Interim Report January – March 2016

· Sales increased by 6 percent to 3,557 MSEK (3,368) for the first quarter. In
local currencies, sales increased by 7 percent.
  · Operating profit from product areas1) increased by 8 percent to 939 MSEK
(866) for the first quarter. In local currencies, operating profit from product
areas1) increased by 10 percent.
  · Growth of sales and operating profit from product areas1) was positively
affected by lower trade destocking in Scandinavia in 2016 than in 2015.
  · Operating profit2) amounted to 1,711 MSEK (1,014) for the first quarter,
including larger one-time items of 704 MSEK relating to the capital gains of the
previously announced partial divestment of STG and the divestment of
distribution center real estate.
  · Earnings per share amounted to 7.44 SEK (3.68) for the first quarter.
Adjusted earnings per share increased by 9 percent to 3.71 SEK (3.40)3).
  · As previously announced, STG was listed on Nasdaq Copenhagen during the
first quarter and in connection with the listing, Swedish Match reduced its
ownership in STG from 49 percent to 31.1 percent.

1) Operating profit for Swedish Match product areas, which excludes larger one
-time items and share of net profit in STG.
2) Operating profit for the Group includes larger one-time items and share of
net profit in STG. Swedish Match’s share of net profit in STG is reported with a
one quarter lag. For the first quarter 2016, Swedish Match’s reported share of
STG’s net profit represents 31.1 percent of STG’s fourth quarter 2015 net
profit.
3) Adjusted for Swedish Match’s larger one-time items in 2016 and the adjustment
of share of profit in STG for the reassessment of useful lives of certain assets
(primarily trademarks) in the first quarter 2015.
For the full report: http://www.swedishmatch.com/investors/

Swedish Match telephone conference
A telephone conference will be held today, Wednesday, May 4 at 11:30 a.m. (CET),
(10:30 a.m. UK time). At this time we will review and comment on the results.
Participants will include Lars Dahlgren, Marlene Forsell, and Emmett Harrison.
Listen to the telephone conference live at:
http://www.swedishmatch.com/investors/

Replay will be available for 30 days at the link above as well as on telephone
number:
UK replay number: +44 20 7031 4064, access code: 957775
US replay number: +1 888 365 0240, access code: 957775
Swedish replay number: +46 8 505 203 33, access code: 957775
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Contacts:

Lars Dahlgren, President and Chief Executive Officer
Office +46 8 658 0441

Marlene Forsell, Senior Vice President and Chief Financial Officer
Office +46 8 658 0489

Emmett Harrison, Senior Vice President Investor Relations and Corporate
Sustainability
Office +46 8 658 0173

Richard Flaherty, President US Division, US Investor Relations contact
Office +1 804 787 5130
___________
The character of the information in this report is such that it shall be
disclosed by Swedish Match AB (publ) in accordance with the Swedish Securities
Markets Act. The information was disclosed to the media on May 4, 2016 at 08.15
a.m. (CET).
___________

Swedish Match develops, manufactures, and sells quality products with market
-leading brands in the product areas Snus and moist snuff, Other tobacco
products (cigars and chewing tobacco), and Lights (matches, lighters, and
complementary products). Production is located in six countries, with sales
concentrated in Scandinavia and the US. The Swedish Match share is listed on
Nasdaq Stockholm (SWMA).

Swedish Match’s vision is a world without cigarettes. Some of its well-known
brands include: General, Longhorn, White Owl, Red Man, Fiat Lux, and Cricket.

___________

Swedish Match AB (publ), SE-118 85 Stockholm, Sweden
Visiting address: Sveavägen 44, 8th Floor. Telephone: +46 8 658 0200
Corporate Identity Number: 556015-0756
www.swedishmatch.com