Capital Note Issue

Guinness Peat Group PLC
4 May 2001

                              
                   GUINNESS PEAT GROUP plc
                  ('GPG' or 'the Company')
                              
                              
GPG  announces that it has appointed J B Were (New  Zealand)
Limited  as Lead Manager to advise it in connection  with  a
possible  issue  of capital notes to New Zealand  investors.
An  issue  of  up to NZ$250m is envisaged.  Further  details
will be announced in due course.

The  Chairman  of GPG, Sir Ron Brierley, said  'The  capital
note issue will be a useful addition to the range of capital
resources  available  to  GPG when  considering  prospective
investment opportunities.'


Enquiries:

Guinness Peat Group plc                       020 7236 0336
Blake Nixon, UK Executive Director

Square Mile BSMG                              020 7601 1000
Kevin Smith/Becky Jewers