Date: 25 August 2021

Frasers Group Plc

("Frasers Group" or the "Group")

Proposed Remuneration Package for Michael Murray

Frasers Group plc expects later this week to publish its Notice of AGM in relation to the Group's AGM to be held on 29 September 2021. Within the resolutions to be proposed at the AGM, the Board is recommending a new Executive Share Scheme which includes a share option scheme for Michael Murray, should he assume the role of CEO in May 2022 as per the RNS on 5 August 2021. The Group would like to give further context of this scheme for Mr. Murray, and his proposed remuneration package generally, in advance of the AGM.

In considering a remuneration package, the Remuneration Committee was mindful of setting targets that were both stretching and achievable and that would reward an incoming CEO commensurately with the shareholder value that could be attained. As a result of those considerations, the proposed share option scheme for Mr. Murray has a target share price of £15 which must be achieved for 30 consecutive trading days before the vesting period ends on 7th October 2025. Should the options vest, and the share price on exercise be £15, Michael Murray will be awarded shares to the equivalent value of £100m before tax.

As part of Michael Murray's reward and remuneration package, should he assume the role of CEO, the Board is recommending at the AGM a directors' remuneration policy that will allow Michael to be paid a salary of £1m per year. It should be noted that it is at the discretion of the Remuneration Committee to deduct the equivalent share value of the gross salary Michael Murray has earned during the vesting period from the share option award.

For the avoidance of doubt, the previous consultancy arrangements between the Group and Mr. Murray will cease on his assumption of the CEO role.

The Board believes that the significant increase in value of the shares to be achieved before Michael's share option award vests is suitably challenging but achievable and would be evidence of the success of the Group's elevation strategy and Michael's leading role in this.

Ends.

Frasers Group Plc                          T. 0344 245 9200

Tom Piper, Company Secretary    E. [email protected]