Directors' Dealings

DIAGEO PLC
22 October 1999

     
RE:  CHAPTER 16 PARAGRAPH 13
     CONTINUING OBLIGATIONS

Diageo  plc (the 'Company') announces that the  following
directors  were allocated ordinary shares of  28  101/108
pence  ('Ordinary Shares') in the Company on  22  October
1999 under Inland Revenue approved profit sharing schemes
operated  by Diageo Group companies together  with  other
eligible employees under these schemes:

Name of Director    Number of
                    Shares
                  
Sir Anthony Greener  1,307
J B McGrath          1,307
N C Rose             1,307
C A Storm            1,307

There  was  no  price  payable for the  allocation.   The
Ordinary  Shares are held by trustees and cannot normally
be  disposed  of  for  a period of two  years  after  the
allocation.

As  a result of the above, these directors' interests  in
the  Company's Ordinary Shares (excluding options, awards
under   the   Company's  LTIPs  and  also  as   potential
beneficiaries of the Diageo Employee Benefit  Trust,  the
Diageo  plc  QUEST, the Grand Metropolitan No 2  Employee
Share  Trust and the Diageo plc Employee Incentive Trusts
1994 and 1996) are as follows:

Name  of            Number     of  
Director            Shares
                
Sir Anthony Greener 202,049        
J B McGrath          27,919         (of which 2,500 are
                                    held   as  a   non-
                                    beneficial
                                    interest)
N C Rose             12,973         
C A Storm            60,456         

The   Company   further  announces   that   it   received
notification  on  22  October 1999 for  the  purposes  of
Section 329 of the Companies Act 1985 that the trustee of
the  Diageo plc QUEST (the 'Trust') has transferred 1,101
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:
   
   Sir Anthony Greener
   J M J Keenan
   D N Malamatinas
   J B McGrath
   N C Rose
   C A Storm
   P S Walsh
   
2. Transactions  notified  on  22  October  1999   in
   relation to the Trust.
   
    Date of         No. of Ordinary       Range of
  Transaction     Shares Transferred   Option Prices
                                        of Ordinary
                                           Shares
    22.10.99           1,101           £3.53 - £4.47
                                              

The  total  holding of the Trust now amounts to 8,925,932
Ordinary Shares.