Lancashire Holdings Regulatory News (LRE)

11 Aug 2011 07:00

Notification of Transactions of Directors/Persons Discharging Managerial Responsibility and Connected Persons

1. Name of the issuer 2. State whether the notification

related to (i) a transaction Lancashire Holdings Limited notified in accordance with DTR 3.1.2 R, (ii) a disclosure made (the "Company") in accordance with LR 9.8.6R(1) or (iii) a disclosure made in accordance with section 793 of the Companies Act (2006) (i) a transaction notified in accordance with DTR 3.1.2 R

3. Name of the person discharging 4. State whether notification

managerial responsibilities/ relates to a person connected director with a person discharging managerial responsibilities/ Neil McConachie director named in 3 and identify connected person (Executive Director and Group President) N/A

5. Indicate whether the notification 6. Description of shares (including

is in respect of a holding of the class), debentures or derivatives person referred to in 3 or 4 or financial instruments relating above or in respect of a to shares non-beneficial interest Common shares of US$0.50 each Persons referred to at 3 above.

7. Name of registered shareholder(s) 8. State the nature of the

and, if more than one, the number transaction of shares held by each of them Purchase of common shares Neil McConachie

9. Number of shares, debentures or 10. Percentage of issued class

financial instruments relating to acquired (treasury shares of the shares acquired class should not be taken into account when calculating 50,734 percentage) 0.0326%

11. Number of shares, debentures or 12. Percentage of issued class

financial instruments relating to disposed (treasury shares of the shares disposed class should not be taken into account when calculating N/A percentage) N/A

13. Price per share or value of 14. Date and place of transaction

transaction (a) 9 August 2011 - London, (a) 10,000 at £6.25 per share England (b) 10,000 at £6.23 per share (b) 9 August 2011 - London, England (c) 12,500 at £6.20 per share (c) 9 August 2011 - London, (d) 17,500 at £6.17 per share England (e) 734 at £6.14 per share (d) 9 August 2011 - London, England (e) 9 August 2011 - London, England 15. Total holding following 16. Date issuer informed of notification and total percentage transactions holding following notification (any treasury shares should not 10 August 2011 be taken into account when calculating percentage) 432,149 common shares 0.2775%

If a person discharging managerial responsibilities has been granted options by the issuer complete the following boxes

17. Date of grant 18. Period during which or date on which exercisable 19. Total amount paid (if any) for 20. Description of shares or grant of the option debentures involved (class and number) 21. Exercise price (if fixed at time 22. Total number of shares or of grant) or indication that debentures over which options

price is to be fixed at the time held following notification

of exercise 23. Any additional information 24. Name of contact and telephone

number for queries In addition to the securities noted in question 15 above, Neil Jonny Creagh-Coen + 44 (0) 207 McConachie also holds the 264 4066 following interests in the Company: Restricted Share Scheme Awards Bonus Deferral Plan- 113,415 (subject to time and employment conditions only) Restricted Share Scheme Awards- 523,807**** Long Term Incentive Plan - 50,000 Time vesting warrants - 170,869 Performance warrants - 185,490 ****Pursuant to the Rules of the Restricted Share Scheme, the number of shares that will actually vest depends on the satisfaction of certain conditions including employment, performance and time conditions.

Name of authorised official if issuer making notification

Christopher Head Assistant Company Secretary 11 August 2011