Disposal

British American Tobacco PLC
23 May 2007


For immediate release: 23 May 2007


             British American Tobacco sells Belgian cigar business

British American Tobacco said today it has agreed to sell its Belgian cigar
factory and associated brands to the cigars division of Skandinavisk
Tobakskompagni A/S.  The business had gross assets of €31 million at 31 December
2006.

The sale includes a factory in Leuven as well as the trademarks Corps
Diplomatique, Schimmelpennick, Don Pablo and Mercator - among others.

The transaction is expected to be completed later this year.


                                   ENQUIRIES

                     British American Tobacco Press Office

            David Betteridge / Kate Matrunola / Catherine Armstrong

                        [phone] (24 hours)


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