risks and uncertainties 
described in the 2010 annual report and 
accounts are
• risk of economic downturn in 
signiﬁ cant markets
• exposure to movements in property 
markets
• exposure to movements in exchange 
rates
• risks associated with the group 
reorganisation and restructuring and
• risk associated with centrally managed 
applications and systems
related parties
details of related party transactions that 
have taken place in the period can be 
found in note 29 to the 2010 annual 
report and accounts there have been 
no changes to the type of related 
transactions entered into by the group as 
described in the regus plc 2009 annual 
report and accounts that had a material 
effect on the ﬁ nancial statements for the 
period ended 31 december 2010
stephen gleadle
chief financial of cer
21 march 2011
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directors’ report business review
corporate responsibility
practicing sustainable business
being a global business carries great 
responsibility even though our footprint 
is large we seek to keep sustainability 
at the core of how we conduct business 
regus aims to bring employment and 
responsible investment in communities 
around the world while carefully 
considering the environment
our representative to the board for 
corporate responsibility in organisational 
governance is the company secretary 
corporate responsibility cr at regus is 
now overseen by the chief sustainability 
ofﬁ cer and our framework is based on iso 
26000 this comprehensive standard 
provides guidance on social responsibility 
and has seven core subjects as its 
foundation – the environment human 
rights labour practices consumer issues 
fair operating practices organisational 
governance and community involvement 
and development it supports principles and 
guidelines of the united nations un and 
international labour organization ilo 
in supporting the three dimensions of 
sustainability – economic social and 
environmental cr at regus will also 
have three dimensions – stakeholders 
the environment and community 
involvement and development 
as a global company our stakeholders 
are diverse and include individuals 
groups and organisations core to the 
nature of our business key stakeholders 
for regus are our employees customers 
shareholders property agents and 
landlords and suppliers the health 
safety and security of our stakeholders 
is also paramount to our business
our environmental considerations 
include reviewing our carbon footprint 
waste avoidance water usage as well as 
procurement and travel policies in the uk 
regus continues to make solid progress 
in its environmental performance the 
strategy outlined in last year’s annual 
report targeted a 20 reduction in 
carbon footprint in 2010 based on our 
2007 baseline see table opposite whilst 
this target was not met we did achieve a 
1028 reduction and this coupled with 
our successful carbon trust accreditation 
in may 2010 clearly demonstrates that 
we are taking our environmental impact 
and performance seriously the emissions 
metric we are using to measure and track 
our carbon footprint is that of kg of co
2
 
per occupied workstation which has 
been accepted by the carbon trust as 
a unique measure for our business 
ytd rolling kg co
2
 pa per occupied workstation in uk business
dec nov oct sep aug jul jun may apr mar feb jan
150
160
170
180
2008 2009 2010
it remains our intention to reduce 
our carbon footprint by 50 by 
2020 using our 2007 baseline
we recognise that we have not 
achieved our targets in waste water 
and transport reductions as set out in 
our last annual report but in june 2010 
we introduced a behavioural change 
programme to encourage greener 
working this campaign includes a 
variety of behavioural changes coupled 
with a series of energy and carbon 
saving practices across the estate 
each centre now has an appointed 
a greener working champion whose 
primary role is to reduce energy and
water consumption encourage recycling 
and promote greener working amongst 
customers clients and suppliers dry 
mixed recycling was also introduced in 
2010 and is being successfully adopted 
by our staff and customers
our community involvement and 
development will focus on forging 
sustainable relationships with communities 
in the areas of education and skills 
development particularly as they relate to 
business creation our team members will 
continue to support a wide variety of 
charitable organisations large and small 
of particular note in 2010 our us team 
raised more than us50000 for the 
susan g komen charity a grassroots 
breast cancer support network
the above table shows a
• 1028 reduction in the carbon 
footprint per occupied workstation 
from 2007 levels
•  623 reduction in the carbon 
footprint per occupied workstation 
from 2009 levels
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 shareholder and other information
directors’ report corporate governance
board of directors
douglas sutherland 
bc
chairman
douglas was appointed nonexecutive 
director of regus on 27 august 2008 
and was appointed nonexecutive 
chairman on 18 may 2010 he also 
serves as chairman of the nomination 
committee douglas was chief financial 
ofﬁ cer of skype during its acquisition by 
ebay in october 2005 and was also chief 
financial ofﬁ cer at securewave during 
its acquisition by patchlink in july 2007 
prior to this douglas enjoyed a career 
with arthur andersen serving as a 
partner with management responsibilities 
for over a decade douglas is currently 
also a director of hosco kliniken sàrl 
and hosco gruppe sàrl
mark dixon
chief executive of cer
chief executive and founder mark dixon is 
one of europe’s best known entrepreneurs 
since founding regus in brussels belgium 
in 1989 he has achieved a formidable 
reputation for leadership and innovation 
prior to regus he established businesses 
in the retail and wholesale food industry 
recipient of several awards for enterprise 
mark has revolutionised the way business 
approaches its property needs with his 
vision of the future of work
stephen gleadle
chief financial of cer
stephen was appointed chief financial 
ofﬁ cer of regus in 2005 previously he 
served as chief financial ofﬁ cer for 
lastminutecom plc europe’s leading 
independent online travel and leisure 
group prior to this he served as group 
finance director and company secretary 
at synstar plc a paneuropean provider 
of it infrastructure availability services 
stephen’s extensive experience also 
includes ﬁ nancial management positions 
at tarmac plc nfc plc and mars 
confectionery he qualiﬁ ed with 
price waterhouse 
lance browne 
abc
senior independent 
nonexecutive director
lance browne was appointed a non
executive director of regus on 27 august 
2008 and became senior independent 
director on 18 may 2010 lance is vice 
chairman of standard chartered bank 
china limited chairman of china 
goldmines plc nonexecutive vice 
chairman of earthport plc and chairman 
of the imi china advisory board he was 
previously china senior advisor to the city 
of london nonexecutive director of imi 
plc and director of business development 
at powergen international hk
alex sulkowski 
abc
independent nonexecutive director
alex was appointed nonexecutive 
director of regus on 1 june 2010 
he also serves as chairman of the 
audit committee alex has over 30 years 
of experience in international ﬁ nance 
structures private equity tax advice and 
real estate he is currently the managing 
director of third millennium investments 
sa and serves on the board of taxand 
the largest global network of independent 
tax advisers prior to this alex enjoyed a 
career with arthur andersen responsible 
for the belgium and luxembourg tax 
practices prior to joining ernst and young 
in 2002 as the partner responsible for 
the luxembourg tax practice and then 
serving as the managing partner of atoz 
tax advisors from 2004 through 2009
elmar heggen 
abc
independent nonexecutive director
elmar was appointed nonexecutive 
director of regus on 1 june 2010 and 
became chairman of the remuneration 
committee on 24 november 2010 elmar 
has extensive management experience and 
is currently chief financial ofﬁ cer and head 
of the corporate centre at rtl group the 
leading european entertainment network 
where he has held various roles since 2000 
elmar is currently responsible for finance 
legal strategy and business development 
as well as rtl group’ s operations in the 
netherlands france radio luxembourg 
spain and ufa sports elmar began his 
career at the felix schoeller group 
becoming vice president  general 
manager of felix schoeller digital 
imaging in the uk in 1999
the board has a 
blend of experience 
demonstrating 
both depth and 
global perspective
notes
a member of the remuneration committee
b member of the nomination committee
c member of the audit committee
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directors’ report corporate governance
other statutory information
the directors of regus plc société anonyme the “company” 
present their annual report and the audited ﬁ nancial statements 
of the company and its subsidiaries together the “group” for 
the year ended 31 december 2010
directors
the directors of the company who held ofﬁ ce during the 
ﬁ nancial year were 
executive directors
mark dixon 
stephen gleadle
nonexecutive directors 
john matthews resigned 18 may 2010
martin robinson resigned 18 may 2010
lance browne
ulrich ogiermann resigned 31 december 2010
douglas sutherland
elmar heggen appointed 1 june 2010
alex sulkowski appointed 1 june 2010
biographical details for the directors are shown on page 15
details of the directors’ interests and shareholdings are given 
in the remuneration report on pages 25 to 30 
the corporate responsibility statement corporate governance 
statement remuneration report and director statements on 
pages 14 to 30 all form part of this report
principal activity
the company is the world’s leading provider of global ofﬁ ce 
outsourcing services 
business review
the directors have presented a business review as follows
the chief executive’s review and financial review on pages 
7 to 13 respectively address
• review of the company’s business pages 8 to 9
•  trends and factors likely to affect the future development 
performance and position of the business page 9
•  development and performance during the ﬁ nancial year 
pages 10 to 12
•  position of the business at the end of the year page 13
•  principal risks and uncertainties page 13
the corporate responsibility report on page 14 includes 
the sections of the business review in respect of
•  envir onmental matters
•  employees
•  social and community issues
the corporate governance statement on pages 18 to 23 
includes a description of the principal risks and uncertainties 
facing the company 
the directors statements on page 24 include the statutory 
statement in respect of disclosure to auditors 
the directors do not consider any contractual or other relationships 
with external parties to be essential to the business of the group
results and dividends
proﬁ t before taxation for the year was £78 million 2009 
£869 million 
the directors are pleased to recommend a ﬁ nal dividend for 
2010 of £165 million 2009 £152 million being 175 pence 
per share the total dividend for the year will be made up of the 
interim dividend of 085 pence per share paid in october 2010 
2009 08 pence per share paid by regus group limited and 
an additional 175 pence per share 2009 16 pence per share 
which is expected to be paid on 27 may 2011 to shareholders 
on the register at the close of business on 26 april 2011 
policy and practice on payment of creditors 
the group does not follow a universal code dealing speciﬁ cally 
with payments to suppliers but where appropriate our practice 
is to
• agree the terms of payment upfront with the supplier
• ensure that suppliers are made aware of these terms of payment
•  pay in accordance with contractual and other legal obligations
at 31 december 2010 the number of creditor days outstanding 
for the group was 25 days 2009 21 days and the company 
54 days 2009 48 days
going concern 
the directors having made appropriate enquiries have a 
reasonable expectation that the group and the company 
have adequate resources to continue in operational existence 
for the foreseeable future for this reason they continue to 
adopt the going concern basis in preparing the accounts 
on pages 32 to 74
in adopting the going concern basis for preparing the ﬁ nancial 
statements the directors have considered the further 
information included in the business activities commentary 
as set out on pages 8 to 9 as well as the group’s principal 
risks and uncertainties as set out on pages 20 and 21 
based on the performance of the group its ﬁ nancial position 
and cash ﬂ ows the board is satisﬁ ed that the group is well 
placed to manage its business risks successfully despite the 
current uncertain economic outlook
further details on the going concern basis of preparation can 
be found in note 23 to the notes to the accounts on page 57
employees
the group treats applicants for employment with disabilities 
with full and fair consideration according to their skills and 
capabilities should an employee become disabled during their 
employment efforts are made to retain them in their current 
employment or to explore opportunities for their retraining or 
redeployment elsewhere within the group
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 shareholder and other information
political and charitable donations 
it is the group’s policy not to make political donations either 
in the uk or overseas the group made charitable donations 
of £005 million during the year 2009 £01 million
capital structure
the company’s share capital comprises 950969822 issued 
and fully paid up ordinary shares of 1p nominal value in regus plc 
2009 950969822 all ordinary shares have the same rights to 
vote at general meetings of the company and to participate in 
distributions there are no securities in issue that carry special 
rights in relation to the control of the company the company’s 
shares are traded on the london stock exchange 
details of the role of the board of directors the “board” and the 
process for the appointment of directors can be found on pages 
18 to 20
at the company’s annual general meeting held on 18 may 2010 
the shareholders of the company approved a resolution giving 
authority for the company to purchase in the market up to 
95096982 ordinary shares representing approximately 10 
of the issued share capital excluding treasury shares as at 
16 april 2010
details of the company’s employee share schemes can be 
found in the report of the remuneration committee on pages 
25 to 30 the outstanding awards and options do not carry any 
rights in relation to the control of the company
substantial interests
at 21 march 2011 the company has been notiﬁ ed of the following 
interests held in the issued share capital of the company
number of 
ordinary shares
 of issued 
share capital
estorn limited 322028792 3386
prudential plc 132865719 1404
standard life group 46538104 493
blackrock inc 46064455 485
ameriprise financial inc 46441761 492
tree top convertible sicav 45167670 475
 mark dixon indirectly owns 100 of estorn limited
  the interest held by tree top convertible sicav relates to a ﬁ nancial instrument 
convertible into ordinary shares of the company
auditors 
in accordance with the articles of association of the ccompany 
a resolution for the reappointment of kpmg audit sàrl as 
auditors of the company is to be proposed at the forthcoming 
annual general meeting 
approval
this report was approved by the board on 21 march 2011 
on behalf of the board
tim regan 
company secretary 
21 march 2011
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directors’ report corporate governance
corporate governance
the board is committed to the high standards of corporate 
governance set out in the combined code published in june 
2008 “the code” for ﬁ nancial periods beginning after 29 june 
2008 the board is accountable to the company’s shareholders 
and this report describes how the board applied the principles 
of good governance in its prospectus dated 8 september 2008 
the company stated its intention to voluntarily comply with the 
combined code so far as it is practical for a luxembourg 
company to do so 
the board
at 31 december 2010 the board of directors was made up of 
six members comprising the chairman two executive directors 
and three nonexecutive directors biographical details of the 
directors are set out on page 15 
role of the board
the primary role of the board is to provide entrepreneurial 
leadership and to review the overall strategic development of 
the group the board approves the corporate plan and the 
annual budget and reviews performance against targets at every 
meeting through the audit committee the directors ensure the 
integrity of ﬁ nancial information and the effectiveness of ﬁ nancial 
controls and the internal control and risk management system 
the board has delegated authority to the remuneration 
committee to set the remuneration policy for directors and 
senior management the nomination committee recommends 
the appointment of board directors and has responsibility 
for succession planning at board level the various board 
committees the “committees” have authority to make 
decisions in their areas of expertise 
frequency of meetings
there were eleven board meetings during 2010 
the number of meetings of the board and committees and 
individual attendance by the directors are shown below
main board
audit 
committee
remuneration 
committee
nomination 
committee
total meetings 11 5 7 5
mark dixon 11
stephen gleadle 9
john matthews 3 2
martin robinson 3 3 2 2
lance browne 9 5 6 4
ulrich ogiermann 8 5 6 4
douglas sutherland 11 5 7 5
elmar heggen 5 2 4 2
alex sulkowski 6 2 4 2
matters reserved for the board
the board has a formal schedule of matters reserved to it for its 
decision to ensure that no one individual has unfettered powers 
of decision these include
• approval of regulatory announcements including the interim 
and annual ﬁ nancial statements
• terms of reference and membership of the board and 
its committees
• changes to the group’s capital structure
• changes to the group’s management and control structure
• capital investment in excess of £5 million
• material contracts annual value in excess of £5 million
minutes are taken of all board discussions and decisions and all 
directors are encouraged to request inclusion of any unresolved 
concerns that they may have in the board minutes 
roles of board members
there is a clear division of responsibilities between the chairman 
and the chief executive 
the chairman
douglas sutherland is responsible for leadership of the board 
setting its agenda and monitoring its effectiveness he ensures 
effective communication with shareholders and that the board 
is aware of the views of major shareholders he facilitates 
both the contribution of the nonexecutive directors and 
constructive relations between the executive directors and 
nonexecutive directors 
the chairman together with the company secretary are 
responsible for ensuring all directors are properly briefed on 
issues arising at board meetings and that they have full and 
timely access to relevant information 
the chairman is deemed to be independent
john matthews retired from the board with effect from 
18 may 2010 and was replaced as chairman by douglas 
sutherland who joined the board in august 2008
the chief executive
mark dixon is responsible for formulating strategy and for its 
delivery once agreed by the board he creates a framework 
of strategy values organisation and objectives to ensure the 
successful delivery of key targets and allocates decisionmaking 
and responsibilities accordingly 
nonexecutive directors
the nonexecutive directors each bring their own senior level 
of experience and objectivity to the board the independent 
counsel brought to the group by the nonexecutives enhances 
the overall decision making of the board nonexecutives are 
appointed for an initial three year term subject to election by 
shareholders at each annual general meeting “agm” after 
their appointment 
on 18 may 2010 martin robinson senior independent 
nonexecutive director and chairman of the remuneration 
committee retired from the board on 31 december 2010 
ulrich ogiermann independent nonexecutive director and 
chairman of the remuneration committee retired from the 
board on 1 june 2010 elmar heggen and alex sulkowski 
were each respectively appointed as an independent 
nonexecutive director
company secretary 
the company secretary tim regan is responsible for advising 
the board through the chairman on all governance matters 
and for ensuring that appropriate minutes are taken of all board 
meetings and discussions the appointment and removal of the 
company secretary is a matter reserved for the board
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 shareholder and other information
board committees
the board has delegated certain of its governance 
responsibilities to the audit nomination and remuneration 
committees the company secretary acts as secretary to 
all of the board committees and minutes of meetings are 
circulated to all board members 
the terms of reference of the committees have been documented 
and approved by the board and are available on the company’ s 
website wwwreguscom a brief summary of the members activities 
and terms of reference of the committees is provided below 
audit committee
alex sulkowski chairman appointed 1 june 2010
douglas sutherland chairman resigned 18 may 2010
elmar heggen appointed 1 june 2010
martin robinson resigned 18 may 2010
ulrich ogiermann resigned 31 december 2010
lance browne 
the board has delegated the responsibility for applying an 
effective system of internal control and compliance accurate 
external ﬁ nancial reporting fulﬁ lling its obligations under law 
and the combined code and managing the relationship with 
the company’s external auditors to the audit committee the 
committee consists entirely of nonexecutive directors
the audit committee meets at least three times a year at the 
request of the chairman the external auditors the executive 
directors the company secretary and the head of risk 
management attend each meeting
summary terms of reference
• financial reporting – provide support to the board by 
monitoring the integrity of and ensuring that the published 
ﬁ nancial statements of the group and any formal 
announcements relating to the company’s ﬁ nancial 
performance comply fully with the relevant statutes and 
accounting standards 
• internal control and risk systems – review the effectiveness of 
the group’s internal controls and risk management systems
• internal audit – monitor and review the annual internal audit 
programme ensuring that the internal audit function is adequately 
resourced and free from management restrictions review and 
monitor responses to the ﬁ ndings and recommendations of 
the internal auditors 
• external audit – the audit committee advises the board on 
the appointment reappointment remuneration and removal 
of the external auditors 
• employee concerns – the audit committee reviews the 
company’s arrangements under which employees may in 
conﬁ dence raise any concerns regarding possible wrongdoing 
in ﬁ nancial reporting or other matters the audit committee 
ensures that these arrangements allow proportionate and 
independent investigation and appropriate followup action 
the audit committee also meets independently with the 
company’s auditors and with the head of risk management 
to informally discuss matters of interest
external auditors
kpmg audit sàrl were the company’s auditors for the year 
ended 31 december 2010 for 2011 the audit committee 
has recommended to the board that a resolution to reappoint 
kpmg audit sàrl as the company’s auditors be proposed 
at the agm the audit committee will continue to keep under 
review the independence and objectivity of the external auditors 
the effectiveness of the audit process and the rotation of the 
lead audit partner
the scope and extent of nonaudit work undertaken by the 
company’s external auditor is monitored by and above certain 
thresholds requires prior approval from the audit committee 
to ensure that the provision of nonaudit services does not 
impair their independence or objectivity during the year kpmg 
performed due diligence work on certain acquisitions kpmg is 
prohibited from providing services that would be considered to 
jeopardise their independence such as book keeping services 
valuations and system design 
remuneration committee
elmar heggen chairman appointed 1 june 2010 as a member 
of the committee and 31 december 2010 as chairman
martin robinson chairman resigned 18 may 2010
lance browne
alex sulkowski appointed 1 june 2010
ulrich ogiermann chairman appointed as chairman 18 may 
2010 and resigned from committee 31 december 2010
douglas sutherland resigned 18 may 2010
details of the remuneration committee are set out in the 
remuneration report on pages 25 to 30 
nomination committee
douglas sutherland chairman appointed 18 may 2010
john matthews chairman resigned 18 may 2010
martin robinson resigned 18 may 2010
lance browne
ulrich ogiermann resigned 31 december 2010
alex sulkowski appointed 1 june 2010
elmar heggen appointed 1 june 2010
the committee meets as required during the year to consider 
matters delegated to it under its terms of reference board 
effectiveness performance and leadership were discussed 
informally by the board as a whole 
summary terms of reference
• board appointment and composition – to regularly review 
the structure size and composition of the board and make 
recommendations on the role and nomination of directors for 
appointment and reappointment to the board for the purpose 
of ensuring a balanced board in respect of skills knowledge 
and experience 
• board committees – to make recommendations to the board 
in relation to the suitability of candidates for membership of the 
audit and remuneration committees the appointment and 
removal of directors are matters reserved for the full board 
• board effectiveness – to assess the role of chairman and 
chief executive and make appropriate recommendations 
to the board
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• board performance – assist the chairman with the annual 
performance evaluation to assess the overall and individual 
performance and effectiveness of the board 
• leadership – to remain fully informed about strategic issues 
and commercial matters affecting the company and to keep 
under review the leadership needs of the organisation to 
enable it to compete effectively 
principal risks and uncertainties
there are a number of risks and uncertainties which could have 
an impact on the group’s longterm performance the group 
has a risk management structure in place designed to identify 
manage and mitigate business risks risk assessment and 
evaluation is an essential part of the annual planning budgeting 
and forecasting cycle 
the directors have identiﬁ ed the following principal risks and 
uncertainties affecting the company these do not constitute 
all of the risks facing the group 
economic downturn in signi cant markets
the group has a signiﬁ cant proportion of its centres in the 
americas predominantly the usa and europe an economic 
downturn in these markets could adversely affect the group’s 
operating revenues thereby reducing operating performance 
or in an extreme downturn resulting in operating losses
generally the terms on which the group earns revenues from 
customers and pays its suppliers principally landlords are 
matched to reduce working capital needs however a reduction 
in revenues with no immediate decline in the cost base could 
result in signiﬁ cant funding shortfalls in the business any 
funding shortfall may require the group to seek external 
funding or sell assets in the longer term
in addition competition may increase as a result of landlords 
offering surplus space at discounted prices and companies 
seeking to reduce their costs by subletting space these 
factors could result in reduced revenue for the group as the 
prices it is able to charge customers would be reduced 
the group has taken a number of actions to mitigate this risk
• the group has entered into performance based leases 
with landlords where rent costs vary with revenues earned 
by the centre 
• building lease contracts include break clauses at periodic 
intervals to allow the group to exit leases should they become 
onerous in cities with a number of centres this allows the 
group to stagger leases such that an orderly reduction in 
exposure to the location may be facilitated 
• the proﬁ le of clients in a centre is continually reviewed to 
avoid undue reliance on a particular client or clients in a 
particular industry group 
additionally in the event of a downturn the group has a number 
of options for mitigating losses for example by closing centres 
at lease break points 
the group’s strategy also focuses its growth into emerging 
markets that will reduce the proportion of the group’s revenue 
generated from the usa and europe over time and provide 
better protection to the group from an economic downturn 
in a single market
exposure to movements in property markets
a number of the group’s lease contracts contain market rent 
review clauses this means that the costs of these leases may 
vary as a result of external movements in the property market 
in particular in the uk lease contracts typically contain ‘upward 
only’ rent reviews which means that should open market rents 
decrease then regus could be exposed to paying higher than 
market rent in these locations 
if the group is unable to pass on increased rent costs to customers 
due to local property market conditions then this could result in 
reduced proﬁ tability or operating losses in these markets 
equally for group lease contracts without market rent review 
clauses the group may beneﬁ t from paying below market rent 
in a market with increasing open market rents this may allow 
the group to improve proﬁ tability if the movements in open 
market rents are passed on to clients
the length of the group’s leases or the period after which the 
group can exercise any break option in the leases is usually 
signiﬁ cantly longer than the duration of the group’s contracts 
with its customers if demand falls the group may be unable 
to increase or maintain occupancy or price levels and if revenue 
declines the group may be unable to reduce the lease cost 
base additional costs could be incurred if the group disposes 
of unproﬁ table centres 
changes in assumptions underlying the carrying value 
of certain group assets could result in impairment
regus completes a review of the carrying value of its assets 
annually to assess whether those carrying values can be 
supported by the net present value of future cashﬂ ows 
derived from such assets this review examines the continued 
appropriateness of the assumptions in respect of which the 
carrying values of certain of the group’s assets are based this 
includes an assessment of discount rates and longterm growth 
rates and timing and quantum of future capital expenditure due 
to the group’s substantial carrying value of goodwill under ifrs 
the revision of any of these assumptions to reﬂ ect current or 
anticipated changes in operations or the ﬁ nancial condition of the 
group could lead to an impairment in the carrying value of certain 
assets in the group while impairment does not impact reported 
cash ﬂ ows it does result in a noncash charge in the consolidated 
income statement and thus no assurance can be given that any 
future impairments would not affect the company’s reported 
distributable reserves and therefore its ability to make distributions 
to its shareholders or repurchase its shares 
the group’s geographic expansion may increase exposure 
to unpredictable economic political and legal risks
political economic and legal systems in emerging markets 
historically are less predictable than in countries with more 
developed institutional structures as the group increasingly 
enters into emerging markets the value of the group’s 
investments may be adversely affected by political economic 
and legal developments which are beyond the group’s control
directors’ report corporate governance
corporate governance continued
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 shareholder and other information
exposure to movements in exchange rates
the group has signiﬁ cant overseas operations whose businesses 
are generally conducted in the currency of the country in which 
they operate the principal exposures of the group are to the 
us dollar and the euro with approximately 38 of the group’s 
revenues being attributable to the us dollar and 18 to the 
euro respectively 
given that transactions generally take place in the functional 
currency of group companies the group’s exposure to 
transactional foreign exchange risk is limited however the 
translation into sterling of overseas proﬁ ts and net assets will be 
affected by prevailing exchange rates in the event that either the 
us dollar or euro were to signiﬁ cantly depreciate or appreciate 
against sterling this would have an adverse or beneﬁ cial impact 
on the group’s reported performance and position respectively 
the ﬁ nancial risk management objectives and policies of the 
group together with an analysis of the exposure to such risks 
are set out in note 23 of the accounts wherever possible the 
group attempts to create natural hedges against currency 
exposures through matching income and expense and 
assets and liabilities in the same currency 
given the continued volatility in exchange rates in january 2009 
the board approved a policy which allows the group to hedge 
subject to strict limits the rates at which overseas earnings are 
translated this will enable the group to have more certainty 
over the sterling value of these earnings
group structure
as a jerseyincorporated company having its place of central 
administration head ofﬁ ce in luxembourg and being tax 
resident in luxembourg regus plc is required to comply with 
both jersey law and luxembourg law where applicable in 
addition regus plc’s ordinary shares are listed on the ofﬁ cial 
list of the ukla and admitted to trading on the main market 
of the london stock exchange it is possible that conﬂ icts may 
arise between the obligations of regus plc under the laws of 
each of these jurisdictions or between the applicable laws and 
the listing rules if an irreconcilable conﬂ ict were to occur then 
regus plc may not be able to maintain its status as a company 
tax resident in luxembourg
the group manages the risk that a signiﬁ cant tax liability could 
arise by taking appropriate advice both in carrying out the 
group reorganisation and on an ongoing basis in addition the 
group believes that under current laws and regulations the risk 
of irreconcilable conﬂ icts between current laws and regulations 
impacting regus plc is also low
centrally managed applications and systems
the group has moved to a centrally managed applications and 
systems environment with the resultant effect that all systems 
and applications are housed in a central data centre should the 
data centre be impacted as a result of circumstances outside 
the group’s control there could be an adverse impact on the 
group’s operations and therefore its ﬁ nancial results this risk 
is managed through a detailed service arrangement with our 
external data centre provider which incorporates appropriate 
backup procedures and controls
internal controls
the board has ultimate responsibility for maintaining a 
sound system of internal control and for periodically reviewing 
its effectiveness 
in accordance with the guidance set out in the turnbull report 
“internal control guidance for directors on the combined 
code” an ongoing process has been established for identifying 
managing and evaluating the risks faced by the group the 
group’s system of internal controls is designed to
• facilitate an effective and efﬁ cient response to risks which 
might affect the achievement of the group’s objectives
• safeguard assets from inappropriate use or from loss or fraud
• help ensure the quality of internal and external ﬁ nancial 
reporting and
• help ensure compliance with applicable laws and regulations
no system of internal control can provide absolute assurance 
against material misstatement or loss the group’s system of 
controls helps to manage rather than eliminate the risk of failure 
to achieve business objectives and can only provide reasonable 
assurance that potential problems will normally be prevented or 
will be detected in a timely manner for appropriate action
strategy and risk management
the board conducts regular reviews of the group’s strategic 
direction country and regional strategic objectives quarterly 
plans and performance targets for 2011 have been set by the 
executive directors and are regularly reviewed by the main 
board in the context of the group’s overall objectives 
there is an ongoing process for identifying evaluating and 
managing the risks faced by the group major business risks and 
their ﬁ nancial implications are appraised by the responsible 
executives as a part of the budget process and these are endorsed 
by regional management key risks are reported to the board and 
the audit committee the appropriateness of controls is considered 
by the executives having regard to costbeneﬁ t materiality and the 
likelihood of risks crystallising key risks and actions to mitigate 
those risks are regularly considered by the board and are formally 
reviewed and approved by the board annually 
control environment
high standards of behaviour are demanded from staff at all 
levels in the group the following procedures are in place to 
support this
• the induction process is used to educate new team members on 
the standards required from them in their role including business 
ethics and compliance regulations and internal policies
• all team members are provided with a copy of the ‘team 
member handbook’ which contains detailed guidance on 
employee policies and the standards of behaviour required 
of staff
• policies and procedures manuals and guidelines are readily 
accessible through the group’s intranet site and
• operational audit and selfcertiﬁ cation tools which require 
individual centre managers to conﬁ rm their adherence to 
group policies and procedures 
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to underpin the effectiveness of controls it is the group’s policy 
to recruit and develop appropriately skilled management and 
staff of high calibre integrity and with appropriate disciplines 
the group has also established an externally hosted 
whistleblowing channel to all staff to report issues and 
concerns in conﬁ dence 
control processes
the company has had procedures in place throughout the year 
and up to 21 march 2011 the date of approval of this annual 
report which accord with the internal control guidance for 
directors on the combined code these include the following
• the board normally meets with regional executives every six 
months to carry out a wideranging review of group and 
regional ﬁ nancial performance business development 
opportunities group infrastructure and general group 
management issues 
• the annual budget process is driven from senior management 
meetings budgets are prepared at a detailed level by business 
centre and rollup at a country and regional level the executive 
directors review regional budgets to ensure consistency with 
regional strategic objectives and the ﬁ nal budget is reviewed 
and approved by the board the approved budget forms the 
basis of business management throughout the year 
• operational reports and ﬁ nancial reports are prepared and 
distributed to the board on a monthly basis actual results are 
reviewed against budget and forecast and explanations are 
received for all material movements 
• key policies and control procedures including ﬁ nance operations 
and health and safety are documented in manuals having 
groupwide application these are available to all staff on the 
group’s intranet system
• the board has formal procedures in place for the review and 
approval of investment and acquisition projects the group 
investment committee comprising the executive directors 
reviews all investments prior to approval by the board 
additionally the form and content of investment proposals 
are standardised to facilitate the review process 
• the group has clearly delegated authority limits with regard 
to the approval of transactions purchase orders must be 
obtained in advance for all purchases in excess of £1000 and 
• numerous reports are generated from the group’s sales and 
operating systems on a daily weekly and monthly basis to 
provide management at all levels with performance data for 
their area of responsibility which helps them to focus on 
operational issues that may require their input 
information and communications processes
the senior management team are integrally involved in the 
business and to this extent regularly discuss and address issues 
and opportunities with regional and functional teams formal 
business review meetings chaired by mark dixon are held with 
the regional teams and functional heads on a monthly basis
regular staff communications include general information on 
the business from senior management as well as operational 
guidance on changes in policies and procedures 
sales staff and operational management periodically attend 
regional sales or management conferences at which information 
on operational issues is shared delegates present the key 
messages to employees who did not attend the event 
monitoring effectiveness
the following key mechanisms were available to the board at 
various times during the year in the conduct of its review of 
internal controls
• review of the group’s monthly management accounts which 
contain detailed analysis of ﬁ nancial performance for the group 
and each of the group’s geographic reporting segments 
• an ongoing process of review through board meetings 
senior management meetings and divisional reviews as well 
as other management meetings for the formal identiﬁ cation of 
signiﬁ cant operational risks and mitigating control processes 
• internal audit reviews of key risk areas the ﬁ ndings and 
recommendations of each review are reported to 
management and the audit committee
• quarterly postinvestment reviews are presented to the 
audit committee to allow appraisal of the effectiveness 
of investment activity and 
• a biannual internal control selfassessment and management 
certiﬁ cation exercise covering the effectiveness of ﬁ nancial 
and operational controls this is based on a comprehensive 
internal control questionnaire collated and reviewed by internal 
audit results and any necessary mitigating action plans are 
presented to senior management and the board
other matters
board performance evaluation
a formal evaluation of the performance of the board was 
carried out by the chairman the aim is to ensure continuous 
improvement in the functioning of the board
arising from the review carried out in 2010 the board has 
agreed to ongoing development in the following areas
• strategy planning at board level and
• submission of information to the board 
training and resources 
appropriate training is made available for all new directors to 
assist them in the discharge of their responsibilities training 
is provided on an ongoing basis to meet particular needs with 
the emphasis on governance and accounting developments 
during the year the company secretary tim regan provided 
updates to the board on relevant governance matters whilst 
the audit committee regularly considers new accounting 
developments through presentations from management 
internal audit and the external auditors the board programme 
includes presentations from management which together with 
site visits increase the nonexecutive directors understanding 
of the business and sector 
directors’ report corporate governance
corporate governance continued
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 shareholder and other information
all directors have access to the advice and services of the 
company secretary who is responsible for ensuring that 
board procedures corporate governance and regulatory 
compliance are followed and complied with should a director 
request independent professional advice to carry out his duties 
such advice is available to him at the company’s expense
directors and of cers insurance
the group’s insurance programme is reviewed annually and 
appropriate insurance cover is obtained to protect the directors 
and senior management in the event of a claim being brought 
against any of them in their capacity as directors and ofﬁ cers 
of the company
dialogue with shareholders 
regus reports formally to shareholders twice a year with 
the interim results announced in augustseptember and the 
preliminary ﬁ nal results announced normally in march there 
are programmes for the chief executive and chief financial 
ofﬁ cer to give presentations of these results to the company’s 
institutional investors analysts and media in london and other 
locations the chief executive and chief financial ofﬁ cer 
maintain a close dialogue with institutional investors on the 
company’s performance governance plans and objectives 
these meetings also serve to develop an ongoing understanding 
of the views and any concerns of the company’s major 
shareholders the nonexecutive directors are given regular 
updates as to the views of the institutional shareholders and 
the chairman is available to meet with these shareholders on 
request the principal communication with private shareholders 
is through the annual report the interim report and the agm
the company has engaged the services of brunswick group plc 
as their investor relations adviser 
agm
the agm will be held in may in luxembourg and will be 
attended other than in exceptional circumstances by all 
members of the board in addition to the formal business of 
the meeting there is normally a trading update and shareholders 
are invited to ask questions and are given the opportunity to 
meet the directors informally afterwards 
notice of the agm together with any related documents are 
mailed to shareholders at least 20 working days before the 
meeting and separate resolutions are proposed on each issue 
the level of proxy votes cast and the balance for and against 
each resolution together with the level of abstentions if any 
are announced to the meeting following voting by a show of 
hands substantial resolutions of the shareholders require a 
poll to be taken
financial and other information is made available on the 
company’s website wwwreguscom
reelection of the board 
from 1 january 2011 all directors submit themselves 
for reelection by shareholders annually and directors 
appointed during the period are required to seek reelection 
at the next agm
nonexecutive directors are subject to the reelection 
requirements and serve the company under letters of 
appointment which have an initial threeyear term
compliance statement
the company has complied with the provisions set out in 
section 1 of the combined code throughout the year ended 
31 december 2010 with the exception of the following
• provision d11 – the senior independent nonexecutive 
director lance browne does not have regular meetings 
with major external shareholders 
the board considers it appropriate for the chairman to be the 
main conduit with investors rather than the senior independent 
nonexecutive director the chairman participates in investor 
meetings and makes himself available for questions in person 
at the time of major announcements the chairman regularly 
updates the board and particularly the senior independent 
nonexecutive director on the results of his meetings and the 
opinions of investors on this basis regus considers that the 
senior independent nonexecutive director is able to gain full 
awareness of the issues and concerns of major shareholders 
notwithstanding this policy all directors have a standing 
invitation to participate in meetings with investors
rg012p14p31aw2indd   23 07042011   0915 24 regus plc annual report and accounts 2010   
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directors’ report corporate governance
director statements
statement of directors responsibilities 
in respect of the annual report and 
ﬁ nancial statements
the directors are responsible for preparing the annual report 
and the group and parent company ﬁ nancial statements in 
accordance with applicable law and regulations 
company law requires the directors to prepare group and 
parent company ﬁ nancial statements for each ﬁ nancial year 
under that law they are required to prepare the group ﬁ nancial 
statements in accordance with ifrss as adopted by the eu and 
applicable law and have elected to prepare the parent company 
ﬁ nancial statements in accordance with luxembourg generally 
accepted accounting practice and applicable law 
under company law the directors must not approve the ﬁ nancial 
statements unless they are satisﬁ ed that they give a true and fair 
view of the state of affairs of the group and company and their 
proﬁ t or loss for the period 
in preparing each of the group and parent company ﬁ nancial 
statements the directors are required to 
• select suitable accounting policies and then apply 
them consistently
• make judgements and estimates that are reasonable 
and prudent
• for the group ﬁ nancial statements state whether they 
have been prepared in accordance with ifrss as adopted 
by the eu
• for the parent company ﬁ nancial statements state whether 
applicable luxembourg accounting standards have been 
followed subject to any material departures disclosed and 
explained in the parent company ﬁ nancial statements and
• prepare the ﬁ nancial statements on the going concern basis 
unless it is inappropriate to presume that the parent company 
and group will continue in business
the directors are responsible for keeping adequate accounting 
records that are sufﬁ cient to show and explain the companies’ 
transactions and which disclose with reasonable accuracy 
at any time the ﬁ nancial position of the parent company and 
to enable them to ensure that its ﬁ nancial statements comply 
with applicable law and regulations 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 a 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 ﬁ nancial information included on the 
company’ s website the legislation in jersey and luxembourg 
governing the preparation and dissemination of ﬁ nancial 
statements may differ from legislation by jurisdiction 
the directors who held ofﬁ ce at the date of approval of this 
directors’ report conﬁ rm that
• so far as they are aware there is no relevant audit information 
of which the company’s auditor is unaware and
• each director has taken all the steps that he ought to have 
taken as a director in order to make himself aware of any 
relevant audit information and to establish that the company’s 
auditor is aware of that information
these annual accounts have been approved by the directors 
of regus plc the directors conﬁ rm that the annual accounts 
have been prepared in accordance with applicable law and 
regulations and that they include a fair review of the development 
and performance of the business and the position of the parent 
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
we the directors of the company conﬁ rm that to the best 
of our knowledge
• the ﬁ nancial statements prepared in accordance with the 
applicable set of accounting standards give a true and fair 
view of the assets liabilities ﬁ nancial position and proﬁ t or 
loss of the company and the undertakings included in the 
consolidation as a whole and
• the directors’ report including content contained by 
reference includes a fair review of the development and 
performance of the business and the position of the issuer 
and the undertakings included in the consolidation taken 
as a whole together with a description of the principal risks 
and uncertainties that they face 
by order of the board
mark dixon  stephen gleadle
chief executive ofﬁ cer chief financial ofﬁ cer
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 shareholder and other information
directors’ report corporate governance
remuneration report
the report has been prepared by the remuneration committee 
the “committee” of regus plc société anonyme the “company” 
and approved by the company’s board of directors the “board” 
the report complies with the uk directors’ remuneration 
report regulations 2002 and in compliance with such 
regulations a separate resolution approving this report will be 
put to shareholders at this year’s annual general meeting 
this report sets out the company’s policy on directors’ 
remuneration for the forthcoming year as well as information 
on remuneration paid to directors during the year
information relating to the emoluments and pension contributions 
of the directors and directors’ interests in the company’s shares 
and under employee share plans has been audited 
unaudited information
membership and responsibilities of the committee 
the committee is made up of nonexecutive directors and 
chaired by elmar heggen the company’s senior independent 
nonexecutive director during the year the members of the 
committee were
• elmar heggen appointed 1 june 2010
• lance browne
• alex sulkowski appointed 1 june 2010
• ulrich ogiermann resigned 31 december 2010
• douglas sutherland resigned 18 may 2010
• martin robinson resigned 18 may 2010
the committee met seven times during the year
the committee has responsibility for determining in consultation 
with the chairman andor chief executive as appropriate the 
total remuneration package of each executive director and 
senior manager including bonuses incentive payments and 
share options or other share awards
the board has delegated to the committee responsibility to
• determine and agree with the board the remuneration policy 
for the executive directors and other senior management 
positions within the regus group the “group” and
• approve the design of and determine targets for any 
performancerelated pay schemes operated by the 
company and approve the total annual payments 
made under such schemes 
the committee received advice on executive 
remuneration from deloitte
the committee’s terms of reference are available on the 
company’s website wwwreguscom the members of the 
committee attend the company’s annual general meeting 
and are available to answer shareholders’ questions about 
directors’ remuneration 
compliance with the best practice provisions
in accordance with the board’s commitment to maintaining 
high standards of corporate governance the committee 
has complied with all remunerationrelated aspects of the 
combined code on corporate governance during the year 
remuneration policy 
the principal objectives of the committee’s remuneration 
policy are
• to focus on rewarding exceptional pay for exceptional 
performance executives should be focused on delivering 
exceptional returns to shareholders over both the short and 
long term and be given the opportunity to receive exceptional 
levels of reward if such performance is delivered conversely 
if returns are conservative compensation levels should be 
extremely conservative 
• to provide remuneration packages that will attract retain and 
motivate people of the highest calibre and experience needed 
to shape and execute the company’s strategy and to deliver 
exceptional shareholder value 
the guiding principles which the committee has regard to 
and balances as far as practicable in determining policy 
and objectives for 2010 and future years are
•  to maintain a competitive package of total compensation 
commensurate with comparable packages available with 
similar companies operating in similar markets
• to make a signiﬁ cant percentage of potential maximum 
reward conditional on short and longterm performance
• to ensure that the interests of the executives are closely 
aligned with those of the company’s shareholders through 
the provision of sharebased incentives
• to link reward to the satisfaction of targeted objectives 
which are the main drivers of shareholder value and
• to be sensitive in determining executive directors’ 
remuneration to pay and employment conditions 
throughout the group
in 2011 the committee intends to review the longterm 
incentive arrangements for executive directors
the table below illustrates the balance between ﬁ xed 
and performancerelated variable compensation for each 
executive director for the year ended 31 december 2010 
mark dixon
chief executive ofﬁ cer
stephen gleadle
chief financial ofﬁ cer 
fixed 450 468
variable 550 532
fixed compensation comprises salary beneﬁ ts and pension 
contributions variable compensation only comprises the total fair 
value of share awards granted in the year and the annual cash 
bonus payable in relation to the year ended 31 december 2010 
the main elements of the packages and the performance 
conditions are described below 
nonexecutive directors are remunerated with fees set at 
levels that are sufﬁ cient to attract and retain their services 
and are in line with market rates the nonexecutive directors 
do not receive any pension or other beneﬁ ts other than 
appropriate expenses nor do they participate in any bonus 
or share option schemes
rg012p14p31aw2indd   25 07042011   0915 26 regus plc annual report and accounts 2010   
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service contracts
details of contracts currently in place for directors are as follows
effective 
date of contract term
notice period 
and maximum 
provision for 
compensation
executive
mark dixon 141008 – 12 months
stephen gleadle 180808 – 12 months
nonexecutive
elmar heggen 010610 3 yrs 6 months
lance browne 270808 3 yrs 6 months
alex sulkowski 010610 3 yrs 6 months
douglas 
sutherland 270808 3 yrs 6 months
remuneration packages 
the remuneration for executive directors during the year 
comprised a basic salary a beneﬁ t package participation in the 
annual bonus scheme and participation in the company’s share 
incentive arrangement the regus plc coinvestment plan “cip” 
for 2011 the remuneration framework for executive directors 
will remain unchanged with the exception that no awards will be 
made under the coinvestment plan the committee intends to 
review the company’s longterm incentive arrangements for 
executive directors in 2011
basic salary and bene ts 
the committee is intending to review the salaries for the chief 
executive ofﬁ cer and chief financial ofﬁ cer during 2011 at the 
moment they are unchanged from 2009 being £522750 and 
£300000 respectively 
beneﬁ ts comprise a company car or allowance fuel private 
medical insurance and a disturbance allowance
annual bonus scheme
the committee believes ﬁ rmly in the ﬁ nancial effectiveness 
of shortterm incentives accordingly incentive schemes are 
widely used across the business 
the committee sets bonus targets and eligibility each year 
the maximum bonus potential for the executive directors for the 
year ending 31st december 2010 was 200 of salary consisting 
of a standard bonus 100 of salary and a discretionary bonus 
100 of salary for exceptional performance
the committee has determined that the ﬁ nancial measures 
and targets required for the discretionary bonus were not 
achieved and therefore no bonus will be paid in respect of this 
element the committee has determined that there was a partial 
achievement against the criteria for the standard bonus and as 
such the chief executive ofﬁ cer and chief financial ofﬁ cer will 
each receive a cash bonus equal to 375 of salary 19 of 
the maximum bonus potential the committee believes that 
this level of payout provides a fair reward for the company’s 
performance during the year however no awards will be made to 
the executive directors under the coinvestment plan in 2011
for the year ending 31 december 2011 the committee has 
decided that the maximum bonus potential for executive directors 
will remain unchanged at a maximum of up to 200 of salary 
the annual bonus will be assessed against the achievement of 
stretching short term ﬁ nancial and individual performance targets 
it is intended that up to the ﬁ rst 100 of salary will be paid in 
cash and the remainder up to 100 of salary will be deferred 
for a period of up to three years and delivered in the form of 
ordinary shares in the company 
the vesting of the deferred element will be subject to the 
achievement of a relative total shareholder return “tsr” target 
over a three year period as follows
regus tsr  achieved relative to 
ftse all share total return index  of shares vesting
100 nil
above 100 but below 101 25
for each complete 1 above 100  075
200 or above 100
 over three years’ performance
note the all share index was considered the most appropriate relative 
measure three being no obvious comparator group or sector that relates 
to the company’s business
the deferred shares award will be made under the ltip section 
of cip discussed in more detail below 
bonuses are nonpensionable 
nonexecutive directors do not receive a bonus 
pension bene ts
the executive directors participate in the company’s money 
purchase personal pension scheme the company matches 
contributions up to a maximum of 70 of basic salary the 
committee considers that the pension beneﬁ ts of the executive 
directors are low compared with comparative companies but 
prefers to offer enhanced variable compensation rather than 
a ﬁ xed additional pension contribution
the group does not operate a deﬁ ned beneﬁ t pension scheme 
and has no plans to introduce such a scheme
long term incentives
overview
the company operates three longterm incentive plans the cip  
the regus plc share option scheme and the regus plc 2008 
value creation plan the “vcp” 
coinvestment plan “cip”
the committee is keen to encourage executive directors and 
senior executives to build signiﬁ cant shareholdings in relation 
to their remuneration
as such as a condition of participation in the cip  it is expected 
that members will over time build up a shareholding equivalent 
to two times their salary using shares acquired from the scheme 
there are two elements to the cip
the ﬁ rst element operates in conjunction with the annual bonus 
whereby a gross bonus of up to 50 of salary will be taken as a 
deferred amount of shares “investment shares” to be released 
at the end of a deﬁ ned period of not less than three years with 
the balance paid in cash 
directors’ report corporate governance
remuneration report continued
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regus plc annual report and accounts 2010 27
wwwreguscominvestor
 shareholder and other information
awards of matching shares are linked to the number of 
investment shares awarded and will vest depending on the 
company’s future performance see below matching shares 
are awarded at no cost to the participants
the maximum number of matching shares which can be 
awarded to a participant in any calendar year under the cip 
is 200 of salary as such the maximum number of matching 
shares which can be awarded based on investment shares 
awarded is in the ratio of 41 
the second element of the cip provides for the committee to 
make standalone longterm incentive awards “ltips” without 
reference to annual bonus up to a maximum of 100 of salary 
per calendar year an ltip is a conditional right over a speciﬁ ed 
number of shares with the release being dependent on the 
extent to which if at all the challenging performance conditions 
set by the committee at the time of the ltip award are satisﬁ ed
grants during the year ending 31 december 2010
mark dixon
stephen 
gleadle
ltip award face value age salary 100 100
fair value of ltip award £492580 £282685
fair value of ltip award as a 
age of salary 94 94
the fair value was calculated by taking the face value of the shares on the date of 
award and adjusting this value by the historic probability of performance conditions 
being satisﬁ ed at this date in accordance with the principles of ifrs 2 
during 2011 the committee intends to review the company’s 
policy on longterm incentive awards to executive directors 
no awards will be made to the executive directors under the 
cip in 2011
share option scheme 
the options granted to executive directors prior to the 
introduction of the cip are set out below the company 
continues to grant options on an ad hoc basis to certain 
nonparticipants of the cip 
regus plc 2008 value creation plan the “vcp” 
the vcp was introduced in 2008 as a oneoff award with 
the objective of delivering exceptional rewards to participants 
provided absolute returns to shareholders are exceptional 
the vcp operates over a ﬁ ve year period from may 2008 to march 
2013 participants in the vcp are granted entitlements “vcp 
entitlements” to receive a maximum number of shares which shall 
be earned by the conversion of the vcp entitlements into an option 
or series of options the “vcp options” which may be granted on 
certain dates the “measurement dates” based on the company’ s 
share price performance the exercise price for vcp options will be 
the closing share price on the date of the company’ s 2008 agm
vcp entitlements granted in 2008
 mark dixon stephen gleadle
number of shares subject 
to vcp entitlement 35m 30m
vcp entitlements hold no value
the share price of the company will be calculated at each 
measurement date and compared against a matrix of extremely 
stretching ﬁ xed share price targets to determine the number 
of shares subject to the vcp entitlement which a vcp option 
will be granted over if a lower share price target is achieved 
a vcp option shall be granted over a lesser number of shares 
with the ability for the balance to be received at a subsequent 
measurement date subject to relevant share price targets 
being achieved
the share price targets for the vcp entitlements granted 
in 2008 are as set out in the following table
measurement date
31032010 31032011 31032012 31032013
shares awarded less shares already earned
share price less 
than £260 – – – –
share price is 
more than £260 
but less than £350 25m 18m 12m 06m
share price is 
more than £350 
but less than £450 35m 25m 18m 12m
share price is £450 
or more 35m 25m 18m
the number of ordinary shares above are based on the entitlements of the chief 
executive ofﬁ cer for the chief financial ofﬁ cer the number of ordinary shares will 
be lower but based on the same ratios
in respect of the ﬁ rst and second measurement dates 
31 march 2010 and 31 march 2011 respectively the 
company’s share price was below the target and no vcp 
entitlements vested
2010 2009 2008 2007 2006 2005 2004 2003
total shareholder return tsr
regus ftse all share ftse 250
20
0
20
40
60
80
100
120
140
the above graph shows the company’s performance 
measured by tsr for the group compared with the 
performance of the ftse 250 index and the all share index 
the committee consider the ftse 250 index relevant since 
it is an index of companies of similar size to the company 
as detailed earlier in the report the company considers its 
tsr performance for share awards under the cip in 
comparison to that of the all share index
external appointments
as at 31 december 2010 the executive directors did not hold 
any external positions for which they received fees executive 
directors are permitted to accept appointments on external 
boards or committees so long as these are not deemed to 
interfere with the business of the group any fees received in 
respect of these appointments would be retained directly by 
the relevant executive director 
rg012p14p31aw2indd   27 07042011   0915 28 regus plc annual report and accounts 2010   
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directors’ emoluments
the aggregate emoluments excluding pensions of the directors were as follows
2010
salary 
£’000
fees
£’000
beneﬁ ts
£’000
compensation 
for loss of ofﬁ ce
£’000
bonus
£’000
total
£’000
chairman
douglas sutherland 1013 1013
executive
mark dixon 5228 – 34 1960 7222
stephen gleadle 3000 – 267 1125 4392
non executive 
lance brown 512 512
elmar heggen 238 238
alex sulkowski 268 268
john matthews 977 977
martin robinson 276 276
ulrich ogiermann 437 437
8228 3721 301 3085 15335
2009
salary 
£’000
fees
£’000
beneﬁ ts
£’000
compensation for 
loss of ofﬁ ce
£’000
bonus
£’000
total
£’000
chairman
john matthews 1379 731 2110
executive
mark dixon 5228 – 682 – 5910
stephen gleadle 3000 – 264 – 3264
non executive 
martin robinson 23 572 595
lance browne 475 475
ulrich ogiermann 400 400
douglas sutherland 460 460
8228 2737 946 1303 – 13214
mark dixon was the highest paid director in both 2010 and 2009 beneﬁ ts include car and fuel allowance medical insurance and 
life assurance and for stephen gleadle a disturbance allowance up to 30 september 2010
pension contributions
£’000 2010 2009
mark dixon 366 366
stephen gleadle 210 210
576 576
directors’ report corporate governance
remuneration report continued
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regus plc annual report and accounts 2010 29
wwwreguscominvestor
 shareholder and other information
directors’ share interests 
the following directors held beneﬁ cial interests in the share capital of the company at 31 december 2009 31 december 2010 
and 21 march 2011
21 march 2011
ordinary shares of 1p
31 december 2010
ordinary shares of 1p
31 december 2009
ordinary shares of 1p
executive
mark dixon
a
322028792 322028792 320141288
stephen gleadle 326387 326387 121500
nonexecutive
john matthews na na 1031082
martin robinson na na 215978
lance browne 0 0 0
ulrich ogiermann na 71134 17146
douglas sutherland 350000 350000 350000
elmar heggen 0 0 0
alex sulkowski 0 0 0
a the interests of mark dixon are held indirectly through estorn limited an entity in which mark dixon controls 100 of the share capital 
directors’ share options
as at 31 december 2010 the beneﬁ cial interests of the directors in options granted under the regus plc share option plan are 
shown below 
director
interest in options 
over ordinary shares 
at 1 january 2010
options 
exercised
balance as at 31 
december 2010
mark dixon 1708108 1708108 0
directors’ interests under the long term incentive plan “ltip”
details of awards over ordinary shares in the company granted to the directors under the ltip  as nil cost options are as follows 
ltip
at 1 january 
2010
awards granted
march 2010 awards lapsed
awards 
exercised
at 31 december 
2010
mark dixon 0 520149 0 0 520149
stephen gleadle 260162 298507 0 260162 298507
 exercised 23 march 2010 – market price 10975 p
rg012p14p31aw2indd   29 07042011   0915 30 regus plc annual report and accounts 2010   
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directors’ interests under the cip
details of awards over ordinary shares in the company granted to the directors under the cip  all for nil consideration are as 
follows
cip
at 1 january 
2010
awards released 
march 2010
awards lapsed 
2010
awards exercised 
2010
awards made 
2010
at 31 december 
2010
investment shares
mark dixon 895211 179396 0 179396 0 715815
stephen gleadle 472118 87832 0 87832 0 384286
matching shares
mark dixon 2863260 0 717584 0 0 2863260
stephen gleadle 1537144 0 351328 0 0 1537144
 exercised 23 march 2010 – market price 10975 p
during the year the cip investment shares awarded in march 2007 were released all of the matching shares awarded in 
march 2007 normal vesting date march 2010 failed to meet the related performance conditions and therefore lapsed
the market price of the company’ s ordinary shares at 31 december 2010 was 863p and the range during the year was 6605p to 120p
none of the directors had a beneﬁ cial interest in any contract of any signiﬁ cance in relation to the business of the company 
or its subsidiaries at any time during the ﬁ nancial year
annual resolution
shareholders will be given the opportunity to approve the remuneration report at the agm on 17 may 2011
audit requirement 
under luxembourg law and regulations there is no requirement for the sections on directors’ remuneration shareholdings and 
pension beneﬁ ts on pages 28 to 30 inclusive to be audited therefore all sections of the remuneration report are unaudited
on behalf of the board
elmar heggen
chairman
remuneration committee 
21 march 2011
directors’ report corporate governance
remuneration report continued
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regus plc annual report and accounts 2010 31
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 shareholder and other information
auditors report
report of the réviseur d’entreprises agréé
report on the consolidated ﬁ nancial statements
we have audited the accompanying consolidated ﬁ nancial 
statements of regus plc société anonyme which comprise 
the consolidated balance sheet as at 31 december 2010 
and the consolidated statements of income comprehensive 
income changes in equity and cash ﬂ ows for the year then 
ended and a summary of signiﬁ cant accounting policies and 
other explanatory information
board of directors’ responsibility for the consolidated 
ﬁ nancial statements 
the board of directors is responsible for the preparation and 
fair presentation of these consolidated ﬁ nancial statements in 
accordance with international financial reporting standards as 
adopted by the european union and for such internal control 
as the board of directors determines is necessary to enable the 
preparation of consolidated ﬁ nancial statements that are free 
from material misstatement whether due to fraud or error
responsibility of the réviseur d’entreprises agréé
our responsibility is to express an opinion on these consolidated 
ﬁ nancial statements based on our audit we conducted our 
audit in accordance with international standards on auditing 
as adopted for luxembourg by the commission de surveillance 
du secteur financier those standards require that we comply 
with ethical requirements and plan and perform the audit to 
obtain reasonable assurance about whether the consolidated 
ﬁ nancial statements are free from material misstatement
an audit involves performing procedures to obtain audit evidence 
about the amounts and disclosures in the consolidated ﬁ nancial 
statements the procedures selected depend on the judgement 
of the réviseur d’entreprises agréé including the assessment of 
the risks of material misstatement of the consolidated ﬁ nancial 
statements whether due to fraud or error in making those risk 
assessments the réviseur d’entreprises agréé considers internal 
control relevant to the entity’s preparation and fair presentation 
of the consolidated ﬁ nancial statements in order to design audit 
procedures that are appropriate in the circumstances but not 
for the purpose of expressing an opinion on the effectiveness 
of the entity’s internal control an audit also includes evaluating 
the appropriateness of accounting policies used and the 
reasonableness of accounting estimates made by the board 
of directors as well as evaluating the overall presentation of 
the consolidated ﬁ nancial statements 
we believe that the audit evidence we have obtained is sufﬁ cient 
and appropriate to provide a basis for our audit opinion
to the shareholders of 
regus plc sa
26 boulevard royal
l2449 luxembourg
opinion
in our opinion the consolidated ﬁ nancial statements give 
a true and fair view of the consolidated ﬁ nancial position of 
regus plc société anonyme as of 31 december 2010 and 
of its consolidated ﬁ nancial performance and its consolidated 
cash ﬂ ows for the year then ended in accordance with 
international financial reporting standards as adopted by 
the european union
report on other legal and regulatory requirements
the consolidated directors’ report which is the responsibility 
of the board of directors is consistent with the consolidated 
ﬁ nancial statements
kpmg audit sà rl
cabinet de révision agréé
thierry ravasio
luxembourg 21 march 2011
rg012p14p31aw2indd   31 07042011   0915 32 regus plc annual report and accounts 2010   
wwwreguscominvestor
continuing operations notes
year ended 31 dec 2010 year ended 31 dec 2009
before 
exceptional 
items
total
£m
exceptional 
items
note 6
total
£m
total
£m
before 
exceptional 
items
total
£m
exceptional 
items
note 6
total
£m
total 
£m
revenue 3 10404 – 10404 10551 – 10551 
cost of sales 6 8245 119 8364 8195 – 8195
gross proﬁ t centre contribution 2159 119 2040 2356 – 2356 
administration expenses 6 1934 39 1973 1653 26 1679
net income from legal settlement 6 – – – – 183 183
operating proﬁ t 5 225 158 67 703 157 860 
share of posttax proﬁ t of joint 
ventures 20 13 – 13 20 – 20
proﬁ t before ﬁ nancing costs 238 158 80 723 157 880 
finance expense 8 20 – 20 44 – 44
finance income 8 18 – 18 33 – 33 
proﬁ t before tax for the year 236 158 78 712 157 869 
tax charge 9 56 03 59 192 – 192
proﬁ t after tax for the year 180 161 19 520 157 677 
attributable to
equity shareholders of the parent 176 161 15 513 157 670 
noncontrolling interests 04 – 04 07 – 07 
proﬁ t for the year 180 161 19 520 157 677 
earnings per ordinary share 
eps after exceptional items
basic p 10 02 71 
diluted p 10 02 70
financial statements
consolidated 
income statement
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regus plc annual report and accounts 2010 33
wwwreguscominvestor
 shareholder and other information
notes
year ended
31 dec 2010
£m
year ended
31 dec 2009
£m
proﬁ t for the year 19 677
other comprehensive income
foreign currency translation differences for foreign operations 155 299
other comprehensive income for the year net of income tax 155 299
total comprehensive income for the year 174 378
total comprehensive income attributable to
equity shareholders of the parent 170 371
noncontrolling interests 04 07
174 378
financial statements
consolidated statement 
of comprehensive income
rg012p3279vawindd   33 07042011   0916 34 regus plc annual report and accounts 2010   
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financial statements
consolidated statement 
of changes in equity
attributable to equity holders of the parent
a
non
controlling 
interests
£m
total 
equity
£m
share 
capital
£m
treasury 
shares
£m
foreign 
currency 
translation 
reserve
£m
revaluation 
reserve
£m
other
£m
retained 
earnings
£m
total equity 
attributable 
to equity 
holders
£m
balance at 1 january 2009 95 14 670 100 153 3796 4800 03 4803 
proﬁ t for the year – – – – – 670 670 07 677
other comprehensive income – – 299 – –  – 299 – 299
t otal comprehensive income for the year – – 299 – – 670 371 07 378
transactions with owners recorded 
directly in equity
sharebased payments – – – – – 07 07 – 07 
ordinary dividend paid – – – – – 190 190 – 190
dividend paid to noncontrolling interest – – – – – – – 10 10
revaluation of acquisition – – – 05 – – 05 – 05
deferred tax effect of share options – – – – – 06 06 – 06
settlement of share awards – 10 – – – 14 04 – 04
balance at 31 december 2009 95 04 371 105 153 4275 4995 – 4995 
proﬁ t for the year – – – – – 15 15 04 19
other comprehensive income – – 155 – – – 155 – 155
total comprehensive income for the year – – 155 – – 15 170 04 174
transactions with owners recorded 
directly in equity
revaluation of acquisition – – –  – – –  – –  –
sharebased payments – – – – –  12 12 –  12
ordinary dividend paid – – – – – 232 232 – 232
dividend paid to noncontrolling interest – – – – – – – 03 03
purchase of treasury shares in regus plc – 73 – – – – 73 – 73
deferred tax effect of share options – – – – –  08 08 –  08
settlement of share awards – 06 – – – 13 07 – 07
balance at 31 december 2010 95 71 526 105 153 4049 4857 01 4858
a total reserves attributable to equity holders of the parent
• share capital represents the net proceeds the nominal value on the issue of the company’s equity share capital 
•  at 31 december 2010 treasury shares represent 9070906 2009 1576498 ordinary shares of the group that were acquired for the purposes of the group’s employee 
share option plans and the share buy back programme during the period 9385000 shares were purchased in the open market and 1890592 of treasury shares 
held by the group were utilised to satisfy the exercise of share awards by employees as at 21 march 2011 9070906 treasury shares were held as a result of the 
settlement of share awards the distributable reserves of the group were reduced by £13 million
•  the foreign currency translation reserve is used to record exchange differences arising from the translation of the ﬁ nancial statements of foreign subsidiaries and joint ventures 
•  other reserves include £379 million arising from the scheme of arrangement undertaken on 14 october 2008 £65 million relating to merger reserves and £01 million 
to the redemption of preference shares partly offset by £292 million arising from the scheme of arrangement undertaken in 2003
rg012p3279vawindd   34 07042011   0916  shareholder and other information business review corporate gover nance financial statements shar eholder information
regus plc annual report and accounts 2010 35
wwwreguscominvestor
notes
as at
31 dec 2010
£m
as at
31 dec 2009
£m
noncurrent assets
goodwill 12 2824 2591 
other intangible assets 13 484 483 
property plant and equipment 14 2708 2409 
deferred tax assets 9 371 651 
other long term receivables 15 340 330 
investments in joint ventures 20 39 44 
 6766 6508 
current assets
trade and other receivables 16 2487 2028 
corporation tax receivable 9 133 101 
liquid investments 22 104 400 
cash and cash equivalents 22 1942 2051 
4666 4580 
total assets 11432 11088 
current liabilities
trade and other payables 17 2252 1767
customer deposits 1632 1493
deferred income 1258 1147
corporation tax payable 170 525
obligations under ﬁ nance leases 18 23 14
bank and other loans 18 55 60
provisions 19 28 39
5418 5045
net current liabilities 752 465
total assets less current liabilities 6014 6043 
noncurrent liabilities
other payables 17 991 941
obligations under ﬁ nance leases 18 19 07
bank and other loans 18 34 –
deferred tax liability 9 01 07
provisions 19 98 82
provision for deﬁ cit on joint ventures 20 13 11
1156 1048
total liabilities 6574 6093
total assets less liabilities 4858 4995 
total equity
issued share capital 21 95 95 
treasury shares 71 04
foreign currency translation reserve 526 371 
revaluation reserve 105 105 
other reserves 153 153 
retained earnings 4049 4275 
total shareholders’ equity 4857 4995 
noncontrolling interests 01 – 
total equity 4858 4995 
total equity and liabilities 11432 11088 
approved by the board on 21 march 2011
mark dixon   stephen gleadle
chief executive ofﬁ cer  chief financial ofﬁ cer
financial statements
consolidated balance sheet
rg012p3279vawindd   35 07042011   0916 36 regus plc annual report and accounts 2010   
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financial statements
consolidated cash ﬂ ow 
statement
notes
year ended
31 dec 2010
£m
year ended
31 dec 2009
£m
proﬁ t before tax for the year 78 869 
adjustments for
net ﬁ nance costs 02 11 
net share of proﬁ t after tax on joint ventures 13 20
depreciation charge 672 664 
loss on disposal of property plant and equipment 16 07 
amortisation of intangible assets 62 67 
increase in provisions 04 23
other noncash movements – sharebased payments 12 07
exceptional costsnet income 158 183 
operating cash ﬂ ows before movements in working capital 991 1445 
increasedecrease in trade and other receivables 301 186
increasedecrease in trade and other payables 407 580 
cash generated from operations before exceptional items 1097 1051 
cash outﬂ owinﬂ ow from exceptional item 137 183
cash generated from operations after exceptional items 960 1234 
interest paid on ﬁ nance leases 01 01
interest paid on credit facilities 16 15
tax paid 155 243
net cash inﬂ ow from operating activities 788 975 
investing activities
purchase of subsidiary undertakings net of cash acquired 25 170 10
dividends received from joint ventures 16 10 
sale of property plant and equipment 03 02 
purchase of property plant and equipment 735 469
purchase of intangible assets 24 16
interest received 18 18 
decreaseincrease in liquid investments 296 400 
net cash outﬂ ow from investing activities 596 845
financing activities
net proceeds from issue of loans 29 15
repayment of loans 14 04
repayment of capital elements of ﬁ nance leases 21 14
purchase of treasury shares 73 –
settlement of share awards 07 04 
payment of ordinary dividend 232 190
payment of dividend to noncontrolling interest 03 10
net cash outﬂ ow from ﬁ nancing activities 321 207
net decrease in cash and cash equivalents 129 77 
cash and cash equivalents at beginning of year 2051 2195 
effect of exchange rate ﬂ uctuations on cash held 20 67 
cash and cash equivalents at end of year 22 1942 2051 
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regus plc annual report and accounts 2010 37
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 shareholder and other information
1 authorisation of ﬁ nancial statements
the group and company ﬁ nancial statements for the year ended 
31 december 2010 were authorised for issue by the board of 
directors on 21 march 2011 and the balance sheets were signed 
on the board’s behalf by mark dixon and stephen gleadle regus 
plc sa is a public limited company incorporated in jersey and 
registered and domiciled in luxembourg the company’s ordinary 
shares are traded on the london stock exchange
the group ﬁ nancial statements have been prepared and 
approved by the directors in accordance with international 
financial reporting standards as adopted by the eu “adopted 
ifrss” the company prepares its parent company ﬁ nancial 
statements in accordance with luxembourg gaap extracts 
from these are presented on page 76
2 accounting policies
basis of preparation
the group ﬁ nancial statements consolidate those of the parent 
company and its subsidiaries together referred to as the “group” 
and equity account the group’s interest in the associate and 
jointly controlled entities the extract from the parent company 
ﬁ nancial statements presents information about the company 
as a separate entity and not about its group
the accounting policies set out below have unless otherwise 
stated been applied consistently to all periods presented in 
these group ﬁ nancial statements amendments to adopted 
ifrss issued by the international accounting standards board 
iasb and the international financial reporting interpretations 
committee ifric with an effective date from 1 january 2010 
did not have a material effect on the group ﬁ nancial statements
• ifrs 3 business combinations revised and ias 27 
consolidated and separate financial statements amended 
the revised business combinations standard introduces 
signiﬁ cant changes in the accounting for business combinations 
changes affect the valuation of noncontrolling interests the 
accounting for transaction costs the initial recognition and 
subsequent measurement of contingent consideration and 
business combinations achieved in stages these changes will 
impact the amount of goodwill recognised the reported results in 
the period that an acquisition occurs and future reported results
• ias 27 amended requires that a change in the ownership 
interest of a subsidiary without loss of control is accounted 
for as a transaction with owners in their capacity as owners 
therefore such transactions will no longer give rise to goodwill 
nor will they give rise to a gain or loss furthermore the 
amended standard changes the accounting for losses 
incurred by a subsidiary as well as the loss of control of 
a subsidiary the changes by ifrs 3 revised and ias 27 
amended will affect future acquisitions or loss of control of 
subsidiaries and transactions with noncontrolling interests 
• ifrs 2 share based payment – group cashsettled share 
based payment transactions the standard has been amended 
to clarify the accounting for group cashsettled share based 
payment transactions this amendment also supersedes ifric 8 
and ifric 11 the adoption of this amendment did not have any 
impact on the ﬁ nancial position or performance of the group
• 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 from 1 january 
2010 did not have any impact on the ﬁ nancial position or 
performance of the group
• ifric 17 distribution of noncash assets to owners this 
interpretation provides guidance on accounting for arrangements 
whereby an entity distributes noncash assets to shareholders 
either as a distribution of reserves or as dividends the 
interpretation had no effect on the ﬁ nancial position or 
performance of the group
judgements made by the directors in the application of these 
accounting policies that have signiﬁ cant effect on the ﬁ nancial 
statements and estimates with a signiﬁ cant risk of material 
adjustment in the next year are discussed in note 31
the ﬁ nancial statements are prepared on a historical cost basis 
with the exception of certain ﬁ nancial assets and liabilities that 
are measured at fair value 
the directors having made appropriate enquiries have a 
reasonable expectation that the group and the company have 
adequate resources to continue in operational existence for 
the foreseeable future for this reason they continue to adopt 
the going concern basis in preparing the accounts on 
pages 32 to 75
in adopting the going concern basis for preparing the ﬁ nancial 
statements the directors have considered the further information 
included in the business activities commentary as set out on 
pages 8 to 9 as well as the group’s principal risks and uncertainties 
as set out on pages 20 and 21 
further details on the going concern basis of preparation can 
be found in note 23 to the notes to the accounts on page 58
the group and company ﬁ nancial statements are presented 
in pounds sterling and all values are in million pounds rounded 
to one decimal place except where indicated otherwise
the attributable results of those companies acquired or disposed 
of during the year are included for the periods of ownership
associates are those entities in which the group has signiﬁ cant 
inﬂ uence but not control over the ﬁ nancial and operating 
policies the consolidated ﬁ nancial statements include the 
group’s share of the total recognised income and expense of 
associates on an equity accounted basis from the date that 
signiﬁ cant inﬂ uence commences until the date that signiﬁ cant 
inﬂ uence ceases or the associate qualiﬁ es as a disposal group 
at which point the investment is carried at the lower of fair value 
less costs to sell and carrying value 
financial statements
notes to the accounts
rg012p3279vawindd   37 07042011   0916 38 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
2 accounting policies continued
joint ventures include jointly controlled entities that are those 
entities over whose activities the group has joint control 
established by contractual agreement the consolidated 
ﬁ nancial statements include the group’s share of the total 
recognised gains and losses of jointly controlled entities on 
an equity accounted basis from the date that joint control 
commences until the date that joint control ceases or the jointly 
controlled entity qualiﬁ es as a disposal group at which point the 
investment is carried at the lower of fair value less costs to sell 
and carrying value 
when the group’s share of losses exceeds its interest in a joint 
venture the group’s carrying amount is reduced to nil and 
recognition of further losses is discontinued except to the extent 
that the group has incurred legal or constructive obligations 
or made payments on behalf of a joint venture
on 19 april 2006 the group acquired the remaining 58 of the 
shares of the uk business that were not already owned by the 
group as a result the group fully consolidated the uk business 
from that date the acquisition was accounted for through the 
purchase method and as a consequence the entire assets and 
liabilities of the uk business were revalued to fair value the 
effect of these adjustments on the 42 of the uk business 
already owned was reﬂ ected in the revaluation reserve
on 14 october 2008 regus plc acquired the entire share capital 
of regus group plc in exchange for the issue of new shares of 
regus plc on the basis of one share in regus plc for one share 
held previously in regus group plc at the date of the transaction 
regus plc had nominal assets and liabilities and therefore the 
transaction was accounted for as a reverse acquisition of regus 
plc by regus group plc consequently no fair value acquisition 
adjustments were required and the aggregate of the group 
reserves have been attributed to regus plc
goodwill
all business combinations are accounted for using the purchase 
method goodwill represents the difference between the cost of 
acquisition over the share of the fair value of identiﬁ able assets 
including intangible assets liabilities and contingent liabilities 
of a subsidiary associate or jointly controlled entity at the date 
of acquisition
business combinations that took place prior to the group’ s transition 
date to ifrs on 1 january 2004 have not been restated under 
the requirements of ifrs
positive goodwill is stated at cost less any provision for impairment 
in value an impairment test is carried out annually and in 
addition whenever indicators exist that the carrying amount 
may not be recoverable positive goodwill is allocated to cash 
generating units for the purpose of impairment testing 
adopted ifrss not yet applied
the following adopted ifrss have been issued but have not 
been applied by the group in these ﬁ nancial statements their 
adoption is not expected to have a material effect on the ﬁ nancial 
statements unless otherwise indicated
•  amendments to ias 32 ‘financial instruments presentation 
classiﬁ cation of rights issues mandatory for years 
commencing on or after 1 february 2010
•  ifric 19 ‘extinguishing financial liabilities with equity 
instruments’ mandatory for years commencing on or after 
1 july 2010 
•  amendments to ifric 14 ias 19 ‘the limit on a deﬁ ned 
beneﬁ t – assets minimum funding requirements and their 
interaction mandatory for years commencing on or after 
1 january 2011 
•  revised ias 24 ‘related party disclosure’ mandatory 
for years commencing on or after 1 january 2011 
•  improvements to ifrss issued may 2010 mandatory for years 
commencing on or after 1 july 2010 or 1 january 2011
the group did not adopt any standards interpretations and 
amendments to standards which were available for optional 
early adoption and relevant to the group
the adoption of any of the above standards or amendments 
to standards is not expected to have a material impact on the 
group’s ﬁ nancial statements
the group will be adopting the above standards or 
amendments at the year ended 31 december 2011
basis of consolidation
subsidiaries are entities controlled by the group control exists 
when the group has the power directly or indirectly to govern 
the ﬁ nancial and operating policies of an entity so as to obtain 
beneﬁ ts from its activities in assessing control potential voting 
rights that are currently exercisable or convertible are taken into 
account the ﬁ nancial statements of subsidiaries are included in 
the consolidated ﬁ nancial statements from the date that control 
commences the results are consolidated until the date control 
ceases or the subsidiary qualiﬁ es as a disposal group at which 
point the assets and liabilities are carried at the lower of fair 
value less costs to sell and carrying value
impairment
the carrying amounts of the group’s assets other than deferred 
tax assets are reviewed at each balance sheet date to determine 
whether there is any indication of impairment if any such 
indication exists the asset’s recoverable amount is estimated
for goodwill and intangible assets that have an indeﬁ nite useful 
life and intangible assets that are not yet available for use the 
recoverable amount was estimated at 31 october 2010 and 
updated in february 2011
an impairment loss is recognised whenever the carrying amount of 
an asset or its cashgenerating unit exceeds its recoverable amount 
impairment losses are recognised in the income statement
impairment losses recognised in respect of cash generating units 
are allocated ﬁ rst to reduce the carrying amount of any goodwill 
allocated to the cash generating unit and then to reduce the 
carrying amount of the other assets in the unit on a pro rata basis 
a cash generating unit is the smallest identiﬁ able group of assets 
that generates cash inﬂ ows that are largely independent of the 
cash inﬂ ows from other assets or groups of assets
calculation of recoverable amount
the recoverable amount of relevant assets is the greater of their 
fair value less costs to sell and value in use in assessing value in 
use the estimated future cash ﬂ ows are discounted to their 
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 shareholder and other information
present value using a pretax discount rate that reﬂ ects current 
market assessments of the time value of money and the risks 
speciﬁ c to the asset for an asset that does not generate largely 
independent cash inﬂ ows the recoverable amount is determined 
for the cash generating unit to which the asset belongs
intangible assets
intangible assets acquired separately from the business are 
capitalised at cost intangible assets acquired as part of an 
acquisition of a business are capitalised separately from 
goodwill if their fair value can be identiﬁ ed and measured 
reliably on initial recognition
intangible assets are amortised on a straightline basis over the 
estimated useful life of the assets as follows
brand – regus brand indeﬁ nite life
brand – other acquired brands 20 years
computer software 3 – 5 years
customer lists 1 – 2 years
management agreements minimum duration of the 
contract
amortisation of intangible assets is expensed through 
administration expenses in the income statement
leases
plant and equipment leases for which the group assumes 
substantially all of the risks and rewards of ownership are 
classiﬁ ed as ﬁ nance leases all other leases including all of the 
group’s property leases are categorised as operating leases
finance leases
plant and equipment acquired by way of a ﬁ nance lease is capitalised 
at the commencement of the lease at the lower of its fair value and 
the present value of the minimum lease payments at inception 
future payments under ﬁ nance leases are included in creditors 
net of any future ﬁ nance charges minimum lease payments are 
apportioned between the ﬁ nance charge and the reduction of the 
outstanding liability finance charges are recognised in the income 
statement over the lease term so as to produce a constant periodic 
rate of interest on the remaining balance of the liability
operating leases
minimum lease payments under operating leases are recognised 
in the income statement on a straightline basis over the lease 
term lease incentives and rent free periods are included in the 
calculation of minimum lease payments the commencement of 
the lease term is the date from which the group is entitled to use 
the leased asset the lease term is the noncancellable period of 
the lease together with any further periods for which the group 
has the option to continue to lease the asset and when at the 
inception of the lease it is reasonably certain that the group will 
exercise that option
contingent rentals include rent increases based on future 
inﬂ ation indices or nonguaranteed rental payments based on 
centre turnover or proﬁ tability and are excluded from the 
calculation of minimum lease payments contingent rentals are 
recognised in the income statement as they are incurred
onerous lease provisions are an estimate of the net amounts 
payable under the terms of the lease to the ﬁ rst break point 
discounted at an appropriate weighted average cost of capital
exceptional items
exceptional items are those items which are separately 
disclosed by virtue of their size or incidence to enable a full 
understanding of the group’s ﬁ nancial performance such items 
are included within the income statement caption to which they 
relate and are separately disclosed either in the notes to the 
consolidated ﬁ nancial statements or on the face of the 
consolidated income statement 
property plant and equipment
property plant and equipment is stated at cost less accumulated 
depreciation and any impairment in value depreciation is calculated 
on a straightline basis over the estimated useful life of the 
assets as follows
buildings 20 years
fixtures and ﬁ ttings over the shorter of the 
lease term and 10 years
furniture 10 years
ofﬁ ce equipment and telephones 5 – 10 years
motor vehicles 4 years
computer hardware 3 – 5 years
revenue
revenue from the provision of services to customers is measured 
at the fair value of consideration received or receivable excluding 
sales taxes where rent free periods are granted to customers 
rental income is spread on a straight line basis over the length 
of the customer contract
workstations
workstation revenue is recognised when the provision of the 
service is rendered amounts invoiced in advance are deferred 
and recognised as revenue upon provision of the service
customer service income
service income including the rental of meeting rooms is recognised 
as services are rendered in circumstances where regus acts as an 
agent for the sale and purchase of goods to customers only the 
commission fee earned is recognised as revenue
management and franchise fees
fees received for the provision of initial and subsequent services 
are recognised as revenue as the services are rendered fees 
charged for the use of continuing rights granted by the agreement 
or for other services provided during the period of the 
agreement are recognised as revenue as the services 
are provided or the rights used
membership card income
revenue from the sale of membership cards is deferred and 
recognised over the period that the beneﬁ ts of the membership 
card are expected to be provided
these categories represent all material sources of revenue 
earned from the provision of global workplace solutions
employee bene ts
the group’s contributions to deﬁ ned contribution plans and 
other paid and unpaid beneﬁ ts earned by employees are 
charged to the income statement as incurred 
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financial statements
notes to the accounts continued
2 accounting policies continued
share based payments
the share option programme entitles certain employees and 
directors to acquire shares of the ultimate parent company 
these awards are granted by the ultimate parent
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 
the blackscholes valuation model or the monte carlo method 
taking into account the terms and conditions upon which the 
options were granted
the amount recognised as an expense is adjusted to reﬂ ect the 
actual number of share options that vest except where forfeiture 
is due only to share prices not achieving the threshold for vesting
share appreciation rights cip are also granted by the company 
to certain employees the fair value of the amount payable to 
the employee is recognised as an expense with a corresponding 
increase in equity the fair value is initially recognised at grant 
date and spread over the period during which the employees 
become unconditionally entitled to payment the fair value of the 
share appreciation rights is measured based on the monte carlo 
valuation model taking into account the terms and conditions 
upon which the instruments were granted 
the group also operates a value creation plan which awards 
entitlements to certain employees and directors of the group 
these entitlements are convertible into options over ordinary shares 
subject to the group’s share price reaching certain targets 
the fair value of the amount payable to the employee is 
recognised as an expense with a corresponding increase in 
equity the fair value is initially recognised at the date of the 
award of the entitlements and spread over the period during 
which the entitlements are convertible into ordinary shares
the fair value of the entitlements is based on the monte carlo 
valuation model taking into account the terms and conditions 
upon which the instruments were granted
taxation
tax on the proﬁ t for the year comprises current and deferred tax 
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 
current tax is the expected tax payable on the taxable income 
for the year using tax rates enacted or substantively enacted at 
the balance sheet date and any adjustment to tax payable in 
respect of previous years 
deferred tax is provided on temporary differences between the 
carrying amounts of assets and liabilities for ﬁ nancial reporting 
purposes and the amounts used for taxation purposes the 
following temporary differences are not provided for the initial 
recognition of goodwill the initial recognition of assets and 
liabilities that affect neither accounting nor taxable proﬁ t other 
than in a business combination 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
a deferred tax asset is recognised only to the extent that it is 
probable that future taxable proﬁ ts will be available against 
which the asset can be utilised
deferred tax assets and liabilities are offset when there is a 
legally enforceable right to set off current tax assets against 
current tax liabilities and when they relate to income taxes levied 
by the same taxation authority and the group intends to settle 
its current tax assets and liabilities on a net basis
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 that can be estimated reliably and it is probable 
that an outﬂ ow of economic beneﬁ ts will be required to settle 
the obligation
restructuring provisions are made for direct expenditures of a 
business reorganisation where the plans are sufﬁ ciently detailed 
and well advanced and where the appropriate communication to 
those affected has been undertaken at the balance sheet date
provision is made for onerous contracts to the extent that the 
unavoidable costs of meeting the obligations under a contract 
exceed the economic beneﬁ ts expected to be delivered discounted 
using an appropriate weighted average cost of capital
finance charges
interest charges and income are accounted for in the income 
statement on an accruals basis financing transaction costs that 
relate to ﬁ nancial liabilities are charged to interest expense using 
the effective interest rate method and are recognised within the 
carrying value of the related ﬁ nancial liability on the balance sheet 
fees paid for the arrangement of credit facilities are recognised as 
a prepayment and recognised through the ﬁ nance expense over 
the term of the facility in the event of a facility being drawn the 
relevant unamortised portion of the fee is recognised within the 
carrying value of the ﬁ nancial liability and charged to the interest 
expense using the effective interest rate method
where assets or liabilities on the group balance sheet are 
carried at net present value the increase in the amount due to 
unwinding the discount is recognised as a ﬁ nance expense or 
ﬁ nance income as appropriate
interest bearing borrowings and other  nancial liabilities 
financial liabilities including interest bearing borrowings are 
recognised initially at fair value less attributable transaction 
costs subsequent to initial recognition ﬁ nancial liabilities 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
the group derecognises ﬁ nancial liabilities when the group’s 
obligations are discharged cancelled or expire
financial liabilities are classiﬁ ed as ﬁ nancial liabilities at fair value 
through proﬁ t or loss where the liability is either held for trading 
or is designated as held at fair value through proﬁ t or loss on 
initial recognition financial liabilities at fair value through proﬁ t 
or loss are stated at fair value with any resultant gain or loss 
recognised in the income statement
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 shareholder and other information
financial assets
financial assets are classiﬁ ed as either at fair value through proﬁ t 
or loss held to maturity investments available for sale ﬁ nancial 
assets or loans and receivables the classiﬁ cation depends on 
the nature and purpose of the ﬁ nancial assets and is determined 
on initial recognition
trade and other receivables that have ﬁ xed or determinable 
payments that are not quoted in an active market are classiﬁ ed 
as loans and receivables loans and receivables are measured 
at amortised cost using the effective interest rate method less 
any impairment interest income is recognised by applying the 
effective interest rate except for short term receivables when 
recognition would be immaterial
liquid investments compose held to maturity bonds and deposits
foreign currencies
transactions in foreign currencies are recorded using the rate of 
exchange ruling at the date of the transaction monetary assets 
and liabilities denominated in foreign currencies are translated 
using the closing rate of exchange at the balance sheet date 
and the gains or losses on translation are taken to the income 
statement nonmonetary assets and liabilities that are measured 
in terms of historical cost in a foreign currency are translated 
using the exchange rate at the date of the transaction the 
results and cash ﬂ ows of overseas operations are translated 
using the average rate for the period assets and liabilities 
including goodwill and fair value adjustments of overseas 
operations are translated using the closing rate with all exchange 
differences arising on consolidation being recognised in the 
foreign currency translation reserve exchange differences are 
released to the income statement on disposal under the 
transition requirements of ifrs cumulative translation differences 
for all foreign operations have been set to zero at 1 january 2004
cash and cash equivalents
cash and cash equivalents comprise cash at bank and in hand 
and are subject to an insigniﬁ cant risk of changes in value
derivative  nancial instruments
the group’s policy on the use of derivative ﬁ nancial instruments 
can be found in note 23 derivative ﬁ nancial instruments are 
measured initially at fair value and changes in the fair value are 
recognised through proﬁ t or loss unless the derivative ﬁ nancial 
instrument has been designated as a cash ﬂ ow hedge whereby the 
effective portion of changes in the fair value are deferred in equity
foreign currency translation rates
at 31 december annual average
2010 2009 2010 2009
us dollar 155 161 154 157 
euro 116 112 117 112 
japanese yen 126 149 135 147
3 segmental analysis – statutory basis
an operating segment is a component of the group that 
engages in business activities from which it may earn revenues 
and incur expenses including those that relate to transactions 
with other operating segments an operating segment’s results 
are reviewed regularly by the chief operating decision maker the 
board of directors of the group to make decisions about resources 
to be allocated to the segment and assess its performance and 
for which discrete ﬁ nancial information is available
the business is run on a worldwide basis but managed through 
four principal geographical segments americas europe middle 
east and africa emea asia paciﬁ c and the united kingdom 
the united kingdom segment does not include the group’s 
nontrading holding and corporate management companies that 
are based in the uk and the emea segment does not include 
the group’s nontrading head ofﬁ ce and holding companies that 
are based in luxembourg the results of business centres in 
each of these regions form the basis for reporting geographical 
results to the chief operating decision maker all reportable segments 
are involved in the provision of global workplace solutions
the group’s reportable segments operate in different markets 
and are managed separately because of the different economic 
characteristics that exist in each of those markets each 
reportable segment has its own discrete senior management 
team responsible for the performance of the segment
the accounting policies of the operating segments are the 
same as those described in the annual report and accounts 
for regus plc for the year ended 31 december 2009 the 
performance of each segment is assessed on the basis of the 
segment operating proﬁ t which excludes certain nonrecurring 
items including provisions for onerous contracts and asset 
writedowns exceptional gains and losses internal management 
charges and foreign exchange gains and losses arising on 
transactions with other operating segments
rg012p3279vawindd   41 07042011   0916 42 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
3 segmental analysis – statutory basis continued
americas emea asia paciﬁ c united kingdom
all other operating 
segments total
2010
£m
2009
£m
2010
£m
2009
£m
2010
£m
2009
£m
2010
£m
2009
£m
2010
£m
2009
£m
2010
£m
2009
£m
revenues from external 
customers 4369 4238 2812 3062 1417 1323 1789 1914 17 14 10404 10551 
revenues from internal 
customers – – 11 11 – – 09 09 – – 20 20 
segment revenues 4369 4238 2823 3073 1417 1323 1798 1923  17 14 10424 10571 
gross proﬁ t 
centre contribution 991 929 658 841 364 403 132 194 14 10 2159 2377 
reportable segment 
proﬁ t 325 350 173 387 187 253 122 29 08 04 571 965 
share of proﬁ t of 
joint ventures – 09 13 10 – – – 01 – – 13 20 
finance expense – 01 02 01 05 08 15 20 – – 22 30
finance income – 01 04 04 01 03 – 07 – – 05 15 
depreciation and 
amortisation 326 325  147 146 111 100 140 156 – – 724 727 
taxation chargeincome 261 70 34 57 39 59 286 – 11 06 59 192
assets 5247 4695 2479 2588 1625 1294 3064 2922 13 14 
 
12428 11513 
liabilities 2515 2028 2566 2306 1434 1134 2766 2314 06 11 9287 7793
net assetsliabilities 2732 2667 87 282 191 160 298 608 07 03 3141 3720 
noncurrent asset 
additions 278 215  129 114 137 50 201 89 – – 745 468 
revenue in the other segmental category is generated from services related to the provision of workplace solutions including fees 
earned from franchise agreements and commissions earned from the sale of outsourced workplace solution products revenue 
from internal customers is determined by reference to current market prices
2010
£m revenue
gross proﬁ t 
centre 
contribution
operating 
proﬁ t
share of 
jv proﬁ t
finance 
expense
finance 
income
depreciation 
and 
amortisation
proﬁ t 
before tax
reportable segment results 10424 2159 571 13 22 05 724 567 
exclude internal revenue 20 20 – – – – – –
corporate overheads – 03 345 – 02 13 10 330
central costs – 17 – – – – – – 
foreign exchange gains and losses – – 01 – – – – 01 
exceptional items
2010 restructuring plan – 119 158 – – – – 158
published group total 10404 2040 67 13 20 18 734 78 
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 shareholder and other information
2009
£m revenue
gross proﬁ t 
centre 
contribution
operating 
proﬁ t
finance 
expense
finance 
income
depreciation 
and 
amortisation
proﬁ t 
before tax
reportable segment results 10571 2377 965 30 15 727 970 
exclude internal revenue 20 20 – – – – –
corporate overheads – 01 252 14 18 04 248
central costs – – 18 – – – 18
foreign exchange gains and losses – – 08 – – – 08 
exceptional items
2009 restructuring plan – – 26 – – – 26
exceptional net income from legal settlement – – 183 – – – 183 
published group total 10551 2356 860 44 33 731 869 
the 2010 exceptional charge of £158 million and the 2009 exceptional charge of £26 million are split between the reportable segments 
and central costs as set out in note 6 they constitute respectively part of a reorganisation plan and a formal restructuring plan and 
therefore in the group’s view are differentiated from other ongoing charges within the operations of the business
2010
£m assets liabilities
net assets
liabilities
reportable segment results 12428 9287 3141 
exclude segmental intercompany amounts 2655 3097 442
corporate overheads assets and liabilities 
excluding amounts due tofrom reportable segments
cash 1099 – 1099
deferred taxation 273 – 273
other 287 384 97
published group total 11432 6574 4858
2009
£m assets liabilities
net assets
liabilities
reportable segment results 11513 7793 3720 
exclude segmental intercompany amounts 2552 2186 366
corporate overheads assets and liabilities 
excluding amounts due tofrom reportable segments
cash 1206 – 1206
deferred taxation 458 – 458
other 463 486 23
published group total 11088 6093 4995 
4 segmental analysis – entitywide disclosures
the group’s primary activity and only business segment is the provision of global workplace solutions and therefore all revenue is attributed 
to a single group of similar products and services it is not meaningful to separate this group into further categories of products revenue 
is recognised where the service is provided
the group has a diversiﬁ ed customer base and no single customer contributes a material percentage of the group’s revenue
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financial statements
notes to the accounts continued
4 segmental analysis – entitywide disclosures continued
the group’s revenue from external customers and noncurrent assets analysed by foreign country is as follows 
2010 2009
£m
external 
revenue
noncurrent 
assets
external 
revenue
noncurrent 
assets
country of domicile – luxembourg 40 04 45 07 
united states of america 3507 2852 3536 2766 
united kingdom 1804 1685 1914 1453 
all other countries 5053 1854 5056 1631 
10404 6395 10551 5857
5 operating proﬁ t
operating proﬁ t has been arrived at after chargingcrediting
2010
£m
2009
£m
depreciation on property plant and equipment
owned assets 658 652 
finance leases 14 12 
amortisation of intangibles 62 67 
provision for bad debts 41 141 
loss on disposal of ﬁ xed assets excludes £04 million charged in exceptional 16 07 
exchange differences recognised in the income statement – lossgain 05 28
movement in fair value of derivative ﬁ nancial instruments 05 22
rents payable in respect of operating leases
property 3932 3806 
equipment 18 21 
contingent rents paid 100 144 
amortisation of uk acquisition fair value adjustments 44 33
staff costs see note 7 2015 1898 
2010
£m
2009
£m
fees payable to the group’s auditor for the audit of the group accounts 02 02 
fees payable to the group’s auditor and its associates for other services
the audit of the company’s subsidiaries pursuant to legislation 14 12 
other services pursuant to legislation
tax services 01 01 
other services 04 01 
6 exceptional items
2010
£m
2009
£m
revenue
exceptional net income from legal settlement – 183
administration expenses
2010 restructuring plan charges 158 –
2009 restructuring plan charges – 26 
158 157
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 shareholder and other information
during the year ended 31 december 2010 the group undertook a uk restructuring programme at a net cost of £158 million this 
balance consists of expenditure on the following categories asset write down reorganisation costs space reduction costs centre 
closure costs and other costs an onerous lease and other property related provisions which were identiﬁ ed during the restructure 
as being no longer required were released 
during the year ended 31 december 2009 the group received a net amount of £183 million in relation to the settlement of a dispute 
with a supplier the amount represents the cash received in settlement of the dispute less the directly attributable costs associated 
with the successful outcome of the negotiations 
in december 2009 the group initiated a new restructuring plan to develop and accelerate the actions which had commenced in 
2009 focused on the simpliﬁ cation and rationalisation of the sales and back ofﬁ ce processes and to address the parts of the regus 
network not generating a sufﬁ cient level of proﬁ tability in the year ended 31 december 2009 charges of £26 million were 
recognised in relation to the delivery of phase 1 and phase 2 of the restructuring plan 
the above items have been reported as exceptional items and are disclosed separately as they are relevant to the understanding 
of the group’s ﬁ nancial performance 
7 staff costs and numbers
2010
£m
2009
£m
the aggregate payroll costs were as follows
wages and salaries 1686 1583 
social security 303 291 
pension costs 14 17 
share based payments 12 07 
2015 1898
 
2010
average 
full time 
equivalents
2009
average 
full time 
equivalents
the average number of persons employed by the group including executive directors 
analysed by category and geography was as follows
centre staff 3577 3656 
sales staff 780 668 
finance staff 668 514 
other staff 662 549 
5687 5387 
americas 2246 2207 
emea 1466 1396 
united kingdom 896 865 
asia paciﬁ c 832 782 
corporate functions 247 137 
5687 5387 
details of directors’ emoluments and interests are given on pages 28 to 30 of the remuneration report
rg012p3279vawindd   45 07042011   0916 46 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
8 net ﬁ nance expense
2010
£m
2009
£m
interest payable and similar charges on bank loans 05 16
interest payable and similar charges of ﬁ nance leases 01 01
total interest expense 06 17
deferred ﬁ nancing fees – 05
unwinding of discount rates 14 22
total ﬁ nance expense 20 44
total interest income 18 26 
unwinding of discount rates – 07 
total ﬁ nance income 18 33 
net ﬁ nance expense 02 11
deferred ﬁ nancing fees relate to facility fees on the £150 million senior credit facilities signed in march and april 2006 and voluntarily 
surrendered in part on november 2008 and in april 2009
9 taxation
a analysis of charge in the year
2010
£m
2009
£m
current taxation
corporate income tax 103 127
previously unrecognised tax losses and temporary differences 09 07 
overunder provision in respect of prior years 319 05
total current taxation 225 125
deferred taxation
origination and reversal of temporary differences 289 102
previously unrecognised tax losses and temporary differences – 19 
over provision in respect of prior years 05 16 
total deferred taxation 284 67
tax charge on proﬁ t 59 192
b reconciliation of taxation charge
2010 2009
£m  £m 
proﬁ t before tax 78 869 
tax on proﬁ t at 286 2009 286 22 286 249 286
tax effects of
exceptional items not deductible for tax purposes 42 538 – –
expenses not deductible for tax purposes 90 1154 45 52
items not chargeable for tax purposes 142 1821 162 187 
recognition of previously unrecognised deferred tax assets  09 115 26 30 
movements in temporary differences in the year not recognised 
in deferred tax 453 5808 190 219
other movements in temporary differences 66 846 79 91 
adjustment to tax charge in respect of previous years 324 4154 11 13 
differences in tax rates on overseas earnings 07 90 14 16 
59 756 192 220
the applicable tax rate is determined based on the tax rate in luxembourg which was the effective tax rate applicable in the country 
of domicile of the parent company of the group for the ﬁ nancial year
the group has beneﬁ tted from a credit in relation to the settlement of a number of tax audits in respect of previous years
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 shareholder and other information
c factors that may affect the future tax charge
unrecognised tax losses to carry forward against certain future overseas corporation tax liabilities have the following expiration dates
2010
£m
2009
£m
2009 – 01 
2010 – 19 
2011 09 20 
2012 41 49 
2013 16 11 
2014 36 37 
2015 38 – 
2016 12 –
2017 31 –
2018 and later 954 493
 1137 630 
available indeﬁ nitely 1205 821 
tax losses available to carry forward 2342 1451 
amount of tax losses recognised in the deferred tax asset 527 244 
total tax losses available to carry forward 2869 1695 
the following deferred tax assets have not been recognised due to uncertainties over recoverability
2010
£m
2009
£m
intangibles 3289 3248 
accelerated capital allowances 55 06 
tax losses 771 431 
rent 08 01
short term timing differences 75 08 
 4198 3694 
d corporation tax
2010
£m
2009
£m
corporation tax payable 170 525
corporation tax receivable 133 101 
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financial statements
notes to the accounts continued
9 taxation continued
e deferred taxation
the movement in deferred tax is analysed below
intangibles
£m
property
 plant and 
equipment
£m
tax losses
£m
rent
£m
short term 
temporary 
differences
£m
total
£m
deferred tax asset
at 1 january 2009 61 250 197 222 182 790 
current year movement 52 22 10 03 50 93
prior year movement 05 36 33 – 19 17 
direct reserves movement – – – – 08 08 
acquisitions 04 – – – – 04
transfers 46 01 02 – 09 34
exchange movement 33 21 17 17 11 33
at 1 january 2010 135 288 139 202 157 651 
current year movement 65 30 17 11 200 289
prior year movement 01 16 11 08 06 04
direct reserves movement – – – – 08 08
acquisitions – – – – – – 
transfers 01 07 03 02 – 05
exchange movement 13 14 02 07 08 18
at 31 december 2010 211 281 150 188 37 371
deferred tax liability
at 1 january 2009 43 13 01 – 01 54
current year movement – 02 05 – 01 08 
prior year movement – – – – 01 01 
acquisitions – – – – – –
transfers 42 01 02 – 01 40 
exchange movement – – – – – –
at 1 january 2010 01 10 04 – – 07
current year movement – 02 – – 02 –
prior year movement – 01 01 – 01 01
acquisitions – – – – – –
transfers 01 07 03 02 –  05
exchange movement – – – – – –
at 31 december 2010 02 –  – 02 01 01
deferred tax assets recognised on shortterm temporary differences consist predominantly of provisions deductible when paid and 
share based payments deferred tax assets have been recognised in excess of deferred tax liabilities on the basis that there are 
forecast taxable proﬁ ts in the entities concerned
at the balance sheet date the temporary difference arising from unremitted earnings of overseas subsidiaries was £643 million 
2009 £466 million the only tax that would arise on these reserves would be noncreditable withholding tax
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regus plc annual report and accounts 2010 49
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 shareholder and other information
10 earnings per ordinary share basic and diluted
2010 2009
proﬁ t attributable to equity shareholders of the parent £m 15 670 
weighted average number of shares outstanding during the year 947462881 948203737 
average market price of one share during the year 866p 768p
weighted average number of shares under option during the year 4228848 6356625 
exercise price for shares under option during the year 588p 606p
proﬁ t earnings per share
2010
£m
2009
£m
2010 
pence
2009 
pence
basic and diluted proﬁ t for the year attributable 
to shareholders and basic earnings per share 15 670  02 71 
diluted earnings per share 02 70 
weighted average number of shares for basic eps number 947462881 948203737 
weighted average number of shares under option during the year 4228848 6356625 
weighted average number of shares that would have been issued 
at average market price 2872755 5016457
weighted average number of awards under the cip and ltip 4513161 6833211 
weighted average number of shares for diluted eps number 953332135 956377116 
options are considered dilutive when they would result in the issue of ordinary shares for less than the market price of ordinary shares 
in the period the amount of the dilution is taken to be the average market price of shares during the period minus the issue price 
11 dividends
2010 2009
dividends per ordinary share proposed 175p 16p
interim dividends per ordinary share declared and paid during the year 085p 08p
dividends of £232 million were paid during the year 2009 £190 million the company has proposed to shareholders that a ﬁ nal 
dividend of 175p per share will be paid 2009 16p subject to shareholder approval it is expected that the dividend will be paid 
on 27 may 2011
12 goodwill
£m
cost
at 1 january 2009 2745 
recognised on acquisition of subsidiaries 08 
exchange differences 162 
at 1 january 2010 2591 
recognised on acquisition of subsidiaries 152
exchange differences 81
at 31 december 2010 2824
net book value
at 1 january 2010 2591 
at 31 december 2010 2824
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financial statements
notes to the accounts continued
12 goodwill continued
cash generating units cgus comprising individual business centres are grouped by country of operation for the purpose of carrying 
out impairment reviews of noncurrent assets as this is the lowest level at which goodwill can be assessed goodwill acquired through 
business combinations is held at a country level and is subject to impairment reviews based on the cash ﬂ ows of these cgus
the goodwill attributable to the reportable business segments is as follows
2010
£m
2009
£m
carrying amount of goodwill included within the americas business segment 1688 1532 
carrying amount of goodwill included within the emea business segment 66 54 
carrying amount of goodwill included within the asia paciﬁ c business segment 111 102 
carrying amount of goodwill included within the uk business segment 959 903 
2824 2591 
the carrying value of goodwill and indeﬁ nite lived intangibles allocated to two cgus the usa and uk is material relative to the total 
carrying value comprising 90 of the total the remaining 10 of the carrying value is allocated to a further 23 countries 23 cash 
generating units the goodwill and indeﬁ nite lived intangibles allocated to the usa and the uk cash generating units are set out below
goodwill
£m
intangible 
assets
£m
2010
£m
2009
£m
usa 1481 – 1481 1409 
uk 959 112 1071 1015 
other cash generating units 384 – 384 279 
2824 112 2936 2703 
the indeﬁ nite lived intangible asset relates to the brand value arising from the acquisition of the remaining 58 of the uk business 
in the year ended 31 december 2006 see note 13
the recoverable amount of each of the cgus above has been determined based on their value in use calculated as the present 
value of future cash ﬂ ows attributable to the unit
the value in use for each cgu has been determined using a model which derives the individual value in use for each unit from the 
value in use of the group as a whole although the model includes budgets and forecasts prepared by management it also reﬂ ects 
external factors such as capital market risk pricing as reﬂ ected in the market capitalisation of the group and prevailing tax rates which 
have been used to determine the risk adjusted discount rate for the group while management believe that the projected cashﬂ ows are 
a reasonable reﬂ ection of the likely outcomes over the medium to long term in the event that trading conditions deteriorate beyond the 
assumptions used in the projected cashﬂ ows it is also possible that impairment charges could arise in future periods
the following key assumptions have been used in calculating value in use for each group of cgus
• future cash ﬂ ows are based on budget for 2011 approved by the board the model excludes cost savings and restructurings that 
are anticipated but had not been committed to at the date of the determination of the value in use thereafter forecasts have been 
prepared by management for a further four years from 2012 that reﬂ ect an average annual growth rate of 354 and an increase 
in gross margins driven by improving global economic conditions from 2011 this compared to forecasts used in the evaluation in 
the year ended 31 december 2009 that projected 355 growth but reﬂ ected a higher level of baseline cash ﬂ ows 
• these forecasts exclude the impact of both organic and acquisitive growth expected to take place in future periods as a result 
gross margins and real operating proﬁ ts at the end of the ﬁ ve year period remain either at or below the levels achieved in the year 
ended 31 december 2008 management consider these projections to be a reasonable projection of margins expected at the 
midcycle position reﬂ ecting the current uncertain global economic conditions cash ﬂ ows beyond 2015 have been extrapolated 
using a 225 growth rate which management believe is a reasonable long term growth rate for any of the markets in which the 
relevant cgus operate a terminal value is included in the assessment reﬂ ecting the group’s expectation that it will continue to 
operate in these markets and the long term nature of the businesses
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 shareholder and other information
• the group conducts a market risk assessment of cgus in each country with a country speciﬁ c pretax discount rate being 
applied to the future pretax cash ﬂ ows for each cgu based on the underlying weighted average cost of capital for the group 
this was unchanged from 2009 at 9 the underlying pretax rate therefore reﬂ ects current market assessments of the group 
as a whole and is adjusted for risks speciﬁ c to such businesses in each country giving a risk adjusted range of 12 to 17 
2009 12 to 17 for the underlying cgus a detailed review has been performed of the ‘value in use’ models and the 
appropriate rate at which its cash ﬂ ows are discounted for impairment test purposes the market risk adjustments added 
to the underlying cgu discount rates remain unchanged from 2009
the trading conditions in which the group operates are subject to competitive and economic pressures that can have a material 
effect on the operating performance of the business current market conditions remain challenging for the group and the current 
global conditions makes forecasting medium term cash ﬂ ows more difﬁ cult than is traditionally the case the forecast cash ﬂ ows 
used to derive the value in use are sensitive to changes in revenues driven by changes in prices occupancy or a combination 
of both costs and discount rates including the market assessment of the risks of the group reﬂ ected in the group’s market 
capitalisation actual conditions could result in either better or worse cash ﬂ ows than included in the value in use calculation 
should current economic conditions prove to be more severe or more prolonged than currently expected this would adversely 
impact the forecast cash ﬂ ows and could result in impairments to goodwill and indeﬁ nite lived intangible assets in future periods 
the amount by which the value in use exceeds the carrying amount of the us cgu is sufﬁ ciently large to enable the directors to 
conclude that a reasonably possible change in the key assumptions would not result in an impairment charge for this cgu the key 
assumptions used in the us model are that in 2011 the forecast centre contribution rises to 24 from 18 revenue and costs grow 
at 3 per annum from 2011 giving a terminal 2015 centre gross margin of 26 thereafter a 225 longterm growth rate is assumed 
on revenue and cost into perpetuity the cash ﬂ ows have been discounted using a pretax discount rate of 12 2009 12
foreseeable events are unlikely to result in a change in the projections of such a signiﬁ cant nature so as to result in most cash 
generating units carrying amount exceeding their recoverable amount for the uk cgus however a reasonably possible change 
in the key assumptions used to determine the cash generating unit’s recoverable amount could cause the unit’s carrying amount 
to exceed its value in use
for the uk the goodwill and the indeﬁ nite life intangible brand in this cgu arose on acquisitions completed in 2006 – principally 
the acquisition of the remaining 58 of the uk business the value in use exceeded its carrying amount by £37 million 2009 
£20 million and therefore no impairment was necessary at 31 december 2010 during the year the group renegotiated a number 
of lease commitments this has signiﬁ cantly lowered its cost base and contributed to the margin improvement in the forecast period
the forecast cash ﬂ ows assume an interim recovery reverting to midcycle revenue and occupancy being achieved in 2015 prior to 
the application of the longrun growth rate and the discount rate used our model incorporates a recovery in pricing but not at the 
same rate as the decline in pricing experienced in recent years the terminal value assumed in 2015 is below that experienced in 
2008 whilst occupancy levels are forecast to increase over the period the level set for the terminal value calculation represents 
a midcycle occupancy revenue over the forecast period grows at an average of 54 pa from 2010 all other variables held 
constant a reduction in the growth rate of 05 would result in the carrying amount being equal to the value in use management 
maintain that this would be offset by an increase in occupancy so that the carrying amount would be greater than the value in use 
a fall of 16 in the average gross margins from 2011 in the forecast period would result in the recoverable amount being equal to 
the carrying amount similar to 2009 the model assumes a midcycle gross margin in 2015 of 17 a reduction to 15 would result 
in the value in use being equal to the carrying amount the cash ﬂ ows have been discounted using a pretax discount rate of 14 
200914 the discount rate used is based on a risk adjusted group wacc reﬂ ecting the speciﬁ c risk proﬁ le of the uk business 
such as the greater degree of competition in the uk market an increase in the pretax discount rate used from 14 to 175 
would result in its value in use being equal to its carrying amount
there is no goodwill relating to the group’s joint ventures
rg012p3279vawindd   51 07042011   0916 52 regus plc annual report and accounts 2010   
wwwreguscominvestor
financial statements
notes to the accounts continued
13 other intangible assets
brand 
£m
customer 
lists
£m
software 
£m
total 
£m
cost
at 1 january 2009 569 179 123 871 
additions at cost – – 16 16 
acquisition of subsidiaries – 19 – 19 
disposals – – 02 02
exchange rate movements 47 06 01 54
at 1 january 2010 522 192 136 850 
additions at cost – – 24 24 
acquisition of subsidiaries – 22 – 22 
disposals – – – –
exchange rate movements 16 07 03 26
at 31 december 2010 538 221 163 922 
amortisation
at 1 january 2009 102 122 89 313 
charge for the year 21 29 17 67 
disposals – – 02 02
exchange rate movements 11 05 05 11
at 1 january 2010 112 146 109 367 
charge for year 21 22 19 62 
disposals – – – –
exchange rate movements 05 02 02 09
at 31 december 2010 138 170 13 0 438
net book value
at 31 december 2010 400 51 33 484 
at 31 december 2009 410 46 27 483 
included with the brand value is £112 million relating to the acquisition of the remaining 58 of the uk business in the year ended 
31 december 2006 the regus brand acquired in this transaction is assumed to have an indeﬁ nite useful life due to the fact that 
the value of the brand is intrinsically linked to the continuing operation of the group
as a result of the regus brand acquired with the uk business having an indeﬁ nite useful life no amortisation is charged but 
the carrying value is assessed for impairment on an annual basis the brand was tested at the balance sheet date against the 
recoverable amount of the uk business segment at the same time as the goodwill arising on the acquisition of the uk business 
see note 12 the remaining amortisation life for nonindeﬁ nate life brands is 14 years
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 shareholder and other information
14 property plant and equipment 
land and 
buildings
£m
furniture 
ﬁ ttings and 
motor vehicles
£m
computers
£m
total
£m
cost
at 1 january 2009 – 5878 379 6257 
additions – 443 35 478 
acquisition of subsidiaries – 06 – 06 
disposals – 112 15 127
exchange rate movements – 444 23 467
at 1 january 2010 – 5771 376 6147 
additions 56 666 50 772 
acquisition of subsidiaries – 123 02 125 
disposals – 45 17 62
exchange rate movements – 212 14 226
at 31 december 2010 56 6727 425 7208 
accumulated depreciation
at 1 january 2009 – 3227 250 3477 
charge for the year – 598 66 664 
disposals – 103 15 118
exchange rate movements – 267 18 285
at 1 january 2010 – 3455 283 3738 
charge for the year – 610 62 672
disposals – 25 17 42
exchange rate movements – 121 11 132
at 31 december 2010 – 4161 339 4500
net book value
at 31 december 2010 56 2566 86 2708
at 31 december 2009 – 2316 93 2409
additions include £38 million in respect of assets acquired under ﬁ nance leases 2009 £09 million the property purchased during 
the year is subject to a charge under the terms of the loan agreement
the net book value of furniture ﬁ ttings and motor vehicles includes amounts held under ﬁ nance leases as follows
2010
£m
2009
£m
cost 239 157 
accumulated depreciation 165 112
net book value 74 45 
15 other long term receivables
2010
£m
2009
£m
deposits held by landlords against rent obligations 299 290 
amounts owed by joint ventures 08 07 
prepayments and accrued income 33 33 
340 330 
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financial statements
notes to the accounts continued
16 trade and other receivables
2010
£m
2009
£m
trade receivables 1026 973 
amounts owed by joint ventures 40 32 
other receivables 181 135 
deposits held by landlords against rent obligations 202 114 
prepayments and accrued income 842 641
vat recoverable 196 133 
2487 2028 
17 trade and other payables
2010
£m
2009
£m
trade payables 507 360 
other tax and social security 261 188 
deferred landlord contributions 130 116 
amounts owed to joint ventures 16 10 
rent accruals 373 319 
other accruals 747 635 
other payables 218 139 
total current 2252 1767 
2010
£m
2009
£m
accruals and deferred income 456 386 
rent accruals 511 526 
other payables 24 29 
total noncurrent 991 941 
18borrowings
the group’s total loan and borrowing position at 31 december 2010 and at 31 december 2009 had the following maturity proﬁ les
bank and other loans
2010
£m
2009
£m
repayments falling due as follows
amounts falling due after more than one year
in more than one year but not more than two years – – 
in more than two years but not more than ﬁ ve years 34 –
in more than ﬁ ve years – –
total noncurrent 34 –
total current 55 60 
total bank and other loans 89 60 
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 shareholder and other information
obligations under  nance leases
the maturity of the group’s ﬁ nance obligations is as follows
2010
£m
2009
£m
amounts payable
within one year or on demand 23 14 
in more than one year but not more than two years 14 07 
in more than two years but not more than ﬁ ve years 06 01 
43 22 
less ﬁ nance charges allocated to future periods 01 01
present value of future minimum lease payments 42 21 
total current 23 14 
total noncurrent 19 07 
42 21 
19 provisions for liabilities and charges
2010 2009
onerous 
leases and 
closures
£m
restructuring
£m
other
£m
total
£m
onerous leases 
and closures
£m
restructuring
£m
other
£m
total
£m
at 1 january 88 21 12 121 90 – 15 105 
provided in the period 55 – – 55 21 21 – 42 
utilised in the period 11 04 – 15 18 – – 18
provisions released 25 09 – 34 – – 01 01 
exchange differences – 01 – 01 05 – 02 07
at 31 december 107 07 12 126 88 21 12 121 
analysed between
current 21 07  – 28 17 21 01 39 
noncurrent 86  – 12 98 71 – 11 82 
at 31 december 107 07 12 126 88 21 12 121 
provisions for onerous leases and closure costs relate to the estimated future costs on centre closures and onerous property leases 
the maximum period over which the provisions are expected to be utilised expires by 31 december 2018 the onerous lease release 
relates to the uk restructuring and has been credited to the income statement through exceptional items 
the restructuring provision of £07 million is expected to be utilised during the next ﬁ nancial year other provisions include the 
estimated costs of claims against the group outstanding at the year end of which due to their nature the maximum period 
over which they are expected to be utilised is uncertain
rg012p3279vawindd   55 07042011   0916 56 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
20 investments in joint ventures 
provision for 
deﬁ cit in joint 
ventures
£m
investments 
in joint ventures
£m
total
£m
at 1 january 2009 10 40 30 
dividends paid – 10 10
share of proﬁ tlosses 01 21 20 
acquisition of the remaining 50 of regus equity business centres – 06 06
exchange rate movements – 01 01
at 1 january 2010 11 44 33 
dividends paid – 16 16
share of proﬁ tlosses 02 15 13 
acquisition – – – 
exchange rate movements – 04 04
at 31 december 2010 13 39 26 
                 ownership
entity country
2010

2009

joint ventures
regus algerie sàrl algeria 60 60 
park business centres limited england 50 50 
regus jordan psc jordan 50 50 
regus lebanon sàrl lebanon 30 30 
skyport international ing vastgoed beleggingen wtc1 netherlands 50 50 
skyport international ing vastgoed beleggingen wtc2 netherlands 50 50 
regus herengracht netherlands 50 50 
regus al jaidah business centres llc qatar 25 25 
qatar westbay qatar 25 25 
regus senegal sàrl senegal 50 50 
regus istanbul is merkezi isletmeciligi as turkey 30 30 
asya kozyatagi is merkezi isletmeciligi as turkey 50 50 
regus abu dhabi business centres llc uae 49 49 
abidjan business centre civsl ivory coast 50 –
regus business centre oman sàrl oman 50 –
as at 31 december 2009 the group acquired the remaining 50 membership interest in regus equity business centers llc from 
eop llc and the entity was reclassiﬁ ed from a joint venture to a subsidiary undertaking effective from that date 
the results of the joint ventures opposite are the full results of the joint ventures and do not represent the effective share
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 shareholder and other information
2010
£m
2009
£m
income statement
revenue 236 397 
expenses 202 347
proﬁ t before tax for the year 34 50 
tax charge 05 –
proﬁ t after tax for the year 29 50 
net assetsliabilities
fixed assets 73 78 
current assets 147 142 
current liabilities 166 152
noncurrent liabilities 30 27
net assetsliabilities 24 41 
21 share capital
ordinary equity share capital
2010 2009
number
nominal value
£m number 
nominal value
£m
authorised
ordinary 1p shares at 1 january  31 december 8000000000 800 8000000000 800 
issued and fully paid up
ordinary 1p shares at 1 january  31 december 950969822 95 950969822 95 
treasury share transactions involving regus plc shares between 1 january and 31 december 2009
at 1 january 2009 5950000 shares were held as treasury shares during the year ended 31 december 2009 regus plc repurchased 
627258 of its own shares in the open market and utilised an additional 4373502 of treasury shares held by the group to satisfy 
the exercise of share awards by employees 
treasury share transactions involving regus plc shares between 1 january 2010 and 31 december 2010
as at 1 january 2010 1576498 shares were held as treasury shares during the year ended 31 december 2010 regus plc 
repurchased 9385000 of its own shares in the open market and utilised an additional 1890592 of treasury shares held by 
the group to satisfy the exercise of share awards by employees 
the holders of ordinary shares in regus group plc were entitled to receive dividends as were declared by the company and were 
entitled to one vote per share at meetings of the company treasury shares did not carry such rights until reissued
rg012p3279vawindd   57 07042011   0916 58 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
22 analysis of ﬁ nancial resources
at 1 jan 2010
£m
cash ﬂ ow
£m
noncash 
changes
£m
exchange 
movements
£m
at 31 dec 2010
£m
cash and cash equivalents 2051 129 – 20 1942
liquid investments 400 296 – – 104
gross cash 2451 425 – 20 2046 
debt due within one year 60 19 10 04 55
debt due after one year – 34 – – 34 
finance leases due within one year 14 09 14 04 23
finance leases due after one year 07 12 22  02 19
 81 06 46 10 131
net ﬁ nancial assets 2370 419 46 10 1915
cash and cash equivalents balances held by the group that are not available for use amounted to £326 million at 31 december 2010 
december 2009 £643 million 
of this balance £234 million 2009 £470 million is pledged as security against outstanding bank guarantees and a further 
£92 million 2009 £173 million is pledged against various other commitments of the group these amounts are blocked 
and not available for use by the business
liquid investments represent corporate bonds and cash placed on deposit by the group with a maturity over three months noncash 
changes comprise the amortisation of debt issue costs new ﬁ nance leases entered into and movements in debt maturity
23 financial instruments and ﬁ nancial risk management
the objectives policies and strategies applied by the group with respect to ﬁ nancial instruments and the management of capital 
are determined at group level the group’s board maintains responsibility for the risk management strategy of the group and the 
chief financial ofﬁ cer is responsible for policy on a day to day basis the chief financial ofﬁ cer and group treasurer review the 
group’s risk management strategy and policies on an ongoing basis the board has delegated to the group audit committee 
the responsibility for applying an effective system of internal control and compliance with the group’s risk management policies 
the audit committee is supported by the head of risk management in performing this role
exposure to credit interest rate and currency risks arise in the normal course of business the principal ﬁ nancial instruments used 
by the group to ﬁ nance its operations are cash and loans
going concern
the business review on pages 8 to 9 of the report and accounts sets out the group’s strategy and the factors that are likely 
to affect the future performance and position of the business the ﬁ nancial review on pages 10 to 13 within the business review 
reviews the trading performance ﬁ nancial position and cash ﬂ ows of the group a feature of the group has been its strong cash 
ﬂ ows and during the year ended 31 december 2010 despite the difﬁ cult trading conditions the group has maintained its cash 
levels at comparable levels to the position at the start of the ﬁ nancial year although many countries that the group operates in 
continue to experience difﬁ cult economic conditions the directors believe that the group is taking the necessary actions and 
expect to strengthen the current market leading position of the group 
after making enquiries the directors have a reasonable expectation that the group has adequate resources to continue in operational 
existence for the foreseeable future and accordingly continue to adopt the going concern basis in preparing the annual report 
and accounts
following an internal review of the group’s facility arrangements in march 2009 and given the strength of the group’s cash position 
the board approved the early surrender of the £100 million revolving credit facility this decision does not impact the judgment of 
the directors that it is appropriate for the group to adopt the going concern basis in preparing these accounts
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 shareholder and other information
credit risk
credit risk could occur where a customer or counterparty defaults under the contractual terms of a ﬁ nancial instrument and arises 
principally in relation to customer contracts and the group’s cash deposits
a diversiﬁ ed customer base and requirement for customer deposits and payments in advance on workstation contracts which 
contribute the majority of the group’s revenue minimise the group’s exposure to customer credit risk no single customer contributes 
a material percentage of the group’s revenue the group’s policy is to provide against trade receivables when speciﬁ c debts are 
judged to be irrecoverable or where formal recovery procedures have commenced a provision is created where debts are more 
than three months overdue which reﬂ ects the group’s historical experience of the likelihood of recoverability of these trade receivables 
these provisions are reviewed on an ongoing basis to assess changes in the likelihood of recoverability
cash assets and derivative ﬁ nancial instruments are only transacted with counterparties of sound credit ratings and management 
does not expect any counterparty to fail to meet its obligations 
the maximum exposure to credit risk for trade receivables at the reporting date analysed by geographic region is summarised below
2010
£m
2009
£m
americas 189 210 
emea 429 387 
asia paciﬁ c 166 142
uk 242 234
1026 973
all of the group’s trade receivables relate to customers purchasing workplace solutions and no individual customer has a material 
balance owing as a trade receivable 
the ageing of trade receivables at 31 december was
gross
2010
£m
provision
2010
£m
gross
2009
£m
provision
2009
£m
not overdue 943 06 865 02
past due 0 – 30 days 66 03 88 07
past due 31 – 60 days 23 04 33 08
more than 60 days 112 105 128 124
1144 118 1114 141
at the year end 31 december 2010 the group maintained a provision of £118 million against potential bad debts 2009 £141 million 
arising from trade receivables the group had provided £41 million 2009 £141 million in the year and utilised £70 million 2009 
£71 million
the group believes no provision is generally required for trade receivables that are not overdue as the group collects the majority 
of its revenue in advance of the provision of ofﬁ ce services and requires deposits from its customers 
rg012p3279vawindd   59 07042011   0916 60 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
23 financial instruments and ﬁ nancial risk management continued
liquidity risk
the group manages liquidity risk by reviewing its global cash position on a weekly basis and expects to have sufﬁ cient liquidity to meet 
its ﬁ nancial obligations as they fall due the group has free cash and liquid investments excluding blocked cash of £1720 million 
2009 £1808 million which the directors consider adequate to meet the group’s day to day requirements
in november 2010 the group signed a threeyear unsecured £80 million bank guarantee  letter of credit facility with lloyds tsb bank 
this will allow the group to release cash previously set aside to support guarantees the facility is subject to ﬁ nancial covenants 
covering operating cashﬂ ows the ratio of gross debt to consolidated tangible net worth and the ratio of ebitdar to net interest 
and rental charges
the group’s undrawn senior committed facility of £100 million was scheduled to expire on 19 march 2011 subject to the group 
continuing to comply with the covenants of the facility agreement the covenants included the ratio of net debt to ebitda the ratio 
of cash ﬂ ow to net debt service including net interest expense and scheduled debt repayments and the ratio of ebitdar to net 
interest and rental charges 
in march 2009 the board approved the early surrender of the £1000 million revolving credit facility following an internal review 
of the group’s facility arrangements of the facility approximately £500 million had been set aside to support bank guarantees 
provided against obligations of the group in order to continue to support these the group deposited sufﬁ cient funds with the 
guaranteeing banks which reduced free cash available for use by an equivalent amount in so doing the directors considered the 
group’s forecast and sensitised cash ﬂ ow projections and do not believe that this will have an adverse impact on the group’s 
liquidity given the strength of the group’s cash position
although the group has net current liabilities of £752 million 2009 £465 million the group does not consider that this gives 
rise to a liquidity risk a large proportion of the net current liabilities comprise noncash liabilities such as deferred income that will 
be recognised in future periods through the income statement although the group holds customer deposits of £1632 million 
2009£1493 million these are spread across a large number of customers and no deposit held for an individual customer 
is material therefore the group does not believe the balance represents a liquidity risk 
the net current assets excluding deferred income were £506 million at 31 december 2010 2009 £682 million it is considered 
appropriate to exclude deferred income in assessing the liquidity of the group as it reﬂ ects the future nonrefundable contractual 
revenue of the group to be recognised as revenue in future periods
market risk
interest rate risk
surplus cash balances are invested to achieve maximum interest returns on a day to day basis in order to maximise interest returns 
surplus cash is also invested in aaarated corporate bonds and deposits with a maturity in excess of three months at the balance 
sheet date no corporate bond or deposit had a maturity in excess of three months whenever possible and subject to the operational 
requirements of the group cash is repatriated to the head ofﬁ ce and managed by the group treasury department
foreign currency risk
the group’s exposure to currency risk at a transactional level is minimal as the majority of day to day transactions of overseas 
subsidiaries are carried out in local currency working capital balances are generally held in the functional currency of the overseas 
subsidiary and therefore the impact of the retranslation of monetary assets and liabilities in the income statement of overseas 
subsidiaries is not considered to have a material impact on the group
the majority of the group’s net assets are in pounds sterling us dollars and euros during the year ended 31 december 2010 the 
group continued the policy of partially hedging the translation effect of certain proﬁ ts incurred in foreign currencies including the us 
dollar euro japanese yen and certain east european currencies the policy aimed to reduce the impact on the reported proﬁ ts of 
the group from changes in the value of pounds sterling against the hedged currencies as at 31 december 2010 all foreign exchange 
derivative ﬁ nancial instruments had matured and no open positions were held
historically the group has occasionally used derivative ﬁ nancial instruments to manage its exposure to foreign currency ﬂ uctuations 
although natural hedges limit the exposure to these risks in the year ended 31 december 2010 the group used derivative ﬁ nancial 
instruments to manage the translation risk of certain foreign currencies on the reported proﬁ ts of the group 
no transactions of a speculative nature are undertaken
other market risks
the group does not hold any availableforsale equity securities and is therefore not subject to risks of changes in equity prices
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 shareholder and other information
capital management
the group’s parent company is listed on the uk stock exchange and the board’s policy is to maintain a strong capital base the 
chief financial ofﬁ cer monitors the diversity of the group’s major shareholders and further details of the group’s communication with 
key investors can be found in the corporate governance report on pages 18 to 23 in 2006 the board approved the commencement 
of a progressive dividend policy to enhance the total return to shareholders
the group’s chief executive ofﬁ cer mark dixon is the major shareholder of the company and all executive members of the board 
hold shares in the company details of the directors’ shareholdings can be found in the report of the remuneration committee on 
pages 25 to 30 in addition the group operates various share option plans for key management and other senior employees
at the 2008 annual general meeting shareholders approved a resolution for the group to repurchase up to 10 of its issued share 
capital in the market in june 2007 the group commenced a share buyback programme to meet both  the need to issue shares 
under the group’s share option programme and more generally as a means of returning cash to shareholders
in the year ended 31 december 2010 regus plc purchased 1353188 2009 627258 of its own shares in the open market and 
utilised these to satisfy employee share awards regus plc repurchased 9385000 of its own shares in the open market and held 
these shares as treasury shares as at 21 march 2011 9070906 shares were held as treasury shares
the company declared an interim dividend of 085p per share 2009 08p during the year ended 31 december 2010 and 
proposed a ﬁ nal dividend of 175p per share 2009 16p per share an 8 increase on the 2009 dividend 
there were no other changes to the group’s approach to capital management during the year
the group’s objective when managing capital equity and borrowings is to safeguard the group’s ability to continue as a going 
concern and to maintain an optimal capital structure to reduce the cost of capital the group holds minimal debt and is in a strong 
cash position therefore it is majority equity funded the board balances the higher returns possible with higher levels of borrowings 
with the stability and security afforded by a sound capital position the group’s return on capital employed for the year ended 
31 december 2010 deﬁ ned as operating proﬁ t divided by total shareholders’ equity was 14 2009 172 
effective interest rates 
in respect of ﬁ nancial assets and ﬁ nancial liabilities the following table indicates their effective interest rates at the balance sheet 
date and the periods in which they mature interest payments are excluded from the table
the undiscounted cash ﬂ ow of these instruments is not materially different from the carrying value
as at 31 december 2010
effective 
interest rate

carrying value
£m
contractual 
cash ﬂ ow
£m
less than 
1 year
£m
12 years
£m
25 years
£m
more than 
5 years
£m
cash and cash equivalents 09 1942 1942 1942 – – –
liquid investments – 
corporate bonds 21 104 104 104 – – –
other liquid investments – – – – – – –
trade and other receivables – 1900 2018 1718 15 15 –
finance lease liabilities 39 42 42 23 13 06 –
secured bank loans 24 37 37 04 – 33 –
other loans 73 52 52 52 – – –
customer deposits – 1632 1632 1632 – – –
trade and other payables – 1763 1763 1738 25 – –
rg012p3279vawindd   61 07042011   0916 62 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
23 financial instruments and ﬁ nancial risk management continued
as at 31 december 2009
effective 
interest rate

carrying 
value
£m
contractual 
cash ﬂ ow
£m
less than 
1 year
£m
12 years
£m
25 years
£m
more than 
5 years
£m
cash and cash equivalents 09 2051 2051 2051 – – –
liquid investments – 
corporate bonds 37 100 100 100 – – –
other liquid investments 15 300 300 300 – – –
trade and other receivables – 1682 1824 1532 146 146 –
finance lease liabilities 39 21 21 14 06 01 –
secured bank loans – 07 07 07 – – –
other loans 121 53 53 53 – – –
customer deposits – 1493 1493 1493 – – –
trade and other payables – 1381 1381 1352 29 – –
sensitivity analysis
at 31 december 2010 it is estimated that a general increase of one percentage point in interest rates would increase the group’s 
proﬁ t before tax by approximately £14 million 2009 £17 million with a corresponding increase in total equity
it is estimated that a ﬁ ve percentage point weakening in the value of the us dollar against pounds sterling would have decreased 
the group’s proﬁ t before tax by approximately £03 million for the year ended 31 december 2010 2009 £09 million it is estimated 
that a ﬁ ve percentage point weakening in the value of the euro against pounds sterling would have decreased the group’s proﬁ t 
before tax by approximately £04 million for the year ended 31 december 2010 2009 £11 million
it is estimated that a ﬁ ve percentage point weakening in the value of the us dollar against pounds sterling would have decreased 
the group’s total equity by approximately £79 million for the year ended 31 december 20102009 £91 million it is estimated that 
a ﬁ ve percentage point weakening in the value of the euro against pounds sterling would have increased the group’s total equity by 
approximately £06 million for the year ended 31 december 2010 2009 £07 million
fair value disclosures
the fair values together with the carrying amounts show in the balance sheet are as follows
2010 2009
carrying 
amount
£m
fair value
£m
carrying 
amount
£m
fair value
£m
cash and cash equivalents 1942 1942 2051 2051 
liquid investments – corporate bonds 104 104 100 100 
other liquid investments – – 300 300 
trade and other receivables 1903 1903 1682 1682 
finance lease liabilities 42 39 21 18
secured bank loans 37 37 07 07
other loans 52 52 53 53
customer deposits 1632 1632 1493 1493
trade and other payables 1763 1763 1381 1381
 423 426 1178 1181 
unrecognised gain 03 03 
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 shareholder and other information
summary of methods and assumptions
trade and other receivablespayables and customer deposits
for receivablespayables with a remaining life of less than one year the notional amount is deemed to reﬂ ect the fair value
finance lease liabilities
the fair value of ﬁ nance leases has been calculated by discounting future cash ﬂ ows at an appropriate discount rate which reﬂ ects 
current market assessments and the risks speciﬁ c to such liabilities
loans and overdrafts
the fair value of bank loans overdrafts and other loans approximates to the carrying value because interest rates are at ﬂ oating 
rates where payments are reset to market rates at intervals of less than one year
derivative ﬁ nancial instruments
the group held several foreign currency swaps in the year all of which matured during the year the aggregate movement of the fair 
value of these instruments was a loss of £05 million 2009 gain £22 million the instruments were not designated as hedges and 
the gain has been recognised in the income statement no derivative ﬁ nancial instruments were held at the year end 2009 nil 
committed borrowing facilities
principal 
£m 
available
£m
at 31 december 2010 – – 
at 31 december 2009 – – 
in november 2010 the group signed a threeyear unsecured £80 million bank guarantee  letter of credit facility with lloyds tsb 
bank this will allow the group to release cash previously set aside to support guarantees the facility is subject to ﬁ nancial covenants 
covering operating cash ﬂ ows the ratio of gross debt to consolidated tangible net worth and the ratio of ebitdar to net interest 
and rental charges
in march 2009 the board approved the early surrender of the £1000 million revolving credit facility following an internal review of the 
group’s facility arrangements of the facility approximately £500 million had been set aside to support bank guarantees provided 
against obligations of the group in order to continue to support these the group deposited sufﬁ cient funds with the guaranteeing 
banks which reduced the cash available for use by an equivalent amount the directors do not believe that this decision had an 
adverse impact on the group’s liquidity given the strength of the group’s cash position
rg012p3279vawindd   63 07042011   0916 64 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
24 share based payment
regus group share option plan
during 2004 the group established the regus group share option plan which entitles executive directors and certain employees to 
share options in regus plc previously regus group plc
the table below presents the options outstanding and their exercise price together with an analysis of the movements in the number 
of options during the year 
2010 2009
number of 
share options
weighted 
average 
exercise price 
per share
number of 
share options
weighted 
average exercise 
price per share
at 1 january 10059700 6795 12394287 7875 
granted during the year 4603961 9708 – –
lapsed during the year 3823075 8127 2334587 12530 
exercised during the year 3186486 6426 – –
outstanding at 31 december 7654100 8042 10059700 6795 
exercisable at 31 december 3170139 5700 6356625 6064 
date of grant numbers granted
weighted 
average exercise 
price per share lapsed exercised at 31 dec 2010 exercisable from expiry date
23072004 4106981 5700 – 936842 3170139 23072007 23072014
08092004 3884170 6475 729227 3154943 – 08092007 08092014
21032007 2148258 13150 2148258 – – 21032010 21032017
20042007 707506 14650 707506 – – 20042010 20042017
18032008 4331641 8050 4331641 – – 18032011 18032018
18052010 3986000 10050 120000 – 3866000 18052015 23032020
28062010 617961 7500 – – 617961 28062013 28062020
total 19782517 8429 8036632 4091785 7654100
the regus group also operates the regus group share option plan france which is included within the numbers for the regus 
share option plan disclosed above the terms of the regus share option plan france are materially the same as the regus group 
share option plan with the exception that they are only exercisable from the fourth anniversary of the date of grant assuming the 
performance conditions have been met 447773 options awarded under the regus group share option plan france are included in 
the above table 2009 416146 416146 lapsed during the year 2009 231935 and nil were exercised during the year 2009 nil 
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 shareholder and other information
performance conditions for share options
the options awarded in 2004 included certain performance criteria that needed to be met in order for the share options to vest the 
share options vested based on the basic earnings per share adjusted for nonrecurring items and goodwill and intangible amortisation 
that exceeded the targets linked to the retail price index the basic earnings per share for performance purposes was 1p 100 of 
the options awarded in july and september 2004 vested during 2007
the awards of options made in march 2007 and april 2007 failed to meet the related performance conditions and lapsed in prior years 
the march 2008 options failed to meet the related performance conditions and lapsed in the year ended 31 december 2010
the options awarded in march and june 2010 contain the following performance conditions
50 of the options will be eligible to vest if the regus total shareholder return ‘tsr’  achieved relative to ftse all share total 
return index is at least at the median over the performance period 50 of the options will be eligible to vest subject to the eps 
conditions in the table below
vesting scale eps target ye 2012
25 15p
50 16p
75 17p
100 18p
once performance conditions are satisﬁ ed those options that are eligible to vest will vest as follows
proportion to vest
march 2013 13
march 2014 13
march 2015 13
the share options awarded in 2004 were valued using the blackscholes model the share options awarded in 2010 were valued 
using a monte carlo for tsr and the blackscholes for eps method the inputs to the model are as follows
june 2010 march 2010
eps tsr eps tsr
share price on grant date 7320p 7320p 9400p 9400p
exercise price 7500p 7500p 10050p 10050p
expected volatility 4618 – 5432 4699 – 5636 4702 – 6482 4674 – 5598
number of simulations 30000 30000 30000 30000
number of companies ftse all share index ftse all share index ftse all share index ftse all share index
option life 3 – 5 years 3 – 5 years 3 – 5 years 3 – 5 years
expected dividend 328 328 255 255
fair value of option at time of grant 3520p – 4270p 1240p – 1740p 4549p – 6177p 1950p – 2630p
risk free interest rate 276 – 305 276 – 305 307 – 338 307 – 338
the expected volatility is based on the historic volatility adjusted for any abnormal movement in share prices
rg012p3279vawindd   65 07042011   0916 66 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
24 share based payment continued
regus plc coinvestment plan cip and long term incentive plan ltip
2010 2009
number of 
awards
number of 
awards
at 1 january 19724642 18346549 
cip awards granted during the year – 10827018 
ltip awards granted during the year 2900472 –
lapsed during the year 4448165
exercised during the year 1510333 5000760
outstanding at 31 december 21114781 19724642 
exercisable at 31 december 167852 872879 
1510333 options or conditional share awards were exercised during the year ended 31 december 2010 2009 5000760 the 
weighted average share price at the date of exercise for share awards and options exercised during the year ended 31 december 
2010 was 9606p 2009 6974p
plan date of grant
numbers 
granted lapsed exercised at 31 dec 2010 release date
ltip 03112005 3723235 1092819 2462564 167852 03112008
ltip 28092006 140184 140184 – – 28092009
ltip 23032010 2900472 – – 2900472 23032013
6763891 1233003 2462564 3068324 
plan date of grant
numbers 
granted lapsed exercised at 31 dec 2010 release date
cip investment shares 21032006 772196 – 772196 – 21032009
cip matching shares 21032006 3088784 617757 2471027 – 21032009
cip investment shares 21032007 833823 28517 805306 – 21032010
cip matching shares 21032007 3240144 3240144 – – 21032010
cip investment shares 18032008 1557391 86956 – 1470435 18032011
cip matching shares 18032008 5922916 173912 – 5749004  see below
cip investment shares 23032009 2212734 – – 2212734 23032012
cip matching shares 23032009 8614284 – – 8614284  see below
26242272 4147286 4048529 18046457 
  as indicated in the remuneration report in the annual report for the year ended 31 december 2009 the remuneration committee felt it inappropriate to set speciﬁ c 
performance conditions for matching shares under the cip which were awarded in march 2008 and march 2009 further details of the release dates and performance 
conditions set for 2010 can be found below
the fair value of services received in return for share based payments is measured by reference to the fair value of the equity 
instruments granted 
the awards of matching shares made in march 2007 failed to meet the related performance conditions and lapsed in prior years 
of the awards of investment and matching shares under the ltip on 23 march 2010 1028539 were conditional share awards 
and 1871933 were nil cost options 
the ltipcip awards are valued using the monte carlo method
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 shareholder and other information
the inputs to the model are as follows 
23032010 23032009 18032008 21032007 28092006 21032006 03112005
ltip 
d
cip 
c
cip 
c
cip 
b
ltip 
a
cip 
b
ltip 
a
share price on grant date 10810p 6550p 8050p 13150p 10700p 10725p 9225p
exercise price nil nil nil nil nil nil nil
number of simulations 250000 200000 200000 200000 60000 60000 60000 
number of companies 32 32 36 35 29 29 29 
award life 3 years 3 years 3 years 3 years 3 years 3 years 3 years
expected dividend 222 272 119 044 nil nil nil
fair value of award at time of grant 4700p 4797p 6121p 10305p 7900p 7994p 6500p
risk free interest rate 186 192 386 534 438 416 447
a  the ltip awards of 3 november 2005 and 28 september 2006 had a release date of 3 november 2008 and 28 september 2009 respectively there was no expiry 
date and therefore remaining contractual life on the basis that the awards release immediately the ltip nil cost options had a vesting date of 3 november 2008 
and 28 september 2009 and an expiry date of 3 november 2015 and 28 september 2016 respectively the performance conditions for the ltip awards made 
on 3 november 2005 were based on the ﬁ nancial results for the year ended 31 december 2008 and based on the ﬁ nancial performance of the group 80 
of the awards and options vested on 20 march 2009 the remainder of the awards and options made on 3 november 2005 and all the awards made on 
28 september 2006 lapsed
b  the cip awards have a release date of 21 march 2009 and 21 march 2010 there is no expiry date and therefore remaining contractual life on the basis that the 
awards release immediately the cip nil cost options have a vesting date of 21 march 2009 and 21 march 2010 and an expiry date of 21 march 2016 and 21 march 
2017 the performance conditions for the cip matching awards made on 21 march 2006 were based on the ﬁ nancial results for the year ended 31 december 2008 
and based on the ﬁ nancial performance of the group 80 of the awards vested on 20 march 2009 the remainder of the matching awards made on 21 march 2006 
lapsed the proportion of the cip awards that represented the deferred bonus for the year ended 31 december 2005 were released on 20 march 2009
c  the cip matching shares and share option plan awards made in 2008 and 2009 did not have performance conditions set by the remuneration committee at 
the date of the award a valuation was performed for those awards based on the terms that applied to similar awards made in previous years the remuneration 
committee set the performance conditions for the awards made in 2008 and 2009 effective from 22 march 2010 and the valuation of these awards has been 
updated in the year ended 31 december 2010
d  the ltip awards have a release date of 23 march 2013 there is no expiry date and therefore remaining contractual life on the basis that the awards release 
immediately the ltip nil cost options have a vesting date of 23 march 2013 and an expiry of 23 march 2020 the performance conditions are set out below
the performance conditions for the grant of awards under the ltip are set out in the following table
for november 2005 and march 2006 awards adjusted eps p for the year ended 31 dec 2008 11p 12p 13p 14p
for september 2006 awards  increase in adjusted eps for year ended 30 june 2009 compared to eps 
of prior year 15 20 25 30
growth in free cash ﬂ ow per share
10 6 13 19 25
15 13 25 38 50
20 19 38 56 75
25 25 50 75 100
 adjusted eps
it is recognised by the remuneration committee that the additional eps targets represent a highly challenging goal and consequently 
in determining whether they have been met the committee will exercise its discretion the overall aim is that the relevant eps targets 
must have been met on a run rate or underlying basis as such an adjusted measure of eps will be calculated designed to assess 
the underlying performance of the business
while the remuneration committee reserves the right to adjust eps as it sees ﬁ t at the time by way of example the following 
adjustments are currently anticipated
rg012p3279vawindd   67 07042011   0916 68 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
24 share based payment continued
• in a growth company such as regus costs are necessarily incurred in one year to drive proﬁ ts in future years thus it is important 
to ensure management is not incentivised to cut back on these investments to meet eps targets in any one year accordingly those 
costs incurred in the vesting year which it considers necessary to drive future growth will be excluded from the eps calculation 
these would include inter alia the costs of the business development departments excess marketing expenditures and current 
year losses from investing in new locations
• any oneoff or nonrecurring costs will be excluded
• it is expected that in the period between 2006 and 2008 the cash tax rate will rise as cumulative tax losses are utilised thereby 
increasing progressively the challenge of achieving a 14p eps target this will then be further complicated by the need to recognise 
deferred tax assets as the business strengthens reducing the accounting rate of tax in one year and increasing it in the next to 
provide greater clarity and incentive to management eps will be calculated based upon the cash tax rate up to a maximum of 30
• the remuneration committee is of the opinion that the eps and free cash ﬂ ow performance targets are a transparent and accurate 
measure of the company’s performance at this time and are the key corporate metrics for driving long term shareholder value 
in addition the tsr condition will ensure that executives are encouraged to focus on ensuring that the company’s return to 
shareholders is competitive compared to comparable companies
the performance conditions for awards under the matching share element of the cip made in march 2007 are set out below
 increase in published eps for the year ended 31 december 2009 compared to the published eps for the prior 
year 15 20 25 30
growth in free cash ﬂ ow per share over 3 years
10 6 13 19 25
15 13 25 38 50
20 19 38 56 75
25 25 50 75 100
 denotes the  of the award which will be released at the end of the performance period
in addition no awards will be released unless the company’s tsr is at least at the median when compared against that of 
the companies comprising the ftse 350 support services sector at the date of the grant subject to the discretion of the 
remuneration committee
the associated investment share awards made in march 2007 will be released to participants subject to any tax liabilities in 
accordance with the rules of the cip
as indicated in the remuneration report in the annual report for the year ended 31 december 2008 the remuneration committee 
felt it inappropriate to set speciﬁ c performance conditions for matching shares under the cip and options awards under the share 
option plan awarded in march 2008 and march 2009 but were committed to carrying out a thorough review of the matter during 2009 
the remuneration committee has agreed that the following modiﬁ cations will be made to the awards made in 2008 and 2009 and 
that the following performance conditions will apply to these awards effective from 22 march 2010
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 shareholder and other information
the total number of awards made in 2008 and 2009 to each participant will be divided into three separate equal amounts and will 
be subject to future performance periods of three four and ﬁ ve years respectively thus conditional on meeting the performance 
targets the ﬁ rst amount will not vest until march 2013 the second will not vest until march 2014 and the third will not vest until 
march 2015 these vesting dates relate to the ﬁ nancial years ending 31 december 2012 31 december 2013 and 31 december 
2014 respectively the vesting of these awards will be subject to the achievement of challenging corporate performance targets 
75 of each of the three amounts will be subject to deﬁ ned earnings per share eps targets over the respective performance 
periods the remaining 25 of each will be subject to relative total shareholder return tsr targets over the respective periods 
the targets will be as follows
eps targets for the ﬁ nancial years ending
 of awards eligible for vesting 2012 2013 2014
25 15p 17p 18p
50 16p 20p 22p
75 17p 23p 26p
100 18p 26p 30p
no shares will vest in each respective year unless the minimum eps target for that year is achieved
 of awards eligible for vesting regus tsr  achieved relative to ftse all share total return index
nil 100
25 above 100 but below 101
increments of 075 for each complete 1 above 100
100 200 or above
 over three four or ﬁ ve year performance period
regus plc value creation plan
2010 2009
number of 
entitlements
number of 
entitlements
at 1 january 21000000 21000000 
vcp entitlements awarded during the year – – 
lapsed during the year – –
outstanding at 31 december 21000000 21000000
plan
date of 
award
numbers 
awarded lapsed exercised at 31 dec 2010
measurement 
date
vcp tier 1 awards 20052008 3500000 – – 3500000 –
vcp tier 2 awards 20052008 6000000 – – 6000000 –
vcp tier 3 awards 20052008 10000000 – – 10000000 –
vcp tier 4 awards 20052008 3000000 1500000 – 1500000 –
22500000 1500000 – 21000000 
31032010 – 
31032013
rg012p3279vawindd   69 07042011   0916 70 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
24 share based payment continued
the fair value of services received in return for share based payments are measured by reference to the fair value of the equity 
instruments granted no awards were exercisable at the yearend 2009 nil
the vcp awards are valued using the monte carlo method
the inputs to the model are as follows
21052008
vcp
share price on award date 10700p 
exercise price 10700p 
number of simulations 200000 
number of companies 36 
award life 186 – 486 yrs
expected dividend 093
total fair value of awards at time of grant £13m
risk free interest rate 471
the vcp awards have measurement dates of 31 march 2010 31 march 2011 31 march 2012 and 31 march 2013 if at the measurement 
dates the share price targets have been met the eligible vcp entitlements will be converted into options over ordinary shares 
the options are not subject to further performance conditions but are exercisable on the following basis
in year ended 
31122010
in year ended 
31122011
in year ended 
31122012
in year ended 
31122013
percentage of entitlements converted to options at the 31032010 
measurement date that can be exercised 40 20 20 20
percentage of entitlements converted to options at the 31032011 
measurement date that can be exercised – 40 30 30
percentage of entitlements converted to options at the 31032012 
measurement date that can be exercised – – 40 60
percentage of entitlements converted to options at the 31032013 
measurement date that can be exercised – – – 100
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 shareholder and other information
the performance conditions of the vcp entitlements are as follows
number of shares earned less those earned at any prior measurement date
tier 1 awards tier 2 awards tier 3 awards tier 4 awards
first measurement 
date 31032010 share price less than £260 – – – –
share price is £260 or more but less than £350 2500000 4285714 7142857 2142857 
share price is £350 or more 3500000 6000000 10000000 3000000 
second measurement 
date 31032011 share price less than £260 – – – –
share price is £260 or more but less than £350 1800000 3085714 5142857 1542857 
share price is £350 or more but less than £450 2500000 4285714 7142857 2142857 
share price is £450 or more 3500000 6000000 10000000 3000000 
third measurement 
date 31032012 share price less than £260 – – – –
share price is £260 or more but less than £350 1200000 2057143 3428571 1028571 
share price is £350 or more but less than £450 1800000 3085714 5142857 1542857 
share price is £450 or more 2500000 4285714 7142857 2142857 
fourth measurement 
date 31032013 share price less than £260 – – – –
share price is £260 or more but less than £350 600000 1028571 1714286 514285 
share price is £350 or more but less than £450 1200000 2057143 3428571 1028571 
share price is £450 or more 1800000 3085714 5142857 1542857
where the share price targets have not been met by 31 march 2013 then the vcp entitlement will not convert no ordinary shares 
will be earned and no vcp options will be granted under the vcp 
in respect of the ﬁ rst and second measurement dates 31 march 2010 and 31 march 2011 respectively the company’s share 
price was below the target and no vcp entitlements vested
25 acquisitions
during the year ended 31 december 2010 the group made the following acquisitions 2009 none 
name region
purchase 
consideration 
including costs 
£m
percentage of 
equity and voting 
rights acquired
date of 
acquisition
100 equity share capital acquisitions
abbey business centres limited  abbey ofﬁ ces limited uk 30 100 03122010
hq do brazil administracao de bens e servicos ltda americas 102 100 30092010
business facilities international sa emea 18 100 15012010
asset acquisition
advanced business technology inc americas 32 na 11012010
in addition to the above a further £27 million of purchase consideration was paid to complete a further 12 business and net 
asset acquisitions
rg012p3279vawindd   71 07042011   0916 72 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
book value
£m
fair value 
adjustments
£m
fair value
£m
net assets acquired
intangible assets 01 23 24 
property plant and equipment note 14 102 23 125 
other noncurrent assets 26  – 26 
cash 39 – 39 
other current assets 75 14 61 
current liabilities 189 – 189
non current liabilities 29 – 29
 25 32 57
goodwill arising on acquisition 152 
total consideration 209
deferred consideration –
209
cash ﬂ ow on acquisition
cash acquired 39 
overdrafts and loans acquired –
cash paid 209
net cash outﬂ ow 170
 intangible assets comprise the fair value of customer contracts or in the case of managed centres the fair value of the management contract acquired
there was no contingent consideration arising on the above acquisitions
if the above equity acquisitions had occurred on 1 january 2010 the revenue and net retained loss arising from these acquisitions 
would have been £407 million and £14 million respectively in the year these equity acquisitions contributed revenue of £118 million 
and a net retained loss of £18 million
the goodwill arising on the above acquisitions reﬂ ects the anticipated future beneﬁ ts regus can obtain from operating the businesses 
more efﬁ ciently primarily through increasing occupancy and the addition of value adding services £12 million of the above goodwill 
is expected to be deductable for tax purposes
the acquisition costs associated with these transactions were £10m 2009 £nil recorded within administration expenses within 
the consolidated income statement
adjustments to acquisitions and the payment of contingent consideration in relation to acquisitions completed prior to 1 january 2009
additional consideration of £nil 2009 £03 million was accrued as a result of the improved ﬁ nancial performance of acquisitions 
under contractual earnout provisions there were no amendments in 2010 to provisional purchase price allocations on acquisitions 
completed in previous years 2009 £05 million
there were no signiﬁ cant acquisitions completed after 31 december 2010
26 capital commitments
2010
£m
2009
£m
contracts placed for future capital expenditure not provided in the ﬁ nancial statements 116 25 
these commitments are principally in respect of ﬁ t out obligations on new centres opening in 2011 in addition our share of the 
capital commitments of joint ventures amounted to £nil at 31 december 2010 2009 £nil
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 shareholder and other information
27 noncancellable operating lease commitments
at 31 december 2010 the group was committed to make the following payments in respect of operating leases
2010 2009 restated
property
£m
motor vehicles 
plant and 
equipment
£m
total
£m
property
£m
motor vehicles 
plant and 
equipment
£m
total
£m
lease obligations falling due
within one year 3751 77 3828 3678 22 3700
between two and ﬁ ve years 8527 251 8778 8226 59 8285
after ﬁ ve years 3295 43 3338 3505 24 3529
15573 371 15944 15409 105 15514 
noncancellable operating lease commitments exclude future contingent rental amounts such as the variable amounts payable under 
performance based leases where the rents vary in line with a centre’s performance following a detailed review of the group’s lease 
database during the year the prior year lease obligation disclosures were deemed to have overstated the minimum noncancellable 
lease commitments the disclosure has been restated accordingly
28 contingent assets and liabilities
the group has bank guarantees and letters of credit held with certain banks amounting to £1022 million december 2009 
£470 million a number of lawsuits are pending against the group the outcome of which in the aggregate is not expected 
to have a material effect on the group 
29 related parties
joint ventures
during the year ended 31 december 2010 the group received management fees of £16 million 2009 £35 million from its joint 
venture entities at 31 december 2010 £29 million 2009 £29 million was due to the group from joint ventures of which £nil 
of this debt has been provided for at 31 december 2010 2009 £nil 
key management personnel
no loans or credit transactions were outstanding with directors or ofﬁ cers of the company at the end of the year or arose during 
the year that need to be disclosed 
during the year ended 31 december 2010 the group acquired goods and services from a company indirectly controlled by 
a director of the company amounting to £30738 2009 £30118 the goods and services were acquired in arm’slength 
transactions there was a nil balance outstanding at year end 2009 nil
compensation of key management personnel including directors 
key management personnel include those personnel including directors that have responsibility and authority for planning 
directing and controlling the activities of the group
2010
£m
2009
£m
short term employee beneﬁ ts 31 28 
share based payments 14 10 
 45 38 
share based payments included in the table above reﬂ ect the accounting charge in the year the full fair value of awards granted in 
the year was £27 million 2009 £49 million these awards are subject to performance conditions and vest three years from the 
award date
rg012p3279vawindd   73 07042011   0916 74 regus plc annual report and accounts 2010   
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financial statements
notes to the accounts continued
30 principal group companies
the group’s principal subsidiary undertakings at 31 december 2010 their principal activities and countries of incorporation are set 
out below
name of undertaking
country of 
incorporation
 of ordinary 
share and 
votes held name of undertaking
country of 
incorporation
 of ordinary 
share and 
votes held
principal activity – 
trading companies
principal activity – 
holding companies
regus business centres 
uk limited
england 100 regus h holdings inc british virgin 
islands
100
stonemartin corporate 
centres limited 
england 100 rgn general partner holdings corp canada 100
regus paris sas france 100 rgn limited partner holdings corp canada 100
regus gmbh  co kg germany 100 insignia partnership canada 100
regus business centres italia srl italy 100 regus management de chile ltda chile 100
regus japan kk japan 100 regus denmark holding as denmark 100
regus management de mexico 
sa de cv
mexico 100 regus group limited england 100
regus amsterdam bv netherlands 100 regus limited sàrl england
luxembourg
100
regus business centre sa spain 100 regus centres limited england 100
regus business centre ag switzerland 100 regus investments limited england 100
hq global workplaces llc united states 100 regus business centres holding england 100
regus business center llc united states 100 regus business centres trading 
limited
england 100
regus equity business centers llc united states 100 regus h holdings england 100
regus h uk england 100
principal activity – 
management companies
regus centres uk limited england 100
regus holdings uk limited england 100
regus australia management 
pty limited
australia 100 regus holdings sas france 100
regus do brasil ltda brazil 100 regus deutschland gmbh germany 100
regus management sro czech republic 100 regus germany holding gmbh 
 co kg
germany 100
regus emea fsc sro czech republic 100 regus management gmbh germany 100
regus management as denmark 100 regus europe limited jersey 100
regus management limited england 100 regus no1 sàrl luxembourg 100
regus management uk limited england 100 regus no2 sàrl luxembourg 100
regus business centre sas france 100 regus businessworld 
luxembourg sàrl 
luxembourg 100
regus asia paciﬁ c management 
limited
hong kong 100 regus middle east sàrl luxembourg 100
regus centre management limited hong kong 100 regus india holdings limited mauritius 100
regus businessworld limited jersey 100 regus pakistan holdings limited mauritius 100
regus amsterdam bv netherlands 100 regus mexico s de rl de cv mexico 100
regus service centre philippines bv netherlands 100 regus netherlands bv netherlands 100
rmg south africa pty limited south africa 100 regus business centres bv netherlands 100
regus business ventures 
pty limited
south africa 100 regus business centre norge as norway 100
regus business world pty limited south africa 100 regus holding gmbh switzerland 100
regus management espana sl spain 100 regus corporation llc united states 100
regus management group llc united states 100 regus holdings llc united states 100
regus international services llc uruguay 100 regus h holdings llc united states 100
regus international services sa uruguay 100
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 shareholder and other information
31 key judgmental areas adopted in preparing these accounts
the preparation of ﬁ nancial statements in accordance with ifrs requires management to make certain judgements and assumptions 
that affect reported statements and related disclosures 
fair value accounting for business combinations
for each business combination we assess the fair values of assets and liabilities acquired where there is not an active market in 
the category of the noncurrent assets typically acquired with a business centre or where the books and records of the acquired 
company do not provide sufﬁ cient information to derive an accurate valuation management calculate an estimated fair value based 
on available information and experience 
the main categories of acquired noncurrent assets where management’s judgment has an impact on the amounts recorded include 
tangible ﬁ xed assets customer list intangibles and the fair market value of leasehold assets and liabilities for signiﬁ cant business 
combinations management also obtain third party valuations to provide additional guidance over the appropriate valuation to be 
included in the ﬁ nancial statements 
valuation of intangibles and goodwill
we evaluate the fair value of goodwill and intangibles to assess potential impairments on an annual basis or during the year if an 
event or other circumstance indicates that we may not be able to recover the carrying amount of the asset we evaluate the carrying 
value of goodwill at the appropriate cashgenerating unit level and make that determination based upon future cash ﬂ ow projections 
which assume certain growth projections which may or may not occur we record an impairment loss for goodwill when the carrying 
value of the intangible asset is less than its estimated recoverable amount further details of the methodology and assumptions 
applied to the impairment review in the year ended 31 december 2010 including the sensitivity to changes in those assumptions 
can be found in note 12
tax assets and liabilities
we base our estimate of deferred tax assets and liabilities on current tax laws and rates and in certain cases business plans and 
other expectations about future outcomes changes in existing laws and rates and their related interpretations and future business 
results may affect the amount of deferred tax liabilities or the valuation of deferred tax assets over time our accounting for deferred 
tax consequences represents management’s best estimate of future events that can be appropriately reﬂ ected in the accounting 
estimates it is current group policy to recognise a deferred tax asset when it is probable that future taxable proﬁ ts will be available 
against which the assets can be used the group considers it probable if the entity has made a taxable proﬁ t in the previous year 
and is forecast to continue to make a proﬁ t in the foreseeable future where appropriate the group assesses the potential risk of 
future tax liabilities arising from the operation of its business in multiple tax jurisdictions and includes provisions within tax liabilities 
for those risks that can be estimated reliably changes in existing tax laws can affect large international groups similar to regus 
and could result in signiﬁ cant additional tax liabilities over and above those already provided for
onerous lease provisions
we have identiﬁ ed certain poor performing centres where the lease is considered onerous ie the group does not expect to recover 
the unavoidable lease costs up to the ﬁ rst break point the accounts include a provision for our estimate of the net amounts payable 
under the terms of the lease to the ﬁ rst break point discounted at the group weighted average cost of capital where appropriate
dilapidations
certain of our leases with landlords include a clause obliging the group to hand the property back in the condition as at the date 
of signing the lease the costs to bring the property back to that condition are not known until the group exits the property so the 
group estimates the costs at each balance sheet date however given that landlords often regard the nature of changes made 
to properties as improvements the group estimates that it is unlikely that any material dilapidation payments will be necessary 
consequently provision has been made only for those potential dilapidation payments when it is probable that an outﬂ ow will 
occur and can be reliably estimated
rg012p3279vawindd   75 07042011   0916 76 regus plc annual report and accounts 2010   
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financial statements
parent company accounts
summarised extract of company balance sheet prepared under luxembourg gaap
as at
31 dec 2010
luxembourg 
gaap
£m
as at
31 dec 2009
luxembourg 
gaap
£m
assets
c fixed assets
iii financial assets
1 shares in afﬁ liated undertakings 2245 2874
2 loans to afﬁ liated undertakings 5789 5631
d current assets
ii debtors
2 amount owed by afﬁ liated undertakings becoming due and payable within one year 208 39
iii transferable securities
2 own shares or corporate units 9070906 shares of £001 per share 2009 1576498 shares 71 04
iv cash at bank and in hand 06 01
e prepayments and accrued income 07 06
total assets 8326 8555 
liabilities
a capital and reserves
i subscribed capital 95 95
ii share premium account 537 537
iv reserves
1 legal reserve 09 09
2 reserve for own shares 71 04
4 other distributable reserve 5129 5196
v proﬁ t or loss brought forward 2597 2552
interim dividend of the year 31 33
vi proﬁ t or loss for the ﬁ nancial year 191 134
b provisions for liabilities and charges
3 other provisions 03 02
c creditors
4 trade creditors becoming due and payable within one year – 01
6 amounts owed to afﬁ liated undertakings
becoming due and payable within one year 107 58
total liabilities 8326 8555
approved by the board on 21 march 2011
mark dixon   stephen gleadle
chief executive ofﬁ cer  chief financial ofﬁ cer
accounting policies
basis of preparation
the ﬁ nancial statements have been prepared in accordance with applicable luxembourg accounting standards and under the historical 
cost accounting rules which differ in material respects from ifrs in both the measurement and presentation of certain transactions
the company is included in the consolidated accounts of regus plc
the balance sheet has been extracted from the full accounts of regus plc for the period ended 31 december 2010 which are 
available from the company’s registered ofﬁ ce boulevard royal luxembourg and which will be ﬁ led with both the luxembourg 
chamber of commerce and the jersey register of companies
rg012p3279vawindd   76 07042011   0916  shareholder and other information business review corporate gover nance financial statements
regus plc annual report and accounts 2010 77
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segmental analysis – management basis unaudited
americas emea asia paciﬁ c united kingdom other total
2010 2010 2010 2010 2010 2010
mature
workstations 70384 33149 20772 32571 – 156876
occupancy  797 774 796 758 – 784
revenue £m 4200 2665 1316 1716 17 9914
contribution £m 1006 664 379 136 14 2199
2009 expansions
workstations 1185 1180 734 1278 – 4377
occupancy  670 620 541 500 – 585
revenue £m 53 48 50 39 – 190
contribution £m 02 03 27 01 – 29
2010 expansions
workstations 2013 1706 1838 666 – 6223
occupancy  620 615 417 516 – 548
revenue £m 87 94 48 22 – 251
contribution £m 06 21 37 06 – 70
closures
workstations 683 85 93 336 – 1197
occupancy  753 702 505 570 – 679
revenue £m 29 05 03 12 – 49
contribution £m 07 12 05 01 – 01
total
workstations 74265 36120 23437 34851 – 168673
occupancy  790 761 758 743 – 769
revenue £m 4369 2812 1417 1789 17 10404
contribution £m 991 658 364 132 14 2159
unallocated contribution £m
revpaw £ 5883 7785 6046 5133 – 6168
shareholder and other information
segmental analysis
rg012p3279vawindd   77 07042011   0916 78 regus plc annual report and accounts 2010   
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shareholder and other information
segmental analysis continued
americas emea asia paciﬁ c united kingdom other total
2009 2009 2009 2009 2009 2009
mature
workstations 69088 33085 20809 32370 – 155352 
occupancy  791 796 758 779 – 784
revenue £m 4094 2991 1291 1872 14 10262
contribution £m 938 851 392 196 10 2387
2009 expansions
workstations 707 657 260 439 – 2063 
occupancy  460 413 349 311 – 399
revenue £m 21 20 15 06 – 62 
contribution £m 12 08 10 08 – 18
2009 closures
workstations 1158 225 25 221 – 1629 
occupancy  669 632 910 791 – 684
revenue £m 48 28 02 21 – 99 
contribution £m 08 02 – 04 – 06
2010 closures
workstations 1324 293 296 498 – 2411 
occupancy  727 888 935 872 – 784
revenue £m 75 23 15 15 – 128 
contribution £m 11 11 01 07 – 06
total
workstations 72277 34260 21390 33528 – 161455 
occupancy  784 786 751 771 – 777
revenue £m 4238 3062 1323 1914 14 10551 
contribution £m 929 830 403 185 10 2357 
unallocated contribution £m – – – – – 01
revpaw £ 5864 8938 6185 5706 – 6535 
• the mature business is deﬁ ned as those centres owned and operated at least 12 months prior to 1 january 2009 and that 
therefore have a full 12 month comparative
• expansions include new centres opened and acquired businesses
• a 2010 closure is deﬁ ned as a centre closed during the 12 months ended 31 december 2010 for which there is a 12 month 
comparative in 2009 a 2009 closure is deﬁ ned as a centre closed during the 12 months ended 31 december 2009
• workstation numbers are calculated as the weighted average for the year
• emea represents europe excluding uk middle east and africa
• contribution in 2010 is £20 million 2009 20 million less when compared to note 3 owing to the exclusion of internal revenue
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 shareholder and other information
shareholder and other information
five year summary
full year ended
31 dec 2010
£m
full year ended
31 dec 2009
£m
full year ended
31 dec 2008
£m
full year ended
31 dec 2007
£m
full year ended
31 dec 2006
£m
revenue 10404 10551 10772 8624 6800 
cost of sales before nonrecurring costs 8245 8195 7715 6105 4959
exceptional cost of sales 119 – – – –
cost of sales 8364 8195 7715 6105 4959
gross proﬁ t centre contribution 2159 2356 3057 2519 1841 
administration expenses before nonrecurring expenses 1934 1653 1583 1293 1019
exceptional administration expenses 39 26 – – –
administration expenses 1973 1679 1583 1293 1019
operating proﬁ t before exceptional 225 677 1474 1226 822 
exceptional income from legal settlement – 183 – – –
operating proﬁ t after exceptional 67 860 1474 1226 822 
share of posttax proﬁ tloss of joint ventures 13 20 23 08 01
share of posttax proﬁ t of associate – – – – 12 
proﬁ tloss before ﬁ nancing costs 80 880 1497 1234 833 
finance expense 20 44 68 81 80
finance income 18 33 63 41 22 
proﬁ tloss before tax for the year 78 869 1492 1194 775 
tax chargecredit 59 192 343 158 48 
proﬁ tloss after tax for the year 19 677 1149 1036 823 
attributable to
equity shareholders of the parent 15 670 1139 1031 823 
minority interests 04 07 10 05 – 
 19 677 1149 1036 823 
earningsloss per ordinary share eps
basic p 02p 71p 120p 105p 84p 
diluted p 02p 70p 118p 104p 83p 
weighted average number of shares outstanding ‘000’s 947463 948204 950320 980962 984792 
balance sheet data as at 31 december
intangible assets 3308 3074 3303 2699 2631 
property plant and equipment 2708 2409 2780 1847 1272 
deferred tax assets 371 651 790 468 361 
trade and other receivables 2999 2503 2824 2172 1727 
cash cash equivalents and liquid investments 2046 2451 2195 1429 809 
total assets 11432 11088 11892 8615 6800 
current liabilities 5418 5045 5923 4482 3408 
noncurrent liabilities 1058 966 1081 961 1030 
provisions 98 82 85 74 117 
equity minority interests 01 – 03 05 – 
equity shareholders funds’ 4857 4995 4800 3093 2245 
total liabilities and shareholders’ funds 11432 11088 11892 8615 6800 
rg012p3279vawindd   79 07042011   0916 shareholder information
secretary and registered ofﬁ ce 
tim regan company secretary
regus plc société anonyme
registered ofﬁ ce  registered head ofﬁ ce
22 grenville street  26 boulevard royal
st helier   l2449 luxembourg
jersey
je4 8px
registered number
jersey   luxembourg
101523   rcs b 141 159
registrars
equiniti jersey limited
po box 63
11 – 12 esplanade
st helier
jersey
je4 8ph
auditor
kpmg audit sàrl
9 allée scheffer
l2520 luxembourg
legal advisers to the 
company as to english law
slaughter and may
one bunhill row
london ec1y 8yy
legal advisers to the 
company as to luxembourg law
noble  scheidecker
avocats à la cour
398 route d’esch
l1471 luxembourg
corporate stockbrokers
investec bank plc
2 gresham street
london ec2v 7qp
goldman sachs
peterborough court
133 fleet street
london ec4a 2bb
reservations
uk telephone 0870 880 8484
us telephone 1877regus87 or
  001 954 331 1647
websites
wwwreguscom
wwwhqcom
available workstations
the total number of workstations in the group also termed 
inventory during the year this is expressed as a weighted 
average at period ends the absolute number is used 
bric economies
bric economies include brazil russia india and china
centre contribution
gross proﬁ t comprising centre revenues less direct operating 
expenses but before administrative expenses
ebitda
earnings before interest tax depreciation and amortisation
ebitdar
earnings before interest tax depreciation amortisation
and rent
enquiries
client enquiries about regus products or services
expansions
a general term which includes new business centres established 
by regus and acquired centres in the year
forward order book
the future workstation revenue already contracted with clients 
at a point in time
like for like
the ﬁ nancial performance from centres owned and operated 
for a full 12 months prior to the start of the ﬁ nancial year which 
therefore have a full year comparative
mature business
operations owned for a full 12 month period prior to the start of 
the ﬁ nancial year which therefore have a full year comparative
‘n11’ economies
‘n11’ economies include egypt indonesia south korea 
mexico nigeria philippines turkey and vietnam
occupancy
occupied workstations divided by available workstation 
expressed as a percentage
occupied workstations
workstations which are in use by clients this is expressed 
as a weighted average for the year 
organic growth
growth attributable to the mature portfolio and from new 
business centres established by regus
revpaw
total revenue per available workstations revenueavailable 
workstations
revpow
total revenue per occupied workstation
wipow
workstation income per occupied workstation
corporate directory glossary
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Summary:
  business review corporate gover nance financial statements shareholder and other information
regus plc annual report and accounts 2010 07
wwwreguscominvestor
directors’ report business review
chief executive’s review
a strong track record of delivery
2010 was a solid year of performance 
made possible by the delivery of key 
strategic initiatives rather than any 
noticeable pick up in the world economy 
that the business remained proﬁ table and 
in 2010 generated more cash than in 2009 
demonstrates our strong and deep 
foundations 
we are now a much ﬁ tter and more 
nimble business which will be to the 
beneﬁ t of our customers and 
shareholders the strategic initiatives of 
2010 were focused on orientating the 
business to recover occupancy and 
margin in 2011 regardless of the rate of 
economic recovery this includes having 
the right business centres in the right 
places on the right terms generating 
more enquiries and increasing the sales 
conversion streamlining processes and 
structures continually innovating our 
product and service mix and crucially 
investing in our people such investments 
have come at some cost but it is 
important to highlight these investments 
are fully self funded and we expect to see 
a return in 2011
we continue to experience broadbased 
demand across all markets and market 
sectors but especially from large 
multinationals for our assistance in 
supporting their move to lower cost ﬂ exible 
working models this accelerating trend is 
one of the key drivers of our business and 
we believe will be so for years to come 
with renewed focus we have delivered 
the growth we set out to achieve at the 
beginning of 2010 we opened 125 new 
centres which led us into seven new 
countries it is our intention to sustain this 
growth rate into 2011 as we look to 
extend our global reach and strengthen in 
country networks giving us an ever 
greater addressable market 
strategy 
our vision is clear to be where people 
and businesses want to work and to be 
the platform from which they work be it 
mobile or ﬁ xed virtual or physical large 
company or small as a result our 
strategy is equally simple to be in as 
many of those locations as quickly as we 
can that we are the only business that 
can aspire to this demonstrates the scale 
of the opportunity in a world of more than 
a billion mobile workers 
strategic highlights
in 2010 we delivered a number of key 
strategic initiatives which have 
transformed the business these are
2009 and 2010 have been 
momentous years for 
the world economy and 
all businesses have had 
to respond and adapt in 
order to progress we 
have been no different 
mark dixon 
chief executive 
• strengthened management structure
– to better manage our growing 
business within our regions we have 
started the process of organising day
today management of 30 country
market groupings with supervisory 
oversight from our new global 
management centre in geneva 
decision making is being accelerated 
and improved in 2010 key hires 
and internal promotions were made 
across all our major geographies 
including canada brazil mexico and 
japan amongst others it is of crucial 
importance that the business continues 
to add to this cadre of its management 
population throughout 2011
• refocused marketing – spend was 
increased by 27 over the course 
of 2010 vs 2009 to £333 million 
the marketing management team 
was reorganised to deliver incountry 
planning and global campaign 
integration moving us away from a 
regional approach additionally a 
number of tasks were brought back 
inhouse including web and search 
engine marketing together this 
resulted in a 32 increase in overall 
global enquiries but more importantly 
a dynamic approach to generating 
enquiries in the locations that most 
need them
• improved sales – signiﬁ cant changes 
to our sales structure supporting 
systems and improved customer 
targeting together with comprehensive 
bespoke training and development 
resulted in deal volumes that were 
12 higher in 2010 than 2009 
good progress was made with our 
corporate accounts team refreshing 
our entire product offering providing 
targeted marketing support and 
systems increasing headcount from 
30 to 79 and making four key senior 
management hires as a result our 
sales picked up strongly in h2 and this 
team now has momentum into 2011 
• streamlined operations – 2010 saw 
further signiﬁ cant progress with our 
ecommerce rollout speciﬁ cally titan 
peoplesoft and oracle which are now 
ﬁ rmly embedded within the business 
a signiﬁ cant number of centre routines 
and procedures were redesigned freeing 
up centre team time to dedicate to 
customers the centralisation of our back 
ofﬁ ce service functions to our shared 
rg012ifcp13awindd   7 07042011   0913 08 regus plc annual report and accounts 2010   
wwwreguscominvestor
directors’ report business review
chief executive’s review continued
scale  
density
unique market 
position
brand
operational 
efﬁ ciency
product 
and service 
innovation
partnerships
our vision is clear to be where people 
and businesses want to work and to 
be the platform from which they work 
be it mobile or ﬁ xed virtual or physical 
large company or small as a result our 
strategy is equally simple to be in as 
many of those locations as quickly as 
we can that we are the only business 
that can aspire to this demonstrates 
the scale of the opportunity in a world 
of more than a billion mobile workers 
strategy and objectives 
service centres was completed in q4 
it is already delivering both operational 
and ﬁ nancial efﬁ ciencies for example 
centralising our it support desk has 
already resulted in annualised savings 
of £15 million 2011 will see further 
centralisation including parts of the 
marketing price and inventory functions
• delivered procurement new centre 
cost efﬁ ciencies – over 2010 we 
continued our proactive approach to 
driving cost and realising efﬁ ciency gains 
throughout the business centralised 
procurement programmes were put in 
place and key hires made the beneﬁ ts 
of which we believe will be felt in 2011 
and beyond excluding the extra costs 
that have been incurred increasing the 
capacity of the business and some 
speciﬁ c investments since the second 
half of 2008 annualised savings have 
been made of circa £135 million 
operational review 
operationally 2010 has been a busy year 
for the group during q4 alone we 
averaged a centre opening a day our 
strategy of controlled and disciplined 
growth has resulted in an increase in total 
capacity including nonconsolidated 
workstations of 9 to 188567 
workstations in the year and the number of 
actual workstations by 88 to 178084 
workstations as at 31 december 2010 
the group opened 125 new centres during 
the year with the total number now 
standing at 1084 of these 61 were as a 
result of organic growth of which 37 were 
opened on ﬂ exible low risk leases
on a regional basis revenues and centre 
contribution can be analysed as follows
               revenue               contribution            mature margin 
£ million 2010 2009 2010 2009 2010 2009
americas 4369 4238 991 929 24 23
emea 2812 3062 658 830 25 28
asia paciﬁ c 1417 1323 364 403 29 30
uk 1789 1914 132 185 8 10
other 17 14 14 09  
  10404 10551 2159 2356 22 23
 the mature business is deﬁ ned as the performance from centres owned and operated at 1 january 2009
americas 
our business in the americas comprises 
canada usa and the countries of latin 
america some 517 centres across 15 
countries our main business in the usa 
operates 411 centres at actual exchange 
rates the region delivered revenues of 
£4369 million – up 31 on 2009 with 
average mature occupancy of 80 during 
the period 2009 79 during the year 
we added 46 centres which contributed 
to the increase in the average number of 
consolidated workstations from 72277 in 
2009 to 74265 in 2010 
the business made two key acquisitions in 
november 2010 one in dallas adding nine 
centres and one in brazil adding 16 the 
latter acquisition makes us the number 
one workplace provider in that market 
emea
our business in emea encompasses 278 
centres across 49 countries the region 
delivered revenues of £2812 million down 
82 on 2009 and achieved an average 
mature occupancy of 77 2009 80 
during the year we opened 36 centres 
including 16 through acquisition this 
contributed to the increase in the average 
number of consolidated workstations from 
34260 in 2009 to 36120 in 2010 we 
opened our ﬁ rst centres in ghana oman 
t anzania and lithuania new cities porto 
and basel
asia paciﬁ c
our business in asia operates in 133 
centres across 16 countries the region 
delivered revenues of £1417 million up 
71 on 2009 and achieved an average 
mature occupancy of 80 2009 76 
during the year we opened 20 centres 
which increased the average number of 
consolidated workstations from 21390 in 
2009 to 23437 in 2010 
uk
conditions during 2010 continued to be 
extremely challenging with renewed 
pressure on key performance indicators 
and particularly price set against this 
backdrop the region delivered revenues 
of £1789 million down 65 on 2009 
and achieved an average mature 
occupancy of 76 2009 78 during 
rg012ifcp13awindd   8 07042011   0913  business review corporate gover nance financial statements shareholder and other information
regus plc annual report and accounts 2010 09
wwwreguscominvestor
the year we opened 23 centres of which 
15 were through acquisition this 
increased the average number of 
consolidated workstations from 33528 in 
2009 to 34851 in 2010 
in q2 we embarked on a signiﬁ cant 
restructure of our uk lease portfolio 
working in partnership with our landlords 
many were renegotiated and regeared 
and only three centres were closed this 
process concluded in q3 and will result in 
annualised savings of up to £15 million per 
annum we are conﬁ dent that in 2011 our 
uk business will return to operating proﬁ t
market opportunities – how 
we help our customers 
our extensive geographic network offers 
a broad range of opportunities for regus 
as organisations of all sizes begin to 
seriously address structural inefﬁ ciencies 
in their property portfolio and as pressure 
from workers increases to make work 
more ﬂ exible in terms of both time and 
geographic location
businesses around the world from the very 
largest to the newest startup are 
increasingly recognising the beneﬁ ts of 
being propertylight reducing the number 
of ofﬁ ces they lease this then enables their 
people to work where they need to rather 
than where they always have been and for 
their business to realise the immediate 
beneﬁ ts of increased productivity and 
decreased costs as such a move to 
regus is very much a commercial and 
ﬁ nancially driven decision with the regus 
advantage regularly delivering savings of 
5080 vs a comparable traditional leased 
ofﬁ ce model we are attractive to any size 
of business and not just small and medium 
sized businesses on a short term basis 
60 of our customers use us for more 
than 30 months 40 of our customer 
base is large corporates and 20 sole 
traders and micro businesses 
the scale and density of our ever 
expanding network our strong track 
record of delivery and our constant ability 
to innovate both product and service 
mean we are well placed to help our 
customers both current and future 
address the challenges of work wherever 
they need us for example
yell – uk based business 
directory service
closed 18 underutilised sales ofﬁ ces and 
transferred circa700 sales consultants to 
regus through our businessworld model 
this approach is more cost effective 
lower risk ﬂ exible sustainable and is 
gradually increasing productivity as less 
time is spent commuting and working in 
poorly equipped places 
711 – leading us franchised 
food retailer
since year end we have signed a deal with 
711 whereby they will close more than 35 
underutilised regional ofﬁ ces more than 
250 franchise managers will use the regus 
network establishing ﬂ exible zone ofﬁ ces in 
regus centres coupled with 250 days of 
meeting rooms per month and several 
hundred businessworld cards 711 will 
reduce overhead by eliminating small ofﬁ ces 
from their property portfolio and franchise 
managers will have more time to spend with 
their customers as they leverage more than 
400 regus business centres
att – leading telecommunications 
service provider
use regus ofﬁ ces in 18 countries 
including canada china vietnam 
denmark and peru coupled with 500 
businessworld cards att rely on regus 
to ensure ﬂ exibility and speed of response 
especially when working on major new 
contracts in new or challenging markets
network growth 
in an ever more mobile nomadic world of 
work our primary asset our business 
centres will remain the foundation for our 
growth indeed it is our extensive 
network virtually impossible to replicate in 
the medium term which is so attractive to 
our customers and prospects and from 
which we will create signiﬁ cant 
shareholder value
a larger network is necessary because
• our addressable market grows locally 
from the businesses immediately 
surrounding the new location and 
globally for multinational businesses that 
want to do business in that location
• we can leverage operational efﬁ ciencies
• additional brand exposure
• we become an ever more attractive 
partner to other high proﬁ le global 
brands and
• the barriers to competitive entry 
become greater 
as such continued growth is core to our 
strategy
it is important to state that our growth 
strategy is based upon making our past 
successes repeatable we focus on 
projects that we can do again and again 
moving us from one level to the next 
growth is always low risk and balanced it 
is never growth for its own sake
the acquisitions we have made and the 
organic growth which has happened 
alongside have expanded our served and 
addressable market we now have 1084 
centres worldwide
outlook
against a tough economic backdrop the 
business delivered solid ﬁ nancial results in 
2010 driven almost entirely by execution 
of a range of key strategic initiatives we 
have seen little beneﬁ t from any economic 
upturn we have continued to invest in 
growth mature margins have held up well 
and cash ﬂ ow continued to be strong 
reﬂ ecting the underlying health of 
the business
we remain cautious on the economy 
however we have been encouraged by 
recent positive trends that reﬂ ect the 
continued strategic delivery of the group in 
2011 we are well positioned for a year of 
solid revenue growth business improvement 
with strong underlying cashﬂ ow generation
arguably the recession of the last two years 
has been good for our business it made us 
take a long hard look at everything we did 
improve it and in doing so we have been 
transformed that we have emerged from 
2010 for the better is a testament to the 
hard work and dedication of our global 
team of highly motivated individuals we 
have restructured and streamlined our 
management we have grown and opened 
up new markets we have continued to 
innovate we have radically improved our 
sales and marketing and we have 
continued to automate and improve our 
processes we are a better business than 
we were when the recession started and 
we will realise the beneﬁ ts of the many 
improvements made over the years to 
come
finally i would like to thank our employees 
customers shareholders suppliers and all 
other partners for their continuing support 
we look forward to an improved 2011 and 
the opportunity to grow our business and 
in doing so lead our industry
mark dixon 
chief executive 
21 march 2010
rg012ifcp13awindd   9 07042011   0913