[8-K] 22nd Century Group Inc. Reports Material Event
22nd Century Group (XXII) has entered into a significant Master Services Agreement with an existing customer, expanding their manufacturing partnership. The new five-year exclusive agreement represents a substantial expansion of their previous supply relationship.
Key aspects of the agreement include:
- Exclusive manufacturing rights for four existing Pinnacle cigarette brands currently in retail distribution
- Rights to manufacture up to seven new products, including three low nicotine SKUs, two natural style brands, and two moist snuff products
- Royalty payment structure to Customer for each carton manufactured and sold to distributors
This strategic agreement strengthens 22nd Century Group's position in the tobacco manufacturing sector and expands their product portfolio beyond their previous cigarette-only supply arrangement. The agreement's details will be fully disclosed in the company's upcoming Annual Report.
22nd Century Group (XXII) ha siglato un importante Accordo Quadro di Servizi con un cliente gi脿 esistente, ampliando la loro collaborazione nella produzione. Il nuovo accordo esclusivo della durata di cinque anni rappresenta un'espansione significativa rispetto al precedente rapporto di fornitura.
Gli aspetti principali dell'accordo includono:
- Diritti esclusivi di produzione per quattro marchi di sigarette Pinnacle gi脿 presenti nella distribuzione al dettaglio
- Diritti di produzione per fino a sette nuovi prodotti, tra cui tre SKU a basso contenuto di nicotina, due marchi in stile naturale e due prodotti di tabacco umido
- Struttura di pagamento di royalty al Cliente per ogni cartone prodotto e venduto ai distributori
Questo accordo strategico rafforza la posizione di 22nd Century Group nel settore della produzione di tabacco ed espande il loro portafoglio prodotti oltre la precedente fornitura esclusiva di sigarette. I dettagli dell'accordo saranno completamente divulgati nel prossimo Rapporto Annuale della societ脿.
22nd Century Group (XXII) ha firmado un importante Acuerdo Marco de Servicios con un cliente existente, ampliando su asociaci贸n de fabricaci贸n. El nuevo acuerdo exclusivo de cinco a帽os representa una expansi贸n significativa de su relaci贸n previa de suministro.
Los aspectos clave del acuerdo incluyen:
- Derechos exclusivos de fabricaci贸n para cuatro marcas existentes de cigarrillos Pinnacle actualmente en distribuci贸n minorista
- Derechos para fabricar hasta siete nuevos productos, incluyendo tres SKU de bajo contenido de nicotina, dos marcas de estilo natural y dos productos de rap茅 h煤medo
- Estructura de pago de regal铆as al Cliente por cada cart贸n fabricado y vendido a distribuidores
Este acuerdo estrat茅gico fortalece la posici贸n de 22nd Century Group en el sector de fabricaci贸n de tabaco y ampl铆a su portafolio de productos m谩s all谩 de su anterior acuerdo exclusivo de suministro de cigarrillos. Los detalles del acuerdo se divulgar谩n completamente en el pr贸ximo Informe Anual de la compa帽铆a.
22nd Century Group (XXII)臧� 旮办〈 瓿犼皾瓿� 欷戩殧頃� 毵堨姢韯� 靹滊箘鞀� 瓿勳暯鞚� 觳搓舶頃橃棳 鞝滌“ 韺岉姼雱堨嫮鞚� 頇曥灔頄堨姷雼堧嫟. 靸堧鞖� 5雲� 霃呾爯 瓿勳暯鞚� 鞚挫爠 瓿店笁 甏�瓿勲ゼ 韥矊 頇曥灔頃� 瓴冹瀰雼堧嫟.
瓿勳暯鞚� 欤检殧 雮挫毄鞚� 雼れ潓瓿� 臧欖姷雼堧嫟:
- 順勳灛 靻岆Г 鞙犿喌 欷戩澑 雱� 臧�歆� 旮办〈 Pinnacle 雼措鞍 敫岆灉霌�鞐� 雽�頃� 霃呾爯 鞝滌“ 甓岆Μ
- 鞝�雼堨綌韹� SKU 靹� 臧�歆�, 雮挫稊霟� 鞀ろ儉鞚� 敫岆灉霌� 霊� 臧�歆�, 鞀奠嫕 鞀る剤頂� 鞝滍拡 霊� 臧�歆�毳� 韽暔頃� 斓滊寑 鞚缄潮 臧�歆� 鞁犾牅頀� 鞝滌“ 甓岆Μ
- 鞝滌“ 氚� 鞙犿喌鞐呾泊鞐� 韺愲Г霅橂姅 臧� 旃错啢鞐� 雽�頃� 瓿犼皾鞐愱矊 歆�旮夒悩電� 搿滌棿韹� 甑“
鞚� 鞝勲灥鞝� 瓿勳暯鞚� 22nd Century Group鞚� 雼措鞍 鞝滌“ 攵勳暭鞐愳劀鞚� 鞛呾毳� 臧曧檾頃橁碃, 鞚挫爠鞚� 雼措鞍 雼澕 瓿店笁 瓿勳暯鞚� 雱橃柎 鞝滍拡 韽姼韽措Μ鞓るゼ 頇曥灔頃╇媹雼�. 瓿勳暯 靹鸽秬 靷暛鞚� 須岇偓鞚� 雼れ潓 鞐半 氤搓碃靹滌棎靹� 鞕勳爠頌� 瓿店皽霅� 鞓堨爼鞛呺媹雼�.
22nd Century Group (XXII) a conclu un accord-cadre de services important avec un client existant, 茅largissant ainsi leur partenariat de fabrication. Ce nouvel accord exclusif de cinq ans repr茅sente une expansion substantielle de leur relation d'approvisionnement pr茅c茅dente.
Les points cl茅s de l'accord comprennent :
- Les droits exclusifs de fabrication pour quatre marques de cigarettes Pinnacle existantes actuellement en distribution au d茅tail
- Les droits de fabrication pour jusqu'脿 sept nouveaux produits, incluant trois r茅f茅rences 脿 faible teneur en nicotine, deux marques de style naturel et deux produits de tabac humide
- Une structure de paiement de redevances au client pour chaque carton fabriqu茅 et vendu aux distributeurs
Cet accord strat茅gique renforce la position de 22nd Century Group dans le secteur de la fabrication de tabac et 茅tend leur portefeuille de produits au-del脿 de leur pr茅c茅dent accord de fourniture exclusif de cigarettes. Les d茅tails de l'accord seront enti猫rement divulgu茅s dans le prochain rapport annuel de la soci茅t茅.
22nd Century Group (XXII) hat eine bedeutende Master-Services-Vereinbarung mit einem bestehenden Kunden abgeschlossen und damit ihre Fertigungspartnerschaft erweitert. Die neue f眉nfj盲hrige Exklusivvereinbarung stellt eine erhebliche Erweiterung der bisherigen Lieferbeziehung dar.
Wesentliche Aspekte der Vereinbarung umfassen:
- Exklusive Herstellungsrechte f眉r vier bestehende Pinnacle-Zigarettenmarken, die derzeit im Einzelhandel vertrieben werden
- Rechte zur Herstellung von bis zu sieben neuen Produkten, darunter drei Niedrignikotin-SKUs, zwei Natur-Stil-Marken und zwei Feuchtschnupfprodukte
- Lizenzgeb眉hrenstruktur an den Kunden f眉r jeden hergestellten und an Distributoren verkauften Karton
Diese strategische Vereinbarung st盲rkt die Position der 22nd Century Group im Tabakherstellungssektor und erweitert ihr Produktportfolio 眉ber die bisherige reine Zigarettenlieferung hinaus. Die Details der Vereinbarung werden im kommenden Gesch盲ftsbericht des Unternehmens vollst盲ndig offengelegt.
- Secured exclusive 5-year manufacturing agreement for Pinnacle brands, expanding beyond current production scope
- Agreement includes expansion into new product categories: 3 low nicotine SKUs, 2 natural style brands, and 2 moist snuff products
- Enhanced partnership with existing customer demonstrates strong business relationship and potential for long-term revenue growth
- Company must pay royalties to Customer for manufactured cigarettes, which could impact profit margins
Insights
22nd Century secures exclusive 5-year manufacturing agreement for Pinnacle brands, expanding beyond current production into new product categories.
The filing reveals 22nd Century Group has significantly upgraded its relationship with an existing customer through a new Master Services Agreement that makes them the exclusive manufacturer of the customer's Pinnacle cigarette and moist snuff brands for five years. This represents a substantial expansion from their previous supply agreement, which was limited to current cigarette styles.
The new agreement encompasses four existing Pinnacle cigarette brands plus potential for up to seven new product SKUs - including three low-nicotine variants, two natural-style brands, and two moist snuff products. This product diversification is particularly strategic as it extends 22nd Century's manufacturing footprint into the smokeless tobacco category while leveraging their expertise in reduced-nicotine products.
The five-year exclusivity term provides meaningful revenue visibility and strengthens 22nd Century's position in contract manufacturing. Under the royalty structure, 22nd Century will pay the customer for each cigarette carton manufactured and sold to distributors, suggesting the company maintains distribution rights and potentially higher margins than a typical contract manufacturing arrangement. This agreement appears designed to deepen the partnership while creating additional revenue streams through new product categories.
22nd Century Group (XXII) ha siglato un importante Accordo Quadro di Servizi con un cliente gi脿 esistente, ampliando la loro collaborazione nella produzione. Il nuovo accordo esclusivo della durata di cinque anni rappresenta un'espansione significativa rispetto al precedente rapporto di fornitura.
Gli aspetti principali dell'accordo includono:
- Diritti esclusivi di produzione per quattro marchi di sigarette Pinnacle gi脿 presenti nella distribuzione al dettaglio
- Diritti di produzione per fino a sette nuovi prodotti, tra cui tre SKU a basso contenuto di nicotina, due marchi in stile naturale e due prodotti di tabacco umido
- Struttura di pagamento di royalty al Cliente per ogni cartone prodotto e venduto ai distributori
Questo accordo strategico rafforza la posizione di 22nd Century Group nel settore della produzione di tabacco ed espande il loro portafoglio prodotti oltre la precedente fornitura esclusiva di sigarette. I dettagli dell'accordo saranno completamente divulgati nel prossimo Rapporto Annuale della societ脿.
22nd Century Group (XXII) ha firmado un importante Acuerdo Marco de Servicios con un cliente existente, ampliando su asociaci贸n de fabricaci贸n. El nuevo acuerdo exclusivo de cinco a帽os representa una expansi贸n significativa de su relaci贸n previa de suministro.
Los aspectos clave del acuerdo incluyen:
- Derechos exclusivos de fabricaci贸n para cuatro marcas existentes de cigarrillos Pinnacle actualmente en distribuci贸n minorista
- Derechos para fabricar hasta siete nuevos productos, incluyendo tres SKU de bajo contenido de nicotina, dos marcas de estilo natural y dos productos de rap茅 h煤medo
- Estructura de pago de regal铆as al Cliente por cada cart贸n fabricado y vendido a distribuidores
Este acuerdo estrat茅gico fortalece la posici贸n de 22nd Century Group en el sector de fabricaci贸n de tabaco y ampl铆a su portafolio de productos m谩s all谩 de su anterior acuerdo exclusivo de suministro de cigarrillos. Los detalles del acuerdo se divulgar谩n completamente en el pr贸ximo Informe Anual de la compa帽铆a.
22nd Century Group (XXII)臧� 旮办〈 瓿犼皾瓿� 欷戩殧頃� 毵堨姢韯� 靹滊箘鞀� 瓿勳暯鞚� 觳搓舶頃橃棳 鞝滌“ 韺岉姼雱堨嫮鞚� 頇曥灔頄堨姷雼堧嫟. 靸堧鞖� 5雲� 霃呾爯 瓿勳暯鞚� 鞚挫爠 瓿店笁 甏�瓿勲ゼ 韥矊 頇曥灔頃� 瓴冹瀰雼堧嫟.
瓿勳暯鞚� 欤检殧 雮挫毄鞚� 雼れ潓瓿� 臧欖姷雼堧嫟:
- 順勳灛 靻岆Г 鞙犿喌 欷戩澑 雱� 臧�歆� 旮办〈 Pinnacle 雼措鞍 敫岆灉霌�鞐� 雽�頃� 霃呾爯 鞝滌“ 甓岆Μ
- 鞝�雼堨綌韹� SKU 靹� 臧�歆�, 雮挫稊霟� 鞀ろ儉鞚� 敫岆灉霌� 霊� 臧�歆�, 鞀奠嫕 鞀る剤頂� 鞝滍拡 霊� 臧�歆�毳� 韽暔頃� 斓滊寑 鞚缄潮 臧�歆� 鞁犾牅頀� 鞝滌“ 甓岆Μ
- 鞝滌“ 氚� 鞙犿喌鞐呾泊鞐� 韺愲Г霅橂姅 臧� 旃错啢鞐� 雽�頃� 瓿犼皾鞐愱矊 歆�旮夒悩電� 搿滌棿韹� 甑“
鞚� 鞝勲灥鞝� 瓿勳暯鞚� 22nd Century Group鞚� 雼措鞍 鞝滌“ 攵勳暭鞐愳劀鞚� 鞛呾毳� 臧曧檾頃橁碃, 鞚挫爠鞚� 雼措鞍 雼澕 瓿店笁 瓿勳暯鞚� 雱橃柎 鞝滍拡 韽姼韽措Μ鞓るゼ 頇曥灔頃╇媹雼�. 瓿勳暯 靹鸽秬 靷暛鞚� 須岇偓鞚� 雼れ潓 鞐半 氤搓碃靹滌棎靹� 鞕勳爠頌� 瓿店皽霅� 鞓堨爼鞛呺媹雼�.
22nd Century Group (XXII) a conclu un accord-cadre de services important avec un client existant, 茅largissant ainsi leur partenariat de fabrication. Ce nouvel accord exclusif de cinq ans repr茅sente une expansion substantielle de leur relation d'approvisionnement pr茅c茅dente.
Les points cl茅s de l'accord comprennent :
- Les droits exclusifs de fabrication pour quatre marques de cigarettes Pinnacle existantes actuellement en distribution au d茅tail
- Les droits de fabrication pour jusqu'脿 sept nouveaux produits, incluant trois r茅f茅rences 脿 faible teneur en nicotine, deux marques de style naturel et deux produits de tabac humide
- Une structure de paiement de redevances au client pour chaque carton fabriqu茅 et vendu aux distributeurs
Cet accord strat茅gique renforce la position de 22nd Century Group dans le secteur de la fabrication de tabac et 茅tend leur portefeuille de produits au-del脿 de leur pr茅c茅dent accord de fourniture exclusif de cigarettes. Les d茅tails de l'accord seront enti猫rement divulgu茅s dans le prochain rapport annuel de la soci茅t茅.
22nd Century Group (XXII) hat eine bedeutende Master-Services-Vereinbarung mit einem bestehenden Kunden abgeschlossen und damit ihre Fertigungspartnerschaft erweitert. Die neue f眉nfj盲hrige Exklusivvereinbarung stellt eine erhebliche Erweiterung der bisherigen Lieferbeziehung dar.
Wesentliche Aspekte der Vereinbarung umfassen:
- Exklusive Herstellungsrechte f眉r vier bestehende Pinnacle-Zigarettenmarken, die derzeit im Einzelhandel vertrieben werden
- Rechte zur Herstellung von bis zu sieben neuen Produkten, darunter drei Niedrignikotin-SKUs, zwei Natur-Stil-Marken und zwei Feuchtschnupfprodukte
- Lizenzgeb眉hrenstruktur an den Kunden f眉r jeden hergestellten und an Distributoren verkauften Karton
Diese strategische Vereinbarung st盲rkt die Position der 22nd Century Group im Tabakherstellungssektor und erweitert ihr Produktportfolio 眉ber die bisherige reine Zigarettenlieferung hinaus. Die Details der Vereinbarung werden im kommenden Gesch盲ftsbericht des Unternehmens vollst盲ndig offengelegt.
FAQ
What major agreement did XXII announce in its June 2025 8-K filing?
How long is XXII's new manufacturing agreement valid for?
What products are covered under XXII's new manufacturing agreement?
How does XXII's new agreement differ from their previous arrangement with the customer?
What are the financial terms of XXII's new manufacturing agreement?
