QUALIFYING EMPLOYEE SHARE OWNERSHIP TRUST (QUEST)

Kelda Group QUEST Trustees Limited, the trustee of the QUEST, has today
transferred 3,353 Ordinary shares to employees on the exercise of options under
the Company's save-as-you-earn share option scheme.

All employees of the Company (including executive directors) are potential
beneficiaries of the QUEST and, as such, are deemed by the Companies Act to be
interested in all of the shares held in the QUEST. The directors' technical
interest in the shares transferred ceased on transfer.

Further information can be obtained from:

Philip Hudson Company Secretary on 01274 804110

 



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