The court's decision could cost Cincinnati-based P&G as much as 20 million pounds ($35.7 million Cdn) a year, said the judgment, citing company lawyers.
P&G's lawyers argued Pringles don't look like a chip, don't feel like a chip, and don't taste like a chip. The lower court judge agreed with P&G's claims that the snack isn't made like a chip since it's cooked from baked dough, not potato slices.
Pringles producer Procter & Gamble Co. said it was disappointed with the appeal court's decision - a lower court ruling that Pringles were not potato chips exempted them from Britain's 15 per cent sales tax that includes ``products made from the potato, or from potato flour, or from potato starch.''
LONDON - A London court answered one of the pressing questions of the snack- food age this week when it ruled that the wavy, crunchy, salty thing in a red Pringles tube is not a stick or a puff or even a chip-like substance, it is, in law, a potato chip.