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 26 April 2012 it purchased 134,121 of its ordinary shares of 25 pence each ("shares") on 14 December 2012. The average price was 3,257.9771p per share.

The highest price paid was 3,272.50p per share and the lowest price paid was 3,243.50p per share.

The Company intends to hold these shares in Treasury.

Following the purchase of these shares, the Company holds 95,892,487

of its shares in Treasury. The Company has 1,930,373,061 ordinary shares in issue (excluding Treasury shares).

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

G C W Cunnington

Deputy Company Secretary

British American Tobacco p.l.c.

14 December 2012