February 9, 2007

(Washington, DC) – Following today’s announcement of a $3.6 billion FirstGroup PLC takeover of Laidlaw International Inc. (NYSE: LI) at the Laidlaw annual shareholders meeting, Teamsters General President Jim Hoffa called for both companies to ensure that workers’ job security would be protected and that the merged company’s service and labor relations would not be tainted by FirstGroup’s troubled record in the U.S. Together, FirstGroup and Laidlaw would dominate the privatized school bus market in the United States.

“This buyout means that FirstGroup becomes a more highly unionized company, with an additional 7,000 Laidlaw Teamsters who have served their company and their communities for decades,” Hoffa said. “We are determined to drive up standards in the school bus and passenger transport industries and we stand prepared to protect our members’ interests as this buyout progresses.”

New Orleans Laidlaw driver Zandra Batise questioned Laidlaw Chief Executive Kevin Benson about his updated employment agreement that would provide him with a golden parachute in the event of a merger. Batise questioned why Benson would be entitled to two years of salary, club fees, medical payments, retirement and other perquisites, when workers in New Orleans have not received the pay they were promised in writing. Benson replied, “We’re both paid exactly the same – the market.”

First Student drivers from Danville, Illinois, questioned Benson about the combined company’s intentions regarding labor relations, suggesting that the takeover could provide an opportunity to work with its union membership to improve conditions and reduce driver turnover, a critical problem in the school bus industry. First Student’s turnover rate in the U.S. is 35 percent.

FirstGroup, at its July 2006 Annual General Meeting in Aberdeen, Scotland, committed to enforce a policy of neutrality toward unions in the U.S.

“We are absolutely committed to stamping out anti-union behavior and you have our undertaking that we will do what is necessary to remain neutral as far as union membership is concerned,” said Martin Gilbert, FirstGroup Chairman at the meeting.

“We absolutely intend to hold this company to that commitment.  In light of today’s announcement and the effects of such a merger on children, communities and workers, it is time for FirstGroup to join us in a sincere dialogue about worker rights, safety, and service,” Hoffa said.  “We strongly believe that labor peace promotes the financial success of any company.”

Hoffa had earlier expressed concern that FirstGroup’s checkered service record in the U.S.  could negatively affect the long-term profitability of a combined company. First Student, FirstGroup’s U.S. subsidiary, has caused several school districts to rebid their transportation contracts after the company failed to provide adequate, timely and safe transportation to students. Some districts, like Jacksonville, Florida, have already reassigned large portions of First Student work to other providers.

Recently, extremely serious safety violations came to light in Ohio where First Student is headquartered. On January 25, Columbus’ school system closed down because First Student had not completed background checks on their drivers, one of whom had a record of three driving under the influence violations. The following day in St. Paul, Minnesota, a First Student driver, who had killed a man while driving a school bus the previous week, was found to have been driving with a suspended license at the time of the accident. The subsequent investigation found that he already had a pattern of recent traffic violations.

Further, Teamsters fear that the buyout of Laidlaw could create disruptions and loss of business for the combined company since many school districts across the United States are required to award work to multiple providers to ensure quality service and stimulate competition. Already, one district in Chattanooga, Tennessee had chosen to end its relationship with First Student and award work to Laidlaw. The district may now find itself back in business with a provider it had found unsatisfactory.

During the meeting, Laidlaw’s counsel Beth Corvino declined to respond to a question regarding potential loss of business as a result of merged company, saying only that such issues would not be addressed on the company’s proxy.

Today’s announcement places the top school bus providers in the U.S. under British ownership. London-based National Express, which operates Durham School Services in the U.S., would become the number two provider of school bus transportation in the U.S.

The International Brotherhood of Teamsters represent 1.4 million hardworking men and women throughout the United States and Canada, including more than 11,000 workers employed by Laidlaw and FirstGroup.