FOR IMMEDIATE RELEASEJT to Deploy New Sales Initiatives for Seven Stars Revo SeriesTokyo, December 12, 2005 --- Japan Tobacco Inc. (JT) (TSE: 2914) announced today that, on January 16, 2006, it would expand the sales area of "Seven Stars Revo Super Lights Box," which was launched in July 2005, to nationwide coverage and would launch "Seven Stars Revo Ultra Lights Menthol Box" in Shizuoka prefecture. The company launched its first "D-spec," reduced odor segment product, "Lucia Citrus Fresh Menthol," in 2002. Since then, the company has expanded its D-spec product range to include a variety of other brands. In February 2005, the company launched "Seven Stars Revo Lights Menthol Box," as the first D-spec product in the Seven Stars brand within a limited sales area and expanded its sales area to nationwide coverage in September 2005 thanks to successful results. "Seven Stars Revo Super Lights Box" was launched in Shizuoka prefecture where the product gained a 0.5 percent market share (as of October 2005), the highest market share among the six "D-spec," products available in the prefecture. This result was the basis for JT’s decision to expand the sales area of this product to nationwide coverage. JT will launch "Seven Stars Revo Ultra Lights Menthol Box" in Shizuoka prefecture in response to customer demands for a low tar, menthol and D-spec Seven Stars product. The product is the lowest tar (3 mg) cigarette in the Seven Stars brand family. "D-spec," reduced odor segment products (known as "Less Smoke Smell" products abroad), incorporate the company’s odor-reducing technology in response to customer demands for a reduction in the unpleasant smell of smoke. After six years of research and development efforts, JT introduced this new and innovative technology to mask only the unpleasant odors. And, in its latest medium-term management plan, "JT PLAN-V," JT stated that the company would, as part of its top-line growth strategies, create a new segment - reduced odor products. With the nationwide sales expansion of the "Seven Stars Revo Super Lights Box," a total of four D-spec products will be expanded to nationwide sales in the current fiscal year. This pace is faster than the previous two fiscal years with one product expanded in 2004, and two expanded in 2003. With the launch of "Seven Stars Revo Ultra Lights Menthol Box" and the nationwide sales expansion of "Seven Stars Revo Super Lights Box," a total of 12 D-spec products will be available in the Japan market, with seven nationwide and five in limited sales areas. Appendix: Profile of Cigarettes ### Japan Tobacco Inc. is the world’s third largest international manufacturer of tobacco products. The company manufactures internationally recognized cigarette brands including Camel, Winston, Mild Seven and Salem. Since its privatization in 1985, JT has actively diversified its operations into pharmaceuticals and foods. The company’s net sales were JPY 4.664 trillion in the fiscal year ended March 31, 2005. |
