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Category: Around the Industry

  • My Father Cigar’s Honduran Factory Rolling Out Cigars

    My Father Cigar’s Honduran Factory Rolling Out Cigars

    My Father Cigars’ Honduran cigar factory is fully operational and expects to be shipping product by late May or early June, Jaime Garcia, a master blender and key figure in the family-owned company, told Cigar Aficionado in an interview. The “My Father Blue” line will be offered in four sizes: Petit Robusto, (4.5 inches by 50 ring gauge), Robusto (5.25 by 52), Toro (6 by 54), and Toro Gordo (6 by 60).

    The 78,000-square-foot factory with a capacity of up to 200 rollers was completed in November and production began in February. Located on 890 acres in Talanga, the property was purchased three years ago in what was previously untouched, overgrown land

    “You couldn’t see the soil,” Garcia said. “It was all bushes but it’s surrounded by rivers. You had richness. When we saw those soils, we had a flashback to Cuba and San Luís. It’s virgin soil and was not a tobacco farm. There are three types of soil on the farm so you can grow stronger and softer tobaccos.”

  • Canadian Tobacco Settlement a Step Closer to Complete

    Canadian Tobacco Settlement a Step Closer to Complete

    After years of mediation to resolve long-pending tobacco product-related litigation in Canada, the court-appointed Mediator’s and Monitor’s Plan of Compromise and Arrangement was today (March 7) sanctioned by the Ontario Superior Court of Justice in the ongoing proceedings under the Companies’ Creditors Arrangement Act (CCAA). The sanctioning was a significant step in finalizing the $22.7 billion settlement agreement with Imperial Tobacco Canada (a BAT subsidiary), JTI-Macdonald Corp., and Rothmans, Benson & Hedges (a PMI subsidiary). The settlement has been in negotiations since March 2019.

    Following a judicial hearing on the proposed plan, the three companies reached a consensual resolution of all outstanding objections to it. The plan will resolve all Canadian tobacco litigation and provide a full and comprehensive release to the companies.

    “We are pleased that the Court has sanctioned the Mediator’s and Monitor’s Plan of Compromise and Arrangement, a critical milestone in the CCAA process, Imperial Tobacco Canada wrote in a statement. “We look forward to the successful implementation of this plan, which maximizes value for claimants, resolves outstanding tobacco litigation, and allows us to emerge from CCAA protection. While there are still some steps that must be taken to implement the settlement, Imperial Tobacco Canada is committed to continue working with the relevant parties to complete this process as quickly as possible for the benefit of all stakeholders.”

  • PMI Retains European Vape Patent

    PMI Retains European Vape Patent

    European patent officials tossed a challenge from a British American Tobacco subsidiary allowing Philip Morris to retain its patent for a type of power supply for electronic vapes.

    The patent from PMI primarily describes a power supply system for an e-vaping device, including a sensor and a sensor holder designed to regulate airflow and house a power source. Nicoventures claimed the patent was not new because it used similar features in three older patents for its “Vuse Solo.” The BAT side argued that there were several features in the older patents that effectively served as sensor holders similar to the PMI design.

    In a Feb. 20 decision that was published yesterday (March 5), the appellate board at the European Patent Office upheld an earlier decision dismissing Nicoventures’ opposition because Philip Morris’ power supply design contains a unique structure.

    “The board concurs with the respondent’s arguments [that] the structure of the e-vaping device in [the older inventions] and the patent are not identical,” the Technical Board of Appeal said.

    PMI further argued that Nicoventures failed to prove that Vuse Solo “was available to the public before it filed its own patent application, therefore Nicoventures cannot argue that its design is not new,” Law360 wrote.

  • Bloom Vape Available in Missouri

    Bloom Vape Available in Missouri

    Bloom and BRB Missouri today (March 6) announced a partnership to bring Bloom’s vape lines to the Missouri recreational market. The products are already available for cannabis consumers across Missouri, the ninth state where Bloom is available.

    BRB Missouri is a manufacturing partner for BellRock Brands. Bloom will mark the third brand and only vape-focused brand in BRB Missouri’s portfolio. BellRock Brands’ products are currently sold and marketed in 11 states and Canada.

    “The potential in Missouri and the Midwest overall is exciting to Bloom,” said Casey Ly, CEO and co-founder of Bloom. “As we continue to focus on expansion, it is imperative we’re working with partners like BellRock who focus on best-in-class execution and a customer first approach.”

    Bloom will launch six strains across two collections under their flagship product, The One Gram Surf.

    “Always on the vanguard of innovation and design, Bloom is a leader and trusted brand within the cannabis market,” said Sat Joshi, board member of BRB Missouri. “As the Missouri market continues to grow, customers are demanding more sophisticated options that fit their lifestyle and needs. Bloom’s strong brand positioning and rigorous operating standards make it the perfect addition to our portfolio here in Missouri.”

  • Juul Cleared in Patent Dispute with Altria

    Juul Cleared in Patent Dispute with Altria

    The U.S. International Trade Commission affirmed a judge’s decision exculpating Juul in an infringement case brought by Altria-owned NJOY over several vaping patents. In January, Administrative Law Judge Doris Johnson Hines found that Juul did not violate Section 337 of the Tariff Act by importing vaping products, which Altria claimed was an infringement on two patents covering vaping technologies.

    In a three-page decision, the ITC reviewed the noninfringement finding to revise a citation in the judge’s initial determination that concluded NJOY “did not satisfy the economic prong of the domestic industry requirement, which requires the complainant to show that it has made significant investment in products protected by the patent,” Theresa Schliep wrote for Law 360.

    Concerning the economic prong, the ITC took “no position on these findings,” the decision said, and the ITC declined to review the remainder of the decision, including the judge’s conclusion that Juul did not violate Section 337.

    The Juul products the ITC investigated were “electronic nicotine delivery systems” and the cartridges or pods that go with them, as well as the pieces that make up the pods, such as “atomizers, subassemblies, devices subassemblies, [and] chargers,” according to court filings.

  • Tobacco Workers Strike in Western Turkiye 

    Tobacco Workers Strike in Western Turkiye 

    Failed contract talks have left hundreds of workers at three tobacco factories in Turkiye’s western İzmir province on strike, demanding higher wages and better benefits. Union leaders accused employers of offering unrealistic proposals and favoring subcontractors.

    At the beginning of this week, 600 workers at Sunel Tobacco, 800 workers at Oriental Tobacco, and 300 workers from T.T.L. Tobacco, all organized under the Tekgıda-İş Union, halted production.

    Tekgıda-İş İzmir No. 7 Branch President Ömer Atabey said there were separate negotiations, but the three factories acted together. “They keep telling us, ‘If the collective agreement is settled at one, it will be settled at all.’ We responded, ‘If you employers have united, then we workers at the three factories have united too.’ We put this decision into action for the benefit of our members, and we will continue our struggle until we receive the wages and social rights we demand,” he said.

    “They are trying to stall us by offering only a 2% or 4% welfare increase above inflation,” Atabey said. “The three employers are acting together and trying to impose terms on us. We responded to this with worker solidarity. We decided to strike at the start of the second sixty-day period, without waiting for the end. That’s because there is a huge gap between our demands and their offers. They are not objective, they are not realistic.”

    Atabey also said employers paid subcontractors up to 2,000 liras ($55). “But they are unwilling to offer similar wages to their own workers. This was one of the biggest breaking points for the workers. The employers are not objective or realistic,” he said.

  • BBK Tobacco Settles “Juicy” Trademark Case

    BBK Tobacco Settles “Juicy” Trademark Case

    BBK Tobacco & Foods LLP and Olympic Reef LLC filed a notice with an Arizona federal Monday announcing they had settled a lawsuit over the “Juicy” products trademark. BBK registered “Juicy” as a trademark in 2006 — and amended the registration in 2020 — for its products, including rolling papers and pipes. According to the complaint, Olympic Reef likely caused confusion in the market when it started using the word “Juicy” in combination with other words to describe some of its products, including prerolled cannabis cigarettes called “Juicy Joints,” “Super Juicy’s,” and “CBD Juicy Joints.”

    U.S. District Judge David G. Campbell signed an order that day vacating a case management conference that had been set for Wednesday and ordering that the case would be dismissed with prejudice 30 days from the order. Details of the settlement were not publicly available.

    BBK simultaneously found itself in a similar dispute in the same Arizona court with Central Coast Agriculture over the term “Raw.” This week U.S. District Judge Michael T. Liburdi issued a mixed ruling on dueling summary judgment bids in the trademark lawsuit between the tobacco and cannabis companies.

  • PCA Auctioning Custom Humidors

    PCA Auctioning Custom Humidors

    The Premium Cigar Association (PCA) has teamed up with HumidifGroup to produce a unique humidor called The Cloakroom, an elegant luxury humidor influenced by the monuments and architecture seen around Washington, D.C. Only 25 were made (one will be kept for display within the PCA’s office) and will be on display and offered for auction during the 2025 Premium Cigar Association trade show in New Orleans, April 11-14. These special humidors will be filled with exclusive premium cigars handcrafted by a leading manufacturer.

    “PCA is proud to partner with HumidifGroup for this unique project that captures the quintessential Washington D.C. style in a subtle way and serves as a functional piece of luxury and rarity,” said Joshua Habursky, executive director of the PCA. “Whether it be premium cigars or accessories, any collaboration with our member companies that bares the PCA logo must exude excellence. Our team had the pleasure to tour the Cigar Box Factory in Estelí to ensure the utmost quality and craftsmanship in this collector’s item.”

    “Cloakroom” refers to a phrase used by members of Congress for a place within the U.S. Capitol where cigars are smoked. This 50-capacity humidor features a pristine white, marble-like, high-gloss lacquer finish with exquisite gold details. The lid is adorned with an embossed PCA logo displayed in gold, while the front center of the humidor showcases vertical grooves that are painted in rich gold, reminiscent of historic columns. The custom metal handles, also in gold, are engraved with “PCA” and add a touch of sophistication to each side. Each humidor includes five trays fitted with gold handles. The humidor also has personalized humidifiers, thermometers, and hinges that all feature the PCA logo. Each humidor is packaged in a protective white box and a velvet/felt bag, both bearing the PCA logo in gold. The PCA logo and HumidifGroup’s NFC authentication technology are displayed on the inner lid. With a tap of a mobile device, the NFC tag will reveal the humidor’s unique serial number.

    Sales of the humidor will support the PCA’s Industry Defense Fund, established to support the organization’s ongoing advocacy efforts to defend the premium tobacco industry.

  • Judge Rules ITG Owes Reynolds Full $251 Million

    Judge Rules ITG Owes Reynolds Full $251 Million

    Yesterday, a Delaware judge ordered ITG Brands to reimburse Reynolds American the full $251.5 million it paid to the state of Florida as part of a settlement agreement that pre-dated ITG’s acquisition of four cigarette brands a decade ago. ITG was attempting to cut the bill to $130 million by claiming Reynolds saved $112 million because ITG did not join the Florida settlement.

    “The payments Reynolds made to Florida on behalf of ITG-owned brands aren’t excluded under the companies’ purchase agreement, and Reynolds is owed reimbursement of that amount to restore it to the position it held before ITG failed to assume that liability,” Vice Chancellor Lori W. Will of the Delaware Chancery Court wrote.

    In 1997, Reynolds settled with Florida to resolve claims cigarette makers misrepresented the risks associated with smoking. In 2015, RJR sold its Kool, Maverick, Salem, and Winston brands to ITG for $7.1 billion. Florida’s settlement obligations assumingly shifted to ITG, but ITG didn’t sign on, leaving Reynolds to pay the full sum in 2023.

    “ITG was not found liable for failing to join the Florida settlement agreement,” Will said. “I did not hold that it breached any such obligation in the asset purchase agreement. ITG was, instead, found liable for failing to assume the liability imposed on Reynolds by the Florida court.

    “There is a fundamental problem with ITG’s argument. It centers the wrong harm. ITG presumes that the relevant breach is its failure to join the Florida settlement agreement. But I did not find that ITG breached any such obligation. I held only that it failed to assume the Florida judgment liability under [Asset Purchase Agreement] Section 2.01(c)(iv).”

  • Plasencia Cigars Tabs New CEO

    Plasencia Cigars Tabs New CEO

    Plasencia Cigars announced that Edward “Ed” Bello will become its chief executive officer effective April 1, at which time he will work with current CEO Jim Young for three months to ensure a smooth transition. Young will then continue as an advisor and board member.

    Most recently Bello was the CMO of Catalyst Spirits, a start-up brand incubator. Prior to that he spent nearly 15 years with Diageo in the alcoholic beverage industry and 13 years at Procter & Gamble.

    “I am delighted to join Plasencia Cigars and am excited to help the company fulfill the amazing future that the Plasencia brand clearly possesses. I am humbled that the Plasencia family place their trust in me to lead this effort and the amazing team already in place. I look forward to working closely with the family, with Jim and with the team to fulfill the promise that the Plasencia brand clearly holds.” 

    Since 1865, the Plasencia family has been making cigars and growing first-class tobacco, today harvesting more than 4,000 acres in Nicaragua and Honduras.