JT Applies to Amend Retail Prices of Japanese Domestic Tobacco Products
in Conjunction with an Impending Excise Increase

Tokyo, April 28, 2010- Japan Tobacco Inc. (JT) (TSE: 2914) announced today that it has
applied to the Minister of Finance for approval* to amend retail prices of Japanese domestic tobacco products in conjunction with the planned tobacco excise tax hike on October 1, 2010.

In the Japanese domestic tobacco market, sales volume continues to decrease due to
structural factors including aging and declining adult population as well as increasingly stringent smoking restrictions. In addition, cost per pack has been increasing as a reflection of recent sharp increases in raw material costs. Under these circumstances, JT had been maintaining the quality and price levels through cost reducing efforts.

However, this planned tobacco excise tax hike of ¥3.5 per cigarette is unprecedented
whereby we are projecting a sales volume decline that is unparalleled to any of the excise tax increases of the past.
In order to continue providing the quality and services which will satisfy our consumers as
we face substantial declines in sales volume, JT has applied for an amendment of its retail prices which exceed the excise tax hike, given our cost reduction efforts alone will be insufficient to absorb the impact.
Further, retail price increases will vary among different brands and products, in order to
ensure the quality of each brand and product will be maintained, consumer expectations will be met and their support will be secured.

Out of JT’s portfolio of 105 products in total, JT has applied for retail price amendment of
103 products, including 100 cigarette products, two snuff products (including refill cartridges) and one cut tobacco product which will be effective on October 1, 2010, following the Finance Minister’s approval.

We will strive to meet the higher consumer expectations through improving quality and
services.

Retail Price Amendment of Representative Cigarette Brands
Number of Products
Representative Brands
Current Prices

New Prices
33 Mild
Seven
300
→ 410
18 Pianissimo
320
→ 440
14
Seven Stars and Peace
300
→ 440
10 Caster
290
→ 410
5 Hope
150
→ 220

* In Japan, under the Tobacco Business Law, list prices for JT's and imported tobacco products must be approved by the Minister of Finance. Tobacco retailers are only permitted to sell tobacco products at list prices that have been approved by the Minister of Finance.

(Attachment)

No.
Category
Name
Current Price
New Price
Units/pack
1 Cigarettes
Mild Seven Special Lights Box
300
410
20
2 Cigarettes
Mild Seven Box
300
410
20
3 Cigarettes
Mild Seven 100’s Box
300
410
20
4 Cigarettes
Mild Seven Super Lights Box
300
410
20
5 Cigarettes
Mild Seven Super Lights 100’s Box
300
410
20
6 Cigarettes
Mild Seven Lights Box
300
410
20
7 Cigarettes
Mild Seven Lights 100’s Box
300
410
20
8 Cigarettes
Mild Seven Extra Lights Box
300
410
20
9 Cigarettes
Mild Seven Extra Lights 100’s Box
300
410
20
10 Cigarettes
Mild
Seven
300
410
20
11 Cigarettes
Mild Seven Lights
300
410
20
12 Cigarettes
Mild Seven Super Lights
300
410
20
13 Cigarettes
Mild Seven FK
300
410
20
14 Cigarettes
Mild Seven Extra Lights
300
410
20
15 Cigarettes
Mild Seven One Box
300
410
20
16 Cigarettes
Mild Seven One
300
410
20
17 Cigarettes
Mild Seven One 100’s Box
300
410
20
18 Cigarettes
Mild Seven Aqua Menthol Super Lights Box
300
410
20
19 Cigarettes
Mild Seven Aqua Menthol One Box
300
410
20
20 Cigarettes
Mild Seven Aqua Menthol One 100’s Box
300
410
20
21 Cigarettes
Mild Seven Impact One 100’s Box
300
410
20
22 Cigarettes
Mild Seven Impact One Menthol Box
300
410
20
23 Cigarettes
Mild Seven D-spec Super Lights Box
300
410
20
24 Cigarettes
Mild Seven Prime Super Lights Box
320
440
20
25 Cigarettes
Cabin
Prestige
350
470
20
26 Cigarettes
Cabin One Tasty 100’s Box
300
410
20
27 Cigarettes
Cabin
Mild
Box
300
410
20
28 Cigarettes
Cabin Super Mild Box
300
410
20
29 Cigarettes
Cabin Ultra Mild Box
300
410
20
30 Cigarettes
Cabin Roast Blend 100’s Box
300
410
20
31 Cigarettes
Seven
Stars
300
440
20
32 Cigarettes
Seven Stars Box
300
440
20

No.
Category
Name
Current Price
New Price
Units/pack
33 Cigarettes
Seven Stars Medium Box
300
440
20
34 Cigarettes
Seven Stars Lights Box
300
440
20
35 Cigarettes
Seven Stars Lights Menthol
300
440
20
36 Cigarettes
Seven Stars Lights Menthol Box
300
440
20
37 Cigarettes
Seven Stars Menthol Box
300
440
20
38 Cigarettes
Seven Stars Black Impact
300
440
20
39 Cigarettes
Seven Stars Black Impact Box
300
440
20
40 Cigarettes
Seven Stars Black Charcoal Menthol Box
300
440
20
41 Cigarettes
Seven Stars Revo Lights Menthol Box
320
440
20
42 Cigarettes
Seven Stars Revo Super Lights Box
320
440
20
43 Cigarettes
Caster
Mild
Box
300
410
20
44 Cigarettes
Caster Super Mild Box
300
410
20
45 Cigarettes
Caster
290
410
20
46 Cigarettes
Caster
Mild
290
410
20
47 Cigarettes
Caster
Super
Mild
290
410
20
48 Cigarettes
Caster
One
290
410
20
49 Cigarettes
Caster One Box
290
410
20
50 Cigarettes
Caster One 100’s Box
290
410
20
51 Cigarettes
Caster
Menthol
Box
290
410
20
52 Cigarettes
Peace
(50) 800
1100
50
53 Cigarettes
Peace(10)
150
220
10
54 Cigarettes
Peace(20)
300
440
20
55 Cigarettes
Peace
Medium
Box
300
440
20
56 Cigarettes
Peace
Lights
Box
300
440
20
57 Cigarettes
Peace Super Lights Box
300
440
20
58 Cigarettes
Peace
Infinity
350
470
20
59 Cigarettes
Hope(10)
150
220
10
60 Cigarettes
Hope
Lights
150
220
10
61 Cigarettes
Hope Super Lights
150
220
10
62 Cigarettes
Hope
Menthol
150
220
10
63 Cigarettes
Frontier Lights 100’s Box
320
440
20
64 Cigarettes
Frontier Lights Box
300
410
20
65 Cigarettes
Frontier Menthol Box
300
410
20
66 Cigarettes
Bevel
Lights
320
440
20

No.
Category
Name
Current Price
New Price
Units/pack
67 Cigarettes
Bevel Flair Menthol
320
440
20
68 Cigarettes
Pianissimo
One
320
440
20
69 Cigarettes
Pianissimo Ultra Lights
320
440
20
70 Cigarettes
Pianissimo Petil Menthol One
320
440
20
71 Cigarettes
Pianissimo
Lucia
Menthol
320
440
20
72 Cigarettes
Pianissimo
Icene
Menthol
320
440
20
73 Cigarettes
Pianissimo Icene Menthol One
320
440
20
74 Cigarettes
Pianissimo Fran Menthol One
160
220
10
75 Cigarettes
Salam
Lights
Box
320
440
20
76 Cigarettes
Salam
Alaska
Menthol
320
440
20
77 Cigarettes
Winston One 100’s Box
290
400
20
78 Cigarettes
Winston Lights Box
300
400
20
79 Cigarettes
Winston Ultra One 100’s Box
290
400
20
80 Cigarettes
Winston Extra 3 Box
290
400
20
81 Cigarettes
Winston Lights 6 Box
290
400
20
82 Cigarettes
Winston
Filters
290
400
20
83 Cigarettes
Premier One Box
320
440
20
84 Cigarettes
Camel
Mild
Box
320
440
20
85 Cigarettes
Camel Filters Box
320
440
20
86 Cigarettes
Camel Menthol Box
320
440
20
87 Cigarettes
Camel
Menthol
Mini
160
220
10
88 Cigarettes
Sometime
Lights
290
410
20
89 Cigarettes
Hi-Lite
290
410
20
90 Cigarettes
Hi-Lite
Menthol
290
410
20
91 Cigarettes
Cherry
300
410
20
92 Cigarettes
Sakura
350
470
20
93 Cigarettes
Hi-Tone
250
390
20
94 Cigarettes
Wakaba
190
250
20
95 Cigarettes
Uruma
190
250
20
96 Cigarettes
Echo
180
240
20
97 Cigarettes
Violet
180
240
20
98 Cigarettes
Shinsei
180
240
20
99 Cigarettes
Golden
Bat
140
200
20
100 Cigarettes
Sobranie Cocktail 100’s
750
750
20

No.
Category
Name
Current Price
New Price
Units/pack
101 Cigarettes
Sobranie Black Russian 100’s
750
750
20
102 Cigarettes
Steam Hot One
350
440
14
103 Snus
Zerostyle Mint
300
410
2.8
104 Snus
Zerostyle Mint Refill Cartridges
400
600
5.7
105 Cut Tobacco Koiki
330
360
10
* One gram of snuff brand or cut tobacco is translated into one stick.