15 September 2006

Trading update

Imperial Tobacco Group's overall performance for the financial year to 30 September 2006 remains in line with management’s expectations.

We have performed strongly in the UK, driven by improved cigarette market share and pricing benefits. This performance was further enhanced by good cigarette market volumes over the summer.

In Germany, whilst we continue to grow cigarette share, our performance has been affected by overall market decline and ongoing downtrading.

In our Rest of Western Europe region, we have continued to grow our cigarette market shares in a number of countries despite difficult trading conditions and with declining travel retail volumes.

In our Rest of the World region, our results have benefited from further volume and margin improvements in many markets across the region.

On 5 September 2006, we announced the completion of the acquisition of the worldwide Davidoff cigarette trademark for €540 million (Ł368 million). As well as significantly enhancing our brand equity, this acquisition provides greater flexibility to develop the brand and accelerate its international growth.

In the financial year to date, we have acquired 31.5m shares, representing 4.3% of those in issue, for Ł536 million, excluding transaction costs, at an average price of Ł16.99.

Full year results for the year ended 30 September 2006, will be announced on Tuesday, 31 October 2006.

Imperial Tobacco Group PLC completes acquisition of worldwide Davidoff cigarette trademark

Further to the announcement on 23 August 2006, Imperial Tobacco Group PLC can confirm that it has received clearance from the German Federal Cartel Office and has today completed its acquisition of the worldwide Davidoff cigarette trademark from Tchibo Holding AG.

Imperial Tobacco Group PLC acquires worldwide Davidoff cigarette trademark


On August 23, 2006 Imperial Tobacco Group PLC announced that, subject to clearance from the German Federal Cartel Office, it has acquired the worldwide Davidoff cigarette trademark from Tchibo Holding AG for a cash consideration of €540 million (Ł368 million). Imperial Tobacco Group has been the long term licensee of the worldwide Davidoff cigarette trademark since the acquisition of Reemtsma in 2002. To view the full press release, please visit http://www.imperial-tobacco.com/

Imperial Tobacco Hungary Ltd. is to change its distribution system in early 2007

Imperial Tobacco Hungary, the third largest tobacco company in Hungary, announced on August 1, 2006 that the distribution system for its products will change as of February 1, 2007. The changes will take the form of a reduction in the number of distributors from the current three to just one. The Distribution Company selected to take over the national operation is Vimpex Tobacco Distribution Ltd.