22nd Century Group Inc (XXII)

[sons4]

These next few post regarding the FDA says it all, show me another company with this kind of potential if approved for modified risk status. I believe if this happens all shareholders will hit a very high tax bracket.

Q: Where do you see your biggest revenue potential?

Henry: Our biggest opportunity is with an FDA cleared, modified risk cigarette. In 2014, we will be submitting two applications for modified risk cigarettes to the FDA, one will be for a very low nicotine cigarette, and the other will be for a low tar-to-nicotine ratio cigarette that uses a relatively higher nicotine tobacco. If the FDA gives us modified risk authorization for only one of the two cigarettes, it would likely immediately increase our market capitalization by many fold of what it is today. Right now, three quarters of the US cigarette market consists of cigarettes that were previously labeled "light," "ultra-light," or "low tar." These can no longer be marketed or labeled with these descriptors because the FDA has determined that these types of cigarettes can actually be more harmful than a full flavor cigarette. So three quarters of the market wants to smoke a less harmful cigarette. If we become the first company, and perhaps the only company authorized by the FDA to sell a modified risk cigarette, over $60 billion of the $80 billion US market could be up for grabs. This is an opportunity where Big Tobacco and every large distributor in the country would want our brands. That's an overnight billion-dollar opportunity.