KCOM Regulatory News (KCOM)

1.

Name of the issuer

KCOM Group PLC

2.

State whether the notification relates to (i) a

transaction notified in accordance with DTR 3.1.2 R,

(ii) a disclosure made in accordance

LR 9.8.6R(1) or

(iii) a disclosure made in accordance with section 793 of the Companies Act (2006).

DTR 3.1.2 R

3.

Name of person discharging managerial

responsibilities/director

SEAN ROYCE

STEVE DENMARK

RICHARD BLAND

DAVID BISHOP

DEAN BRANTON

4.

State whether notification relates to a person

connected with a person discharging managerial responsibilities/director named in 3 and identify the connected person

5.

Indicate whether the notification is in respect of a holding of the person referred to in 3 or 4 above or in respect of a nonbeneficial

interest 1

6.

Description of shares (including class), debentures or derivatives or financial instruments relating to shares

7.

Name of registered shareholders(s) and, if more than one, the number of shares held by each of them

8.

State the nature of the transaction

9.

Number of shares, debentures or financial

instruments relating to shares acquired

10.

Percentage of issued class acquired (treasury shares of that class should not be taken into account when calculating percentage)

11.

Number of shares, debentures or financial

instruments relating to shares disposed

12.

Percentage of issued class disposed (treasury shares of that class should not be taken into account when calculating percentage)

13.

Price per share or value of transaction

14.

Date and place of transaction

15.

Total holding following notification and total percentage holding following notification (any treasury shares should not be taken into account when calculating percentage)

16.

Date issuer informed of transaction

17.

Date of grant

25 MARCH 2010

18.

Period during which or date on which exercisable

VESTED OPTIONS SHALL BECOME EXERCISABLE IN RESPECT OF 50% 3 YEARS AFTER THE DATE OF GRANT, IN RESPECT OF 25% 4 YEARS AFTER THE DATE OF GRANT AND IN RESPECT OF THE FINAL 25% 5 YEARS AFTER THE DATE OF GRANT; AND CAN BE EXERCISED AT ANY TIME UP TO ITS EXPIRY ON THE 10TH ANNIVERSARY OF GRANT.

19.

Total amount paid (if any) for grant of the option

NIL

20.

Description of shares or debentures involved (class and number)

APPROVED SHARE OPTION OVER ORDINARY SHARES OF 10 PENCE EACH:

SEAN ROYCE - 61,855

STEVE DENMARK - 61,855

RICHARD BLAND - 61,855

DAVID BISHOP - 61,855

DEAN BRANTON - 61,855

UNAPPROVED SHARE OPTION OVER ORDINARY SHARES OF 10 PENCE EACH:

SEAN ROYCE - 10,295

STEVE DENMARK - 10,295

RICHARD BLAND - 10,295

DAVID BISHOP - 10,295

DEAN BRANTON - 10,295

21.

Exercise price (if fixed at time of grant) or

indication that price is to be fixed at the time of exercise

48.5 PENCE PER SHARE (FOR BOTH APPROVED AND UNAPPROVED OPTIONS)

THE PERCENTAGE OF OPTIONS THAT BECOME VESTED OPTIONS ON THE VESTING DATE SHALL BE CALCULATED BASED ON THE HIGHEST TSR DURING THE AWARD PERIOD. AT 45 PENCE, 10% OF OPTIONS WILL VEST. BETWEEN 45 PENCE AND 100 PENCE, VESTING WILL TAKE PLACE ON A "STRAIGHT LINE" BASIS BETWEEN 10% AND 100%. 100 PENCE AND OVER, 100% OF OPTIONS WILL BECOME VESTED OPTIONS. ALL VESTING IS SUBJECT TO THE DISCRETION OF THE REMUNERATION COMMITTEE THAT THE COMMITTEE IS SATISFIED THERE HAS ALSO BEEN A DEMONSTRABLE AND SUSTAINED IMPROVEMENT IN THE COMPANY'S PERFORMANCE BETWEEN THE DATE OF GRANT AND THE RELEVANT VESTING DATE.

22.

Total number of shares or debentures over which options held following notification

SEAN ROYCE - 704,000

STEVE DENMARK - 704,000

RICHARD BLAND - 550,000

DAVID BISHOP - 550,000

DEAN BRANTON - 440,000

23.

Any additional information

THE NUMBERS DISCLOSED IN BOX 22 INCLUDES CONDITIONAL AWARDS MADE UNDER THE 'EXECUTIVE INCENTIVE PLAN', PLUS APPROVED AND UNAPPROVED OPTIONS.

24.

Name of contact and telephone number for queries

NICOLA MILLER - 01924 882839

Name of authorised official of issuer responsible for making notification: PAUL SIMPSON

Date of notification: 25 MARCH 2010