Directors' Notification of Dealing in Shares

Pearson PLC
4 May 2000


                        Pearson plc (the Company)

The Company established the Pearson Reward Plan (the Plan) for the
purpose of providing a long term share incentive scheme for executive
directors and senior executives of the Pearson group. The Plan provides
for the grant of two separate categories of award - Pearson Premium
Option (PPO) awards and Pearson Equity Incentive (PEI) awards. The
Company made an award under this Plan for the first time last year, and
has decided to make a second such award now.

The Company announces the grant of the following PPOs in respect of
ordinary shares in the Company (Shares) on 28 April 2000 to executive
directors of the Company. For the purposes of these PPOs, the average
Share price for the 20 dealing days prior to the grant of PPOs was
2063.4p per Share, and each PPO tier referred to below was granted at,
respectively, a 25%, 50% and 75% premium to that Share price:

M M Scardino - a First Tier PPO to acquire 33,021 Shares at 2579p per Share
             - a Second Tier PPO to acquire 33,021 Shares at 3095p per Share
             - a Third Tier PPO to acquire 33,021 Shares at 361lp per Share

J C Makinson - a First Tier PPO to acquire 19,068 Shares at 2579p per Share
             - a Second Tier PPO to acquire 19,068 Shares at 3095p per Share
             - a Third Tier PPO to acquire 19,068 Shares at 3611p per Share

D C M Bell - a First Tier PPO to acquire 16,684 Shares at 2579p per Share 
           - a Second Tier PPO to acquire 16,684 Shares at 3095p per Share 
           - a Third Tier PPO to acquire 16,684 Shares at 3611p per Share

These PPOs will only be exercisable if the premium Share price is
achieved on a sustained basis within certain periods specified in the
Plan rules, and a corporate performance target is achieved.

On the same date, the following executive directors were granted PEI
awards under the Plan:

M M Scardino - up to               30,215 Shares
J C Makinson - up to               17,447 Shares
D C M Bell - up to                 15,266 Shares

The extent to which PEI awards vest will depend on the Company's
performance over a three year period, measured in terms of free cash flow
per Share. The number of Shares stated above is the maximum which could
be released and this number will only be released if the performance
conditions are satisfied in full.

Other PPO and PEI awards made on 3 May 2000 were to employees who are not
executive directors.

Julia Casson
Company Secretary