Directors' Notification of Dealing in Shares

Diageo PLC
11 September 2000

                      TO:    Regulatory News Service     
                                                         
                             The London Stock Exchange   
                      RE:    CHAPTER 16 PARAGRAPH 13 OF  
                                                         
                             CONTINUING OBLIGATIONS      
 
Diageo plc (the 'Company') announces that it received on 11 September 2000
notifications from directors of the Company as follows: 
 

                                                                              
  1.    That on 8 September 2000, Mr N C Rose purchased 4,000 of the          
        Company's ordinary shares of 28 101/108 pence ('Ordinary Shares') at  
        a price of £5.8887 per Ordinary Share.                                
  2.    That on 8 September 2000, Mr P S Walsh purchased 10,000 Ordinary      
        Shares at a price of £5.8887 per Ordinary Share.                      
 
As a result of the above transactions the beneficial interests of Messrs Rose
and Walsh in the Company's Ordinary Shares (excluding options, awards under
the Company's LTIPs and also interests as potential beneficiaries of the
Diageo plc QUEST, the Diageo Employee Benefit Trust and the Grand
Metropolitan No. 2 Employee Share Trust and, in the case of Mr Walsh only,
the Pillsbury 401 (K) Savings Plan), are as follows: 
 

                                                             
                  Name of Director    No of Ordinary Shares  
                  N C Rose            28,093                 
                  P S Walsh           117,132*               
 
* Including 7,548 Ordinary Shares held in the form of American Depositary
Shares.