"British American Tobacco Takes $31.5 Billion Hit on US Cigarette Brands"
British American Tobacco (BAT) announced a write-down of approximately $31.5 billion from the value of its U.S. cigarette brands, acknowledging the lack of a long-term future for its traditional market. BAT cited stricter regulations, health risks, economic challenges, and the rise of illicit disposable vapes as factors contributing to declining cigarette volumes. The company plans to adjust the treatment of some U.S. brands on its balance sheet, shifting their value to a finite lifetime of 30 years. BAT's shares fell over 8%, and it became the first major cigarette player to acknowledge the expiry date of its tobacco brands' value. BAT also set a new goal to generate 50% of its revenues from non-combustibles by 2025.