Director Shareholding

Diageo PLC
7 June 2002


TO: Regulatory Information Service

RE: CHAPTER 16 PARAGRAPHS 4 AND 13 OF

THE LISTING RULES

Diageo plc (the 'Company') announces the following in respect of Paul Walker,
who was appointed a Director of the Company on 1 June 2002:

 1. in respect of Chapter 16 paragraph 4(a), in addition to his current
    directorship of a publicly quoted company notified on 31 May 2002, Mr Walker
    is a non-executive director of MYTRAVEL GROUP PLC (formerly AIRTOURS PLC)
    and was a non-executive director of CUSSINS PROPERTY GROUP LIMITED
    (previously CUSSINS PROPERTY GROUP PLC) until 1999;

 2. in respect of Chapter 16 paragraph 4(b), there are no such details to
    disclose.

The Company further announces that it received notification on 7 June 2002 for
the purposes of Section 329 of the Companies Act 1985 that the trustee of the
Diageo plc QUEST (the 'Trust') has transferred 29,159 of the Company's ordinary
shares of 28 101/108 pence ('Ordinary Shares') to participants exercising
options granted under the Company's UK Savings-Related Stock Option Scheme and
the Grand Metropolitan Savings-Related Share Option Scheme (the 'Schemes'). The
Ordinary Shares were transferred by Diageo QUEST Trustees Limited as trustee of
the Trust. The Trust is a discretionary trust for the benefit of employees of
the Company and its subsidiaries which operates in conjunction with the Schemes
and holds Ordinary Shares to satisfy existing options granted under the Schemes.

    1.    Executive directors who are potential beneficiaries of the Trust are:

          N C Rose

          P S Walsh


    2.    Transactions notified on 7 June 2002 in relation to the Trust.

          Date of Transaction       No. of Ordinary      Range of Option Prices 
                                    Shares Transferred   of Ordinary Shares

                                                   
            07.06.02                     29,159               £3.54-£5.05


    The total holding of the Trust now amounts to 2,092,493 Ordinary Shares.


7 June 2002


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