Manufacturing Plants to Close

British American Tobacco PLC
21 October 2005


             Imperial Tobacco Canada to close manufacturing plants

British American Tobacco's Canadian subsidiary is to close its manufacturing
facilities in Canada.

Imperial Tobacco Canada said late yesterday it has decided to close its
cigarette factory in Guelph, Ontario, in 2006 and its fine cut / roll-your-own
and leaf processing operations in Aylmer, Ontario, in 2007, as a result of the
on-going decline in sales industry-wide. Since 2000 the company's volumes have
declined 38 per cent.

Imperial Tobacco Canada will transfer production to British American Tobacco
Mexico's Monterrey plant.  Mexico is one of the parties to the North American
Free Trade Agreement (NAFTA).

As a result of the closures, approximately 650 employees will be directly
affected - comprising 555 jobs in Guelph, 80 in Aylmer, and approximately 15 in
Montreal head office, depending on the final impact of the plant closures.

This announcement will create restructuring charges of approximately £200
million during the next three years, with the largest portion to be taken before
the end of 2005.  Annual savings, once full benefits have been realised, would
be approximately £40 million.

                                   ENQUIRIES

British American Tobacco Press Office
David Betteridge / Teresa La Thangue / Emily Brand
[phone]

Investor Relations
Ralph Edmondson / Rachael Cummins
[phone] or 1519.



                      This information is provided by RNS
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