Holding(s) in Company

Diagonal PLC
7 October 2002



                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

DIAGONAL PLC

2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

LEGAL & GENERAL INVESTMENT MANAGEMENT 

3)   Please state whether notification indicates that it is in respect of 
     holding of the Shareholder named in 2 above or in respect of a 
     non-beneficial interest or in the case of an individual holder if it is a
     holding of that person's spouse or children under the age of 18

SEE 2 ABOVE

4)   Name of the registered holder(s) and, if more than one holder, the 
     number of shares held by each of them.

HSBC GLOBAL CUSTODY NOMINEE (UK) LIMITED

5)   Number of shares/amount of stock acquired.

250,000

6)   ( 0.28 %) of issued Class

7)   Number of shares/amount of stock disposed



8)   (  %) of issued Class

9)   Class of security

ORDINARY SHARES OF 10P EACH

10)  Date of transaction

13 SEPTEMBER 2002

11)  Date company informed

16 SEPTEMBER 2002

12)  Total holding following this notification

2,855,340
               
13)  Total percentage holding of issued class following this notification

3.19%

14)  Any additional information

N/A

15)  Name of contact and telephone number for queries

IAN FARRELLY    01252 733 711

16)  Name and signature of authorised company official responsible for 
     making this notification     

     Date of Notification ...7 OCTOBER 2002



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