13 March 2013

G4S plc
Preliminary results announcement for the year ended 31 December 2012

Developing markets, outsourcing trends and an on-going focus on business
improvement has continued to drive underlying growth despite challenging
economic environment
                                                             2012 Change  2011**
--------------------------------------------------------------------------------
Turnover - total                                          £7,501m +10.4% £6,797m
--------------------------------------------------------------------------------
Turnover - excluding Olympics*                            £7,297m  +8.1% £6,750m
--------------------------------------------------------------------------------
Organic growth*                                             +6.9%
--------------------------------------------------------------------------------
PBITA***- excluding Olympics*                               £516m  +6.0%   £487m
--------------------------------------------------------------------------------
Operating margin*                                            7.1%           7.2%
--------------------------------------------------------------------------------
Adjusted EPS                                                21.2p  +3.4%   20.5p
--------------------------------------------------------------------------------
EPS attributable to equity shareholders                      3.4p          12.9p
of G4S plc ****
--------------------------------------------------------------------------------
Recommended total dividend per share                        8.96p     5%   8.53p
--------------------------------------------------------------------------------
Cash conversion*                                              95%            84%


* excluding Olympic and Paralympic Games contract revenue of £204m (2011:£47m)
and PBITA of £nil (2011:£3m)
**at constant exchange rates and adjusted for discontinued businesses
*** PBITA is defined as profit before interest, taxation, amortisation of
acquisition-related intangible assets, acquisition-related costs and exceptional
items
**** this includes exceptional items of  £88m related to the Olympic Games
contract, £45m of restructuring costs and a £63m loss related to discontinued
operations. For a full reconciliation please see p.23

Underlying  sales  up  8.1% and  improved  organic  growth of c.7%. Adjusted EPS
21.2p (excluding the Olympic Games contract)

  * Organic  growth of 10% in developing markets with revenue of £2,387m (33% of
    group total and targeting 50% by 2019)
  * Group PBITA margin  of 7.1%
  * Commenced  new contracts of  c.£200m annual value  with the UK government in
    2012
  * Vanguarda, Brazil acquisition announced in September performing in line with
    expectations
  * Olympic  Games contract  loss of  £70m and  related costs  of £18m result in
    exceptional loss of £88m
  * Following   a  strategic  review,  G4S'  US  Government  Solutions  business
    classified as held for sale
  * Achieved annual cash conversion of 95%, exceeding target of 85%
  * Based  on the  positive organic  growth outlook,  the recommended  full year
    dividend has been increased by 5% to 8.96p

Continued focus on business improvement

  * Service  excellence centres have been  established for core services: manned
    security  and cash solutions - part of  a programme to support gross margins
    and profit improvement initiatives
  * Restructuring  led to  £35m annualised  savings, with  related costs of £45m
    which  have been taken as  an exceptional item, a  large proportion of which
    relates   to   Continental  Europe  and  restructuring  of  the   technology
    businesses in the Americas region

Security  remains  core  to  global  strategy  and  continues  to provide growth
opportunities

  * Strong  global contract pipeline of £3.5bn  per annum across a diverse range
    of sectors


Nick Buckles, Chief Executive Officer, commented:

Our 2012 financial results reflect the significant exceptional costs associated
with the Olympic contract and our overhead reduction programme together with the
large impairment charge related to the discontinued US Government Solutions
business.

Despite these issues, the underlying business has performed well in 2012 with an
acceleration in organic turnover growth to 7% and with margins holding at over
7%. The acceleration in organic growth was due largely to a number of new North
American commercial and UK government contracts and continued strong growth in
developing markets and was achieved despite continued economic challenges in
Europe.

Our  developing markets business now accounts for  a third of group revenues and
continues  to grow strongly and our recent acquisitions in Brazil, Vanguarda and
Interativa, are performing well.

The breadth of our portfolio in over 125 countries continues to present many new
growth  opportunities and we continue to  see good opportunities for outsourcing
in  key sectors  such as  government, financial  institutions, aviation, oil and
gas,  mining and ports.  Our market leading  businesses, broad customer base and
£3.5bn  per annum contract  pipeline give us  confidence in the  outlook for the
group.


For further enquiries, please contact: +44 (0) 1293 554400

Nick Buckles         Chief Executive Officer
Trevor Dighton           Chief Financial Officer
Helen Parris         Director of Investor Relations

Media enquiries:

Adam Mynott         Director of Media Relations     +44 (0) 1293 554400
David Allchurch/Ed Orlebar     Tulchan Group       +44 (0) 20 7353 4200
High resolution images are available for the media to view and download free of
charge from www.vismedia.co.uk.

Notes to Editors:

G4S  is the  world's leading  international secure  outsourcing solutions group,
which  specialises in  outsourced business  processes and  facilities in sectors
where security and safety risks are considered a strategic threat.

G4S  is  the  largest  employer  quoted  on  the London Stock Exchange and has a
secondary stock exchange listing in Copenhagen.  G4S has operations in more than
125 countries  and  620,000 employees.   For  more  information  on  G4S,  visit
www.g4s.com.

Presentation of Results:

A presentation to investors and analysts is taking place today at 0900hrs at the
London Stock Exchange.

Webcast

http://view-w.tv/p/707-803-12486/en

Telephone Dial-in Facility
The details for the telephone dial-in facility are as follows:-

Dial In Numbers
Standard International Access +44 (0) 20 3003 2666-
UK Toll Free 0808 109 0700
USA Toll Free 1 866 966 5335
Denmark Toll Free 8088 8649
Password: G4S

Replay Details
To listen to a replay of the presentation which will be available for 7 days
after the event, here are the details:
Standard International Access +44 (0) 20 8196 1998
UK Toll Free 0800 633 8453
USA Toll Free 1 866 583 1035
Denmark Toll Free 8088 7109
Access PIN: 8952850

Annual Report & Accounts
The company's annual report and accounts is due to be published week commencing
15 April 2013

Capital Markets Day
G4S will hold a Capital Markets Day in London on 21 May 2013

Annual General Meeting
The company's annual general meeting will be held in London on 6 June 2013

FINANCIAL SUMMARY

Results

The  results  which  follow  have  been  prepared  under International Financial
Reporting  Standards, as  adopted by  the European  Union (adopted  IFRSs).  The
revenue  from the Olympic  Games contract has  been excluded from  the tables on
pages  4 to 14 unless otherwise stated.   The contract loss and additional costs
resulted in a total loss of £88m which was booked as an exceptional item.

Group Turnover

+------------------------------------------------------------------+-----+-----+
|Turnover of Continuing Businesses                                 |2012 |2011 |
|                                                                  |     |     |
|                                                                  |   £m|   £m|
+------------------------------------------------------------------+-----+-----+
|Turnover  at  constant  exchange  rates  excluding  Olympic  Games|7,297|6,750|
|contract                                                          |     |     |
+------------------------------------------------------------------+-----+-----+
|Exchange difference                                               |    -|  169|
+------------------------------------------------------------------+-----+-----+
|Olympic Games contract                                            |  204|   47|
+------------------------------------------------------------------+-----+-----+
|Total continuing business turnover                                |7,501|6,966|
+------------------------------------------------------------------+-----+-----+

Turnover increased by 5.5% to £7,297 million or by 8.1% at constant exchange
rates.  Organic turnover growth was 6.9%.




+----------------+------+-------------+----------------+-----------------+-----+
|Organic Turnover|Europe|North America|       Developed|       Developing|Total|
|Growth      incl|      |             |         Markets|          Markets|     |
|Olympic    Games|      |             |                |                 |     |
|contract *      |      |             |                |                 |     |
+----------------+------+-------------+----------------+-----------------+-----+
|Secure solutions|   11%|          11%|             11%|              10%|  10%|
+----------------+------+-------------+----------------+-----------------+-----+
|Cash solutions  |   -1%|           8%|              0%|              10%|   3%|
+----------------+------+-------------+----------------+-----------------+-----+
|Total           |    8%|          11%|              9%|              10%|   9%|
+----------------+------+-------------+----------------+-----------------+-----+
* Calculated to exclude acquisitions and disposals, and at constant exchange
rates

+----------------+------+-------------+----------------+-----------------+-----+
|Organic Turnover|Europe|North America|       Developed|       Developing|Total|
|Growth      excl|      |             |         Markets|          Markets|     |
|Olympic    Games|      |             |                |                 |     |
|contract *      |      |             |                |                 |     |
+----------------+------+-------------+----------------+-----------------+-----+
|Secure solutions|    5%|          11%|              7%|              10%|   8%|
+----------------+------+-------------+----------------+-----------------+-----+
|Cash solutions  |   -1%|           8%|              0%|              10%|   3%|
+----------------+------+-------------+----------------+-----------------+-----+
|Total           |    4%|          11%|              6%|              10%|   7%|
+----------------+------+-------------+----------------+-----------------+-----+
* Calculated to exclude acquisitions and disposals, and at constant exchange
rates

Group Profit

+-------------------------------------------------------------------+-----+----+
|PBITA * of Continuing Businesses                                   |2012 |2011|
|                                                                   |     |    |
|                                                                   |   £m|  £m|
+-------------------------------------------------------------------+-----+----+
|PBITA at constant exchange rates excluding Olympic Games contract  |  516| 487|
+-------------------------------------------------------------------+-----+----+
|Exchange difference                                                |    -|  12|
+-------------------------------------------------------------------+-----+----+
|Olympic Games contract                                             |    -|   3|
+-------------------------------------------------------------------+-----+----+
|Total continuing business PBITA                                    |  516| 502|
+-------------------------------------------------------------------+-----+----+
|PBITA  margin at  constant exchange  rates excluding  Olympic Games| 7.1%|7.2%|
|contract                                                           |     |    |
+-------------------------------------------------------------------+-----+----+

*  PBITA  is  defined  as  profit  before  interest,  taxation,  amortisation of
acquisition-related intangible assets, acquisition-related costs and exceptional
items

PBITA  was £516 million up 6.0% at constant exchange rates excluding the Olympic
Games contract and up 2.8% in total at actual rates.  The PBITA margin was 7.1%.




Cash Flow and Financing

+--------------------------------------------------+-----+-----+
|Cash Flow                                         |2012 |2011 |
|                                                  |     |     |
|                                                  |   £m|   £m|
+--------------------------------------------------+-----+-----+
|Operating cash flow                               |  492|  421|
+--------------------------------------------------+-----+-----+
|Operating cash flow / PBITA (excluding associates)|  95%|  84%|
+--------------------------------------------------+-----+-----+


Operating  cash flow, excluding the Olympics  contract, as analysed on page 25,
was  £492 million in  the period, representing  95% of PBITA.  This exceeded our
target  of 85% through continual  analysis of all  aspects of the operating cash
cycle to improve cash collections. Net cash invested in current year acquistions
was £93 million.  Net debt at the end of the period, as analysed on page 24, was
£1,802  million (December 2012: £1,616 million) which was impacted by an Olympic
Games related receivable of £75 million which was received in February 2013.



Adjusted earnings per share

+--------------------------+----------------------+----------------------+-----+
|Adjusted    earnings   per|        2012 excluding|        2011 excluding| 2011|
|share                     |              Olympics|  Olympics at constant|     |
|                          |                      |        exchange rates|     |
|                          |                      |                      |     |
|                          |                    £m|                    £m|   £m|
+--------------------------+----------------------+----------------------+-----+
|PBITA from continuing     |                   516|                   487|  502|
|operations                |                      |                      |     |
+--------------------------+----------------------+----------------------+-----+
|Interest (before pensions)|                 (104)|                  (94)| (95)|
+--------------------------+----------------------+----------------------+-----+
|Tax (before pensions      |                  (92)|                  (88)| (91)|
|interest)                 |                      |                      |     |
+--------------------------+----------------------+----------------------+-----+
|Minorities                |                  (22)|                  (17)| (17)|
+--------------------------+----------------------+----------------------+-----+
|Adjusted profit           |                      |                      |     |
|attributable to           |                   298|                   288|  299|
|shareholders              |                      |                      |     |
+--------------------------+----------------------+----------------------+-----+
|Average number of shares  |                 1,403|                 1,405|1,405|
|(m)                       |                      |                      |     |
+--------------------------+----------------------+----------------------+-----+
|Adjusted EPS (p)          |                  21.2|                  20.5| 21.3|
+--------------------------+----------------------+----------------------+-----+
Adjusted earnings per share, reconciled to basic earnings per share on page 23,
increased  by 3.4% at constant exchange rates  and remained broadly unchanged at
actual exchange rates.

EXCEPTIONAL ITEMS

London 2012 Games Security Contract
In February 2013, the group announced that it had agreed a financial settlement
with the London Organising Committee of the Olympic and Paralympic Games in
respect of the provision of the security workforce for the London 2012 Olympic
and Paralympic Games. The terms of the settlement meant that the group incurred
an overall loss on the contract of approximately £70 million, additional costs
mainly relating to charitable donations and external fees of £11 million, and
further sponsorship and marketing costs of £7 million, all of which were taken
as an exceptional charge in 2012.

Restructuring Costs
During  2012 the group  undertook a  detailed review  of the  overhead structure
across  all reporting levels and geographies in order to maximise efficiency and
eliminate  duplication. Restructuring  generated a  headcount reduction  of over
1,500 positions. This resulted in an exceptional cost of £45 million in the year
as follows:

+------------------+-------------------+------------+-----------+-----------+
|                  |Headcount reduction|People costs|Other Costs|Total Costs|
|                  |                   |          £m|         £m|         £m|
+------------------+-------------------+------------+-----------+-----------+
|UK                |                 58|           3|          0|          3|
|                  |                   |            |           |           |
|Continental Europe|                257|          12|          8|         20|
|                  |                   |            |           |           |
|North America     |                132|           4|          0|          4|
|                  |                   |            |           |           |
|Developing Markets|              1,019|          10|          3|         13|
|                  |                   |            |           |           |
|Head Office       |                 48|           2|          3|          5|
+------------------+-------------------+------------+-----------+-----------+
|Total             |              1,514|          31|         14|         45|
+------------------+-------------------+------------+-----------+-----------+

This restructuring will result in annualised cost savings of around £35 million,
whilst  an additional  £10 million  has been  invested in the Service Excellence
Centres  and in  sales and  marketing. The  group plans  to achieve further cost
savings in the medium-term through procurement efficiencies and business process
redesign.

Discontinued businesses
Following  a strategic review, the group has decided to divest its US Government
Solutions business to a parent able to add or create more value than we are able
to,  being a non-US  parent with restricted  access to important commercial data
and  limited ability  to manage  the business  and share  best practice. Related
turnover of
£468  million (2011: £542 million)  and PBITA of £9  million (2011: £20 million)
have been classified as discontinued and the sale is expected to complete in the
next  six months. The business' assets have  been written down by £35 million to
their  estimated recoverable value.  Other businesses classified as discontinued
include  the Swedish cash solutions business, a justice services business in the
US and the businesses in Poland, all of which have been sold in the year.


BUSINESS ANALYSIS


Secure solutions

+---------------------------+-----------+-----------+-----------+--------------+
|                           |   Turnover|      PBITA|    Margins|Organic Growth|
|                           |           |           |           |              |
|                           |         £m|         £m|           |              |
|                           +-----+-----+-----+-----+-----+-----+--------------+
|* At constant exchange     |2012 |2011 |2012 |2011 |2012 |2011 |         2012 |
|rates                      |     |     |     |     |     |     |              |
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Europe *                   |2,705|2,583|  190|  192| 7.0%| 7.4%|            5%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|North America *            |1,311|1,182|   76|   73| 5.8%| 6.2%|           11%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Developing Markets *       |1,991|1,733|  152|  132| 7.6%| 7.6%|           10%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Total secure solutions *   |6,007|5,498|  418|  397| 7.0%| 7.2%|            8%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Exchange differences       |    -|  127|    -|    8|
+---------------------------+-----+-----+-----+-----+
|At actual exchange rates   |6,007|5,625|  418|  405|
+---------------------------+-----+-----+-----+-----+



The  secure solutions business performed well in the year with excellent organic
growth  of 8%, assisted  by strong  UK government,  US commercial and developing
markets  growth. Margins  were down  slightly at  7.0% due to  the effect  of UK
government contract phasing.

Europe

+--------------------------+-----------+------------+-----------+--------------+
|                          |   Turnover|       PBITA|    Margins|Organic Growth|
|                          |           |            |           |              |
|                          |         £m|          £m|           |              |
|                          +-----+-----+------+-----+-----+-----+--------------+
|* At constant exchange    | 2012|2011 | 2012 |2011 |2012 |2011 |         2012 |
|rates                     |     |     |      |     |     |     |              |
+--------------------------+-----+-----+------+-----+-----+-----+--------------+
|UK & Ireland *            |1,312|1,200|   115|  116| 8.8%| 9.7%|            8%|
+--------------------------+-----+-----+------+-----+-----+-----+--------------+
|Continental Europe *      |1,393|1,383|    75|   76| 5.4%| 5.5%|            2%|
+--------------------------+-----+-----+------+-----+-----+-----+--------------+
|Total Europe *            |2,705|2,583|   190|  192| 7.0%| 7.4%|            5%|
+--------------------------+-----+-----+------+-----+-----+-----+--------------+

Organic  growth in Europe was  5% and margins were down  slightly at 7.0% due to
the effect of UK government contract phasing.
There  was excellent  organic growth  of 8% in  the UK  & Ireland  with the main
growth drivers being the integrated services business, which provides facilities
services  to UK government and a growing number of commercial organisations, and
the utilities services business which is consolidating its position as a leading
meter reading and smart meter installation business.

Organic  growth in the UK government  sector was 13% and included major contract
wins and extensions such as:
  * Total  facilities management for  the Ministry of  Justice at more than 340
    court  buildings across the  Midlands, Wales and  the North of England which
    was mobilised in February 2012.

  * The  provision of transport and accommodation  for asylum applicants for the
    UK  Border Agency for two regions - the Midlands and the East of England and
    the North East, Yorkshire and Humberside which completed the transition from
    previous  suppliers in December. This is a significant achievement as it was
    a complex mobilisation involving multiple stakeholders.

  * Outsourcing  services for  Lincolnshire Police  - the  first contract of its
    kind to be awarded by a British Police Authority. This contract mobilised in
    April  2012 and the  transition has  gone extremely  smoothly with excellent
    service  delivery and will result in savings  of £28m over ten years as well
    as  enabling  investment  in  new  technologies.  The  Lincolnshire contract
    includes  a  framework  agreement  for  ten  other  police forces and G4S is
    continuing  to have  discussions with  a number  of police  forces regarding
    similar outsourcing propositions.

  * The  opening and on-going  management of the  newest and one  of the largest
    prisons  in the  UK, HMP  Oakwood which  opened in  April 2012 and which now
    holds over 1,200 prisoners.

G4S  has been  selected by  the Department  of Work  & Pensions  to join  only a
handful  of companies  eligible to  compete to  deliver contact  centre services
across  the  UK.  In  addition,  a  five  year  contract  to  provide electronic
monitoring  in Scotland starts in April this year and G4S was recently granted a
two  year extension  on the  Medway Youth  Training Centre  contract until March
2015.  G4S  Integrated Services has been awarded  its largest FM contract in the
healthcare  sector  for  the  Pennine  Acute  Hospitals  NHS  Trust  in  Greater
Manchester  and the Care &  Justice Services business was  awarded a contract to
supply electronic monitoring equipment to the Ministry of Justice in France. The
pipeline of UK government outsourcing opportunities remains strong, particularly
in  areas  such  as  rehabilitation,  facilities  management,  police and health
sectors.

The  UK  commercial  business  was  awarded  extensions  to contracts with major
corporates  such  as  British  Airways  and  Shell,  the  latter  having awarded
contracts  at 50 additional  sites in  seven new  countries in 2012. G4S Utility
Services  also won  a number  of significant  smart meter  installation and data
management  contracts for  British Gas  and other  major utility providers.  The
pipeline   of   new  major  commercial  contracts  remains  strong  in  the  UK,
particularly within the media and financial sectors.

Trading  conditions in Ireland remained challenging in 2012; however the bidding
pipeline,  especially in the area of security systems, looks encouraging for the
remainder of the year.

The Continental Europe region performed reasonably against an uncertain economic
backdrop.   Overall organic growth  was 2%. The European  parliament contract in
Belgium  ended  in  May  2012 but  G4S  Luxembourg was successful in winning the
security  contract for  the European  parliament in  Luxembourg in  April 2012.
Margins were down slightly due to challenging economic conditions throughout the
region.  To counteract this, a number of efficiency initiatives were implemented
which  reduced direct  and overhead  employee headcount  numbers by around 250,
alongside  a  number  of  location  closures  throughout  Europe. This will help
support margins in Europe over the next 18 months.

Revenues  for the  security systems  business, which  accounts for around 20% of
Continental European secure solutions revenues, were similar to the prior year.

There were some notable strong performances in the region - in Sweden, G4S won a
secure  solutions contract with AB Volvo from April 2012 for three years and the
security systems business grew strongly. In addition there were contract wins in
Belgium,  Norway,  Finland,  Austria  and  Denmark  for customers in government,
retail,  transportation  and  telecoms  sectors.   The  business  in  Greece has
performed  well despite  the challenges  of the  economic crisis and several new
contracts  have started recently  with organisations such  as the US Embassy and
Hellenic Petroleum.

Organic  growth in most Eastern  European markets has now  stabilised to the low
single-digit  level overall,  but there  have been  declines in  Hungary and the
Czech  Republic  offset  by  excellent  growth  in  Ukraine  and  Uzbekistan.  A
significant contract has been won with a major steel manufacturer in Ukraine and
contracts  have also been won recently in Slovakia for companies in sectors such
as  manufacturing, electronics and retail. The  group divested its businesses in
Poland in September.


North America

+----------------------------+-----------+----------+----------+--------------+
|                            |   Turnover|     PBITA|   Margins|Organic Growth|
|                            |           |          |          |              |
|                            |         £m|        £m|          |              |
|                            +-----+-----+----+-----+----+-----+--------------+
|* At constant exchange rates| 2012|2011 |2012|2011 |2012|2011 |         2012 |
+----------------------------+-----+-----+----+-----+----+-----+--------------+
|North America *             |1,311|1,182|  76|   73|5.8%| 6.2%|           11%|
+----------------------------+-----+-----+----+-----+----+-----+--------------+

Organic  growth  in  North  America  was  strong  at  11%, assisted  by a strong
performance in the US commercial business and the start-up of the CATSA aviation
contract  in Canada.  Margins were  lower compared  to the  prior year  due to a
decline  in  major  infrastructure  system  projects.   The  US security systems
business  worked on a number of  systems integration projects for Tampa Airport,
Iberdrola,  and the Port of Tacoma and has a record order book representing more
than 12 months' work in hand.

In the United States the commercial sector had its strongest year on record with
a  continuing  positive  outlook  and  a  strong visible sales pipeline.  Recent
contract awards have been in the technology, healthcare, distribution, chemical,
manufacturing  and  retail  sectors.   G4S  commenced  the provision of security
solutions for a major automotive company from January 2012 valued at $70 million
per annum for three years.  The group's largest commercial contract with Bank of
America  was extended until 2014 and G4S North America has been awarded a secure
solutions  contract with Google for  some of its locations  in the United States
and data centres in Belgium and Finland.
Additional  examples  of  major  contract  awards  include:  worldwide  security
services  for  GE  -  building  on  a  long-standing  service relationship - and
compliance  and investigations  services for  Gallagher Bassett,  where G4S will
staff  and manage the Special  Investigations Unit responsible for investigating
fraudulent workers' compensation claims.

The  group has already  taken steps to  mitigate the cost  impact of the Patient
Protection  and Affordable  Care Act  (PPACA) during 2013 and  is evaluating the
most  effective way to mitigate the  increase to the cost base thereafter.  Most
of the health plans currently provided to G4S employees already meet the current
requirements of the PPACA and so it is not expected to have a significant impact
on US margins.

2012 was  a challenging year for the group's US Government Solutions business as
a  result of a  significant reduction in US  federal government spending in both
the  US  domestic  government  sector  and  in  contracts  for overseas landmine
clearance.   The group has announced it has  decided to divest the business to a
parent  able to add  or create more  value than G4S  is able to, being a foreign
parent  with limited control over the  operations of the business and restricted
access to the data required to run the business successfully.
In Canada,  the organic growth rate was more than 30% driven mainly by the CATSA
aviation security contract which started on 1 November 2011. The contract is for
security at 21 airports in the Pacific region of Canada and has expected revenue
of more than CAD$ 400 million over the initial five-year term.


Developing Markets

+---------------------------+-----------+-----------+-----------+--------------+
|                           |   Turnover|      PBITA|    Margins|Organic Growth|
|                           |           |           |           |              |
|                           |         £m|         £m|           |              |
|                           +-----+-----+-----+-----+-----+-----+--------------+
|* At constant exchange     |2012 |2011 |2012 |2011 |2012 |2011 |         2012 |
|rates                      |     |     |     |     |     |     |              |
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Asia *                     |  671|  615|   39|   34| 5.8%| 5.5%|            9%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Middle East *              |  381|  371|   33|   31| 8.7%| 8.4%|            5%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Africa *                   |  357|  326|   29|   31| 8.1%| 9.5%|            9%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Latin America & Caribbean *|  582|  421|   51|   36| 8.8%| 8.6%|           14%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Total Developing Markets * |1,991|1,733|  152|  132| 7.6%| 7.6%|           10%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+

In  Developing Markets, revenue growth was  15% and organic growth was excellent
at 10% with margins maintained overall.

Organic  growth in  Asia was  9% and margins  were up  from 5.5% to  5.8% due to
improved  business  performance  in  a  number  of countries.   There was strong
organic  revenue  growth  in  Thailand,  Philippines,  China  and Indonesia. The
business in India, the largest market in the region for the group, has refocused
its  activity  on  high  growth,  higher  margin  contracts  and achieved a good
performance with double-digit revenue growth and strongly improved margins.  The
group exited Pakistan during October 2012.

A  manned security contract with the United  Nations in Papua New Guinea started
in  August.  There  was  modest  revenue  growth  in  Australia with recent wins
including  DP World  and Bechtel  and a  new immigration contract offsetting the
loss  of the  Western Australia  prisoner transportation  contract and  there is
positive  growth momentum in Australia  going into 2013. The offender monitoring
contract in New Zealand was extended to the end of 2013.

In the Middle East, organic growth was 5% helped by double-digit growth rates in
Lebanon  and Egypt but was offset by  weakness in some systems businesses in the
region.  Margins improved compared  to the prior  year due to one-off government
legislated  payments  made  in  Saudi  Arabia  in H1 2011.  Recent contract wins
include an electronic monitoring contract in Saudi Arabia and in UAE for the Abu
Dhabi  Educational Council  and Dubai  Airport. The  group exited the US Embassy
contract in Kabul, Afghanistan in July.

Africa  performed  strongly  with  organic  growth  of 9% particularly in Kenya,
Morocco  and DRC. Margins were lower at  8.1%, due to contract losses in Nigeria
however  the business  appears to  have stabilised  there. New  contracts won or
renewed  are  mainly  in  key  strategic  sectors  such as automotive, aviation,
mining, oil and gas and foreign embassies, including the US embassy in the Ivory
Coast.  The current bidding pipeline in Africa  is very strong - particularly in
financial services, mining and embassies, with increasing numbers of both multi-
country, pan-African and larger scale bids.

The Latin America and Caribbean region has performed well with organic growth of
14% and  improved  margins  as  a  result  of  strong  performances  across most
countries.   There  have  also  been  a  number  of strategic contract wins, for
example   in  the  financial  services,  government,  mining  and  oil  and  gas
sectors. In  September,  the  group  announced  it  had extended its presence in
Brazil  significantly  with  the  acquisition  of  Vanguarda, a leading security
solutions  provider which provides G4S with a manned security licence in Brazil.
The  group  was  also  successful  in  bidding for security systems contracts in
Brazil,  winning a  significant contract  with Telebras  and a  contract for the
Manaus football stadium.

Cash Solutions
+---------------------------+-----------+-----------+-----------+--------------+
|                           |   Turnover|      PBITA|    Margins|Organic Growth|
|                           |           |           |           |              |
|                           |         £m|         £m|           |              |
|                           +-----+-----+-----+-----+-----+-----+--------------+
|* At constant exchange     | 2012|2011 |2012 |2011 |2012 |2011 |         2012 |
|rates                      |     |     |     |     |     |     |              |
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Europe *                   |  780|  785|   78|   83|10.0%|10.6%|           -1%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|North America *            |  114|  106|    5|    2| 4.4%| 1.9%|            8%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Developing Markets *       |  396|  361|   52|   47|13.1%|13.0%|           10%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Total Cash Solutions *     |1,290|1,252|  135|  132|10.5%|10.5%|            3%|
+---------------------------+-----+-----+-----+-----+-----+-----+--------------+
|Exchange differences       |    -|   42|    -|    5|
+---------------------------+-----+-----+-----+-----+
|At actual exchange rates   |1,290|1,294|  135|  137|
+---------------------------+-----+-----+-----+-----+

The  cash solutions business delivered a  solid performance overall with organic
revenue  growth of  3% despite the  continuation of  low interest rates having a
negative  impact on developed markets growth opportunities. Overall margins were
maintained  at 10.5%, with improvements in  North America and developing markets
margins offset by the impact of contract phasing in Europe.

Organic  growth in Europe declined by 1%. In the UK & Ireland, revenues declined
by  1% as a result of the loss of  two ATM contracts in the middle of 2011 which
also  impacted margins. Performance began to improve towards the end of the year
as  three major  new contracts  commenced and  as a  result of  a cost reduction
programme in Ireland. The new contracts are for financial institutions providing
outsourcing  of cash processing,  cash machine replenishment  and engineering at
bank branches and remote sites. The engineering is provided on a full 24/7 basis
- an industry first.

Outside  the UK, margins improved through strong underlying business performance
and  cost cutting measures. In  Sweden, the cash solutions  business was sold in
February  2012.  Elsewhere in  Continental Europe,  organic growth was positive,
helped by product development in the Netherlands, strong performances across all
services  in Belgium and  productivity improvements in  Finland. Serbia achieved
double-digit growth.

In  North America, the performance of the  cash solutions business in Canada was
improved  through stronger  alignment in  key sectors  with the  Canadian secure
solutions  business in  the first  half of  2012.  This has resulted in contract
awards  and extensions with  key customers in  the retail and financial services
sectors.
Organic  growth  in  Developing  Markets  was  good  at 10% and margins improved
slightly  overall due mainly to an improved  performance in the Middle East cash
solutions  businesses.  In  particular  the  businesses  in Saudi Arabia and UAE
achieved  an  improved  performance  and  excellent growth.  Strong margins were
achieved  in Hong Kong, aided by successfully negotiating price increases with a
number  of key  customers. In  Ecuador, three  leading financial  institutions -
Banco  Bolivariano, Banco  Internacional and  Produbanco -  have selected G4S to
provide  cash-in-transit  services  to  more  than  250 bank branches around the
country.  With services set to begin in May 2013, the seven year contract has an
overall  value of £26m.  In South Africa,  in January 2013 G4S acquired Deposita
the  South African  market leader  in cash  devices and related cash-in-transit,
cash  processing  and  insurance  services  for  the retail sector. The Deposita
technology will broaden the G4S Cash360 technology offering, especially in other
developing markets.






OUTLOOK


The group expects the outlook for Continental European markets to continue to be
challenged by the economic environment, despite the proactive measures the group
has taken through the cost reduction exercise.

The  North American commercial and  UK government businesses performed extremely
strongly  in 2012 and although  the outlook is  still very positive,  it will be
difficult  to  maintain  such  high  growth  going into 2013. Developing markets
(which now represent 33% of group revenues and 37% of group profits) continue to
perform  well and  the group  expects strong  double-digit growth  in developing
markets in 2013.

Developing  markets growth, investment  in key sector  expertise and outsourcing
trends  continue to be  key business growth  drivers and so,  overall, the group
expects  to see good continuing organic growth and margins to be maintained. The
breadth  of the group's portfolio in 125 countries continues to present many new
growth  opportunities;  market  leading  businesses  in  many countries, a broad
customer  base and the current £3.5  billion per annum contract pipeline provide
confidence in the outlook for the group.








OTHER FINANCIAL ISSUES

Acquisitions and divestments

The  group invested a total  net amount of £93  million in 2012 in acquisitions,
with the main acquisition being Vanguarda, a leading Brazilian security company.
Other  acquisitions  included  safety  and  fire  training  consultancies in the
Netherlands, Belgium and Ireland.

During  2012, G4S disposed  of its  Swedish cash  solutions business  and a loss
making electronic monitoring business in the US.

Following  a strategic review, the group has decided to divest its US Government
Solutions business to a parent able to add or create more value than we are able
to,  being a non-US  parent with restricted  access to important commercial data
and  limited ability to manage the business and share best practice. The sale is
expected  to  complete  during  2013 and  the  business  has  been classified as
discontinued in the 2012 results.

The  group's acquisition strategy will continue  to focus on niche opportunities
which  will both help to deliver our strategic objectives and meet our financial
performance criteria.  We prioritise acquisitions that:
-     build market share in key countries
-     drive organic growth
-     access key sectors where security and safety are a strategic threat
-   introduce or build new service lines such as facilities management in the UK
and risk consulting internationally
-   access key geographic markets

The  group expects to invest up to £200 million in acquisitions in 2013 and will
continue  to be active  in its divestment  strategy where businesses  are not in
line with the group's strategy or where an alternative parent could add or drive
more value from a business.


Financing and interest

The  group has a  prudent approach to  its balance sheet  whilst maintaining the
flexibility  to pursue acquisitions when appropriate.  G4S has had an investment
grade  rating since  March 2009 when  Standard &  Poor's assessed  the group BBB
Stable.  However, subsequent to the G4S Olympic contract announcement on 13 July
2012 and  the G4S plc board  review in September, Standard  & Poor's revised the
rating  to  BBB-  Stable  in  November.  The  group's objective is to manage its
business  and finances so that it continues as an investment grade entity and to
continue  to maintain a net  debt to EBITDA ratio  of around 2 to 2.5 times. The
group  is currently well financed, has a  diverse range of finance providers and
the  maturity  profile  is  long  term.  Borrowings  are  principally  in pounds
sterling,  US  dollars  and  euros  reflecting  the  geographies  of significant
operational assets and profits.

As  at 31 December 2012, net debt  was £1,802 million and  our headroom was £856
million.  The group  has sufficient  borrowing capacity  to finance  its current
investment plans.

Net interest payable on net debt was £101 million. This is a net increase of 2%
over  the  2011 cost  of  £99  million,  due  principally to the increase in the
group's net debt.

The  average cost  of gross  borrowings during  the year,  net of  interest rate
hedging, was 4.3% compared to 4.9% in 2011.

Taxation

The  effective tax  rate for  the year  on adjusted earnings was 22%, consistent
with  2011.  The cash tax rate is 22.9% compared to 18.5% in 2011. Our target is
to maintain the effective tax rate at the current level.


Retirement benefit obligations

The  group's funding shortfall on funded  defined retirement benefit schemes, on
the  valuation  basis  specified  in  IAS19  Employee Benefits, was £436 million
before  tax or £335 million  after tax (31 December  2011: £295 million and £212
million respectively).  The main scheme is in the UK.  The latest completed full
actuarial  valuations were undertaken as at 5 April 2009 in respect of all three
sections  of the UK scheme.  The valuations as at  5 April 2012 are currently in
progress.   However, all actuarial  assumptions were reviewed  and updated as at
31 December 2012.

The  net pension obligation has  increased significantly since 31 December 2011
mainly  due  to  the  actuarial  loss  in  the period arising from the financial
environment  and the resulting low interest rates applicable for discounting the
liabilities. The discount rate used to calculate the obligation has decreased to
4.5%, compared   to   5.0% used   at   31 December   2011.  Additional   company
contributions of £37 million were paid into the schemes during 2012.

We  believe that, over  the very long  term in which  retirement benefits become
payable, investment returns should eliminate the deficit reported in the schemes
in  respect  of  past  service  liabilities.   However,  in  recognition  of the
regulatory  obligations upon pension fund trustees to address reported deficits,
the group's deficit recovery plan will see cash contributions made to the scheme
of  approximately £38  million in  2013 with annual  increments thereafter still
subject to negotiation.

Dividend

The  board recommends  a final  dividend of  5.54p per share  (DKK 0.4730). This
represents  an  increase  of  8% on  the  final  dividend for 2011.  The interim
dividend  was 3.42p per share (DKK 0.3220) and  the total dividend, if approved,
will  be 8.96p per  share (DKK  0.7950), representing an  increase of  5% on the
total dividend for 2011.

The group expects to continue to increase dividends broadly in line with
normalised adjusted earnings.



                                                                   13 March 2013




G4S plc
Preliminary results announcement
For the year ended 31 December 2012

Consolidated income statement
For the year ended 31 December 2012

                                                      2012     2012  2012  2011

                                              Ex. Olympics Olympics Total

                                        Notes           £m       £m    £m    £m
--------------------------------------------------------------------------------


 Continuing operations



 Revenue                                    2        7,297      204 7,501 6,966
--------------------------------------------------------------------------------
 Profit from operations before
 amortisation and impairment of
 acquisition-related intangible assets
 and exceptional items (PBITA)              2          516        -   516   502



 Amortisation and impairment of
 acquisition-related intangible assets                (86)        -  (86)  (96)

 Acquisition-related expenses                          (7)        -   (7)   (2)

 Exceptional items:
+------------------------------------------------------------------------------+
|Loss on Olympics contract                               -     (70)  (70)     -|
|                                                                              |
|Other costs on Olympics                                 -     (11)  (11)     -|
|                                                                              |
|Sponsorships costs on Olympics                          -      (7)   (7)     -|
|                                                                              |
|Restructuring costs                                  (45)        -  (45)     -|
|                                                                              |
|Aborted acquisition and legal costs                     -        -     -  (55)|
+------------------------------------------------------------------------------+
                                                      (45)     (88) (133)  (55)
--------------------------------------------------------------------------------
 Profit from operations before interest
 and taxation (PBIT)                      2,3          378     (88)   290   349



 Finance income                             6           94        -    94   111

 Finance costs                              7        (206)      (3) (209) (203)


--------------------------------------------------------------------------------
 Profit before taxation (PBT)                          266     (91)   175   257
--------------------------------------------------------------------------------


 Taxation:
+------------------------------------------------------------------------------+
|Before amortisation and impairment of                                         |
|acquisition-related intangible assets                                         |
|and exceptional items                                               (90)  (92)|
|                                                                              |
|On amortisation and impairment of                                             |
|acquisition-related intangible assets                                 25    25|
|                                                                              |
|On acquisition-related expenses                                        2     1|
|                                                                              |
|On exceptional items                                                  21    13|
+------------------------------------------------------------------------------+
                                                                     (42)  (53)
--------------------------------------------------------------------------------
 Profit after taxation                                                133   204



 Loss from discontinued operations          4                        (63)   (6)


--------------------------------------------------------------------------------
 Profit for the year                                                   70   198
--------------------------------------------------------------------------------


 Attributable to:

 Equity holders of the parent                                          48   181

 Non-controlling interests                                             22    17
--------------------------------------------------------------------------------
 Profit for the year                                                   70   198
--------------------------------------------------------------------------------


 Earnings per share attributable to
 equity shareholders of the parent         10

 For profit from continuing operations:

 Basic and diluted                                                   7.9p 13.3p



 For profit from continuing and
 discontinued operations:

 Basic and diluted                                                   3.4p 12.9p
--------------------------------------------------------------------------------

+------------------------------------------------------------------------------+
|Dividends declared and proposed in                                            |
|respect of the year                        9                                  |
|                                                                              |
|                                                                              |
|                                                                              |
|Interim dividend of 3.42p per share                                           |
|(2011:3.42p)                                                          48    48|
|                                                                              |
|Final dividend of  5.54p per share                                            |
|(2011: 5.11p)                                                         78    72|
+------------------------------------------------------------------------------+
|Total dividend of 8.96p per share                                             |
|(2011: 8.53p)                                                        126   120|
+------------------------------------------------------------------------------+

Consolidated statement of comprehensive income
For the year ended 31 December 2012

                                                                      2012  2011

                                                                        £m    £m
--------------------------------------------------------------------------------
Profit for the year                                                     70   198



Other comprehensive income

Exchange differences on translation of foreign operations             (95)  (65)

Change in fair value of net investment hedging financial instruments   (4)     -

Change in fair value of cash flow hedging financial instruments        (6)     8

Actuarial losses on defined retirement benefit schemes               (177)  (73)

Tax on items taken directly to equity                                   37     9
--------------------------------------------------------------------------------
Other comprehensive income, net of tax                               (245) (121)


--------------------------------------------------------------------------------
Total comprehensive income for the year                              (175)    77
--------------------------------------------------------------------------------


Attributable to:

Equity holders of the parent                                         (194)    62

Non-controlling interests                                               19    15
--------------------------------------------------------------------------------
Total comprehensive income for the year                              (175)    77
--------------------------------------------------------------------------------

Consolidated statement of changes in equity
For the year ended 31 December 2012

                     Attributable to equity holders of the parent
                    ----------------------------------------------
                           Share   Share Retained    Other            NCI

                         capital premium earnings reserves  Total reserve  Total

                            2011    2011     2011     2011   2011    2011   2011

                              £m      £m       £m       £m     £m      £m     £m
--------------------------------------------------------------------------------
At 1 January 2011            353     258      420      546  1,577      46  1,623

Total comprehensive
income attributable

to equity
shareholders of the
parent                         -       -      110     (48)     62      15     77

Dividends declared             -       -    (114)        -  (114)    (10)  (124)

Own shares purchased           -       -        -     (13)   (13)       -   (13)

Own shares awarded             -       -      (9)        9      -       -      -

Transactions with
non-controlling
interests                      -       -     (19)        -   (19)     (1)   (20)

Equity-settled
transactions                   -       -        1        -      1       -      1
--------------------------------------------------------------------------------
At 31 December 2011          353     258      389      494  1,494      50  1,544
--------------------------------------------------------------------------------


                     Attributable to equity holders of the parent
                    ----------------------------------------------
                           Share   Share Retained    Other            NCI  Total

                         capital premium earnings reserves  Total reserve Equity

                            2012    2012     2012     2012   2012    2012   2012

                              £m      £m       £m       £m     £m      £m     £m
--------------------------------------------------------------------------------
At 1 January 2012            353     258      389      494  1,494      50  1,544

Total comprehensive
income attributable

to equity
shareholders of the
parent                         -       -    (126)     (68)  (194)      19  (175)

Dividends declared             -       -    (120)        -  (120)    (18)  (138)

Own shares purchased           -       -        -      (6)    (6)       -    (6)

Own shares awarded             -       -      (2)        2      -       -      -

Transactions with
non-controlling
interests                      -       -        2        -      2       4      6
--------------------------------------------------------------------------------
At 31 December 2012          353     258      143      422  1,176      55  1,231
--------------------------------------------------------------------------------

Consolidated statement of financial position
At 31 December 2012

                                                                    2012    2011

                                                           Notes      £m      £m
--------------------------------------------------------------------------------


ASSETS

Non-current assets

Goodwill                                                           2,123   2,205

Other acquisition-related intangible assets                          204     269

Other intangible assets                                               87      87

Property, plant and equipment                                        512     531

Investment in associates                                               3       9

Trade and other receivables                                          129     162

Deferred tax assets                                                  179     157
--------------------------------------------------------------------------------
                                                                   3,237   3,420
--------------------------------------------------------------------------------


Current assets

Inventories                                                          128     123

Investments                                                           56      70

Trade and other receivables                                        1,497   1,546

Cash and cash equivalents                                            469     433

Assets classified as held for sale                         11        229      35
--------------------------------------------------------------------------------
                                                                   2,379   2,207
--------------------------------------------------------------------------------


Total assets                                                       5,616   5,627
--------------------------------------------------------------------------------


LIABILITIES

Current liabilities

Bank overdrafts                                                     (17)    (53)

Bank loans                                                          (18)    (47)

Loan notes                                                          (40)       -

Obligations under finance leases                                    (18)    (16)

Trade and other payables                                         (1,196) (1,251)

Current tax liabilities                                             (41)    (48)

Provisions                                                          (32)    (30)

Liabilities associated with assets classified as held for
sale                                                       11       (52)    (29)
--------------------------------------------------------------------------------
                                                                 (1,414) (1,474)
--------------------------------------------------------------------------------


Non-current liabilities

Bank loans                                                         (327)   (885)

Loan notes                                                       (1,999) (1,180)

Obligations under finance leases                                    (43)    (48)

Trade and other payables                                            (18)    (19)

Retirement benefit obligations                                     (471)   (344)

Provisions                                                          (45)    (41)

Deferred tax liabilities                                            (68)    (92)
--------------------------------------------------------------------------------
                                                                 (2,971) (2,609)
--------------------------------------------------------------------------------


Total liabilities                                                (4,385) (4,083)
--------------------------------------------------------------------------------


Net assets                                                         1,231   1,544
--------------------------------------------------------------------------------


EQUITY

Share capital                                                        353     353

Share premium and reserves                                           823   1,141
--------------------------------------------------------------------------------
Equity attributable to equity holders of the parent                1,176   1,494

Non-controlling interests                                             55      50
--------------------------------------------------------------------------------
Total equity                                                       1,231   1,544
--------------------------------------------------------------------------------

Consolidated statement of cash flows
For the year ended 31 December 2012

                                                                      2012  2011

                                                               Notes    £m    £m
--------------------------------------------------------------------------------
Profit before taxation                                                 175   257



Adjustments for:

Finance income                                                        (94) (111)

Finance costs                                                          209   203

Depreciation of property, plant and equipment                          121   120

Amortisation and impairment of acquisition-related intangible
assets                                                                  86    96

Amortisation of other intangible assets                                 24    17

Acquisition-related expenses                                             7     2

Profit on disposal of property, plant and equipment and
intangible assets other than acquisition-related                       (3)  (11)

Profit on disposal of subsidiaries                                     (2)  (33)

Equity-settled transactions                                              -     1
--------------------------------------------------------------------------------
Operating cash flow before movements in working capital                523   541



Increase in inventories                                               (14)  (20)

Increase in receivables                                              (117) (123)

Increase in payables                                                     6    77

Decrease in provisions                                                 (5)   (7)

Decrease in retirement benefit obligations                            (37)  (40)
--------------------------------------------------------------------------------
Net cash flow from operating activities of continuing
operations                                                             356   428

Net cash flow from operating activities of discontinued
operations                                                              16    21
--------------------------------------------------------------------------------
Cash generated by operations                                           372   449



Tax paid                                                              (85)  (77)
--------------------------------------------------------------------------------
Net cash flow from operating activities                                287   372
--------------------------------------------------------------------------------


Investing activities

Interest received                                                        6    17

Cash flow from associates                                                3     4

Purchases of property, plant and equipment and intangible
assets other than acquisition-related                                (160) (173)

Proceeds on disposal of property, plant and equipment and
intangible assets other than acquisition-related                        23    31

Acquisition of subsidiaries                                          (101) (165)

Net cash balances acquired                                              15     6

Disposal of subsidiaries                                                19    37

Sale of investments                                                      -    10
--------------------------------------------------------------------------------
Net cash used in investing activities                                (195) (233)
--------------------------------------------------------------------------------


Financing activities

Dividends paid to non-controlling interests                           (19)  (10)

Dividends paid to equity shareholders of the parent                  (120) (114)

Other net movement in borrowings                                       324   239

Transactions with non-controlling interests                              6  (18)

Interest paid                                                        (117) (119)

Repayment of obligations under finance leases                         (22)  (17)

Own shares purchased                                                   (6)  (13)
--------------------------------------------------------------------------------
Net cash flow from financing activities                                 46  (52)
--------------------------------------------------------------------------------


Net increase in cash, cash equivalents and bank overdrafts     12      138    87



Cash, cash equivalents and bank overdrafts at the beginning of
the year                                                               370   306

Effect of foreign exchange rate fluctuations on cash held             (36)  (23)
--------------------------------------------------------------------------------
Cash, cash equivalents and bank overdrafts at the end of the
year                                                                   472   370
--------------------------------------------------------------------------------


1)  Basis of preparation and accounting policies

The financial information set out above does not constitute the company's
statutory accounts for the years ended 31 December 2012 or 2011.  Statutory
accounts for 2011 have been delivered to the registrar of companies, and those
for 2012 will be delivered in due course.  The auditors have reported on those
accounts; their reports were (i) unqualified, (ii) did not include references to
any matters to which the auditors drew attention by way of emphasis without
qualifying their reports and (iii) did not contain a statement under section
498(2) or (3) of the Companies Act 2006.

The comparative income statement for the year ended 31 December 2011 has been
re-presented for operations qualifying as discontinued during the current year.
Revenue from continuing operations has been reduced by £556m and PBT has been
decreased by £22m compared to the figures published previously. Further details
of discontinued operations are presented within note 7. In addition, the
comparative consolidated statement of financial position as at 31 December 2011
has been restated to reflect the completion during 2012 of the initial
accounting in respect of acquisitions made during 2011. Adjustments made to the
provisional calculation of the fair values of assets and liabilities acquired
amount to £9m, with an equivalent increase in the reported value of goodwill.

2)  Operating segments

The group operates in two core product areas: secure solutions and cash
solutions which represent the group's reportable segments. For each of the
reportable segments, the group's CEO (the chief operating decision maker)
reviews internal management reports on a regular basis.  The group operates on a
worldwide basis and derives a substantial proportion of its revenue, PBITA and
PBIT from each of the following geographical regions: Europe (comprising the
United Kingdom and Ireland, and Continental Europe), North America, and
Developing Markets (comprising the Middle East and Gulf States, Latin America
and the Caribbean, Africa, and Asia Pacific).

Segment information for continuing operations is presented below:



                                         2012   2011

 Revenue by operating segment              £m     £m
-----------------------------------------------------


 Secure Solutions
+---------------------------------------------------+
|      UK and Ireland                   1,516  1,252|
|                                                   |
|      Continental Europe               1,393  1,475|
+---------------------------------------------------+
    Europe                              2,909  2,727

    North America                       1,311  1,169
+---------------------------------------------------+
|      Middle East and Gulf States        381    368|
|                                                   |
|      Latin America and the Caribbean    582    427|
|                                                   |
|      Africa                             357    346|
|                                                   |
|      Asia Pacific                       671    635|
+---------------------------------------------------+
    Developing Markets                  1,991  1,776
-----------------------------------------------------
 Total Secure Solutions                 6,211  5,672
-----------------------------------------------------


 Cash Solutions

    Europe                                780    817

    North America                         114    106

    Developing Markets                    396    371
-----------------------------------------------------
 Total Cash Solutions                   1,290  1,294
-----------------------------------------------------
 Total revenue                          7,501  6,966
-----------------------------------------------------


2)        Operating segments (continued)

 Revenue by geographical area           2012  2011

                                          £m    £m
---------------------------------------------------


 Europe                                3,689 3,544

 North America                         1,425 1,275

 Developing Markets                    2,387 2,147
---------------------------------------------------
 Total revenue                         7,501 6,966
---------------------------------------------------


 PBITA by reportable segment            2012  2011

                                          £m    £m
---------------------------------------------------


 Secure Solutions
+-------------------------------------------------+
|      UK and Ireland                    115   119|
|                                                 |
|      Continental Europe                 75    81|
+-------------------------------------------------+
    Europe                               190   200

    North America                         76    72
+-------------------------------------------------+
|      Middle East and Gulf States        33    31|
|                                                 |
|      Latin America and the Caribbean    51    37|
|                                                 |
|      Africa                             29    33|
|                                                 |
|      Asia Pacific                       39    35|
+-------------------------------------------------+
    Developing Markets                   152   136
---------------------------------------------------
 Total Secure Solutions                  418   408
---------------------------------------------------


 Cash Solutions

    Europe                                78    88

    North America                          5     2

    Developing Markets                    52    47
---------------------------------------------------
 Total Cash Solutions                    135   137
---------------------------------------------------
 Total PBITA before head office costs    553   545

 Head office costs                      (37)  (43)
---------------------------------------------------
 Total PBITA                             516   502
---------------------------------------------------


 PBITA by geographical area



 Europe                                  268   288

 North America                            81    74

 Developing Markets                      204   183
---------------------------------------------------
 Total PBITA before head office costs    553   545

 Head office costs                      (37)  (43)
---------------------------------------------------
 Total PBITA                             516   502
---------------------------------------------------



Result by reportable segment                                          2012 2011

                                                                        £m   £m
-------------------------------------------------------------------------------


Total PBITA                                                            516  502

Acquisition-related costs                                              (7)  (2)

Amortisation and impairment of acquisition-related intangible assets  (86) (96)

Exceptional items                                                    (133) (55)
-------------------------------------------------------------------------------
Total PBIT                                                             290  349
-------------------------------------------------------------------------------


Secure Solutions                                                       344  334

Cash Solutions                                                         116  113

Head office costs                                                     (37) (43)

Exceptional items                                                    (133) (55)
-------------------------------------------------------------------------------
Total PBIT                                                             290  349
-------------------------------------------------------------------------------

3)  Profit from operations before interest and taxation (PBIT)

The income statement can be analysed as follows:

Continuing operations           2012     2012    2012    2011

                        Ex. Olympics Olympics   Total   Total

                                  £m       £m      £m      £m
-------------------------------------------------------------


Revenue                        7,297      204   7,501   6,966

Cost of sales                (5,682)    (274) (5,956) (5,414)
-------------------------------------------------------------
Gross profit                   1,615     (70)   1,545   1,552

Administration expenses      (1,237)     (18) (1,255) (1,203)
-------------------------------------------------------------
PBIT                             378     (88)     290     349
-------------------------------------------------------------


Included within administration expenses in the current year is £86m of
amortisation of acquisition-related intangible assets, £7m of acquisition-
related expenses and £45m of restructuring costs. The cost of sales relating to
the Olympics contract of £263m includes the £70m loss in relation to the
settlement of the London 2012 Olympics contract, and the additional £7m of
sponsorship costs and £11m of other costs on the contract are included within
administrative expenses.

Included within administration expenses in the prior year is £83m of
amortisation of acquisition-related intangible assets and a £13m goodwill
impairment charge relating to the group's businesses in Greece, £2m of
acquisition-related expenses and £55m of aborted acquisition and legal costs.
 The aborted acquisition costs include debt finance underwriting fees, financing
and hedging costs that arose on the proposed acquisition of ISS A/S which was
terminated on 1 November 2011.

4)  Discontinued operations

Operations qualifying as discontinued in 2012 comprise the cash and secure
solutions businesses in Pakistan, which were disposed of in October 2012, a
justice business in the United States of America, which was disposed of in April
2012 and our US Government Solutions business.

Operations qualifying as discontinued in 2011 comprised the cash and secure
solutions businesses in Poland, which were disposed of in September 2012; the
cash solutions business in Sweden, which was disposed of in February 2012 and
the secure solutions business in Russia. The UK risk assessment business in
Afghanistan was classified as held for sale in December 2011 however, upon the
extension of a major contract, it has been reclassified as continuing as at 31
December 2012.

5)  Acquisitions

The group undertook a number of acquisitions in the year.  The total fair value
of net assets acquired amounted to £17m which included the recognition of £31m
of acquisition-related intangible assets, generating goodwill of £76m, satisfied
by a total consideration of £93m, all of which has been paid in the year.
 Related costs of £7m were incurred and charged to the income statement.

Acquisitions in subsidiary undertakings principally includes the purchase of a
100% interest in Vanguarda Segurança e Vigilância Ltda "Vanguarda", a security
personnel, security systems and monitoring services provider in Brazil.

6)  Finance income

                                                            2012 2011

                                                              £m   £m
---------------------------------------------------------------------


Interest income on cash, cash equivalents and investments     11   10

Other interest income                                          1    8

Expected return on defined retirement benefit scheme assets   82   93
---------------------------------------------------------------------
Total finance income                                          94  111
---------------------------------------------------------------------

7)  Finance costs

                                                        2012 2011

                                                          £m   £m
-----------------------------------------------------------------


Interest on bank overdrafts, loans and loan notes        118  105

Interest receivable on loan note related derivatives    (10)    -

Interest on obligations under finance leases               4    4

Other interest charges                                     7    4
-----------------------------------------------------------------
Total group borrowing costs                              119  113

Finance costs on defined retirement benefit obligations   90   90
-----------------------------------------------------------------
Total finance costs                                      209  203
-----------------------------------------------------------------

8)  Taxation

                                      2012 2011

                                        £m   £m
-----------------------------------------------


Current taxation expense              (74) (62)

Deferred taxation credit                32    9
-----------------------------------------------
Total income tax expense for the year (42) (53)
-----------------------------------------------


9)  Dividends

                                                       Pence       DKK 2012 2011

                                                   per share per share   £m   £m
--------------------------------------------------------------------------------
Amounts recognised as distributions to equity
holders of the parent in the year

Final dividend for the year ended 31 December           4.73    0.4082
2010                                                                      -   66

Interim dividend for the six months ended 30 June       3.42    0.2928
2011                                                                      -   48

Final dividend for the year ended 31 December           5.11    0.4544
2011                                                                     72    -

Interim dividend for the six months ended 30 June       3.42    0.3220
2012                                                                     48    -
--------------------------------------------------------------------------------
                                                                        120  114
--------------------------------------------------------------------------------
Proposed final dividend for the year ended 31
December 2012                                           5.54    0.4730   78
----------------------------------------------------------------------------

The proposed final dividend is subject to approval by shareholders at the Annual
General Meeting. If so approved, it will be paid on 14 June 2013 to shareholders
who are on the register on 17 May 2013. The exchange rate used to translate it
into Danish kroner is that at 12 March 2013.

10)  Earnings/(loss) per share attributable to equity shareholders of the parent

                                                                     2012   2011

                                                                       £m     £m
--------------------------------------------------------------------------------
From continuing and discontinued operations



Earnings

Profit for the year attributable to equity holders of the parent       48    181
--------------------------------------------------------------------------------


Number of shares (m)

Weighted average number of ordinary shares                          1,403  1,405
--------------------------------------------------------------------------------


Earnings per share from continuing and discontinued operations
(pence)

Basic and diluted                                                    3.4p  12.9p
--------------------------------------------------------------------------------


From continuing operations



Earnings

Profit for the year attributable to equity holders of the parent       48    181

Adjustment to exclude loss for the year from discontinued
operations (net of tax)                                                63      6
--------------------------------------------------------------------------------
Profit from continuing operations                                     111    187
--------------------------------------------------------------------------------


Earnings per share from continuing operations (pence)

Basic and diluted                                                    7.9p  13.3p
--------------------------------------------------------------------------------


From discontinued operations



Loss per share from discontinued operations (pence)

Basic and diluted                                                  (4.5)p (0.4)p
--------------------------------------------------------------------------------


From adjusted earnings



Earnings

Profit from continuing operations                                     111    187

Adjustment to exclude net retirement benefit finance cost/(income)
(net of tax)                                                            6    (2)

Adjustment to exclude amortisation and impairment of acquisition-
related intangible assets (net of tax)                                 61     71

Adjustment to exclude acquisition-related expenses (net of tax)         5      1

Adjustment to exclude exceptional items (net of tax)                  115     42
--------------------------------------------------------------------------------
Adjusted profit for the year attributable to equity holders of the
parent                                                                298    299
--------------------------------------------------------------------------------


Weighted average number of ordinary shares (m)                      1,403  1,405



Adjusted earnings per share (pence)                                 21.2p  21.3p
--------------------------------------------------------------------------------

In the opinion of the directors the earnings per share figure of most use to
shareholders is that which is adjusted. This figure better allows the assessment
of operational performance, the analysis of trends over time, the comparison of
different businesses and the projection of future earnings.

11)  Disposal groups classified as held for sale

At 31 December 2012, disposal groups classified as held for sale comprised the
assets and liabilities associated with the US Government  Solutions business
which have been written down to their estimated realisable value by way of a
£35m goodwill impairment charge.

At 31 December 2011, disposal groups classified as held for sale primarily
comprises the assets and liabilities associated with the cash solutions business
in Sweden, which was disposed of on 27 February 2012, the cash and secure
solutions businesses in Poland, which was disposed of on 4 September 2012 and
the UK risk assessment services business in Afghanistan, which has now been
reclassified as continuing following the extension of a major contract.

12)  Analysis of net debt

A reconciliation of net debt to amounts in the consolidated balance sheet is
presented below:

                                                                    2012    2011

                                                                      £m      £m
--------------------------------------------------------------------------------


Cash and cash equivalents                                            469     433

Investments                                                           56      70

Net cash and overdrafts included within disposal groups
classified as held for sale                                           20    (10)

Net debt (excluding cash and overdrafts) included within
disposal groups classified as held for sale                           10       -

Bank overdrafts                                                     (17)    (53)

Bank loans                                                         (345)   (932)

Loan notes                                                       (2,039) (1,180)

Fair value of loan note derivative financial instruments             105     120

Obligations under finance leases                                    (61)    (64)
--------------------------------------------------------------------------------
Total net debt                                                   (1,802) (1,616)
--------------------------------------------------------------------------------




An analysis of movements in net debt in the year is presented below:



                                                                    2012    2011

                                                                      £m      £m
--------------------------------------------------------------------------------


Increase in cash, cash equivalents and bank overdrafts per
consolidated cash flow statement                                     138      87

Sale of investments                                                    -    (10)

Increase in debt and lease financing                               (302)   (222)
--------------------------------------------------------------------------------
Change in net debt resulting from cash flows                       (164)   (145)

Borrowings acquired with subsidiaries                                (1)     (5)

Net additions to finance leases                                     (21)    (11)
--------------------------------------------------------------------------------
Movement in net debt in the year                                   (186)   (161)

Translation adjustments                                                -    (29)

Net debt at the beginning of the year                            (1,616) (1,426)
--------------------------------------------------------------------------------
Net debt at the end of the year                                  (1,802) (1,616)
--------------------------------------------------------------------------------


Non GAAP measure - cash flow

The directors consider it is of assistance to shareholders to present an
analysis of the group's operating cash flow in accordance with the way in which
the group is managed, together with a reconciliation of that cash flow to the
net cash flow from operating activities as presented in the consolidated cash
flow statement.

Operating cash flow
For the year ended 31 December 2012

                                                                      2012  2011

                                                                        £m    £m
--------------------------------------------------------------------------------


Group PBITA                                                            516   502

Depreciation, amortisation and profit on disposal of fixed assets      140   126

Movement in working capital and provisions                            (27)  (73)

Net cash flow from capital expenditure                               (137) (134)
--------------------------------------------------------------------------------
Operating cash flow                                                    492   421
--------------------------------------------------------------------------------




Reconciliation of operating cash flows                                2012  2011

                                                                        £m    £m
--------------------------------------------------------------------------------


Net cash flow from operating activities per consolidated cash flow     287   372
statement

Net cash flow from capital expenditure                               (137) (134)

Add-back cash flow from exceptional items and discontinued             220    66
operations

Add-back additional pension contributions                               37    40

Add-back tax paid                                                       85    77
--------------------------------------------------------------------------------
Operating cash flow                                                    492   421
--------------------------------------------------------------------------------



[HUG#1684787]