Profile: Universal Corp (UVV)
24 Jun 2016
Universal Corporation, incorporated on June 8, 1992, is a global leaf tobacco supplier. The Company is engaged in procuring, financing, processing, packing, storing and shipping flue-cured and burley leaf tobacco for manufacturers of consumer tobacco products. The Company's operating segment includes North America, South America, Africa, Europe, Asia, Dark Air-Cured, Oriental and Special Services. North America, South America, Africa, Europe, and Asia are involved in flue-cured and/or burley leaf tobacco operations for supply to cigarette manufacturers. The Dark Air-Cured group supplies dark air-cured tobacco to manufacturers of cigars, pipe tobacco, and smokeless tobacco products. The Oriental business supplies oriental tobacco to cigarette manufacturers. Special Services includes the Company's laboratory services business, which provides physical and chemical product testing and smoke testing for customers, as well as its liquid nicotine joint venture and its food and vegetable ingredients business.
Through its subsidiaries and affiliates located in tobacco-growing countries around the world, the Company contracts, purchases, processes and sells flue-cured and burley tobaccos, as well as dark air-cured and oriental tobaccos. Flue-cured, burley, and oriental tobaccos are used in the manufacture of cigarettes, and dark air-cured tobaccos are used in the manufacture of cigars, smokeless, and pipe tobacco products. The Company also provides value-added services to its customers, including blending, chemical and physical testing of tobacco, service cutting for select manufacturers, manufacturing reconstituted leaf tobacco and managing just-in-time inventory. In addition, the Company is also engaged in tobacco and other agribusiness opportunities. The Company conducts its business in various countries, including Bangladesh, Brazil, the Dominican Republic, Germany, Guatemala, Hungary, India, Indonesia, Italy, Malawi, Mexico, Mozambique, the Netherlands, Nicaragua, Paraguay, the People's Republic of China, the Philippines, Poland, Russia, Singapore, South Africa, Spain, Switzerland, Tanzania, the United States, Zambia, and Zimbabwe. In addition, its oriental tobacco joint venture, Socotab, L.L.C. has operations in Bulgaria, Greece, Macedonia and Turkey. Africa, Brazil, and the United States produce approximately 60% of the flue-cured and burley tobacco grown outside of China.
The Company's processing of leaf tobacco includes grading in the factories, blending, removal of non-tobacco material, separation of leaf from the stems, drying, packing to precise moisture targets for proper aging, as well as temporary storage. The Company's d operate in dark tobacco producing countries, including the United States, the Dominican Republic, Indonesia, Paraguay, the Philippines, Nicaragua and Brazil. Dark tobaccos are used in the manufacture of cigars, pipe tobacco, and smokeless tobacco products, and as components of certain roll-your-own cigarette products. The Company contracts directly with tobacco farmers or tobacco farmer cooperatives. In countries outside the United States, the Company advance seed, fertilizer and other agricultural inputs to farmers. These advances are repaid by farmers with the tobacco they produce. The Company's Good Agricultural Practices programs educate farmers in such matters as the reduction of non-tobacco related materials, product traceability, environmental sustainability, and social responsibility. In Malawi and Zimbabwe, the Company also purchases some tobacco under auction systems.
The Company competes with Alliance One International, Inc.
9201 Forest Hill Ave
RICHMOND VA 23235-6865