(WINSTON-SALEM) --  Reynolds American, Inc. reported first-quarter net income of $270 million, or 47 cents per share. This compared to net income of $381 million, or 65 cents per share during the same period of the prior year.

“Our industry is transforming and we intend to maintain our growth momentum,” said RAI president and chief executive officer, Daniel M. Delen. “Despite the intense competitive environment in the first quarter, we have the financial resources and employees aligned behind the right programs and processes.

The Winston-Salem based company blamed the 29 percent first quarter profit decline on restructuring charges and shrinking sales.  The company's first quarter sales were off about 6 percent when compared to the first quarter of 2011. Even though higher prices were in place, it was not enough to offset the negative factors.