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Managing Director’s Review
Weadoptedastrategytogrowthebusinessthrough
broadeningtherangeofservicesweofferedourexisting
customersacrossAustralia.Wealsobegantodiversify
ourserviceofferinginNewZealandandenteredthe
UnitedKingdompaintingmarket,whereourmaintenance
programmesareunique.Theresultwasastronger
business,withawidercustomerbaseandconsistent
year-on-yeargrowth.Operatingcashflowimproved
substantiallyandwehavebeenabletoincreaseour
dividendpayoutratioandfullyfrankdividends.
Todayweprovideabroadrangeofoutsourcedservices.
AustralianPainting,whichhasdoubleditsrevenueinthe
pasteightyearsandcontributedstronglytothelatest
result,provided33percentof2006-7grouprevenue.
Combiningourmulti-servicemodelwithgeographic
expansionhasthepowerfuleffectofcompoundinggrowth.
Ithasreducedbusinessrisksandprovidedaccesstoa
largermarket.Wecannowaddgreatervaluetolarger
businessesandgovernmentorganisationswith
multiplesites.
Systemstomanagemulti-sitecontractshelpedus
coordinateservicesduringthepastyearacrossmore
than60Myerstores,whereweprovidepainting,plumbing,
refurbishment,electricalandcomplianceservices.
Similarly,weprovidedmultipleservicesforothernational
groupssuchasacinemachain,Telstra,Orica,retail
chains,andspecialtystores.Wealsoprovidethe
AustralianElectoralCommissionwithmaintenanceand
complianceservices.
Ourcapacitytoassistmulti-siteorganisationswith
outsourcedservicesolutionshasincreasedsubstantially
sincetheendofthefinancialyearwiththeIntegrated
Groupmerger.ThisisthenextstepinProgrammed
MaintenanceServices’strategicevolutionandweare
excitedbythegrowthopportunitiesitprovides.Thegroup
nowhasafull-serviceofferingcoveringthespectrumfrom
labourhire,recruitmentandmanagedlabourservices,
throughtopropertymaintenanceandinfrastructure
services,givingusscopetocontributegreater
customervalue.
IampleasedtoreportthatProgrammedMaintenanceServicescontinueditsgrowthmomentumin2006-7andgeneratedanotherrecordresult,ledbyastrongperformancefromourAustralianPropertyMaintenancebusinesses.
Particularlysatisfyingwasthesignificantincreaseinrevenuefrommulti-service,multi-sitecontracts,validatingthestrategywehaveimplementedsinceASXlistinginOctober1999.Investorsthenwereconcernedaboutourabilitytoexpandthebusiness,thecompany’soperatingcashflow,lowdividendpayoutratioandlackoffranking.
Max FindlayManagingDirector
“ThemergerwithIntegratedGroupmorethandoublesthecompany’sannualisedrevenueandhasincreaseditsmarketcapitalisation.Itwillalsofurtherdiversifyourearnings,improvecashflow,tripleournumberofemployeestomorethan9,500andprovidealargergeographicfootprint.”
ProgrammedMaintenanceServices6
ThemergerwithIntegratedGroupmorethandoubles
thecompany’sannualisedrevenueandhasincreased
itsmarketcapitalisation.Itwillalsofurtherdiversifyour
earnings,improvecashflow,tripleournumberof
employeestomorethan9,500andprovidealarger
geographicfootprint.
Combiningthetwobusinesses,however,promisesfar
morethanthat.Itoffersscopetobundlemoreservices
andofferthemtoabroadercustomerbase;expandlabour
hireservicesintoNewZealandandtheUnitedKingdom;
streamexistingProgrammedMaintenanceServices
expertiseintomorelocations,particularlyinWestern
Australia;andexpandbusinessinindustrieswhere
Integratedhasastrongpresence,suchasminingand
marine.Itwillalsocreategreaterlabourflexibilityacross
thegrouptomeettightregionallabourmarketconditions
andseasonaldemands.
Consistency of EBIT margins
2000
40
35
30
25
20
15
10
5
0
Cent
spe
rsha
re
20012002
20032004
20052006
2007
18%
16%
14%
12%
10%
8%
6%
4%
2%
0%
EBIT
/Rev
enue
%
EBIT EBIT/Revenue
7Managing Director’s Review
Managing Director’s Review continued
Weareimplementingadetailedintegrationplan,which
willdeliversomecostsavingsandimprovedbusiness
efficiencieswherefunctionsareduplicated.Fromthe
outset,therehasbeentremendouscooperationand
goodwillfrombothPMSandIntegratedstaffandthetwo
groupsareworkingtogetherharmoniouslytocapitalise
onthespecialskillsthateachbusinesscontributes.
PeopleProgrammedMaintenanceServiceshasoutstanding
peoplethroughoutthebusinessandastrongteamspirit
basedonsixcorevaluesofSafety,Team,Responsibility,
Innovation,PrideandRecognition.
Inthecurrentfullemploymentconditions,thecompany
hascontinuedtoattractandretainhighqualitypeople,
including150apprenticesacrosstheGroup.Skills
shortages,however,havecontinuedtoholdusback
insomeareas,particularlyinWesternAustraliaand
NewZealand.
Tohelpovercometheshortageofskilledtradespeople,
wesecondedasmallteamofpaintersfromourUnited
KingdombusinesstoWesternAustraliaduringAustralia’s
peaksummerseason.Wealsoattendedcareersexpos
inWesternAustraliaandQueenslandtoincreaseschool
students’awarenessofourapprenticeshipopportunities.
Ourmanagementtraineeprogrammeagainenabled
frontlinestafftoprogresstokeyroles.Tohelpmaintain
highstandardsofcustomerservice,wedevelopedan
onlineinductionprogrammewhichwillbeimplemented
acrossthegroupin2007-8.Thisprovidesconsistency,
canbecustomisedforeachbusinessandoffersatesting
andannualre-testingcapability.Wealsocreatedan
eRecruitmenthubtocoordinateandstreamlineall
recruitmentprocesses,trackeffectivenessofadvertising,
controlcostsandprovideatalentwarehouse.Thiswas
successfullytrialledintheAustralianPaintingbusiness.
Afirmcommitmenttoemphasisingsafetythroughout
theorganisationsignificantlyreducedtherateofinjury
andillness.Ourapproachistodevelopacultureof
safety,ratherthanrelyonsupervisedsafety,andthe
lost-timeinjuryratecontinuedtofallduringtheyear.
AcentralisedCorporateAssurancefunctionwas
establishedtodeliverconsistentprocessesacrossthe
group.Tostreamlineadministration,wenowhaveasingle
managementsystemthatintegratesoccupationalhealth
andsafety,qualityandenvironmentalrequirements.
Wealsorolledoutnewdatacommunicationsto
55locationsinAustraliaandNewZealand,andimproved
ourabilitytohandleahighervolumeofhelpdeskenquiries.
8 Programmed Maintenance Services
LukeDickinsonworkingatTheVillageGlenisoneofthemanyProgrammedMaintenanceServices’groundspeopleprovidinggroundsandgardensservicesthroughoutAustralia.Sitesvaryfromsportingovalsanduniversitygroundstoretirementvillages,petrolstationsandcivicparks.
Managing Director’s Review 9
LukeDickinsonworkingatTheVillageGlenisoneofthemanyProgrammedMaintenanceServices’groundspeopleprovidinggroundsandgardensservicesthroughoutAustralia.Sitesvaryfromsportingovalsanduniversitygroundstoretirementvillages,petrolstationsandcivicparks.
Managing Director’s Review 9
ThemergerwithIntegratedGroupmorethandoubles
thecompany’sannualisedrevenueandhasincreased
itsmarketcapitalisation.Itwillalsofurtherdiversifyour
earnings,improvecashflow,tripleournumberof
employeestomorethan9,500andprovidealarger
geographicfootprint.
Combiningthetwobusinesses,however,promisesfar
morethanthat.Itoffersscopetobundlemoreservices
andofferthemtoabroadercustomerbase;expandlabour
hireservicesintoNewZealandandtheUnitedKingdom;
streamexistingProgrammedMaintenanceServices
expertiseintomorelocations,particularlyinWestern
Australia;andexpandbusinessinindustrieswhere
Integratedhasastrongpresence,suchasminingand
marine.Itwillalsocreategreaterlabourflexibilityacross
thegrouptomeettightregionallabourmarketconditions
andseasonaldemands.
Consistency of EBIT margins
2000
40
35
30
25
20
15
10
5
0
Cent
spe
rsha
re
20012002
20032004
20052006
2007
18%
16%
14%
12%
10%
8%
6%
4%
2%
0%
EBIT
/Rev
enue
%
EBIT EBIT/Revenue
7Managing Director’s Review
Managing Director’s Review continued
Australian Property MaintenanceTheAustralianPropertyMaintenancebusinesseshada
verysuccessfulyear.Tightercontrolsoverjobmanagement
ledtoastrongupliftinmargins,particularlyinAustralian
Painting,withearningsbeforeinterestandtaxincreasing
by31.9percent,comparedwitha19percentincrease
inrevenue.
TheAustralianPaintingbusinessperformedstrongly,
especiallyinVictoria,NewSouthWalesandQueensland.
Improvedestimating,performancemeasurementand
reportingsystemscontributedtogreateraccountability
andcorrespondinglyimprovedoutcomes.Revenue
fromlong-termmaintenanceprogrammesincreased
andseveralsignificantprogrammeswererenewed,
includingmaintenanceofsomeiconicracecoursesand
prominentschools.Majorprojectsrangedfromdetailed
decorationofSydney’sGreatSynagoguetopainting
communicationspiresontopofMelbourne’s60storey
101CollinsStreettower.
Multi-siteprojectscompletedduringtheyearincludeda
trafficmanagementprogrammetoimprovetrafficflow
andsafetyinsome700supermarkets,andinterior
refurbishmentofstoresthroughoutAustraliaforamajor
retailchain.
Inthepresentstrongbusinessclimate,morecompanies
aredifferentiatingthemselvesthroughre-imaging,resulting
inincreasedrevenueandprofitforourAustralianCorporate
Imagingbusiness.Projectsincludedthe235-storerollout
ofTyrepower’svibrantnewbranding,andcreatingan
excitingnewlookforluxurycarshowroomsinSydney
andMelbourne.
OurBuildingServicesbusinessimprovedstronglyin
thesecondhalf,aidedbyexcellentperformancein
SouthAustraliaandconsiderableprogressinVictoria
andNewSouthWales.Thebusinesscontinuedtodiversify
itsrevenueandskillsbaseandaddedtothenumberof
itsmulti-site,multi-servicenationalcustomers.Thisis
expectedtoleadtofurtherrevenueandearningsgrowth
in2007-8.
Programmed Maintenance Services10
Managing Director’s Review
Weadoptedastrategytogrowthebusinessthrough
broadeningtherangeofservicesweofferedourexisting
customersacrossAustralia.Wealsobegantodiversify
ourserviceofferinginNewZealandandenteredthe
UnitedKingdompaintingmarket,whereourmaintenance
programmesareunique.Theresultwasastronger
business,withawidercustomerbaseandconsistent
year-on-yeargrowth.Operatingcashflowimproved
substantiallyandwehavebeenabletoincreaseour
dividendpayoutratioandfullyfrankdividends.
Todayweprovideabroadrangeofoutsourcedservices.
AustralianPainting,whichhasdoubleditsrevenueinthe
pasteightyearsandcontributedstronglytothelatest
result,provided33percentof2006-7grouprevenue.
Combiningourmulti-servicemodelwithgeographic
expansionhasthepowerfuleffectofcompoundinggrowth.
Ithasreducedbusinessrisksandprovidedaccesstoa
largermarket.Wecannowaddgreatervaluetolarger
businessesandgovernmentorganisationswith
multiplesites.
Systemstomanagemulti-sitecontractshelpedus
coordinateservicesduringthepastyearacrossmore
than60Myerstores,whereweprovidepainting,plumbing,
refurbishment,electricalandcomplianceservices.
Similarly,weprovidedmultipleservicesforothernational
groupssuchasacinemachain,Telstra,Orica,retail
chains,andspecialtystores.Wealsoprovidethe
AustralianElectoralCommissionwithmaintenanceand
complianceservices.
Ourcapacitytoassistmulti-siteorganisationswith
outsourcedservicesolutionshasincreasedsubstantially
sincetheendofthefinancialyearwiththeIntegrated
Groupmerger.ThisisthenextstepinProgrammed
MaintenanceServices’strategicevolutionandweare
excitedbythegrowthopportunitiesitprovides.Thegroup
nowhasafull-serviceofferingcoveringthespectrumfrom
labourhire,recruitmentandmanagedlabourservices,
throughtopropertymaintenanceandinfrastructure
services,givingusscopetocontributegreater
customervalue.
IampleasedtoreportthatProgrammedMaintenanceServicescontinueditsgrowthmomentumin2006-7andgeneratedanotherrecordresult,ledbyastrongperformancefromourAustralianPropertyMaintenancebusinesses.
Particularlysatisfyingwasthesignificantincreaseinrevenuefrommulti-service,multi-sitecontracts,validatingthestrategywehaveimplementedsinceASXlistinginOctober1999.Investorsthenwereconcernedaboutourabilitytoexpandthebusiness,thecompany’soperatingcashflow,lowdividendpayoutratioandlackoffranking.
Max FindlayManagingDirector
“ThemergerwithIntegratedGroupmorethandoublesthecompany’sannualisedrevenueandhasincreaseditsmarketcapitalisation.Itwillalsofurtherdiversifyourearnings,improvecashflow,tripleournumberofemployeestomorethan9,500andprovidealargergeographicfootprint.”
ProgrammedMaintenanceServices6
RhysWight,left,andPeterSmith,atopthe101CollinsStreettowerinMelbourne,arepartofProgrammedMaintenanceServicesabseilcrew,whichspecialisesindifficult-to-reachmaintenanceprojects.
Photographerwasfellowpainter,RobbieSchimmelpfenning,whowasworkingontheadjacentcommunicationantenna.
11Managing Director’s Review
Managing Director’s Review continued
TheGroundsManagementbusinessalsohadavery
strongyear,especiallyinVictoria,SouthAustraliaand
Queensland.Itsnationalpresenceenabledittosecure
amajorcontractforWoolworths’petrolstations,and
thebusinesswasappointedbySpotlesstomaintainthe
groundsatDepartmentofDefencebasesinsouth-east
Queensland.Newmulti-sitecontractshaverecently
commencedwithMacquarieGoodmanandNewSouth
WalesPolice.
Ournationallandscapingserviceattracteddiverse
customers,rangingfromtertiaryinstitutionstothe
VictorianArtsCentre.Italsoexpandeditsshareofthe
newhomedevelopmentmarketwiththecompletionof
majorlandscapingworksandstrengtheneditsposition
intheeducationsector.
Ourinfrastructureandfacilitiesmanagementbusiness,
Tungsten,wasrestructuredtoincorporateInfraserv,and
considerablenewbusinesswasgenerated.Tungsten
providesawiderangeofhighlevelmanagementskills,
includingengineers,fitters,plumbers,groundsandother
services,toprovidelargeindustrialandminingsiteswith
solutionsfromsecurityatthefrontgatetoemergency
fireandaccidentresponseteams.
TungstensecuredanewcontractcoveringBHPBilliton
sitesinWesternAustraliauntil2011,whileitscontract
forBHPBilliton’ssitesinVictoriaandSouthAustraliawas
extendeduntil2011.Italsogainedsignificantlong-term
contractsfromPortofMelbourneCorporation,theWater
CorporationofWesternAustralia,YarraValleyWaterand
ASSAAbloy.Reflectingitscommunityprofile,Tungsten
wontheToyotaCommunityArtsAwardforFrankston
CityCouncilinVictoriaandwasnominatedforthe
nationalaward.
Industrial ServicesTheBarryBros.industrialservicesbusinesscontinuedto
increaseitsrevenuefollowinginvestmentinnewequipment
andopeningbranchesatGosford,NewSouthWales,and
theGoldCoast.Earnings,however,wereconstrainedby
drought,whichcausedunder-utilisationofequipment,so
whilerevenueincreasedby19percentovertheprevious
year,earningsbeforeinterestandtaxdeclinedmarginally.
12 ProgrammedMaintenanceServices
StanwellPowerStation,pictured,isoneofTungsten’scurrentQueenslandcustomers.Tungstenhasextensiveexperienceintheassetmanagementandmaintenanceofwaterutilities,powergenerationsites,educationalfacilities,correctionalfacilities,localgovernmentinfrastructure,publichousingandindustrialmanufacturingsites.
13Managing Director’s Review
Profitablegrowthofnon-paintingserviceshasenabled
ustocontinuefullfrankingofdividends,whichincreased
from17cto18.5casharefortheyear.Increasedfranking
andour60percentpayoutpolicyhavecontributedtoa
re-ratingofthecompany’sshares:duringthethreeyears
toMarch2007,shareholdernumbersroseby60percent
to4,700andtheshares’historicalprice-to-earningsratio
grewfrom11timestomorethan18times.
AmajorbenefitofProgrammedMaintenanceServices’
strategicprogressionhasbeenthestronggrowthingross
operatingcashflow,whichincreasedby71percentto
over$31.3million.Thiswasachieveddespitecontract
recoverablesrisingby7percent.
Thedebt-to-equityratioincreasedto67percentfrom
59percentat31March2006,with$16.1millionofplant
andequipmentpurchasedduringtheyear.Netinterest
payments,whichwerehigherduetothenewequipment
andtheacquisitionofTungsten,werecovered6.2times.
WewelcomeIntegrated’schairman,NeilHamilton,
andnon-executivedirector,JonathanWhittle,tothe
ProgrammedMaintenanceServicesboard,andIthank
myfellowdirectorsfortheircontributionduringtheyear.
Inparticular,IwouldliketothankourManagingDirector,
themanagementteamandallouremployeesforanother
recordresult,andshareholdersfortheircontinuingsupport.
Changing mix of revenue 1989–2007
1999RevenueRevenue
A$85 million
IndustrialServices13%
GroundsServices4%
BuildingServices1%
NewZealand15%
AustralianPainting67%
AustralianPainting100% 1989
RevenueA$46 million
2006-07Revenue
A$333 million
UnitedKingdom9%NewZealand12%
GroundsServices10%
BuildingServices12%
Tungsten16%
IndustrialServices8%
AustralianPainting33%
Chairman’s Report 3
Growth in dividends and franking
20022003
20042005
20062007
20
18
16
14
12
10
8
6
4
2
0
Cent
spe
rsha
re
Franked
Unfranked
Managing Director’s Review continued
DemandisincreasingforBarryBros.’Envirovac
infrastructuresweeping,non-destructivediggingand
concretedemolitionservices.Theseserviceshave
beenparticularlysuccessfulinVictoriaandQueensland,
andarereducingthebusiness’dependenceondrain
cleaning.DemonstratingtheroleBarryBros.canplayin
emergencies,ourteamsworkedcloselywithauthoritiesto
cleanupaftertheLismoretrainderailmentinsouth-west
VictoriaandtheBurnleyTunnelaccidentinMelbourne.
Whilethedroughtcontinuestohaveanimpactonthe
business,plansareinplacetoensuretheadditional
equipmentpurchasedin2006-7isbetterutilisedin
2007-8.
New ZealandTheperformanceoftheNewZealandproperty
maintenancebusinesswasaffectedbypoorweather
interruptingprojectsandbytherelativestrengthofthe
Australiandollar.InNewZealanddollars,revenue
increasedby16.9percentandearningsbeforeinterest
andtaxgrewby0.8percent,butaftertranslationinto
Australiandollarsearningswere5.9percentweaker.
Indicatingtheunderlyingstrengthofourpainting
programmesinNewZealand,contractrecoverables
rose17percenttoNZ$65million.
Newbrancheswereopenedonthenorthshoreof
AucklandandinGisborne,bringingthetotalto15.
Thebuildingservicesbusinesscontinuedtogrowstrongly
fromalowbase,completinganumberofprojectsand
makingapositivecontribution.
Trainingprogrammesandnewprocessesarebeing
introducedtoimproveprojectplanning,operational
performance,customersatisfactionandsafety,aswell
astoattractandretainskilledtradespeople,whoremain
inshortsupply.
Severallongtermcontractswererenewed,anda
significantrefurbishmentprojectwascompleted
successfullyafterfinancialyear-end.
United KingdomWhittlePaintingGroup,ourUnitedKingdombusiness,
continuedtoincreaseitsrevenueandearnings,although
marginswereaffectedbyabaddebtinthefirsthalfand
underperformancebytwobranches.
Weexpandedourmarketfootprintthroughtheacquisition
ofasmallpaintingbusinessinLeeds,bringingthenumber
ofbranchestonine,coveringthenorth-west,north-east,
midlands,south-westandeastofEngland,aswellasthe
ThamesValley.
Ourlongtermmaintenanceprogrammesremainunique
inthemarketandtheyaregainingincreasingrecognition,
particularlyintheeducationsector.Werenewedour
partnershipswithLancasterandDerbyHomes,completed
projectsatseveralprisonsandgainedaprogramme
fromtheQueen’sestateatSandringham.The70new
programmessignedduringtheyearbringthetotaltoover
420,withacombinedvalueof£14.8million(A$36million).
Programmed Maintenance Services14
Chairman’s Report
Duringthepastyearwetookourmostsignificantstepso
farwiththemerger,throughaschemeofarrangement,
withIntegratedGroupLimited.Themergerofthetwo
companieswillbroadenourrangeofservicesfurther,
addinglabourhire,recruitmentandmanagedlabour,and
alsoincreaseourmarketfootprint.Thecombinedgroup
willhaveannualisedrevenueexceeding$800millionand
themergerisprojectedtobeearningspersharepositive
beforesynergiesin2007-8.
Themergerwascompletedon7Juneandisalogicalstep
inProgrammedMaintenanceServices’growthasaleading
providerofoutsourcedservices.Itfollowsourpurchaseof
infrastructureservicescontractsfromSercoin2004and
oftheTungsteninfrastructureandfacilitiesmanagement
businessin2005.
Throughdiversifyingourservicesandincreasingour
coverageofthethreecountrieswhereweoperate,
wehavebroadenedourearningsandrevenuebase.
Wenowmaintainandprotectlandmarkbuildings,retail
outlets,industrialsites,educationalfacilities,sporting
groundsandinfrastructure,andincreasinglyweare
providingmultipleservicestocustomerswithmultiplesites.
Ouractivitiesextendtooperatingwaterrecyclingplants,
carryingoutcomplianceassessmentsforlargeinstitutions,
andmanagingcatering,IThelpdesksandemergency
responseteams.
Reflectingthisdiversification,60percentofAustralian
revenuein2006-7camefromservicesotherthanpainting,
comparedwith50percentthepreviousyear.While
marginsonthesenewerservicestendtobelowerthan
onourtraditionalmaintenancepaintingprogrammes,our
averageEBITmarginof11.6percentwasinlinewithplan
andremainswellaheadofotherlistedservicesgroups.
In2006-7,ProgrammedMaintenanceServicesachieveditsninthconsecutiveyearofdoubledigitprofitgrowth.Thisconsistentperformancehasbeentheresultofourlong-termstrategytodiversifytheservicesweofferandexpandourgeographicalcoverage.
Geoff TomlinsonChairman
“Therehasbeenanencouragingstartto2007-8,withstrongorderbooksacrossourbusinesses,andthecompanyiswellpositionedtoaccelerateitsrateofgrowth.”
ProgrammedMaintenanceServices2
RichardGoodwinpolishesaTyrepowermonolithsignbeforefinalinstallationononeofthecompany’s235storesites.
OurAustralianCorporateImagingbusinessisaspecialistinhelpingcompaniestostandoutfromthecrowdbyapplyingstrong,consistentbrandingacrosstheirretailnetworks.
15Managing Director’s Review
Managing Director’s Review continued
Businessdevelopmentwasstrengthenedandtwo
experiencedsalespeopleweretransferredfromAustralia
andNewZealandtofurthersupportthegrowthofour
programmebusiness.WhittleachievedISO9001
accreditationforitsservices,andasurveyreflecteda
highlevelofcustomersatisfaction.
WeexpecttoseesolidgrowthintheUnitedKingdomas
wecontinuetoincreaseourmarketpresence.
The FutureProgrammedMaintenanceServiceshaschanged
substantiallysincethecompanylistedontheASXnearly
eightyearsago.ThenwewerelargelyanAustralianand
NewZealandpaintingbusiness,withotherservices
contributingonly18percentofrevenue.Todayweare
adiversifiedoutsourcinggroupprovidingawiderange
ofservicestoseveralthousandcustomersandwith
branchesthroughoutAustralia,NewZealandandthe
UnitedKingdom.
Thecompany’srecordofconsistentdoubledigitincreasesin
earningsledtoourinclusioninForbesAsia’s2006listofthe
region’sbest200companieswithsalesunder$US1billion,
basedontheirrecordsofsustainedgrowthandprofitability.
Butthisisonlythebeginning.ThemergerwithIntegrated
Groupwillleadtoasignificantlymorerobustcompany,with
expandedrevenueopportunitiesandastronggrowthprofile.
IwelcomeallIntegratedGroupemployeeswhojoinedusin
June.Ialsothankourcustomersfortheircontinuingsupport
andeachmemberofthegrowingProgrammedMaintenance
Servicesteamforcontributingtothevitalityofthecompany
andtoitsstrongmarketposition.Together,theyhaveenabled
ustocontinueourmomentumandgivenustheconfidenceto
planforfurthergrowth.
Max FindlayManagingDirector
15June2007
ProgrammedMaintenanceServices16 ProgrammedMaintenanceServices16
PaulGravellofBarryBros.providingdraincleaningservicestotheTelstraDome.
Theseincludeidentifyingundergroundassetsthroughnondestructivediggingtechnology,highpressurewaterjetting,vacuumloading,Envirovacsweepingandwaterrecycling.
17Managing Director’s Review