Notice to Former Shareholders

HSBC Holdings PLC
27 March 2002


The following is the text of an advertisement to inform former shareholders of
The Hongkong and Shanghai Banking Corporation Limited, who under the Scheme of
Arrangement dated 1 February 1991 were deemed to be untraceable, of their right
to claim the proceeds from the sale of shares in HSBC Holdings plc. This
advertisement will appear in the Financial Times (in the UK), the Hong Kong
iMail and Hong Kong Economic Times (in HK) on Thursday, 28 March.


Notice to Former Shareholders of The Hongkong and Shanghai Banking Corporation
Limited


Scheme of Arrangement

Pursuant to a Scheme of Arrangement between The Hongkong and Shanghai Banking
Corporation Limited ('the Bank') and its shareholders ('the Scheme'), which
became effective on 2 April 1991, HSBC Holdings plc ('HSBC Holdings') acquired
the entire issued share capital of the Bank. Shares in HSBC Holdings were issued
in exchange for shares in the Bank and certificates were mailed to shareholders
on 6 April 1991.


The Trust

The Ordinary Shares in HSBC Holdings which would otherwise have been allotted to
the Bank's shareholders who were 'untraceable' (as defined in the Scheme) were
allotted under the terms of the Scheme to Coutts (Jersey) Limited (formerly
NatWest International Trust Corporation (Jersey) Limited) ('Coutts') in
accordance with the terms of a Trust Deed dated 1 February 1991 between HSBC
Holdings and Coutts. Pursuant to the terms of the Trust Deed, the HSBC Holdings
shares in respect of which claims had not been received were sold on 13 May 1997
and the proceeds invested pending receipt of claims. By virtue of a Deed of
Retirement and Appointment of Trustee dated 9 August 1999, Coutts retired as
trustee of the trust created by the Trust Deed and was replaced by Royal Bank of
Canada Trust Company (Jersey) Limited ('the Trustee').


Claims

Any person who believes he or she is entitled to the proceeds from the sale of
HSBC Holdings shares issued in exchange for the Bank's shares under the Scheme
(and any other property held by the Trustee with respect to or derived from such
shares) and who has not received the relevant share certificates or proceeds
should address a claim to the Exchange Agent, Central Registration Hong Kong
Limited, Rooms 1901-5, Hopewell Centre, 183 Queen's Road East, Hong Kong (who
has been appointed by the Trustee for the purpose of receiving and processing
such claims) enclosing (wherever possible) certificates for the appropriate
number of the Bank's shares.


Under the terms of the Trust Deed, the entitlement of the Bank's shareholders
who were untraceable whose claims have not been accepted to any further claims
on the trust assets will cease on the twelfth anniversary of the Scheme (i.e. 2
April 2003), and the remaining trust assets will be transferred by the Trustee
to HSBC Holdings, less costs and expenses.


For and on behalf of 28 March 2002

HSBC Holdings plc

R G Barber

Group Company Secretary

HSBC Holdings plc

Incorporated in England with limited liability. Registered in England: number
617987

Registered Office and Group Head Office: 10 Lower Thames Street, London EC3R
6AE, United Kingdom



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