Early repayment of Bonds

Pennon Group PLC
18 January 2006


PENNON GROUP PLC


EARLY REPAYMENT OF BONDS - NOTICE TO BONDHOLDERS



In accordance with LR17.4.5 notification is hereby given that the following
Notice to Pennon Group Plc Bondholders was today published in the Financial
Times:


                          Notice to the holders of the
                                Pennon Group Plc
                          (formerly South West Water Plc)
                                 £150,000,000
                          10 5/8 per cent. Bonds 2012
                               ISIN: XS0036051596
                               (the 'Bondholders')

NOTICE IS HEREBY GIVEN that, at the Meeting of the Bondholders convened by the
Notice published in the Financial Times on December 22, 2005 and held on January
13, 2006, the Extraordinary Resolution set out in such Notice was duly passed.
Accordingly, the Proposal referred to in the Extraordinary Resolution was
implemented with effect on and from January 17, 2006.

This Notice is given by:

Pennon Group Plc

Peninsula House, Rydon Lane, Exeter, Devon EX2 7HR

Registered No. 2366640

January 18, 2006




18 January 2006


www.pennon-group.co.uk


End transmission



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