HEADLAM GROUP PLC

Regulatory Filings • Jan 12, 2018

8 January 2018

Dear Shareholder

Headlam Group plc (the "Company") - Consent to Electronic Communications

I am writing to you to seek your consent to the Company communicating with you electronically in the future.

The Company's articles of association permit the Company to supply certain notices, documents and information to its shareholders by making them available on the Company's website or sending them by electronic means. This means that the Company has the ability to publish documents such as its Annual Report and any notice of general meeting on its website at www.headlam.com instead of printing and posting them out to shareholders. Reducing the number of communications sent by post will not only result in cost savings for the Company, but it will also reduce the impact that unnecessary printing and distribution of documents has on the environment.

Company law requires that shareholders are asked individually to consent to this method of publication. I am, therefore, seeking your agreement to receive future documents and information generally via the Company's website.

If you consent to website publication, you will no longer receive hard copies of any documents and information in the post. You will instead be notified each time that the Company places a communication with shareholders on its website. This notification will be sent to you by email if you provide us with your email address or by post, if you do not.

Notwithstanding your consent to website publication there may be particular circumstances in which the Company needs to, or is required to, send documents or information to you in hard copy form, in which case the Company reserves the right to do so.

Action to be taken

1. If you wish to consent to the website publication of documents and information generally and to receive email notification of the availability of such documents and information on the website, you should register your email address via the share portal: www.signalshares.com or by completing the electronic communications preference form enclosed with this letter*.

*If you require assistance while registering your email address, please telephone the Company's Registrar, Link Asset Services (formerly Capita Asset Services) on 0371 664 0300. Calls are charged at the standard geographic rate and will vary by provider. Calls outside the UK will be charged at the applicable international rate. Lines are open between 9:00am-5:30pm, Monday to Friday, excluding public holidays in England and Wales.

• 1. If you wish to consent to the website publication of documents and information generally and to receive notification by post of the availability of such documents and information on the website, you do not need to take any further action.
• 1. If you do not wish to consent to website publication and would prefer to continue to receive hard copies of future documents and information through the post, you must complete the enclosed electronic communications preference form and return it to the specified address. If you do not return the completed form to Link Asset Services within 28 days from the date of this letter, you will be deemed to have consented to website publication and you will no longer receive hard copies in the post.

Even if you consent, or are deemed to have consented, to website publication, you can always request a printed copy of any document or information from the Company at any time. You can also change your instructions at any time by contacting the Company's Registrar, Link Asset Services, on 0371 664 0300 (calls cost 12p per minute plus network extras).

Yours faithfully

Sarah Ward Company Secretary

Headlam Group plc, PO Box 1, Gorsey Lane, Coleshill, Birmingham B46 1LW T +44(0)1675 433 000, F +44(0)1675 433 030 (Confidential) headlamgroup@headlam.com www.headlam.com Registered Office: As above. Registered in England No. 460129

Electronic communications preference form

Please complete in BLOCK CAPITALS

Full name of shareholder(s):
Address:
Investor Code (if known):
(This can be found on your share certificate)
Signature:
Date:

Please tick ONE of the boxes below and return to Link Asset Services at the appropriate address shown below.

NOTIFICATION OF AVAILABILITY ON WEBSITE

I/We would like to receive email notification when new documents and information are available on the company's website. My/our email address for this purpose is provided below.

Email address: ..........................................................................................................................................................

You may, alternatively, register your email address via the share portal: www.signalshares.com

PRINTED MATERIAL

I/we would prefer to continue receiving all documents and information in paper form rather than via the company's website. Please continue to send them to me/us by post.

If you do not return this completed form to Link Asset Services within 28 days from 8 January 2018, you will be deemed to have consented to website publication and you will no longer receive hard copies in the post.

Please return your completed form to:

UK based shareholders: FREEPOST SAS, 34 Beckenham Road, BR3 9ZA (Please note this is all you need to write on the envelope and no stamp is required).

Overseas shareholders: SAS – Link Asset Services, 34 Beckenham Road, Beckenham, Kent BR3 4TU