Director Shareholding

TO:       Regulatory Information Service                                 
                                                                         
          PR Newswire                                                    
                                                                         
RE:       CHAPTER 16 PARAGRAPH 13 OF                                     
                                                                         
          THE LISTING RULES                                              

 

Diageo plc (the 'Company') announces that it received notification on 17
September 2004 for the purposes of Section 329 of the Companies Act 1985 from
Diageo Share Ownership Trustees Limited (the 'Trustee'), as trustee of the
Diageo Share Incentive Plan (the 'Plan') that the Trustee sold 45 ordinary
shares of 28 101/108 pence in the Company ('Ordinary Shares') in respect of
participants leaving the Plan. The Ordinary Shares were sold on 10 September
2004 at a price per Ordinary Share of £6.995, by the Trustee. The Plan is an
Inland Revenue approved plan operated by Diageo Group companies for the benefit
of employees of the Company and its subsidiaries.

The total holding of the Trust now amounts to 3,379,391 Ordinary Shares.

Directors who are potential beneficiaries of the Plan are NC Rose and PS Walsh.

17 September 2004