Director Shareholding

Sage Group PLC
16 May 2001


Wednesday 16 May 2001

                              The Sage Group plc

                            Director Shareholding

Graham Wylie, a Director of The Sage Group plc (Sage), has entered into a
transaction which has the effect of partially hedging movements in the price
of 6.4m shares in Sage.  The hedging transaction will either be cash settled
or physically settled at a future date.  In the event that physical settlement
is applicable, Mr.Wylie will sell shares. In connection with this, he has
entered into a stock loan agreement whereby he has delivered 4.8m of the 6.4m
Sage shares, and 4.8m of Sage shares will be re-delivered to him at a future
date. The 4.8m shares represent 4.06 per cent of his total Sage holding.