Directors' Shareholdings

Diageo PLC
8 December 2000


                       
                      RE:    CHAPTER 16 PARAGRAPH 13 OF  
                                                         
                             CONTINUING OBLIGATIONS      
 
Diageo plc (the 'Company') announces that it received notification on 8
December 2000 for the purposes of Section 329 of the Companies Act 1985 that
the trustee of the Diageo plc QUEST (the 'Trust') has transferred 1,039,053 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: 

        J M J Keenan                                                          
        J B McGrath                                                           
        N C Rose                                                              
        C A Storm                                                             
        P S Walsh   
                                                          
2. Transactions notified on 8 December 2000 in relation to the Trust.   
 

                                                                              
  Date of Transaction    No. of Ordinary Shares        Range of Option Prices 
                         Transferred                   of Ordinary Shares     
  08.12.00                1,039,053                       £3.18-£4.89         

 
The total holding of the Trust now amounts to 3,908,464 Shares. 
  
The Company further announces that Mr R P Wilson, a non-executive director,
notified the Company today that he acquired on 23 November 2000 11 of the
Company's Ordinary Shares.  The shares were purchased by and registered in the
name of Lloyds Bank PEP Nominees Limited at a price of £6.91 per share,
following the re-investment of dividend proceeds.

As a result of this transaction, Mr R P Wilson's beneficial interests in the
Company's Ordinary Shares have increased to 8,263.


 

8 December 2000