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 P.O. Box 25099 Richmond, VA 23260 o phone: (804) 359-9311 o fax (804) 254-3594

                                  PRESS RELEASE

                   CONTACT                                 RELEASE
             Karen M. L. Whelan                          Immediately
             Phone: (804) 359-9311
             Fax:   (804) 254-3594
             Email: investor@universalleaf.com


          Universal Corporation Announces 31st Annual Dividend Increase
                   Richmond, VA, December 6, 2001 / PRNEWSWIRE

         Henry H.  Harrell,  Chairman and Chief  Executive  Officer of Universal
Corporation  announced  that the  company's  Board of  Directors  has declared a
regular  quarterly  dividend of thirty-four cents ($.34) per share on the common
shares of the Company,  payable  February 11, 2002,  to common  shareholders  of
record at the close of business on January 11, 2002. This represents an increase
of over 6%, or $.02 per share per quarter,  and indicates an annualized  rate of
$1.36 per share. Universal has raised its common dividend every year since 1971,
a record of 31 consecutive increases.

         Mr. Harrell noted,  "Universal's  strategy emphasizes delivery of value
to shareholders. Dividends are one of the ways in which we do that, and our long
history of dividend increases demonstrates our dedication to that principle."

         Universal   Corporation   (UVV:NYSE)  is  a  diversified  company  with
operations in tobacco,  lumber,  and  agri-products.  Its gross revenues for the
fiscal year that ended on June 30, 2001, were  approximately  $3.0 billion.  For
more information, visit Universal's web site at www.universalcorp.com.




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