News Release

MIAMI, FL, May 29, 2013 -- Vector Group Ltd. (NYSE: VGR) (the “Company”) today announced that it has extended the expiration of its exchange offer from 5:00 p.m., New York City Time, on May 28, 2013 to 5:00 p.m., New York City Time, on June 4, 2013. Pursuant to the exchange offer, the Company has offered to exchange $450,000,000 in aggregate principal amount of its 7.750% Senior Secured Notes due 2021 (the “Original Notes”), which were issued in February 2013 in a private placement pursuant to exemptions from registration under the Securities Act of 1933, as amended (the “Securities Act”), for an equal amount of newly issued 7.750% Senior Secured Notes due 2021 (the “New Notes”) which have been registered under the Securities Act. The New Notes will have substantially the same terms as the Original Notes, except that the New Notes will be registered under the Securities Act. 

As of 5:00 p.m., New York City time, on May 28, 2013, $449,981,000 in aggregate principal amount of the Original Notes (or approximately 99.996% of the Original Notes) had been tendered pursuant to the exchange offer. The exchange offer has been extended in order to allow additional time for the holders of the remaining $19,000 aggregate principal amount of the Original Notes to participate in the exchange offer. 

Except for the extension of the expiration date of the exchange offer for the Original Notes, all other terms, conditions and provisions of the exchange offer remain effective as of the date hereof. 

The terms of the exchange offer and other information relating to Vector Group Ltd. are set forth in the prospectus dated April 26, 2013. Copies of the prospectus and the related letter of transmittal may be obtained from U.S. Bank National Association (“U.S. Bank”), which is serving as the exchange agent in connection with the exchange offer. Questions concerning the delivery of appropriate documentation for the exchange offer should be directed to the U.S. Bank. U.S. Bank’s address, telephone number and facsimile number are as follows: 

U.S. Bank National Association 
60 Livingston Avenue 
EP-MN-WS3C 
St. Paul, MN 55107-2292 
Attention: Specialized Finance Department 
Phone: (800) 934-6802 
Facsimile: (651) 466-7372 

The Original Notes have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
This press release shall not constitute an offer to exchange or a solicitation of an offer to exchange the Original Notes. The exchange offer is made only by the prospectus dated April 26, 2013. 

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Vector Group Ltd. is a holding company that indirectly owns Liggett Group LLC and Vector Tobacco Inc. and directly owns New Valley LLC. 

Contact:
Paul Caminiti / Jonathan Doorley
Sard Verbinnen & Co
212-687-8080