R.J. Reynolds Gears Up for Larger E-Cigarette Operation

WINSTON-SALEM, N.C. -- R.J. Reynolds Vapor Co., a division of locally-based Reynolds American Inc. (RAI), has been testing its Vuse electronic cigarette in a few markets since last summer, and now the product could be rolling out to more stores across the country.

Speaking at the company's annual shareholder meeting last week, RAI President and CEO Daniel Delen said its e-cigarette is prepping for large-scale distribution, according to the Winston-Salem Journal.

Delen said the company plans to make a "significant and substantial" rollout announcement by mid-summer. "Make no mistake, we expect to be a major player in this fast-growing category in the years ahead," he said.

R.J. Reynolds continues to "see very high levels of trial for [electronic cigarette] products out there, but still low level of conversion," added Delen.

He said Vuse will be able to carve out a market niche because its technology "is superior to anything in the category and more similar to the typical consumer smoking experience."

Company spokesman David Howard said the company will manufacture or assemble Vuse domestically, but it's not likely to be made at its Tobaccoville, N.C., plant, the news outlet reported.