RNS Number:1603Q
Imperial Tobacco Group PLC
25 September 2003

Imperial Tobacco Group PLC

Trading Update - 25 September 2003


Speaking today at a presentation to analysts on regulatory and litigation issues
in the tobacco industry, Gareth Davis, Chief Executive, will confirm that
overall trading for the current year remains in line with the Group's
expectations.


The UK businesses have again performed well, consolidating the Group's
leadership position and moving its cigarette market share up to 44.1% in August.


In Germany total market share was maintained, driven by a strong performance in
other tobacco products. The Group's cigarette market share stood at 19.6% in the
year to August.  As anticipated, margins improved during the year as synergy
benefits were increasingly delivered. The Group awaits the Finance Committee of
the German Bundestag's recommendations, due on 30 September, on the amount and
timing of the proposed tax increases, although a final decision is not now
expected until October.


Trading in the Rest of Western Europe has been buoyant, with good in-market
performances supplemented by the effects of the increase in EU traveller's
allowances.


The Rest of the World contains a number of disparate and, in some cases,
volatile markets.  Over the year the Group has seen a strong performance in
several markets, offset by more challenging conditions in others.  In Central
and Eastern Europe, the positive volume growth trends from the first half of the
year have continued.  In addition, Australia and New Zealand continue to deliver
strong results and the outlook in the Ivory Coast has improved.  Balanced
against these good results has been the impact of SARS in Asia Pacific and the
war in the Middle East.


The net impact of exchange rate movements on Group pre-tax profit for the year
is not expected to be material, with the strength of the euro being offset by
the weakness of the US and Taiwanese dollars.


Mr Davis said: "Overall, the Group has continued to perform well and we are well
placed to deliver another year of growth.  The successful integration of
Reemtsma is delivering the forecast financial benefits and the strategic
position of the enlarged Group has been significantly enhanced."


Full year results for the period ending 30 September 2003, will be announced on
Monday 17 November 2003.




Enquiries


Alex Parsons                           office   0117 933 7241
Group Media Relations Manager

Nicola Tate                            office   0117 933 7012
Investor Relations Manager



www.imperial-tobacco.com




                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

TSTGLGDCLDDGGXU