To former HSBL shareholders

HSBC Holdings PLC
10 March 2003


The following is the text of an advertisement to inform former shareholders of
The Hongkong and Shanghai Banking Corporation Limited, who under the Scheme of
Arrangement dated 1 February 1991 were deemed to be untraceable, of their right
to claim the proceeds from the sale of shares in HSBC Holdings plc. This
advertisement will appear in the Financial Times (in the UK), the Standard and
Hong Kong Economic Times (in HK) on Monday, 10 March.

 Notice to Former Shareholders of The Hongkong and Shanghai Banking Corporation
                                    Limited

Scheme of Arrangement

Pursuant to a Scheme of Arrangement between The Hongkong and Shanghai Banking
Corporation Limited ('the Bank') and its shareholders ('the Scheme'), which
became effective on 2 April 1991, HSBC Holdings plc ('HSBC Holdings') acquired
the entire issued share capital of the Bank. Ordinary shares in HSBC Holdings
were issued in exchange for shares in the Bank and certificates were mailed to
shareholders on 6 April 1991.

The Trust

The shares in HSBC Holdings which would otherwise have been allotted to those
Bank shareholders who were 'untraceable' (as defined in the Scheme) at the time
the Scheme became effective were allotted, under the terms of the Scheme, to
Coutts (Jersey) Limited (formerly NatWest International Trust Corporation
(Jersey) Limited) ('Coutts') in accordance with the terms of a Trust Deed dated
1 February 1991 between HSBC Holdings and Coutts. Pursuant to the terms of that
Trust Deed, the HSBC Holdings shares in respect of which claims had not been
received were sold on 13 May 1997 and the proceeds invested pending receipt of
claims. By virtue of a Deed of Retirement and Appointment of Trustee dated 9
August 1999, Coutts retired as trustee of the trust governed by the Trust Deed
and was replaced by Royal Bank of Canada Trust Company (Jersey) Limited ('the
Trustee').

Claims

It is proposed that the trust be wound up by the Trustee when the Trust expires
on 2 April 2003, in accordance with the terms of the Trust Deed. Immediately
upon such expiry, those untraceable shareholders whose claims have not been
accepted by the Trustee will cease to be entitled to make any further claims on
the assets of the Trust. Following the expiry of the Trust on 2 April 2003, the
remaining Trust assets, less costs and expenses, will be held on behalf of HSBC
Holdings and will, as soon as practicable thereafter, be transferred by the
Trustee to HSBC Holdings.

Any person who believes he or she is entitled to the proceeds from the sale of
HSBC Holdings shares issued in exchange for the Bank's shares under the Scheme
(and any other property held by the Trustee with respect to or derived from such
shares) and who has not received the relevant share certificates or proceeds
should lodge a claim as soon as possible, and in any event no later than 2 April
2003. Claims should be addressed to the Exchange Agent, Computershare Hong Kong
Investor Services Limited (formerly Central Registration Hong Kong Limited),
Rooms 1901-1905, Hopewell Centre, 183 Queen's Road East, Hong Kong (who has been
appointed by the Trustee for the purpose of receiving and processing such
claims) enclosing (wherever possible) certificates for the appropriate number of
the Bank's shares.

For and on behalf of

HSBC Holdings plc

R G Barber

Group Company Secretary

HSBC Holdings plc

Incorporated in England with limited liability. Registered in England: number
617987 Registered Office and Group Head Office: 8 Canada Square, London E14 5HQ,
United Kingdom


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