Transaction in Own Shares

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 28 April 2010 it purchased 175,000 of its Ordinary shares of 25 pence each ("shares") on 1 March 2011. The average price was 2473.94p per share.

The Company intends to hold these shares in Treasury.

Following the purchase of these shares, the Company holds 29,135,054of its shares in Treasury. The Company has 1,996,766,561 ordinary shares in issue (excluding Treasury shares).

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

Ann Griffiths

Assistant Secretary

British American Tobacco p.l.c.

1 March 2011