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Franchising ‘will drive down profit margins’

20 December 2019
 

Bus franchising and new partnership agreements will reduce operating margins at Stagecoach’s bus subsidiaries, the group has warned in its half-year results statement.  

“Any change in the model for delivering bus services in Manchester, or elsewhere in the country, including the introduction of bus franchising and/or commitments under partnership arrangements, will likely put some downward pressure on our existing bus profits,” says the group.

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