Swedish Match announces test market of ExaltTM - an alternative for smokers

Swedish Match today announced plans to test market a new smoker’s alternative product in the United States.

New Exalt™ Tobacco Packets offer two distinctive flavors for cigarette smokers. The new product was developed after extensive consumer research. New Exalt Tobacco Packets provide a smokeless alternative for cigarette smokers when they cannot, or choose not, to smoke.

"Exalt is the beginning of a new category," said Lennart Sundén, President and CEO of Swedish Match. "Exalt Tobacco Packets build upon our experience of over 30 years manufacturing tobacco products with the Swedish process. This unique manufacturing standard, branded GOTHIATEK^®delivers a positive alternative to cigarette smokers. The goal of Swedish Match is to offer the best products to our consumers and we are excited to lead the development of a new smoker’s alternative category with the introduction of Exalt," he said.

The GOTHIATEK^® standard works towards eliminating or reducing the elements in tobacco that have been identified by the scientific community as controversial as well as yielding a product of the highest quality. Exalt Tobacco Packets are the first product in the U.S. with this distinction.

Test marketing of the products are expected to begin during second quarter 2001.

Swedish Match is an international group with its head office in Stockholm. The company manufactures a broad range of products within the OTP (Other Tobacco Products) category, with smokeless tobacco as its core business along with cigars and pipe tobacco, as well as matches and lighters. The products are sold in approximately 140 countries. Sales for the twelve months ending March 31, 2001 amounted to 12,208 MSEK. Swedish Match is listed on OM Stockholmsbörsen (SWMA) and on NASDAQ (SWMAY).

For further information, please contact: