Innovation And Leadership In 2011

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As we enter the New Year, I am excited about the many opportunities the Swedish Match portfolio will offer our valued customers and consumers. Swedish Match takes pride in being the industry leader when it comes to innovation and bringing new and exciting products to the marketplace.

MASS MARKET CIGARS – Exciting, Innovative Products for Your Customers

A key to the success of our mass market cigars has been:

INNOVATION – Swedish Match is the leader in freshness innovation. We were the first to market with our FoilFresh™ packaging, now the industry standard for cigar packaging, with major competitors following the Swedish Match lead.
FRESHNESS – We believe it is equally important to continue to develop fresh ideas, so recently our White Owl brand launched the ultimate Sweets cigar, winning in both taste and freshness.
EXCITING PRODUCTS – In 2011, you can expect White Owl to follow up with a launch of our second addition to the Sweets family, White Owl Green Sweets. The Game brand took a fresh approach to pricing with the introduction of pre-priced consumer promotions for both the Palma and Cigarillo product lines. The Garcia y Vega brand got a fresh new look as many of the popular frontmarks also got a FoilFresh™ update.

MOIST SNUFF – Value and Exciting Products are Important to Your Customers

FLAVOR FRESH – Freshness is equally an important factor in the moist snuff category. Red Man Moist Snuff’s new FlavorFresh™ Lid continues our trend of innovative leadership and consumers see Red Man Moist Snuff as a symbol of freshness.
COMPETITIVE PRICING – Price/value can volume has contributed to over 74 percent of the moist snuff category growth and our Longhorn brand continues to deliver real value to consumers who want premium taste without the premium price.
NEW YEAR/NEW LOOK – Also in 2011, expect a new look from our Timber Wolf snuff, along with a promotional campaign, “Timber Wolf Cash,” which for the consumer means “the more they buy, the more they earn.”

CHEWING TOBACCO – Continuing the Tradition

CATEGORY LEADER – Swedish Match is also the Chewing Tobacco category leader in terms of volume, dollars sales, and product quality with our Red Man Chewing Tobacco. We are committed to maximizing this important OTP segment.

CATEGORY MANAGEMENT – Helping You Manage Your Customers

ACTIONABLE MARKET INSIGHTS – Customers can also continue to rely on the in-depth and thorough consumer insights and data analysis you have come to expect from the most highly trained category management associates in the industry. Our associates have been certified by the Partnering Group, a leader in category management, to bring you the most in-depth and objective analysis in the industry.

Our goal is to continue driving visibility to the OTP category at retail, which will create ongoing consumer demand for our brands. On behalf of all of us at Swedish Match, we wish you a healthy and prosperous 2011.