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RAI CEO: 'Returning Value in a Challenging Time'

to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements regarding RAI's future performance and financial results inherently are subject to a variety of risks and uncertainties, described in the forward- looking statements. These risks and uncertainties include:

-- the substantial and increasing regulation and taxation of tobacco


-- various legal actions, proceedings and claims relating to the sale,

distribution, manufacture, development, advertising, marketing and

claimed health effects of tobacco products that are pending or may be

instituted against RAI or its subsidiaries;

-- the possibility of bonding issues as a result of litigation outcomes;

-- the substantial payment obligations and limitations on the advertising

and marketing of cigarettes under the MSA;

-- the continuing decline in volume in the domestic cigarette industry and

RAI's dependence on the U.S. cigarette industry;

-- concentration of a material amount of sales with a single customer or


-- competition from other manufacturers, including any new entrants in the


-- increased promotional activities by competitors, including deep-

discount cigarette brands;

-- the success or failure of new product innovations and acquisitions;

-- the responsiveness of both the trade and consumers to new products,

marketing strategies and promotional programs;

-- the ability to achieve efficiencies in manufacturing and distribution

operations, including outsourcing functions, without negatively

affecting sales;

-- the reliance on a limited number of suppliers for certain raw


-- the cost of tobacco leaf and other raw materials and other commodities

used in products, including future market pricing of tobacco leaf whic

SOURCE Reynolds American Inc.
Copyright©2008 PR Newswire.
All rights reserved

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