STG Forms New Distribution Company for Premium Sector
The Scandinavian Tobacco Group, parent company of General Cigar Co., has created a new distributor for its premium cigar division in the U.S. called The Forged Cigar Company. Operating as an independent network, the new entity will join General in distributing STG’s handmade cigars throughout the country.
Starting February 1, Forged will assume distribution of brands such as the Dominican Partagas, Dominican La Gloria Cubana, Bolivar Cofradia, Diesel and Chillin’ Moose, while General will continue to distribute Macanudo, CAO, the Dominican Cohiba, non-Cuban Punch, non-Cuban Hoyo de Monterrey and others.
According to STG, Forged was established so that the company’s large portfolio of brands could be better managed and retailers more effectively serviced.
“In having two separate sales companies, we will have more feet on the street to better serve the needs of STG’s retail partners,” said Regis Broersma, senior vice president of STG’s North American branded and rest of world division. “When we announced last year our withdrawal from the annual PCA show, we committed to investing funds back into the premium cigar category. With The Forged Cigar Company, we are doing just that with a multimillion dollar investment in the brick-and-mortar channel.”
Forged consists of its own 12-person sales team headed by national sales manager Sean Hardiman.
STG has been in control of General Cigar since 2010 after it merged with Swedish Match (which had acquired General in 2005). Based in Denmark, STG is one of the largest producers of handmade cigars for the U.S. market, with factories in Honduras, Nicaragua and the Dominican Republic.