Stagecoach’s Down Under biggest fan service The newspaper of Stagecoach Group Issue 51 Summer 2003 Stagecoach shortlisted We’re back on track for UK award Stagecoach narrowly missed out on a top honour at the UK National Transport Awards. and picking up speed Stagecoach East was shortlisted for Public Transport Operator of the Year for its transformation of bus services in Stagecoach has cheered Cambridge city centre over the past two investors with a strong set years. The £4 million investment in the citi of full-year results that network has seen a massive growth in demonstrate it is back on passenger numbers, which are still rising track with a clear strategy at 18% a year. Bus frequencies have been increased, with one route now operating for the future. every seven and a half minutes. Group profit before tax for the The Park and Ride service, run in year to 30 April 2003 was £113 partnership with Cambridgeshire County million – up from £107 million in the Council and Cambridge City Council, is previous year – and there was good also booming and, by the autumn, half of news from across the company’s the Cambridge operation will be run with porfolio. low floor buses. Stagecoach was pipped at the post for Highlights from the results include: the award by Truronian Ltd, the Cornwall- based bus, coach and taxi operator, which • Continued profitability in all has developed a number of innovative four key operating divisions services in partnership with Cornwall County Council and the Countryside • Good progress in restructuring Agency. Coach USA The National Transport Awards are run by the Centre for Transport Policy and • Terms of new franchise at South presentations are made in 12 categories. West Trains finalised IN THE DRIVING SEAT: Stagecoach Chief Executive Brian Souter with Chairman Robert Speirs and Finance Director Martin Griffiths. The Transport Local Authority of the Year award went to City of York Council. • Improved operational Financial analysts welcomed the He added: “We have a clear portfolio, which will be dominated by A special award for outstanding con- performance benefiting Rail positive set of results, which have strategy for the Group and are on our strong UK bus and rail businesses, tribution to transport was made to the division followed a difficult two years for the schedule with our sales programme and we see further potential for Mayor of London, Ken Livingstone, Group. and restructuring at Coach USA. organic growth across our UK, US and following the successful introduction of • Margin improvement at UK Bus And Brian Souter, who returned to “The Group is in a strong financial New Zealand operations.” congestion charging in the capital. the position of Chief Executive last position as a result of our decisive • Strong revenue and volume year and has been overseeing a action to de-risk our portfolio and we See our four-page Stagecoach growth in New Zealand programme of changes across the continue to reduce net debt. Group results special on Pages business, said: “We are on the way “We will focus on maximising Online travel • Reduced Group net debt. back.” shareholder value from our existing 5 to 8. trial extended A successful pilot scheme to provide rail Citybus interests sold off in £176m deal passengers with internet access is being extended. Virgin Trains, in conjunction with Stagecoach Group has sold its Hong in Hong Kong, in 1999. Citybus, opportunities and the long-term Executive, said: “The sale will put the Broadreach Networks Limited, is Kong Citybus operation for £176 which employs around 3,300 people, prospects for the business in Hong Group in a strong financial position, extending the trial from London Euston million after receiving an approach for carries over 200 million passengers Kong. further de-risks the Group’s portfolio to also take in Birmingham International the business. each year using a fleet of 1,200 buses. A combination of the uncertainties and will allow management to focus and Manchester Piccadilly stations. It has been bought by Delta Pearl Under the Group’s ownership, the about the economic climate in Hong on further developing our UK bus and Passengers can now stay online as Limited, which is linked to New World business has produced strong organic Kong, growing levels of regulation rail businesses, a smaller and more they pass through the station through First Bus, one of Hong Kong’s major growth in passenger volumes and a and the need for significant capital robust portfolio in North America and secure wireless broadband access using bus operators. Proceeds from the sale significant reduction in operating investment in future years led the our successful and growing New wireless-enabled laptops and PDAs will be used to reduce Stagecoach costs. However, the Stagecoach Board to decide that selling the Zealand operations. Stagecoach across the station concourses, cafes and Group’s debt. Board decided to review the strategic business was in the best interests of Group is committed to pursuing its within the first class business lounge. Stagecoach bought Citybus, the options for the Group in the region in shareholders. strategy as a leading international second-largest franchise bus operator view of the limited development Brian Souter, Stagecoach Chief transport company.” Concessionary Poster’s scheme boosts Britain climbs express route sharp Passengers are flocking to the Stagecoach express X4 route as the advice Welsh Assembly concessionary fares scheme encourages more people to back on board travel by bus. Services between Brynmawr and Stagecoach has been at the The success of the project has new low-floor buses and the creation Abergavenny have doubled in forefront of boosting bus undoubtedly been due to of two simple, well-timed networks frequency following earlier enhance- Stagecoach’s pump-priming backed up by a massive marketing ments to the route between Merthyr services in the UK in a bid investment that doubled the campaign – has been hailed a and Cardiff. to encourage more people frequency of the service, paid for the tremendous success. More than 21,000 smart credit card to hop aboard. introduction of new low-floor buses As well as ensuring passenger size timetables as well as travel The company’s commitment to and helped introduce an innovative growth of 18 per cent for Stagecoach, incentive vouchers were delivered to investing in services across the marketing strategy. the investment has also enabled the residents as part of a door-to-door country, and helping people leave The launch of a range of bus city council hit its target of increasing marketing campaign. their cars at home, has gained priority measures by Perth and overall bus passenger numbers by 20 Meanwhile, the X75 Merthyr to Government recognition and could Kinross Council has also helped per cent, a year earlier than expected. Swansea service has been upgraded to lead to more Kick Start campaigns promote bus travel in the area. Stagecoach Group Chief Executive Stagecoach express and has a smart being launched nationwide. In Fife, the Ferrytoll Park and Ride Brian Souter said all projects had been new look. Over the last 12 months, flagship service is now used by hundreds of an outstanding success. projects in Perth, Fife and Cambridge commuters to cross the Forth each He added: “The initiatives show have proved tremendously successful day. Since it was unveiled two years what can be achieved with targeted Helping promote with many more passengers using ago, the £4.2 million facility, has investment, innovative ideas and the services than last year. achieved annual passenger growth of support of forward-thinking Stagecoach East Scotland Marketing Manager green travel In Perth, the Kick Start pilot 32 per cent. authorities. Lisa McCloy shows the needle campaign programme has boosted customer Ferrytoll, the result of a partnership “Stagecoach took a risk by poster. numbers by 60 per cent. And, since between Stagecoach and Fife Council, subsidising these routes because we Stagecoach is working with more the launch in October 2000, two and the winner of the Bus Industry believed that we could make these Discarded syringes are always a cause employers to help encourage their million people in the Perth and Awards 2001, is now set to double in services commercially sustainable and for concern. staff to make greater use of public Kinross area have hopped aboard. size with an extra 1,000 car parking local people would get a better bus And following an incident in Fife transport for work, study or visits. The No. 7 service has proved spaces being created. service. where a young child found one lying The latest Green Travel Fairs were amazingly popular with 20,000 Stagecoach’s £4.5 million “The stunning passenger growth on a bus seat, Stagecoach Scotland, held at NHS Trust Hospitals in passengers opting to leave their cars makeover of Cambridge’s citi network we have seen in Perth, Fife and along with the local authority and Gloucester and Cheltenham, as well at home each week. – including the delivery of 40 brand Cambridge shows we were right.” police, have gone into partnership to as at Zurich Finance, a major produce the ‘Nashty Needle’ poster employer in the area. campaign. Tailored travel solutions offered by The poster, designed by a Green Travel Plans can mean reduced Lochgelly primary pupil, will go on congestion in our cities, less pollution display in around 300 Stagecoach – and no frustration about finding a Wales goes for Gould buses and warns of the dangers of parking space. touching a discarded syringe and The well-attended travel fairs what you should do if you find one. included displays showing the local Stagecoach is on the right road to From his base in Cwmbran, John helping the Welsh Assembly develop will oversee future business “The Nashty Needles initiative town or city route networks, details of seeks to deliver a serious safety inter-urban routes, plus information its transport network.