Director/PDMR Shareholding

Pennon Group PLC
09 August 2005



PENNON GROUP PLC


FOR IMMEDIATE RELEASE


DIRECTORS' SHAREHOLDINGS  (PURSUANT TO DR3.1.4R(1))


Pennon Group Plc announces that it received notification on 8 August 2005
pursuant to DR3.1.2R and Section 324 (as extended by Section 328) of the
Companies Act 1985 as follows:
     
(1)  that pursuant to the rules of the Company's Annual Incentive Bonus Plan - 
     Deferred Element ('the Plan') the following Ordinary shares of 111p each in 
     the Company vested in its three Executive Directors (being persons 
     discharging managerial responsibilities) on 5 August 2005 in England:

          Mr R J Baty                               -   7,885
          Mr C I J H Drummond                       -   5,554
          Mr D J Dupont                             -   4,728

     These shares were awarded to the Executive Directors in August 2002 
     following the achievement of corporate and individual performance 
     objectives established pursuant to the Plan and have been held in trust by 
     Pennon Share Plans (Guernsey) Limited ('the Plan Trustee') until their 
     release. The value of the shares on the date of release was 1021p per 
     share.

(2)  Also in accordance with the rules of the Plan the following Ordinary shares 
     of 111p each of the Executive Directors (from the above shares which vested 
     on 8 August 2005) were sold by the Plan Trustee at a price of 1021p each on 
     5 August 2005 in England to meet the income tax and National Insurance 
     liabilities of the Executive Directors arising from the vesting of the 
     shares:

          Mr R J Baty                               -   3,233
          Mr C I J H Drummond                       -   2,278
          Mr D J Dupont                             -   1,939


9 August 2005

www.pennon-group.co.uk

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