THE GO-AHEAD GROUP PLC ENVIRONMENTAL & SOCIAL REPORT 2007 www.go-ahead.com/corporateresponsibility Group 100% magenta Group 100% magenta Group 100% magenta GrouGroup p300u 100% magenta Group 300uGroup 300u Group 300u Group 100% magenta Group 300u CONTENTS 02 06 14 22 28 GROUP OVERVIEW BUS OPERATIONS RAIL OPERATIONS AVIATION SUPPORT PERFORMANCE AND PARKING DATA - About The Go-Ahead Carrying almost We operate the We offer ground - CR performance data Group 550 million people, our Southern and handling and parking for each of our - Our role in society buses play a vital role Southeastern rail services at 17 airports in operating companies - Why corporate in reducing local franchises connecting the UK and Ireland. Our - Independent responsibility congestion and helping London and the South parking management Assurance Statement matters to us tackle social exclusion. Coast. Responsibility is company also provides - Benchmarking our Here we report on at the heart of our specialist security performance our responsibilities successful transformation services.We report on as a bus operator: of Southern and our our responsibilities: 04 future plans for INTRODUCTION Southeastern.We explain here our priorities - Our responsibilities and plans: - Consulting stakeholders 06 MARKETPLACE 14 MARKETPLACE 22 MARKETPLACE 08 WORKPLACE 16 WORKPLACE 24 WORKPLACE 10 ENVIRONMENT 18 ENVIRONMENT 26 ENVIRONMENT 12 COMMUNITY 20 COMMUNITY 27 COMMUNITY Go-Ahead Environmental & Social Report 2007 1 CHIEF EXECUTIVE’S STATEMENT CLIMATE CHANGE IS THE MOST PRESSING ISSUE FACING THIS GENERATION.THE WEIGHT OF SCIENTIFIC EVIDENCE IS SUCH THAT GOVERNMENTS AND OTHERS ARE LOOKING URGENTLY TO ADDRESS THE CHALLENGES WE FACE. Surface transport is part of the climate change Our rail, aviation and parking companies share I have focused on the environment for this ‘mix’, accounting for around a quarter of UK this commitment to environmental excellence. message because of the current importance carbon emissions. However, public transport We work with Network Rail on initiatives to placed on climate change issues. Environmental is also part of the solution as buses and trains reduce the electricity used for traction. responsibility is of course only one part of the can be up to 10 times more efficient Southern has championed the cause of wider corporate responsibility agenda.We bring per passenger journey than the private car. environmental efficiency, running a major the same enthusiasm, energy and focus to the employee engagement campaign involving other corporate responsibility issues that we, Go-Ahead has always put environmental workgroups, posters and a dedicated half-day together with our stakeholders, have identified responsibility at the heart of its business.We environmental forum for its top 300 managers. as being the most important for Go-Ahead. I am have invested in the most modern bus fleet committed to the Group continuing to make of the major operators and also in an excellent We are proud of our record as an progress in this area. maintenance regime.We have innovated through environmental leader in our industry and are testing environmentally friendly fuels and committed to continuing to set the pace. In additives as well as hybrid and electric buses. addition to the TAS Partnership report, we When the technologies work, we back them. were the first company in our sector to publish One example is our industry-leading programme our environmental performance data and to retro-fit our existing fleet with particulate continue to do so.We believe that our record traps, which matches our commitment that all provides an important market incentive to new vehicles we purchase will carry this or stimulate others in the industry to improve equivalent technology.This year, we were the first their performance. Keith Ludeman company in the UK to introduce buses powered Group Chief Executive by Euro V engines, setting a new high standard We attribute our success to our company for environmental efficiency. culture.We believe passionately in empowerment: letting local people make local This focus has delivered results.We again decisions based on local need. Only through commissioned the TAS Partnership, a specialist truly being a part of local communities can we public transport consultancy, to compare the respond effectively to the issues that matter to environmental performance of our bus fleets passengers and other stakeholders.We know outside London against over 100 competitors that local people care about the services we from both independent fleets and big groups. offer and the role these play in local Go-Ahead companies dominate the listing of communities.This is why each of our operating the top five best performing bus fleets. businesses also produces their own separate environmental and social report. 2 Go-Ahead Environmental & Social Report 2007 GROUP OVERVIEW THE GO-AHEAD GROUP IS A LEADING UK PUBLIC TRANSPORT COMPANY. OUR FOCUS IS TO INVEST IN MAKING PUBLIC TRANSPORT AN ATTRACTIVE ALTERNATIVE TO THE PRIVATE CAR. We carried an extra 75 million passengers this commitment to minimising our environmental BUS AVIATION year, taking the total number of passenger impact by continuing to lead the way in our SUPPORT AND journeys to over 875 million. Our operations sector by setting new standards of PARKING span the following areas: environmental responsibility. • Bus services in London and the South,West Midlands and north east England Our business strategy is to focus on developing • Commuter rail networks in London and our business in cities and regions where there is the South East.We were also awarded the economic growth and strong local authority West Midlands rail franchise this year and public sector support for public transport. • Parking services at airports, railway stations, Our business philosophy is to empower our shopping centres and hospitals across local business managers to make local decisions the country about the services they provide. • Aviation ground handling services across the UK and the Republic of Ireland. BENCHMARKING OUR PERFORMANCE OUR ROLE IN SOCIETY We participate in the Business in the We are proud of the role that public transport Community (BITC) Corporate Responsibility plays in improving the quality of life for our Index and the companion Environment Index. customers.We believe that our investment These voluntary indices help us compare our in public transport strengthens the economy, performance against other leading UK creates jobs, reduces traffic congestion and air businesses, including many FTSE100 companies. pollution, and helps tackle social exclusion. We again increased our score in both these Our focus is, therefore, on running our business indices and were ranked as ‘Gold Standard’ by efficiently and innovating, so that more people BITC.We again recorded maximum marks for can enjoy the benefits public transport offers our emissions management. passengers and the wider society. We have been included within the FTSE4Good WHY CORPORATE RESPONSIBILITY series of indices since their introduction. MATTERS TO US These indices are made up of companies Being recognised as taking a responsible that meet globally recognised corporate approach to business helps deliver competitive responsibility standards. advantage for Go-Ahead through: • A reputation as a responsible company Once again, we commissioned the TAS among local communities and with transport Partnership, a specialist independent transport policy makers consultancy to benchmark the emissions • Maximising our access to capital from performance of our bus businesses.This investors, particularly Socially Responsible confirmed that Go-Ahead bus companies lead RAIL Investment (SRI) funds the field for emissions management.We were • Attracting and retaining good people also delighted to be named winner of the • Our positive reputation as a service provider Contribution to Sustainable Transport category for passengers. in the 2007 National Transport Awards. We believe any vision of a sustainable future in the UK must involve a strong and growing public transport sector. It is our role to innovate and invest in services to increase capacity and make them more attractive to passengers. At the same time, we must demonstrate our Go-Ahead Group Overview 2007 3 NATIONAL OPERATIONS KEY BUS KEY TRAIN OPERATIONS Go-Ahead BITC score KEY BUS NORTH EAST OPERATIONS in CR index (%) BUS TRAIN OPERATIONS WEST MIDLANDS OPERATIONS 04/05 81 TRAIN OPERATIONS NORTH EAST OPERATIONS AVIATION SUPPORT 05/06 89 WEST MIDLANDS OPERATIONS NORTH EAST OPERATIONS AND PARKING 06/07 91 WEST MIDLANDS OPERATIONS AVIATIONA VSIANUPPCORTE AND PARKING AVIATION SUPPORT ABERDEEN METEOR in Environment index (%) AVIANCE AND PARKING PLANE HANDLING METEOR 04/05 85.2 AVIANCE ABERDEEN PLANE HANDLING 05/06 91.6 ABERDEEN METEOR 06/07 93.1 PLANE HANDLING GLASGOW EDINBURGH GLASGOW EDINBURGH GLASGOW Revenue (£m) EDINBURGH GATESHEAD BELFAST CITY GATESHEAD BELFAST CITY BELFAST DURHAM TEESSIDE 1,827 INTERNATIONAL GATESHEAD BELFAST DURHAM TEESSIDE BELFAST CITY INTERNATIONAL BELFAST DURHAM TEESSIDE BLACKBURN LEEDS/BRADFORD INTERNATIONAL 04/05 1,302 BLACKBURN LEEDS/BRADFORD DUBLIN MANCHESTER 05/06 1,463 DUBLIN MANCHESTER BOSTON 06/07 1,827 BLACKBURN LEEDS/BRADFORD BOSTON NORWICH KINGS LYNN DUBLIN MANCHESTER BIRMINGHAM NORWICH KINGS LYNN BOSTON BIRMINGHAM LOWESTOFT BANBURY LOWESTOFT NORWICH ROYSTON CHELMSFORD Cash flow (£m) KINGS LYNN BANBURYLEAGRAVE BIRMINGHAM IPSWICH OXFORD ROYSTON CHELMSFORD LOWESTOFT LEAGRAVE STANSTED LUTON IPSWICH