Press release; Apr 24, 2008 3:50 PM CET

Swedish Match AB invests in new production capacity in Sweden

In the introduction, the correct investment amount is MSEK 265.

Swedish Match AB today announces an additional investment in its Kungälv snus production plant in Sweden. The investment of MSEK 265 is in response to the strong demand for snus in the portion packed format. The Kungälv plant is specialized in the Swedish Match unique “White Production Technology”, a white, dry portion packed snus with both regular and star formation filling of the cans.

“We continue to see a strong demand for pouch products and especially the White Portion Technology products, says Patrik Andersson, President of North Europe Division at Swedish Match. White pouches continue to grow in importance in our product portfolio and by investing in further production infrastructure we continue to lead the way in the snus category. We are committed to our key markets in Scandinavia, Sweden and Norway but also in the US and by this step we stand firm to meet the strong demand for Swedish Match snus products”, says Patrik Andersson.

The Kungälv plant was built by Swedish Match in 2003. It is a state of the art production plant for snus production utilizing the patent protected “White Portion Technology” and Swedish Match is the sole provider of such products to the Scandinavian market and to the US.

The investment is expected to be completed in the first half of 2010.

Swedish Match is a global Group of companies with a broad offer of market-leading brands in smokeless tobacco products, cigars, pipe tobacco and lights products. The Group’s global operations generated sales of 12,551 MSEK for the twelve month period ending December 31, 2007. Swedish Match shares are listed on OMX Nordic Exchange in Stockholm (SWMA).

Swedish Match AB (publ), SE-118 85 Stockholm
Visiting address: Rosenlundsgatan 36, Telephone: +46 8 658 02 00
Corporate Identity Number: 556015-0756

For further information, please contact:
Patrik Andersson, President North Europe division
Office +46 8 658 04 54, Mobile +46 76 111 34 00
Mikael Arnebert, Director Media Relations & PR, North Europe division
Office +46 8 658 02 10, Mobile +46 70 529 02 10
Emmett Harrison, Vice President, Investor Relations
Office +46 8 658 01 73, Mobile +46 70 938 01 73

The character of the information is such that it shall be disclosed by Swedish Match AB (publ) in accordance with the Swedish Securities Markets Act and. The information was disclosed to the media on April 24, 2008 at 3.00 p.m. (CET).