On April 30, RAI announced a 54.1 percent increase in reported EPS for the first quarter of 2008, driven by a $328 million pre-tax gain related to the termination of the Gallaher Joint Venture. Excluding that gain, first-quarter adjusted EPS was down 9.9 percent, as higher cigarette pricing was more than offset by a number of factors that lowered R.J. Reynolds’ volume. Conwood continued to deliver strong moist-snuff volume and share gains. Continuing its focus on returning shareholder value, RAI also announced a $350 million share repurchase program. In light of a weaker-than-expected first quarter, RAI revised its full-year forecast and now expects 2008 earnings, excluding the JV gain, to be consistent with the prior year.
Click here to view RAI's first-quarter earnings release
Reynolds American webcast a conference call on April 30, following the release that morning of the company's first-quarter financial results. A replay of the call will be available until May 30 at 5 p.m.
Click here to replay the webcast
Reynolds American is running television ads that question the ability of the FDA to implement a vast new tobacco regulatory scheme, given the agency’s difficulties in performing its current responsibilities – ensuring the safety of the nation’s food, prescription drug and medical device supplies. Despite the fact that some senior members of Congress believe “the FDA is badly broken,” Congress is focused on legislation to expand FDA’s responsibilities to include tobacco products, with a new regulatory bureaucracy funded by more than $7 billion in new fees and taxes.
Click here for the press release
Click here to view an ad and learn more
Reynolds American is the only domestic corporation whose operating companies manufacture and market a full range of products for those adults who enjoy and choose to use tobacco. Our Guiding Principles and Beliefs represent our core commitment to operating our businesses in a responsible manner that best balances the desires of our many stakeholders. Here’s what we and our operating companies believe:
Click here for more information