Directors' Dealings

SMITH (DAVID S) (HOLDINGS) PLC
2 August 1999


Directors' shareholdings

We hereby notify you that, on 30 July 1999, the following Directors of David S
Smith (Holdings) PLC were granted options over new ordinary shares of the
Company under the 1992 Executive Share Option Scheme at an exercise price of
178.67p per share, exercisable over the period 30 July 2002 to 29 July 2009:-


Director                Options Granted        Total Shares Under Option
                                               (following this grant)

John Peter Williams             159,800                 548,450
John Stuart Russell              72,900                 279,918