BAT sales up 5 pct, driven by global brands

British American Tobacco, the producer of Dunhill, Kent and Lucky Strike cigarettes, reported revenue growth of 5 percent at constant rates of exchange in the first quarter ended March 31, adding that global drive brand cigarette volumes grew by 1 percent.
The report stated:

• Revenue growth of 1 percent at current rates of exchange.
• Cigarette volumes from subsidiaries fell 3.7 percent to 160 billion, with a decrease of 3.4 percent for total tobacco volumes.
• Board confident of another year of earnings growth in line with long term strategic goals.
• Pricing environment remains strong despite difficult trading conditions in many parts of the world, notably southern Europe.
• If current exchange rates persist for the rest of the year, the currency headwind that adversely impacted the quarter will reverse.
• Group has sufficient financing and facilities available for the foreseeable future.
• There have been no material events, transactions or changes in the financial position of the Group since the year end.
• -Shares closed Wednesday at 3548 pence valuing the company at £68.25 billion.

BAT Nine-Month Cigarette Shipments Fall on Europe and Brazil

British American Tobacco Plc, the biggest tobacco company in Europe, reported that shipments dropped during the first nine months of the year due to lower cigarette consumption in Brazil and Western Europe. The amount of cigarettes marketed decreased to 517 billion from 523 billion in 2011. Shipments in Western Europe dropped 5%, whilst volume declined

Lorillard, Inc. Announces $500 Million Share Repurchase Program

Lorillard, Inc., the third largest manufacturer of cigarettes in the United States, announced today that the Company's Board of Directors approved a new share repurchase program, authorizing the Company to repurchase in the aggregate up to $500 million of its outstanding common stock.

Purchases by the Company under the new program may be made from time to time at prevailing market prices in open market purchases, privately negotiated transactions, block purchase techniques or otherwise, as determined by the Company's management. The purchases will be funded from existing cash balances.

This program does not obligate the Company to acquire any particular amount of its common stock. The timing, frequency and amount of repurchase activity will depend on a variety of factors such as levels of cash generation from operations, cash requirements for investment in the Company's business, current stock price, market conditions and other factors. The share repurchase program may be suspended, modified or discontinued at any time and has no set expiration date.

 

About Lorillard, Inc.

Lorillard, Inc., through its Lorillard Tobacco Company subsidiary, is the third largest manufacturer of cigarettes in the United States.  Founded in 1760, Lorillard is the oldest continuously operating tobacco company in the U.S.  Newport, Lorillard's flagship premium cigarette brand, is the top selling menthol and second largest selling cigarette brand in the U.S.  In addition to Newport, the Lorillard product line has four additional cigarette brand families marketed under the Kent, True, Maverick and Old Gold brand names. These five brands include 43 different product offerings which vary in price, taste, flavor, length and packaging.  Lorillard, through its LOEC, Inc. subsidiary, is also the leading electronic cigarette company in the U.S, marketed under the blu ecigs brand.  Lorillard maintains its headquarters and manufactures all of its traditional cigarette products in Greensboro, North Carolina.