Transaction in Own Shares

Treasury Shares

Cable and Wireless plc ("the Company") advises that on 10 March 2010 the Company transferred 28,259,496 treasury shares to the Cable & Wireless Employee Share Ownership Trust for cash at a price of £1.393 per share for the purposes of the Company's employees' share schemes.

Subsequent to the transfer, the Company does not hold any further Ordinary Shares in treasury.

As at close of business on 10 March 2010, the Company had 2,624,571,984 Ordinary Shares in issue.

This announcement is in conformity with LR 12.6.4.

10 March 2010