UK: Imperial Tobacco''s Light Idea to Go Electronic

Source from:  The [London, UK] Express  05/03/2013

IMPERIAL Tobacco has set up a venture to develop electronic cigarettes as it seeks to reignite profits weighed down by cash-strapped European smokers switching to roll-your-owns and illegal cigarettes.

The maker of Lambert & Butler and JPS said Fontem Ventures would look at alternative ways of delivering nicotine beyond just e-cigarettes.

Imperial's chief executive, Alison Cooper, said: "Our approach is very much looking for new consumer experiences that don't involve tobacco."

Europe's worsening economic conditions led to a 10 per cent drop in revenue in Spain to £212million and profit down 57 per cent to £87million, masking stronger performances in the Middle East, Asia-Pacific and Africa.

The US and Russia also proved challenging as half-year group adjusted operating profit fell 6.5 per cent to £1.43billion on 4 per cent lower sales of £13.4billion.

Cooper said the introduction of plain packaging in Australia had made "little impact" on consumption there, playing down concerns over the impact on its UK market leading position ahead of a potential ban on distinguishing branding from cigarette packaging. Enditem