PHOENIX -- Independent cigarette manufacturer-wholesaler HBI international, Phoenix,said it has spun off its manufacturing and distributor division into a new company, Allied Tobacco.
HBI started off as a small, direct-to-store (DTS) distributor of tobacco items. In the past 10 years, HBI made a shift from distributor to manufacturer. According to company spokesperson Charles Bachmann, this shift caused a bit of an internal struggle in the company between its DTS distribution outfit and its manufacturing, branding and distributor division. In order to [image-nocss] best support both markets, HBI decided to spin off its manufacturing and distributor division into Allied Tobacco.
Brian Morrissey, a former regional sales manager for Swisher, has been chosen to run Allied Tobacco.
Allied Tobacco is now in charge of all former HBI tobacco brands such as the Elements thin rice rolling papers, RAW unbleached natural rolling papers, Juicy Jays Flavored Rolling Papers, Juicy Blunts, Kingpin Blunts, Laramie tobacco products, ZEN tobacco products and Three Castles tobacco products.
Allied Tobacco will service all chain-store and large distributor accounts. This move will enable HBI International to concentrate on its core business, which is selling tobacco products direct to independent stores and smaller distributors. The move will enable us both to grow, albeit in different markets, said Bachmann.
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