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Altria Expands NJOY's Retail Reach

Distribution is expected to grow to approximately 100,000 stores by year's end.
Altria & NJOY logos

RICHMOND, Va. — In light of the recent marketing approval for four of its menthol vapor products by the U.S. Food and Drug Administration (FDA), Altria Group Inc. plans to begin distribution of the products as well as complete its merger obligations with NJOY.

The approved items include NJOY ACE Pod Menthol 2.4%, NJOY ACE Pod Menthol 5%, NJOY DAILY Menthol 4.5% and NJOY DAILY Extra Menthol 6%. NJOY ACE remains the only pod-based e-vapor product with marketing authorization from the FDA, while the company is currently the first and only approved manufacturer of menthol e-vapor products authorized by the FDA. 

"With the addition of NJOY menthol e-vapor products, we are now uniquely positioned with an FDA-authorized portfolio to support adult smokers in their transition to smokefree alternatives. We believe these marketing orders are a testament to the quality of the NJOY products and the strength of evidence supporting the authorizations of the NJOY menthol e-vapor products," said Shannon Leistra, president and CEO of NJOY.

[Read more: NJOY Seeks FDA Approval for Access-Restricted Vapor Product]

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In the first quarter of 2024, NJOY broadened distribution to more than 80,000 stores and expects to expand to approximately 100,000 stores by year-end. NJOY also continued the rollout of the brand's first retail trade program, which is designed to help achieve optimal retail visibility and product fixture space.

NJOY plans to continue its efforts to provide tobacco harm reduction by creating appealing and satisfying smokefree tobacco products as alternatives to traditional cigarettes for adult smokers, Altria stated. 

As a result of the FDA's issuance of the marketing granted orders (MGOs), Altria is obligated to pay $250 million in additional cash payments under the terms of the merger agreement in which it acquired NJOY. The company may subsequently pay up to an additional $250 million should the FDA issue MGOs for NJOY's Blueberry and Watermelon pod products, which were resubmitted for approval in conjunction with the NJOY ACE 2.0, a device with Bluetooth connectivity to authenticate users. 

Altria's wholly owned subsidiaries include manufacturers of both combustible and smokefree products. In addition to NJOY, it owns Philip Morris USA Inc., John Middleton Co., U.S. Smokeless Tobacco Co. and Helix Innovations.

The company also owns a stake in Cronos Group Inc.

The brand portfolios of Altria's tobacco operating companies include Marlboro, Black & Mild, Copenhagen, Skoal, on! and NJOY. 

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