Alliance One International sales rose USD 259 million to a record USD 781 million  (EUR 623 million) in the three months to March 31, the leaf tobacco supplier said in an earnings statement forecasting an end to global oversupply.

Leaf supply is tightening after a period of oversupply and emphasis on higher quality tobacco is growing,  said Alliance President J. Pieter Sikkel in a 13 June statement. "Our balance sheet is strategically positioned to meet this tightening supply situation with inventories at March 31, 2012, of USD 839.9 million, a 4.9 per cent increase compared to last fiscal year end, with lower uncommitted inventory levels that are well within our stated range of USD 50-150 million.”
Alliance returned to profit in the fiscal year ended 31 March, reporting net income of USD 29.5 million after a USD 71.6 million loss in fiscal 2011. Gross revenue rose 2.7 per cent to USD 2.15 billion. (ci)