Interim Management Statement

KCOM Group PLC

Interim Management Statement

31 January 2014

KCOM Group PLC (KCOM.L or "the Group") today issues its interim management statement.

Current trading

Over the third quarter of the financial year, the Group's performance has remained consistent with trading as reported at the interim results, released in November 2013.

Contract update

At the time of the interim results, we announced that Kcom had secured preferred supplier status for a substantial contract with a government department. The Group can confirm it has now signed this contract for the provision of hosted contact centres, supported by related IT and telephony services, enabled by our cloud-based portfolio, "Workplaces". This project is now in the detailed planning phase and a further update will follow at the preliminary results.

Outlook

The Board expects the Group to trade in line with expectations for the rest of the current financial year. The Group is due to announce its preliminary results on 6 June 2014.

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For further information please contact:

Bill Halbert, Executive Chairman / Paul Simpson, CFO

KCOM Group PLC

020 7422 8707

Cathy Phillips, Investor Relations

KCOM Group PLC

07778 335735

Matt Ridsdale/Lulu Bridges/Mike Bartlett

Tavistock Communications

020 7920 3150