Directors' Shareholdings

Diageo PLC
9 February 2001

 
                                                        
                      TO:    Regulatory News Service     
                                                         
                             The London Stock Exchange   
                      RE:    CHAPTER 16 PARAGRAPH 13 OF  
                                                         
                             CONTINUING OBLIGATIONS      
 
Diageo plc (the 'Company') announces that it received notification on 9
February 2001 for the purposes of Section 329 of the Companies Act 1985 that
the trustee of the Diageo plc QUEST (the 'Trust') has transferred 22,811 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                                                          
        N C Rose                                                              
        C A Storm                                                             
        P S Walsh   
                                                          
2. Transactions notified on 9 February  2001 in relation to the Trust.   
 

                                                                              
  Date of Transaction    No. of Ordinary Shares        Range of Option Prices 
                         Transferred                   of Ordinary Shares     
  09.02.01               22,811                          £3.14-£4.89          
 
The total holding of the Trust now amounts to 3,574,908 shares.
  

9 February 2001