Response to Recent Speculation

For immediate release

11 July 2014

Imperial Tobacco Group PLC

Response to Recent Speculation

Imperial Tobacco Group PLC ("Imperial" or the "Company") notes the recent speculationrelating to a potential transactioninvolving Reynolds American Inc. ("Reynolds") and Lorillard, Inc. ("Lorillard"). Imperial confirms it is in discussions with Reynolds and Lorillard to evaluate a possible acquisition of certain assets and brands owned by Reynolds and Lorillard.

The USA remains one of the world's largest and most profitable cigarette markets. Imperial would proceed with an acquisition only if its terms met strict transaction criteria.

There can be no certainty as to the terms upon which any acquisition or related debt financing may be agreed or whether any transaction will take place. A further announcement will be made if and when appropriate.

Enquiries:

Imperial Tobacco Group PLC

Tom Corran, Director of Investor Communications +44 (0) 7527 421951

Matt Sharff, Senior Investor Relations Manager +44(0)7964 110921

Alex Parsons, Director of Group Communications +44 (0) 7967 467241

Simon Evans, Group Press Officer +44(0)7967 467684