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Smoking Battles

TOBACCO ROW

March 12, 1998

The NewsHour with Jim Lehrer Transcript

President Clinton endorsed a new tobacco bill that, among other things, denies the tobacco industry immunity from future lawsuits. Following a background report, Margaret Warner and guests revisit the tobacco deal and examine the new bipartisan bill introduced in the Senate.


A RealAudio version of this segment is available.
NEWSHOUR LINKS:
March 12, 1998
A discussion on the new tobacco bill introduced in the Senate.

January 29, 1998
Steven Goldstone, the CEO of RJR Nabisco, acknowledges the health risk of tobacco products.

January 16, 1998
Texas and Minnesota have suits pending against the tobacco companies.

January 15, 1998
Documents show R.J. ReynoldsCalifornia used Joe Camel to attract young smokers.

December 31, 1997
California bans smoking in just about all in-door public places, including bars.

August 25, 1997
Florida settles with the tobacco industry for $11.3 billion deal.

Online Forum
Congressman Waxman and Connecticut Attorney General Blumenthal debate the tobacco settlement.

June 20, 1997
A panel discussion the tobacco settlement.

May 20, 1997:
Research strongly suggests that second-hand smoke is a possible cause of heart disease.


April 18, 1997:
Experts discuss the future of the tobacco industry.

March 20, 1997:
The Liggett Group admits that smoking cigarettes is addictive and can cause cancer.

Browse the NewsHour's coverage of law and health.

OUTSIDE LINKS:
Food and Drug Administration

Smoking Battles KWAME HOLMAN: It's been more than nine months since the tobacco industry and 40 state attorneys general announced their landmark settlement designed to pay smoking-related health care costs and reduce teen smoking.

The tobacco settlement.

Under the key points of that proposed settlement: the tobacco companies would pay $368 billion in damages and compensation over 25 years; the Food & Drug Administration would regulate nicotine; tobacco advertising would be restrictive; and the industry would have to take steps to reduce youth smoking. In return, tobacco companies would receive immunity from future class-action lawsuits and from punitive damages for past practices. The public health community, however, began criticizing the agreement almost immediately, charging it gave too many concessions to the tobacco industry and too little power to the Food & Drug Administration.

Smoking Battles DAVID KESSLER, Former FDA Commissioner : Not only is it unacceptable but it would be wrong.

KWAME HOLMAN: Still, the tobacco industry has continued to support the agreement. As Congress began to focus on the tobacco issue, the industry launched a multi-million dollar lobbying campaign, including full-page ads this week in the Washington Post and the New York Times. They've also run television spots all aimed at urging lawmakers not to dismantle the proposed settlement.

ANNOUNCER: The tobacco settlement, a unique opportunity to end the conflict and move forward. Get the facts for yourself.

KWAME HOLMAN: And recently, a new breed of tobacco executives also has begun acknowledging the industry should pay for past actions. Steven Goldstone, CEO of RJR Nabisco, appeared on the NewsHour in January.

Smoking Battles STEVEN GOLDSTONE: I will tell you, if we were sitting over a beer, I'm sure I could whine a lot about the injustices that we're facing, but I have to accept reality. And I think the industry probably should have come to grips with this many years ago. What it is, is what's necessary to be done to put situations right and have a civil discourse and, in my view, have a regulatory scheme, that's an appropriate thing to do. My biggest disappointment so far has been something that looks to me to be such a good solution has for some reason kind of been orphaned, in my view.

The issue of immunity.

KWAME HOLMAN: Ultimately, any tobacco settlement must be approved by Congress and signed into law by the President. Several bills have been introduced as Congress tries to work toward a consensus. Major sticking points include whether once the tobacco companies have paid compensation they should be granted immunity from future lawsuits. Today, President Clinton addressed the National Association of Attorneys General in Washington. He congratulated them for achieving last year's proposed settlement and their success in revealing internal documents of the industry.

Smoking Battles PRESIDENT CLINTON: As the documents are released, we begin to learn the whole story. In an internal document, one company proudly described its brand as "the brand of choice among teenagers." Another described its plan to flavor cigarettes with apples, honey, or Coca-Cola because "it's a well-known fact that teenagers like sweet products." This avalanche of evidence is bringing down the walls of deceit. Now we know the facts, now you have acted. Now Congress must act.

KWAME HOLMAN: The President also took the occasion to endorse the first major bipartisan tobacco settlement bill, which was unveiled today in the Senate. Its proponents say the bill is in some ways tougher on the industry than the original proposed settlement.

President Clinton supports the new bill.

PRESIDENT CLINTON: I have said I would support any comprehensive, bipartisan legislation if it meets five principles. I believe it must raise the price of cigarettes by Smoking Battles up to a dollar and a half a pack over the next decade and impose tough penalties on companies that continue to sell to kids. It must reaffirm the FDA's authority to regulate tobacco products. It must get the tobacco companies out of the business of marketing to our children. It must further our other public health goals. And it must protect the tobacco farmers and their communities. And I take it we are all agreed on that. I think that is very important. Today, I'm happy to report that Senators John Chafee, Bob Graham, and Tom Harkin are introducing the first bipartisan bill that meets all five of these principles. And I strongly support their effort. It is a good, tough bill. I hope it gets wide support.


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