New RAI Subsidiary Will Manage Trade Marketing

WINSTON-SALEM, N.C. — Reynolds American Inc.'s (RAI) Trade Marketing Services Co., a new, wholly owned subsidiary of RAI, will begin operations Jan. 1.

Trade Marketing Services will facilitate the sales, distribution and retail/wholesale strategy execution for R.J. Tobacco Co., American Snuff Co. LLC, Santa Fe Natural Tobacco Co. Inc. and R.J. Reynolds Vapor Co. brands, under service agreements.

"With the creation of RAI Trade Marketing Services, the industry's leading trade marketing teams will be united in purpose behind the industry's best brand portfolio," said Mike Auger, president of RAI Trade Marketing Services. "This new organization capitalizes on an opportunity to create an even stronger team, and to accelerate the marketplace momentum and long-term growth of RAI operating company brands."

He added: "It also offers benefits to business partners as they will have a single point of contact, and the field trade marketing team will continue to offer valuable guidance on business growth across the total tobacco category to retail partners."

The new trade marketing structure will not result in job losses among current trade marketing employees, the company stated.

Winston-Salem-based Reynolds American Inc. is the parent company of  Reynolds American Inc. (NYSE: RAI) is the parent company of R.J. Reynolds Tobacco Co.; Santa Fe Natural Tobacco Co. Inc.; American Snuff Co. LLC; Niconovum USA Inc.; Niconovum AB; and R.J. Reynolds Vapor Co. R.J. Reynolds Tobacco Co. is the second-largest U.S. tobacco company.