Big Tobacco to pay the state $ 6.5 billion

The three largest U.S. companies, tobacco, said Monday they have paid a total of $ 6.5 billion this year in the states of the United States, unchanged since 2011, the 1998 national agreement, which obliges companies to help cover the health bills of patients smoking .

Altria (in MO.N) Philip Morris paid $ 3.5 billion, but the Marlboro brand of cigarettes contests the $ 206 million of this amount and put the money on deposit. The national settlement, which involved the majority of states, is intended to equalize between the two companies which have signed it, and those who did not. Thus, payments to the signing of the companies reduced the amount of market share they lost to firms that did not participate in the settlement.

However, the participating tobacco companies for years have argued reductions were not large enough, and large companies have the amount they are challenged in the transaction. Reynolds American Inc (RAI.N), which makes cigarettespub.biz/camel, had paid $ 1.9 billion and put $ 469 million it is dispute in the transaction.

Lorillard (LO.N), known for its Newport brand, said it paid $ 1.1 billion to $ 98 million of that amount to put into storage. States, counties and the city sold about $ 40 billion of bonds secured more than $ 200 billion of payments that cigarette manufacturers agreed to with the passage of time.

The National Association of Attorneys General last week estimated that the cigarette manufacturers would pay claims of $ 6.1 billion, compared with $ 6.03 billion last year. This figure does not include the disputed amount, and refers to the payment of all tobacco companies.

Last year, the top cigarette manufacturers, Philip Morris, Reynolds American and Lorillard, paid $ versus $ pure 5649000000 5727000000 in 2012. Nevertheless, the prospects for U.S. municipal bonds are only slightly better than tobacco, because sales of cigarettes decreased less steeply than expected, and the tobacco companies should pay a little more of in the national agreement.

“We’re not out of the woods yet,” said Richard Larkin, Iselin, New Jersey director of credit analysis to HJ Sims, noting that the risk that cigarette sales could fall more in the next year. In addition, tobacco companies can win the right to preserve some of the billions of dollars they say they do not have states. The National Association of Attorneys General, whose members negotiated the 1998 settlement of a cigarette, said that the number of cigarettes sold fell only 2.9 percent compared with the expected decline of 3.5 percent.

In 2010, cigarette sales fell much steeper: 6.37 percent, according to Standard & Poor’s Ratings Services. In 2009 sales fell 9.3 percent, he said. California, Ohio, Virginia brand of cigarettes can get In contrast to the general sector respect of tobacco, however, the debt is sold in three states should benefit from the latest data.

This is because, Ohio, California and Virginia all have been identified in the reserves last year to pay off the bonds and higher payments this year may help to minimize the extent to which these three states will have to tap reserves, according to analysts.

Ohio sold $ 5.2 billion of tobacco bonds in the past year to bring about $ 8 million from the reserves, he said. This year, Ohio could avoid pushing reserve. Virginia has sold more than $ 1 billion in tobacco bonds, and this year, Larkin said that the conclusion is likely to be less than $ 1 million.

California has sold two bond issues of tobacco. Over $ 4.4 billion question, he had to leave about $ 7.7 million of stock last year. This year in California, probably still have to use reserve funds to make payments on these bonds – but only about $ 1.8 million, according to Larkin.

California has also sold another $ 3.1 billion of tobacco bonds, but this debt with the support of public spending so that its withdrawal from reserves of $ 5 million last year, was not so alarming, said Larkin. But Blake Anderson, managing director of the San Francisco group of high-Mesirow Financial, in warning that any market benefits are not sure what you need for tobacco bonds of these three states.

“Somehow, the market comes to realize that this is another factor entirely.” This is because the market of tobacco bonds and illiquid debt is so complex that significant research is needed to select the winners and losers, analysts said.

So far this year, tobacco bonds have largely been met as well as other high-yield municipal bonds, will benefit some growth in investor risk disappointment with the low yields offer a safe investment, analysts say. But these spotted, because prices vary depending on the size of the block, and the bid / ask spreads are usually wide. This makes the identification of trends.

The specific transaction, however, show high yields, which can be obtained with such a duty – and some of the recent tight spreads on AAA-scale data compiled by Municipal Market, part of Thomson Reuters.

For example, $ 1 million block of Golden State Tobacco Securitization California debt traded at a yield of 7.13 percent on April 16, according to EMMA, the database is created municipal securities rulemaking board. The issue, which matures in 2033, has a 5 percent coupon. December 15, 2011 block of 10 million dollars has changed to 8.06 per cent yield.

A similar pattern was observed with a certain debt of Virginia. $ 1 million blocks of tobacco bonds with a maturity of Virginia in 2047 and to 5 percent coupon traded on April 13 at 7.78 percent yield on EMMA. In contrast, more than $ 23 million block trading at 8.635 per cent return on December 7, 2011.

"Raising taxes on tobacco products could damage its export"

“Ray of Hope” in the bleak economic conditions in the country seems to be the most taxed agricultural products – tobacco – which showed a surprising almost 300 per cent increase in exports over the past two years.

Statistics published in the annual report of the Pakistan Tobacco Board (PTB), shows that tobacco exports increased from four million pounds is phenomenal in 2009 to 14 million kg in 2011. There was also a marked increase in 2010, when exports rose to five million pounds, bringing foreign currency revenues of $ 36 million of the government. But he went spiraling up in 2011, when tobacco is the country’s exports totaled $ 105 million, a record increase in the export of PTB was established back in 1968.

Agricultural and trade experts expressed the view that the “key” for this extraordinary increase in tobacco exports was a “competitive price” of tobacco production in Pakistan.

However, they warned that any extravagant price increases on tobacco products in Pakistan will have serious negative consequences for the country’s exports of tobacco and can see the change of export potential of this new crop of tobacco country. “If prices go beyond a certain point, the yield would be uncompetitive and export of the peak,” they warned. Experts dealing with the theme of the harvest of tobacco and tobacco exports, when they wrote the opinion, said that as far as the domestic tobacco farmers, then they win because this is exported.

“These farmers are under the protection regime established pursuant MLO PTB-487, which is in place since 1985. Tobacco enjoy four unique protection under these rules, which guarantee that they will always receive the price of their products or equal to the previous year, or above, that “they pointed out.

“Now this is a unique provision of the law and has no analogues in any other product, industry or agriculture. Do short or excess production, the price of tobacco crop is not affected, and they continue stable and continues to grow every year,” they added. They also noted that tobacco is a unique culture, because the cigarette manufacturers to disclose and publish the requirements for the harvest season in October. This gives a clear idea of the farmers, most of the crops they should grow up in December, and they can manage their land holdings, respectively, changing crop pattern in accordance with their requirements.

“This phenomenon is healthy, because when properly handled this change in the structure of the harvest can always lead to the preservation and improvement of soil fertility,” agricultural experts. “Harvest Commissioner does declare that” the minimum price for tobacco, but almost always that we get 10 or sometimes even 15 percent more than a set of “minimum price” the government from tobacco companies, “said representatives of the manufacturers.

Another assurance that the Government proposes that these tobacco growers in the fact that 100 percent of its products must be purchased in the tobacco industry. “In this culture is perishable, farmers are forced to shift their product as fast as they can. But unlike the producers of other crops, which, if it hits the market access and the price gets destabilized, tobacco growers, do not bother to to run and find buyers because it is stipulated in the law that cigarette manufacturers are required by law to purchase all the surplus crops from farmers. Thus, it is a very comforting situation for us, “said representatives of tobacco manufacturers.

Now, according to economic experts, the price of tobacco products in Pakistan is comparable to regional and competitive prices in the international market. This pricing mechanism puts farmers here in Pakistan for the benefit of export crops as well. And that is why such a dramatic increase in tobacco exports has witnessed over the past three years, while tobacco exports have tripled over the next five years.

He was apprehended, that any change in pricing patterns can make a non-competitive prices, which could lead to a reduction in domestic consumption and exports. In the current scenario of any move to abolish the existing pricing mechanism only a disaster for tobacco growers, and will be hard to tip the scales created and maintained a successful system of pricing for the past many years.

States could see more tobacco payments this year

States are estimated to receive about 1% more in annual payments from tobacco companies this year than in 2011, offering more money will be available to return billions of dollars of municipal bonds, tobacco payments.

It is expected that the state will receive about $ 6.1 billion from tobacco companies this year, according to figures released by the National Association of Attorneys General. Last year they collected about $ 6.03 billion. Payments are made according to the 1998 settlement, the States agreed health-related claims against tobacco manufacturers.

Tobacco companies should make their annual payments on April 15, but will make their April 16 this year because April 15 falls on a Sunday. The amount actually collected may be somewhat different if some companies are unable to make payments in the past year, the default is 20 million dollars. Payments are based on U.S. consumption of cigarettes in the previous calendar year.

Cigarette consumption has declined faster than expected over the past few years, forcing Virginia, Ohio and California, to use the reserves last year to pay the investors who own tobacco bonds. It was not clear whether the slight tick in payments will be sufficient to capture the state of their reserves again.

Cigarette consumption fell by 3.5% in 2011 after declining by 3.8% in 2010 and 8.6% in 2009, according to industry research group Department of Science Associates. The companies that signed the 1998 agreement may hold some payments if they lose market share to other producers who have not yet signed. Companies are not required to hold a so-called “non-participating manufacturer adjustment,” but last year the three original signatories – Reynolds American Inc (RAI), Lorillard Inc (LO) and Altria Group Inc (MO) – continued, the money from the state.

Although the fee for that year was founded in 2011, cigarette consumption, not participating manufacturer adjustment of the three original signatories based on 2009 sales. Adjusting this year is about $ 780 million less than the approximately $ 825 million in the previous year, according to the Attorney General. Even if the consumption of cigarettes continues to decline, the less this year, the adjustment helps states with a small tick in the tobacco payments. Approximately $ 6.1 billion in tobacco payments is estimated this year includes setting.

The market share of signatories continues to grow. Their combined share amounted to 84.71% in 2011, the most since 2007, when the figure was 84.77%, in accordance with the Attorney General. The market share for companies that have not signed an agreement in 1998 was 5.65%, the lowest since at least 2003, according to the Attorney General.

Vikram Rai, a credit strategist at Citi, said that a small tick in the actual payments this year will be a plus for Bond brand of cigaretes, despite the short-date bonds could rally more. Furthermore, if the original signatories to continue to recover market share from companies that have not signed an agreement to adjustments in the future should be lower. Cautious investors have traditionally avoided because of the risk of tobacco bonds, while others were brought to their high yields. Tobacco bonds are generally more volatile than other municipal bonds, as well as offer juicy returns, although they also have the potential to outperform.

Later take into account the relationship of tobacco consumption is declining in more recent years, to turn to a more risk-averse investors. For example, Ohio, listed in a study in 2007 bond prospectus, which is estimated at 1.8% per annum reduction in cigarette consumption.

Forty-six states signed the 1998 agreement, and there is about $ 30 billion of tobacco bonds in circulation.

U.S. Supreme Court hears case on graphic tobacco ads

The government yesterday defended the graphic labels and advertisements of tobacco, the use of pictures of rotting teeth and diseased lungs, accurate and appropriate, to warn consumers about the dangers of smoking.
The Food and Drug Administration has asked the Court of Appeal on the decision to cancel the lower court, saying that such labels are unconstitutional violation of free speech rights of tobacco companies.
Mr. Mark Stern, a lawyer from the Ministry of Justice represents the FDA, said that the label shows, for example, a person smoking through a hole in his throat, and was necessary to show the true dangers of smoking, including addiction. “Teenagers are known to underestimate their ability to resist drug use,” he told the United States Court of Appeals District of Columbia.
“He (the labels) accurately and realistically portray the message that it’s really exciting Yeah, (they) do.” Centers for Disease Control and Prevention estimated that 45 million American adults smoke cigarettes, which are the leading cause of preventable death in the United States.
Congress passed a law in 2009, which gave FDA broad authority to regulate the tobacco industry, including the labeling regulation. The law requires that the warnings of colors is large enough to cover the top 50 percent of a pack of cigarettes in front and rear panels and the top 20 percent of print advertising.
FDA has released nine new warnings in June last year shall come into force in September this year, the first change in U.S. cigarette warning labels in 25 years. Cigarette packs carry the warning text is the U.S. health care.
Reynolds American, Lorillard, Liggett Group Commonwealth Brands, which owns Imperial Tobacco Group in the UK, and Santa Fe Natural Tobacco challenge to the rule, arguing that would force them to engage in anti-smoking propaganda against their own legal products.
“You do not have to be Sherlock Holmes to realize that the government is doing here: to tell people:” Quitting smoking now, “said Mr. Noel Francisco, a lawyer Jones Day in Washington, DC, which represents tobacco companies.
According to him, the label goes beyond the simple facts about smoking, rather than trying to disgust or rebellion of the people’s cigarettes.
U.S. District Judge Richard Leon sided with tobacco companies in the decision in February say the warning signs were too large, and the government could use other tools to prevent smoking, such as raising taxes or using factual information on the label, not the horrible images.
One of the three appeal judges who heard the case yesterday also appeared on the question of what the government is going too far in trying to warn people about smoking.
“Can you have a text that says” Stop, if you buy it, you idiot? ”
And Judge Raymond Randolph thought that the government could also place warning labels on the car doors with the terrible images of road accidents to warn people about the danger of speeding.
Nevertheless, Randolph did not agree with the tobacco companies, saying that a single case, which shows the revelation only to provide commercial information that, does not stop using the product. The judge will decide the case later, but any decision can be appealed to the future and may eventually reach the U.S. Supreme Court, especially in the tobacco law has led to divergent decisions in lower courts. REUTERS

Advocates of tobacco in Indonesia say: Light Up!

This is more or less generally accepted that smoking is harmful to health. But some people in Indonesia, where smoking is a kind of national pastime, claim otherwise. Issues of smoking in Indonesia have been allocated in the last month, when local media reported that an eight-year boy in West Java smoked two packs of cigarettes a day.

Videos smoking two-year-old boy from Sumatra has received more than 17 million views on YouTube, since it was uploaded in May 2010. Anti-smoking campaign, said cases of smoking among children may be just the tip of the iceberg. Indonesia has the third highest number of smokers after China and India. Nearly 66 percent of Indonesian adults, or more than 50 million people smoked in 2007, according to the Ministry of Health, an increase compared to 62.2 percent in 2001. The ministry said that two percent of children between the ages of 10 to 14 years consume cigarettes.

Health legislation in Indonesia, passed in 2009, lists tobacco as a dependency. Nevertheless, the government plans to restrict the promotion of cigarettes in the country, where concerts and sports events are regularly supported by tobacco companies faced continued opposition from the cigarette and other interests of Indonesians who say they are trying to protect domestic industry.

The book was created in February, offering the latest example. The book argues that anti-tobacco campaign of Indonesia is part of a plot to destroy the kretek, the type of local clove cigarettes from tobacco and other allegedly secret ingredients that are traditional for the country. In the book titled “The Murder of Indonesia: Global conspiracy to destroy the Kretek”, argues that anti-smoking campaign in the country, in the same spirit as propaganda against coconut oil, sugar, salt and other local industries that use a lot of Indonesians .

The authors – three little-known researchers, who say that they operate independently of each other and concerned about the persistence of local traditions and livelihoods – argue that anti-smoking efforts are part of a larger scheme of economic neo-colonialism, to reduce competition in the domestic market to foreign importers and the establishment of trade imbalances.

They note that the U.S. banned clove cigarettes in 2009, the family smoking prevention and tobacco control law, which gave the Food and Drug Administration authority to regulate the tobacco industry. Supporters of this move say it was designed so that young people are not picking up smoking. But Indonesia has filed a lawsuit against the U.S. in the World Trade Organization, arguing that the act of violating international trade rules, because it was not applied uniformly, as it does not apply to menthol cigarettes. WTO granted the petition and on Wednesday threw out the U.S. appeal against the ruling.

“Although the U.S. denies our kretek, Philip Morris, U.S. multinational companies, poached our largest kretek companies and is currently the market leader in Indonesia,” the book says. “It’s ridiculous.” It was not immediately possible to reach officials of Philip Morris. A spokesman for PT HM Sampoerna Tbk, Indonesia’s largest cigarette company, owned by Philip Morris, could not be reached for comment.

The book, endorsed by the artists, writers, and even university professors, said that kretek industry employs 30 million people, directly or indirectly, contributed to 62 trillion rupees ($ 6.8 billion) in the state treasury in 2010. Some people in Indonesia to go further, arguing that smoking can have health benefits.

A team of scientists and physicians headed by nanochemist Greta Zahar designed specially treated cigarettes, called Divine cigarettes, which they say could serve as a channel for detoxification. Scientists say that nicotine is not harmful itself, but that commercial cigarettes are dangerous because they contain traces of mercury, highly toxic metal. Dr. Zahar reportedly developed good cigarettes by introducing aromatic “scavengers” – substances that react with and remove the mercury. The team treated thousands of cancer patients in a clinic in Jakarta since 1998, some of which show the effectiveness of the method.

“We were able to transform the toxic fumes of cigarettes in the stage when they are no longer toxic, and where we have proved this with the biological and medical point of view of experiments”, the team said on its website divinecigarette.com. Lily Sulityowati, head of the Ministry of Public Health Center for Health Promotion said: “We constantly remind people that smoking is dangerous to our health. “It is impossible to close the tobacco factories, but we have to inform the public that smoking is harmful to health.”

In 2010, former Australian diplomat, Murray Clapham, wrote the opinion piece in the Jakarta Post of Indonesia come from scientists, a lot of criticism of many in his native country. Mr. Clapham died of prostate cancer at 72 last year. Fuad Baradja, Chairman of the Foundation of smoking in Indonesia, said in a conspiracy theory and science for the alleged good cigarette litter. “I do not think at all,” said Mr. Baradja, a former actor, now a doctor who helps people quit smoking. “For every scientist who says the Indonesian tobacco is good, there are thousands of scientific studies that show the dangers of smoking.”

Lily Sulityowati, head of the Ministry of Public Health Center for Health Promotion said: “We constantly remind people that smoking is dangerous to our health.” “It is impossible to close the tobacco factories, but we have to inform the public that smoking is harmful to health.”

How ACTA stinks of Big Tobacco

If the industry that brings five million deaths a year to anyone involved in the development of public policy?
From the beginning, Big Tobacco is one of the driving forces for anti-counterfeiting trade agreement (ACTA). To my surprise, this important nugget of information was usually overlooked in the discussion of this controversial agreement.
Shortly thereafter, he became executive director of British American Tobacco (BAT) in 2004, Paul Adams took part in a conference on fraud organized by the World Customs Organization in Brussels. In his speech, Adams said that the fake cigarettes affects more than most other products. Forgery “destroys the value of the brand and product integrity,” he said.
Adams then concluded that the risible BAT is an ethical company, while the counterfeiters do not have enough conscience. “Even in my own industry, where our product has its known health risks of counterfeit versions are made with all sorts of untested and sometimes completely illegal additives and without our strict quality control, clearly put added risk to consumers,” he said.
BAT is part of the International Chamber of Commerce (ICC), who was closely involved in the process of negotiating ACTA. In 2008, the ICC Jeffrey Hardy sent a memo to the EU, the U.S. and other countries in drawing up the contract. ACTA was necessary, he says, because “theft of intellectual property is not less a crime than physical property theft.”
Hardy has been busy lately complex steps Australia – the other ACTA signatories – to require that all cigarettes be sold in plain packaging. It is instructive that in the statement of Hardy in April last year, almost identical to the case put forward by Paul Adams, seven years ago. “Plain packaging makes it easy to pack, to be copied forgers, discovering consumer products with unknown and potentially dangerous ingredients, and it makes it more difficult for consumers to identify the manufacturer responsible for responding to complaints and problems,” said Hardy.
From his office in Paris, Hardy was trying to prevent the introduction of similar measures in Europe. For example, he called on John Dalli, the commissioner of health the EU, rather than offer a simple package in a planned revision of the tobacco legislation of the Union (Dalli promised to publish a new anti-smoking advice by the end of this year).
So what’s going on here? From the available evidence suggests that Big Tobacco spends multi-pronged attack to save his ill-gotten gains. One of the most hazardous industries in human history, not just pretending to be concerned about health care, he pretends to be a defender of intellectual property rights, which are nominally designed to stimulate creativity and innovation.
The introduction of plain packaging would be a reasonable way to try to make smoking less attractive to young people. Some brands of printing them puffing on Gitanes helps to cultivate an atmosphere of carefree Gallic, Marlboro brand of cigaretteshas long been associated with the freedom of the Wild West. But if all cigarette packets look the same and logos were banned, the manufacturers of tobacco products will be deprived of what marketing strategists call “unique selling points.”
Whether legal or contraband, tobacco is a toxic substance. In his new book, The Golden Holocaust, Robert Proctor, which supports the production and sale of cigarettes should be outlawed, I am inclined to agree. However, if the tobacco to be sold, it’s better than cigarettes are regulated and subject to high taxes than promote crime (in my opinion, however, “lawful” The tobacco industry is also a criminal, there is no other word that accurately describes his attempts to suppress information on how smoking causes cancer).
But the fact remains that the police and customs officers already have broad authority – if not the resources – to combat cigarette smuggling. There is no compelling reason for the introduction of the new agreement as an ACTA to deal with this scourge. And the fact that the tobacco industry seeks to prevent easy packing initiative should raise suspicions about his agenda and his attempts to resurfacing itself as socially responsible.
(WHO), World Health Organization’s Convention on Tobacco Control, requires state agencies to ignore the economic interests of cigarette manufacturers in determining policy. Members of the European Parliament, therefore, must ask the tough questions about the role Big Tobacco plays in ACTA. If – as seems the case – cigarette industry uses misleading arguments to defend their interests, the MEPs have to break the agreement.
There are many other reasons, of course, why ACTA should be rejected. It was a secret, it could have far-reaching consequences for the free flow of ideas by banning many types of file sharing on the Internet, and this could enable large pharmaceutical companies require that the transportation of essential medicines in the world’s poor have limited or even stopped.
Concerned citizens are obliged to seek the motives of supporters of ACTA. Johnson & Johnson was the WHO’s efforts to obstacles, three new drugs, for which it has patents that people with AIDS. The participation of companies in the space-ACTA coalition should not be considered separately from the despicable position on this issue.
More than nine million people with HIV in Africa, Asia and Latin America do not have access to medicines they need. By 2030, eight million will die from tobacco use worldwide, if current trends continue. Hollywood, Big Pharma and Big Tobacco have joined forces to sell ACTA. Why should someone buy something from this toxic alliance?
 

The state puts a flame to roll your own tobacco stores

Young roll your own retailers of tobacco by Bob Peckinpaugh to the last, desperate gasp.He has already closed its sister city in the store for a turn of events has caused regulators Kansas.
Peckinpaugh in the double-$ 32,500 car rental customers to convert the bags and boxes of loose tobacco in cigarettes filtered paper to sit back in a strip shopping center. There is no appeal of a sophisticated device providing 200 cigarettes in 8 minutes, Smokes Cigarette sales in the University fell to $ 6.52 on Wednesday and $ 1.42 at midday Thursday.
“Without a car we have no business,” said Peckinpaugh, who moved to Lawrence in the autumn of last year and discovered a set of self-rolling of the field. “If we do not resume within a few days, we will close this store.” Both of his establishments licensed Kansas Department of Revenue, but the Kansas State Fire gave up about 20 ‘roll of his own businesses throughout the state.
Cease and desist letter was released in February, with reference to fire a law providing for cigarettes rolled in commercial establishments to use a paper type, as shown on the basis of laboratory tests to withstand a fast burn rate. Peckinpaugh, however, said that the special paper was not available to roll your own retailers
“I understand why they’re angry,” said Seth, Valery, General Counsel to the Kansas Fire Department. “We make compliance with fire safety laws. It is a matter of national security. They simply flooded the market.”
The agents entered the state stores to wrap electrical plugs on the mechanical features of cars rolling tape. Shop owners have been warned that any resumption of use of the equipment can be hit with steep fines. To date, three companies have ignored the order. The penalties are under consideration. Apparently, none of this kind of shop exist in Topeka.
Large manufacturers of cigarettes under the laws of the state, paying $ 250 fee every three years to confirm the laboratory tests showed each brand and style of the cigarettes sold to those companies in Kansas have been made with paper treatment to dramatically reduce their ability to start fires.
Kansas regulators are only a safety standard for sophisticated, expensive mills.
Handheld units available in some stores, and is able to produce 200 cigarettes per hour and is still allowed, Peckinpaugh said. There is no state law prohibiting people from rolling their own cigarettes. The group roll their own government, business – RYO Kansas Coalition – organized to consider the legal issues in response to the actions related to the Kansas Fire Protection, Department of State revenues and Kansas Attorney General Derek Schmidt.
Tom Erickson, owner of Trader Jacks tobacco in Shawnee, said officials entered his shop, recorded with his car and pointed out a $ 10,000 fine will be waiting for him if he pulled off a plastic fork and went back to work.
“I understand if you do not like smoke,” Erickson said, “but for them to close me, without a court order just not right.” “It is unfortunate that our Attorney General, who was elected by the people to uphold the Constitution and the rule of law has allowed such an overly aggressive actions to take place,” he said.
April 2 at the National Fire Protection Association, Quincy, Massachusetts, reported 610 civilian deaths in the United States during 2010 were associated with smoking material fires. There were 90,800 fires, smoking materials in the course of the year by $ 663 million in property damage.
Lorraine Carli, vice president of the association of fire, said that the decline in smoking fire deaths at record low levels may be associated with a reduction in the number of smokers and raising industry standards for mattresses and upholstered furniture. The third factor was the beginning of 2003 the demand of cigarettes sold in the United States, were to be made with fireproof paper, she said.
“The adoption of fire-safe cigarette legislation is proving to be a giant step forward in reducing the leading cause of death, house fire,” said Carly.
Peckinpaugh said the national and state mandates on paper should not be used in stores, like him, because they are technically the sale of tobacco and paper – not fully formed cigarette subject to the requirement. “We sell the tobacco and paper, and rent a car,” Peckinpaugh said. He said the merger of paper and tobacco was carried out without the help of customers by store employees. Tobacco is poured into the funnel.. A couple of buttons pressed. Ready-made cigarettes appear.
This is the same as someone in the laundry detergent who buys and leases the car clean clothes, he said. Peckinpaugh protest flyer taped his idle mills expressed opposition to “illegal” raid. The pilot reference quote he attributed to the Attorney General that “all that is really great and inspiring is created by man that is able to operate freely.”
Peckinpaugh find irony in the row. “I invested my life savings at the store,” he said, “and was forced to terminate my lease and dismiss their employees. Kansas kills jobs when they have to create them.”
 

Raising tobacco taxes save lives, generates income

A group of American University of Beirut researchers found that raising taxes on tobacco products will reduce the incidence of smoking-related diseases, as well as to attract much-needed revenue into the state treasury, AUB press release on Thursday.
One-year study funded by the Canadian International Development Research Center under the direction of three members of the AUB Tobacco Research Control Group: Professor Rima Nakkash, Jad Chaaban, and Nisreen Salti.
“Raising taxes on tobacco products was the most effective policies to protect youth and to help curb the morbidity and mortality from tobacco,” said Rima Nakkash, associate professor of health promotion and public health, and one of the key personnel in the study.
“Countries such as Turkey, which has a higher rate than smoking Lebanon, failed to adopt strict tobacco control policies, including raising taxes on tobacco products, and we believe that Lebanon could be the next success story, but we need support and close cooperation with the political leadership, in particular, ministries of finance and health to achieve this success, “she added.
Taxes now account for 30 to 50 percent of the retail price significantly lower than average shares of income, who charge 70-80 per cent tax on tobacco products. Given that the average price of imported cigarettes are relatively low in Lebanon ($ 1.6/pack, compared with $ 2.5/pack in the upper middle income and $ 5/pack in high-income countries), research has shown that there are significant opportunities to raise tobacco prices as part of a national strategy for tobacco control to protect the life of the Lebanese people.
Lebanon has ratified the Framework Convention on Tobacco Control in February 2005; there is no national policy that requires an increase in tobacco tax, as stipulated by the Convention.
“Today in Lebanon, there has been no studies aimed at providing financial and social effects of higher taxes on tobacco products,” said Jad Chaaban, Assistant Professor of Economics and a leading researcher in the economic study. “Our study focused on the domestic consumption of tobacco products, consisting mainly of imported cigarettes, local cigarettes and pipe tobacco water.”
The study showed that if taxes were increased by about 140 percent on average in local and imported cigarettes, consumption will be reduced by 92 per cent for local cigarettes by 7 per cent on imported cigarettes, and 26 percent of the water pipes. This means that the price of local cigarettes to LBP in 1250 (0.8 U.S. dollars) per pack, while the import of cigarettes and water pipes will be LBP 4750 (3.2 U.S. dollars) per pack, and 4,000 LBP (2,6 USD ) on tobacco packaging, respectively.
“Total expenditure on these goods reached 553 million U.S. dollars in 2010 to U.S. $ 512 million spent on 307 million packs of imported cigarettes,” said Nisreen Salti, assistant professor of economics and a member of the study. “Given that the price increase is greater than the fall in consumption, the net income impact on public finances is positive: an increase in tobacco taxes will generate 127 million dollars in additional state revenue, about 52 percent more than today,” said Salti.
“Part of the proceeds from higher taxes may subsequently be targeted national prevention programs for tobacco control and cessation programs, so as to extract more benefits from this scheme of taxation,” said Chaaban. “This is a situation of” win-win “as a life-saving and increase government revenue.”
 

Tobacco use veterinarians fear

Many veterans residing tobacco use in public facilities afraid of executive order the governor can make them move, if you do not give up his habit. The order of the Governor Mary Fallin, signed on February 6 declares, “The use of any tobacco products is prohibited in any property owned, lease or contract for the use of the State of Oklahoma.”
The procedure, which officially entered into force on 6 August, also prohibits the use of tobacco products in public funds. Belinda White, the Department of Veterans Affairs spokesman said the Oklahoman on Tuesday that it is not clear exactly how the agency will enforce the order, which is similar to state law.
White said about 20 percent of the 1376 veterans residing in state facilities smokers.
“We’re at the beginning of the process of developing procedures to implement the order,” she said in a statement. “We did not apply to non-compliance issue, but I do not see the category as a method of compliance.”
White said that the department «fights” order, mainly due to smoking or using other forms of tobacco yields nearly 300 veterans of Oklahoma to do something. “Our agency feels bad for them,” she said. “That’s about all you need to do some of these places … even if it’s bad for them. “But in a situation, many of them, they were placed with them when they were in the service, so it seems a little unfair.”
Representative Fallin Alex Weintz said the order in which there is no enforcement mechanism, does not necessarily mean that veterans have to move if they do not want to stop using tobacco products. “The order simply prohibits tobacco use on public property”, Weintz said. “Some institutions may choose how to enforce the ban.
Douglas Baker, lived in the center of the veterans of sulfur, one of seven state agencies in Oklahoma. Baker, 64, says he is ready to “go here” if the use of tobacco is prohibited in the center.
He said that military forces are often given cigarettes in your diet and tobacco products are available at the time he served.
“Almost all of us smoke … almost 100 percent, I would say,” he said. “And I enjoyed every minute I was smoking … I have no plans to leave.” Baker said that he and another veteran living in the center have already discussed the “escape plan” with a social worker. “We’re going to Norman, a small two-room apartment,” he said. “I’m not here to stay … even though I really love living here.”
Sulphur Veterans Center is relatively new and there is one of the most picturesque regions of the state. This is also the “last stop type place for many of these guys,” said Nancy Gallup, center administrator.
Gallup said 44,122 veterans are at the center of tobacco.
“We had hoped to delay,” she said. “When they get to our facility, it may be the last place they live. I know it’s not good for them, even those who do not smoke or do anything, but I’m still against it. They need to get do what they want after the service of our country. ” Gallup said the notice was sent to residents recently, sulfur center, alerting them to upcoming policy changes described in the order in Fallin.
“They never said they should leave,” she said. Willie White said that the transition from the sulfur center, as well, although he did not share his particular exit strategy. “I like to live here, but I think we just have to move,” he said. “I thought I would die here, but I will not stay if I had to leave. I feel that they are trying to take away their rights after I served my country and I do not think that’s right.”
 The reasons for the order
Weintz said the governor’s motivation for issuing the order was not to displace hundreds of veterans. He said tobacco is the leading cause of premature death in Oklahoma, cost the state huge chunks of money every year. “This is one of the leading factors in the increasing cost of health insurance and medical care, which hurts families and the economy,” said Weintz. “In addition, each taxpayer is $ 550 each year to pay for tobacco disease in Oklahoma.”
Weintz said the money would be better used on schools, public safety or infrastructure improvements, rather than cure “to completely prevent diseases associated with smoking.” “The prohibition of tobacco use on public property is an inconvenience for smokers,” he said. “It’s an inconvenience, however, is small compared with the thousands of lives and hundreds of millions of dollars that could be saved if fewer Oklahomans decided to smoke or use tobacco products.” But the 69-year-old Paul Kepley, the governor does not mean motives. Kepley, who also lives in the heart of sulfur, said he was not interested in looking at his health in the long term, at least at this point in his life.
“I started smoking when I was young, and I tried to quit many times over the years … this is one of the most difficult things you can do,” said Kepley. “So, I think it’s good for us to be able to enter into our little room for smokers, or smoking, and left alone. “I do not think it’s too much to ask.”

Cigarette tax purposes in Washington

The proposed state tax on roll your own cigarettes can put dozens of small tobacco retailers out of business.
Roll-your own tobacco retailers in Washington to avoid high taxes on cigarettes, because, by definition, they do not produce cigarettes for sale. Customers buy tobacco and paper tubes, and then throw cigarettes on their own, using a machine on site. With this method, 200 self-rolled smokes – the same number in a standard box – sell for about $ 34. This is less than half the cost of packed cartons of cigarettes.
This DIY approach offers a cheaper alternative for smokers. However, tobacco companies and shops say that a tax loophole creates an unfair advantage in the market. Roll-your own retail even have their own language for legal reasons, referring to the finished product as a “smoke” instead of cigarettes, and avoid terms such as boxes and packaging.
In Washington, packaged cigarettes cost about $ 7.50 per pack, although some stores mark prices up more than $ 9. Excise tax in Washington is $ 3.025 per pack, or 15 cents per cigarette, which ranks fifth among all states. Excise tax in New York at $ 4.35 per pack of cigarettes is the highest, and in New York, an additional $ 1.50 Virginia brand of cigarettes has the lowest excise tax of 30 cents per pack.
House Bill 2565 calls for the use of the same taxes, roll your own smokes in Washington. The bill revises the owners of mills, as producers, and include a roll your own smokes a cigarette within the definition. With the support of state Rep. Steve Kirby (D-Tacoma), the bill passed the House during the regular session, but stopped in the Senate. Governor Christine Gregorian announced last month that the tax is still “on the table” for the current budget debates in the legislature. If approved, the new tax could come into force on July 1.
The number of state taxes lost to roll your own products can be $ 26 million a year, according to a draft report. Convenience stores and tobacco manufacturers support the proposed tax as a way to level the playing field. Opponents say the bill will be closed 65 stores in Washington, tobacco, and cost the state 250 jobs. One of these stores tobacco plant, which opened in October 2011 on the Pacific Highway and South Three hundred and forty-eighth Street in Federal Way. Shop owners, Donald and Sandy City, said that the new tax would add about $ 23 for each lot of 200 self-rolled smokes – and is likely to lead to closure of business.
Shop owners have already paid tax on wholesale tobacco. In addition, they say that their tobacco contains fewer harmful chemicals and exciting than finding commercially manufactured cigarettes. The proposed bill states also refers to concerns about the relationship between the roll your own smokes and access to tobacco to minors. Don City refutes this view. Most of his customers are smokers aged 45 and older who want to save money, he said, and some customers come from as far away as Lake Bonney.”It’s not creating any new smokers,” said Urban, a resident of the way that the federal lobbying in Olympia on behalf of a roll your own tobacco retailers. “It was for many years.”
The issue of tax rolls your own tobacco retailers is nothing new at the federal level. Last month the U.S. Senate passed a bill highway appropriation amendment to the tax roll your own retailers as well as commercial producers. According to the Washington State Department of revenue, taxes on cigarettes to go to the state general fund and education legacy trust account – nearly $ 400 million total in 2009. House Bill 2565 states that any new revenues from the proposed tax will be credited to the prevention of tobacco use among young people.
On a related note, the Indian tribes in Washington to collect their tribal sales tax on cigarettes. At the time it takes to charge state taxes, non-Indian customers, the tribes themselves are exempt from state taxes cigarettes. In one agreement, Puyallup Indian tribe pays 30 percent of tribal revenue on all sales of cigarettes in the state.