Director Shareholding

Paragon Group Of Companies PLC
19 December 2003

                                DIRECTOR SHAREHOLDING


On 18 December 2003 The Paragon Group of Companies PLC granted the following
options over 10p ordinary shares to certain directors of the Company under the
Executive Share Option Scheme:

Director                 Options granted           Exercise price (£)   Exercise period     Total options now held

J P L Perry                       58,997                     3.39       18/12/06-18/12/13                1,294,064

N S Terrington                    98,083                     3.39       18/12/06-18/12/13                1,688,123

N Keen                            73,746                     3.39       18/12/06-18/12/13                  927,746

J A Heron                         41,298                     3.39       18/12/06-18/12/13                  502,140

P Pandya                          41,298                     3.39       18/12/06-18/12/13                  249,719

Furthermore, the following awards were granted under the Paragon Performance
Share Plan ('PPSP'):

Director               Award granted           Exercise period     Total awards now held

J P L Perry                   31,250          18/12/06-18/3/07                   133,224 

N S Terrington                51,953          18/12/06-18/3/07                   211,163

N Keen                        39,063          18/12/06-18/3/07                   154,853

J A Heron                     21,875          18/12/06-18/3/07                    76,700

P Pandya                      21,875          18/12/06-18/3/07                    78,893

Under the terms of the PPSP these awards will become exercisable provided the
Company's total shareholder return over the three year period commencing with
the date of grant is at or above the median TSR for a comparator group of
companies making up the FTSE All Share Banks and Speciality and Other Finance
Sector. The extent to which the shares can be exercised will be dependent upon
where the company is ranked, with 25% being exercisable for median performance,
rising to 100% for performance on or above the upper quartile.

Enquiries:

John G Gemmell, Company Secretary 
0121 712 2075

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