UNITED STATES
Reynolds’ growth brand market share steady

Market share of Reynolds American growth brands Camel, helped by introduction of Camel White in western US states, and Pall Mall was unchanged in the first quarter from a year ago, but higher cigarette prices boosted profit, RAI said.

“All of our operating companies increased both earnings and operating margins, while remaining focused on strategic initiatives to grow their diverse and highly differentiated key brands”, said RAI Chief Executive Officer Susan Cameron. Introduction of the Revo heat-not-burn brand in Wisconsin was successful, the company said.
Camel White, a premium cigarette with inset filter, has been introduced in 21 western states, helping the brand increase its market share marginally to 10.1 per cent. Value brand Pall Mall dipped marginally to 9.3 per cent. Total market share at RJ Reynolds, the number two US cigarette maker behind Philip Morris USA, fell 0.5 percentage points to 26.1 per cent. Volume declined 2.4 per cent, representing about 300 million sticks, to 13.9 billion sticks. The US industry volume rose by roughly the same amount to 61.3 billion sticks in the three-month period.
Adjusted operating income at cigarette maker RJ Reynolds Tobacco rose 22 per cent to USD 588 million (EUR 545 million). At Santa Fe Natural Tobacco, operating income was up by almost 42 per cent and by nearly 16 per cent at American Snuff. RAI sales increased 6.3 per cent to USD 2.1 billion.

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