Re Agreement

Diageo PLC
08 August 2002


                                                                   8 August 2002


   Diageo and Pernod Ricard determine closing balance sheet adjustments with
                   Vivendi in respect of Seagram acquisition



Diageo, Vivendi Universal and Pernod Ricard S.A. have today announced that, as
provided for by the Seagram acquisition agreement, they have determined the
adjustments relating to working capital changes during the period 30 June 2000
until 21 December 2001, when the transaction closed, and the debt position at
closing. Diageo's share of these adjustments results in net payments of
approximately US$145 million.

                                     -ends-




Media enquiries:    Isabelle Thomas [phone]

[e-mail]

Investor Relations: Amanda Kramer [phone]

[e-mail]


                      This information is provided by RNS
            The company news service from the London Stock Exchange