Grafton Group Regulatory News (GFTU)

Grafton Group plc

Appointment of Non-Executive Chairman

Grafton Group plc ("Grafton" or "the Group") today announces that Mr. Michael Chadwick has advised the Board that he will retire as Non-Executive Chairman and step down from the Board on 31 December 2016. He will be succeeded by Mr. Michael Roney who is currently Chief Executive and a director of Bunzl plc ("Bunzl"), the FTSE 100 listed distribution and outsourcing business. Mr. Roney will join the Board as Non-Executive Director, Deputy Chairman and Chairman Designate on 1 May 2016 and will assume the role of Chairman on 1 January 2017.

The Nomination Committee conducted a thorough search for a successor to Mr. Chadwick and engaged an international search firm to assist with the process.

Mr. Chadwick joined Grafton in 1975, was appointed to the Board in 1979 and served as Executive Chairman from 1985 to 2011 when he became Non-Executive Chairman.

Mr. Roney will retire as Chief Executive of Bunzl next month after more than 10 years in the role. He has an outstanding track record leading the global development of Bunzl across the Americas, Europe and Australasia and during his tenure Bunzl has consistently increased profitability and created shareholder value.

Prior to joining Bunzl Mr. Roney was Chief Executive Officer of Goodyear Dunlop Tires Europe having previously been President of Goodyear's Eastern European, African and Middle Eastern businesses. He is Non-Executive Director of Brown-Forman Corporation, one of the world's largest US based spirits businesses, and was formerly Non-Executive Director of Johnson Matthey Plc, a specialist chemicals business and world leader in sustainable technologies.

Mr. Michael Chadwick, Non-Executive Chairman of Grafton commenting on the change said:

"I am delighted that Mike Roney has agreed to accept the role of Chairman Designate and that the Board has secured the services of someone with the breadth of his international business experience and impressive track record of building long term sustainable growth."

Mr. Michael Roney, Chairman Designate said:

"I am very pleased to have the opportunity to join the Board of Grafton as Chairman Designate and look forward to contributing to the continued successful strategic development of a great business".

Mr, Gavin Slark, Chief Executive Officer of Grafton commented:

"On behalf of the Board, I would like to thank Michael Chadwick for his entrepreneurial leadership of the Group through a remarkable phase of growth and development to become an international building materials business and for his outstanding stewardship of the Board which will be greatly missed. The Board greatly appreciates that Michael Chadwick has agreed to remain as Non-Executive Chairman until the end of the year which will allow for a smooth transition."

The Company confirms that there are no additional disclosures required in accordance with Listing Rule 9.6.13.

About Grafton Group plc

Grafton Group plc is an international distributor of building materials, employing c.11,000 people at c.670 trading locations. The Group has strong national or regional positions in the merchanting markets in the UK, Ireland, the Netherlands and Belgium. Grafton trades under the leading merchanting brands Selco, Buildbase, Plumbase and Macnaughton Blair in the UK; Chadwicks and Heiton Buckley in the Republic of Ireland; Isero in the Netherlands and YouBuild and MPRO in Belgium. Grafton also has national leadership positions in the DIY retailing market in Ireland and in the dry mortar market in the UK.

For further information visit www.graftonplc.com