Notice Concerning Non-Consolidated Forecast for FY2015

FOR IMMEDIATE RELEASE

Tokyo, August 3, 2015

Notice Concerning Non-Consolidated Forecast for FY2015

Japan Tobacco Inc. (JT) (TSE: 2914) has announced its full year non-consolidated forecast for the fiscal year ending December 31, 2015 set out below.

1. Forecast for the Fiscal Year Ending December 31, 2015 (from January 1, 2015 to December, 31 2015)

Units: Millions of Yen except where otherwise stated

Net sales

Ordinary income

Net income

Earnings per share

Unit: Yen

Prior fiscal year (A) (April-December 2014)

572,323

159,746

108,656

59.78

Forecast (B)

(January-December 2015)

727,000

361,000

336,000

187.16

Change (B - A)

154,677

201,254

227,344

Change (%)

-

-

-

Note: Figures in the table of non-consolidated financial results above are prepared in accordance with

Japanese GAAP.

Note: The Company has changed its fiscal year end from March 31 to December 31 in the previous fiscal year. Consequently, year-on-year changes (%) are not presented.

2. Reason for this announcement

The difference in comparison of FY2015 forecast with FY2014 actual results exceeds the filing requirement thresholds set by the Tokyo Stock Exchange. The factors behind the difference are:

• FY2014 was 9 months long due to the change in accounting period;

• JT has transferred all shares it held in the subsidiaries conducting vending machine operation business and two of its beverage brands to Suntory Beverage

& Food Limited; and,

• JT has received a dividend from its consolidated subsidiary, JT International

Group Holding B.V.

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Japan Tobacco Inc. is a leading international tobacco company. Its products are sold in over 120 countries and its internationally recognized brands include Winston, Camel, Mevius and LD. With diversified operations, JT is also actively present in pharmaceuticals and processed foods. The company's revenue was ¥2.154 trillion (US$17,867 million(*)) in the fiscal year ended December 31, 2014(**).
*Translated at the rate of ¥120.55 per $1, as of December 31, 2014
**Due to a change in the accounting period from March 31 to December 31, the fiscal year 2014 covered nine months for Japanese domestic businesses and 12 months for the consolidated subsidiaries which operate the Group's international tobacco business. On a comparable full calendar year basis, revenue was ¥2.433 trillion (US$20,186 million(*)).

Contact: Ryohei Sugata, General Manager Media and Investor Relations Division Japan Tobacco Inc.

Tokyo: +81-3-5572-4292

E-mail: jt.media.relations@jt.com

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