22nd Century Group Subsidiary, Goodrich Tobacco, Applies for Federal License to Manufacture Tobacco Products
CLARENCE, N.Y.--(BUSINESS WIRE)-- 22nd Century Group, Inc. (OTCBB: XXII) announced today that its subsidiary, Goodrich Tobacco Company, LLC (Goodrich Tobacco) applied to the Alcohol and Tobacco Tax Trade Bureau of the United States Treasury Department (TTB) for a federal permit to manufacture its own tobacco products. Until now, Goodrich Tobacco has contracted with independent federally licensed tobacco manufacturers to produce its proprietary commercial products, RED SUN®, MAGIC® and SPECTRUM®. Goodrich Tobacco has always supplied its contract manufacturers with its own proprietary tobacco blends.
In parallel with becoming a federally licensed tobacco products manufacturer, Goodrich Tobacco is meeting with the National Association of Attorneys General (NAAG) to become a subsequent participating manufacturer (SPM) to the Tobacco Master Settlement Agreement, commonly referred to as the “MSA.” As an SPM producing its own tobacco products, Goodrich Tobacco will contribute funds in perpetuity to the MSA on every pack of cigarettes it sells and will agree to various restrictions on tobacco marketing practices required by the MSA.
By establishing its own manufacturing facility, Goodrich Tobacco will achieve additional flexibility in production, increased quality control, and a greater capacity for new product development. Besides becoming the manufacturing site for Goodrich Tobacco’s own commercial brands, RED SUN®, MAGIC® and SPECTRUM®, the new facility will also produce X-22, a very low nicotine cigarette currently going through the U.S. Food and Drug Administration (FDA) approval process as a prescription smoking cessation aid, and BRAND A and BRAND B, two potential less harmful cigarettes (as compared to leading brands) in development. Goodrich Tobacco expects to file a modified risk application with the FDA for BRAND A in the second quarter of 2013 and a modified risk application with the FDA for BRAND B in the third quarter of 2013. 22nd Century Group’s April 2012 press release describes the merits of BRAND A and BRAND B, Goodrich Tobacco’s potential modified risk cigarettes in development.
The company’s management is looking forward to Goodrich Tobacco becoming a federally licensed tobacco product manufacturer and working with NAAG to become a member of the MSA. Goodrich Tobacco’s leased manufacturing facility is 6 miles from its headquarters in Clarence, New York. Henry Sicignano III, President of 22nd Century Group and Goodrich Tobacco, stated, “We believe our novel science-based tobacco products will emerge as highly distinctive brands among the sea of conventional cigarettes offered by our larger competitors. Due to 22nd Century’s groundbreaking proprietary technology, no other tobacco company in the world can duplicate our tobacco blends or match the product attributes of our highly differentiated super-premium cigarettes.”
About 22nd Century Group, Inc.
22nd Century is a plant biotechnology company whose proprietary technology allows for the levels of nicotine and other nicotinic alkaloids (e.g., nornicotine, anatabine and anabasine) in the tobacco plant to be decreased or increased through genetic engineering and plant breeding. 22nd Century owns or is the exclusive licensee of 107 issued patents in 78 countries plus an additional 38 pending patent applications. Goodrich Tobacco and Hercules Pharmaceuticals, LLC and are wholly-owned subsidiaries of 22nd Century. Goodrich Tobacco is focused on commercial tobacco products and potential modified risk cigarettes. Hercules is focused on X-22, a prescription smoking cessation aid in development.
For additional information, please visit: www.xxiicentury.com
Cautionary Note Regarding Forward-Looking Statements: This press release contains forward-looking information, including all statements that are not statements of historical fact regarding the intent, belief or current expectations of 22nd Century Group, Inc., its directors or its officers with respect to the contents of this press release. The words “may,” “would,” “will,” “expect,” “estimate,” “anticipate,” “believe,” “intend” and similar expressions and variations thereof are intended to identify forward-looking statements. We cannot guarantee future results, levels of activity or performance. You should not place undue reliance on these forward-looking statements, which speak only as of the date that they were made. These cautionary statements should be considered with any written or oral forward-looking statements that we may issue in the future. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to reflect actual results, later events or circumstances or to reflect the occurrence of unanticipated events. You should carefully review and consider the various disclosures made by us in our annual report on Form 10-K for the fiscal year ended December 31, 2011, filed on April 16, 2012, including the section entitled “Risk Factors,” and our other reports filed with the U.S Securities and Exchange Commission which attempt to advise interested parties of the risks and factors that may affect our business, financial condition, results of operation and cash flows. If one or more of these risks or uncertainties materialize, or if the underlying assumptions prove incorrect, our actual results may vary materially from those expected or projected.
Tom Redington, 203-222-7399
Source: 22nd Century Group, Inc.
Released January 31, 2013