Turning Point Brands (TPB) 10-Q 7 Nov 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Nov. 01, 2018
Entity Information [Line Items]
Entity Registrant Name	Turning Point Brands, Inc.
Entity Central Index Key	1,290,677
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Voting Common Stock [Member]
Entity Information [Line Items]
Entity Common Stock, Shares Outstanding		19,549,301

Consolidated Balance Sheets (un

Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Current assets:
Cash	$ 1,631	$ 2,607
Accounts receivable, net of allowances of $44 in 2018 and $17 in 2017	6,603	3,248
Inventories	89,433	63,296
Other current assets	14,556	10,342
Total current assets	112,223	79,493
Property, plant, and equipment, net	10,585	8,859
Deferred income taxes	0	450
Deferred financing costs, net	922	630
Goodwill	146,328	134,620
Other intangible assets, net	35,140	26,436
Master Settlement Agreement (MSA) escrow deposits	29,926	30,826
Other assets	1,207	963
Total assets	336,331	282,277
Current liabilities:
Accounts payable	8,760	3,686
Accrued liabilities	17,401	18,694
Current portion of long-term debt	8,000	7,850
Revolving credit facility	30,000	8,000
Total current liabilities	64,161	38,230
Notes payable and long-term debt	188,529	186,190
Deferred income taxes	2,178	0
Postretirement benefits	3,916	3,962
Other long-term liabilities	558	571
Total liabilities	259,342	228,953
Commitments and contingencies
Stockholders' equity:
Preferred stock; $0.01 par value; authorized shares 40,000,000; issued and outstanding shares -0-	0	0
Additional paid-in capital	110,074	103,640
Accumulated other comprehensive loss	(3,681)	(2,973)
Accumulated deficit	(29,599)	(47,535)
Total stockholders' equity	76,989	53,324
Total liabilities and stockholders' equity	336,331	282,277
Common Stock, Voting [Member]
Stockholders' equity:
Common stock	195	192
Common Stock, Nonvoting [Member]
Stockholders' equity:
Common stock	$ 0	$ 0

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Current assets:
Accounts receivable, allowance	$ 44	$ 17
Stockholders' equity:
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	40,000,000	40,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common Stock, Voting [Member]
Stockholders' equity:
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	190,000,000	190,000,000
Common stock, shares issued (in shares)	19,540,593	19,210,633
Common stock, shares outstanding (in shares)	19,540,593	19,210,633
Common Stock, Nonvoting [Member]
Stockholders' equity:
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	10,000,000	10,000,000
Common stock, shares issued (in shares)	0	0
Common stock, shares outstanding (in shares)	0	0

Consolidated Statements of Inco

Consolidated Statements of Income (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Consolidated Statements of Income (unaudited) [Abstract]
Net sales	$ 83,349	$ 73,340	$ 238,392	$ 212,214
Cost of sales	47,138	40,372	134,577	119,508
Gross profit	36,211	32,968	103,815	92,706
Selling, general, and administrative expenses	23,253	18,534	66,314	53,764
Operating income	12,958	14,434	37,501	38,942
Interest expense	3,836	4,027	11,073	13,010
Interest income	(134)	(4)	(262)	(8)
Investment income	(89)	(131)	(328)	(334)
Loss on extinguishment of debt			2,384	6,116
Net periodic benefit (income) expense, excluding service cost	(45)	58	176	174
Income before income taxes	9,390	10,484	24,458	19,984
Income tax expense	1,436	3,110	4,153	3,850
Consolidated net income	7,954	7,374	20,305	16,134
Net loss attributable to non-controlling interest			0	(556)
Net income attributable to Turning Point Brands, Inc.	$ 7,954	$ 7,374	$ 20,305	$ 16,690
Basic income per common share:
Net income attributable to Turning Point Brands, Inc. (in dollars per share)	$ 0.41	$ 0.39	$ 1.05	$ 0.88
Diluted income per common share:
Net income attributable to Turning Point Brands, Inc. (in dollars per share)	$ 0.40	$ 0.38	$ 1.03	$ 0.86
Weighted average common shares outstanding:
Basic (in shares)	19,378,054	19,085,329	19,290,096	18,915,606
Diluted (in shares)	19,882,994	19,589,424	19,767,667	19,503,130

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Consolidated Statements of Comprehensive Income (unaudited) [Abstract]
Consolidated net income	$ 7,954	$ 7,374	$ 20,305	$ 16,134
Other comprehensive income (loss), net of tax
Amortization of unrealized pension and postretirement losses, net of tax	10	71	314	218
Unrealized gain (loss) on investments, net of tax	(231)	12	(738)	241
Unrealized loss on interest rate swaps, net of tax	(233)	0	(308)	0
Other comprehensive income (loss), net of tax	(454)	83	(732)	459
Consolidated comprehensive income	$ 7,500	$ 7,457	19,573	16,593
Comprehensive loss attributable to non-controlling interest			0	(556)
Comprehensive income attributable to Turning Point Brands, Inc.			$ 19,573	$ 17,149

Consolidated Statements of Co_2

Consolidated Statements of Comprehensive Income (unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Other comprehensive income (loss), net of tax
Amortization of unrealized pension and postretirement losses, tax	$ 3	$ 43	$ 85	$ 132
Unrealized gain (loss) on investments, tax	69	$ 8	173	$ 150
Unrealized loss on interest rate swaps, tax	$ 70		$ 92

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Cash flows from operating activities:
Consolidated net income	$ 20,305	$ 16,134
Adjustments to reconcile net income to net cash provided by operating activities:
Loss on extinguishment of debt	2,384	6,116
Loss on sale of property, plant, and equipment	0	17
Depreciation expense	1,596	1,192
Amortization of other intangible assets	557	527
Amortization of deferred financing costs	712	768
Amortization of original issue discount	0	66
Deferred income taxes	2,806	1,847
Stock compensation expense	1,056	498
Changes in operating assets and liabilities:
Accounts receivable	(3,192)	(779)
Inventories	(18,840)	(970)
Other current assets	(5,971)	2,383
Other assets	144	(105)
Accounts payable	4,442	(2,292)
Accrued postretirement liabilities	(107)	(18)
Accrued liabilities and other	(4,918)	(4,993)
Net cash provided by operating activities	974	20,391
Cash flows from investing activities:
Capital expenditures	(1,528)	(1,052)
Restricted cash, MSA escrow deposits	(2,234)	320
Acquisitions, net of cash acquired	(19,161)	268
Issuance of note receivable	(6,500)	0
Receipt of note receivable repayment including prepayment penalty	7,475	0
Net cash used in investing activities	(21,948)	(464)
Cash flows from financing activities:
Payment of dividends	(1,537)	0
Payments of VaporBeast Note Payable	(2,000)	0
Proceeds from release of restricted funds	1,107	0
Payments of financing costs	(3,286)	(4,783)
Exercise of options	779	1,371
Payment to terminate acquired capital lease	(170)	0
Payments of Vapor Shark loans	0	(1,867)
Prepaid equity issuance costs	0	(394)
Surrender of options	0	(1,000)
Redemption of options	(623)	(1,740)
Distribution to non-controlling interest	0	(4)
Net cash provided by (used in) financing activities	16,657	(18,237)
Net increase (decrease) in cash	(4,317)	1,690
Cash, beginning of period:
Unrestricted	2,607	2,865
Restricted	4,709	3,889
Total cash at beginning of period	7,316	6,754
Cash, end of period:
Unrestricted	1,631	4,235
Restricted	1,368	4,209
Total cash at end of period	2,999	8,444
Supplemental schedule of noncash investing activities:
Issuance of shares for acquisition	5,292	0
2018 First Lien Term Loan [Member]
Cash flows from financing activities:
Proceeds from (payments of) term loan, net	156,000	0
2018 Second Lien Term Loan [Member]
Cash flows from financing activities:
Proceeds from term loans	40,000	0
2018 Revolving Credit Facility [Member]
Cash flows from financing activities:
Proceeds from revolving credit facility	30,000	0
2017 First Lien Term Loans [Member]
Cash flows from financing activities:
Proceeds from (payments of) term loan, net	(140,613)	142,075
2017 Second Lien Term Loan [Member]
Cash flows from financing activities:
Proceeds from (payments of) term loan, net	(55,000)	55,000
2017 Revolving Credit Facility [Member]
Cash flows from financing activities:
Proceeds from (payments of) revolving credit facility, net	(8,000)	15,550
First Lien Term Loan [Member]
Cash flows from financing activities:
Payments of term loans	0	(147,362)
Second Lien Term Loan [Member]
Cash flows from financing activities:
Payments of term loans	0	(60,000)
Revolving Credit Facility [Member]
Cash flows from financing activities:
Proceeds from (payments of) revolving credit facility, net	$ 0	$ (15,083)

Organizations and Basis of Pres

Organizations and Basis of Presentation	9 Months Ended
	Sep. 30, 2018
Organizations and Basis of Presentation [Abstract]
Organizations and Basis of Presentation	Note 1. Organizations and Basis of Presentation Organizations Turning Point Brands, Inc. (the “Company”), is a holding company which owns North Atlantic Trading Company, Inc. (“NATC”), and its subsidiaries and Turning Point Brands, LLC (“TPLLC”), and its subsidiaries. Except where the context indicates otherwise, references to the Company include the Company; NATC and its subsidiaries National Tobacco Company, L.P. (“NTC”), National Tobacco Finance, LLC (“NTFLLC”), North Atlantic Operating Company, Inc. (“NAOC”), North Atlantic Cigarette Company, Inc. (“NACC”), and RBJ Sales, Inc. (“RBJ”); and TPLLC and its subsidiaries Intrepid Brands, LLC (“Intrepid”), Vapor Beast, LLC (“VaporBeast,” f/k/a Smoke Free Technologies, Inc.), Vapor Shark, LLC, and its subsidiaries (collectively, “Vapor Shark,” f/k/a The Hand Media), Vapor Acquisitions Company, LLC (“Vapor Supply”), Vapor Finance, LLC (“VFIN”), and International Vapor Group, LLC and its subsidiaries (collectively, “IVG”). Basis of Presentation The accompanying interim, condensed, consolidated financial statements have been prepared in accordance with the accounting practices described in the Company’s audited, consolidated financial statements as of and for the year ended December 31, 2017, and are unaudited. Certain prior year amounts have been reclassified to conform to the current year’s presentation. The changes did not have an impact on the Company’s consolidated financial position, results of operations, or cash flows in any of the periods presented.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2018
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2. Summary of Significant Accounting Policies Consolidation The consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly-owned. All significant intercompany transactions have been eliminated. Revenue Recognition The Company adopted Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes nearly all existing revenue recognition guidance under U.S. GAAP, on January 1, 2018. The Company recognizes revenues, net of sales incentives and sales returns, including shipping and handling charges billed to customers, upon delivery of goods to the customer at an amount that the Company expects to be entitled to in exchange for those goods in accordance with the five-step analysis outlined in Topic 606: (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations, and (v) recognize revenue when (or as) performance obligations are satisfied. A further requirement of ASU 2014-09 is for entities to Shipping Costs The Company records shipping costs incurred as a component of selling, general, and administrative expenses. Shipping costs incurred were approximately $3.8 million and $2.9 million for the three months ending , 2018 and 2017, respectively. Shipping costs incurred were approximately $10.5 million and $7.4 million for the nine months ending , 2018 and 2017, respectively. Fair Value GAAP establishes a framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). The three levels of the fair value hierarchy under GAAP are described below: · Level 1 – Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets at the measurement date. · Level 2 – Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability, and inputs that are derived principally from or corroborated by observable market data by correlation or other means. · Level 3 – Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Derivative Instruments Foreign Currency Forward Contracts: Interest Rate Swap Agreements: Risks and Uncertainties Manufacturers and sellers of tobacco products are subject to regulation at the federal, state, and local levels. Such regulations include, among others, labeling requirements, limitations on advertising, and prohibition of sales to minors. The tobacco industry is likely to continue to be heavily regulated. There can be no assurance as to the ultimate content, timing, or effect of any regulation of tobacco products by any federal, state, or local legislative or regulatory body, nor can there be any assurance that any such legislation or regulation would not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. The tobacco industry has experienced, and is experiencing, significant product liability litigation. Most tobacco liability lawsuits have been brought against manufacturers and sellers of cigarettes for injuries allegedly caused by smoking or exposure to smoke. However, several lawsuits have been brought against manufacturers and sellers of smokeless products for injuries to health allegedly caused by use of smokeless products. Typically, such claims assert that use of smokeless products is addictive and causes oral cancer. Additionally, several lawsuits have been brought against manufacturers and distributors of NewGen products due to malfunctioning devices. There can be no assurance the Company will not sustain losses in connection with such lawsuits and that such losses will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. Master Settlement Agreement (MSA): The Company has chosen to invest a portion of the MSA escrow deposits in U.S. Government securities including TIPS, Treasury Notes, and Treasury Bonds. These investments are classified as available-for-sale and carried at fair value. Realized losses are prohibited under the MSA; any investment in an unrealized loss position will be held until the value is recovered, or until maturity. The following shows the fair value of the MSA escrow account: As of September 30, 2018 As of December 31, 2017 Cost Gross Unrealized Losses Estimated Fair Value Cost Gross Unrealized Losses Estimated Fair Value Cash and cash equivalents $ 1,367 $ - $ 1,367 $ 3,602 $ - $ 3,602 U.S. Governmental agency obligations (unrealized loss position < 12 months) 3,181 (53 ) 3,128 722 (17 ) 705 U.S. Governmental agency obligations (unrealized loss position > 12 months) 27,514 (2,084 ) 25,430 27,733 (1,214 ) 26,519 $ 32,062 $ (2,137 ) $ 29,925 $ 32,057 $ (1,231 ) $ 30,826 Fair value for the U.S. Governmental agency obligations are Level 2. The following shows the maturities of the U.S. Governmental agency obligations: As of September 30, 2018 December 31, 2017 Less than one year $ 1,499 $ - One to five years 9,600 7,114 Five to ten years 15,141 17,662 Greater than ten years 4,455 3,679 Total U.S. Governmental agency obligations $ 30,695 $ 28,455 The following shows the amount of deposits by sales year for the MSA escrow account: Deposits as of Sales Year September 30, 2018 December 31, 2017 1999 $ 211 $ 211 2000 1,017 1,017 2001 1,673 1,673 2002 2,271 2,271 2003 4,249 4,249 2004 3,714 3,714 2005 4,552 4,552 2006 3,847 3,847 2007 4,167 4,167 2008 3,364 3,364 2009 1,619 1,626 2010 406 406 2011 193 193 2012 199 199 2013 173 173 2014 143 143 2015 101 101 2016 81 81 2017 83 70 Total $ 32,063 $ 32,057 Food and Drug Administration (“FDA”): cigars, pipe tobacco, electronic cigarettes (“e-cigarettes”), vaporizers, and e-liquids as “deemed” tobacco products under the FSPTCA. The FDA assesses tobacco product user fees on six classes of regulated tobacco products and computes user fees using a methodology similar to the methodology used by the U.S Department of Agriculture to compute the Tobacco Transition Payment Program (“TTPP,” also known as the “Tobacco Buyout”) assessment. First, the total, annual, congressionally established user fee assessment is allocated among the various classes of tobacco products using the federal excise tax weighted market share of tobacco products subject to regulation. Then, the assessment for each class of tobacco products is divided among individual manufacturers and importers. Prior to October 1, 2016, these FDA user fees applied only to those products then regulated by the FDA. Effective October 1, 2016, the FDA began additionally applying FDA user fees to newly “deemed” tobacco products subject to FDA user fees as described above, i.e. On July 28, 2017, the FDA announced a new direction in regulating tobacco products, including the newly “deemed” markets such as cigars and vapor products. The FDA stated it intends to begin several new rulemaking processes, some of which will outline foundational rules governing the premarket application process for the deemed products, including Substantial Equivalence Applications and Premarket Tobacco Applications. Compliance and related costs could be significant and could increase the costs of operating in our NewGen segment. The original filing deadlines for newly “deemed” products on the market as of August 8, 2016, have been postponed until August 8, 2021, for “combustible” products ( e.g. e.g. i.e. Recent Accounting Pronouncements Adopted The Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606) The Company adopted Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income The adoption of this ASU resulted in a reclassification of stranded tax effects related to the TCJA from accumulated other comprehensive income to retained earnings of less than $0.1 million during the first quarter of 2018. The Company adopted ASU 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost The Company adopted ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash Recent Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), Leases In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2018
Acquisitions [Abstract]
Acquisitions	Note 3. Acquisitions IVG In September 2018, the Company acquired 100% of the equity interest of IVG for total consideration of $23.7 million satisfied through $14.4 million paid in cash, 153,079 shares of common stock with a fair value of $5.3 million, and a $4.0 million note payable to IVG’s former owners (“IVG Note”) which matures 18 months from the acquisition date. All principal and accrued and unpaid interest under the IVG Note is subject to indemnification obligations of the sellers pursuant to the . The arrangement includes an additional $4.5 million of earnouts with both performance-based and service-based conditions payable to former IVG owners who became employees of the Company as a result of the acquisition. The portion of earnout payments a recipient will receive will be calculated by reference to certain performance metrics not to exceed a two-year period as specified within the acquisition agreement. The Company recorded earnout expense of approximately $0.4 million within the consolidated statement of income for the three months ended September 30, 2018, based on the probability of achieving the performance conditions. IVG markets and sells a broad array of proprietary and third-party vapor products directly to adult consumers through an online platform under brand names such as VaporFi, South Beach Smoke, and Direct Vapor. IVG operates company-owned stores under the VaporFi brand and also operates as a franchisor to franchisee-owned stores. The acquisition of IVG adds a significant business-to-consumer distribution platform to the Company’s NewGen portfolio. As of September 30, 2018, the Company had not completed the accounting for the acquisition. The following purchase price and goodwill are based on the excess of the acquisition price over the estimated fair value of the tangible and intangible assets acquired and are based on management’s preliminary estimates. Total purchase price $ 24,292 Adjustments to purchase price: Cash acquired (391 ) Working capital (245 ) Adjusted purchase price 23,656 Assets acquired: Working capital 2,681 Fixed assets 1,296 Intangible assets 8,140 Capital lease obligation (169 ) Net assets acquired 11,948 Goodwill $ 11,708 The goodwill of $11.7 million consists of the synergies and scale expected from combining the operations and is currently deductible for tax purposes. Vapor Supply On April 30, 2018, the Company purchased the assets of Vapor Supply LLC, vaporsupply.com, and some of its affiliates including the Ecig.com domain through its subsidiary Vapor Acquisitions Company, LLC, for total consideration of $4.8 million paid in cash to strengthen its presence within the NewGen segment. Vapor Supply is a business-to-business e-commerce distribution platform servicing independent retail vape shops. Additionally, Vapor Supply manufactures and markets proprietary e-liquids under the DripCo brand and operates company-owned stores. As of September 30, 2018, the Company had not completed the accounting for the acquisition of these assets. The following fair value for working capital (primarily inventory), fixed assets, and trade name are based on management’s preliminary estimates: Fair Value Working capital $ 3,181 Fixed assets 498 Trade name 1,121 Total purchase price $ 4,800 Pro Forma Information – IVG and Vapor Supply The following table presents financial information regarding IVG and Vapor Supply operations included in our Consolidated Statement of Operations from the date of acquisition through September 30, 2018, under the “Vapor Supply and IVG Actuals from Acquisition Dates through September 30, 2018” column. The following table also presents unaudited pro forma information as if the acquisitions of IVG and Vapor Supply had occurred on January 1, 2017, under the “Pro Forma Consolidated” columns. The table below has been prepared for comparative purposes only and is not necessarily indicative of the actual results that would have been attained had the acquisition occurred as of the beginning of the periods presented, nor is it indicative of future results. Furthermore, the unaudited pro forma information does not reflect management’s estimate of any revenue-enhancing opportunities or anticipated cost savings as a result of the integration and consolidation of the acquisition. Amortization of fair value, interest on debt, and income tax adjustments are included in the numbers below. Vapor Supply and IVG Actuals Pro Forma Consolidated from Acquisition Nine Months Ended Dates September 30, September 30, 2018 2018 2017 Net sales $ 9,737 $ 281,679 $ 270,795 Income (loss) before income taxes (55 ) 24,556 21,539 Net income (loss) $ (55 ) $ 20,386 $ 17,390 Basic earnings per common share: Net income $ 1.06 $ 0.92 Diluted earnings per common share: Net income $ 1.03 $ 0.89 Weight average common shares outstanding: Basic - inclusive of voting and non-voting shares 19,290,096 18,915,606 Diluted - inclusive of voting and non-voting shares 19,767,667 19,503,130 Vapor Shark In March 2017, the Company entered into a strategic partnership with Vapor Shark in which the Company committed to make a deposit up to $2.5 million to Vapor Shark in exchange for a warrant to purchase 100% of the equity interest in Vapor Shark on or before April 15, 2018. In the event the Company exercised the warrant, the Company granted Vapor Shark’s sole shareholder the option to purchase from Vapor Shark the retail stores it owns, effective as of January 1, 2018. In April 2017, the Company entered into a management agreement with Vapor Shark whereby the Company obtained control of the operations. As a result of the management agreement, Vapor Shark was accounted for as a VIE during the second quarter of 2017. The Company exercised its warrant on June 30, 2017, and obtained 100% ownership of Vapor Shark as of that date for a nominal purchase price. In January 2018, the Company finalized an agreement to pay Vapor Shark’s former sole shareholder total consideration of $1.5 million in exchange for terminating his option to purchase the company-owned stores. The Company paid Vapor Shark’s former sole shareholder

Derivative Instruments

Derivative Instruments	9 Months Ended
	Sep. 30, 2018
Derivative Instruments [Abstract]
Derivative Instruments	Note 4. Derivative Instruments Foreign Currency The Company’s policy is to manage the risks associated with foreign exchange rate movements. The policy allows hedging up to 100% of its anticipated purchases of inventory over a forward period that will not exceed 12 rolling and consecutive months. The Company may, from time to time, hedge currency for non-inventory purchases, e.g. Interest Rate Swaps The Company’s policy is to manage interest rate risk by reducing the volatility of future cash flows associated with debt instruments bearing interest at variable rates. In March 2018, the Company executed various interest rate swap agreements for a notional amount of $70 million with an expiration of December 2022. The swap agreements fix LIBOR at 2.755%. The swap agreements met the hedge accounting requirements; thus, any change in fair value is recorded to other comprehensive income. The Company uses the Shortcut Method to account for the swap agreements. The Shortcut Method assumes the hedge to be perfectly effective; thus, there is no ineffectiveness to be recorded in earnings. The swap agreements’ fair values at September 30, 2018, resulted in a liability of $0.4 million included in other long-term liabilities.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2018
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	Note 5. Fair Value of Financial Instruments The estimated fair value amounts have been determined by the Company using the methods and assumptions described below. However, considerable judgment is required to interpret market data to develop estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Cash and Cash Equivalents Cash and cash equivalents are, by definition, short-term. Thus, the carrying amount is a reasonable estimate of fair value. Accounts Receivable The fair value of accounts receivable approximates their carrying value due to their short-term nature. 2018 Revolving Credit Facility The fair value of the 2018 Revolving Credit Facility approximates its carrying value as the interest rate fluctuates with changes in market rates. Note Payable – IVG The fair value of the IVG Note approximates its carrying value of $4.0 million due to the recency of the note’s issuance, September 5, 2018, relative to the end of the quarter, September 30, 2018. Long-Term Debt As the Company’s long-term debt bears interest at variable rates that fluctuate with market rates, the carrying values of the long-term debt instruments approximate their respective fair values. As of September 30, 2018, the fair values of the 2018 First Lien Term Loan and the 2018 Second Lien Term Loan approximated $156.0 million and $40.0 million, respectively. As of December 31, 2017, the fair values of the 2017 First Lien Term Loans and the 2017 Second Lien Term Loan approximated $140.6 million and $56.1 million, respectively. Foreign Exchange The Company had forward contracts for the purchase of 5.5 million at September 30, 2018. The Company had no forward contracts outstanding as of December 31, 2017. The fair values of the foreign exchange contracts are based upon quoted market prices and resulted in a loss of approximately $0.1 million for the nine months ended September 30, 2018. The fair value of the foreign exchange contracts resulted in a liability of less than $0.1 million as of September 30, 2018. Interest Rate Swaps The Company had swap contracts for a total notional amount of $70 million at September 30, 2018. The Company had no swap agreements outstanding at December 31, 2017. The fair values of the swap contracts are based upon quoted market prices and resulted in a liability of $0.4 million as of September 30, 2018.

Inventories

Inventories	9 Months Ended
	Sep. 30, 2018
Inventories [Abstract]
Inventories	Note 6. Inventories The components of inventories are as follows: September 30, 2018 December 31, 2017 Raw materials and work in process $ 3,285 $ 2,545 Leaf tobacco 34,873 30,308 Finished goods - Smokeless products 7,313 5,834 Finished goods - Smoking products 13,604 14,110 Finished goods - NewGen products 35,103 14,532 Other 722 1,290 94,900 68,619 LIFO reserve (5,467 ) (5,323 ) $ 89,433 $ 63,296 The inventory valuation allowance was $1.1 million and $0.5 million as of September 30

Property, Plant, and Equipment

Property, Plant, and Equipment	9 Months Ended
	Sep. 30, 2018
Property, Plant, and Equipment [Abstract]
Property, Plant, and Equipment	Note 7. Property, Plant, and Equipment Property, plant, and equipment consisted of the following: September 30, 2018 December 31, 2017 Land $ 22 $ 22 Buildings and improvements 2,320 2,072 Leasehold improvements 2,064 1,873 Machinery and equipment 13,275 12,635 Furniture and fixtures 4,601 3,821 22,282 20,423 Accumulated depreciation (11,697 ) (11,564 ) $ 10,585 $ 8,859

Other Current Assets

Other Current Assets	9 Months Ended
	Sep. 30, 2018
Other Current Assets [Abstract]
Other Current Assets	Note 8. Other Current Assets Other current assets consisted of the following: September 30, 2018 December 31, 2017 Inventory deposits $ 9,251 $ 3,797 Other 5,305 6,545 $ 14,556 $ 10,342 On May 18, 2018, the Company entered into an arrangement with a supplier which manufactures and distributes vapor products whereby the supplier received a $6.5 million loan with a maturity date of May 18, 2019. The note was secured by the supplier’s assets and accrued interest at an annual rate of 15% with quarterly interest payments due to the Company which began in August 2018. In September 2018, the supplier repaid the full outstanding balance of the loan in addition to a $1.0 million early termination fee which was recorded as a reduction to selling, general, and administrative expenses.

Accrued Liabilities

Accrued Liabilities	9 Months Ended
	Sep. 30, 2018
Accrued Liabilities [Abstract]
Accrued Liabilities	Note 9. Accrued Liabilities Accrued liabilities consisted of the following: September 30, 2018 December 31, 2017 Accrued payroll and related items $ 4,142 $ 5,683 Customer returns and allowances 2,353 2,707 Other 10,906 10,304 $ 17,401 $ 18,694

Notes Payable and Long-Term Deb

Notes Payable and Long-Term Debt	9 Months Ended
	Sep. 30, 2018
Notes Payable and Long-Term Debt [Abstract]
Notes Payable and Long-Term Debt	Note 10. Notes Payable and Long-Term Debt Notes payable and long-term debt consisted of the following in order of preference: September 30, 2018 December 31, 2017 2018 First Lien Term Loan $ 156,000 $ - 2018 Second Lien Term Loan 40,000 - Note payable - IVG 4,000 - 2017 First Lien First Out Term Loan - 105,875 2017 First Lien Second Out Term Loan - 34,738 2017 Second Lien Term Loan - 55,000 Note payable - VaporBeast - 2,000 Total notes payable and long-term debt 200,000 197,613 Less deferred finance charges (3,471 ) (3,573 ) Less current maturities (8,000 ) (7,850 ) $ 188,529 $ 186,190 2018 Credit Facility On March 7, 2018, the Company entered into a $250 million credit facility consisting of a $160 million 2018 First Lien Term Loan with Fifth Third Bank, as administrative agent, and other lenders, and a $50 million 2018 Revolving Credit Facility (collectively, the “2018 First Lien Credit Facility”) in addition to a $40 million 2018 Second Lien Term Loan (together with the 2018 First Lien Credit Facility, the “2018 Credit Facility”) with Prospect Capital Corporation, as administrative agent, and other lenders. The 2018 Credit Facility contains customary events of default including payment defaults, breaches of representations and warranties, covenant defaults, cross-defaults to certain other material indebtedness in excess of specified amounts, certain events of bankruptcy and insolvency, certain ERISA events, judgments in excess of specified amounts, and change in control defaults. The 2018 Credit Facility also contains certain negative covenants customary for facilities of these types including covenants that, subject to exceptions described in the 2018 Credit Facility, restrict the ability of the Company and its subsidiary guarantors: (i) to pledge assets, (ii) to incur additional indebtedness, (iii) to pay dividends, (iv) to make distributions, (v) to sell assets, and (vi) to make investments. Refer to Note 17 of Notes to Consolidated Financial Statements for further information regarding dividend restrictions. 2018 First Lien Credit Facility: September 30 September 30 September September 2018 Second Lien Credit Facility: September 30 Note Payable – IVG In September 2018, the Company issued a note payable to IVG’s former shareholders (“IVG Note”). The IVG Note is $4.0 million principal with 6.0% interest compounding annually and matures on March 5, 2020. 2017 Credit Facility On February 17, 2017, the Company and NATC, entered into a $250 million secured credit facility comprised of (i) a First Lien Credit Facility with Fifth Third Bank, as administrative agent, and other lenders (the “2017 First Lien Credit Facility”) and (ii) a Second Lien Credit Facility with Prospect Capital Corporation, as administrative agent, and other lenders (the “2017 Second Lien Credit Facility,” and together with the 2017 First Lien Credit Facility, the “2017 Credit Facility”). The Company used the proceeds of the 2017 Credit Facility to repay, in full, the Company’s prior credit facilities and to pay related fees and expenses. As a result of this transaction, the Company incurred a loss on extinguishment of debt of $6.1 million during the first quarter of 2017. Note Payable – VaporBeast On November 30, 2016, the Company issued a note payable to VaporBeast’s former shareholders (“VaporBeast Note”). The VaporBeast Note was $2.0 million principal with 6% interest compounded monthly and matured on May 30, 2018, at which time it was paid in full.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2018
Income Taxes [Abstract]
Income Taxes	Note 11. Income Taxes In December 2017, the U.S. Congress passed the TCJA which the President signed in the same month. The TCJA reduced the corporate income tax rate to 21%, effective January 1, 2018. Other significant changes accompanying the corporate income tax rate reduction include eliminating the corporate alternative minimum tax, limiting the interest expense deduction to 30% of adjusted taxable income, and limiting net operating losses to 80% of taxable income for losses arising in tax years beginning after 2017. The TCJA required the Company to remeasure its deferred tax assets and liabilities at the newly enacted tax rate in December 2017, the period of enactment. The Company’s effective income tax rate for the three and nine months ended September 30 September September September September The Company follows the provisions of ASC 740-10-25, which prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. The amount recognized is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. The Company has determined that the Company did not have any uncertain tax positions requiring recognition under the provisions of ASC 740-10-25. The Company’s policy is to recognize interest and penalties accrued on uncertain tax positions, if any, as part of interest expense. The Company files income tax returns in the U.S. federal jurisdiction and various state jurisdictions. In general, the Company is no longer subject to U.S. federal and state tax examinations for years prior to 2014.

Pension and Postretirement Bene

Pension and Postretirement Benefit Plans	9 Months Ended
	Sep. 30, 2018
Pension and Postretirement Benefit Plans [Abstract]
Pension and Postretirement Benefit Plans	Note 12. Pension and Postretirement Benefit Plans The Company has a defined benefit pension plan. Benefits for hourly employees were based on a stated benefit per year of service, reduced by amounts earned in a previous plan. Benefits for salaried employees were based on years of service and the employees’ final compensation. The defined benefit pension plan is frozen. The Company’s policy is to make the minimum amount of contributions that can be deducted for federal income taxes. The Company expects to make no contributions to the pension plan in 2018. In the second quarter of 2018, the Company made mutually agreed upon lump-sum payments to certain individuals covered by the defined benefit pension plan which resulted in a curtailment loss of approximately $0.3 million during the second quarter of 2018. The Company sponsored a defined benefit postretirement plan that covered hourly employees. This plan provides medical and dental benefits. This plan is contributory with retiree contributions adjusted annually. The Company’s policy is to make contributions equal to benefits paid during the year. The Company expects to contribute approximately $0.3 million to its postretirement plan in 2018 for the payment of benefits. The following table provides the components of net periodic pension and postretirement benefit costs and total costs for the plans: Three Months Ended September 30, Pension Benefits Postretirement Benefits 2018 2017 2018 2017 Service cost $ 26 $ 26 $ - $ - Interest cost 135 164 30 36 Expected return on plan assets (221 ) (256 ) - - Amortization of (gains) losses 33 114 (21 ) - Net periodic benefit (income) cost $ (27 ) $ 48 $ 9 $ 36 Nine Months Ended September 30, Pension Benefits Postretirement Benefits 2018 2017 2018 2017 Service cost $ 78 $ 78 $ - $ - Interest cost 419 484 88 108 Expected return on plan assets (728 ) (768 ) - - Amortization of (gains) losses 153 350 (61 ) - Curtailment loss 306 - - - Net periodic benefit cost $ 228 $ 144 $ 27 $ 108

Share Incentive Plans

Share Incentive Plans	9 Months Ended
	Sep. 30, 2018
Share Incentive Plans [Abstract]
Share Incentive Plans	Note 13. Share Incentive Plans On April 28, 2016, the Board of Directors of the Company adopted the Turning Point Brands, Inc., 2015 Equity Incentive Plan (the “2015 Plan”), pursuant to which awards may be granted to employees, non-employee directors, and consultants. In addition, the 2015 Plan provides for the granting of nonqualified stock options to employees of the Company or any subsidiary of the Company. Pursuant to the 2015 Plan, 1,400,000 shares of the Company’s voting common stock are reserved for issuance as awards to employees, non-employee directors, and consultants as compensation for past or future services or the attainment of certain performance goals. The 2015 Plan is scheduled to terminate on April 27, 2026. The 2015 Plan is administered by a committee (the “Committee”) of the Company’s Board of Directors. The Committee determines the vesting criteria for the awards, with such criteria to be specified in the award agreement. As of September 30, 2018, net of forfeitures, there were 18,247 shares of restricted stock, 184,000 performance-based restricted stock units, and 297,520 options granted under the 2015 Plan. There are 900,233 shares available for grant under the 2015 Plan. On February 8, 2006, the Board of Directors of the Company adopted the 2006 Equity Incentive Plan (the “2006 Plan”) of North Atlantic Holding Company, Inc., pursuant to which awards may be granted to employees. The 2006 Plan provides for the granting of nonqualified stock options and restricted stock awards to employees. Upon the adoption of the Company’s 2015 Equity Incentive Plan in connection with its IPO, the Company determined no additional grants would be made under the 2006 Plan. However, all awards issued under the 2006 Plan that have not been previously terminated or forfeited remain outstanding and continue unaffected. On February 7, 2017, the Board of Directors of the Company approved stock option cash-out agreements with three Company officers and a director for the surrender of 83,400 expiring stock options in exchange for payment to the option holders of $11.99 per share. This payment equaled the difference between the exercise price of $1.06 and closing stock price of $13.05 on the approval date, or an aggregate of $1.0 million. There are no shares available for grant under the 2006 Plan. Stock option activity for the 2006 and 2015 Plans is summarized below: Stock Option Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Outstanding, December 31, 2016 1,637,762 $ 2.41 $ 1.23 Granted 133,819 14.69 4.41 Exercised (923,708 ) 1.55 0.83 Forfeited (801 ) 15.37 4.59 Surrendered (83,400 ) 1.06 0.54 Outstanding, December 31, 2017 763,672 5.73 2.36 Granted 124,100 21.27 6.33 Exercised (196,585 ) 3.96 1.42 Forfeited (13,595 ) 13.08 3.71 Outstanding, September 30, 2018 677,592 $ 8.95 $ 3.33 Under the 2006 and 2015 Plans, the total intrinsic value of options exercised during the nine months ended September 30, 2018 and 2017, was $5.2 million, and $11.7 million, respectively. The total intrinsic value of options surrendered during the nine months ended September 30, 2017, was $1.0 million. At September 30, 2018, under the 2006 Plan, the outstanding stock options’ exercise price for 432,227 options is $3.83 per share, all of which are exercisable. The weighted average of the remaining lives of the outstanding stock options with an exercise price of $3.83 is approximately 4.62 years. The Company estimates the expected life of these stock options is ten years from the date of grant. For the $3.83 per share options, At September 30, 2018, under the 2015 Plan, the risk-free interest rate is based on the U.S. Treasury rate for the expected life at the time of grant. The expected volatility is based on the average long-term historical volatilities of peer companies. We intend to continue to consistently use the same group of publicly traded peer companies to determine expected volatility until sufficient information regarding volatility of our share price becomes available or until the selected companies are no longer suitable for this purpose. Due to our limited trading history, we are using the simplified method presented by SEC Staff Accounting Bulletin No. 107 to calculate expected holding periods, which represent the periods of time for which options granted are expected to be outstanding. We will continue to use this method until we have sufficient historical exercise experience to give us confidence in the reliability of our calculations. The fair values of these options were determined using the Black-Scholes option pricing model. The following table outlines the assumptions based on the number of options granted under the 2015 Plan. February 10, 2017 May 17, 2017 March 7, 2018 March 13, 2018 Number of options granted 40,000 93,819 98,100 26,000 Options outstanding at September 30, 2018 38,300 84,665 96,400 26,000 Number exercisable at September 30, 2018 11,900 28,572 - 8,840 Exercise price $ 13.00 $ 15.41 $ 21.21 $ 21.49 Remaining lives 8.37 8.63 9.44 9.46 Risk free interest rate 1.89 % 1.76 % 2.65 % 2.62 % Expected volatility 27.44 % 26.92 % 28.76 % 28.76 % Expected life 6.000 6.000 6.000 5.495 Dividend yield - - 0.83 % 0.82 % Fair value at grant date $ 3.98 $ 4.60 $ 6.37 $ 6.18 The Company has recorded compensation expense related to the options based on the provisions of ASC 718 under which the fixed portion of such expense is determined as the fair value of the options on the date of grant and amortized over the vesting period. The Company recorded compensation expense related to the options of approximately $0.2 million and $0.1 million for the three months ended September 30, 2018 and 2017. The Company recorded compensation expense related to the options of approximately $0.6 million and $0.2 million for the nine months ended September 30, 2018 and 2017. Total unrecognized compensation expense related to options at September 30, 2018, is $0.5 million, which will be expensed over 1.93 years. Performance-Based Restricted Stock Units (“PRSUs”) PRSUs are restricted stock units subject to both performance-based and service-based vesting conditions. The number of common stock shares a recipient will receive upon vesting of a PRSU will be calculated by reference to certain performance metrics related to the Company’s performance over a five-year period. PRSUs will vest on the measurement date, which is no more than 65 days after the performance period (provided the applicable service and performance conditions are satisfied). On March 31, 2017, the Company’s Board of Directors granted 94,000 PRSUs to employees of the Company. On March 7, 2018, the Company’s Board of Directors granted an additional 96,000 PRSUs to employees of the Company. The fair values of the PRSUs granted on March 31, 2017, and March 7, 2018, are $15.60 and $21.21, respectively, the Company’s stock price on the date of grant. As of September 30, 2018, there are 184,000 PRSUs outstanding, all of which are unvested. The Company recorded compensation expense related to the PRSUs of approximately $0.2 million and $0.1 million in the consolidated statements of income for the three months ended September 30, 2018 and 2017, based on the probability of achieving the performance condition. The Company recorded compensation expense related to the PRSUs of approximately $0.4 million and $0.2 million in the consolidated statements of income for the nine months ended September 30, 2018 and 2017. Total unrecognized compensation expense related to these awards at September 30, 2018, is $2.7 million which will be expensed over the service periods based on the probability of achieving the performance condition.

Contingencies

Contingencies	9 Months Ended
	Sep. 30, 2018
Contingencies [Abstract]
Contingencies	Note 14. Contingencies Other major tobacco companies are defendants in product liability claims. In a number of these cases, the amounts of punitive and compensatory damages sought are significant and could have a material adverse effect on our business and results of operations. The Company is a defendant in certain cases which have been dormant for many years, which cases have now been dismissed with prejudice. The Company is subject to several lawsuits alleging personal injuries resulting from malfunctioning vaporizer devices and may be subject to claims in the future relating to other NewGen products. The Company is still evaluating these claims and the potential defenses to them. For example, the Company did not design or manufacture the products at issue; rather, the Company was merely the distributor. Nonetheless, there can be no assurance that the Company will prevail in these cases, and they could have a material adverse effect on the financial position, results of operations, or cash flows of the Company.

Income Per Share

Income Per Share	9 Months Ended
	Sep. 30, 2018
Income Per Share [Abstract]
Income Per Share	Note 15. Income Per Share The following is a reconciliation of the numerators and denominators of the basic and diluted EPS computations of net income: Three Months Ended September 30, 2018 2017 Income Shares Per Share Income Shares Per Share Consolidated net income $ 7,954 $ 7,374 Basic EPS: Weighted average 19,378,054 $ 0.41 19,085,329 $ 0.39 Diluted EPS: Effect of dilutive securities: Stock options 504,940 504,095 19,882,994 $ 0.40 19,589,424 $ 0.38 Nine Months Ended September 30, 2018 2017 Income Shares Per Share Income Shares Per Share Net income attributable to Turning Point Brands, Inc. $ 20,305 $ 16,690 Basic EPS: Weighted average 19,290,096 $ 1.05 18,915,606 $ 0.88 Diluted EPS: Effect of dilutive securities: Stock options 477,571 587,524 19,767,667 $ 1.03 19,503,130 $ 0.86

Segment Information

Segment Information	9 Months Ended
	Sep. 30, 2018
Segment Information [Abstract]
Segment Information	Note 16. Segment Information In accordance with ASC 280, Segment Reporting, the Company has three reportable segments: Smokeless products, Smoking products, and NewGen products. The Smokeless products segment (i) manufactures and markets moist snuff and (ii) contracts for and markets chewing tobacco products. The Smoking products segment (i) markets and distributes cigarette papers, tubes, and related products; (ii) markets and distributes finished cigars and MYO cigar wraps; and (iii) processes, packages, markets, and distributes traditional pipe tobaccos. The NewGen products segment (i) markets and distributes e-cigarettes, e-liquids, vaporizers, and certain other products without tobacco and/or nicotine; (ii) distributes a wide assortment of vaping products to non-traditional retail outlets via VaporBeast, Vapor Shark, Vapor Supply, and IVG; and (iii) distributes a wide assortment of vaping related products to individual consumers via Vapor Shark, Vapor World, and VaporFi branded retail outlets in addition to online platforms. Smokeless and Smoking products are distributed primarily through wholesale distributors in the United States while NewGen products are distributed primarily through e-commerce to non-traditional retail outlets in the United States. The Other segment includes the costs and assets of the Company not assigned to one of the three reportable segments such as intercompany transfers, deferred taxes, deferred financing fees, and investments in subsidiaries. The accounting policies of these segments are the same as those of the Company. Segment data includes a charge allocating corporate costs to the three reportable segments based on their respective net sales. Prior period corporate costs have been allocated in accordance with the current period allocation methodology to conform prior period segment operating income figures to current period presentation. The Company evaluates the performance of its segments and allocates resources to them based on gross profit. The tables below present financial information about reported segments: Three Months Ended September 30, 2018 2017 Net sales Smokeless products $ 21,743 $ 21,294 Smoking products 28,079 26,860 NewGen products 33,527 25,186 $ 83,349 $ 73,340 Gross profit Smokeless products $ 11,020 $ 11,516 Smoking products 14,814 14,201 NewGen products 10,377 7,251 $ 36,211 $ 32,968 Operating income (loss) Smokeless products (1) $ 4,114 $ 6,036 Smoking products (2) 8,595 8,958 NewGen products (3) 371 (535 ) Other (4) (122 ) (25 ) $ 12,958 $ 14,434 Interest expense 3,836 4,027 Interest income (134 ) (4 ) Investment income (89 ) (131 ) Net periodic benefit (income) expense, excluding service cost (45 ) 58 Income before income taxes $ 9,390 $ 10,484 Capital expenditures Smokeless products $ 251 $ 446 Smoking products - - NewGen products 274 39 $ 525 $ 485 Depreciation and amortization Smokeless products $ 342 $ 341 Smoking products - - NewGen products 343 255 $ 685 $ 596 (1) Includes allocated corporate charges of $1,748 and $1,734 for the three months ended September 30, 2018 and 2017, respectively. (2) Includes allocated corporate charges of $2,266 and $2,187 for the three months ended September 30, 2018 and 2017, respectively. (3) Includes allocated corporate charges of $2,168 and $2,061 for the three months ended September 30, 2018 and 2017, respectively. (4) "Other" includes the costs that are not assigned to the three reportable segments. Nine Months Ended September 30, 2018 2017 Net sales Smokeless products $ 66,900 $ 63,563 Smoking products 84,403 81,056 NewGen products 87,089 67,595 $ 238,392 $ 212,214 Gross profit Smokeless products $ 34,546 $ 32,385 Smoking products 43,158 42,018 NewGen products 26,111 18,303 $ 103,815 $ 92,706 Operating income (loss) Smokeless products (1) $ 15,040 $ 15,256 Smoking products (2) 24,270 25,663 NewGen products (3) (1,437 ) (1,916 ) Other (4) (372 ) (61 ) $ 37,501 $ 38,942 Interest expense 11,073 13,010 Interest income (262 ) (8 ) Investment income (328 ) (334 ) Loss on extinguishment of debt 2,384 6,116 Net periodic benefit expense, excluding service cost 176 174 Income before income taxes $ 24,458 $ 19,984 Capital expenditures Smokeless products $ 1,140 $ 973 Smoking products - - NewGen products 388 79 $ 1,528 $ 1,052 Depreciation and amortization Smokeless products $ 1,014 $ 1,046 Smoking products - - NewGen products 1,139 672 $ 2,153 $ 1,718 (1) Includes allocated corporate charges of $6,010 and $5,324 for the nine months ended September 30, 2018 and 2017, respectively. (2) Includes allocated corporate charges of $7,585 and $6,789 for the nine months ended September 30, 2018 and 2017, respectively. (3) Includes allocated corporate charges of $6,948 and $5,662 for the nine months ended September 30, 2018 and 2017, respectively. (4) '"Other" includes the costs that are not assigned to the three reportable segments. September 30, 2018 December 31, 2017 Assets Smokeless products $ 100,199 $ 94,559 Smoking products 141,129 141,869 NewGen products 94,020 44,914 Other (1) 983 935 $ 336,331 $ 282,277 (1) "Other" includes the assets that are not assigned to the three reportable segments. All goodwill has been allocated to the reportable segments. Revenue Disaggregation—Sales Channel Revenues of the Smokeless and Smoking segments are primarily comprised of sales made to wholesalers while NewGen sales are made to wholesalers, retailers, and ultimate end-customers. NewGen net sales are broken out by sales channel below. NewGen Segment Three Months Ended September 30, 2018 2017 Wholesalers $ 1,892 $ 2,818 Retail outlets 22,473 19,889 End-customers 9,162 2,479 $ 33,527 $ 25,186 NewGen Segment Nine Months Ended September 30, 2018 2017 Wholesalers $ 6,572 $ 7,971 Retail outlets 63,185 53,665 End-customers 17,332 5,959 $ 87,089 $ 67,595 Net Sales—Domestic vs. Foreign The following table shows a breakdown of consolidated net sales between domestic and foreign customers. Three Months Ended September 30, 2018 2017 Domestic $ 78,529 $ 69,484 Foreign 4,820 3,856 Total $ 83,349 $ 73,340 Nine Months Ended September 30, 2018 2017 Domestic $ 226,826 $ 203,210 Foreign 11,566 9,004 Total $ 238,392 $ 212,214

Dividends

Dividends	9 Months Ended
	Sep. 30, 2018
Dividends [Abstract]
Dividends	Note 17. Dividends On November 9, 2017, the Company’s Board of Directors approved the initiation of a cash dividend to shareholders. The initial quarterly dividend of $0.04 per common share was paid on December 15, 2017, to shareholders of record at the close of business on November 27, 2017. The most recent dividend of $0.04 per common share was paid on October 12, 2018, to shareholders of record at the close of business on September 24, 2018. Dividends are classified as restricted payments within the 2018 Credit Facility. The Company is generally permitted to make restricted payments provided that, at the time of payment, or as a result of payment, the Company is not in default on its debt covenants. Additional restrictions limit the aggregate amount of restricted, quarterly dividends during a fiscal year to the aggregate amount of mandatory and voluntary principal payments made on the priority term loans during the fiscal year.

Organizations and Basis of Pr_2

Organizations and Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2018
Organizations and Basis of Presentation [Abstract]
Basis of Presentation	Basis of Presentation The accompanying interim, condensed, consolidated financial statements have been prepared in accordance with the accounting practices described in the Company’s audited, consolidated financial statements as of and for the year ended December 31, 2017, and are unaudited.
Reclassifications	Certain prior year amounts have been reclassified to conform to the current year’s presentation. The changes did not have an impact on the Company’s consolidated financial position, results of operations, or cash flows in any of the periods presented.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2018
Summary of Significant Accounting Policies [Abstract]
Consolidation	Consolidation The consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are wholly-owned. All significant intercompany transactions have been eliminated.
Revenue Recognition	Revenue Recognition The Company adopted Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes nearly all existing revenue recognition guidance under U.S. GAAP, on January 1, 2018. The Company recognizes revenues, net of sales incentives and sales returns, including shipping and handling charges billed to customers, upon delivery of goods to the customer at an amount that the Company expects to be entitled to in exchange for those goods in accordance with the five-step analysis outlined in Topic 606: (i) identify the contract with the customer, (ii) identify the performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations, and (v) recognize revenue when (or as) performance obligations are satisfied. A further requirement of ASU 2014-09 is for entities to
Shipping Costs	Shipping Costs The Company records shipping costs incurred as a component of selling, general, and administrative expenses. Shipping costs incurred were approximately $3.8 million and $2.9 million for the three months ending , 2018 and 2017, respectively. Shipping costs incurred were approximately $10.5 million and $7.4 million for the nine months ending , 2018 and 2017, respectively.
Fair Value	Fair Value GAAP establishes a framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1) and the lowest priority to unobservable inputs (level 3). The three levels of the fair value hierarchy under GAAP are described below: · Level 1 – Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets at the measurement date. · Level 2 – Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability, and inputs that are derived principally from or corroborated by observable market data by correlation or other means. · Level 3 – Unobservable inputs that reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date.
Derivative Instruments	Derivative Instruments Foreign Currency Forward Contracts: Interest Rate Swap Agreements:
Risks and Uncertainties	Risks and Uncertainties Manufacturers and sellers of tobacco products are subject to regulation at the federal, state, and local levels. Such regulations include, among others, labeling requirements, limitations on advertising, and prohibition of sales to minors. The tobacco industry is likely to continue to be heavily regulated. There can be no assurance as to the ultimate content, timing, or effect of any regulation of tobacco products by any federal, state, or local legislative or regulatory body, nor can there be any assurance that any such legislation or regulation would not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. The tobacco industry has experienced, and is experiencing, significant product liability litigation. Most tobacco liability lawsuits have been brought against manufacturers and sellers of cigarettes for injuries allegedly caused by smoking or exposure to smoke. However, several lawsuits have been brought against manufacturers and sellers of smokeless products for injuries to health allegedly caused by use of smokeless products. Typically, such claims assert that use of smokeless products is addictive and causes oral cancer. Additionally, several lawsuits have been brought against manufacturers and distributors of NewGen products due to malfunctioning devices. There can be no assurance the Company will not sustain losses in connection with such lawsuits and that such losses will not have a material adverse effect on the Company’s financial position, results of operations, or cash flows. Master Settlement Agreement (MSA): The Company has chosen to invest a portion of the MSA escrow deposits in U.S. Government securities including TIPS, Treasury Notes, and Treasury Bonds. These investments are classified as available-for-sale and carried at fair value. Realized losses are prohibited under the MSA; any investment in an unrealized loss position will be held until the value is recovered, or until maturity. The following shows the fair value of the MSA escrow account: As of September 30, 2018 As of December 31, 2017 Cost Gross Unrealized Losses Estimated Fair Value Cost Gross Unrealized Losses Estimated Fair Value Cash and cash equivalents $ 1,367 $ - $ 1,367 $ 3,602 $ - $ 3,602 U.S. Governmental agency obligations (unrealized loss position < 12 months) 3,181 (53 ) 3,128 722 (17 ) 705 U.S. Governmental agency obligations (unrealized loss position > 12 months) 27,514 (2,084 ) 25,430 27,733 (1,214 ) 26,519 $ 32,062 $ (2,137 ) $ 29,925 $ 32,057 $ (1,231 ) $ 30,826 Fair value for the U.S. Governmental agency obligations are Level 2. The following shows the maturities of the U.S. Governmental agency obligations: As of September 30, 2018 December 31, 2017 Less than one year $ 1,499 $ - One to five years 9,600 7,114 Five to ten years 15,141 17,662 Greater than ten years 4,455 3,679 Total U.S. Governmental agency obligations $ 30,695 $ 28,455 The following shows the amount of deposits by sales year for the MSA escrow account: Deposits as of Sales Year September 30, 2018 December 31, 2017 1999 $ 211 $ 211 2000 1,017 1,017 2001 1,673 1,673 2002 2,271 2,271 2003 4,249 4,249 2004 3,714 3,714 2005 4,552 4,552 2006 3,847 3,847 2007 4,167 4,167 2008 3,364 3,364 2009 1,619 1,626 2010 406 406 2011 193 193 2012 199 199 2013 173 173 2014 143 143 2015 101 101 2016 81 81 2017 83 70 Total $ 32,063 $ 32,057 Food and Drug Administration (“FDA”): cigars, pipe tobacco, electronic cigarettes (“e-cigarettes”), vaporizers, and e-liquids as “deemed” tobacco products under the FSPTCA. The FDA assesses tobacco product user fees on six classes of regulated tobacco products and computes user fees using a methodology similar to the methodology used by the U.S Department of Agriculture to compute the Tobacco Transition Payment Program (“TTPP,” also known as the “Tobacco Buyout”) assessment. First, the total, annual, congressionally established user fee assessment is allocated among the various classes of tobacco products using the federal excise tax weighted market share of tobacco products subject to regulation. Then, the assessment for each class of tobacco products is divided among individual manufacturers and importers. Prior to October 1, 2016, these FDA user fees applied only to those products then regulated by the FDA. Effective October 1, 2016, the FDA began additionally applying FDA user fees to newly “deemed” tobacco products subject to FDA user fees as described above, i.e. On July 28, 2017, the FDA announced a new direction in regulating tobacco products, including the newly “deemed” markets such as cigars and vapor products. The FDA stated it intends to begin several new rulemaking processes, some of which will outline foundational rules governing the premarket application process for the deemed products, including Substantial Equivalence Applications and Premarket Tobacco Applications. Compliance and related costs could be significant and could increase the costs of operating in our NewGen segment. The original filing deadlines for newly “deemed” products on the market as of August 8, 2016, have been postponed until August 8, 2021, for “combustible” products ( e.g. e.g. i.e.
Recent Accounting Pronouncements Adopted	Recent Accounting Pronouncements Adopted The Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606) The Company adopted Income Statement—Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income The adoption of this ASU resulted in a reclassification of stranded tax effects related to the TCJA from accumulated other comprehensive income to retained earnings of less than $0.1 million during the first quarter of 2018. The Company adopted ASU 2017-07, Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost The Company adopted ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash
Recent Accounting Pronouncements	Recent Accounting Pronouncements In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), Leases In July 2018, the FASB issued ASU 2018-11, Leases (Topic 842): Targeted Improvements

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2018
Summary of Significant Accounting Policies [Abstract]
Fair Value of MSA Escrow Account	The following shows the fair value of the MSA escrow account: As of September 30, 2018 As of December 31, 2017 Cost Gross Unrealized Losses Estimated Fair Value Cost Gross Unrealized Losses Estimated Fair Value Cash and cash equivalents $ 1,367 $ - $ 1,367 $ 3,602 $ - $ 3,602 U.S. Governmental agency obligations (unrealized loss position < 12 months) 3,181 (53 ) 3,128 722 (17 ) 705 U.S. Governmental agency obligations (unrealized loss position > 12 months) 27,514 (2,084 ) 25,430 27,733 (1,214 ) 26,519 $ 32,062 $ (2,137 ) $ 29,925 $ 32,057 $ (1,231 ) $ 30,826
Maturities of U.S. Governmental Agency Obligations	The following shows the maturities of the U.S. Governmental agency obligations: As of September 30, 2018 December 31, 2017 Less than one year $ 1,499 $ - One to five years 9,600 7,114 Five to ten years 15,141 17,662 Greater than ten years 4,455 3,679 Total U.S. Governmental agency obligations $ 30,695 $ 28,455
Deposits by Sales Year for MSA Escrow Account	The following shows the amount of deposits by sales year for the MSA escrow account: Deposits as of Sales Year September 30, 2018 December 31, 2017 1999 $ 211 $ 211 2000 1,017 1,017 2001 1,673 1,673 2002 2,271 2,271 2003 4,249 4,249 2004 3,714 3,714 2005 4,552 4,552 2006 3,847 3,847 2007 4,167 4,167 2008 3,364 3,364 2009 1,619 1,626 2010 406 406 2011 193 193 2012 199 199 2013 173 173 2014 143 143 2015 101 101 2016 81 81 2017 83 70 Total $ 32,063 $ 32,057

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	Sep. 30, 2018
Acquisitions [Abstract]
Pro Forma Information - IVG and Vapor Supply	Amortization of fair value, interest on debt, and income tax adjustments are included in the numbers below. Vapor Supply and IVG Actuals Pro Forma Consolidated from Acquisition Nine Months Ended Dates September 30, September 30, 2018 2018 2017 Net sales $ 9,737 $ 281,679 $ 270,795 Income (loss) before income taxes (55 ) 24,556 21,539 Net income (loss) $ (55 ) $ 20,386 $ 17,390 Basic earnings per common share: Net income $ 1.06 $ 0.92 Diluted earnings per common share: Net income $ 1.03 $ 0.89 Weight average common shares outstanding: Basic - inclusive of voting and non-voting shares 19,290,096 18,915,606 Diluted - inclusive of voting and non-voting shares 19,767,667 19,503,130
IVG [Member]
Acquisitions [Abstract]
Acquisition	The following purchase price and goodwill are based on the excess of the acquisition price over the estimated fair value of the tangible and intangible assets acquired and are based on management’s preliminary estimates. Total purchase price $ 24,292 Adjustments to purchase price: Cash acquired (391 ) Working capital (245 ) Adjusted purchase price 23,656 Assets acquired: Working capital 2,681 Fixed assets 1,296 Intangible assets 8,140 Capital lease obligation (169 ) Net assets acquired 11,948 Goodwill $ 11,708
Vapor Supply [Member]
Acquisitions [Abstract]
Acquisition	The following fair value for working capital (primarily inventory), fixed assets, and trade name are based on management’s preliminary estimates: Fair Value Working capital $ 3,181 Fixed assets 498 Trade name 1,121 Total purchase price $ 4,800

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Sep. 30, 2018
Inventories [Abstract]
Inventories	The components of inventories are as follows: September 30, 2018 December 31, 2017 Raw materials and work in process $ 3,285 $ 2,545 Leaf tobacco 34,873 30,308 Finished goods - Smokeless products 7,313 5,834 Finished goods - Smoking products 13,604 14,110 Finished goods - NewGen products 35,103 14,532 Other 722 1,290 94,900 68,619 LIFO reserve (5,467 ) (5,323 ) $ 89,433 $ 63,296

Property, Plant, and Equipment

Property, Plant, and Equipment (Tables)	9 Months Ended
	Sep. 30, 2018
Property, Plant, and Equipment [Abstract]
Property, Plant, and Equipment	Property, plant, and equipment consisted of the following: September 30, 2018 December 31, 2017 Land $ 22 $ 22 Buildings and improvements 2,320 2,072 Leasehold improvements 2,064 1,873 Machinery and equipment 13,275 12,635 Furniture and fixtures 4,601 3,821 22,282 20,423 Accumulated depreciation (11,697 ) (11,564 ) $ 10,585 $ 8,859

Other Current Assets (Tables)

Other Current Assets (Tables)	9 Months Ended
	Sep. 30, 2018
Other Current Assets [Abstract]
Other Current Assets	Other current assets consisted of the following: September 30, 2018 December 31, 2017 Inventory deposits $ 9,251 $ 3,797 Other 5,305 6,545 $ 14,556 $ 10,342

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	9 Months Ended
	Sep. 30, 2018
Accrued Liabilities [Abstract]
Accrued Liabilities	Accrued liabilities consisted of the following: September 30, 2018 December 31, 2017 Accrued payroll and related items $ 4,142 $ 5,683 Customer returns and allowances 2,353 2,707 Other 10,906 10,304 $ 17,401 $ 18,694

Notes Payable and Long-Term D_2

Notes Payable and Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2018
Notes Payable and Long-Term Debt [Abstract]
Notes Payable and Long-Term Debt	Notes payable and long-term debt consisted of the following in order of preference: September 30, 2018 December 31, 2017 2018 First Lien Term Loan $ 156,000 $ - 2018 Second Lien Term Loan 40,000 - Note payable - IVG 4,000 - 2017 First Lien First Out Term Loan - 105,875 2017 First Lien Second Out Term Loan - 34,738 2017 Second Lien Term Loan - 55,000 Note payable - VaporBeast - 2,000 Total notes payable and long-term debt 200,000 197,613 Less deferred finance charges (3,471 ) (3,573 ) Less current maturities (8,000 ) (7,850 ) $ 188,529 $ 186,190

Pension and Postretirement Be_2

Pension and Postretirement Benefit Plans (Tables)	9 Months Ended
	Sep. 30, 2018
Pension and Postretirement Benefit Plans [Abstract]
Net Periodic Benefit Cost	The following table provides the components of net periodic pension and postretirement benefit costs and total costs for the plans: Three Months Ended September 30, Pension Benefits Postretirement Benefits 2018 2017 2018 2017 Service cost $ 26 $ 26 $ - $ - Interest cost 135 164 30 36 Expected return on plan assets (221 ) (256 ) - - Amortization of (gains) losses 33 114 (21 ) - Net periodic benefit (income) cost $ (27 ) $ 48 $ 9 $ 36 Nine Months Ended September 30, Pension Benefits Postretirement Benefits 2018 2017 2018 2017 Service cost $ 78 $ 78 $ - $ - Interest cost 419 484 88 108 Expected return on plan assets (728 ) (768 ) - - Amortization of (gains) losses 153 350 (61 ) - Curtailment loss 306 - - - Net periodic benefit cost $ 228 $ 144 $ 27 $ 108

Share Incentive Plans (Tables)

Share Incentive Plans (Tables)	9 Months Ended
	Sep. 30, 2018
Share Incentive Plans [Abstract]
Stock Option Activity	There are no shares available for grant under the 2006 Plan. Stock option activity for the 2006 and 2015 Plans is summarized below: Stock Option Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Outstanding, December 31, 2016 1,637,762 $ 2.41 $ 1.23 Granted 133,819 14.69 4.41 Exercised (923,708 ) 1.55 0.83 Forfeited (801 ) 15.37 4.59 Surrendered (83,400 ) 1.06 0.54 Outstanding, December 31, 2017 763,672 5.73 2.36 Granted 124,100 21.27 6.33 Exercised (196,585 ) 3.96 1.42 Forfeited (13,595 ) 13.08 3.71 Outstanding, September 30, 2018 677,592 $ 8.95 $ 3.33
Assumptions for Options Granted Under 2015 Plan	The following table outlines the assumptions based on the number of options granted under the 2015 Plan. February 10, 2017 May 17, 2017 March 7, 2018 March 13, 2018 Number of options granted 40,000 93,819 98,100 26,000 Options outstanding at September 30, 2018 38,300 84,665 96,400 26,000 Number exercisable at September 30, 2018 11,900 28,572 - 8,840 Exercise price $ 13.00 $ 15.41 $ 21.21 $ 21.49 Remaining lives 8.37 8.63 9.44 9.46 Risk free interest rate 1.89 % 1.76 % 2.65 % 2.62 % Expected volatility 27.44 % 26.92 % 28.76 % 28.76 % Expected life 6.000 6.000 6.000 5.495 Dividend yield - - 0.83 % 0.82 % Fair value at grant date $ 3.98 $ 4.60 $ 6.37 $ 6.18

Income Per Share (Tables)

Income Per Share (Tables)	9 Months Ended
	Sep. 30, 2018
Income Per Share [Abstract]
Basic and Diluted Net Income per Share	The following is a reconciliation of the numerators and denominators of the basic and diluted EPS computations of net income: Three Months Ended September 30, 2018 2017 Income Shares Per Share Income Shares Per Share Consolidated net income $ 7,954 $ 7,374 Basic EPS: Weighted average 19,378,054 $ 0.41 19,085,329 $ 0.39 Diluted EPS: Effect of dilutive securities: Stock options 504,940 504,095 19,882,994 $ 0.40 19,589,424 $ 0.38 Nine Months Ended September 30, 2018 2017 Income Shares Per Share Income Shares Per Share Net income attributable to Turning Point Brands, Inc. $ 20,305 $ 16,690 Basic EPS: Weighted average 19,290,096 $ 1.05 18,915,606 $ 0.88 Diluted EPS: Effect of dilutive securities: Stock options 477,571 587,524 19,767,667 $ 1.03 19,503,130 $ 0.86

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Sep. 30, 2018
Segment Information [Abstract]
Financial Information of Reported Segments	The tables below present financial information about reported segments: Three Months Ended September 30, 2018 2017 Net sales Smokeless products $ 21,743 $ 21,294 Smoking products 28,079 26,860 NewGen products 33,527 25,186 $ 83,349 $ 73,340 Gross profit Smokeless products $ 11,020 $ 11,516 Smoking products 14,814 14,201 NewGen products 10,377 7,251 $ 36,211 $ 32,968 Operating income (loss) Smokeless products (1) $ 4,114 $ 6,036 Smoking products (2) 8,595 8,958 NewGen products (3) 371 (535 ) Other (4) (122 ) (25 ) $ 12,958 $ 14,434 Interest expense 3,836 4,027 Interest income (134 ) (4 ) Investment income (89 ) (131 ) Net periodic benefit (income) expense, excluding service cost (45 ) 58 Income before income taxes $ 9,390 $ 10,484 Capital expenditures Smokeless products $ 251 $ 446 Smoking products - - NewGen products 274 39 $ 525 $ 485 Depreciation and amortization Smokeless products $ 342 $ 341 Smoking products - - NewGen products 343 255 $ 685 $ 596 (1) Includes allocated corporate charges of $1,748 and $1,734 for the three months ended September 30, 2018 and 2017, respectively. (2) Includes allocated corporate charges of $2,266 and $2,187 for the three months ended September 30, 2018 and 2017, respectively. (3) Includes allocated corporate charges of $2,168 and $2,061 for the three months ended September 30, 2018 and 2017, respectively. (4) "Other" includes the costs that are not assigned to the three reportable segments. Nine Months Ended September 30, 2018 2017 Net sales Smokeless products $ 66,900 $ 63,563 Smoking products 84,403 81,056 NewGen products 87,089 67,595 $ 238,392 $ 212,214 Gross profit Smokeless products $ 34,546 $ 32,385 Smoking products 43,158 42,018 NewGen products 26,111 18,303 $ 103,815 $ 92,706 Operating income (loss) Smokeless products (1) $ 15,040 $ 15,256 Smoking products (2) 24,270 25,663 NewGen products (3) (1,437 ) (1,916 ) Other (4) (372 ) (61 ) $ 37,501 $ 38,942 Interest expense 11,073 13,010 Interest income (262 ) (8 ) Investment income (328 ) (334 ) Loss on extinguishment of debt 2,384 6,116 Net periodic benefit expense, excluding service cost 176 174 Income before income taxes $ 24,458 $ 19,984 Capital expenditures Smokeless products $ 1,140 $ 973 Smoking products - - NewGen products 388 79 $ 1,528 $ 1,052 Depreciation and amortization Smokeless products $ 1,014 $ 1,046 Smoking products - - NewGen products 1,139 672 $ 2,153 $ 1,718 (1) Includes allocated corporate charges of $6,010 and $5,324 for the nine months ended September 30, 2018 and 2017, respectively. (2) Includes allocated corporate charges of $7,585 and $6,789 for the nine months ended September 30, 2018 and 2017, respectively. (3) Includes allocated corporate charges of $6,948 and $5,662 for the nine months ended September 30, 2018 and 2017, respectively. (4) '"Other" includes the costs that are not assigned to the three reportable segments. September 30, 2018 December 31, 2017 Assets Smokeless products $ 100,199 $ 94,559 Smoking products 141,129 141,869 NewGen products 94,020 44,914 Other (1) 983 935 $ 336,331 $ 282,277 (1) "Other" includes the assets that are not assigned to the three reportable segments. All goodwill has been allocated to the reportable segments.
Revenue Disaggregation - Sales Channel	NewGen net sales are broken out by sales channel below. NewGen Segment Three Months Ended September 30, 2018 2017 Wholesalers $ 1,892 $ 2,818 Retail outlets 22,473 19,889 End-customers 9,162 2,479 $ 33,527 $ 25,186 NewGen Segment Nine Months Ended September 30, 2018 2017 Wholesalers $ 6,572 $ 7,971 Retail outlets 63,185 53,665 End-customers 17,332 5,959 $ 87,089 $ 67,595
Net Sales - Domestic vs. Foreign	The following table shows a breakdown of consolidated net sales between domestic and foreign customers. Three Months Ended September 30, 2018 2017 Domestic $ 78,529 $ 69,484 Foreign 4,820 3,856 Total $ 83,349 $ 73,340 Nine Months Ended September 30, 2018 2017 Domestic $ 226,826 $ 203,210 Foreign 11,566 9,004 Total $ 238,392 $ 212,214

Summary of Significant Accoun_4

Summary of Significant Accounting Policies, Shipping Costs (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Shipping Costs [Abstract]
Shipping costs	$ 3.8	$ 2.9	$ 10.5	$ 7.4

Summary of Significant Accoun_5

Summary of Significant Accounting Policies, Derivative Instruments (Details) - Maximum [Member]	9 Months Ended
	Sep. 30, 2018
Derivative Instruments [Abstract]
Percentage of anticipated purchases of inventory that may be hedged	100.00%
Term of hedge	12 months
Percentage of non-inventory purchases that may be hedged	90.00%

Summary of Significant Accoun_6

Summary of Significant Accounting Policies, Master Settlement Agreement (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Fair Value of MSA Escrow Account [Abstract]
Cost	$ 32,062	$ 32,057
Gross unrealized losses	(2,137)	(1,231)
Estimated fair value	29,925	30,826
Maturities of U.S. Governmental Agency Obligations [Abstract]
Less than one year	1,499	0
One to five years	9,600	7,114
Five to ten years	15,141	17,662
Greater than ten years	4,455	3,679
Total U.S. Governmental agency obligations	30,695	28,455
Master Settlement Agreement Escrow Account by Sales Year [Abstract]
1,999	211	211
2,000	1,017	1,017
2,001	1,673	1,673
2,002	2,271	2,271
2,003	4,249	4,249
2,004	3,714	3,714
2,005	4,552	4,552
2,006	3,847	3,847
2,007	4,167	4,167
2,008	3,364	3,364
2,009	1,619	1,626
2,010	406	406
2,011	193	193
2,012	199	199
2,013	173	173
2,014	143	143
2,015	101	101
2,016	81	81
2,017	83	70
Total	32,063	32,057
Cash and Cash Equivalents [Member]
Fair Value of MSA Escrow Account [Abstract]
Cost	1,367	3,602
Gross unrealized losses	0	0
Estimated fair value	1,367	3,602
U. S. Governmental Agency Obligations (Unrealized Loss Position less than 12 Months) [Member]
Fair Value of MSA Escrow Account [Abstract]
Cost	3,181	722
Gross unrealized losses	(53)	(17)
Estimated fair value	3,128	705
U. S. Governmental Agency Obligations (Unrealized Loss Position more than 12 Months) [Member]
Fair Value of MSA Escrow Account [Abstract]
Cost	27,514	27,733
Gross unrealized losses	(2,084)	(1,214)
Estimated fair value	$ 25,430	$ 26,519

Summary of Significant Accoun_7

Summary of Significant Accounting Policies, Food and Drug Administration (Details)	9 Months Ended
	Sep. 30, 2018CategoryClass
Food and Drug Administration [Abstract]
Number of categories of tobacco products regulated by the FDA | Category	4
Number of classes of regulated tobacco products on which user fees are assessed by the FDA | Class	6

Summary of Significant Accoun_8

Summary of Significant Accounting Policies, Recent Accounting Pronouncements Adopted (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2018	Mar. 31, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Recent Accounting Pronouncements Adopted [Abstract]
Net periodic benefit (income) expense, excluding service cost	$ (45)		$ 58	$ 176	$ 174
ASU 2017-07 [Member]
Recent Accounting Pronouncements Adopted [Abstract]
Cost of sales and selling, general, and administrative expenses			(100)		(200)
Net periodic benefit (income) expense, excluding service cost			$ 100		$ 200
Accumulated Other Comprehensive Income [Member] | ASU 2018-02 [Member]
Recent Accounting Pronouncements Adopted [Abstract]
Reclassification of stranded tax effects related to the TCJA		$ 100
Retained Earnings [Member] | ASU 2018-02 [Member]
Recent Accounting Pronouncements Adopted [Abstract]
Reclassification of stranded tax effects related to the TCJA		$ (100)

Acquisitions, IVG (Details)

Acquisitions, IVG (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018	Sep. 30, 2018	Dec. 31, 2017
Acquisitions [Abstract]
Note payable issued for acquisition	$ 200,000	$ 200,000	$ 200,000	$ 197,613
Assets Acquired [Abstract]
Goodwill	$ 146,328	$ 146,328	$ 146,328	$ 134,620
IVG [Member]
Acquisitions [Abstract]
Equity interest acquired	100.00%	100.00%	100.00%
Cash paid for acquisition	$ 14,400
Common stock issued for acquisition (in shares)	153,079
Fair value of common stock issued for acquisition	$ 5,300	$ 5,300	$ 5,300
Note payable issued for acquisition	4,000	4,000	$ 4,000
Maturity period of note payable			18 months
Earnouts payable to former IVG owners	4,500	4,500	$ 4,500
Term for payment of performance-based earnouts			2 years
Earnout expense		400
Purchase Price [Abstract]
Total purchase price	24,292
Adjustments to Purchase Price [Abstract]
Cash acquired	(391)
Working capital	(245)
Adjusted purchase price	23,656
Assets Acquired [Abstract]
Working capital	2,681	2,681	$ 2,681
Fixed assets	1,296	1,296	1,296
Intangible assets	8,140	8,140	8,140
Capital lease obligation	(169)	(169)	(169)
Net assets acquired	11,948	11,948	11,948
Goodwill	$ 11,708	$ 11,708	$ 11,708

Acquisitions, Vapor Supply (Det

Acquisitions, Vapor Supply (Details) - Vapor Supply [Member] $ in Thousands	Apr. 30, 2018USD ($)
Business Combination, Description [Abstract]
Cash paid at closing	$ 4,800
Working capital	3,181
Fixed assets	498
Trade name	1,121
Total purchase price	$ 4,800

Acquisitions, Pro Forma Informa

Acquisitions, Pro Forma Information - IVG and Vapor Supply (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Weighted Average Common Shares Outstanding [Abstract]
Basic - inclusive of voting and non-voting shares (in shares)		19,378,054	19,085,329	19,290,096	18,915,606
Diluted - inclusive of voting and non-voting shares (in shares)		19,882,994	19,589,424	19,767,667	19,503,130
IVG and Vapor Supply [Member]
Actuals from Acquisition Dates [Abstract]
Net sales	$ 9,737
Income (loss) before income taxes	(55)
Net income (loss)	$ (55)
Pro Forma Consolidated [Abstract]
Net sales				$ 281,679	$ 270,795
Income (loss) before income taxes				24,556	21,539
Net income (loss)				$ 20,386	$ 17,390
Basic earnings per common share (in dollars per share)				$ 1.06	$ 0.92
Diluted earnings per common share (in dollars per share)				$ 1.03	$ 0.89

Acquisitions, Vapor Shark (Deta

Acquisitions, Vapor Shark (Details) - Vapor Shark [Member] $ in Millions	1 Months Ended
	Feb. 28, 2018USD ($)Intallment	Jan. 31, 2018USD ($)	Jun. 30, 2017	Mar. 31, 2017USD ($)
Acquisitions [Abstract]
Committed deposit in exchange for warrant				$ 2.5
Equity interest to be purchased upon exercise of warrant				100.00%
Equity interest acquired			100.00%
Consideration paid in exchange for option to purchase owned stores		$ 1.5
Cash paid to former shareholder in exchange for option to purchase branded company-owned stores	$ 1
Liability to former shareholder in exchange for option to purchase branded company-owned stores	$ 0.5
Number of monthly installments for the remaining amount | Intallment	24

Derivative Instruments (Details

Derivative Instruments (Details) € in Millions, $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2018EUR (€)	Sep. 30, 2018EUR (€)	Sep. 30, 2018USD ($)	Sep. 30, 2018EUR (€)	Mar. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2017EUR (€)
Maximum [Member]
Derivative Instruments [Abstract]
Percentage of anticipated purchases of inventory that may be hedged		100.00%
Term of hedge		12 months
Percentage of non-inventory purchases that may be hedged		90.00%
Foreign Exchange Contracts [Member]
Derivative Instruments [Abstract]
Notional amount of contracts purchased | €	€ 2.3	€ 14.5
Notional amount | €				€ 5.5			€ 0
Foreign Exchange Contracts [Member] | Maximum [Member]
Derivative Instruments [Abstract]
Fair value			$ 0.1
Interest Rate Swap [Member]
Derivative Instruments [Abstract]
Notional amount			70		$ 70	$ 0
Fair value			$ 0.4
Interest Rate Swap [Member] | LIBOR [Member]
Derivative Instruments [Abstract]
Interest rate percentage			2.755%	2.755%

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Details) $ in Thousands, € in Millions	9 Months Ended
	Sep. 30, 2018USD ($)	Sep. 30, 2018EUR (€)	Mar. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2017EUR (€)
Fair Value of Financial Instruments [Abstract]
Note payable	$ 200,000			$ 197,613
Foreign Exchange Contracts [Member]
Fair Value of Financial Instruments [Abstract]
Notional amount | €		€ 5.5			€ 0
Loss on fair value	(100)
Foreign Exchange Contracts [Member] | Maximum [Member]
Fair Value of Financial Instruments [Abstract]
Fair value	100
Interest Rate Swap [Member]
Fair Value of Financial Instruments [Abstract]
Notional amount	70,000		$ 70,000	0
Fair value	400
2018 First Lien Term Loan [Member]
Fair Value of Financial Instruments [Abstract]
Note payable	156,000			0
2017 Second Lien Term Loan [Member]
Fair Value of Financial Instruments [Abstract]
Note payable	0			55,000
Note Payable - IVG [Member]
Fair Value of Financial Instruments [Abstract]
Note payable	4,000			0
Fair Value [Member] | 2018 First Lien Term Loan [Member]
Fair Value of Financial Instruments [Abstract]
Long-term debt	156,000
Fair Value [Member] | 2018 Second Lien Term Loan [Member]
Fair Value of Financial Instruments [Abstract]
Long-term debt	$ 40,000
Fair Value [Member] | 2017 First Lien Term Loans [Member]
Fair Value of Financial Instruments [Abstract]
Long-term debt				140,600
Fair Value [Member] | 2017 Second Lien Term Loan [Member]
Fair Value of Financial Instruments [Abstract]
Long-term debt				$ 56,100

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Inventories [Abstract]
Raw materials and work in process	$ 3,285	$ 2,545
Leaf tobacco	34,873	30,308
Other	722	1,290
Inventory	94,900	68,619
LIFO reserve	(5,467)	(5,323)
Inventory, net	89,433	63,296
Inventory valuation allowance	1,100	500
Smokeless Products [Member]
Inventories [Abstract]
Finished goods	7,313	5,834
Smoking Products [Member]
Inventories [Abstract]
Finished goods	13,604	14,110
NewGen Products [Member]
Inventories [Abstract]
Finished goods	$ 35,103	$ 14,532

Property, Plant, and Equipmen_2

Property, Plant, and Equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Property, Plant and Equipment [Abstract]
Property, plant and equipment	$ 22,282	$ 20,423
Accumulated depreciation	(11,697)	(11,564)
Property, plant and equipment, net	10,585	8,859
Land [Member]
Property, Plant and Equipment [Abstract]
Property, plant and equipment	22	22
Buildings and Improvements [Member]
Property, Plant and Equipment [Abstract]
Property, plant and equipment	2,320	2,072
Leasehold Improvements [Member]
Property, Plant and Equipment [Abstract]
Property, plant and equipment	2,064	1,873
Machinery and Equipment [Member]
Property, Plant and Equipment [Abstract]
Property, plant and equipment	13,275	12,635
Furniture and Fixtures [Member]
Property, Plant and Equipment [Abstract]
Property, plant and equipment	$ 4,601	$ 3,821

Other Current Assets (Details)

Other Current Assets (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2018	May 18, 2018	Dec. 31, 2017
Other Current Assets [Abstract]
Inventory deposits	$ 9,251		$ 3,797
Other	5,305		6,545
Other current assets	14,556		$ 10,342
Note Receivable [Abstract]
Note receivable		$ 6,500
Termination fee	$ 1,000
Note Receivable [Member]
Note Receivable [Abstract]
Maturity date	May 18, 2019
Interest rate		15.00%

Accrued Liabilities (Details)

Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Accrued Liabilities [Abstract]
Accrued payroll and related items	$ 4,142	$ 5,683
Customer returns and allowances	2,353	2,707
Other	10,906	10,304
Total accrued liabilities	$ 17,401	$ 18,694

Notes Payable and Long-Term D_3

Notes Payable and Long-Term Debt, Summary of Notes Payable and Long-Term Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2018	Dec. 31, 2017
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	$ 200,000	$ 197,613
Less deferred finance charges	(3,471)	(3,573)
Less current maturities	(8,000)	(7,850)
Long-term debt	188,529	186,190
2018 First Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	156,000	0
2018 Second Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	40,000	0
Note Payable - IVG [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	4,000	0
2017 First Lien First Out Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	0	105,875
2017 First Lien Second Out Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	0	34,738
2017 Second Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	0	55,000
Note Payable - VaporBeast [Member]
Notes Payable and Long-Term Debt [Abstract]
Notes payable and long-term debt	$ 0	$ 2,000

Notes Payable and Long-Term D_4

Notes Payable and Long-Term Debt, 2018 Credit Facility (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Mar. 31, 2018	Sep. 30, 2018	Sep. 30, 2017	Mar. 07, 2018	Feb. 17, 2017
Notes Payable and Long-Term Debt [Abstract]
Loss on extinguishment of debt		$ (2,384)	$ (6,116)
2018 Credit Facility [Member]
Notes Payable and Long-Term Debt [Abstract]
Secured credit facility				$ 250,000
Additional borrowing capacity under accordion feature				40,000
2018 First Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Face amount				160,000
2018 Revolving Credit Facility [Member]
Notes Payable and Long-Term Debt [Abstract]
Maximum borrowing capacity				50,000
2018 Second Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Face amount				$ 40,000
2017 Credit Facility [Member]
Notes Payable and Long-Term Debt [Abstract]
Face amount					$ 250,000
Loss on extinguishment of debt	$ (2,400)

Notes Payable and Long-Term D_5

Notes Payable and Long-Term Debt, 2018 First Lien Credit Facility (Details) $ in Millions	Mar. 07, 2018USD ($)	Sep. 30, 2018USD ($)
Letter of Credit [Member]
Notes Payable and Long-Term Debt [Abstract]
Maximum borrowing capacity		$ 0.5
2018 First Lien Credit Facility [Member]
Notes Payable and Long-Term Debt [Abstract]
Maturity date		Mar. 7, 2023
2018 First Lien Credit Facility [Member] | Minimum [Member]
Notes Payable and Long-Term Debt [Abstract]
Senior leverage ratio	3
Total leverage ratio	4
Fixed charge coverage ratio	1.20
2018 First Lien Credit Facility [Member] | Maximum [Member]
Notes Payable and Long-Term Debt [Abstract]
Senior leverage ratio	3.50
Total leverage ratio	4.50
2018 Revolving Credit Facility [Member]
Notes Payable and Long-Term Debt [Abstract]
Weighted average interest rate		6.36%
Outstanding borrowings		$ 30
Unused portion of credit facility		20
Maximum borrowing capacity	$ 50
Availability under credit facility		$ 19.5
2018 Revolving Credit Facility [Member] | LIBOR [Member] | Minimum [Member]
Notes Payable and Long-Term Debt [Abstract]
Margin on variable rate	2.75%
2018 Revolving Credit Facility [Member] | LIBOR [Member] | Maximum [Member]
Notes Payable and Long-Term Debt [Abstract]
Margin on variable rate	3.50%
2018 First Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Frequency of required payment		Quarterly
Weighted average interest rate		5.49%
2018 First Lien Term Loan [Member] | June 30, 2018 through March 31, 2020 [Member]
Notes Payable and Long-Term Debt [Abstract]
Required payment	$ 2
2018 First Lien Term Loan [Member] | June 30, 2020 through March 31, 2022 [Member]
Notes Payable and Long-Term Debt [Abstract]
Required payment	3
2018 First Lien Term Loan [Member] | June 30, 2022 and after [Member]
Notes Payable and Long-Term Debt [Abstract]
Required payment	$ 4
2018 First Lien Term Loan [Member] | LIBOR [Member] | Minimum [Member]
Notes Payable and Long-Term Debt [Abstract]
Margin on variable rate	2.75%
2018 First Lien Term Loan [Member] | LIBOR [Member] | Maximum [Member]
Notes Payable and Long-Term Debt [Abstract]
Margin on variable rate	3.50%

Notes Payable and Long-Term D_6

Notes Payable and Long-Term Debt, 2018 Second Lien Credit Facility (Details)	Mar. 07, 2018	Sep. 30, 2018
2018 Second Lien Credit Facility [Member] | Minimum [Member]
Notes Payable and Long-Term Debt [Abstract]
Senior leverage ratio	3.50
Total leverage ratio	4.50
Fixed charge coverage ratio	1.10
2018 Second Lien Credit Facility [Member] | Maximum [Member]
Notes Payable and Long-Term Debt [Abstract]
Senior leverage ratio	3.75
Total leverage ratio	4.75
2018 Second Lien Term Loan [Member]
Notes Payable and Long-Term Debt [Abstract]
Maturity date		Mar. 7, 2024
Weighted average interest rate		9.15%
2018 Second Lien Term Loan [Member] | LIBOR [Member]
Notes Payable and Long-Term Debt [Abstract]
Margin on variable rate	7.00%

Notes Payable and Long-Term D_7

Notes Payable and Long-Term Debt, Note Payable - IVG (Details) - Note Payable - IVG [Member] $ in Millions	9 Months Ended
	Sep. 30, 2018USD ($)
Notes Payable and Long-Term Debt [Abstract]
Face amount	$ 4
Interest rate	6.00%
Maturity date	Mar. 5, 2020

Notes Payable and Long-Term D_8

Notes Payable and Long-Term Debt, 2017 Credit Facility (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Sep. 30, 2018	Sep. 30, 2017	Feb. 17, 2017
Notes Payable and Long-Term Debt [Abstract]
Loss on extinguishment of debt			$ (2,384)	$ (6,116)
2017 Credit Facility [Member]
Notes Payable and Long-Term Debt [Abstract]
Face amount					$ 250,000
Loss on extinguishment of debt	$ (2,400)
Prior Credit Facilities [Member]
Notes Payable and Long-Term Debt [Abstract]
Loss on extinguishment of debt		$ (6,100)

Notes Payable and Long-Term D_9

Notes Payable and Long-Term Debt, Note Payable - VaporBeast (Details) - Note Payable - VaporBeast [Member] - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2018	Nov. 30, 2016
Notes Payable and Long-Term Debt [Abstract]
Face amount		$ 2
Interest rate		6.00%
Maturity date	May 30, 2018

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Income Taxes [Abstract]
Federal statutory rate			21.00%
Effective income tax rate	15.00%	30.00%	17.00%	19.00%
Tax deductions relating to stock options exercised	$ 3.3	$ 2.6	$ 5.2	$ 11.7
State [Member] | Kentucky [Member]
Income Taxes [Abstract]
Income tax benefit related to enacted corporate income tax changes			$ (0.4)
Corporate tax rate			6.00%		5.00%

Pension and Postretirement Be_3

Pension and Postretirement Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended
	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Pension Benefits [Member]
Plan Contributions [Abstract]
Expected contributions in 2018	$ 0			$ 0
Net Periodic Benefit Cost [Abstract]
Service cost	26		$ 26	78	$ 78
Interest cost	135		164	419	484
Expected return on plan assets	(221)		(256)	(728)	(768)
Amortization of (gains) losses	33		114	153	350
Curtailment loss		$ 300		306	0
Net periodic benefit (income) cost	(27)		48	228	144
Postretirement Benefits [Member]
Plan Contributions [Abstract]
Expected contributions in 2018	300			300
Net Periodic Benefit Cost [Abstract]
Service cost	0		0	0	0
Interest cost	30		36	88	108
Expected return on plan assets	0		0	0	0
Amortization of (gains) losses	(21)		0	(61)	0
Curtailment loss				0	0
Net periodic benefit (income) cost	$ 9		$ 36	$ 27	$ 108

Share Incentive Plans, Equity I

Share Incentive Plans, Equity Incentive Plans (Details) $ / shares in Units, $ in Thousands	Feb. 07, 2017USD ($)Individual$ / sharesshares	Sep. 30, 2018USD ($)shares	Sep. 30, 2017USD ($)	Apr. 28, 2016shares
Share Incentive Plans [Abstract]
Surrender of options | $		$ 0	$ 1,000
Officer [Member]
Share Incentive Plans [Abstract]
Number of individuals receiving cash-out agreements for surrender of expiring stock options | Individual	3
Director [Member]
Share Incentive Plans [Abstract]
Number of individuals receiving cash-out agreements for surrender of expiring stock options | Individual	1
Stock Options [Member]
Share Incentive Plans [Abstract]
Options surrendered (in shares)	83,400
Surrender price (in dollars per share) | $ / shares	$ 11.99
Exercise price (in dollars per share) | $ / shares	1.06
Share price (in dollars per share) | $ / shares	$ 13.05
Surrender of options | $	$ 1,000
2015 Plan [Member]
Share Incentive Plans [Abstract]
Number of shares available for grant (in shares)		900,233
2015 Plan [Member] | Restricted Stock [Member]
Share Incentive Plans [Abstract]
Number of awards granted (in shares)		18,247
2015 Plan [Member] | Performance-Based Restricted Stock Units [Member]
Share Incentive Plans [Abstract]
Number of awards granted (in shares)		184,000
2015 Plan [Member] | Stock Options [Member]
Share Incentive Plans [Abstract]
Number of awards granted (in shares)		297,520
2015 Plan [Member] | Voting Common Stock [Member]
Share Incentive Plans [Abstract]
Number of shares authorized for issuance (in shares)				1,400,000
2006 Plan [Member]
Share Incentive Plans [Abstract]
Number of shares available for grant (in shares)		0

Share Incentive Plans, Stock Op

Share Incentive Plans, Stock Option Activity (Details) - Stock Options [Member] - USD ($) $ / shares in Units, $ in Millions	Feb. 07, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Incentive Shares [Roll Forward]
Surrendered (in shares)	(83,400)
2006 and 2015 Plans [Member]
Incentive Shares [Roll Forward]
Outstanding, beginning balance (in shares)		763,672	1,637,762	1,637,762
Granted (in shares)		124,100		133,819
Exercised (in shares)		(196,585)		(923,708)
Forfeited (in shares)		(13,595)		(801)
Surrendered (in shares)				(83,400)
Outstanding, ending balance (in shares)		677,592		763,672
Weighted Average Exercise Price [Abstract]
Outstanding, beginning balance (in dollars per share)		$ 5.73	$ 2.41	$ 2.41
Granted (in dollars per share)		21.27		14.69
Exercised (in dollars per share)		3.96		1.55
Forfeited (in dollars per share)		13.08		15.37
Surrendered (in dollars per share)				1.06
Outstanding, ending balance (in dollars per share)		8.95		5.73
Weighted Average Grant Date Fair Value [Abstract]
Outstanding, beginning balance (in dollars per share)		2.36	$ 1.23	1.23
Granted (in dollars per share)		6.33		4.41
Exercised (in dollars per share)		1.42		0.83
Forfeited (in dollars per share)		3.71		4.59
Surrendered (in dollars per share)				0.54
Outstanding, ending balance (in dollars per share)		$ 3.33		$ 2.36
Intrinsic value of options exercised		$ 5.2	$ 11.7
Intrinsic value of options surrendered			$ 1

Share Incentive Plans, Assumpti

Share Incentive Plans, Assumptions for Options Granted Under 2006 Plan (Details) - 2006 Plan [Member] - Stock Options [Member]	9 Months Ended
	Sep. 30, 2018$ / sharesshares
Share Incentive Plans [Abstract]
Expected life	10 years
Exercise Price $3.83 [Member]
Share Incentive Plans [Abstract]
Number of options (in shares) | shares	432,227
Exercise price (in dollars per share)	$ 3.83
Number of options exercisable (in shares) | shares	432,227
Remaining lives	4 years 7 months 13 days
Expected life	10 years
Exercise price (in dollars per share)	$ 3.83
Risk free interest rate	3.57%
Expected volatility	40.00%
Dividend yield	0.00%
Fair value at grant date (in dollars per share)	$ 2.17

Share Incentive Plans, Assump_2

Share Incentive Plans, Assumptions for Options Granted Under 2015 Plan (Details) - 2015 Plan [Member] - Stock Options [Member] - $ / shares	Mar. 13, 2018	Mar. 07, 2018	May 17, 2017	Feb. 10, 2017	Sep. 30, 2018
February 10, 2017 [Member]
Share Incentive Plans [Abstract]
Number of options granted (in shares)				40,000
Options outstanding (in shares)					38,300
Number exercisable (in shares)					11,900
Exercise price (in dollars per share)					$ 13
Remaining lives					8 years 4 months 13 days
Risk free interest rate					1.89%
Expected volatility					27.44%
Expected life					6 years
Dividend yield					0.00%
Fair value at grant date (in dollars per share)					$ 3.98
May 17, 2017 [Member]
Share Incentive Plans [Abstract]
Number of options granted (in shares)			93,819
Options outstanding (in shares)					84,665
Number exercisable (in shares)					28,572
Exercise price (in dollars per share)					$ 15.41
Remaining lives					8 years 7 months 17 days
Risk free interest rate					1.76%
Expected volatility					26.92%
Expected life					6 years
Dividend yield					0.00%
Fair value at grant date (in dollars per share)					$ 4.60
March 7, 2018 [Member]
Share Incentive Plans [Abstract]
Number of options granted (in shares)		98,100
Options outstanding (in shares)					96,400
Number exercisable (in shares)					0
Exercise price (in dollars per share)					$ 21.21
Remaining lives					9 years 5 months 8 days
Risk free interest rate					2.65%
Expected volatility					28.76%
Expected life					6 years
Dividend yield					0.83%
Fair value at grant date (in dollars per share)					$ 6.37
March 13, 2018 [Member]
Share Incentive Plans [Abstract]
Number of options granted (in shares)	26,000
Options outstanding (in shares)					26,000
Number exercisable (in shares)					8,840
Exercise price (in dollars per share)					$ 21.49
Remaining lives					9 years 5 months 16 days
Risk free interest rate					2.62%
Expected volatility					28.76%
Expected life					5 years 5 months 28 days
Dividend yield					0.82%
Fair value at grant date (in dollars per share)					$ 6.18

Share Incentive Plans, Compensa

Share Incentive Plans, Compensation Expense (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Compensation Expense [Abstract]
Compensation expense related to options	$ 0.2	$ 0.1	$ 0.6	$ 0.2
Unrecognized compensation expense related to options	$ 0.5		$ 0.5
Period over which unrecognized compensation expense will be expensed			1 year 11 months 5 days

Share Incentive Plans, Performa

Share Incentive Plans, Performance-Based Restricted Stock Units (Details) - Performance-Based Restricted Stock Units [Member] - USD ($) $ / shares in Units, $ in Millions	Mar. 07, 2018	Mar. 31, 2017	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Share Incentive Plans [Abstract]
Performance period					5 years
Period between performance period and measurement date for vesting					65 days
Number of units granted (in shares)	96,000	94,000
Fair value (in dollars per share)	$ 21.21	$ 15.60
Unvested units outstanding (in shares)			184,000		184,000
Compensation expense			$ 0.2	$ 0.1	$ 0.4	$ 0.2
Unrecognized compensation expense			$ 2.7		$ 2.7

Income Per Share (Details)

Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Income Per Share [Abstract]
Net income attributable to Turning Point Brands, Inc.	$ 7,954	$ 7,374	$ 20,305	$ 16,690
Basic EPS [Abstract]
Basic weighted average shares (in shares)	19,378,054	19,085,329	19,290,096	18,915,606
Basic EPS (in dollars per share)	$ 0.41	$ 0.39	$ 1.05	$ 0.88
Effect of Dilutive Securities [Abstract]
Stock options (in shares)	504,940	504,095	477,571	587,524
Diluted weighted average shares (in shares)	19,882,994	19,589,424	19,767,667	19,503,130
Diluted EPS (in dollars per share)	$ 0.40	$ 0.38	$ 1.03	$ 0.86

Segment Information, Financial

Segment Information, Financial Information of Reportable Segments (Details) $ in Thousands		3 Months Ended				9 Months Ended
		Sep. 30, 2018USD ($)		Sep. 30, 2017USD ($)		Sep. 30, 2018USD ($)Segment		Sep. 30, 2017USD ($)		Dec. 31, 2017USD ($)
Segment Information [Abstract]
Number of reportable segments | Segment						3
Segment Information [Abstract]
Net sales		$ 83,349		$ 73,340		$ 238,392		$ 212,214
Gross profit		36,211		32,968		103,815		92,706
Operating income (loss)		12,958		14,434		37,501		38,942
Interest expense		3,836		4,027		11,073		13,010
Interest income		(134)		(4)		(262)		(8)
Investment income		(89)		(131)		(328)		(334)
Loss on extinguishment of debt						2,384		6,116
Net periodic benefit (income) expense, excluding service cost		(45)		58		176		174
Income before income taxes		9,390		10,484		24,458		19,984
Capital expenditures		525		485		1,528		1,052
Depreciation and amortization		685		596		2,153		1,718
Assets		336,331				336,331				$ 282,277
NewGen Products [Member]
Segment Information [Abstract]
Net sales		33,527		25,186		87,089		67,595
Reportable Segments [Member] | Smokeless Products [Member]
Segment Information [Abstract]
Net sales		21,743		21,294		66,900		63,563
Gross profit		11,020		11,516		34,546		32,385
Operating income (loss)		4,114	[1]	6,036	[1]	15,040	[2]	15,256	[2]
Capital expenditures		251		446		1,140		973
Depreciation and amortization		342		341		1,014		1,046
Allocated corporate charges		1,748		1,734		6,010		5,324
Assets		100,199				100,199				94,559
Reportable Segments [Member] | Smoking Products [Member]
Segment Information [Abstract]
Net sales		28,079		26,860		84,403		81,056
Gross profit		14,814		14,201		43,158		42,018
Operating income (loss)		8,595	[3]	8,958	[3]	24,270	[4]	25,663	[4]
Capital expenditures		0		0		0		0
Depreciation and amortization		0		0		0		0
Allocated corporate charges		2,266		2,187		7,585		6,789
Assets		141,129				141,129				141,869
Reportable Segments [Member] | NewGen Products [Member]
Segment Information [Abstract]
Net sales		33,527		25,186		87,089		67,595
Gross profit		10,377		7,251		26,111		18,303
Operating income (loss)		371	[5]	(535)	[5]	(1,437)	[6]	(1,916)	[6]
Capital expenditures		274		39		388		79
Depreciation and amortization		343		255		1,139		672
Allocated corporate charges		2,168		2,061		6,948		5,662
Assets		94,020				94,020				44,914
Other [Member]
Segment Information [Abstract]
Operating income (loss)	[7]	(122)		$ (25)		(372)		$ (61)
Assets	[8]	$ 983				$ 983				$ 935
[1]	Includes allocated corporate charges of $1,748 and $1,734 for the three months ended September 30, 2018 and 2017, respectively.
[2]	Includes allocated corporate charges of $6,010 and $5,324 for the nine months ended September 30, 2018 and 2017, respectively.
[3]	Includes allocated corporate charges of $2,266 and $2,187 for the three months ended September 30, 2018 and 2017, respectively.
[4]	Includes allocated corporate charges of $7,585 and $6,789 for the nine months ended September 30, 2018 and 2017, respectively.
[5]	Includes allocated corporate charges of $2,168 and $2,061 for the three months ended September 30, 2018 and 2017, respectively.
[6]	Includes allocated corporate charges of $6,948 and $5,662 for the nine months ended September 30, 2018 and 2017, respectively.
[7]	"Other" includes the costs that are not assigned to the three reportable segments.
[8]	'"Other" includes the assets that are not assigned to the three reportable segments. All goodwill has been allocated to the reportable segments.

Segment Information, Revenue Di

Segment Information, Revenue Disaggregation - Sales Channel (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net Sales by Sales Channel [Abstract]
Net sales	$ 83,349	$ 73,340	$ 238,392	$ 212,214
NewGen Products [Member]
Net Sales by Sales Channel [Abstract]
Net sales	33,527	25,186	87,089	67,595
NewGen Products [Member] | Wholesalers [Member]
Net Sales by Sales Channel [Abstract]
Net sales	1,892	2,818	6,572	7,971
NewGen Products [Member] | Retail Outlets [Member]
Net Sales by Sales Channel [Abstract]
Net sales	22,473	19,889	63,185	53,665
NewGen Products [Member] | End-customers [Member]
Net Sales by Sales Channel [Abstract]
Net sales	$ 9,162	$ 2,479	$ 17,332	$ 5,959

Segment Information, Net Sales

Segment Information, Net Sales - Domestic vs. Foreign (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Segment Information [Abstract]
Net sales	$ 83,349	$ 73,340	$ 238,392	$ 212,214
Reportable Geographical Component [Member] | Domestic [Member]
Segment Information [Abstract]
Net sales	78,529	69,484	226,826	203,210
Reportable Geographical Component [Member] | Foreign [Member]
Segment Information [Abstract]
Net sales	$ 4,820	$ 3,856	$ 11,566	$ 9,004

Dividends (Details)

Dividends (Details) - $ / shares	Oct. 12, 2018	Dec. 15, 2017	Sep. 30, 2018
Dividend Declared Q4-2017 [Member]
Dividends [Abstract]
Dividend payable, date declared			Nov. 9, 2017
Cash dividend paid (in dollars per share)		$ 0.04
Dividend payable, date to be paid			Dec. 15, 2017
Dividend payable, date of record			Nov. 27, 2017
Dividend Declared Q3-2018 [Member] | Subsequent Event [Member]
Dividends [Abstract]
Cash dividend paid (in dollars per share)	$ 0.04
Dividend payable, date to be paid	Oct. 12, 2018
Dividend payable, date of record	Sep. 24, 2018