Geneva, Switzerland / San Francisco, California (ots) - Japan Tobacco
International (JTI) and Ploom announced today that they have entered
into a strategic agreement. Under the exclusive long-term cooperation
agreement, JTI will commercialize Ploom's new generation smoking
alternative products outside the United States. As part of the
agreement, JTI has taken a minority stake in Ploom.

Founded in 2007 and based in San Francisco, Ploom designs and
develops pocket-sized smoking devices that heat tobacco contained in
pods to a constant temperature, vaporizing nicotine and flavor
without burning the materials or producing smoke. Ploom was
originally developed by Adam Bowen and James Monsees while graduate
students at Stanford University.

"Anticipating consumers' expectations is what JTI does best," said
Frits Vranken, Senior Vice President for Business Development at JTI.
"We are convinced that products sold under this agreement will be
received with enthusiasm by smokers seeking an alternative to
cigarettes and conventional tobacco products."

"Ploom has a unique product, in-house engineering and excellent
technical and design capabilities," said James Monsees, Chief
Executive Officer of Ploom. "We are very pleased to partner with JTI
as their deep expertise, global distribution networks and capital
resources will enable us to enter our next phase of growth and
capitalize on global expansion opportunities."

JTI is the international tobacco business of its parent, Japan
Tobacco Inc. (JT), a leading international tobacco company with
products sold in 120 countries. Detailed commercial information will
be available to JTI trade partners in relevant markets in due time.

Ploom management will remain in place and continue to operate Ploom
as a separate company.

Further information can be found on the companies' websites at
www.ploom.com and www.jti.com

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