Tobacco Company Plans to Cut U.S. Work Force

Reynolds American, the tobacco company, said Tuesday that it would cut about 10 percent of its American work force — about 570 jobs — and make Camel its flagship menthol cigarette brand to better compete in a consolidating market.

The company said Tuesday that it would shift its focus in the premium menthol market to its well-known Camel brand from its Kool line. The menthol market has shown some growth, while smoking in general continues to decline in the United States.

Camel is known mostly as a non-menthol brand. But Reynolds recently released a cigarette called Camel Crush, whose capsule in the filter gives off a burst of menthol flavor when it is broken.

Kool will now focus on markets where it has strength and receive less marketing support, Reynolds said.

The overhaul at Reynolds comes a day after the largest American cigarette maker, the Altria Group, announced plans to buy the No. 1 domestic smokeless tobacco maker, UST Inc., for $10.4 billion.

FULL STORY AT THE NEW YORK TIMES