SOURCE: Diageo PLC

July 13, 2005 16:37 ET

Diageo PLC confirms Burger King refinancing

London, UK -- (MARKET WIRE) -- July 13, 2005 --

                                                             13 July 2005

Diageo confirms Burger King refinancing

Burger King Corporation (BKC) has today announced that it has completed a
refinancing of its credit facilities on a stand-alone basis.  Consequently
Diageo's guarantee of BKC's previous $850 million senior and revolving credit
facilities now falls away.

Diageo will also receive immediate repayment of the principal of the
subordinated debt plus accrued interest. At 30 June 2005 this amounted to $266
million.

Commenting on this news, Paul Walsh, CEO of Diageo said:

'The refinancing of Burger King brings to an end the debt guarantee Diageo has
provided for BKC since the disposal of that business in 2002. The repayment of
the subordinated debt enhances our balance sheet and the release of the
guarantee increases Diageo's ability to access debt within our current balance
sheet structure. '


                                     -Ends-

Contacts:

Investor Relations:  Kelly Padgett +1 202 7151110 investor.rel@diageo.com
                     Catherine James +44 (0)20 7927 5272 investor.rel@diageo.com


Media Relations:  Isabelle Thomas +44 (0)20 7927 5967  media@diageo.com

Notes to editor:

Diageo is the world's leading premium drinks business. With its global vision,
and local marketing focus, Diageo brings to consumers an outstanding collection
of beverage alcohol brands across the spirits, wine and beer categories
including Smirnoff, Guinness, Johnnie Walker, Baileys, J&B, Cuervo, Captain
Morgan and Tanqueray, and Beaulieu Vineyard and Sterling Vineyards wines. Diageo
trades in some 180 markets around the world and is listed on both the New York
Stock Exchange (DEO) and the London Stock Exchange (DGE). For more information
about Diageo, its people, brands and performance, visit us at www.diageo.com










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