Japan Tobacco

Infobox_Company
company_name = Japan Tobacco Corporation
company_
company_type = Public KK (tyo|2914)
foundation = 1985
location_city = Tokyo
location_country = Japan
key_people = Yoji Wakui, Chairman
Hiroshi Kimura, President & CEO
Pierre de Labouchere, CEO of JT International SA
industry = Tobacco, Pharmaceuticals, Food
products = See below
revenue = gain¥4,637.657 billion JPY (2005)
net_income = gain¥201.542 billion JPY (2005)
num_employees = 31,476 (2005)
slogan = "The Delight Factory"
homepage = [http://www.jti.co.jp/JTI_E/Welcome.html www.jti.co.jp] Nihongo|Japan Tobacco Inc.|日本たばこ産業株式会社|Nihon Tabako Sangyō Kabushiki-gaisha|extra=tyo|2914, JT for short, is a cigarette manufacturing company. It is part of the Nikkei 225 index.

History

The company traces its origins to 1898. Incorporated in 1949 as the nihongo|Japan Tobacco and Salt Public Corporation|日本専売公社|Nippon Senbai Kōsha, Japan Tobacco was a state monopoly until 1985, when it became a public company.

It was two-thirds owned by the Japanese Ministry of Finance until June 2004, and the Japanese government share is presently 50%. JT International (JTI), acquired in 1999 from R.J. Reynolds, is an operating division of Japan Tobacco Inc., handling the international production, marketing and sales of the group's cigarette brands. It sells Camel, Salem, and Winston brands outside the USA.

Japan Tobacco also operates in foods, pharmaceuticals, agribusiness, engineering, and real estate. Japan Tobacco completed the largest ever foreign takeover in Japanese history through acquisition of Gallaher Group plc in April 2007. [ [http://news.scotsman.com/topics.cfm?tid=663&id=1863962006 Gallaher agrees £7.5bn Japan Tobacco takeover - Scotsman.com News ] ]

Japan Tobacco runs the Tobacco and Salt Museum in Tokyo.

Market

Japan Tobacco controls 66.4% of the cigarette market in Japan and will seek more takeovers from 2009 to build on the 7.5 billion pound (USD 15 billion) purchase of Gallaher Group, with President Hiroshi Kimura commenting that further acquisitions would be appropriate after the full integration of Gallaher by 2009. [ [http://www.jti.co.jp/JTI_E/outline/kokunai2.html JT holds approximately two-thirds of the domestic cigarette market share, which is built on its best-selling brands: Mild Seven, Cabin, Caster, Seven Stars, Peace, Camel, and Salem."] Japan Tobacco website, 2006] [Hoover's business report, 2006, on Japan Tobacco Inc. "Japan Tobacco has plenty to puff about. The company controls more than 70% of the cigarette market in a country where about half of the male population smokes."]

Brands

Flagship brands

*Camel
*Mild Seven
*Salem
*Winston
*Silk Cut

Other brands

moking etiquette posters

JTI runs a series of surreal posters designed to educate smokers about the finer points of smoking etiquette.

Environmental record

Japan Tobacco had recent health issues involving their company. Contaminated gyoza dumplings made by the company poisoned ten people, including a five year old girl who has now recovered. Thousands of other Japanese people were going to the hospital because of stomach issues as well. A number of dumplings were found containing dichlorvos and methamidophos from pesticide. [http://www.iht.com/articles/2008/02/06/business/06japanfood.php Dumpling scare thwarts Japan Tobacco's merger plan - International Herald Tribune ] ] The health minister of Japan has said the contamination was possibly purposeful, and the police are investigating attempted homicide. The dumplings were made in China, but Japan Tobacco has said it does not plan on stopping its manufacturing in China. Frozen food sales went down by 60% for the business since this health scare. [ [http://www.flex-news-food.com/pages/14671/China/Food-Safety/Japan/japan-tobacco-stay-china-despite-dumpling-scare.html Japan Tobacco to Stay in China Despite Dumpling Scare - Food Industry News ] ] Japan Tobacco's stock price fell 7.1% after they were forced to recall their products, and the company also lost a $500 million merger deal with Nissin Foods because of this occurrence. [ [http://www.forbes.com/markets/2008/02/06/jtfoods-nissin-katokichi-markets-equity-cx_vk_0206markets01.html After Bad Dumplings, Nissin Loses Appetite For Japan Tobacco Deal - Forbes.com ] ]

ee also

*Tobacco industry
*JT Marvelous

References

External links

* [http://www.jti.co.jp/JTI_E/ Japan Tobacco official website] en icon
* [http://www.jti.co.jp/JTI/Welcome.html Japan Tobacco official] jp icon
* [http://www.jti.co.jp/Culture/museum/Welcome.html The Tobacco and Salt Museum] en icon