Allotment of Shares to Employee Trust

1 March 2010

ALLOTMENT OF SHARES TO EMPLOYEE TRUST

On 1 March 2010 The Paragon Group of Companies PLC Employee Trust was allotted 294,473 ordinary shares of £1 each in The Paragon Group of Companies PLC (the 'Company') at par value.

These shares were allotted to meet awards as they mature and are exercised under The Paragon Performance Share and Matching Share Plans, in which certain of the Group's senior employees have participated from time to time.

Following this purchase the total shares held by The Paragon Group of Companies PLC's various Employee Trusts is 3,662,330.

Enquiries:

John G. Gemmell, Group Company Secretary

0121 712 2075