Holding in Company

Xaar PLC
1 August 2000


                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

     XAAR PLC


2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

     MR S A WHEELER


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

     BENEFICIAL


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

     MR S A WHEELER


5)   Number of shares/amount of stock acquired.



6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed

     25,000


8)   (0.0%) of issued Class

9)   Class of security

     10P ORDINARY SHARES


10)  Date of transaction

   

11)  Date company informed

     31 JULY 2000


12)  Total holding following this notification

     UNDISCLOSED

               
              
13)  Total percentage holding of issued class following this notification

     UNDER 3%


14)  Any additional information

     SHAREHOLDING NOW UNDER 3%


15)  Name of contact and telephone number for queries

     J A LOWE
     01223 423663


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


     Date of Notification  1 AUGUST 2000