Imperial Performance as Expected

Source from:  Tobacco Reporter 07/24/2009

Imperial Tobacco Group PLC says its performance and financial position for the financial year to 30 September 2009 was in line with expectations. "We have delivered another good performance in our third quarter, driving sales throughout our enlarged geographic footprint and achieving further volume and share growth across our regions," said Gareth Davis, chief executive. "The versatility of our balanced portfolio is enabling us to benefit from the growth in value cigarette and fine cut tobacco brands in mature markets, whilst continuing to develop our mainstream and premium cigarette brands in emerging markets." In the United Kingdom, Imperial held a 45 percent share of the cigarette market in the nine months ending June 30. Its JPS Silver brand, launched in November in the economy sector, achieved a June spot share of 3 percent. The company's overall fine cut volumes increased 10 percent. In Germany, Imperial's cigarette share was stable at 27.4 percent, with JPS continuing to grow share to 8.4 percent. Davidoff and Gauloises Blondes maintained their respective market shares and West's share is stabilizing. The company's market share of other tobacco products excluding cigarillos was 20.3 percent, down from 20.9 percent in June 2008. In Spain, Imperial's share of the domestic blonde cigarette market for the nine months was 30.6 percent, compared with 30.8 percent in June 2008. While Imperial continues to lead the dark segment, the decline of the segment continued and, coupled with declines in travel retail, resulted in an overall share for the nine months of 36.5 percent (June 2008: 37.4 percent). Its fine cut tobacco volumes grew 44 percent with Fortuna growing share rapidly. In the United States, Imperial faced a significant increase in federal tobacco excise taxes on 1 April. The company's estimated cigarette share was stable at 4.2 percent. The company's premium brand Davidoff made "encouraging progress" in urban areas and Imperial launched a Slims variant in March. In June, Imperial closed its Havatampa cigar factory in Brandon, Florida, laying off 495 people. Enditem