TRANSACTION IN OWN SHARES

British American Tobacco p.l.c. (the "Company") announces that in accordance with the authority granted by shareholders at the Company's Annual General Meeting on 30 April 2008 it purchased 100,000 of its Ordinary shares of 25 pence each ("shares") on 22 July 2008.  The average price was 1778.9838p per share. 

The Company intends to hold these shares in Treasury.

Following the purchase of these shares, the Company holds 16,126,449 of its shares in Treasury. The Company has 2,008,887,886 ordinary shares in issue (excluding Treasury shares). 

Name of duly authorised officer of issuer responsible for making notification:  

G C W Cunnington

Deputy Secretary

020 7845 1925

22 July 2008

• News Channel