Reynolds casts lot with risky menthol strategy - Winston-Salem Journal: Business

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Reynolds casts lot with risky menthol strategy

Company counting on FDA to rule favorably on flavoring

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Susan Cameron

Posted: Wednesday, July 16, 2014 7:49 pm

Reynolds American Inc. is going all in on menthol cigarettes with its planned acquisition of Newport even as it leads the charge for innovative smokeless products and rolls out nationally its electronic cigarette Vuse.

Newport, with its 37.4 percent menthol market share and 13 percent overall market share, is the real prize for Reynolds in its proposed $27.4 billion purchase of Lorillard Inc., which was announced Tuesday.

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