Press Release

JT to Introduce ''Mild Seven Impact One 100's Box''
to Build Further Stake in the Japan Market

Tokyo, April 24, 2008 --- Japan Tobacco Inc. (JT) (TSE: 2914) announced today that for first time since its privatization in 1985, the company achieved an increase in its domestic market share, during the fiscal year that ended March 31, 2008. JT holds 64.9 percent of the Japanese market share, an increase by 0.1 percent point compared to the previous year, driven mainly by the increased share of the Mild Seven brand.

Celebrating the of 30th anniversary of Mild Seven in 2007, JT took the opportunity to bolster sales of the brand through various activities, including new product launches and enhanced sales promotions. As a result, in the fiscal year that ended March 31, 2008, the company increased the brand share by 0.4 percent point to 32.0 percent over the previous year. Mild Seven has maintained the leading brand position in the Japanese market for 30 consecutive years, and is currently positioned as the third best-selling tobacco brand in the world(*1). The increased market share of Mild Seven contributed to raising JT's overall domestic market share.

The company is launching ''Mild Seven Impact One 100's Box,'' scheduled for nationwide release with the aim to strengthen its core brand's product portfolio and further increase the company's domestic market share. The new product focuses on the ''1mg-tar'' product segment, and the company is confident that it will be successful in this important, growing segment.

''Mild Seven Impact One 100's Box'' will be available throughout 23 prefectures in Japan at the end of May 2008, in 15 additional prefectures at the end of June 2008, with nationwide sales available at the end of July 2008.

(*1) Source: The Maxwell Report, ''Top World Cigarette Market Leaders 2006''

Product Profile: Mild Seven Impact One 100's Box

Price:	300 yen / 20 cigarettes
Tar / Nicotine:	1mg / 0.1mg
Sales Regions:
-End of May:	Hokkaido, Aomori, Iwate, Akita, Miyagi, Yamagata, Fukushima, Tottori, Shimane, Hiroshima, Okayama, Yamaguchi, Kagawa, Tokushima, Ehime, Kochi, Fukuoka, Saga, Nagasaki, Oita, Kumamoto, Kagoshima and Miyazaki
-End of June:	Niigata, Nagano, Toyama, Ishikawa, Fukui, Shizuoka, Aichi, Gifu, Mie, Shiga, Kyoto, Osaka, Nara, Hyogo and Wakayama
-End of July:	Ibaraki, Tochigi, Gunma, Yamanashi, Saitama, Chiba, Kanagawa, Tokyo and Okinawa

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Japan Tobacco Inc. is the world's third largest international manufacturer of tobacco products. The company manufactures internationally recognized cigarette brands including Winston, Camel, Mild Seven and Benson & Hedges. Since its privatization in 1985, JT has actively diversified its operations into pharmaceuticals and foods. The company's net sales were JPY 4.769 trillion in the fiscal year ended March 31, 2007.

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