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June 2007

News & Media

Tribe to Expand Tobacco Sales Nationwide 
June 19, 2007 

SQUAXIN ISLAND INDIAN RESERVATION, Wash. – The Squaxin Island Tribe of Washington will begin selling its brand of cigarettes across the country by the end of this year, reports The News Tribune.

The Squaxins won’t be the first tribe with a nationwide reach – the Seneca-Cayugas of Oklahoma have sold their cigarettes in numerous states since 1999. And individual tribal members at other tribes, including the Yakamas in Central Washington, also manufacture their own cigarettes.

For the 1,000-member Squaxin Island Tribe, expanding its tobacco industry outside of Washington is an important step to diversify its economy beyond gambling. “It’s just a commonsense approach to expanding,” said Bryan Johnson, general manager for Skookum Creek Tobacco, to the newspaper.

The tribe currently manufactures 50,000 cartons a month, but hopes to increase that to 250,000 within the next three years. Philip Morris, which holds over 50 percent of the market, doesn’t comment on new players in the business, spokesman Greg Mathe said to the newspaper.

But R.J. Reynolds Tobacco Co. spokesman David Howard said he welcomes the competition. Reynolds comprises just less than 30 percent of the market, he said. “Competition is good for adult tobacco consumers. It gives them more choices,” he said, but added “our brands are better.”

Currently, the Squaxins’ Skookum Creek tobacco has three products: Complete and Premis cigarettes and Island Blendz little cigars. It also sells loose tobacco. This fall the tribe will debut Winthrop, a brand meant to compete with Marlboro, and Traditions, an additive-free brand meant to take on Natural American Spirit, an additive-free brand owned by R.J. Reynolds Tobacco Holdings Inc.