Tokyo, March 17, 2009 --- Japan Tobacco Inc. (JT) (TSE: 2914) in alignment with its ongoing commitment to environmental conservation, today announced the company's plans for its tenth afforestation project since 2005 (worldwide). The five-year project marks JT's eighth afforestation initiative in Japan, and the company's first in collaboration with the regional government and forest owners in the Tohoku region. The project will focus on conservation efforts involving 25 hectares of forest in Tsuruoka City, located in the western region of Yamagata Prefecture.

The project site is the forest surrounding the Shonai Dune, which is located in Tsuruoka City and faces the Sea of Japan. The area is owned by the Yamagata Prefectural government, the city of Tsuruoka and the regional forest association. Shonai Dune is well-known for its agricultural production of melon and rice. For over three hundred years, residents in the area have addressed the issue of erosion control, in order to protect crops, through the preservation of the surrounding forest. Recently the forest, primarily consisting of Japanese Black Pine, has been in danger of extinction caused by various factors including adventive plants, disease and pests. In cooperation with local communities, JT will actively promote the enhancement of conservation efforts in area, to ensure sustainable ecosystems and forest functions for local residents.

JT aims to continue providing enjoyment and relaxation through products from its three business segments, including tobacco, pharmaceutical, and foods. In doing so, the company recognizes that a number of raw natural resources are consumed in the production process, including tobacco leaves, paper (pulp), vegetables and tea leaves. JT is grateful for the natural resources that the industry has been provided, and as a socially responsible corporate citizen, is fully committed to the continued creation and conservation of natural resources in order to ensure a better eco-environment for future generations. The company's afforestation efforts are evidence of this strong commitment.

Appendix1: JT%27s initiatives for environmental conservation

Appendix2: Ongoing projects in Japan

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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 6.409 trillion in the fiscal year ended March 31, 2008.