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DOCUMENT RESUME ED 323 446 CG 022 768 TITLE Tobacco Product Education and Health Protection Act of 1990. Heering on S. 1883 before the Committee on Labor c.nd Human Resources--Part 1. Senate, One Hundred First Congress, Second Session. INSTITUTION Congress of the U.S., Washington, D.C. Senate Committee on Labor and Human Resources. REPORT NO Senate-Hrg-101-707-Pt-1 PUB DATE 20 Feb 90 NOTE 244p.; For part 2, see CG 022 769. Some pages contain small, blurred type. AVAILABLE FROMSuperintendent of Documents, U.S. Government Printing Office, Congressional Sales Office, Washington, DC 20402. PUB TYPr Legal/Legislative/Regulatory Materials (090) EDRS PRICE MF01/PC10 Plus Postage. DESCRIPTORS zAdvertising; *Federal Legislation; Health Education; Hearings; *Smoking; *Tobacco IDENTIFIERS Congress 101st; Proposed Legislation ABSTRACT The text of Part 1 of a Senate hearing on the Tobacco Product Education and Health Protection Act of 1990 is reported in this document. It is noted that this act would amend the Public Service Act to establish a center for tobacco products, to inform the public concerning the hazards of tobacco use, to disclose and restrict additives to such products, and to require labeling of such products to provide information concerning such products to the public, and for other purposes. In an opening statement, Senator Edward M. Kennedy discusses the problems of tobacco smoking and the need for federal regulation. Statements by Senators Orrin G. Hatch, Fran): R. Lautenberg, and Bill Bradley are included, as well as a statement by Congressman Richard J. Durbin. The testimony from these individuals is included:(1) Louis W. Sullivan, Secretary of Health and Human Services;(2) Sister Mary Madonna Ashton, Commissioner of Health, Minnesota Department of Health; (3) Alan Blum, Department of Family Medicine, Baylor College of Medicine, Houston, Texas;(4) Charles C. Whitley, counsel, The Tobacco Institute;(5) Floyd Abrams, coun el, The Tobacco Institute; (6) Tom Boggs,Patton, Boggs and Blow, representing Freedom to Advertise Coalition; and (7) Scott D. Ballin, Coalition on Smoking or Health, Washington, D.C.. Prepared statemert are included from these witnesses and the Association ot National Advertisers, Inc.; The Smokeless Tobacco Council, Inc.; the National Automatic Merchandising Association; the U.S. Hispanic Chamber of Commerce; Cigar Association America, Inc.; and the Finding For The Study of Teenage Cigarette Smoking and Purchasing Behavior. (ABL) Reproductions supplied by EDRS are the best that cal.,e made from the original document. S HRG 101-707. Pr 1 TOBACCO PRODUCT EDUCATIONAND HEALTH PROTECTION ACT OF 1990 4 ) HEARING BEFORE ME CP\1 COMMITTEE ON c=1 LABOR AND HUMANRESOURCES UNITED STATES SENATE ONE HUNDRED FIRST CONGRESS SECOND SESSION ON S. 1883 TO AMEND THE PUBLIC HEALTHSERVICE ACT TO ESTABLISH A CENTER FOR TOBACCO PRODUCTS, TOINFORM THE PUBLIC CON- CERNING THE HAZARDS OF TOBACCOUSE, TO DISCLOSE AND RE- STRICT ADDITIVES TO SUCH PRODUCTS,AND TO REQUIRE LABELING OF SUCH PRODUCTS TC PROVIDEINFORMATION CONCERNING SUCH PRODUCTS TO THE PUBLIC, AND FOROTHER PURPOSES FEBRUARY 20, 1990 Part I Printed for the use of the Committee on Laborand Human Resources U S DEPARTMENT OF EDUCATION ,e.ce Of EClucilaponal Psfrn*Mr, ir4 ,*(yrfter? EDUCATIONAL RESOURCES IIiTORMATON CENTER (ERiCt T,s 00Cufnentas neer, ,ewoouceo as ece.wel 'nor, !he oe/son ot organqabo oNpnahnci 4 Pkno, onaAoes Save Deer, n,ace IC ,D,Ove ,e0,400C10n CluaMo Powts of 00..0,^3Sited ,n 15,$ doco oo nol necessanly ,ergesen, OE RI oos.t.on 00,1Y U.S GOVERNMENT PRINTING OFFICE CV WASHINGTON : 1990 (1 27-757u For sole by the Supenntendent of Documents,Congresalonal Saks Ake U S Government Printmg Office Washington. DC 20402 2 COMMITuE ON LABOR AND HUMANRESOURCES EDWARD M KENNEDY. Massachusetts.Chau-man CLAIBORNE PELL Rhode Islana ORRIN G HATCH. Utah HOWARD M METZENBAUM. Oh.o NANCY LANDON KASSZBAUM.Kansas SPARK M MATSUNAGA. Hawa.i JIM JEFFORDS. Vermont CHRISTOPHER J DODD. Connecticut DAN COAIS. Indiana PAUL SIMON. Rimots TOM HARKIN. Iowa STROM THURMOND. South Carolina BROCK ADAMS. Washington DAVE DURENBERGER. Minnesota BARBARA A MIHULSKI, Maryland THAD (X)CHRAN. Mississippi NICE LITTLEFIELD,Staff Director and Chief Counsel K RISTINE A I yES*ONMinoral, Staff Director CONTENTS STATEMENTS Page Lautenberg, Hon. Frank R, a U.S. Senator from New Jersey, accompanied by Hon. Bill Bradley, a US. Senator frm New Jersey, and Hon Richard J. Durbin, a Representative in Congress from Illinois 7 Prepared statement of: Senator Bradley 10 Congressman Durbin 12 Sullivan, Hon. Louis W., M.D. Secretary of Health and Human Services .. ______ 18 Prepared statement (with attachments).......... ........ .... ........................ ......... 20 Ashton, Sister Mary Madonna, Commissioner of Health, Minnesota Depart- ment of Health; and Dr. Alan Blum, Department of Family Medicine, Baylor College of Medicine, Houston, TX 39 Prepared statements of: Sister Ashton (with letter to Senator Kennedy)._ 41 Dr. Blum (with attachments). ... ....... .... .......... ... ....... .......... 49 Whitley. Charles 0., counsel, The Tobacco Institute, accompanied by Floyd Abrams, counsel; and Tom Boggs. Patton, Boggs and Blow, representing Freedom to Advertise Coalition, and Ray O'Hare. counsel 75 Prepared statements of: Mr. Whitley 79 88 Mr3. Bailin. Scott1121°.!goalitionon Smoking or Health, Washington, DC ........ 104 Prepared statement (with attachments).. 10'7 Association of National Advertisers, Inc 218 The Smokeless Tobacco Council, Inc , Michael J Kerrigan, president .. 221 National Automatic Merchandising Association. Richard W Funk, chief coun- sel 228 U.S. Hispanic Ch..mber of Commerce. 230 Cigar Association of America, Inc , Norman F. Sharp, president .... ..... .... 232 Finding For The Study of Teenage Cigarette Smoking and Purchasing Behav- ior, prepared for National Automatic MerchandisingAssociation (complete study referred to is retained in the files of the committee). ... ... 235 ADDITIONAL MATERIALS Communications from- Letter from the Coalition for a Tobacco-Free Utah (with an attachment), dated February 12, 1990 to Senator Hatch . 3 Letter from Daniel L. Jeffe, Association of National Advertisers, Inc., Washington, DC dated February 20, 1990. to Senator Kennedy. 218 Letter from Lupe Garcia, chairman of the board. U S Hispanic Chamber of Commerce, dated February 16, 1990, to Senator Hatch........ 232 4 Letter from Suzanna Sherry. professor of law, to Senator Kennedy 233 r- (In) % TOBACCO PRODUCT EDUCATION AND HEALTH PROTECTION ACT OF 1990 . TUESDAY, FEBRUARY 20, 1990 U.S. SENATE, COMMITTEE ON LABOR AND HUMAN RESOURCES, Washington, DC. The committee met, pursuant to notice, at 9:37 a.m.,in room SD- 430 Dirksen Senate Office Building, SenatorEdward M. Kennedy (chairman of the committee) presiding. Present: Senators Kennedy, Hatch, Dodd, andDurenberger. OPENING STATEMENT OF SENATOR KENNEDY The CHAIRMAN. Good morning. Welcome to thehearing of the Committee on Labor and Human Resources onthe Tobacco Prod- uct Education and Health ProtectionAct of 1990. One thousand more Americans will die todayfrom diseases caused by tobacco products. Yet, the tobacco industrywill spend $6 3 million more today on advertising andpromotion to encourage more Americans to try tobaccoproducts. Tobacco ccmpanies claim that their advertising isintended only to induce brand switching, rather than torecru:t, new smokers. But only 10 percent of smokers switch brands each year.Because so many smokers die and so manyothers stop, 6,000 new smokers must be recruited every day for the industrymerely to maintain the status quo. Two thousand of the new smokers will be young women.A dis- proportionate number will be minorities. The industrybroadly pro- motes its products, but also specifically targets womenand minori- ties. The Virginia Slims Tournament in Washingtonthis week is a local reminder of the prevalence of the industry's strategy. Two new cigarette brands introduced in the past year arede- signed for womenSuperslims and NewportStripes. The market- . ing strategy is so brazen that the ads themselves confessthat they .., are targeted on women. Last week welearned that the deadly cam- paign continues as reports of a new effort to promotethe "Dakota" cigarette surfaced. Sullivan, who is * Only the fearless intervention of Secretary Louis with us this morning, blocked the insidiousscheme of R.J. Reyn- olds to market a new brand of cigarettes called"Uptown," targeted at blacks. The marketing strategy wasparticularly insidious be- cause of the excessiveincidences of cancer, heart disease, and stroke that minorities already suffer. ID 5 2 Women are also sufferingmore extensively from tobacco-related diseases. In 1950, only 3 ofevery 100 women with cancer had lung cancer. Today the number is 20 of every 100womennearly a seven-fold increase. Lungcancer is now the No. 1 cause of cancer deaths among women, and othersmoking-related cancers are also increasing. Industry representatives maintain thateveryone already knows the dangers of smoking. Butsurveys prove that vast numbers of citizens, especially theyoung, are unaware of the true nature of the risk. To deal with these abuses, I joinedwith other Senators last No- vember to introduce the TobaccoProduct and Heahh Protection Act of 1990, S. 1883. It isa realistic attempt to provide greater Fed- eral leadership in dcaling with theseproblems. The approach we take in thismeasure is two-fold: greater public education, more truth in advertising aboutthe risks of smoking, and more
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  • Delivering Quality Growth

    Delivering Quality Growth

    OPERATING REVIEW DELIVERING QUALITY GROWTH OUR BRANDS GROWTH BRANDS The rest of our portfolio consists of Portfolio Brands; some of these are strong local brands that support our volume and revenue development, while others are delisted or migrated into Growth Brands. A number of migrations were completed in the year, as we continued to streamline our portfolio and improve our quality of growth. Total Group tobacco volumes were 255.5 billion stick equivalents (2017: 265.2 billion), with volumes down by 3.6 per cent, outperforming industry volume declines of 5.0 per cent. Growth Brands increased volume by 2.1 per cent and market share by 70 basis points, with share gains in all divisions. Excluding the benefit of brand migrations, Growth Brands also outperformed the industry. GROWTH BRANDS Full Year Result Change Constant 2018 2017 Actual Currency Market share % 9.2 8.5 +70 bps We achieved another Net revenue £m 3,799 3,690 +2.9% +3.9% Percentage of Group % 63.8 60.2 +360 bps excellent performance with volumes our Growth and Specialist Percentage of tobacco % 49.1 47.6 +150 bps & NGP net revenue Brands. These are the most important assets in our Growth Brands have broad consumer appeal and are comprised of: Davidoff, Gauloises Blondes, JPS, West, Lambert & Butler, portfolio and together they Bastos, Fine, Winston, News and Parker & Simpson. now account for 66.9 per cent Growth Brand volumes outperformed the market in the period of our tobacco & NGP net and net revenue grew by 3.9 per cent at constant currency.