Transfer of Shares Out of Treasury

13 October 2010

DUNELM GROUP plc (Company)

In accordance with paragraph 12.6.4 R of the Listing Rules, the Company advises that yesterday it made the following transfers of ordinary shares out of treasury:

1. 99,628 ordinary shares of 1 pence each were transferred out of treasury on 12 October 2010 to participants in its Dunelm Group Long Term Incentive Plan.

2. The highest price paid for a share was nil.

3. The lowest price paid for a share was nil.

4. Following the above transfer of shares out of treasury, the Company no longer holds any shares in treasury.

5. The total number of shares in issue is 201,307,923

Enquiries

David Stead

Finance Director

0116 2644400