Holding in Company

BAE SYSTEMS PLC
21 September 2001

                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

BAE SYSTEMS PLC


2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

BARCLAYS PLC (THROUGH ITS SUBSIDIARY, BARCLAYS BANK PLC)


3)   Please state whether notification indicates that it is in respect of 
     holding of the Shareholder named in 2 above or in respect of a 
     non-beneficial interest or in the case of an individual holder if it is a
     holding of that person's spouse or children under the age of 18

SHAREHOLDER NAMED IN 2 ABOVE


4)   Name of the registered holder(s) and, if more than one holder, the 
     number of shares held by each of them.

N/A


5)   Number of shares/amount of stock acquired.

N/A


6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed

N/A


8)   ( N/A %) of issued Class

9)   Class of security

ORDINARY SHARES OF 2.5P EACH


10)  Date of transaction

SEE 14 BELOW


11)  Date company informed

21 SEPTEMBER 2001


12)  Total holding following this notification

NOT KNOWN - SEE 14 BELOW
               
13)  Total percentage holding of issued class following this notification

LESS THAN 3%


14)  Any additional information

AS AT 19 SEPTEMBER 2001 THE SHAREHOLDER NAMED IN (2) ABOVE CEASED TO HAVE A 
NOTIFIABLE INTEREST IN THE ORDINARY SHARE CAPITAL OF BAE SYSTEMS PLC.


15)  Name of contact and telephone number for queries

ANNE-LOUISE HOLDING  TEL: [phone]


16)  Name and signature of authorised company official responsible for 
     making this notification

     Date of Notification ......21 SEPTEMBER 2001