Reynolds American Announces Results of 2008 Shareholders´ Meeting; Board Declares Quarterly Cash Dividend; Appoints New Lead Director

WINSTON-SALEM, N.C., May. 06 /PRNewswire/ --

WINSTON-SALEM, N.C., May 6 /PRNewswire-FirstCall/ -- At their annual meeting today, shareholders of Reynolds American Inc. re-elected four directors; ratified the appointment of KPMG LLP as independent auditors for RAI's 2008 fiscal year; and defeated three shareholder proposals. At a meeting later in the day, the company's board declared a quarterly dividend of $0.85 per share and appointed a new lead director.

Re-elected today as Class I directors (with terms that expire in 2011) were: Betsy S. Atkins, Nana Mensah and John J. Zillmer. Re-elected as a Class III director (with a term expiring in 2010) was Lionel L. Nowell, III. The RAI board of directors has 11 members who are divided into three classes, serving staggered terms.

At a board meeting following the annual shareholders' meeting, the RAI board declared a quarterly cash dividend on the company's common stock of $0.85 per share ($3.40 per share annualized). The dividend will be payable on July 1, 2008, to shareholders of record on June 10, 2008. This is the 16th consecutive quarterly cash dividend that Reynolds American has declared since it became a publicly traded company on July 30, 2004. RAI's policy is to return about 75 percent of the company's current-year net income to shareholders in the form of dividends.

Also during the board meeting, the RAI board appointed Thomas C. Wajnert as lead director, replacing General John T. Chain Jr., who has retired from the board.

ABOUT US

Reynolds American Inc. is the parent company of R.J. Reynolds Tobacco Company; Conwood Company, LLC; Santa Fe Natural Tobacco Company, Inc; and R.J. Reynolds Global Products, Inc.

- R.J. Reynolds Tobacco Company is the second-largest U.S. tobacco company. The company's brands include five of the 10 best-selling cigarettes in the United States: Camel, Kool, Pall Mall, Winston and Doral. - Conwood Company, LLC is the nation's second-largest manufacturer of smokeless tobacco products. Its leading brands are Kodiak, Grizzly and Levi Garrett. Conwood also sells and distributes a variety of tobacco products manufactured by Lane, Limited, including Winchester and Captain Black little cigars, and Bugler roll-your-own tobacco. - Santa Fe Natural Tobacco Company, Inc. manufactures Natural American Spirit cigarettes and other additive-free tobacco products, and manages and markets other super-premium brands. - R.J. Reynolds Global Products, Inc., directly or through others, manufactures, sells and/or distributes American-blend cigarettes, including Natural American Spirit, and other tobacco products to a variety of customers in selected markets outside the United States.

Copies of RAI's news releases, annual reports, SEC filings and other financial materials are available at www.ReynoldsAmerican.com.