Disposal

Disposal

Severn Trent Plc confirms that the sale of its US analytical environmental
testing firm, Severn Trent Laboratories (STL), to TestAmerica Holdings, an
affiliate of H.I.G. Capital, completed on 29 December 2006 for a cash
consideration of approximately £85 million.

Severn Trent Plc also confirms that Rachel Brydon Jannetta consequently
resigned as a director of Severn Trent Plc with effect from 29 December 2006.

Colin Matthews, Group Chief Executive, said "I would like to thank Rachel for
her contribution to Severn Trent during her eleven years with the company, in
particular for the last two years on the Board of Severn Trent Plc during a
period of significant change.

"The completion of this transaction is in line with our stated intention to
focus on water."

www.severntrent.com

FOR FURTHER INFORMATION CONTACT:

Peter Gavan
Director of Corporate Affairs
Severn Trent Plc
0121 722 4310

Jonathan Davies
Head of Investor Relations
Severn Trent Plc
0121 722 4295