Holding in Company

Xaar PLC
22 February 2001

                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

     XAAR PLC

2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

     MOUNTCASHEL PLC

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

     IN RESPECT OF 2.

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

     AS ABOVE

5)   Number of shares/amount of stock acquired.



6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed



8)   ( N/A %) of issued Class

9)   Class of security

     10p ORDINARY SHARES

10)  Date of transaction



11)  Date company informed

     22 FEBRUARY 2001

12)  Total holding following this notification


               
              
13)  Total percentage holding of issued class following this notification



14)  Any additional information

     MOUNTCASHEL PLC NO LONGER HAVE A NOTIFIABLE HOLDING IN XAAR PLC

15)  Name of contact and telephone number for queries

     01223 423663

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

     Date of Notification ..22 FEBRUARY 2001