Holding in Company

Xaar PLC
30 October 2001

                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

     XAAR PLC

2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

     HSBC INVESTMENT BANK 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

     IN RESPECT OF 2

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

     AS ABOVE

5)   Number of shares/amount of stock acquired.



6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed

     1,892,965

8)   ( 3.2%) of issued Class

9)   Class of security

     10P ORDINARY SHARE

10)  Date of transaction

     25/10/01

11)  Date company informed

     30/10/01

12)  Total holding following this notification

     0
               
13)  Total percentage holding of issued class following this notification

     0%

14)  Any additional information



15)  Name of contact and telephone number for queries

     ANDREW TAYLOR
     01223 423663

16)  Name and signature of authorised company official responsible for 
     making this notification
                                          
     Date of Notification ... 30 OCTOBER 2001