August 20, 2008

Tobacco One, Inc. Obtains Agreement to Sell and Promote Its New “ROJO’s” Brand Cigarette Within Mexico’s Vast Taxi Network

Tobacco One, Inc. (Pink Sheets: TBCO), is pleased to announce that it has recently entered into an exclusive distribution agreement with Consejo Nacional Del Transporte of Mexico City, Mexico. Consejo Nacional Del Transporte is the governing taxi union body and will act as the gateway for Tobacco One's exposure in over 120,000 taxicabs nationwide. This agreement was signed and authorized by Union Leader Pablo Cruz Maldonado. Tobacco One began a test market of 600 taxi cabs on Saturday, August 16, 2008. Tobacco One President Shawn Ulizio commented, "This agreement further demonstrates Tobacco One's commitment of creatively selling and promoting our Rojo's brand in all available venues throughout Mexico and Latin America. Our management team in Mexico is to be commended for all of their accomplishments over the last month." The taxi program will be a voluntary participation program for up to 120,000 drivers who will exclusively offer Rojo's brand cigarettes for sale to potentially millions of customers weekly.

About Tobacco One, Inc.

Tobacco One, Inc. designs, creates, and brings to market innovative smoking products. Through vertical integration and an aggressive acquisition plan, Tobacco One is positioned to become a premier supplier in the industry. Development of a national distribution network will serve to properly brand the company's own cutting-edge product line currently under development. Tobacco One is focused on specialty cigars, cigarettes and other tobacco products (OTP) with an emphasis on the international marketplace.

Safe Harbor Statement

Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipate,""believe,""estimate,""may,""intend,""expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors available from the Company.