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 30 April 2014 it purchased 219,200 of its ordinary shares of 25 pence each ("shares") on 28 July 2014. The average price was 3,555.8164p per share.

The highest price paid was 3,570p per share and the lowest price paid was 3,535p per share.

The Company intends to hold these shares in Treasury.

Following the purchase of these shares, the Company holds 162,433,317 of its shares in Treasury. The Company has 1,864,221,767 ordinary shares in issue (excluding Treasury shares).

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

G C W Cunnington

Deputy Secretary

British American Tobacco p.l.c.

28 July 2014