A CONVERSATION WITH ERNESTO PEREZ CARRILLO | One on One Cigar Interviews | Content

Ernesto Perez Carrillo was busy making very fine cigars, in “Little Havana” in Miami, FL, when, in 1993, Cigar Aficionado rated his La Gloria Cubana Wavell an unprecedented 90. From that point on, the back orders remained - practically forever!

Ernie’s father had purchased the El Credito Cigar Company in 1928 – but that was in Cuba. The senior Carrillo was a highly respected individual who was also a Cuban Senator. All that was changed by a revolution and it would be many years before Ernie’s father would return to the tobacco industry – this time in Miami, FL. Ultimately, the company was sold to General Cigar, which itself was later acquired by Swedish Match.

I’ve known Ernie Carrillo for many years now, and I asked him, while I was in Santiago, for the Pro Cigar Festival, if I could sit down with him and get his first ‘post Swedish Match/General Cigar’ interview.

We managed to do that this past weekend, in spite of his very hectic schedule.

GJA: Your father started El Credito Cigar Company in Miami. If it was not the first, it certainly is one of the oldest factories in Little Havana. Is that the case, Ernie?

EPC: Yes, my father started El Credito in 1968, at 1106 S.W. 8th Street in Miami. It is one of the oldest cigar factories in the U.S.

GJA: As I heard the story, you were busy playing drums, jazz, which you loved. What got you to go into the family business?

EPC: In the 1970s, I worked for my father off and on. But, I really wanted a career as a drummer. In 1976 I moved to New York to build that career. I suppose we could say that I couldn’t cut it as a professional drummer. That and my father taking ill, brought me back to Miami and into the cigar business.

GJA: Ernie, you’re retiring after ten (10) years with General Cigar, to whom you sold your company in 1999. At the time, one of the reasons you gave for selling was that your children had no interest in the cigar business. Yet, now, you are going to go into business, making cigars, with your children. What changed over the past ten years?

EPC: Well, both my son and my daughter became professionals. My daughter as an attorney and my son in Private Equity. But about a year ago, they approached me with the idea of doing something together in the cigar industry. Maybe they’ve got tobacco in their blood! We began talking about it, and with my retirement from General Cigar/Swedish Match approaching, we decided to make plans.

GJA: What will the individual roles of your son and daughter be, in the new company?

EPC: My daughter will be dealing with the legal and financial aspects while son will be in charge of Sales and Marketing. I’ll do what I do best: blending, supervising manufacturing and buying tobaccos.
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GJA: Would you care to tell us the name of this new venture?

EPC: We have a corporate entity formed; Gary, but as yet, we have not determined the brand name. It’s not easy naming a cigar nor is it easy registering a name for a cigar. There are so many registered names that have never been used. So, we keep thinking about names.

GJA: I understand you’ll be located in the El Credito Cigar Company building at 11th Avenue and 8th Street (Calle Ocho), in Miami. Do you own that building.

EPC: No, Swedish Match will continue to rent that building. We are locating our offices at 984 S. W. 1st Street, Miami. We’ll be manufacturing in Santiago in the Dominican Republic. We’re in the process of looking for a facility there.

GJA: Before we get into what you’ll be doing, Ernie, I’m curious. Usually contracts come with ‘non-compete’ clauses that prohibit former employees, executives, from actively entering the same business for some limited period. Would you care to elaborate on why you, obviously, have no such restriction?

EPC: My first five year contract with General Cigar, that started when I sold them El Credito Cigar Company, carried a two year non-compete. But, when I signed a second five year contract, I “worked through” the non-compete clause, and I am free to do what I want. I’ve discussed this with management and everyone is comfortable with it.

GJA: What is your vision of the cigars you will be making now?

EPC: I’m best known for La Gloria Cubana, but I have been working on a variety of different blends. I hope to offer the smoker a new experience.

GJA: Of course, all cigars compete with each other. Do you think you will be going head-to-head with La Gloria Cubana?

EPC: Not really. With what I am considering and what I have been developing, we will produce a totally different cigar offering a totally different experience from La Gloria.

GJA: If you’d care to tell our readers, what tobaccos will you be focused on?

EPC: I’m going to be working with some different tobaccos. I purchased some excellent tobacco in September 08 which will be the basis for our initial production. We’ll be using tobaccos from Nicaragua, Honduras, the Dominican Republic and Ecuador for fillers, binders and wrappers.

GJA: What will the price range of these cigars be?

EPC: I expect our cigars to retail for $3.50 to 7.00, which in today’s market is a ‘popularly priced’ cigar.

GJA: When will you be starting production?

EPC: If everything goes as planned, Gary, and we find the facility in Santiago shortly, we’ll start to manufacture cigars in September of this year. That should allow us to release product in November or December of this year.

GJA: Historically, it is not easy for one to go from being an owner/entrepreneur, to an employee, when they sell their company. Are you looking forward to returning to be your own boss?

EPC: Definitely. While the ten years with General Cigar/Swedish Match have been very good, and I have had an excellent relationship with all my colleagues, I am eager to get back to doing my own thing. Particularly so, since my kids are now involved.

GJA: How do you feel about, finally, severing your relationship with La Gloria Cubana?

EPC: There’s a lot of emotion involved, as you can imagine. They had my going away party on the 11th and at times we were all very emotional and sentimental. But, at the same time, I am very positive about the steps I am taking.

GJA: With you leaving, and Daniel Nunez leaving, do you think there will be major changes, even problems, facing Swedish Match?

EPC: I wouldn’t anticipate any. Swedish Match is a very professional organization. Daniel will be available to them, in a consulting capacity for two years; and Modesta Fondeur, who has been with the company for thirty-five years will be moving into the role of Vice President. Daniel Carr in replacing Daniel as President and COO at General Cigar.

GJA: I see you looking at your watch Ernie, and I know you have to get going. I really appreciate this opportunity to look into the future with you, and I am sure the readers will enjoy it as well. Thank you.

EPC: I’ve enjoyed it as well, Gary.

So, at fifty-seven years old, Ernesto Perez Carrillo ends one career, as well as closing out a long chapter in his family’s history, and eagerly looks forward to his ‘second act.’

Anyone who has smoked the cigars produced by El Credito Cigar Company – and, dare I say, “Who hasn’t,” will look forward, just as eagerly, to what Carrillo, his daughter Lisette and his son, Ernesto will be sending our way very soon!

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Comments (2) Add Comment

"the touch of the masters hand"
written by dr.stoogie, March 28, 2009

The news of Ernesto's new cigar venture is the best news of the last 10 years. The man truly has a gift when it comes to cigars and I can hardly wait till December to purchase his new creation. Thanks for the news I have been waiting for.

Ernie
written by Ken in Miami, March 29, 2009

I've been a fan of El Credito cigars for 20 years and look forward to his new efforts.
He's come a long way since high school :-)

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