In Process - Swedish Match - 2008 3rd Quarter Results..

October 30, 2008 - In Scandinavia, sales volumes measured in number of cans, were down by 2 percent during the third quarter compared to the previous year, as strong Norwegian and Duty Free volumes substantially offset Swedish volume declines.

In the US, sales volumes during the third quarter were up by 5 percent compared to the same period in the previous year. Volumes for Longhorn and Timber Wolf
also included the initial pipeline shipments of Red Man. The Red Man brand is now in national distribution, and continues to be supported by marketing programs. At the beginning of the year, the Triumph brand of Swedish style snus was launched in a test market in Ohio as part of the joint venture with Lorillard. This test has now been expanded to Georgia.

Sweden is the world's largest snuff market measured by per capita consumption. A
substantially larger proportion of the male population uses the Swedish type of
moist snuff called snus compared to cigarettes. The Norwegian market is
significantly smaller than the Swedish market but in recent years has experienced solid volume growth. The U.S. is the largest snuff market measured in the number of cans and is approximately six times larger than the Swedish market. In
Sweden and Norway, Swedish Match has a leading position. In the US, the Group
is well positioned as the third largest player. Some of the best known brands
include General, Ettan, and Grov in Sweden, Timber Wolf and Longhorn in the US.
In 2007, the Company launched a snuff line extension under its well known Red
Man brand in the US market.


**Swedish snus is moist snuff which is produced using a special heat treated process, much like pasteurization, as opposed to other snuff products for which a fermentation process is used.