Trading Statement

Tesco PLC
28 November 2000


                                  TESCO PLC

                       THIRD QUARTER TRADING STATEMENT


ACCELERATING GROUP SALES GROWTH


Group sales for the fourteen weeks ending 18th November 2000 increased by
12.7%. This growth is driven by all four elements of our strategy: a continued
strong core UK performance, the increasing importance of non-food, our
international strategy and our developments in Retailing Services.


STRONG UK PERFORMANCE


Total UK sales for the fourteen weeks since the half-year are up 8.9%.
Like-for-like sales were up 5.1% driven by strong sales volumes of 4.9%.
Overall inflation was 0.2%, in line with Quarter 2 and within this we continue
to see deflation in the core chain driven by significant price reductions.


This sales performance helped offset the effects of the petrol disruption. Our
strategy of broadly holding net margins and investing efficiency savings in
prices and services for the customer remains unchanged. We enter the final
quarter confident but in the knowledge that last year saw a particularly
strong Christmas period boosted by the millennium celebrations.


STRONG INTERNATIONAL GROWTH


Growth in Central Europe and Asia continues to accelerate. We have now opened
29 hypemarkets this year giving an additional 3.2 m sq. ft. of new trading
space. This has driven total international sales growth up 49% in the quarter.


NEW STORE PROGRAMMES CONTINUE AT PACE


Tesco has opened 58 stores worldwide this year adding 4 m sq. ft. of new
selling space.


The next trading update will be at our Christmas trading statement scheduled
for mid January 2001.


                                   - ends -




Enquiries:-


Steve Butler - Tesco Investor Relations               Tel:- 01992 644 800

David Sawday - Tesco Press Office                    Tel:- 01992 644 739

Angus Maitland - Maitland Consultancy               Tel:- 0207 379 5151