22nd Century Group Inc. (NASDAQ: XXII) announced plans to expand its retail footprint and increase marketing for its VLN reduced-nicotine cigarettes in 2026, according to a letter from Chairman and CEO Lawrence Firestone to stockholders.

The company plans to add retailers in new states and increase outlet density where VLN products are already available. Firestone stated the company will devote significantly more resources to marketing activities, noting that most smokers have not heard of VLN cigarettes.

VLN cigarettes contain 95% less nicotine than traditional cigarettes and are the only low-nicotine combustible cigarette authorized by the FDA. The product uses the company's proprietary non-GMO tobacco plants developed through patented technologies.

The company reintroduced VLN cigarettes to the market over the past year and reports seeing initial sales and early consumer adoption across retail outlets. Firestone described this as encouraging baseline consumer traction that provides a foundation for expanded marketing efforts.

22nd Century Group has operated for 28 years developing reduced-nicotine tobacco products. The company's technology regulates alkaloid biosynthesis activities in tobacco plants, resulting in plants that contain 95% less nicotine than traditional tobacco.

Firestone stated the company aims to scale domestically and internationally over time while developing a diversified low-nicotine product portfolio and maintaining distribution partnerships. The letter emphasized the company's focus on addressing nicotine addiction among the approximately 28 million Americans who smoke.

The information was provided in a stockholder letter issued by the company.