Issue of Equity

Hargreaves Services plc ('the Company')

19 August 2011

Issue of Equity

The Company announces that at a board meeting held on 17 August 2011, it allotted 183 ordinary shares of 10 pence each in the Company ('Ordinary Shares') following an exercise of options by a member of the Company's Savings-Related Share Option Scheme. These options were exercised at a price of 656.0p per Ordinary Share.

Following the issue of equity the Company now has 26,957,314 Ordinary Shares in issue, each with voting rights. Application will be made to the London Stock Exchange for the new Ordinary Shares, which will rank pari passu with existing Ordinary Shares, to be admitted to trading on AIM as soon as is practicable.

For further information, please contact:

Hargreaves Services plc 0191 373 4485

Gordon Banham, CEO

Iain Cockburn, Group Finance Director

Brewin Dolphin 0845 213 4730

Matt Davis

Iain Marlow