Vector Group Ltd. (NYSE: VGR) anticipates 100.00% of its distributions paid in 2009 on its common stock were taxable dividends.

These distributions consisted of four quarterly cash distributions paid in 2009.  Based on tax calculations, Vector Group has determined that its current earnings and profits for federal income tax purposes exceeded the total quarterly cash distributions.

Stockholders should secure their own tax advice regarding the status of cash distributions under applicable federal, state and local tax laws.