Abstract: A cigar package has an outer package with walls, a top and a bottom, where the outer package of a size adapted for use in a vending machine. The cigar package includes an interior cigar-supporting insert having a cigar-supporting portion and a mounting portion. The cigar-supporting portion contains an aperture and extends across the outer package at a point between a bottom-supporting wall and a top-supporting wall such that a plane formed by the aperture is oriented transversely to a longitudinal axis of the cigar package. The mounting portion of the insert is secured to a side-supporting wall of the cigar package. The package also includes an ash compartment separate from a main storage compartment. A lid of the ash compartment is hingedly connected to a rear wall. The package includes means for securely fastening the lid to the compartment when the lid is rotated upon the lid hinge to a closed position so that the lid remains closed when the package is inverted.