RNS No 8091u
DIAGEO PLC
11th September 1998


DIAGEO PLC - CHANGES TO THIRD PARTY DISTRIBUTION AGREEMENT

Following the formation of UDV North America (UDVNA) it has
been agreed with Highland Distillers that Remy Associes, the
distribution arm of Remy Cointreau, will distribute The Famous
Grouse Scotch Whisky in the US and Ireland with effect from 1
February 1999.  In the Republic of Ireland the brand will
transfer to Remy Ireland and in the US it will transfer to
Remy Amerique.  The decision to transfer distribution from
UDVNA was reached as part of UDVNA's review of its brand
portfolio.

Investor Relations enquiries:
Catherine James           0171 927 5270

Media enquiries:
Luke Swanson              0171 927 5301


END

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