Disposal

British American Tobacco PLC
04 October 2005





For immediate release: Tuesday 4 October 2005

          British American Tobacco agrees sale of stake in B.A.R Honda

British American Tobacco today confirms that it has agreed the sale of its 55
per cent stake in B.A.R Honda to Honda Motor Co. Ltd.  The sale is expected to
take effect by 31 December 2005.  With Honda's existing 45 per cent
shareholding, purchased in January 2005, this transaction will give Honda
complete ownership of the team.

The B.A.R Honda team (then British American Racing) was established by British
American Tobacco in 1997. After a challenging first few years it rose to second
place in the 2004 FIA Constructors' World Championship, one of the quickest
ascents of a F1 team.

British American Tobacco intends to remain as the title sponsor, through Lucky
Strike, for the 2006 season, but will honour its long-standing commitment to
exit Formula One sponsorship at the end of that season.  This is consistent with
the International Tobacco Marketing Standards, to which British American Tobacco
voluntarily subscribed in 2001, along with its major international competitors.

Jimmi Rembiszewski, Director, Marketing commented: "It will be sad to end our
association but it is immensely satisfying to leave the team in the competent
hands of Honda who are proven winners in the sport. We wish Honda every success
for the future and look forward to our last year of sponsorship."

British American Tobacco was advised on this transaction by HSBC.





                                   ENQUIRIES

                     British American Tobacco Press Office

                David Betteridge, Teresa La Thangue, Emily Brand

                              [phone]


Notes to editors

•         The International Tobacco Product Marketing Standards are globally
applicable and in some countries, exceed the requirements of local laws or
voluntary codes.  British American Tobacco audits its companies' performance
against them annually, reports on this in its Social Report and promotes
adoption of the Standards by competitors.

•       The full Standards are on www.bat.com:  in Our Business / Marketing
Standards.

•       Reporting on our companies' adherence to the Standards is in www.bat.com
/ socialreport: Marketing and Youth Smoking Prevention.

•       Amongst other detailed points, the International Marketing Standards
state that, from December 2006, there will be no sponsored events under a
tobacco product brand where the event may have a particular appeal to youth, may
receive exposure other than as a news item and where success in the sponsored
activity requires above average physical fitness.

•       The Standards also state that no advertisement shall feature a celebrity
or suggest that sporting, popularity or professional success is enhanced by
smoking.  An advertisement is defined as any communication to consumers which
has the aim of encouraging them to select one brand of tobacco products over
another.




                      This information is provided by RNS
            The company news service from the London Stock Exchange