Cigar Weekly

RNS Number : 2724A
British American Tobacco PLC

31 July 2008
INTERIM REPORT TO 30 JUNE 2008
SUMMARY

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Page 2
Chairman's comments cont*
We have recently published our first Sustainability Report, building on our work in social reporting over the past few years. The key differences between a Sustainability Report and a Social Report are that the former is more focused on our material issues, rather than attempting to cover everything of potential concern to stakeholders. It is also more forward looking, while continuing to report on the past year's performance. In addition, we discuss what sustainability means to British American Tobacco and there are more meaningful targets and performance measures to help stakeholders judge how we are doing. I encourage any shareholders who have not already done so to read it on www.bat.com
These very good interim results demonstrate the strength of British American Tobacco's business, as a result of the excellent growth from our Global Drive Brands, our leading market positions and our broad geographic spread. While not immune from the consequences of an economic slowdown, we can certainly look to the future with more confidence than most.
Jan du Plessis
30 July 2008
Page 3
BUSINESS REVIEW
The reported Group revenue was 15 per cent higher at £5,457 million as a result of favourable exchange rate movements, improved pricing and a better product mix. At constant rates of exchange, revenue would have increased by 6 per cent.
The reported Group profit from operations was 16 per cent higher at £1,724 million, with a similar increase if exceptional items are excluded, as explained on page 20 and despite increased marketing investment. All regions except Latin America contributed to this strong result. Profit from operations, excluding exceptional items, would have been 7 per cent higher at constant rates of exchange.
Group volumes from subsidiaries were 334 billion, up 1 per cent. Good volume growth in Russia, Romania, Pakistan, Bangladesh, Uzbekistan, Turkey, Saudi Arabia and Nigeria was partly offset by declines in the Czech Republic, Italy, Germany, South Africa, Vietnam, Mexico, Venezuela and Brazil.
The four Global Drive Brands continued their strong performance and achieved overall volume growth of 20 per cent, improving the Group ratio of Global Drive Brands as a percentage of total volumes to almost 26 per cent and leading to improved market shares in many markets. Around a third of the growth was contributed by brand migrations.
Kent grew by 26 per cent with excellent volume growth in Russia, Romania, Ukraine, Kazakhstan and Chile and from the roll-out in new markets such as Egypt, Kyrgyzstan, Serbia and Latvia. Kent also benefited from a brand migration in South Africa. Volumes were lower in Japan, although market share increased. Dunhill rose by 7 per cent, with growth in South Korea, Taiwan, Australia, South Africa and Saudi Arabia, although volumes were slightly lower in Malaysia despite an increase in market share.
Lucky Strike volumes were up 10 per cent with significant growth in Spain, Italy, France and Argentina, which were slightly offset by declines in Japan and Germany as a result of lower industry volumes. The roll-out of Pall Mall to more markets such as Pakistan, Australia, Malawi and Belarus continued. The good growth in its existing markets of Turkey, Romania, Uzbekistan and Malaysia, partly offset by lower volumes in Poland and Italy, resulted in an increase in volumes of 29 per cent.
In Europe, profit at £530 million was up £126 million, mainly as a result of excellent performances in Russia and Romania, with growth in Germany, Spain, France, Switzerland, Ukraine, Uzbekistan and the Netherlands. These results benefited from the more favourable pricing environment and exchange rates. At constant rates of exchange, profit would have increased by £74 million or 18 per cent. Regional volumes were up 2 per cent at 117 billion, with increases in Russia, Romania, Uzbekistan, Ukraine and Spain, partly offset by decreases in Italy, Germany, Czech Republic and Poland.
In Italy, Dunhill and Lucky Strike performed very well but overall volumes were adversely impacted by the decline of local brands and the disposal of some small brands in 2007. Profit was higher as a result of lower overheads and a favourable exchange rate, partly offset by reduced volumes.
Volumes in Germany were down in line with industry volumes although Pall Mall was stable and increased market share. However, profit rose as a result of exchange movements, as well as improved margins from a combination of price increases and cost reductions. While industry volumes in France were lower after significant price rises in August 2007, market share rose as Lucky Strike and Pall Mall continued to gain share. Profit increased as a result of the higher prices and lower costs. In Switzerland, volumes were up, resulting in higher market shares for Parisienne and Pall Mall. Profit grew strongly with the higher volumes and improved margins, following price increases and cost saving initiatives.

Page 4
Business review cont...
In the Netherlands, profits were higher as a result of improved margins and increased volumes, driven by trade buying ahead of the July 2008 excise increase. Industry volumes in Belgium were severely impacted by last year's excise-driven price rise, resulting in down-trading and lower margins which affected profit despite overhead savings. In Spain, excellent profit and volume performances were achieved following the strong growth of Lucky Strike, coupled with a price increase at the beginning of the year.
In Russia, an outstanding performance by Kent, supported by Pall Mall, resulted in higher volumes and market share. Profit increased significantly, benefiting from volume increases, higher prices and an improved product mix, as well as favourable exchange rates, partially offset by higher marketing investment.
In Romania, both volume and market share continued to grow, driven by Kent, Dunhill and Pall Mall which all recorded impressive growth. Higher margins resulting from price rises and the improved product mix, together with the increased volumes, led to significantly higher profit. Both profit and volumes in the Czech Republic were lower due to the effect of the trade buying at the end of 2007 ahead of an excise increase.
Total industry shipment volumes in Poland declined as a result of a significant excise driven price increase during 2007. Although overall volumes declined, Viceroy grew strongly while higher prices improved profitability. In Hungary, volumes were slightly down although Dunhill and Pall Mall performed well despite low price competition with the resulting down trading to low price products. This, coupled with higher marketing investment behind the brands, led to lower profit. In Ukraine, Kazakhstan and Uzbekistan, volumes increased due to the impressive performance of Kent. The improved volumes and product mix, higher prices and better cost control contributed to good profit performances in all three markets.
In Asia-Pacific, profit rose by £68 million to £403 million, mainly attributable to strong performances in Pakistan, Vietnam, Bangladesh, Australia and Malaysia and also benefiting from favourable exchange rates. At constant rates of exchange, profit would have increased by £43 million or 13 per cent. Volumes at 77 billion were 3 per cent higher as good increases in Pakistan and Bangladesh were partially offset by lower volumes in Vietnam and Malaysia.
Profit in Australia was higher as a result of higher margins and exchange rate movements, partially offset by the impact of increased competitor discounting activities. Volumes were in line with last year. In New Zealand, volumes were similar to last year and profit improved, benefiting from price rises, cost efficiencies and exchange movements.
In Malaysia, market share grew with good performances from Dunhill and Pall Mall. Profit rose due to price increases, a better product mix and continued productivity savings, despite lower volumes due to the overall industry decline.
In Vietnam, strong profit growth was achieved through higher prices, an improved product mix and cost savings. Volumes were down due to lower industry volumes, although market share increased strongly with outstanding performances from Craven 'A' and Dunhill.
Volumes in South Korea were in line with last year but market share was up as a result of the good performance from Dunhill. Profit was also similar to last year as the benefits of the product mix were offset by higher marketing investment. In Taiwan, volumes were lower after the price repositioning of Pall Mall but Dunhill increased volume and market share, resulting in higher profit due to the improved product mix.

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Business review cont...
Pakistan continued its strong growth as both volumes and market share were higher, with Gold Flake being the major contributor. The strong volume growth, coupled with an improved product mix and higher prices, resulted in good profit increases. In Bangladesh, strong growth in volumes, price rises and a better product mix resulted in an impressive increase in profit. Profit in Sri Lanka was well ahead, benefiting from excise driven price rises, a better product mix and continued productivity improvements, with volumes only marginally lower due to a strong performance by Pall Mall.
Profit in Latin America decreased by £5 million to £381 million. At constant rates of exchange, profit would have decreased by £48 million or 12 per cent. Volumes were down 4 per cent at 71 billion with declines in Brazil, Mexico and Venezuela.
In Brazil, market share grew and reported profit increased, benefiting from a stronger local currency. However, at constant rates of exchange, profit was down as margins in the comparative period were significantly higher due to price rises in anticipation of excise increases in July 2007. A further price rise was not sufficient to offset the impact of slightly lower volumes, increased excise and higher marketing investment.
Volumes in Mexico were lower, resulting in a reduced market share. Higher prices in February which did not fully recover the earlier excise increase, along with higher marketing investment, led to a reduced profit. In Argentina, profit rose on higher margins and an improved product mix, due to the good performance of Lucky Strike, while volumes remained in line with last year.
In Chile, volumes were slightly up with the strong growth of Kent and Lucky Strike and profit improved due to price increases, partially offset by higher costs. Market share in Venezuela grew but volumes declined following high excise driven price increases in the last quarter of 2007, resulting in a reduced profit, despite lower costs. Volumes in the Central America and Caribbean area were down as a result of lower industry volumes and the resurgence in illicit trade. However, profit increased as margins improved.
Profit in the Africa and Middle East region grew by £10 million to £259 million. At constant rates of exchange, profit would have increased by £19 million or 8 per cent, mainly driven by South Africa and the Gulf Cooperation Council (GCC). Volumes were 5 per cent higher at 49 billion, following increases in Nigeria, Egypt and GCC, which were partly offset by declines in South Africa.
In South Africa, profit growth was achieved as a result of improved product mix and pricing but this was partially offset by the impact of the weaker exchange rate. Volumes and market share were lower following the termination of the Chesterfield trademark license agreement at the end of 2007. Dunhill and Peter Stuyvesant continued to deliver strong share performances, while Kent performed well after the migration from Benson & Hedges at the end of 2007.
Profit in Nigeria increased as a result of higher volumes, improved product mix and price rises while productivity and supply chain initiatives reduced costs.
In the Middle East, profit and volumes were negatively impacted by distribution difficulties. However, volumes were significantly higher in Saudi Arabia where Dunhill grew its market share impressively. Strong sales across the Caucasus led to volume, market share and profit increases with Kent growing well.
In Turkey, where the recent acquisition of the cigarette assets of Tekel was completed on 24 June 2008 (see page 21) and had no material impact on the half year results, volumes grew strongly with good performances by Kent and Pall Mall increasing market share. Results improved as a result of the volume growth and the stronger currency, partly offset by the higher overheads and marketing investment.

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Business review cont...
Profit from the America-Pacific region increased by £43 million to £235 million. This was principally due to the improved contribution from Canada and stronger currencies. At constant rates of exchange, profit would have increased by £21 million or 11 per cent. Volumes at 20 billion were slightly higher than last year.
Profit in Canada rose to £137 million. This was the result of higher pricing, lower distribution costs and a stronger exchange rate, partly offset by lower volumes. At constant rates of exchange, profit was £122 million, up 14 per cent. Overall market share at 52 per cent was down 1.4 per cent as the decline in the Premium segment was not offset by the growth in the value-for-money and the budget segments.
In Japan, volumes grew despite the continued decline in total industry volumes. Market share gains were driven by the strong performance of Kool while market shares of Kent and Lucky Strike were stable. Profit was up as a result of higher pricing and volumes, improved mix and favourable exchange rates, partially offset by increased marketing expenditure.
Unallocated costs, which are net corporate costs not directly attributable to individual segments, were £51 million compared to £45 million in 2007, mainly as a result of the timing of expenses in 2007.
The above regional profits were achieved before accounting for restructuring costs, integration costs and gains on disposal of businesses and brands, as explained on page 20.
Results of Associates
Associates principally comprised Reynolds American, ITC and Skandinavisk Tobakskompagni (ST).
The Group's share of the post-tax results of associates increased by £71 million, or 32 per cent, to £293 million. Excluding the exceptional items in 2008, explained on page 23, the Group's share of the post-tax results of associates increased by 6 per cent to £235 million, with a growth of 4 per cent at constant rates of exchange.
The contribution from Reynolds American was up 30 per cent at £187 million. Excluding the benefit from the termination of a joint venture agreement this year, it was 1 per cent lower at £142 million, with a similar decrease at constant rates of exchange. Although the second quarter's performance was better than the comparable quarter of last year, the profit for the six months was impacted by lower volumes and higher settlement expenses, partly offset by higher pricing and productivity at R. J. Reynolds and continued volume and pricing gains at Conwood.
The Group's associate in India, ITC, continued its strong profit growth and its contribution to the Group rose by £10 million to £64 million. At constant rates of exchange, the contribution would have been 13 per cent higher than last year.
The contribution from the Group's associate in Denmark, ST, rose by £17 million, or 79 per cent, to £38 million. Excluding the additional quarter's income reported in 2008, as explained on page 23, the contribution was 17 per cent higher at £25 million. At constant rates of exchange, this increase would have been 2 per cent. As the acquisition was completed on 2 July 2008, it did not have any further impact on the results for the six months to 30 June 2008.

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Business review cont...
Changes in the Group and net debt
On 22 February 2008, the Group announced that it had won the public tender to acquire the cigarette assets of Tekel, the Turkish state-owned tobacco company, with a bid of $1US,720 million. Completion of this transaction was subject to regulatory approval which was subsequently received and on 24 June 2008 the Group completed the transaction (see page 21).
On 27 February 2008, the Group agreed to acquire 100 per cent of Skandinavisk Tobakskompagni's (ST) cigarette and snus business in exchange for its 32.35 per cent holding in ST and payment of DKK11,598 million in cash, subject to finalisation of completion accounts. Completion of this transaction was subject to regulatory approval which was subsequently received and on 2 July 2008 the Group completed the transaction (see page 28).
Neither of the above transactions had any material impact on the profit from operations for the six months to 30 June 2008.
The transactions were financed from new facilities and bond issues, as described on page 26.
Cigarette volumes
The segmental analysis of the volumes of subsidiaries is as follows:

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INDEPENDENT REVIEW REPORT TO BRITISH AMERICAN TOBACCO p.l.c.
Introduction
We have been engaged by the Company to review the condensed set of financial statements in the Interim Report for the six months ended 30 June 2008, which comprises the Group income statement, the Group statement of changes in total equity, the Group balance sheet, the Group cash flow statement, the accounting policies and basis of preparation and the related notes. We have read the other information contained in the Interim Report and considered whether it contains any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements.
Directors' responsibilities
The Interim Report is the responsibility of, and has been approved by, the Directors. The Directors are responsible for preparing the Interim Report in accordance with the Disclosure and Transparency Rules of the United Kingdom's Financial Services Authority.
As disclosed on page 16, the annual financial statements of the Group are prepared in accordance with IFRSs as adopted by the European Union. The condensed set of financial statements in the Interim Report has been prepared in accordance with International Accounting Standard 34, 'Interim Financial Reporting', as adopted by the European Union.
Our responsibility
Our responsibility is to express to the Company a conclusion on the condensed set of financial statements in the Interim Report based on our review. This report, including the conclusion, has been prepared for and only for the Company for the purpose of the Disclosure and Transparency Rules of the Financial Services Authority and for no other purpose. We do not, in producing this report, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.
Scope of review
We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410, 'Review of Interim Financial Information Performed by the Independent Auditor of the Entity' issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the Interim Report for the six months ended 30 June 2008 is not prepared, in all material respects, in accordance with International Accounting Standard 34 as adopted by the European Union and the Disclosure and Transparency Rules of the United Kingdom's Financial Services Authority.
PricewaterhouseCoopers LLP
Chartered Accountants
London
30 July 2008

Page 10
GROUP INCOME STATEMENT - unaudited

Page 12
GROUP BALANCE SHEET - unaudited

Page 15
ACCOUNTING POLICIES AND BASIS OF PREPARATION
The financial information comprises the unaudited interim results for the six months to 30 June 2008 and 30 June 2007, together with the audited results for the year ended 31 December 2007. This condensed set of financial statements has been prepared in accordance with IAS34 'Interim Financial Reporting' as adopted by the European Union and the Disclosure and Transparency Rules issued by the Financial Services Authority. They are unaudited but have been reviewed by the auditors and their review report is set out on page 10.
The condensed set of financial statements does not constitute statutory accounts within the meaning of Section 240 of the UK Companies Act 1985 and should be read in conjunction with the annual consolidated financial statements for the year ended 31 December 2007, which were prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union (EU) and implemented in the UK. The annual consolidated financial statements for 2007 represent the statutory accounts for that year and have been filed with the Registrar of Companies. The auditors' report on those statements was unqualified and did not contain any statement concerning accounting records or failure to obtain necessary information and explanations.
This condensed set of financial statements has been prepared under the historical cost convention, except in respect of certain financial instruments, and on a basis consistent with the IFRS accounting policies as set out in the Annual Report and Accounts for the year ended 31 December 2007, as updated for the business combination described on page 21. The update extends the Group's accounting policy on 'intangible assets other than goodwill' to cover trademarks acquired by the Group's subsidiary undertakings. As with other intangible assets shown on the Group balance sheet, acquired trademarks are carried at cost less accumulated amortisation and impairment. Trademarks with indefinite lives are not amortised but are reviewed annually for impairment. Other trademarks are amortised on a straight-line basis over their useful lives, which do not exceed twenty years. Consistent with the existing policy for associated companies, impairments are recognised in the income statement but increases in values are not recognised.
As indicated in the 2007 Annual Report and Accounts, IFRIC14 (IAS19 - The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction) will be effective from 1 January 2008, once it has been endorsed by the EU. The interpretation clarifies the conditions under which a surplus in a post-retirement benefit scheme can be recognised in the financial statements, as well as setting out the accounting implications where minimum funding requirements exist. Currently, it is not expected that this change would materially alter the Group's reported equity and profit at 1 January 2008 or 31 December 2008.
The preparation of the condensed set of financial statements requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the date of the condensed set of financial statements. Such estimates and assumptions are based on historical experience and various other factors that are believed to be reasonable in the circumstances and constitute management's best judgement at the date of the financial statements. In the future, actual experience may deviate from these estimates and assumptions, which could affect the condensed set of financial statements as the original estimates and assumptions are modified, as appropriate, in the period in which the circumstances change.

Page 16
SEGMENTAL ANALYSES OF REVENUE AND PROFIT - unaudited
The analyses for the six months are as follows:

Page 18
NON-GAAP MEASURES
In the reporting of financial information, the Group uses certain measures that are not required under IFRS, the generally accepted accounting principles (GAAP) under which the Group reports. This is done because the Group believes that these additional measures, which are used internally by the Group, are useful to users of the financial statements in helping them understand the underlying business performance.
The principal non-GAAP measure which the Group uses is adjusted diluted earnings per share, which is reconciled to diluted earnings per share. The exceptional items that mainly drive the adjustments made, are separately disclosed as memorandum information on the face of the Income Statement and the segmental analysis.
The Group also prepares an alternative cash flow, which also includes a measure of 'free cash flow', to illustrate the cash flows before transactions relating to borrowings, and also provides gross turnover as an additional disclosure to indicate the impact of duty, excise and other taxes.
FOREIGN CURRENCIES
The results of overseas subsidiaries and associates have been translated to sterling as follows:
The income statement has been translated at the average rates for the respective periods. The total equity has been translated at the relevant period end rates. For high inflation countries, the local currency results are adjusted for the impact of inflation prior to translation to sterling at closing exchange rates.
The principal exchange rates used were as follows:
Average Closing

Page 20
TEKEL
On 22 February 2008, the Group announced that it had won the public tender to acquire the cigarette assets of Tekel, the Turkish state-owned tobacco company, with a bid of $1US,720 million. The acquisition only relates to the cigarette assets of Tekel, which principally comprise brands, factories and tobacco leaf stocks. The acquisition did not include employees and the Group had directly employed the required workforce by the effective date of the transaction. Completion of this transaction was subject to regulatory approval which was subsequently received and on 24 June 2008 the Group completed the transaction. Work is continuing in respect of the fair value exercise, and therefore the provisional values shown in the table below will be updated in due course as permitted under IFRS 3.

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ASSOCIATES
The share of post-tax results of associates was £293 million (2007: £222 million) after taxation of £151 million (2007: £120 million). For the year to 31 December 2007, the share of post-tax results was £442 million after tax of £246 million. The share is after exceptional charges and credits.
On 21 February 2008, Reynolds American announced that it would receive a payment from Gallaher Limited resulting from the termination of a joint venture agreement. While the payment will be received over a number of years, in the six months to 30 June 2008 Reynolds American recognised a pre-tax gain of $328US million. The Group's share of this gain included in the results for the six months, amounts to £45 million and is treated as an exceptional item (net of tax).
In the year ended 31 December 2007, Reynolds American modified the previously anticipated level of support between certain brands and the projected net sales of certain brands, resulting in a brand impairment charge of which the Group's share amounted to £7 million (net of tax).
The year end of the Group's associate company Skandinavisk Tobakskompagni (ST) is 30 June, and, for practical reasons, the Group had previously equity accounted for its interest based on the information available from ST which was 3 months in arrears to that of the Group. As explained on page 28 under 'Post balance sheet event', the Group acquired 100 per cent of ST's cigarette and snus business on 2 July 2008. Consequently, in order to account for the Group's share of the net assets of ST at the date of the acquisition, the estimated results of ST for the period up to 30 June 2008 have been included in these results, resulting in one additional quarter's income in 2008. This contributed an additional £13 million to the share of post-tax results of associates and joint ventures, but this has been treated as an exceptional item and excluded from the calculation of the adjusted diluted earnings per share.
The carrying value of the Group's interest in ST has been classified as 'Held for sale' at 30 June 2008.
TAXATION
The tax rate in the income statement of 26.9 per cent for the six months to 30 June 2008 (30 June 2007: 26.4 per cent) is affected by the inclusion of the share of associates' post-tax profit in the Group's pre-tax results. The underlying rate for subsidiaries reflected in the adjusted earnings per share below was 30.1 per cent and 30.8 per cent in 2007. The decrease arises primarily from a change in the mix of profits and a reduction in national tax rates in several countries. The charge relates to taxes payable overseas.
The tax charge for 2008 includes a one-off net deferred tax charge of £22 million as a result of the acquisition of the cigarette assets of Tekel. This has been excluded from the adjusted diluted earnings per share and consequently from the underlying tax rate above.
EARNINGS PER SHARE
Basic earnings per share are based on the profit for the period attributable to ordinary shareholders and the average number of ordinary shares in issue during the period (excluding treasury shares).
For the calculation of the diluted earnings per share the average number of shares reflects the potential dilutive effect of employee share schemes.
The earnings per share are based on:

Page 26
Cash flow cont*
d) Net cash and cash equivalents in the Group cash flow statement comprise:

Page 28
Post balance sheet event cont*
The transaction will be accounted for as a disposal of our 32.35 per cent interest in the non-cigarette and snus businesses of ST and an acquisition of 67.65 per cent of the cigarette and snus business' net assets of ST.
Until the date of the transaction the results of ST were equity accounted for as an associated undertaking and following the transaction, the results of the acquired businesses will be consolidated. At 30 June 2008, the carrying value of the existing business in ST has been shown as 'assets classified as held for sale'.
The estimated book value of the net assets of the cigarette and snus business is approximately £200 million, comprising assets of £630 million and liabilities of £430 million.
FINANCIAL CALENDAR 2008
6 August Ex-dividend date for 2008 interim dividend
8 August Record date 2008 interim dividend
17 September Payment date 2008 interim dividend
30 October Third quarter results announced
DISCLAIMERS
This Report does not constitute an invitation to underwrite, subscribe for, or otherwise acquire or dispose of any British American Tobacco p.l.c shares or other securities.

This Report contains certain forward looking statements which are subject to risk factors associated with, among other things, the economic and business circumstances occurring from time to time in the countries and markets in which the Group operates. It is believed that the expectations reflected in this announcement are reasonable but they may be affected by a wide range of variables which could cause actual results to differ materially from those currently anticipated.
Neither the Company nor the Directors accept any liability to any person in relation to this Report except to the extent that such liability could arise under English law. Accordingly, any liability to a person who has demonstrated reliance on any untrue or misleading statement or omission shall be determined in accordance with section 90A of the Financial Services and Markets Act 2000.
Past performance is no guide to future performance and persons needing advice should consult an independent financial advisor.
Copies of this Report may be obtained during normal business hours from the Company's Registered Office at Globe House, 4 Temple Place, London WC2R 2PG and from our website www.bat.com
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END