Avis Europe plc AGM Trading Statement

    BRACKNELL, Berkshire--April 18, 2002--At Avis Europe's AGM at noon today, Chairman - Alun Cathcart, will comment:
    In 2001 the group achieved revenue growth of 4.2% but a decline in operating profit due to the fall in demand post September 11. Revenue trends from September to the end of the year were approximately 5% below prior year and there has been a small improvement in the first quarter of 2002.
    We have seen continued recovery in transatlantic business and positive trends in intra European leisure which is now trading above prior year and is benefiting our southern European markets. However, we have yet to see any sustained recovery in the corporate sector which is affecting our northern European markets and in particular Germany where the economy remains weak. We continue to keep tight control on our fleet capacity and other costs to ensure that we adjust appropriately to the pace of recovery during the year.
    In 2001 margins were impacted by the events of September, however we expect these to recover as we see a return to more normalized levels of demand. With the anticipated return to stronger growth in the second half we continue to expect an improvement in performance for the full year.
    In addition to this update on trading, we are announcing a number of changes to the Avis Europe board.
    We are delighted to announce the appointment of Martyn Smith as Group Finance Director in succession to Chris Cowan who left the company recently to join Prebon Yamane. Aged 47, Martyn, who is an FCCA with a Masters Degree in Finance, joins us from John Menzies plc, the international logistics support services group where he has been Group Finance Director since July 1999. Martyn has played a key role in Menzies major business rationalisation and its strategic development into the aviation services sector. Prior to joining Menzies, Martyn was Group Financial Controller for Inchcape plc. The effective date of this appointment will be confirmed shortly but is expected to be September.
    We are also pleased to announce the appointment to the Board, effective today, of Lesley Colyer, Group Personnel and Corporate Affairs Director. Aged 49, Lesley has 24 years with the company in a variety of positions. She was appointed Director of Personnel in 1990 and assumed her current responsibilities at flotation in 1997. She has been an integral member of the management team that has led the development of the Group since flotation.
    Wally Taylor, non-executive Director retires from the Board after the company's AGM today, having reached the age of 70. Wally has made an enormous contribution to the development of Avis over 22 years, both in his former role as Group Personnel Director and since 1998 as a non-executive Director. We are deeply appreciative of his extensive contribution and counsel over many years.
    Avis Europe plc is the leading car rental company across Europe, Africa, Middle East and Asia. It serves almost 8 million customers a year through a network of over 3,000 locations in 112 countries. For further information, please visit Avis' web site at http://www.avis-europe.com