Swedish Match announces reduction of shares and share capital

10/18/2001 8:57 AM EST

The resolution by the General Meeting of Shareholders of April 24, 2001,
concerning the reduction of share capital in Swedish Match has been
registered at Patent- och Registreringsverket. The reduction concerns
15,000,000 repurchased shares which implies that the shares now have
been cancelled.

After the reduction the shares in the Company amounts to 371,596,181 and
Swedish Match currently holds 14,577,000 shares in the Company.
According to the General Meeting of Shareholders resolution Swedish
Match's holding of shares in the Company may amount to 10 percent of the
total number of shares in the Company, which means that another 22.6
million shares can be repurchased within the framework of the mandate.

Swedish Match is an international group with headquarters in Stockholm,
Sweden. The company manufactures a broad range of non-cigarette tobacco
products, matches and disposable lighters which are sold in
approximately 140 countries. Sales for the twelve month period ending
June 30, 2001 amounted to 12,832 MSEK. Swedish Match is listed on
Stockholmsbörsen (SWMA) and on NASDAQ (SWMAY).

For further information, please contact:

Lennart Sundén, President and Chief Executive office +46 8 658 01 75
Officer

Sven Hindrikes, Executive Vice President and office +46 8 658 02 82
Chief Financial Officer


Bo Aulin, Senior Vice President, Secretary office +46 8 658 03 64
and General Counsel mobile +46 70 558 03 64

Emmett Harrison, Vice President, Investor office +46 8 658 01 73
Relations
mobile +46 70 938 01 73