To maximize cigarette-manufacturing efficiency and expand smokeless tobacco production capacity, several operating companies of Reynolds American Inc. are making changes to their manufacturing facilities. A cigarette factory in Winston-Salem, N.C., and one in Yabucoa, Puerto Rico, will close, and production from those two older plants will transfer to R.J. Reynolds Tobacco Co.’s largest facility in Tobaccoville, N.C. Meanwhile, American Snuff Co. LLC is expanding its smokeless tobacco processing and manufacturing capacity by investing in facilities in Memphis and Clarksville, Tenn. “Our operating companies are optimizing their manufacturing networks to increase efficiency, upgrade and expand some operations and reduce complexity,” said Susan Ivey, RAI’s chairman, president and CEO. “These changes make our companies more efficient in light of the declining U.S. cigarette industry and growth in smokeless tobacco. Consolidating production into fewer … Read entire article »

Cigarette maker Reynolds American Inc. spent $668,825 in the fourth quarter to lobby on tobacco issues, according to a recent disclosure report. This is a decline of about 5 percent from the $702,330 that the company, based in Winston-Salem, N.C., spent during the same period a year earlier.The maker of Camel and Pall Mall did not lobby the federal government on any other issues during the October through December period. Tobacco companies are focusing on cigars, snuff, chewing tobacco and other cigarette alternatives for growth as demand for cigarettes continue to decline. Many smokers have cut back on cigarette purchases or traded down to cheaper brands amid the economic downturn in an attempt to save money. Reynolds American’s fourth-quarter lobbying efforts concentrated solely on Congress. Reynolds American is the nation’s second-biggest cigarette maker … Read entire article »