Director Shareholding

17 May 2002

The Sage Group plc

Director Shareholding

The Sage Group plc ('Sage' or 'The Company') reported on 16 May 2001 that
Graham Wylie, a director of the Company, had entered into a stock loan
agreement under which he delivered 4.8m Sage shares.

At the same time The Company reported that Graham Wylie had entered into a
hedging transaction and that physical settlement of the hedging transaction
would result in Mr Wylie selling shares.

The term of the stock loan has now expired under the conditions of the original
agreement and 4.8m Sage shares have been redelivered to Mr Wylie.  Furthermore,
physical settlement of the hedging transaction occurred on 16 May 2002
resulting in the disposal by Mr Wylie of 4.8m Sage shares at a price equivalent
to 243.8 pence per share.

Following the above, Mr Wylie retains an interest in 113.5m ordinary shares in
Sage, representing an interest of 8.9 per cent in the issued ordinary share
capital of the company.

Ends