RNS Number:7620K
Johnson Service Group PLC
28 December 2007



                                                                28 December 2007

                           JOHNSON SERVICE GROUP PLC

                                     UPDATE

Banking

The Board is pleased to announce that it has successfully agreed with its
banking group a waiver of its year end covenant test. In exchange for the waiver
the Company has granted the Banks security over its assets, agreed to pay the
Banks a fee and incur increased interest costs. The Company has also granted
security over its assets to its pension funds. The Company is required to
negotiate with the Banks a longer term banking solution before 30th April 2008.

2008 profit before tax

The Board expects to incur additional exceptional restructuring costs in both
2007 and 2008 as well as higher interest costs in 2008 as a result of its
amended banking arrangements. Whilst trading overall remains in line with
expectations and the Board continues to believe that expected pre-exceptional
operating profits for 2008 will be at a broadly similar level to 2007, the
higher interest costs will result in lower than expected profit before tax for
2008.

Board changes

The Board also announces that Charles Skinner, Chief Executive, has today
resigned from the Board following agreement with the Board that a different set
of skills are required in the Company's current situation. The Board wishes to
thank Charles for all his efforts in the recent difficult circumstances.
John Talbot, who has been working with the Company as a consultant during
December this year, has been appointed as interim Chief Executive Officer and he
joins the Board with immediate effect.

John has over 25 years turnaround and restructuring experience and has
considerable experience assisting companies in difficult situations. He was
formerly Global Head of Arthur Andersen's Corporate Finance and Corporate
Recovery practice until 1999. John is now a Senior Partner at Kroll Talbot
Hughes, a leading European turnaround and restructuring advisory firm. The Board
is confident that this experience will prove invaluable in the development and
implementation of a recovery plan for the Group.

John Talbot was a Non-Executive Director of IWP International plc from January
to March 2006. The Board confirms that there is no other information to be
disclosed under the requirements of Listing Rule 9.6.13 in relation to his
appointment

Enquiries

Johnson Service Group PLC
Simon Sherrard, Chairman 020 7796 4133

Hudson Sandler
Wendy Baker 020 7796 4133


                      This information is provided by RNS
            The company news service from the London Stock Exchange

END
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