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SOUTH STAFFORDSHIRE PLC NEWS ARTICLE

15/12/06 - Water Company Praised for Efficiency

South Staffordshire Water PLC, has been praised by the industry regulator for achieving high efficiency. South Staffs Water are one of only three water companies that are recognised as top efficiency (Band "A") for both operating costs and capital expenditure.

The Regulator's report also notes that a Company run efficiently can also deliver excellent service to customers. Recently South Staffs Water received the third highest performance score from Ofwat out of the 22 water companies for outstanding customer service.

Director of Customer Services, Rachel Barber said "Our staff have worked hard to improve our operations so that costs are kept to a minimum, but service standards are never compromised. Our customers benefit from one of the lowest average water bills in the Country. We plan to continue careful control of our running costs and a policy of prudent capital expenditure."

Note to editors:

South Staffordshire Water serves large parts of the Black Country, including Walsall, Sandwell and Dudley, together with areas such as Tamworth, Burton, Lichfield, Sutton Coldfield and Cannock. In total, the Company serves a population of 1.2 million. The Company supplies 330 million litres of water every day across a network of pipes that total 6,000 km in length.

The Ofwat report: Water and sewerage service unit costs and relative efficiency 2005-06 is available from the Ofwat website: www.ofwat.gov.uk

The Ofwat press release on their efficiency report is available from www.ofwat.gov.uk/aptrix/ofwat/publish.nsf/ Content/pn3606

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