Holding in Company

Compass Group PLC
27 February 2001

                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

COMPASS GROUP PLC

2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

CGNU PLC

3)   Please state whether notification indicates that it is in respect of 
     holding of the Shareholder named in 2 above or in respect of a 
     non-beneficial interest or in the case of an individual holder if it is a
     holding of that person's spouse or children under the age of 18

SEE LETTER BELOW

4)   Name of the registered holder(s) and, if more than one holder, the 
     number of shares held by each of them.

SEE LETTER BELOW

5)   Number of shares/amount of stock acquired.

N/A

6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed

N/A

8)   ( N/A %) of issued Class

9)   Class of security

ORDINARY SHARES OF 10 PENCE EACH

10)  Date of transaction

ON OR BEFORE 26 FEBRUARY 2001

11)  Date company informed

27 FEBRUARY 2001

12)  Total holding following this notification

71,386,761
               
              
13)  Total percentage holding of issued class following this notification

3.22%

14)  Any additional information

SEE LETTER BELOW

15)  Name of contact and telephone number for queries

ANDREW V DERHAM
01932 573159

16)  Name and signature of authorised company official responsible for 
     making this notification

     Date of Notification ......27 FEBRUARY 2001 .



LETTER TO:  COMPASS GROUP PLC

LETTER DATED:  27 FEBRUARY 2001


COMPASS GROUP PLC (THE 'COMPANY')


This notification relates to issued ordinary shares of 10p each in the capital
of the Company (the 'shares') and is given in fulfilment of the obligations
imposed by sections 198 to 202 of the Companies Act 1985 (the 'Act').

This notification results from our telephone conversation of 26 February 2001,
where you advised that Granada Compass have de-merged to form the separate
companies, Compass Group plc and Granada plc.

1.   Notification on behalf of Morley Fund Management Limited (a subsidiary of  
     CGNU plc).

1.1  We hereby notify you on behalf of Morley Fund Management Limited that
     immediately after the time when the obligation to make this notification
     arose Morley Fund Management Limited were interested in 71,386,761 shares.

1.2  The identity of the registered holders of the shares to which this         
     notification relates and the number of shares held by each of them are set 
     out in the Appendix below: Morley Fund Management Limited.

2.   Notification on behalf of CGNU plc.

2.1  We hereby notify you on behalf of CGNU plc that immediately after the time
     when the obligation to make this notification arose CGNU plc were
     interested in 71,386,761 shares giving the CGNU group a total percentage
     interest in the shares of 3.22%.

2.2  The identity of the registered holders of the shares to which this
     notification relates and the number of shares held by each of them are set
     out in the Appendix below: CGNU plc.

If you require further information as to which companies in the CGNU group hold
interest in the shares (by virtue of s.203 of the Act) please submit a written
request and we will be happy to supply this information.

We are only required to notify interests which are defined at material interests
when the holding is equal to 3% or more of the Company's relevant share capital.
The  term material interests exclude certain categories where we do not hold  a
beneficial interest, for example where the shares are held in an Authorised Unit
Trust Scheme or Open Ended Investment Company. Holdings in those categories  are
therefore not included in the holding notified under this letter. If you wish us
to confirm the level of holdings in these categories, please let us know.

LETTER FROM:  DIANE THIRKETTLE
              FOR AND ON BEHALF OF CGNU PLC


APPENDIX: CGNU PLC

REGISTERED HOLDERS                       NUMBER OF SHARES HELD

BNY (Nominees) Ltd                               59,937          (Material)
BNY Norwich Union Nominees Ltd               30,686,533          (Material)
BT Globenet Nominees Ltd                         28,789          (Material)
Chase GA Group Nominees Ltd                  26,669,228          (Material)
Chase GA Pension Nominees Ltd                 1,575,226          (Material)
CUIM Nominee Ltd                             12,367,048          (Material)

TOTAL PERCENTAGE INTEREST OF CGNU PLC: 3.22%

ISSUED SHARE CAPITAL ON WHICH THIS NOTIFICATION IS BASED: 2,214,670,861


APPENDIX: MORLEY FUND MANAGEMENT LIMITED

REGISTERED HOLDERS                       NUMBER OF SHARES HELD

BNY (Nominees) Ltd                               59,937          (Material)
BNY Norwich Union Nominees Ltd               30,686,533          (Material)
BT Globenet Nominees Ltd                         28,789          (Material)
Chase GA Group Nominees Ltd                  26,669,228          (Material)
Chase GA Pension Nominees Ltd                 1,575,226          (Material)
CUIM Nominee Ltd                             12,367,048          (Material)


TOTAL PERCENTAGE INTEREST OF MORLEY FUND MANAGEMENT LIMITED: 3.22%

ISSUED SHARE CAPITAL ON WHICH THIS NOTIFICATION IS BASED: 2,214,670,861