Change for the better: Stagecoach and the East Midlands Franchise

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1 Change for the better: Stagecoach and the East Midlands Franchise

2 Time Destination 0001 A message from Ian Dobbs Chief Executive, Rail Division Stagecoach Group I am excited that Stagecoach has the opportunity to bid to run the new East Midlands rail franchise. On a personal level, as an East Midlands man, I see this as a chance to strengthen further our links with my home patch. But more importantly, on a professional level I know that Stagecoach can improve the service that you receive in the East Midlands franchise area. Stagecoach has strong existing links with the East Midlands. We operate buses in counties and towns across the franchise area, and in Sheffield we operate the highly successful Supertram. Through our interest in Virgin Rail Group we also understand the services in places such as Manchester and Derby. In short, we have expert, practical knowledge and experience of transport needs in the region. We add to that local knowledge the leading role in the rail industry taken by Stagecoach over the past decade, managing one of the most complex and challenging rail networks, South West Trains. There we have achieved dramatic improvements for our passengers. Our work has just received the ultimate recognition we have won the franchise for another ten years and we are about to take customer service to the next level. We are looking forward to doing the same in the new East Midlands franchise. The area is one of the economic powerhouses of the UK, with core cities such as Leicester, Nottingham, Derby and Sheffield, and rural areas, including parts of Nottinghamshire, Derbyshire and Lincolnshire. The franchise needs an operator used to managing a complex railway and providing high-quality services on different types of routes. Our experience means we are best-placed to deliver. We are committed to working with stakeholders to meet the challenges of the East Midlands franchise. Our mission is to take rail services in your region to the next level, using our knowledge and experience to meet today s, and tomorrow s, challenges tackling overcrowding, improving passenger security, and making it easier for people to travel by train. We want to be part of the economic success story of the region and help to improve the quality of life of everyone who lives and works here. Ian Dobbs

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4 Time Destination 0002 Stagecoach Group Who we are and what we do Stagecoach Group is one of the world s leading transport operators with train, bus, tram and express coach operations in the UK and North America. Innovation is at the heart of our approach to attracting more people to public transport and we offer market-leading thinking, cutting edge research and a flair for effective marketing. We are pioneers from new products to the use of new technology. Since Stagecoach was founded more than 25 years ago, we have spearheaded the development of efficient, easy-to-use, valuefor-money services. Our low-cost inter-city service, megabus.com, was the UK s first web-based budget bus and coach service. We have used the same successful model to develop megatrain.com, which is currently being rolled out on key South West Trains and Virgin routes. Experience across a variety of transport sectors has allowed Stagecoach to develop integrated travel opportunities for its customers, making the journey from doorto-door one seamless process. A number of our innovative ideas, including integrated control centres and bringing infrastructure maintenance in-house, have been adopted across the rail industry and improved services for millions of passengers. Stagecoach s success has been built on listening to customers and using their special insight to improve services even further. Local managers are empowered and encouraged to build relationships with the communities they serve consultation lies at the heart of the Stagecoach approach. We believe that together we can deliver the safety standards, operating performance, customer service, innovation and ongoing improvements that passengers in the East Midlands deserve. Travel from just 1 on Stagecoach s innovative megatrain.com service.

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6 Time Destination 0003 Experience Over 25 years as one of the UK s leading transport companies Complex franchises require skilled and experienced management. The East Midlands franchise has many characteristics in common with the South Western franchise, which Stagecoach has run successfully for the last ten years and which we have just won for the next ten. Both franchises are complex and diverse, including urban services, rush-hour commuter services, long-distance routes and leisure services to holiday destinations. Running a franchise with this level of complexity requires skill and experience. The region covered by the East Midlands Franchise is hugely important for the UK, forming the economic backbone of England. People value being able to access London as commuters on the mainline, or perhaps linking into connecting services from rural villages. But they also want to be able to take the train to a party in Nottingham, or to the market in Lincoln, or for a holiday in Skegness. We understand how to run a railway catering for different users with different needs and we want to use that expertise to improve the service for everyone on the East Midlands franchise.

7 Our experience has been recognised with awards such as the 2005 HSBC Rail Business of the Year Award and the 2005 Passenger Operator of the Year Award. And we have just won a huge vote of confidence by securing the right to run the South Western Franchise for up to another ten years proof that stakeholders, including the Government, trust us to get on with the job. Our UK bus division is also one of the leading players in the UK, linking around 100 towns and cities and running a fleet of around 7,000 buses. Two million passengers travel on Stagecoach bus services every day, using a network that stretches from Devon to Inverness and many thousands of those passengers use our buses and trams in the East Midlands region. In short, we are the transport company with the right level of knowledge, skills and experience needed to take the East Midlands franchise to the next level Passenger Operator Of The Year Judges citation: What can be seen on the South West Trains network every day of the week is a thoroughly well-run business from top to bottom HSBC Rail Business Of The Year This prestigious award is recognition of the improvements made in the last 10 years to the passenger experience, such as improved performance and commitment to safety and security of staff and passengers.

8 Time Destination 0004 Service Award-winning customer service: twice judged the UK s best rail operator Customers are our number one priority they always have been and they always will be. In the recent National Passenger Survey, 83% of our rail passengers on South West Trains said they were satisfied with our service significantly above the average of 78% for London and the South East train operators. We came out well above average in other areas too: 6% above average for the attitude and helpfulness of staff, 8% above average for the provision of information about train times on platforms and 11% above average for personal security while on board the train. It is service like this that led us to win Rail Passenger Operator of the Year and Rail Business of the Year for But we are not a company that rests on our laurels we know there is more we can do to make the passenger experience even better. We realise that stations are often the gateway to towns and we want to give local communities stations to be proud of. On the South Western Franchise we have invested millions of pounds in the last few years to upgrade stations, including repainting and offering improved facilities such as modernised waiting rooms and toilets. We would look to improve the management of stations on the East Midlands franchise and also to invest to give people stations to be proud of.

9 Customer complaints on South West Trains have fallen to an all time low of 11 per 100,000 journeys Our staff are dedicated to customer service. Customer complaints on South West Trains are down to an all-time low of 11 per 100,000 journeys. Overall satisfaction 5% Above average Attitude and helpfulness of staff 7% Above average Personal security onboard trains 10% Above average South West Trains passenger satisfaction compared to London & South East average Cleanliness of toilets 15% Above average

10 Time Destination 0005 Local Diverse communities have thrived where we operate The East Midlands Franchise area is diverse economically, socially and culturally. The diversity of the franchise area means that it takes a company with skill and understanding to manage its rail operations. Stagecoach has that experience. We know the East Midlands well and are active throughout the area we can also bring a fresh eye to some of the issues facing your railway. The new East Midlands Franchise area covers large cities such as Leicester, Nottingham, Derby and Sheffield; it covers rural areas, particularly in Lincolnshire, Norfolk and Nottinghamshire; and it also covers areas marked out by Government for dramatic increases in homebuilding over the next 20 years, such as Kettering, Corby and Wellingborough. Stagecoach already operates lifeline bus services in parts of the East Midlands Franchise area, such as Northamptonshire, Lincolnshire and Grimsby. Stagecoach East Midlands runs more than 530 buses and employs over 1,100 staff across its 10 depots and we will use our local knowledge and resources as we plan and run the rail services for the region. Stagecoach has close partnerships with local authorities in a number of areas across the region, which has seen significant investment in new vehicles and service improvements, many through our bus company s Kickstart pump-priming initiative. We have also been leaders in accessibility investment. As part of our Just Go! network in Lincoln, for example, 12 low floor vehicles were added to the fleet to enable the conversion of our city-based services to low-floor easy access, providing a boost for wheelchair users, people with mobility problems and families with children. We will also draw on knowledge gained in the South Western Franchise area where we have successfully developed new services to a new station at Chandlers Ford in partnership with Hampshire County Council. And we have introduced innovative community rail schemes in partnership with local authorities at Lymington and on the Isle of Wight. We have already shown that we can successfully integrate different forms of transport. In Sheffield we now run bus operations and the Supertram and we have introduced innovative marketing and ticketing strategies to drive growth across both forms of transport, reducing the use of cars in the city centre.

11 over 1,100 staff across its 10 depots over 1,100 staff across 10 depots Stagecoach employs more than 1,000 staff at its transport depots throughout the East Midlands franchise region.

12 Time Destination 0006 Safety & Security Strong track record on improvements to trains & stations People have a right to go about their business in safety and without fear and Stagecoach has an excellent safety and security record. We never compromise when it comes to the safety of our passengers and employees. We developed the innovative idea of TravelSafe Officers, employed by us but controlled by the British Transport Police as their eyes and ears to provide reassurance to passengers at stations and on trains. This partnership with the British Transport Police has been recognised by others in the industry, twice winning the Robert Horton Safety Award. We have also invested heavily in our station security infrastructure. In partnership with others, millions of pounds have been spent installing Help Points and CCTV cameras across our network. These initiatives have led to us receiving 51 Secure Station awards more than any other operator. Crime figures are consistently down year-on-year. Since 1996 passenger numbers on South West Trains have grown by around 54% but the number of reported crimes at stations has fallen by 18%. We have shown we have the expertise to manage security on both urban and rural stations. This commitment to passenger safety is also evident in our bus and tram operations. Many are fitted with on-board CCTV systems which can be used to prosecute offenders. In other areas we are pioneering innovative safety solutions. In Sheffield, Police Community Support Officers and City Centre Ambassadors are encouraged to use the Supertram as much as possible to ensure a highly visible presence and to discourage unlawful and anti-social activity. We know that our passengers want to be safe and secure. They know we have the track-record that shows we are serious about security and we will continue to invest to make sure our customers are as safe as possible on our trains. +54% Passenger journeys up Reported crimes down 18%

13 Massive investment in Help Points and CCTV Customer Help Points provide audible information to customers. CCTV has helped to cut crime across the South West Trains network.

14 Time Destination 0007 Growth Skilled at stimulating and managing increased use of public transport Stagecoach has been at the forefront of the renaissance in public transport over the last 10 years. In 2005/06 there were 53 million more journeys made than in 1995/96, the last year before Stagecoach began running the South Western Franchise: an increase of more than 50%. 2005/06 156m +52% 1995/96 103m

15 In 2005/06, for example, there were 53 million more journeys made on South West Trains than in 1995, an increase of nearly 52%. We re running more trains too more than 11,000 a week now compared to 10,000 in And we re driving and managing this passenger growth on other forms of transport. The Sheffield Supertram carried a record 13 million passengers in 2005/06 that s a growth in passenger numbers of around 40% since Stagecoach took over the running of the Supertram in Of course, one of the by-products of increased demand is pressure on services at peak times. So now we are trying innovative ways of managing demand, for example by making it more attractive for people to travel by train during off-peak hours. Our Megatrain scheme, which offers seats on some longdistance off-peak rail routes for a little as 1, is already showing signs of encouraging more rail travel. Our keenly-priced fare structure is trying to spread the load on the service, reducing congestion during peak periods. For the East Midlands franchise we have ambitious plans to enable more people to travel by train in the future, on mainline, regional and local routes. 1,000 more trains per week We are running 11,000 trains a week on South West Trains compared to 10,000 in 1996.

16 Time Destination 0008 Performance Industry-leading performance on all our existing routes It s an obvious thing to say that people want their trains to run on time. Routines depend on punctuality, important business or family commitments can be affected by delays. We would improve the level of service you receive in the East Midlands Franchise area and we know we ve got the expertise to do it. Under the station clock a famous meeting place for travellers. More than 90% of South West Trains services arrive on time.

17 over 90% punctuality More than 90% of trains on the South West Trains routes now arrive on time. 16% year on year improvement The new South West Trains timetable delivered immediate results a 16% year on year improvement in punctuality. Stagecoach has a history of managing change to deliver a better service. We decided to create a new timetable for South West Trains in 2004 to provide a base on which we could build lasting improvements to punctuality and reliability. Our previous timetable hadn t altered fundamentally in 35 years and technological changes and passenger growth had meant that we had to go back to first principles. Over two years we worked intensively on what needed to change. We included features such as all-day, same-time departures and additional morning peak services. It was a huge challenge delivering the timetable change on a single day, 12 December We invested time and resource in planning implementation. We made sure, for example, that our passengers were sufficiently well informed about the changes and 98% of passengers said that they were. We invested in complex models to show that performance would improve and customers would gain journey benefits. The improvements in our performance came immediately the initial trends showing a 16% year on year performance improvement for South West Trains. By early 2006 South West Trains was regularly breaking its target of 90% of services arriving on time. Further improvement has been delivered by focusing on the detail of a complex train operation the reliability of our trains, reduction of delays at stations and having enough of the right staff in the right place to ensure few cancellations. With Government looking for timetable changes on the East Midlands franchise in December 2008, we are eager to replicate this success on the East Midlands franchise.

18 Time Destination 0009 Quality Major investment to improve passenger service, comfort and reliability We have worked hard, and invested heavily, to ensure that our fleet of trains, buses and trams meet and exceed the demands of our customers. We have invested heavily so that our passengers travel in a safe and comfortable environment. Stagecoach is a transport business that understands customers do not want to travel in sub-standard or tatty vehicles and nor should they be expected to. On South West Trains our new fleet of Desiro trains provides an industry-leading environment for our passengers. We were the first operator to replace all of the old slamdoor trains, introducing a 1billion fleet of new state-of-the-art Desiros. We also upgraded our urban workhorses, called Class 455 trains, to give more space to passengers, particularly during peak rush hour periods, and to make them more reliable. We re currently refreshing all of the Sheffield Supertrams vehicles to make the travelling experience as pleasant as possible. Our fleet of buses is one of the most modern in the country. More than 150 million has been invested over the last three years in state-of-the-art vehicles which are fully accessible to elderly passengers, those with disabilities and those with young children. And we haven t forgotten our environmental responsibilities. All of our new buses meet tough European emissions standards and ultra low-sulphur diesel is used throughout the fleet. But we haven t just invested in new trains and buses. Everyone wants and needs accurate, up-to-the-minute information when they re travelling. On South West Trains we invested more than 17 million in our hi-tech Customer Information System. It incorporates visual displays showing real-time train running information, large indicator boards at the busiest stations, help points on every station and upgraded public address systems advising passengers of approaching trains, their final destination and calling pattern. They re all improvements designed to make the experience for our passengers simpler and more enjoyable.

19 New Sheffield Supertram offering unrivalled comfort and accessibility. A refurbished Class 455 train offering more space on short-distance commuter services.

20 To find out more about Stagecoach Rail and its plans for the East Midlands Franchise, please contact: Rufus Boyd Director, Stagecoach Rail Blackfriars Road London SE1 8NZ

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