Greg
B-A-T (U-Mand Export) Limited
7-:-:zarT-: '-Z noon 3.2.34.
B.A.T: --'j'.7'JRE U.K. SAZ's ANZ OPE?AT'.ONS
B.A.-- %"J.K. ar.-d 7:epor-:) -:@a-! :3 7-@,ruary 1984)
announced its intention 7z z:@-ce iza t-;rect sales and
ooera7-----.rs :..-. the --',Flowing a raoid
decline @-n -.,.ie size of the U.K. iarket over
the past five years. 'j.e !e-=-:3L:n '41-: lead -.0
substantial Joo losses. As a -4Lrtv: res,.;.@t, 255 Jobs
wil-I be redundant in the sales. and 'Moking
head office administration de--ar-:7.enzs of the U.K.
operation. Furthermore scale z:.2: ::6-s -41-:1 also be
lost a-'.-,.os-. i.=ed--atel7 a-. 4--.s 'i.-,-ersco- plant and
all
some 125 at the Southamp-.on p:a:,.-: 198-1. It is
the company's hope that as many --f the redundancies
as possible will be effected
Disc-ussions are taking place w4-7:6- the
appr-@pria--* unicns.
Qn
(71%
--4
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BAT Industries document for Province of British Columbia 23 April 1999

Pr-3cosa-ls are aLso being di3cusstd --:@e
company and uriQn representasives 3--:ne 45655-
additional job Tosses a-. Liverpoo-, over -.ne nex-- 15
nonths, which toget@er mith improved wcr&-ni
practices, are essential to improve eff--':ier%cy and
secure the surv--val of -The Li,,erpool fac-=r,.r. Up to
a further 325 Jobs w4-:: be lcst from :h--:
Southampton =-Ianz; these will be spread over 7ne next
'-ve years.
The Liverpool o-7an-- currently employs 01 face and
the Southampton plan: 148 people.
01 ( - 4<-)
The company's direc-@, sales and
operations in the U..C. are being terminated but it is
Planned that some of the company's bran--4s - 4.:%cluding
its three ma.ior S-,ze brands - State Zx7nress 555
Filter Kings, du Maurier and Ardath - wi:-! a-antinue
to be -marketed through an independent d-43zribut2r.
By this means, it is hoped to achieve a usef-z-!, but
substantially reduced. volume in the U.K. Zetails
-dill be announced in due course.
3.A.T's withdrawal from direct part-4: _4 .7 a: _4 =% in the
U.K. maLrket is due to the rapid and urtfzreseen
decline in the U.K. ciiarette Maker., has
fallen by ZC per cen-- since the ::art;any firs: N)
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BAT Industries document for Province of British Columbia 23 April 1999

en-:ere@: tne
ciiarette -ax increases 'rare been -.te
fac-=- in the decline in sales and
7nanufac:=-ers have resecr.-de,= incrtasLn&-y
agirtSSI'le Price CUtS. :n tnLS 3L-.L;a:t--n. it Ls
imzossible for S.A.7 to trade in t!@e
its @re5ent s-,r,4ct-,;:,s.
scckesman for B.A." iU.K. and Zxrzorz) Ltd. , sa:.!
:@Le decision was taken with -wuc@- reluctance,
because of the adverse employmenm
inz:icazions. 'de have invested '-eavilv in the @;.X.
=erst-= Since entering :ne market and -.a date '-a7e
an accumulated trader.& icss @f cver S53 millicn.
7a&ini into account the cost of finam4n& Our
investment this figure would almcst double. 'de c=-'!
n::-. see a :ime when we dould begin to ge@- any
aiin-ificant return an our inves=ent. With "he new
sales and distribution arrangements in the U.K. we
.iil! now te In a better pcsitizn to concentrate our
reSCU.-CeS On Our SUC-CeS3f-.11 ex=crt operation."
ends.
7:r further information. c-.nzacz:
!:252 2:i-Z tucme)
"-:ke sc@:-:7:
Cannon: 05i - 2c- zi-li Un
0%
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BAT Industries document for Province of British Columbia 23 April 1999