JT to Introduce ''Seven Stars Black Impact''

to Build Further Stake in the Japan Market

Tokyo, January 13, 2009 --- Japan Tobacco Inc. (JT) (TSE: 2914) today announced the nationwide launch of ''Seven Stars Black Impact'' in Japan in early February 2009. This year marks the 40th anniversary of the Seven Stars brand, and in commemoration of this occasion, JT aims to bolster sales of Seven Stars and build brand equity through various activities, including enhanced sales promotions and new product launches.

Since the second half of the fiscal year ended March 2007, JT has been focusing its resources on three brands: Mild Seven, Pianissimo and Seven Stars; and has been committed to the enhancement of the brands' equity and effectively introducing new products into the Japan market. Mild Seven represents JT's core brand, dominating all other brands in the market. JT introduced a variety of new Mild Seven products into the market in 2007, when the brand marked its 30th anniversary, and the company has placed focus on strengthening the Pianissimo brand after identifying its potential in the growing menthol segment. The company now provides a large selection of products offered through the three brands in order to meet the wide range of needs by customers. Following the active sales promotion and introduction of new products from these three brands, JT's domestic market share increased to 64.9 percent in the fiscal year ended March 2008 - up 0.1 percent compared to the previous year. This contributed to JT's first upturn in market share since the company's privatization in 1985.

Seven Stars represents a leading brand for JT, and the company's ''Seven Stars'' performed as the best-selling product in Japan for a six-month period in 2008(*1). The Seven Stars brand was first introduced in Tokyo and Osaka in 1969, with sales expanding nationwide in 1971. Since its launch, JT has continued its commitment to the brand's original packaging design, product taste and flavor. The Seven Stars brand continues to grow, introducing new menthol products and box products throughout the Japan market.

''Seven Stars Black Impact'' is being introduced as the newest member of the Seven Stars family, which aims at achieving a more satisfying taste, while providing more impact to consumers with richer and fuller flavor. The new product is the standard 85 millimeters in length and contains seven milligrams of tar (see below for additional details). JT believes that the addition of the new product will play a major role in increasing the company's domestic market share in Japan, and the company will continue to consider all opportunities for future growth, including the development of new products to meet the wide range of customer needs.

(*1) According to a survey conducted by the Tobacco Institute of Japan, Seven Stars was the best-selling product from April to September 2008.

About Seven Stars Black Impact