Disposal

British American Tobacco PLC
22 August 2000


               British American Tobacco to sell Benson & Hedges and
          Silk Cut in certain EU accession markets to Gallaher

British American Tobacco announces today that it has sold the Benson &
Hedges and Silk Cut trade marks to Gallaher in certain potential European
Union accession markets for an immaterial cash sum.


Gallaher has purchased Benson & Hedges and Silk Cut in the Czech
Republic, Hungary, Poland, Slovakia and Slovenia. In addition, Gallaher
has purchased Silk Cut in Estonia and Latvia.

Enquiries:

Dave Betteridge, British American Tobacco Press Office: [phone]

Claire Pickett, Investor Relations: [phone]



Notes to Editors

* Where Gallaher has purchased Benson & Hedges, it has acquired the right
  to use the trade mark in the duty paid markets.

* Where Gallaher has purchased Silk Cut, it has acquired the right to use
  the trade mark in both the duty paid and duty free markets.

* Currently, there are minimal sales of Benson & Hedges and Silk Cut in
  these markets.