Transaction in Own Shares

Diageo PLC
23 August 2006



Diageo plc announces that it has today purchased through Credit Suisse
Securities (Europe) Limited 650,000 ordinary shares at a price of 948.97 pence
per share. The purchased shares will all be held as treasury shares.

Following the above purchase, Diageo plc holds 269,180,114 ordinary shares as
treasury shares. The total number of ordinary shares in issue (excluding shares
held as treasury shares) is 2,781,800,131.




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