Directors' Dealing

Character Group PLC
12 September 2001


         The Character Group plc ('Character Group' or 'the Company')

                            Dealings by Directors



The Company was informed today that the following dealings by directors of
Character Group ('Directors') were effected today. Richard King, Jon Diver and
Joe Kissane sold 575,000, 440,000 and 285,000 ordinary shares respectively at
a price of 18 pence per share. These shares were acquired at the same price by
The Trustees of the TOPS Pension Scheme, of which Richard King, Kiran Shah and
Jon Diver are trustees and in which they have a beneficial interest. In
addition, on the same day, Cedarberg Investments Limited, a company controlled
by a family trust of which Richard King is a beneficiary, purchased 1,000,000
ordinary shares at a price of 18 pence per share from Sarissa Holdings
Limited, a company controlled by a family trust of which Kiran Shah is a
beneficiary.

Following these transactions, the interests of the Directors referred to above
are as follows:

Directors' interests                             Number of        Percentage of
                                           Ordinary Shares
                                                                   issued share
                                                                        capital

R. King 1                                        5,770,428               13.98%
                                                                         

K.P. Shah 2                                      5,620,000               13.61%
                                                                         

J.J.P. Kissane                                   1,662,300                4.03%
                                                                          

J.J. Diver                                       1,690,640                4.09%
                                                                          

The Trustees of the TOPS Pension Scheme 3        1,600,000                3.88%
                                                                          

Orbis Pension Trustees Limited 4                   285,000                0.69%
                                                                          
Notes:

 1. Included in the interests of R. King are his interests in 1,885,428
    Ordinary Shares held by Cedarberg Investments Limited and 320,000 Ordinary
    Shares held by Mrs M.H. King (the spouse of Mr. King).

 2. Included in the interests of K.P. Shah are the interests of Sarissa
    Holdings Limited in 5,620,000 Ordinary Shares.

 3. Each of R. King, K.P. Shah and J.J. Diver are beneficiaries under these
    pension scheme arrangements and are each, accordingly, also interested in
    the pension scheme's holding of Ordinary Shares.

 4. The Trustee of the Company's Employee Share Ownership Trust. Each of the
    Executive Directors is deemed to be interested in such Ordinary Shares by
    virtue of being within the class of beneficiaries defined by such Trust.


12 September 2001