2007 1st Int Div Scrip Alt

HSBC Holdings PLC
23 May 2007

                               HSBC HOLDINGS PLC
                        FIRST INTERIM DIVIDEND FOR 2007
                           SCRIP DIVIDEND ALTERNATIVE

On 30 April 2007, the Directors of HSBC Holdings plc declared a first interim
dividend for 2007 of US$0.17 per ordinary share payable on 5 July 2007 to
shareholders on the Register on 18 May 2007. The dividend is payable in cash in
United States dollars, sterling or Hong Kong dollars, or a combination of these
currencies and (subject to shareholders at the Annual General Meeting to be held
on 25 May 2007 authorising the Board to continue the scrip dividend scheme) with
a scrip dividend alternative. The 'Market Value' for the issue of new shares
under the scrip dividend alternative is:

                         US$18.4375 for each new share

The 'Market Value' is the United States dollar equivalent of £9.352 being the
average of the middle market quotations for the ordinary shares on the London
Stock Exchange as derived from the Daily Official List for the five business
days beginning on 16 May 2007 (the day on which the shares were first quoted
ex-dividend).

Dividends payable in cash in sterling or Hong Kong dollars on 5 July 2007 will
be converted from United States dollars at the forward exchange rates quoted by
HSBC Bank plc in London at or about 11.00 am on 25 June 2007. These exchange
rates will be announced to the London, Hong Kong, New York, Paris and Bermuda
stock exchanges.

Particulars of the dividend arrangements will be mailed to shareholders on or
about 30 May 2007, and elections must be received by the Registrars by 20 June
2007.

R G Barber
Group Company Secretary
HSBC Holdings plc

Note to editors:

HSBC Holdings plc
HSBC Holdings plc serves over 125 million customers worldwide through around
10,000 offices in 82 countries and territories in Europe, the Asia-Pacific
region, the Americas, the Middle East and Africa. With assets of some US$1,861
billion at 31 December 2006, HSBC is one of the world's largest banking and
financial services organisations. HSBC is marketed worldwide as 'the world's
local bank'.

                             




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