Lane Closing in US--Should I Worry?

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May 8, 2017
1,598
1,632
Sugar Grove, IL, USA
I checked their site, just now, but there is no information yet. There will be more info in the future, but I suspect that they will be discussing this with employees before they provide more details.


I just checked again, John. Looks like Leonard Wortzel, Vice President, Marketing and Product Development at Scandinavian Tobacco Group Lane posted this:

“...regarding the factory news...

First, nothing will happen for almost a year.

Second, the move will have zero impact on blend availability. Everything made here will be made there.

Third, it will have no impact on pricing. Import duties are pretty minimal, and the costs of production will go down significantly (hence the rationale for the closing in Tucker).

Finally, due to the FDA, we have no choice but to ensure every molecule of the blends that are coming out of Denmark match what has been coming out of Tucker.

Not a fun day during the announcement, needless to say (especially after having 30 staples pulled out of my $&#!* ankle that same morning), but I do appreciate the fact that STG was very transparent with factory employees, essentially giving them a year head’s up that their jobs will ultimately go away.

In the end it’s about those employees, and the realities of having mutilple factories that can perform identical tasks. From a pipe smoker standpoint, there will be no impact.”
 
I just checked again, John. Looks like Leonard Wortzel, Vice President, Marketing and Product Development at Scandinavian Tobacco Group Lane posted this:

“...regarding the factory news...

First, nothing will happen for almost a year.

Second, the move will have zero impact on blend availability. Everything made here will be made there.

Third, it will have no impact on pricing. Import duties are pretty minimal, and the costs of production will go down significantly (hence the rationale for the closing in Tucker).

Finally, due to the FDA, we have no choice but to ensure every molecule of the blends that are coming out of Denmark match what has been coming out of Tucker.

Not a fun day during the announcement, needless to say (especially after having 30 staples pulled out of my $&#!* ankle that same morning), but I do appreciate the fact that STG was very transparent with factory employees, essentially giving them a year head’s up that their jobs will ultimately go away.

In the end it’s about those employees, and the realities of having mutilple factories that can perform identical tasks. From a pipe smoker standpoint, there will be no impact.”


See? Occam's :)?
 

woodsroad

Lifer
Oct 10, 2013
11,741
15,954
SE PA USA
STG is closing their USA manufacturing plant (Lane, Ltd.) in no small part because so much of what they produce there will be banned from sale once the FDA deeming regs come into effect.

Simon is correct: 1Q is about to become Unobtanium, since there is no way in hell that EU Health officials would allow their much-coveted and well-protected workers to come in contact with that stuff.
 

Elric

Lifer
Sep 19, 2019
2,195
9,900
Liplapper Lane (Michigan)
tobaccocellar.com
STG is closing their USA manufacturing plant (Lane, Ltd.) in no small part because so much of what they produce there will be banned from sale once the FDA deeming regs come into effect.

Simon is correct: 1Q is about to become Unobtanium, since there is no way in hell that EU Health officials would allow their much-coveted and well-protected workers to come in contact with that stuff.

Haven't some of their blends been around for decades?
 
May 8, 2017
1,598
1,632
Sugar Grove, IL, USA
STG is closing their USA manufacturing plant (Lane, Ltd.) in no small part because so much of what they produce there will be banned from sale once the FDA deeming regs come into effect.

Simon is correct: 1Q is about to become Unobtanium, since there is no way in hell that EU Health officials would allow their much-coveted and well-protected workers to come in contact with that stuff.
Ha ha. Atta way to stir the pot!
@woodsroad
 
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woodsroad

Lifer
Oct 10, 2013
11,741
15,954
SE PA USA
Ha ha. Atta way to stir the pot!
@woodsroad

Just you wait!
"Ah, yes. That's late Lane-era IQ, before they moved production to China"

Haven't some of their blends been around for decades?
Some.
Actually, some of their best sellers have been around a very long time. But there is a lot of product that was introduced since '07 that will probably be going away. They have way too may brands anyway.
 

anotherbob

Lifer
Mar 30, 2019
15,772
29,574
45
In the semi-rural NorthEastern USA
do you have any idea how often this happens with other products you buy? Nope because it doesn't effect you in any appreciable way. And think about the profit that lane makes it would be incredibly foolish to just toss that away even if legislation effected the profitability of those blends. Sounds like business as usual for modern global manufacturing.
 
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