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SouthAfricanBrewerie (SAB)

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Wednesday 15 May, 2002

SouthAfricanBrewerie

Re Agreement

South African Breweries PLC
15 May 2002


                                                                     15 May 2002


            DIAGEO PLC AND SOUTH AFRICAN BREWERIES PLC SUBSIDIARIES

                         SIGN AGREEMENTS IN EAST AFRICA



Diageo plc and South African Breweries plc today announced that their respective
subsidiaries, East African Breweries Limited (EABL) and South African Breweries
International (Africa) BV (SABI), have entered into agreements relating to the
operation of their businesses in Kenya and Tanzania.

In Kenya, SABI has closed its brewing operations at Thika.  SABI will retain its
presence in Kenya by taking a 20% shareholding in Kenya Breweries Limited (KBL),
a subsidiary of EABL.  As part of the transaction, EABL will acquire Castle
Brewing Kenya Limited (CBK), a subsidiary of SABI.  Brands previously produced
and sold by CBK will be produced and sold under licence by EABL.

In Tanzania, EABL has closed its Kibo Brewing operation.  EABL will retain its
presence in Tanzania by taking a 20% shareholding in SABI's Tanzania Breweries
Limited (TBL).  At the same time, TBL will acquire Kibo Breweries Limited
(Kibo), a subsidiary of EABL.  Brands previously produced and sold by Kibo will
be produced and sold under licence by TBL.

The transaction is subject to certain conditions precedent, including the
approval of the local regulatory authorities.  No cash payment or compensation
will be made between SABI and EABL.  Each company is responsible for the closure
arrangements of their own breweries.

The impact on SABI of the transaction is earnings and value enhancing.

Net assets acquired by EABL in this transaction had a value of approximately US
$21.2m and the net assets acquired by SABI had a value of approximately US
$24.5m.

                                     -ends-

For further information please contact

Anna Miller Salzman, Head of Investor Relations, SAB plc
            Tel:            + 44 (0) 207 659 0106
            Mob:            + 44 (0) 7973 837 070


Ciaran Baker, Head of Corporate Communications, SAB plc
            Tel:            + 44 (0) 207 659 0120
            Mob:            + 44 (0) 7979 954 493


Mitch Ramsay, Communications Manager SABI Africa & Asia
            Tel:            + 27 (0) 11 407 1822
            Mob:            +27 (0) 83 631 0308




Notes to Editors

 1. In Kenya, where KBL has a 90 percent market share, CBK has a 10 percent
    market share.  Following today's agreement EABL will produce, market and
    sell the following SAB brands:  Castle Lager, Redd's Premium Cold, Trophy
    Lager and Ranger Special Lager.


 2. In Tanzania, TBL has about an 85 percent market share and EABL a 13 percent
    market share.  After today's agreement TBL will produce, market and sell the
    following EABL and Guinness UDV brands under licence:  Tusker, Pilsner and
    Pilsner Ice, Guinness FES, Guinness Malta and Kibo Gold.





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