Dividend Declaration

HSBC Holdings PLC
03 December 2003

3 December 2003





                               HSBC HOLDINGS PLC

                        SECOND INTERIM DIVIDEND FOR 2003

                           SCRIP DIVIDEND ALTERNATIVE

On 10 November 2003, the Directors of HSBC Holdings plc declared a second
interim dividend for 2003 of US$0.12 per ordinary share payable on 20 January
2004 to shareholders on the Register on 28 November 2003. The dividend is
payable in cash in United States dollars, sterling or Hong Kong dollars, or a
combination of these currencies, with a scrip dividend alternative. The "Market
Value" for the issue of new shares under the scrip dividend alternative is:

                         US$15.1987 for each new share

The "Market Value" is the United States dollar equivalent of £8.838, being the
average of the middle market quotations for the ordinary shares on the London
Stock Exchange as derived from the Daily Official List for the five business
days beginning on 26 November 2003 (the day on which the shares were first
quoted ex-dividend).

Dividends payable in cash in sterling or Hong Kong dollars on 20 January 2004
will be converted from United States dollars at the forward exchange rates
quoted by HSBC Bank plc in London at or about 11.00 am on 12 January 2004. These
exchange rates will be announced to the London, Hong Kong, New York and Paris
stock exchanges.

Particulars of the dividend arrangements will be mailed to shareholders on or
about 9 December 2003, and elections must be received by the Registrars by 7
January 2004.




R G Barber

Group Company Secretary

HSBC Holdings plc




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