8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported) October 7, 2008

Reynolds American Inc.

(Exact Name of Registrant as Specified in its Charter)

North Carolina	1-32258	20-0546644
(State or Other Jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)

401 North Main Street,
Winston-Salem, NC 27101
(Address of Principal Executive Offices) (Zip Code)

Registrant’s telephone number, including area code: 336-741-2000

Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 2.06 Material Impairments.

     On September 9, 2008, Reynolds American Inc. (“RAI”) announced, in addition to restructuring charges and a workforce reduction related to changes planned in the organization structures at RAI and its largest subsidiary, R. J. Reynolds Tobacco Company (“RJRT”), that RJRT was modifying its brand-portfolio strategy. The modification designated RJRT’s premium menthol Kool brand as a support brand rather than as a growth brand.

     Under generally accepted accounting principles in the United States, RJRT is required to test the carrying value of its intangible assets annually, or more frequently if events or changes in circumstances (a “triggering event”) indicate that the asset might be impaired. The decision in the third quarter of 2008 to designate Kool as a support brand triggered testing of its trademark value for possible impairment.

     Based on the discounted cash flow projections of Kool as a support brand, on October 7, 2008, RJRT concluded that the fair value of its Kool trademark was less than its carrying value. As a result, RJRT will record a pre-tax, non-cash impairment charge of approximately $175 million in the third quarter of 2008.

     This impairment will not result in any future cash expenditures. This impairment charge does not affect the cash position of RJRT or RAI.

     A copy of the press release announcing the impairment charge is attached to this Current Report on Form 8-K as Exhibit 99.1.

ITEM 9.01 Financial Statements and Exhibits.

(d) Exhibits.

The following is furnished as an Exhibit to this Report.

Number	Exhibit
99.1	Press Release of Reynolds American Inc., dated October 9, 2008.

SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	REYNOLDS AMERICAN INC.
	By:	/s/ Frederick W. Smothers
		Name: Frederick W. Smothers Title:   Senior Vice President and Chief Accounting Officer
Date: October 9, 2008

INDEX TO EXHIBITS

Number	Exhibit
99.1	Press Release of Reynolds American Inc., dated October 9, 2008.

EX-99.1

Exhibit 99.1

Reynolds American Inc.
P.O. Box 2990
Winston-Salem, NC 27102-2990

Contact:	Investors:	Media:	RAI 2008-22
	Morris Moore	Maura Payne
	(336) 741-3116	(336) 741-6996

Change in focus for Kool triggers R.J. Reynolds charge

WINSTON-SALEM, N.C. — Oct. 9, 2008 — Reynolds American Inc. (NYSE: RAI) said today that its R.J. Reynolds Tobacco Company subsidiary will record a third-quarter pre-tax non-cash charge of approximately $175 million associated with the lower trademark value of its Kool cigarette brand.

As RAI noted in its restructuring announcement in September, R.J. Reynolds has moved Kool from a “growth” brand to a “support” brand. Under accounting rules, that triggered an analysis of the trademark’s value. The reduction in Kool’s value is due to the reduced marketing support the brand will receive going forward. With this change, R.J. Reynolds has two growth brands, Camel and Pall Mall.

The company will include the impact of this charge in its third-quarter earnings, which will be released on Oct. 22.

ABOUT US

Reynolds American Inc. (NYSE: RAI) 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.

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