Grant of Options

GRANT OF SHARE AWARDS

Waterman announces that, following a recommendation of the company's Remuneration Committee (the "Remuneration Committee"), the company granted on 9th December 2014 share option awards (the "Awards") to the Executive directors and other PDMR's of the Company over 1,600,000 Ordinary shares of 10p each in the Company (the "Ordinary Shares"). The Awards have been granted in accordance with the terms of the Waterman Long Term Incentive Plan as approved at the Annual General Meeting held on 5th December 2014 and as set out in the Chairman's Letter to Shareholders dated 29th October 2014.

The Awards to the Executive directors are as follows:-

Director Award

Nicholas Taylor 640,000 ordinary shares

Alex Steele 320,000 ordinary shares

Craig Beresford 320,000 ordinary shares

The Award to the PDMR is as follows:-

PDMR Award

Neil Humphrey 320,000 ordinary shares

In accordance with the rules of the LTIP, the Awards have been granted in the form of a conditional allocation of Ordinary shares with a nil cost exercise price. Vesting is subject to the achievement of challenging and stretching performance conditions relating to the achievement of the share price threshold targets for the Ordinary shares shown below:

Performance Threshold Percentage of

(Ordinary share price, closing mid-market Award vesting for

price, for 25 consecutive trading days) Executive Directors

and PDMR

£1.50 or above 100%

£1.40 or above 80%

£1.25 or above 50%

£1.15 or above 40%

£1.00 or above 25%

Less than £1.00 nil

Awards will vest in whole or in part between the third anniversary of the date of grant and the fifth anniversary of the date of grant based on the achievement of the share price thresholds set out above. Vested awards may not normally be exercised until the later of the third anniversary of the date of grant and twelve months following the date on which a particular share price target is met. Any vested but unexercised awards will lapse on the 10th anniversary of the date of grant.

This notification is issued in accordance with DTR 3.1.2 R.

-ends-

Date: 10 December 2014

For further information please contact:

Waterman Group plc Broker Profile N+1 Singer

Nick Taylor, Chief Executive Simon Courtenay Sandy Fraser

Alex Steele, Chief Financial Officer 020-7448-3244 020-7496-3178

020-7928-7888

Web: www.watermangroup.com