• May 23, 2024

22nd Century Signs New Manufacturing Deal

 22nd Century Signs New Manufacturing Deal
Photo: thodonal

22nd Century Group has expanded its Pinnacle private label brand to add distribution of cigarillo products to its existing Pinnacle cigarette products. Pinnacle products are currently sold as a private label brand in a leading U.S. gas station convenience store chain comprising approximately 1,700 stores in 26 states.

According to 22nd Century Group, Pinnacle cigarette product re-order volumes are now achieving sustained sequential growth as the private label contract enters its second year with this top retail customer, which is itself seeing notable growth in its tobacco sales and gaining market share by offering value to its customers.

“We are excited to expand our Pinnacle brand with new cigarillo products based on the successful sales growth of these private label cigarette products sold at one of the top U.S. c-store chains,” said 22nd Century Group Chairman and CEO Larry Firestone in a statement.

“Agreements like this help us to further enhance revenue and profitability in our business as we work toward breakeven operations by the first quarter 2025.”

The cigarillo expansion agreement is in addition to a recently announced new CMO customer contract that is expected to increase the 22nd Century Group’s contract manufacturing organization production volumes by at least 20 percent, with shipments commencing from the second quarter.