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 6 May
2005 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 518 ordinary shares of 28 101
/108 pence in the Company ('Ordinary Shares') in respect of participants
leaving the Plan and transferred 2,608 Ordinary Shares to participants leaving
the Plan. The Ordinary Shares were sold on 29 April 2005 at a price per
Ordinary Share of £7.726 by the Trustee.

Date of Transaction   No of Ordinary Shares Sold   Price Per Share 
                                                                   
29.04.05              518                          £7.726          
 
Date of Transaction   No of Ordinary Shares Transferred     
                                                            
29.04.05              2,608                                 
 

The total holding of the Trust now amounts to 4,527,412 Ordinary Shares.

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

6 May 2005