Directors' Dealings

Diageo PLC
21 January 2000

     
RE:  CHAPTER 16 PARAGRAPH 13
     CONTINUING OBLIGATIONS

Diageo  plc  (the 'Company') announces that  it  received
notification  on  21  January 2000 for  the  purposes  of
Section 329 of the Companies Act 1985 that the trustee of
the Diageo plc QUEST (the 'Trust') has transferred 47,884
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:
   
   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  21  January   2000   in
   relation to the Trust.
   
    Date of         No. of Ordinary    Range of Option
  Transaction     Shares Transferred      Prices of
                                       Ordinary Shares
                                       
    17.01.00          47,884            £3.53-£4.645

The  total  holding of the Trust now amounts to 6,847,993
Ordinary Shares.