A cigarette comprising: a lighting end (714; 1114) and a mouth end (718; 1118); a mouth end segment disposed at the mouth end (718; 1118); a tobacco rod disposed between the lighting end (714; 1114) and the mouth end segment; an aerosol-generation system disposed between the lighting end (714; 1114) and the tobacco rod, the aerosol-generation system including a heat generation segment (735; 1135; 1235) disposed at the lighting end (714; 1114) and including a heat source configured to be activated by ignition of the lighting end (714; 1114) and an insulation layer of flame-retardant material disposed around the heat source; and an aerosol-generating segment including a tobacco pellet substrate (763; 1163) and incorporating aerosol-forming material, the tobacco pellet substrate (763; 1163) being disposed within a substrate cavity defined between the heat generation segment (735; 1135; 1235) and the tobacco rod such that a first end of the substrate cavity is adjacent the heat generation segment (735; 1135, 1235) and a second end of the substrate cavity is adjacent the tobacco rod so as to prevent migration of the tobacco pellets from the substrate cavity, further wherein the tobacco pellets are dimensioned to fit within the substrate cavity and to provide for optimal air flow and production of desirable aerosol; a wrapping material (764; 864) circumscribing at least a portion of the heat generation segment (735; 1135; 1235), the aerosol-generating segment, and at least a portion of the tobacco rod; and wherein the wrapping material (764; 864) comprises a foil strip (784; 884) circumferentially encompassing and extending lengthwise along at least a lengthwise portion of the substrate cavity and overlapping at least a lengthwise portion of the heat generation segment (735; 1135; 1235); wherein the wrapping material (764; 864) comprises a paper material, and the foil strip (784; 884) is laminated to a surface of the paper material, registered for alignment with the substrate cavity at a predetermined location. a lighting end (714; 1114) and a mouth end (718; 1118); a mouth end segment disposed at the mouth end (718; 1118); a tobacco rod disposed between the lighting end (714; 1114) and the mouth end segment; an aerosol-generation system disposed between the lighting end (714; 1114) and the tobacco rod, the aerosol-generation system including a heat generation segment (735; 1135; 1235) disposed at the lighting end (714; 1114) and including a heat source configured to be activated by ignition of the lighting end (714; 1114) and an insulation layer of flame-retardant material disposed around the heat source; and an aerosol-generating segment including a tobacco pellet substrate (763; 1163) and incorporating aerosol-forming material, the tobacco pellet substrate (763; 1163) being disposed within a substrate cavity defined between the heat generation segment (735; 1135; 1235) and the tobacco rod such that a first end of the substrate cavity is adjacent the heat generation segment (735; 1135, 1235) and a second end of the substrate cavity is adjacent the tobacco rod so as to prevent migration of the tobacco pellets from the substrate cavity, further wherein the tobacco pellets are dimensioned to fit within the substrate cavity and to provide for optimal air flow and production of desirable aerosol; a heat generation segment (735; 1135; 1235) disposed at the lighting end (714; 1114) and including a heat source configured to be activated by ignition of the lighting end (714; 1114) and an insulation layer of flame-retardant material disposed around the heat source; and an aerosol-generating segment including a tobacco pellet substrate (763; 1163) and incorporating aerosol-forming material, the tobacco pellet substrate (763; 1163) being disposed within a substrate cavity defined between the heat generation segment (735; 1135; 1235) and the tobacco rod such that a first end of the substrate cavity is adjacent the heat generation segment (735; 1135, 1235) and a second end of the substrate cavity is adjacent the tobacco rod so as to prevent migration of the tobacco pellets from the substrate cavity, further wherein the tobacco pellets are dimensioned to fit within the substrate cavity and to provide for optimal air flow and production of desirable aerosol; a wrapping material (764; 864) circumscribing at least a portion of the heat generation segment (735; 1135; 1235), the aerosol-generating segment, and at least a portion of the tobacco rod; and wherein the wrapping material (764; 864) comprises a foil strip (784; 884) circumferentially encompassing and extending lengthwise along at least a lengthwise portion of the substrate cavity and overlapping at least a lengthwise portion of the heat generation segment (735; 1135; 1235); wherein the wrapping material (764; 864) comprises a paper material, and the foil strip (784; 884) is laminated to a surface of the paper material, registered for alignment with the substrate cavity at a predetermined location.