First Interim Dividend 2001

HSBC Holdings PLC
30 August 2001

                              HSBC HOLDINGS PLC

                       FIRST INTERIM DIVIDEND FOR 2001

                          SCRIP DIVIDEND ALTERNATIVE

On 6 August 2001, the Directors of HSBC Holdings plc declared a first interim
dividend for 2001 of US$0.19 per ordinary share payable on 9 October 2001 to
shareholders on the Register on 24 August 2001. The dividend is payable in
cash in United States dollars, sterling or Hong Kong dollars, or a combination
of these currencies, with a scrip dividend alternative. The market value for
the issue of new shares under the scrip dividend alternative is:

                        US$11.9717 for each new share.

The market value is the United States dollar equivalent of £8.228, 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 commencing on 22 August 2001 (the day on which the shares were first
quoted ex-dividend).

Dividends payable in cash in sterling or Hong Kong dollars 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 1 October 2001.

Particulars of the dividend arrangements will be mailed to shareholders on or
about 5 September 2001, and elections must be received by the Registrars by 26
September 2001.



R G Barber

Group Company Secretary

HSBC Holdings plc