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Reynolds expanding e-cigarette production

By WTOP Staff

MICHAEL FELBERBAUM
AP Tobacco Writer

RICHMOND, Va. (AP) — Reynolds American Inc. is expanding its Tobaccoville, North Carolina, manufacturing complex as it plans national distribution of its Vuse brand electronic cigarette this summer, the company said Friday.

The owner of nation’s second-biggest tobacco company did not disclose the costs related to the ramp-up, which will include a multi-million dollar investment for high-speed manufacturing equipment, for competitive reasons but said the move would create more than 200 jobs over the next four years.

Reynolds, based in Winston-Salem, North Carolina, launched Vuse in Colorado last June and plans the initial wave of national distribution next month.

Production is currently done at a contractor facility in Kansas, but the company said more production will be needed for the foreseeable future to meet anticipated market demand. The company will carve out about 70,000 square feet of space in its existing 2 million-square-foot Tobaccoville facility. It does not publicly provide the number of employees that work at the plant that also makes its cigarette brands, including Camel and Pall Mall.

The market for e-cigarettes has grown from the thousands of users in 2006 to several million worldwide and reached nearly $2 billion in sales last year. The battery-powered devices that heat a liquid nicotine solution, creating vapor that users inhale. E-cigarette users say the devices address both the addictive and behavioral aspects of smoking without the thousands of chemicals found in regular cigarettes. The Food and Drug Administration last month proposed regulating electronic cigarettes.

Reynolds says the rechargeable Vuse e-cigarette has technology that monitors and adjusts heat and power more than 2,000 times per second to deliver the “perfect puff.” It also has a smart light on the tip of to let users know when it’s getting low, needs to be replaced or recharged.

“This is all about smokers getting satisfaction from these alternatives and how many smokers find that an acceptable way to enjoy nicotine instead of smoking tobacco products,” Reynolds CEO Susan Cameron said at a news conference Friday with North Carolina Gov. Pat McCrory. “I think we’ll see this evolve and it’s certainly in growth mode, but how big and how fast, we really don’t know yet.”

The nation’s biggest tobacco companies all have entered into the fast-growing electronic cigarette business as part of an industry wide push to diversify beyond the traditional cigarette business, which has become tougher in the face of tax hikes, smoking bans, health concerns and social stigma.

Altria Group Inc., owner of the nation’s biggest cigarette maker, Philip Morris USA, plans to expand its MarkTen electronic cigarette brand nationally during the first half of the year. Lorillard Inc., the nation’s third-biggest tobacco company, acquired e-cigarette maker Blu Ecigs in April 2012. Blu now accounts for almost half of all e-cigarettes sold.

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Michael Felberbaum can be reached at http://www.twitter.com/MLFelberbaum .

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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