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Alliance One International Resolves FCPA Matter with DOJ and the SEC

MORRISVILLE, N.C., Aug 11, 2010 /PRNewswire via COMTEX/ -- Alliance One International, Inc. (NYSE: AOI) today announced that the Company has reached settlements with the Securities and Exchange Commission ("SEC") and the Department of Justice ("DOJ"), concluding investigations of the Company relating to alleged violations of the Foreign Corrupt Practices Act ("FCPA") that occurred prior to the merger that formed the Company in May, 2005. Although, the settlements with both the SEC and the DOJ remain contingent on court approval, the agreed settlement amounts, as previously disclosed, were fully accrued in the Company's fiscal year 2010.

Pursuant to the settlement negotiated with DOJ, two of the Company's foreign subsidiaries, Alliance One Tobacco Osh, LLC and Alliance One International AG (successors to DIMON International (Kyrgyzstan) and DIMON International AG, respectively), agreed to plead guilty to FCPA violations committed by DIMON International (Kyrgyzstan) and DIMON International AG prior to the merger creating AOI, and to pay fines totaling $9.45 million. On August 6, 2010 Alliance One Tobacco Osh, LLC and Alliance One International AG entered the agreed guilty pleas in the U.S. District Court for the Western District of Virginia in Danville, Virginia. A sentencing hearing is scheduled for October 21, 2010. Noting among other things the Company's self-disclosure and cooperation, DOJ has indicated, subject to the Company's compliance with the settlement, it does not intend to separately charge the Company with any criminal violations arising out of the pre-merger conduct of DIMON International (Kyrgyzstan) and DIMON International AG.

The settlement negotiated with the SEC includes the Company's agreement to disgorge profits in the amount of $10 million and to abide by an injunction against further FCPA violations. Pursuant to this settlement, on August 6, 2010 the SEC filed in the U.S. District Court for the District of Columbia a Complaint alleging the Company violated the FCPA's books and records, internal controls, and anti-bribery provisions in connection with conduct that occurred prior to the merger that created Alliance One.

Both settlements require the Company to retain an independent compliance monitor for a term of three years. If the courts approve the settlements there are not expected to be any further penalties or fines.

R. E. Harrison, the Company's Chairman and Chief Executive Officer, stated:

Our Company is committed to the highest standards of conduct in all transactions in all jurisdictions where we do business throughout the world. In these cases, although occurring prior to our merger in May, 2005, the conduct by those predecessor companies did not meet our standards and we believe it to be in the best interest of the Company, our shareholders and our other stakeholders to put these issues behind us by means of these negotiated agreements.

As indicated in our agreement with the DOJ, we have cooperated fully throughout the course of this investigation and believe that since our merger we have demonstrated our complete commitment to conducting our business in accordance with the highest standards of legal and ethical conduct.

About Alliance One

Alliance One International is a leading independent leaf tobacco merchant serving the world's large multinational cigarette manufacturers.

www.aointl.com

This press release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations of future events. Such statements include, but are not limited to, statements about future financial and operating results, plans, objectives, expectations and intentions and other statements that are not historical facts. Such statements are based on the current beliefs and expectations of management and are subject to significant risks and uncertainties. If underlying assumptions prove inaccurate or unknown risks or uncertainties materialize, actual results may differ materially from current expectations and projections. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: changes in the timing of anticipated shipments, changes in anticipated geographic product sourcing, political instability in sourcing locations, currency and interest rate fluctuations, shifts in the global supply and demand position for tobacco products, and the impact of regulation and litigation on customers. Additional factors that could cause AOI's results to differ materially from those described in forward-looking statements can be found in AOI's Annual Reports on Form 10-K and other filings with the Securities and Exchange Commission (the "SEC") which are available at the SEC's Internet site (http://www.sec.gov).

SOURCE Alliance One International, Inc.

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