TO:      Regulatory Information Service                                    
                                                                           
         PR Newswire                                                       
                                                                           
RE:      Paragraph 3.1.4 of the Disclosure and Transparency Rules          

The notification listed below was received under Paragraph 3.1.2 of the
Disclosure and Transparency Rules.

Diageo plc (the "Company") announces that it received notification today that
James Grover, a Person Discharging Managerial Responsibilities, exercised an
option on 16 December 2009 over 96,625 ordinary shares of 28 101/108 pence each
in the Company ("Ordinary Shares") granted on 20 September 2005 at a price per
share of £8.15 under the Company's Senior Executive Share Option Plan.

Mr Grover subsequently sold 95,648 Ordinary Shares on 16 December 2009, at a
price per share of £ 10.51. Mr Grover retains the balance of 977 Ordinary
Shares.

As a result of the above transactions, the interests of Mr Grover in the
Company's Ordinary Shares (excluding options, awards under the Company's LTIPs
and interests as potential a beneficiary of the Company's Employee Benefit
Trusts) has increased to 153,960.

P D Tunnacliffe

Company Secretary

17 December 2009