Trading Statement

Pennon Group PLC 26 March 2007 26 March 2007 PENNON GROUP PLC PRE-CLOSE TRADING UPDATE Pennon Group Plc today reports in respect of trading for the 12 months to 31 March 2007, prior to entering its close period, and confirms that trading to date remains in line with management expectations. South West Water is now in the second year of the K4 period (2005 - 2010) and remains on target to meet the current regulatory contract. Viridor remains confident of delivering continued full year growth in operating profit before intangibles. During 2006/07 it achieved preferred bidder status for the Greater Manchester Waste Disposal Authority PFI contract. In addition it acquired Wyvern Waste Services Limited for £25m and at the same time entered into a PPP agreement with Somerset County Council. It also acquired Skipaway Holdings Limited for £14.7m. Pennon intends to announce its Preliminary Results on Thursday, 31 May 2007. For further information, please contact: Pennon David Dupont - Group Director of Finance 01392 443998 Jo Finely - Investor Relations Manager 01392 443401 Finsbury Mark Harris 0207 251 3801 Sally Hogan www.pennon-group.co.uk End transmission This information is provided by RNS The company news service from the London Stock Exchange

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Pennon Group (PNN)
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