Directorate Change

Ladbrokes plc

20 March 2015

LADBROKES APPOINTS JIM MULLEN AS CHIEF EXECUTIVE OFFICER

The Board of Ladbrokes PLC ('Ladbrokes' or the 'Company') is pleased to announce that it has appointed Jim Mullen to be the next Chief Executive taking over on April 1st from Richard Glynn.

Jim Mullen is currently the Managing Director of Ladbrokes Digital having joined the business in November 2013 after three years at William Hill where he was COO of their on line operations. 

Since arriving at Ladbrokes he has led the operational transformation of Ladbrokes' Digital business delivering new products, new systems and established a strong working relationship with our partners, Playtech.

Peter Erskine, Chairman of Ladbrokes, said;

"We conducted an extensive search to identify Richard Glynn's successor. We attracted a number of strong external candidates. We wanted a combination of industry experience with strong digital skills, a proven record of operational delivery and the leadership ability to capitalise on the opportunities for growth that are now ahead of us. 

"Since Jim's arrival in the business, less than 18 months ago, he has helped transform our Digital operations. He has built and led a strong team and won the respect of his colleagues and the confidence of the Board through successful delivery of a new competitive and innovative digital offer that has delivered growth.

"The Board is confident that Jim can use the leadership qualities he has displayed in the Digital team to take forward the wider Ladbrokes' business. Ladbrokes has gone through extensive change and Jim's task will be to build on the strong foundations laid and make us compete even more effectively, deliver a robust growing business and build scale. He faced tough competition from strong external candidates but emerged as the unanimous choice."

Jim Mullen said:

"I am delighted to become Chief Executive of Ladbrokes. The business has undergone rapid change and we have laid good foundations from which to grow but there remains much to do. We have a strong brand, competitive products and excellent people throughout the business. I am looking forward to working with my colleagues to make the most of the opportunities ahead to grow the Ladbrokes business."

Richard Glynn will step down from the post of Chief Executive and leave the Board on the 31st March 2015. In accordance with section 430 (2B) of the Companies Act 2006 details of his termination arrangements (including damages under his service contract) will be available from 31st March 2015 on the Ladbrokes plc website.

Jim Mullen will be paid a salary of £500,000 as Chief Executive and will be appointed a Director of the Company immediately following the conclusion of the Annual General Meeting on 7 May 2015.

For further information contact:

Investors

Richard Snow Director Investor Relations 07767 677 429

Media

Donal McCabe Director of External Relations 07795 968 482

APPENDIX

More about Jim Mullen

Jim Mullen, 44, was born in Glasgow and has a MSc in Software Engineering from the University of Westminster. His early career was spent as a programmer, systems analyst and systems developer for Advertising and Marketing agencies in his native Scotland. He then moved to the Publicis Group where he held various roles building their Digital business and helping clients such as FIAT, P&G and Philip Morris International.

He then moved to News International as Director of Digital Strategy, News Group Newspapers, where he helped develop and execute digital strategy for The Sun, News of the World, Sun Bingo and all peripheral digital products such as Mobile, Gambling, Lifestyle and Classified. While still at News International he became Director of Commercial, Digital & Development. In 2010 he moved to William Hill online as Chief Operating Officer responsible for all International Operations, Commercial Products, International Marketing, CRM, Business Intelligence, Sportsbook and Gaming Product Management. He was Director of International Business and Strategic Programmes for William Hill online when he moved to Ladbrokes to take up the role of Director, Digital in November 2013

Jim Mullen Remuneration arrangements

Jim's new base salary will be £500,000 and he will be eligible for the CEO level bonus of up to 170% of base salary, one third of which will be deferred in shares for 3 years. The bonus targets, which consist of a combination of financial measures and strategic/ individual objectives are set by the Remuneration Committee and are appropriately stretching.

Additionally Jim will receive a pension allowance of 22.5% of his base salary, car allowance, private healthcare and other customary benefits worth c £15,000 in total.

Jim will also receive a share award equal to 200% of his base salary under the Performance Share Plan (PSP) in 2015. The implementation of the PSP is being revised in 2015 to include a mandatory 2 year holding period, after the 3 year vesting period. Vesting is dependent on 3-year performance against 4 measures (rather than 2 measures in previous years) which for 2015 include EPS, TSR, Free Cash Flow and a responsible gambling measure. Further detail on the PSP will be found in the 2014 Directors' Remuneration Report. It should also be noted that PSP grants from 2016 onwards for Jim will be revert back to the normal PSP opportunity of 175% of base salary.

Jim's service contract requires 6 months' notice of termination by him and 9 months' notice from the Company. The Company may also terminate Jim's employment by making a Payment In Lieu of Notice (PILON) equivalent to the value of Jim's base salary and benefits set out above (including pension allowance but excluding bonus) in respect of any unserved period of notice. The service contract contains specific provisions requiring a reduction in any phased PILON payments in the event that Jim finds alternative employment during the notice period.

Jim's service contract, remuneration and benefits will be consistent with Ladbrokes' Directors' Remuneration Policy (the Policy) as approved by shareholders at the Annual General Meeting in May 2014. The Policy is set out in full in the Directors' Remuneration Report contained in the Company's 2013 Annual Report and Accounts.

Disclosure under LR 9.6.13 in respect of Jim Mullen

1 details of all directorships held by the director in any other publicly quoted company at any time in the previous years, indicating whether or not he is still a director; None

2 any unspent convictions in relation to indictable offences; None

3 details of any receiverships, compulsory liquidations, creditors voluntary liquidations, administrations, company voluntary arrangements or any composition or arrangement with its creditors generally or any class of its creditors of any company where the director was an executive director at the time of, or within the 12 months preceding, such events; Mr Mullen was a director of Wedding List Direct Limited which entered into Administration and was dissolved on 26 September 2006.

4 details of any compulsory liquidations, administrations or partnership voluntary arrangements of any partnerships where the director was a partner at the time of, or within the 12 months preceding, such events; None

5 details of receiverships of any asset of such person or of a partnership of which the director was a partner at the time of, or within the 12 months preceding, such event; None

6 details of any public criticisms of the director by statutory or regulatory authorities (including designated professional bodies) and whether the director has ever been disqualified by a court from acting as a director of a company or from acting in the management or conduct of the affairs of any company; None