Holding in Company

Diploma PLC
19 April 2001


Letter to Diploma PLC  - 18 APRIL 2001

Re: S.198 Companies Act 1985: as amended by The Disclosure of Interest in
    Shares (Amendment) Regulations 1993

In accordance with the Companies Act 1985, (as amended) I write to notify you
that UBS Asset Management Limited and Phillips & Drew Life Limited have an
interest in 2,584,122 ord 5p shares of the Company. This represents 10.26% of
the issued share capital of the Company.

Below is a list of the Registered holders.

UBS Asset Management Limited and Phillips & Drew Life Limited are subsidiaries
of UBS Asset Management Holding (No.2) Limited which is also treated as having
an interest in the above shares.  We are authorised to make this aggregate
disclosure on behalf of UBS Asset Management Holding (No.2) Limited the
registered address of which is:

                   Triton Court
                   14 Finsbury Square
                   London EC2A 1PD

Letter from Phillips & Drew 


              Total Issued Share Capital - 25,164,345

Name                                                            Quantity

CHASE NOMINEES LIMITED                    A/C GMC3               326,419
CITY OF EDINBURGH COUNCIL                 A/C LTH4                55,981
NORTHERN TRUST CO                         A/C NTH1                79,000
PHILDREW NOMINEES LIMITED                 A/C BA                  37,750
PHILDREW NOMINEES LIMITED                 A/C CC                  49,518
PHILDREW NOMINEES LIMITED                 A/C EO                  10,300
PHILDREW NOMINEES LIMITED                 A/C FGC                 36,402
PHILDREW NOMINEES LIMITED                 A/C HFM                 25,500
PHILDREW NOMINEES LIMITED                 A/C LM                  54,500
PHILDREW NOMINEES LIMITED                 A/C LF09                79,106
PHILDREW NOMINEES LIMITED                 A/C LF20             1,475,433
PHILDREW NOMINEES LIMITED                 A/C NEE                 64,213
PHILDREW NOMINEES LIMITED                 A/C SR                  18,000
PHILDREW NOMINEES LIMITED                 A/C SRB                  6,000
PHILDREW NOMINEES LIMITED                 A/C TUE                127,500
PHILDREW NOMINEES LIMITED                 A/C TW                 138,500
                                                               ---------
                                                               2,584,122
                                                               ---------
                                                                   10.26%