Nobina wins traffic contract in Uppland worth close to SEK 5 billion

Nobina Sverige won the traffic contract for the regional bus services in Uppland, comprising 163 buses. The value of the new contract is almost SEK 5 billion over the full contract period, or around SEK 490 million per year. The new agreement comprises a combination of fixed price and incentive-based compensation, and runs for 10 years, starting in June 2012.

Nobina already is responsible for the bus traffic in Uppland, and today's announcement is both an extension and expansion of the responsibilities for the company. The new service agreement for regional bus service in Uppland includes 163 buses, and combines fixed price with a variable compensation depending on the number of boarding customers. Nobina thus has bigger incentive to increase travel in the region, and thereby the Group's profitability.

- We are pleased with the faith in our services and we look forward to continuing to provide regional bus traffic in Uppland. Our ambition is to double public transportation, and the new agreement with a variable compensation scheme allows us to provide profitable traffic for many years, says Ragnar Norbäck, CEO of Nobina.

Nobina will renew the bus fleet with an environmental profile and significantly improved comfort for customers. Out of the 136 new buses, 95 buses will be powered by the eco fuel RME and 41 buses by biogas. In addition, 12 buses are double-deckers and 32 buses are so-called comfort buses, primarily suited for longer commute routes.

- We invest in sustainable public transport, with a new fleet and a strong focus on customer satisfaction. The long term of ten years allows us to develop our offer in close cooperation with our customers and the PTA, Upplands Lokaltrafik, says Ragnar Norbäck.

The value of the new agreement is estimated at around SEK 490 million per year, based on fixed compensation as well as an incentive based part. The traffic contract runs for 10 years, starting in June 2012. Winning the contract means that jobs for the approximately 460 employees who currently work for Nobina in Upland are secured. Moreover, an additional 70 employees are expected to be hired, mostly bus drivers.

For more information please contact
Ragnar Norbäck, CEO and President of Nobina AB, telephone +46 (0)8-410 650 00
Per Skärgård, CFO, telephone +46 (0)8-410 650 56
Ingrid Håkanson, IR Manager, telephone +46 (0)8-410 650 51

The Nobina group is the largest bus passenger transport company in the Nordic region. The operations include contractual regional traffic in Sweden, Denmark, Norway and Finland as well as independently operated interregional traffic through Swebus. The Nobina group has annual sales in excess of SEK 6 billion, operates 3,500 buses and, with more than 260 million passenger journeys per year, is one of the major passenger transport companies in northern Europe. For more information, please see www.nobina.com

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