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.

     1,892,965

6)   (3.2%) of issued Class

7)   Number of shares/amount of stock disposed



8)   ( N/A %) of issued Class

9)   Class of security

     10p ORDINARY SHARES

10)  Date of transaction

     24/10/01

11)  Date company informed

     30/10/01

12)  Total holding following this notification

     1,892,965
               
13)  Total percentage holding of issued class following this notification

     3.2%

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 30/10/2001