doj final opinion

Transcript

1 UNITED STAT ES DIS TRICT COURT IC F OR THE D ISTR T OF CO LU M BIA UNITED STAT F AMERICA, : ES O : : la in t if f, P 99 No. on cti l A vi Ci : 96 (GK) -24 : and : TOBACCO-F UND, : REE KIDS ACTION F : AMERICAN CANCER SOCIETY, OCIATION, HEART ASS AMERICAN : AMERICAN ASSOCIATI ON, : LUNG ,: HTS NONSMOKERS’ RIG S FOR AMERICAN : NAL AF RICAN A MERICAN and NATIO IO N NE TW OR K, : PREVE NT CCO BA TO : : e nor s, Int r ve : : v. : HILIP MORR IS USA, INC., : P e hili /a P (f/k ,: p Morris, Inc.), . t al : De s. ant : fend 1 IN IN OP AL ION D F DE EN AM 1 c me nd e is A to 11 ne , li 36 15 e g a n p n o tio ita d M the ts c re or c ion pin um O nd a mor e Th shoremen’ d: United States v. L ocal 1084- 1, I nt’l L ong rea s Ass’n., 812 F. Supp. 1303, 1310-15 (S.D.N.Y. 1993); a nd deletes the last sentence on pag e 1552, n. 23.

2 TA BLE O CO NT EN TS F . I T R O D U C T I O N ... 1 N I e O e r v i v w ... 1 . A . P r e l i m i n a r y G u i d a n c e f o r B h e R e a d e r ... 5 t I . P R O C E D U R A L H I S T O R Y I 10 ... I I . CR EAT I ON, NAT I E, AND OP ER ATI ON O F UR T H E E N T E R P R I S E ... 15 A. Pre-1953 Ove Rise in America n Smoking rview–The nd nd Sta tus of Sc ie nti fi c Re se a rc h o n Sm ok a a the He a lth . . . . . . . . . . . . . . 16 ing B . C r e a t i o n o f t h e E n t e r p r i s e ... 18 il C. RC/C TR - - T ob a c c o I nd us tr y Re se a rc h Co mmi tte e /Co un c TI s f r T o b a c c o R e o e a r c h - U S A ... 26 S 1 . S e l e c t i o n a n d A p p r o v a l o f T IR C ’ s c c i e n t i f i A d v i s o r y Boa rd Member ector . . . . . . . . . . . . . . . . . . . . . . . . . 37 s and Scientific Dir . T e s e a r c h A c t i v i t i e s o f T I R C / C 2 R ... 43 R . Public Relations Activiti RC/C TR . . . . . . 3. . . . . . . . . . . . . . . . es of TI . 50 . 4. c Statements of TI RC/C TR . . . . . . . Publications and Publi . . . . . . . . . 55 . a . T I R C / C T R A n n u a l R e p o r t s ... 55 b . I R C / C T R N e w s l e t t e r s ... 59 T ub . RC/C c re ss R e le a se s a nd Ot he r P TI lic Sta te me nts . . . . . . . 62 TR P D . T o b a c c o I n s t i t u t e ... 65 . 1. or ma tio n o f t he To ba c c o I ns tit ute . . . . . . . F . . . . . . . . . . . . . . . . . . . . . 65 . 73 2. Relationship Betwe en the Toba cco I nstitut e and T I RC/C TR . . . . . . . . - -i

3 3. c c o I ns tit ute Pr e ss R e le a se s, Pub lic Sta te me nts , To ba . hures, a . . . . . . . . . . . . . . . 81 tisements, Broc nd Other Publications Adver T o b a c c o I n s t i t u t e C o m m i t t e e s ... 93 4 . ttee of Counsel a a. . . . . . . . . . . . . . . . . 94 Commi nd Outside Counsel . co I Tobac ee . . . . . . . . . nstitut . . . . . . . . . 99 b. e Executive Committ Tobac . nstitut e Communications Comm ittee . . . . . . c. . . . . . . 101 co I 5 T o b ac co I n s t i t u t e C o l l ege o f T o b ac co Kn o wl ed ge . . . . . . . . . . . . . . . . 103 . . Tobac nstitut e Te 6. abora tory . . . . . . . . . . . . . . . . . . . . . co I . . . . 110 sting L E. oint Researc h Activity Direc ted by Def endants’ E x ecutives J e a L a w y d r s ... 110 n 1 . W i t n e s s D e v e l o p m e n t ... 110 P 2 . C T R S p e c i a l r o j e c t s ... 119 a . tur e of CTR Spe c ia l Pr oje c ts . . . . . . . . . . . . . . . . . . . . . . . . . 119 Na L CTR wy e rs ' I nv olv e me nt w ith b. Spe c ia l Pr oje c ts . . . . . . . . . . . 124 a l Pr . ie nti sts F un de d T hr ou g h CT R Spe c ia Sc oje c ts . . . . . . . . . . . 135 c 3 . L a w y e r s ’ S p e c i a l A c c o u n t s ... 136 a . p e c i a l A c c o u n t N o . 3 ... 137 S o b p e c i a l A c c S u n t N o . 4 ... 138 . c . S p e c i a l A c c o u n t N o . 5 ... 146 147 d I n s t i t u t i o n a l G r a n t s ... . s F C o m m i t t e e . ... 149 1. Resear ch Review Commi ttee, Resea rch L iaison Commi ttee, 149 ... a n d I n d u s t r y R e s e a r c h C o m m i t t e e i- -i

4 2 . n d u s t r y T e c h n i c a l C o m m i t t e e ... 154 I i . b a c c o W o r k o n g G r o u p ... 157 3 T Coordinated Smoking a nd Hea lth L iterature Collection G. n v R e t r i e a a l ... 163 d . H. endants' Org anizations Focused on E TS I ssues . . . . . . . Def . . . . . . . . . . . . . 168 . I . I nterna tional Org anizations, Com mittees, and Groups . . . . . . . . . . . . . . . . . . . 170 1 . v e r v i e w ... 170 O . TMSC -- Tobacc cture 2. Standing Committee . . . . o Manufa . . . . . . . 176 rs' 3. TRC -- To ba c c o Re se a rc h Co un c il . . . . . . . . . . . . . . . . . . . . . . . . . . . . 180 . 4. C - - T ob a c c o A dv iso ry Cou nc il . . . . . . . TA . . . . . . . . . . . . . . . . . . . . 182 . 5. I COSI -- I nterna tional Comm ittee on Smoking I ssues 187 . . . . . . . . . . . . 6. I TAB -- I nterna tional Tobacc o I nformation Center . . . . . . . . . . . . 193 NFO . TDC -- Toba . . . . . . . . . . . . ocumentation Centre . . . . . . . . . . . 198 7. cco D CO RES TA -- Ce nte r f or Coo pe ra tio n in Sc ie nti fi c 8. ch Relative to Toba de Coopéra Resear tion cco/Centre . herc c . . . . . . u Taba . . . . . . 200 pour les Rec hes Scientifiques Relatives a Tobac co I nstitut e I ntera 9. as and ction with Overse I t e r n a t i o n n l G r o u p s ... 201 a J. Di sso lut ion of CTR a nd the To ba c c o I ns tit ute . . . . . . . . . . . . . . . . . . . . . . . . . . 210 1 . T R ... 210 C s . o b a c 2 o I n T t i t u t e ... 212 c I V. TH E D EF EN DA NT S AR E E NG AG ED I N A ND TH EI R EI AC VI TI ES A F F ECT I NT ERS TA TE AN D F OR TI GN CO MME RCE . . . . . . . . . . . 213 ... 214 A . P h i l i p M o r r i s C o m p a n i e s ii- -i

5 B . i l i p M o r r i s ... 214 P h R . . R e y n o l d s ... 214 J C . t i g e t g ... 214 L . D L o r i l l a r d ... 215 E . . B T C o ... 215 F A ... B o w n & W i l l i . m s o n r 215 G a . m e r i A a n ... 215 H c . T o b a c c o I n s t i t u t e ... 216 I . J R C / C T R ... 218 T I ENDAN SED AND EXE CUTED A SCHEME TO DEF TS DEVI V. RA UD CO NSU ME DE ND POT EN TI AL CO NSU ME RS F RS A CI GA RET TE S I N M OST , B UT NO T A L L , O F TH E A REA S OF O L E G E D B Y T H E G L A E R N M E N T ... 219 V A. Def endants Ha ve F alsely Denied, D istorted and Minimiz ed the Significa nt Adverse lth Consequences of Smoking for D eca des . . . . . . . . 219 Hea . a re tte Smo kin g Ca us e s D ise a se . . . . . . . . . 1. . . . . . . . Cig . . . . . . . . . . 219 . 2. rch on L ung Cance r up to Dec ember 1953 . . Scientific Resea . . . . . . . 222 . a. Scientists I nvestig ating the Rise in the I ncidenc e of L g Ca nc e r L ink e d Sm ok ing a nd Di se a se un ... b o r e 1 9 5 3 f 222 e b. By 1953, Def endants Rec og nized the Need f or C o n ce rt ed Ac t i o n t o C o n fr o n t Ac cu m u l at i n g . Evidence nces of Smoking . . . of the Serious Conseque . . . . . 232 236 3. Deve lopments Betwe en 1953 and 1964 . . . . . . . . . . . . . . . . . . . . . . . . . -iv-

6 a. Be e De monstrating tween 1953 a nd 1964, the Evidenc rse He that Smoking Causes Sig alth nificant Adve ns ts G lth ou g h N o Co ns e w A us Ha d Y e t Ef re fe c n B e a c h e d ... 236 e e R fore 1964, Def endants I nterna lly Recog nized Be b. e G ro wi n g E v i d en ce De t o n s t ra t i n g t h at S m o k i n g h m us s Sig nif ic a nt A dv e rs e He a lth Ef fe c ts e . . . . . . . . . . . . . . . 251 Ca . I n the 1950s, Def endants B eg an The ir J oint c. n to False Campaig and Distort the ly Deny a L tween Cig are tte Smoking and istence of ink Be Ex a se , E ve n T ho ug h T he ir I nte rn a l D oc ume nts Di se x c g n i z e d I t s E o i s t e n c e ... 259 e R Th e 19 64 Sur g e on Ge ne ra l Re po rt Re pr e se nte d a Sc ie nti fi c 4. . se us tha t Smo kin g Ca us e s D ise a se . . . . . ns . . . . . . . . . . . Con . . . . . 269 . a. The Proce ss and Methodolog y of the Surg eon G e e r a l ’ s R e p o r t ... 269 n o . e C o n c l u s i h n s... 275 b T Post-1964 Researc h on the Adver se He alth Effe cts of 5. fenda nts' Per sistent Denials Ther eof . . . . Smoking and De . . . . . . . . . 278 . a. Publication of the 1964 Report, the Following tin ie fi c Com mun Sc Con nti ue d to Do c ume nt ity t h e L i n k B e t w e e n S m o k i n g a n d a n E x t r a o r d i n a r y . Number of . . . . . . . . . . . . . . lth Consequences . . 278 Serious Hea b. endants' I nterna l Documents and Rese Def h from arc the 1960s, 1970s, and B ey ond Revea l Their Continued Re c og nit ion tha t Smo kin g Ca us e s Se ri ou s A dv e rs e He a lth Effe cts and The ar of the I mpact of Such K nowledg e ir Fe t n i o i g a L i o n ... 279 t c. Despite The ir I nterna l Knowledg e, De fenda nts Conti nued, De F m 19 64 On wa rd , to F a lse ly ro ny a nd Di sto rt the Se ri ou s 293 H e a l t h E f f e c t s o f S m o k i n g ... -v-

7 6. As 05 , D e fe nd a nts Stil l D o N ot A dmi t th e Se ri ou s H e a lth of 20 c og f S mok ing Whic h T he y Re c fe nize d I nte rn a lly Ef ts o c e d e s A g o ... 324 D a i C n c l u s . o n s ... 330 7 o The Addic tive Properties of N icotine . . . . . . . . . . . . . . . . . . . . . B. . . . . . . . . . . 332 . 1 I n t r o d u c t i o n ... 332 . Ciga I s Addictive and N icotine I s the Primary 2. rette Smoking l e m e n t o f t h a t A d d i c t i o n ... E 333 a. pera tes within the Body . . . . . . . . . . How Nicotine O . . . . . . . 333 . b. Evolving D efinitions of “Addic tion” and Classification o f N i c o t i n e ... 336 Consequence c. s of the Addictivene ss of Nicotine . . . . . . . . . . . . 346 d . o n c l u s i o n ... 349 C Def endants Were that Smoking and Nic otine 3. Well Aware i e d d r c t A v e ... 350 A i . P h i l i p M o r a i s ... 352 r b R . J . R e y n o l d . ... 374 s c . B A T C o ... 385 d . B r o w n & W i l l i a m s o n ... 422 l e o r i l L a r d ... 436 . f . A m e r i c a n T o b a c c o C o m p a n y... 441 g . T R ... 443 C Def endants Publicly Denied tha t Nicotine I s Addictive 4. a n d 445 o n t i n u e t o D o S o ... C ... 447 a . P h i l i p M o r r i s i- -v

8 b . J . R e y n o l d s ... 451 R . B T C o ... 456 . c A A m e r i c a n T o b a c c o C o m p a n y... 459 d . ... B o w n & W i l l i a m s o n r 459 e . . o r i l l L r d ... 461 f a . L i g g e t t ... 463 g . a o b h c c o I n s t i t u t e ... 463 T . C T R ... 473 i Def endants’ Conduc t Conti nues . . . . . . . . . . . . . . . . . . . j. . . . . 474 . 5. fe nd a nts Con c e a le d a De Sup pr e sse d Re se a rc h D a ta nd and Other Evidence that Nicotine I s Addictive . . . . . . . . . . . . . . . . . . . 479 p a . P h i l i M o r r i s ... 481 b . A T C o ... 493 B i . o w n & W i l l r a m s o n ... 495 c B . A m e r i c a n T o b a c c o C o m p d n y... 504 a e T o b a c c o I n s t i t u t e . 505 ... f. fenda nt Funded Re sear ch Gr oups . CTR and Other De . . . . . . 505 . 6 . C o n c l u s i o n s ... 512 C. Nicotine " fenda nts Have F alsely Denied Manipulation": De Can and Do Control the L evel of Nicotine De livered that They I n Orde r to Crea te and Sustain Addiction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 515 c 1. or De c a de s, De fe nd a nts Ha ve Re F og nize d th a t Controlling Nicotine De livery , in Order to Create a nd Sustain S mokers’ A ddiction, Was Nece ssary to Ensure ... 516 C o m m e r c i a l S u c c e s s ii- -v

9 -v iii -

10 a. Def nized the Need to De termine endants Rec og i e i m u m " a n d " O p t i m u m " N i c o t i n e D e l i v M r y n " r to Provide Sufficient " L mpact" and evels in Orde I . are . . . . . . . . ction" to Cig . . tte Smokers . . . . . . . . . . 517 "Satisfa . 1 ) P h i l i p M o r r i s ... 519 ( 2 y R . J . R e ( n o l d s ... 521 ) ) . ro wn & Willi a mso n a nd B AT Co . . . . . . . . . . . . (3 . . . 525 B 4 L ( o r i l l a r d ... 526 ) 5 i L ( g g e t t ... 527 ) Def endants Ha ve L ong Recog nized that Cont rolling b. the Nicotine to Ta r Ratio Would Enable Them to Meet Min imu m a nd Op tim um N ic oti ne De liv e ry L e ve ls . . . . . . . . . . 528 h ( 1 ) P i l i p M o r r i s ... 528 ( 2 R . J . R e y n o l d s ... 535 ) ) . ro wn & Willi a mso n a nd B AT Co . . . . . . . . . . . . . . (3 . 546 B 4 m A ( e r i c a n ... 552 ) 5 l L o r i ( l a r d ... 553 ) e 6 L i g g ) t t ... 560 ( c. Def endants Unde rstood the Corre lation Be tween . Nicotine De are tte Sales . . . . . . . . . . . . . . . . . . and Cig . 561 livery ( ) P h i l i 1 M o r r i s ... 561 p ( 2 ) R . J . R e y n o l d s ... 562 . (3 B ro wn & Willi a mso n a nd B AT Co . ) . . . . . . . . . . . . . . 564 ... 566 ( 4 ) L o r i l l a r d ix- -

11 2. Def hed, De veloped, a nd Utiliz ed Va rious endants Rese arc otine Control to Ensure Desig ns and Methods of Nic oses of Nic otine Adequa te that All Cigar livered D ettes De n r a t e a n d S u C t a i e A d d i c t i o n ... 567 o t s endants Rec og nized the Need to De sign Cig are ttes a. Def ld P t Wou du c e L ow Ni c oti ne a nd Ta r M e a su re me nts ro tha De r t F TC M e tho d Wh ile Al so he liv e ri ng the Min imu m de un evels to Crea . . . . . . . . Nicotine L . . . 570 te and Sustain Addiction b. eaf Ble nd and F iller: Defe ndants Controlled the Amount L ry nd m of Ni c oti ne De liv e or in T he ir Com me rc ia l a F od uc ts b y Con tr oll ing the Phy sic a l a nd Che mic a l Pr 572 Make- lend and F iller . . . . . . . . . . . . . . . . cco B Up of the Toba ( ) P h i l i 1 M o r r i s ... 575 p ( 2 ) R . J . R e y n o l d s ... 578 B (3 ) B ro wn & Willi a mso n a nd AT Co . . . . . . . . . . . . . . . . 580 ( 4 A m e r i c a n ... 583 ) 5 ) L o r i l l a r d ... 587 ( e ) L i g g t t ... 589 ( 6 Nicotine to Tar Ratio: Defenda nts Have U sed c. sical De ameter Phy s to I ncre ase the Nicotine sign Par . ir Ciga . . . . . . . . to Tar Ratio of The . . . rettes . . . . . . . . . . . . 589 . ( 1 ) F i l t e r D e s i g n ... 592 . (2) . . . . . . . . . . ilution . . . . . . . . . . 593 Ventilation and Air D (3) Paper Porosity and Composition . . . . . . . . . . . . . . . . . . 594 d. endants Alter ed the Smoke pH and Ammonia: Def Che mic a l F or m of Ni c oti ne De liv e re d in Ma ins tr e a m Ciga the Purpose of I mproving Nicotine rette Smoke for Transf the Speed with Which ficienc y and I ncre asing er Ef 596 . Nicotine I s Absorbed by Smokers . . . . . . . . . . . . . . . . . . . . . . x- -

12 ( 1 c i e n t i f i c O v e r v i e w ... 596 ) S I . ivi du a l D e fe nd a nts ’ D oc ume nts . . . . . . . . . ) . . . . . . 605 (2 nd ) P h i l i p M o r r i s ... 605 ( a n b . J . R e y R o l d s ... 610 ( ) ) B ro wn & Willi a mso n a nd B AT Co . . . . . . . . . . 617 (c d ( m e r i c a n ... 627 ) A ) d L o r i l l a r e ... 628 ( ... ) f i g g e t t 631 ( L Other A dditives: Defenda nts Researc hed the Use of e. dditives to Cont rol Nicotine De livery . . . . . . . . . . . . . . 633 Other A Def ve Made Fa lse and Misleading Public endants Ha 3. te me nts Re g a rd ing Th e ir Con tr ol o f t he Ni c oti ne Con te nt Sta e n d D o l i v e r y o f T h e i r P r a d u c t s ... 636 a . T h e W a x m a n H e a r i n g s ... 637 a De a nts ' F a lse a nd Mis le nd din g Pub lic Sta te me nts b. fe o n t i n u ed Af t er t C e W ax m an He ar i n gs . . . . . . . . . . . . . . . . . . . 646 h c. Testimony Consist ent with Fr audulent Public S t a t e m e n t s ... 651 4 . o n c l u s i o n s ... 653 C The Gove ranc s Fa iled to Prove by a Preponde D. e of the rnment Ha that Def ly liberate Evidence Chose Not to Utiliz e endants De ket Fe or Mar signs or Product Fe ature s that Could P roduce asible De L e s s H a z a r d o u s C i g a r e t t e s ... 655 n 1 I n t r o d u c t i o . ... 655 Acknowle 2. endants Ha ve L ong Def dg ed I nterna lly the 656 Exist e nc e of a Ma rk e t f or a Ge nu ine ly L e ss H a zar do us Cig a re tte . . . . . -xi-

13 3. Def eived Conflicting Messag es F rom the endants Rec nment and the Public Hea lth Com About Their Gover munity . nd Marke ess Hazar dous Cigar ettes . . . . . ts to Create a . . t L . . 658 Effor . As Part of the Ef fort to Make L ess Hazar dous Cigar ettes, 4. endants Experimented with Ge nera l and Selective Re duction . . . . 663 Def a . e n e r a l R e d u c t i o n ... 663 G e . e l e c t i v e R b d u c t i o n ... 667 S (1) Def endants' Effor ts to Reduce B enzo(a)py rene . . . . . . . 668 ls (2 fe nd a nts ' Ef fo rt s to Re du c e Phe no De ) Throug rcoa l Filtere d Ciga rettes . . h Use of Cha . . . . . 669 . ( a ) P h i l i p M o r r i s ... 672 n ( R J R e y ) o l d s ... 673 b (c ) L or ill a rd ’s Yo rk Cig a re tte . . . . . . . . . . . . . . . . . 675 s to (3 ) De fe nd a nts ' Ef fo rt . Re du c e Cili a sta ts . . . . . . . . . . . 676 (4) Def Effor ts to Reduce De livery of endants' . co-Spec . . . . . . . . . . . . . . . . . . 677 Tobac ific Nitrosamines De fe nd a nts ’ E ff or ts t o D e ve lop /Ma rk e t Po te nti a lly 5. e ss L Ha do us No n- Con ve nti on a l Pr od uc ts . . . . . zar . . . . . . . . . . . . . . . . . . 682 . a . P h i l i p M o r r i s ... 682 ( 1 A c c o r d ... 682 ) 2 ) N e x t ... 685 ( (3) Nicotine Ana logue Prog ram . . . . . . . . . . . . . . . . . . . . . . 687 o b J R e y n R l d s ... 688 . ( 1 ) T 688 e M u l t i j e t F i l t e r ... h s... 690 ( 2 ) H e a t e d T o b a c c o P r o d u c t - -xii

14 ( a r e m i e r ... 690 ) P ) ( l i p s e ... 703 E b c S E / W ) n s t o n W e l e c t ... 712 3 ( i TCo and B rown & Wil liamson . . . c. . . . . . . . . . . . . . . . . . . . 721 BA . 1 F A C T C i g ) r e t t e ... 721 ( a 2 ) P r o j e A t ( r i e l ... 722 c ( ) P r o j e c t A i r b u s ... 723 3 c 4 d v a n A e ... 726 ( ) L or ill a rd ' s Z e ro Ta r a nd PMO Pr oje c ts . . . . . . . d. . . . . . . . . . . . 731 . e L i g g e t t ' s . r o j e c t X A ... 732 P 6. The Gove rnment Ha s Not Proven by a Preponde ranc e nd of the Ev ide nc e tha t D e fe a nt H a d a " Ge ntl e ma n' s Ag ree ot to Develop a L ess Hazar dous Cigar ette ment" N n-House B iologica ch on the and Not to Do I l Resear o z r d s o a S m a k i n g ... 734 H f . C o n c l u s i o n s ... 738 7 E. Def alsely Marke ted and Promoted L ow Tar /L ight endants F rettes a ess Har mful than Full-F lavor Cig are ttes in Order Ciga s L Smoking and Sustain Corporate Revenue s . . . to Keep People . . . . . . . . . . . . 740 . 1. L ow Tar /L ight Cig are ttes Offe r No Clear Hea lth a B e f i t o v e r R e g u l n r C i g a r e t t e s ... 742 e a . H i s t o r y o f H e a l t h C l a i m s ... 742 e b h e F T C M T t h o d ... 746 . c l Th e F TC M e tho d D oe s N ot M e a su re Ac tua . ... 750 T a r a n d N i c o t i n e D e l i v e r y i- -xii

15 d. The Public Hea Has Concluded lth Com munity lth ow ig a re tte s O ff e r N o Cl e a r H e a r C B e ne fi t . . . . . . 765 t L Ta tha sed on Their 2. icated U nderstanding of Compensation, Ba Sophist fe a nts I nte rn a lly Re c og nize d th nd t L ow Ta r/ L ig ht C ig a re tte s De a f f e r N o C l e a r H e a l t h B e n e f i t ... 786 O Def endants I nterna lly Recog nized that L ow Tar Ciga rettes a. Not L ess Har ull-Flavor Ciga rettes . . . . . . . . . 786 Are mful Than F o 1 h i l i p M P r r i s ... 786 ( ) 2 ) R J R e ( n o l d s ... 770 y ( ) B r o w n & W i l l i a m 3 o n ... 791 s ( ) B A 4 C o ... 793 T ( 5 ) L o r i l l a r d ... 793 i ( 6 ) L g g e t t ... 794 b. I lly , Def endants Ha d an Extensive and nterna icated U nderstanding . . . . . . 794 Sophist of Smoker Compensation o ) h 1 l i p M P r r i s ... 796 ( i 2 ) R J R e y n o ( d s ... 806 l ( ) B r o w n & W i l l i a m 3 o n ... 809 s ( ) B A 4 C o ... 811 T ( 5 ) A m e r i c a n T o b a c c o ... 817 ( ) L o r i l l a r d ... 817 6 3. Def nterna lly Recog nized that Sm okers Switch endants I to L /L ight Cig are ttes, Rather than Q uit Sm oking, ow Tar Be cause They Be lieve The y Are L ess Har mful . . . . . . . . . . . . . . . . . . . 819 a. Def endants Rec og nized that Sm okers Choose . 822 L ig ht/ L ow Ta r C ig a re tte s f or a Pe rc e ive d H e a lth B e ne fi t . . . . v- -xi

16 ( P h i l i p M o r r i s ... 822 1 ) o ) J . R e y n . l d s ... 831 2 ( R ) B r o w n & W i l l i a m s o n ... 834 ( 3 ) T A 4 C o ... 838 ( B 840 ) m e r i c a n T o b 5 c c o ... A ( a 6 L o r i l ) a r d ... 842 ( l . D e f e n d a n t s In t e r n a l l y R e c o g n i z e d t h a t S m o k e r s R e l y b s the Ma de fo r L ow Ta r/ L ig ht C ig a re tte s a ims Cla on Not Quitting Smoking . . . . . . . . . . . 843 an Excuse/ Rationale for . 1 ) T o b a c c o I n s t i t u t e ... 843 ( M 2 P h i l i p ) o r r i s ... ( 843 ( 3 ) R . J . R e y n o l d s ... 850 ( 4 B r o w n & W i l l i a m s o n ... 855 ) 5 B A T C o ... 858 ( ) 6 ) A m e r i c a n T o b a c c o ... ( 861 ( ) L o r i l l a r d ... 7 862 ( ) L i g 8 e t t ... 864 g 4 . D e s p i t e T h e i r In t e r n a l K n o w l e d g e , D e f e n d a n t s P u b l i c l y Denied tha t Compensation I rly Complete and that the s Nea s T M e t h o F i C F l a w e d ... 864 d a . T o b a c c o I n s t i t u t e ... 871 872 b P h i l i p M o r r i s ... . n c R J R e y . o l d s ... 874 875 d . B r o w n & W i l l i a m s o n ... -xv-

17 e . A T C o ... 876 B 877 . e r i c a n T o b a c c o ... m f A . o r i l l L r d ... 877 g a . De s p i t e T h ei r Int 5 n al Kn o wl ed ge, De fe n d an t s ’ M ar k et i n g er and Public Statements About L Ciga rettes Continue to ow Tar ttes est that They L ess Har mful than Full-F Sugg are Are . . . . . 877 lavor Cig a . P h i l i p M o r r i s ... 887 t (1 h i l i p M o rr i s ’s L o w T ar C i gar et P e M ar k et i n g ) T c h n i e u e s ... 887 q (2) Phili p Morris’s Resea rch on the L ow Tar 907 C g a r e t t e C a t e g o r y ... i c (3 Phi lip Mo rr is’ s Pu bli ) Sta te me nts Ab ou t r L o w T a r C i g a s e t t e ... 911 b . . J . R e y n o l d s ... 916 R . R.J ow Tar Marke ting Te chniques . . . . . nolds’s L 916 (1) . Rey R.J . Rey nolds’s Resear ch on the L ow Tar (2) i g a r e t t e C a t e g o r y ... 926 C RJ (3) c Statements About L ow R’s Publi t a i g a r e C t e s ... 929 T r . B c o w n & W i l l i a m s o n ... 930 r (1) Br own & Wil liamson’s Marke ting of t L T a r C i g a r e t w e s ... 930 o (2) Br own & Wil liamson’s Resear ch on the L ow Tar Ciga rette Cate g ory . . . . . . . . . . . . . . . . . . . . . . 935 s Pu (3 ro wn & Willi a mso n’ B bli c Sta te me nts ) A b 944 u t L o w T a r C i g a r e t t e s ... o ... 946 d . B A T C o - -xvi

18 (1) BA ow Tar TCo’s Resear ch on the L g C e t t e C a t e g o r y ... 946 a r i me AT s Pu bli c Sta te Co’ nts Ab ou t B (2 ) w T a r C i g a r e t t e s ... 951 L o an Toba e. rketing of L ow Tar Ciga rettes . . . . . . . . 952 Americ cco Ma L a r i l l . r d ... 959 f o . orillard’s Ma L ow Tar Ciga rettes . . . rketing . . . . . 959 (1) of L L orillard’s Rese arc h on the L (2) ow Tar C g a r e t t e C a t e g o r y ... 966 i . L g g e t t ... 970 g i i C . c l u s o o n s ... 970 6 n . F ro m th e 19 50 s to the Pr e se nt, Di ff e re nt D F fe nd a nts , a t D if fe re nt e Times and Using rent Methods, Ha ve I ntentionally Marke ted Diffe e ou Pe op le Un de r t he to Y e of Tw ng nty -O ne in O rd e r t o Re c ru it Ag “Replac ement Smokers” to Ensur e the Ec onomic Future of the u T o b a c c o I n d s t r y ... 972 1 . e f i n i t i o n o f Y o u t h ... 972 D The De 973 nts Need Y outh as Replace ment Smokers . . . . . . . . . . . . . 2. fenda b . fe n d an t s 3 ar k et i n g I s a S u De s t an t i al C o n t ri b u t i n g ’ M Fa ctor to Youth Smoking I nitiation . . . . . . . . . . . . . . . . . . . . . . . . . . . . 980 a. Deve ink Be tween Ma rketing and lopment of the L n o t h S m Y k i u g ... 980 o (1) No Single- Source Causa tive Fa ctor Can De s cr i b e t h e C o m p l ex L i n k Be t we en M ar k et i n g m a Y o u t h S d o k i n g ... 980 n (2 ) Pub lic He a lth Au tho ri tie s H a ve F ou nd tha t Marke ting I s a Substantial Contributi ng Fa ctor . 981 to Youth Smoki ng I nitiation . . . . . . . . . . . . . . . . . . . . i- -xvi

19 (3 ) nd e pe nd e nt S tud ie s H a ve F ou nd tha t I ting I ng Fa ctor Marke s a Substantial Contributi ng I nitiation . . . . . . . . . . . . . . . . . . . to Youth Smoki . 986 . (4 Cr e dib le Expe rt Witn e sse s H a ) F ou nd tha t ve Marke ting I s a Substantial Contributi ng Fa ctor to Youth Smoki ng I nitiation . . . . . . . . . . . . . . . . . . . . . 989 b. The Ubiquity fenda nts’ Marke ting Nor malizes and of De . e iti mize s Smo kin g fo r Y ou th . . . . L . . . g . . . . . . . . . . . . . . . . 997 . c. Risk P erc eption: The I nability of Youth to . Gra . . . . . . . . mplications of Smoking . . . . . . . . 1000 sp the Full I 4. Tr a c kin g Yo uth B e ha vio r a nd Pr e fe re nc e s E ns ur e s th a t . Ma rk e tin g a nd Pr omo tio n Re a c h Y ou th . . . . . . . . . . . . . . . . . . . . . . 1006 a. Def ack Y outh Be havior a nd Prefe renc es . . . . . . . . 1006 endants Tr 1 ) h i l i p M o r r i s ... 1007 ( P d ) o r i l l a r 2 ... 1031 ( L Americ an Toba cco, B ATCo, and (3) r o w n & W i l B i a m s o n ... 1039 l ( ) R . J . R e y n o l d s ... 1054 4 Def b. rketing Employ s Themes Which Resonate endants’ Ma u i w Y o t t h ... 1071 h ( 1 ) P h i l i p M o r r i s ... 1072 ( 2 L o r i l l a r d ... 1082 ) l 3 B ( o w n & W i ) l i a m s o n ... 1087 r ( 4 ) R . J . R e y n o l d s ... 1096 re c De fe nd a nts Con tin ue Pr ic e Pr omo tio ns fo r P . miu m . Br ns . . . . . ands Which Are Most Popular with Tee . . . . . . . 1112 ... 1114 ( 1 ) P h i l i p M o r r i s ii- -xvi

20 ( 2 i g g e t t ... 1119 ) L r ) r i l l a o d ... 1119 3 L ( ) B r o w n & W i l l i ( m s o n ... 1120 4 a 5 R . J . R e y ) o l d s ... 1120 ( n De fe nd a nts ’ M a rk e tin g Suc c e ssf ull y Re a c he s Y ou . . . . . . 5. . . . . . . . 1122 th a. endants’ Spending on Marke ting a nd Promotion Def I a o n t i n u a l l y C n c r e a s e d ... 1122 H s Def endants Adve rtise in Youth-Orie nted Publications . . . . b. . 1125 . ( ) P h i l i p M o r r i s 1 1126 ... ( ) L i g 2 e t t ... 1134 g ( 3 ) L o r i l l a r d ... 1135 4 ( ) B r o w n & W i l l i a m s o n ... 1137 ( 5 R . J . R e y n o l d s ... 1139 ) . . fe nd a nts Ma rk e t to Yo uth Th ro ug h D ir e c t Ma il . . c . . . . . . 1143 De 1143 ( P h i l i p M o r r i s ... ) 1 ( ) L o r i 2 l a r d ... 1146 l ( 3 ) B r o w n & W i l l i a m s o n ... 1148 d ( R . J . R e y n o l ) s ... 1149 4 d. Def endants Mar ket to Youth Throug h an Ar ray of R e t a i l P r o m o t i o n s ... 1149 e. endants’ Promotional I tems, Events and Sponsorships Def A t t r a 1156 t Y o u t h ... c ... 1156 ( 1 ) E v e n t s xix- -

21 ( 2 S p o n s o r s h i p s ... 1158 ) e 3 r o m o t i o n a l I t P m s ... 1163 ( ) Def endants’ Y outh Smoki ng Prevention Prog rams Ar e 6. ned to Eff ectively Prevent Youth Smoking . . . . . . . . . Not Desig . . . 1164 . 7. verw helming E vidence to the Contrary , Despite the O endants’ Public Statements and O l or I nterna l Def fficia po ra te Pol ic ie s D e Cor tha t T he ir Ma rk e tin g Ta rg e ts ny Youth or Aff ects Youth Smoking I ncidenc e . . . . . . . . . . . . . . . . . . . . 1173 a. Def Restrict Their Ma rketing to endants Claim They n e p l e T w e n t P - o o e a n d O l d e r ... 1173 y (1) The 1964 Adve rtising Code . . . . . . . . . . . . . . . . . . . . . 1174 . (2) ial Corporate Policies . . . . . . . . . . . . . . . Offic . . . . . 1177 I b. endants De ny Their Ma rketing Def nfluenc es Youth Smoking I nitiation; Defenda nts’ Ex planation tin fo r T he ir Ma rk e g Pr a c tic e s I s N ot C re dib le . . . . . . . . . . . . . 1180 ( 1 T o b a c c o I n s t i t u t e ... 1181 ) o 2 h i l i p M P r r i s ... 1190 ( ) 3 ) L i g g e t t ... 1195 ( 4 r L o ( i l l a r d ... 1195 ) . BA rown & Wil (5) . . . . . . TCo and B . . . . . . . . . 1198 liamson ( 6 ) R J R e y n o l d s ... 1202 u 8 . C o n c l . s i o n s ... 1207 8 G . D e f e n d a n t s H a v e P u b l i c l y D e n i e d W h a t T h e y In t e r n a l l y . Acknowle ed: that ETS I s Hazardous to Nonsmoker s . . . . . . dg . . . . . . . . . . 1210 ... 1210 1 . I n t r o d u c t i o n xx- -

22 2. Th se ns us of the Pub lic He a lth Com mun ity I s th a t e Con . . . . . . . . . . . . . . . . . . . . . . . . in Nonsmokers . 1211 ETS Causes Disease . . velopment of the Consensus . . . The De . . . . . . . . . . . . . . . 1215 a. . . h e C o n s T n s u s ... 1230 b e I nte rn a lly , D e fe nd a nts Re c og nize d th a t E TS I s H a zar do us 3. o t n s m o k e r s ... 1239 N o ch at Philip Morris's I für B iologische ETS Resear nstitut a. r s c h u n g ( I F B I F O ) ... 1240 o N Def endants' Recog nition of the Validity of the b. i r a y a m a S t u d y ... 1253 H rc . r I nte rn a l Re se a he h a nd Sta te me nts Ot c ling De fenda nts' K nowledg e of the Hea lth Revea e i k s o f P a s s i v s S m o k i n g ... 1255 R s . I n t er n al l y , De fe n d an t s E x p re s n ed C o n ce rn t h at t h e M o u 4 t i n g Evidence on ETS Posed a Gra at to Their I ndustry . . . . . . . . . 1259 ve Thre Sup De a nts Ma de Pub lic Pr omi se s to nd po rt I nd e pe nd e nt 5. fe se a rc h o n th e L ink B e tw e n E TS a nd Di se a se . . . . . . Re . . . . . . . . . . 1264 . 6. endants Unde rtook J oint Efforts to Under mine Def tha nd sc re dit the Sc ie nti fi c Con a ns us Di t E TS C a us e s D ise a se . . . . 1266 se a. Def endants Ac ted Throug h a Web of Coordinate d and I nterre nterna tional and Domestic Or g anizations . . . 1266 lated I S ) 75 -1 98 0: T he To ba c c (1 ns tit ute ET 19 o I A v i s o r y d r o u p ... 1266 G (2) 1977-1991: " Oper ation Be rkshire" . . . . . . . . . . . . . . . 1273 1282 (3) tion Downunder . . . . . . . . . . . . . . . . . . . . 1987: Opera (4) r for I ndoor Air 1988-1999: The Cente R e s e a r 1287 h ( C I A R ) ... c 1294 (a ) CI AR Ap pli e d Pr oje c ts . . . . . . . . . . . . . . . . . . -xxi-

23 (b) Def endants Cultivated CI AR’s . ndepende . . . . . . . . . . . . . . . . . 1301 ent I Appar nce ) T h e D e m i s e o f C I A R ... 1307 ( c ) 5 o s t - 1 9 9 1 : I E M C ... 1308 ( P . l ETS Consul Prog ram . . . . . . . The Globa . . . . 1319 (6) tancy Establishment and Goals of the (a) ancy Prog ram . . . . . . . . . . . . . . . . 1319 ETS Consult ) (b e me nta tio n o f t he ET S I mpl ram: Recr Prog uiting, Consultancy ini ng , a nd Ed uc a tin g Tr Con su lta nts . . . . . 1321 a the c ) T h e In d o o r A i r P o l l u t i o n A d v i s o r y ( A r p ( I A P u G ) ... 1328 o G The Appe nce" nce of "I ndepende (d) . . . . . . . . . 1330 ara (e ) De fe nd a nts ’ U se of Con su lta nts . . . . . . . . . . . . 1333 ( f A R I A a n d I A I ... 1336 ) TS C ) I nd us tr y ' s E e on su lta nts (g Th ithout Disclosure Cited and/or Published W co I ndustry Ties . . . . . of Tobac . . . . . . . . . . . 1340 . ( ) A C V A h H B I ... 1343 / ( 7 ) E T S S y m p o s i a ... 1346 (a) The 1974 B (Ry lander ) ermuda p W k s h o r " ... 1347 " o The Ge neva ( (b) lander ) Confer ence . . . . . . . . . 1349 Ry (c) The Vie nna Confer ence . . . . . . . . . . . . . . . . . . 1353 . (d) o Confere nce . . . . . The 1987 Toky . . . . . . . . 1356 1359 (e ) Th e 19 89 Mc Gi ll " Sy mpo siu m" . . . . . . . . . . . . -xxii-

24 b. Def ed endants a nd Their Paid Consultants Controll S E s e a r c h F i n d i n g s ... 1364 R T e . Spousal St . . . . . . . . . . . . . . . 1364 The 1995 Japanese (1) udy s/SAS Airline Study . . . . . . . (2) . . . . 1372 The 1989 Malmfor . The 1992 HB 585 Building Study . . . . . . . . . . . . . . . 1377 (3) I . The 2003 Enstrom/Kaba . . . . . . . . . . . . . . . . . 1380 (4) t Study De fe nd a nts Ma de F a lse a nd Mis le a din g Pub lic Sta te me nts 7. ing tha Deny s . . . . . . . . . . . . . . . . . 1384 t ETS I s Hazardous to Nonsmoker e fe a nts Con tin ue to O bs c ur nd the F a c t th a t E TS 8. De s H a z a r d o u s t o N o n s m o k e r s ... 1397 i . . sit e s a nd Ot he r P ub lic Sta te me nts . . . . . Web . . . . . . . . . . . . 1397 a The Philip Morris Ex terna l Resear ch b. P r o g r a m ( P M E R P ) ... 1402 c . t h e r I n i t i a t i v e s ... 1405 O i . n c l u s o o n s ... 1406 9 C At Va ri ou s T ime s, De fe nd a nts At te mpt e d to a nd H. d Su pp re ss Di a Con c e a l Sc ie nti fi c Re se a nd h a nd De str oy Do c ume nts Re le va nt rc to Their Public and L itigation Positions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1407 1. Suppression and Concea rch . . . . . . . . . . . . . 1408 lment of Scientific Resea 1409 . . J . a e y n o l d s ... R R b B A T G . o u p ... 1414 r c . P h i l i p M o r r i s ... 1424 l d o r i l L a r d ... 1432 . 2 . D o c u m e n 1432 D e s t r u c t i o n P o l i c i e s ... t 1432 a . B A T G r o u p ... -xxiii-

25 b . J . R e y n o l d s ... 1463 R . lie mpr r u se of At tor ne y -C e nt a nd Wor k Pr od uc t I 3. op i v i l e g e s ... 1464 P r B G T . r o u p ... 1465 a A 1471 R J . R e y . o l d s ... . b n . i g g e L t ... 1472 c t . F i n d i s g s b y O t h e r C o u r t d ... 1473 n 4 C o n c l u s i o n s ... 1477 . . SI ONS AND I MPL I CATI ONS OF SETTL EMENT VI THE PROVI G R E E M E N T S B Y D E F E N D A N T A ... 1478 S A. igg ett’s Settlement Ag ree ment with Various States . . . . . . . L . . . . . . . . . . . 1478 . B . T h e M a s t e r S e t t l e m e n t A g r e e m e n t ... 1481 1 . P r o v i s i o n s o f t h e M S A ... 1481 2 . n f o r c e m e n t o f t h e M S A ... 1486 E . e e v e l o p m e n t s S i n c 3 t h e M S A ... 1492 D . I VI ENDAN TS HAVE VI OL ATED 18 U.S.C. 1962(c) . . . . . . . . . . . . . . . . . . . . . . 1498 DEF A . I n t r o d u c t i o n ... 1498 Sc B fe nd a nts En g a g e d in a De he me to D e fr a ud Smo ke rs . a n d P o t e n t i a l S m o k e r s ... 1501 Ef 1. fe nd a nts F a lse ly De nie d th e Ad ve rs e He a lth De fe c ts g o S m o k i n f ... 1505 2. Def endants F alsely Denied tha t Nicotine and Smoking ... 1508 A r e A d d i c t i v e iv- -xx

26 3. Def alsely Denied tha t They Manipulated Cig are tte endants F A e g n a n d C o m p o s i t i o n s o a s t o i s s u r e N i c o t i n e D e l i v e r y D s evels Which Crea te and Sustain Addiction . . . . . L . . . . . . . . . . . . . . 1512 . 4. endants F alsely Represe nted that L ight a nd L ow Tar Def rettes De ess Nicotine a nd Tar a nd, There fore , Ciga liver L ewe r He alth Risks t han F ull-Flavor Ciga Present F . . . . . . . . . . . 1514 rettes 5. De fe nd a nts F a lse ly De nie d th a t T he y Ma rk e t to Yo uth . . . . . . . . . . . . 1518 . 6. nd a nts F a lse ly De nie d th a t E TS C a us e s D ise a se . . . fe . . . . . . . . . 1522 De 7. endants Suppresse d Documents, I nformation, and Re sear ch Def . . . . 1526 . C. De fe nd a nts Es ta bli sh e d a n E nte rp ri se . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1528 g 1 A p p l i c a b l e L e . a l S t a n d a r d s ... 1528 fe 2. De . nd a nts ’ E nte rp ri se Ha d a Com mon Pur po se . . . . . . . . . . . . . . . 1530 3. The Enter ated throug h both formal and prise oper i n r m a l o r g a n o z a t i o n ... 1532 i f Th e En te rp ri se Ha s F un c tio ne d a s a Con tin uo us Un it . . . . . . . . . . 4. . . 1534 . D. prise Eng ag ed in and I ts Activities Affec ted I nterstate The Enter n c F o r e i g n C o m m e r a e ... 1536 d E. Eac endant Was Associa ted with, but Distinct from, h Def p h E n t t r e r i s e ... 1539 e 1. Ea c h D e fe nd a nt I s A sso c ia te d w ith the En te rp ri se . . . . . . . . . . . . . . . 1539 . 2. h D e fe nd a nt i s D ist inc t f ro m th e En te rp ri se c . . . . . . . . . . . . . . . . . 1542 Ea F . Ea c h D e fe nd a nt P a rt ic ipa te d in the Con du c t of the En te rp ri se . . . . . . . . . . . . 1542 d O G. c h D e fe nd a nt C a rr ie Ea ut I ts Pa rt ic ipa tio n in the Con du c t 1548 . of the En te rp ri se by En g a g ing in a Pa tte rn of Ra c ke te e ri ng Ac tiv ity . . . . . . v- -xx

27 1. The Gove endants Cause d rnment Ha s Proven that Def ance of the Mailings a nd Wire Transmissions, in Further Scheme to De ud, in Violation of 18 U.S.C. § § 1341 fra 3 o a 1 n 4 3 ... 1548 d / r endants’ Routine Mailing Practice s . . . . . . . . . . . . . . . . . . 1552 a. Def 1 ) h i l i p M o r r i s ... 1553 ( P ) i o r 2 l l a r d ... 1553 ( L t ) i g g e L t ... 1553 ( 3 4 ) R . J . R e y n o l d s ... 1554 ( 5 ( h e T o b a c c o I n s t i t u t e... 1554 ) T . cco Re Council For Toba . . . . . . . . . . . sear . . . . . . 1554 (6) ch Prior Stipul ations and Admissions Establish t he b. nd Wire Transmissions Underly ing 79 of Mailings a . Al g e d 1 45 Ra c ke te e ri ng Ac ts . . . . . . . . . . le . . . . . . . . . . 1555 the The Mailing ons Underly nsmissi c. ing s and Wire Tra the Alleg ketee ring Acts Which I nvolve ed Rac De fe nd a nts ’ P re ss R e le a se s a nd Ad ve rt ise me nts Wer e sse min a te d to the Pub lic Vi a Di . nsmissi . . . . . . . . . 1555 the United States Mails and Wire Tra ons Def endants Cause d Wire, Radio, and Tele vision d. a ns mis sio ns Un Tr rl y ing the Ra c ke te e ri ng Ac ts . . . . . . . . . . 1557 de e. T h e M ai l i n gs an d W i re T ra n s m i s s i o n s I n v o l v i n g c Com a tio ns Wer e Se nt o r R e ic e ive d b y De fe nd a nts mun o r t h e i r R e p r e s e n t a t i v e s ... 1558 f. tte Company Def endants Ar e L iable for are The Cig the Mailing s and Wire Tra nsmissi ons Underly ing the Racke teer ing A cts Commit ted B y Def endants CTR and TI . . 1560 2. The F irst Amendment Does N ot Protect Def endants’ F alse 1562 a nd Mis le a din g Pub lic Sta te me nts . . . . . . . . . . . . . . . . . . . . . . . . . . . . -xxvi-

28 a. Noer ton Protects Only Those De fenda nts’ r-Penning of Petitioning the Statements Made in the Course islature; I t Does Not I mmuniz e Statements Made with L eg ing Smoker mokers, nfluenc s, Potential S the Purpose of I d t h e G e n e r a l a u b l i c ... 1563 n P The Gove rnment Ha s Met the Nec essar y Standard of b. ndants' Actions Are Fr audulent . Proof to Show that Defe . . . 1564 . 3. endants Eng ag ed in a Patter n of Racke teer ing A ctivity in Def . thera the Scheme to De fra ud . . . . . Fur . . . . . nce of . . . . . . . . . . . . . 1566 . a. E ac h De fe n d an t C o m m i t t ed at L ea s t T wo R ac k et ee ri n g e Ac L a st O ne of Whic h O c c ur re d Wit hin Te n Y the a rs ts, from the Commission of the Prior Rackete Act . . . ering . . . . 1566 . b. The Rac ketee ring Acts Are Related a nd Continuous . . . . . . . . 1568 . (1) ketee ring Acts Are Related . . . . . The Rac . . . . . . . . . 1568 (2) . The Rac ketee ring Acts Ha ve B een Continuous . . . . . 1570 4. Def ted with the Specific I ntent to Defr aud or D ece ive . . . 1571 endants Ac Def endants Ar iable for the Acts of T heir Of fice rs, a. e L d p o y e e m , a n l A g e n t s ... 1572 E s Def endants Ar e De emed to Possess the Collective b. e ow dg e Kn Th e ir Of fi c e rs , E mpl oy e e s, a nd Ag le nts . . . . . . 1575 of c. ntent May Be Established by the Collective Specific I e of Ea ch De fenda nt and of the Ente rprise Knowledg a s a W h o l e ... 1578 5. Def alse a nd Fr audulent Statements, Repre sentations, endants’ F r n P r o m i s e a W e d e M a t e r i a l ... 1583 s VI I I . DEF ENDAN TS HAVE VI OL ATED 18 U.S.C. §1962(d) . . . . . . . . . . . . . . . . . . . . . 1588 e A A p p l i c a b l e C a s . L a w ... 1588 B. Eac h Def endant I s L iable for the RI CO Conspiracy Charg e 1591 . Be cause Eac h Entere d into the Requisite Conspi ratoria l Ag ree ment . . . . . . - -xxvii

29 C. L hdrew from the Conspirac y . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1597 igg ett Wit AL d) A I S L I AB L E FO R I TS VI OL ATI ONS OF 18 U .S.C. §1962(c) and ( X. . . . . 1599 I TRI S A L KEL I HOOD O F PRESENT AND F UTURE THERE I I X. O L A T I O N S O F R I C V ... 1601 I O . p p l i c a b A e L a w ... 1601 A l T h e E n au er p ri s e’ s S ch em e t o De fr B. d P re s en t s C o n t i n u i n g t Opportunities for De nts to Com mit Violations of fenda d 8 S . C . 1 9 6 2 ( c ) a n . ( d ) ... 1606 1 U The MSA Has N ot Sufficiently Altere d Def endants’ Conduc t to C. ustify Not I mposing Appr opriate Reme dies J . . . . . . . . . . . . . . . . . . . . . . . . . 1609 . D. As to Certain De fenda nts, There is Not a Reasona ble L ikelihood of F uture Violations of 18 U.S.C. § 1962 (c) and (d) . . . . . . . . . . . . . . . . . . . 1613 1 . C T R ... 1613 . 2 T h e T o b a c c o I n s t i t u t e... 1615 3 . i g g e t t ... 1618 L I I E M E D R E S ... 1620 X . L eg al Standards Gove rning Remedies . . . . . . . . . . . . . . . . . A. . . . . . . . . . . . . . 1620 . B S p e c i f i c . e m e d i e s ... 1627 R 1. Prohibiti on of B rand D escr iptors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1627 m 2 o r r e c t i v e C o m C u n i c a t i o n s ... 1631 . 3. Di sc los ur e of Do c ume nts a nd Di sa g g re g a te d M a rk e tin g Da ta . . . . . . 1636 ... a D e p o s i t o r i e s . 1638 i b W e b s . t e s ... 1640 1641 ... c . P r i v i l e g e C l a i m s i- -xxvii

30 . d. g g re g a te d M a rk e tin g Da ta . . . . . sa . . . . . . . . . . . . . . . . . . 1642 Di 4 . G e n e r a l I n j u n c t i v e P r o v i s i o n s ... 1643 . 5. ram . . . . . . . . . . . . National Smoker Cessation Prog . . . . . . . . . . . . . 1644 c 6. Yo uth Smo kin g Re du e tio n T a rg ts . . . . . . . . . . . . . . . . . . . . . . . . . . . 1645 t 7 o r p o r a t e S t r u c C u r a l C h a n g e s ... 1647 . 8 . P u b l i c E d 1650 ca t i o n an d C o u n t er m ar k et i n g C am p ai gn . . . . . . . . . . . . . . u 1651 ... 9 . C o s t s xxix- -

31 I. IN UC TIO N TR OD A. Overview pte mbe r 22, 19 99 , the Un ite d Stat e s bro ug ht thi s mas siv Se la ws uit a g a ins t ni ne c ig a re tte On e rs of cig are ttes and two tobacc o-re lated trade org manufa The Gove rnment alleg ed cture anizations. endants ha n d co ntinue to violate, the Racke teer I nfluenc ed and Corr upt that Def ve violated, a g CO”), 18 U.S.C. §§ 1961-1968, by ing in a l en ag thy , unlawful anizations Act (“RI eng Org to dece ive the Amer ican public a bout the conspirac fec ts of smoking a nd environmenta l y health ef o smoke, the addic health bene fits from low tar, “ tiveness of nicotine, the iga rettes, a nd tobacc light” c sign and composition of cig are ttes in or der to sustain nicotine a ddiction. their manipulation of the de n J s t i ce O’ C o n n o r n o t ed i n Fo o d an d Dr u g Ad m i n i s t ra t i o n , et al . v . Br o wn & W i l l i am s o u T o b ac co As se po tio n, e t a l., 52 9 U .S. 12 0, 12 5 (2 00 0) , “ [t]his c a ra inv olv e s on e of the mos t tr ou bli ng pu bli c Cor ma th p r o b le ms f a c in g o u r N a ti o n to d a y : th e th o u s a n d s o f p r e tu r e heal d e a th s th a t o c c u r e a c h y ear beca use of tobac co use.” pp n p ic ula r, the Go ve rn me nt ha s ar g ue d tha t, f or a rt ro xima te ly fi ft y y e a rs , th e De fe nd a nts I a ve fa lse ly a nd fr a ud ule ntl y ha nie d: ( 1) th at smok ing c a us e s lu ng c a nc e r a nd e mph y se ma (a lso de known as c tive pulmonary disease ( “COPD”)) , as we ll as many other ty pes of c ance r; hronic obstruc r and e (2) l toba cco smoke cause s lung c ance environmenta ndang ers the r espirator y and auditory that sy ste ms o f c hil dr e n; (3 ) tha t nic oti ne is a hig hly a dd ic tiv e dr ug wh ic h th e y ma nip ula te d in or de r t o ht sustain addiction; marke ted and promoted l ow t ar/lig they cig are ttes as l ess har mful when (4) that i n f a c t t h e y w e r e n o t ; ( 5 ) t h a t t h e y i n t e n y- i o n a l l y m a r k e t e d t o yo u n g p e o p l e u n d e r t h e a g e o f t w e n t t and abused the one and de nied doing so; and (6) tha t they conce aled evidence , destroy ed documents, -1-

32 a tto y -c lie nt p ri vil e g e to p re ve nt t he pu bli c fro m kn ow ing a bo ut t he da ng e rs of smo kin g a nd to rn e c ig e ind us tr y fr om a dv e rs e lit ote a tio n r e su lts . pr t th o n o l u m i n o u s wi n d i n gs o f F ac t d em g v n s t ra t e t h at t h er e i s o v er wh elm ing e vidence The follo Fi po rt mos t of the Go ve rn me nt’ s a lle g a tio ns . A s th e Con c lus ion s o f L a w e xpla in i n g re a t de ta il, to sup nment the Gover as es tablished that Def endants (1) have c onspired tog ether to violate the h ve ta ve pr ov isi on s of RI CO , pur su a nt to 18 U.S .C. § 196 2 ( bs , a nd (2 ) h a nti in f a c t vi ola te d th os e su d) nt to 18 U.S.C . Acc ording . § 1962 (c) , the Court is entering a F inal provisions of the statute, pursua ly me nt a nd Re me dia l O rd e r w hic h s e e ks to pr e ve nt a nd re str a in a ny su c h v iol a tio ns of RI CO in Judg . the future s r, the Court is enjoining D ndants from fur th er n particula efe e o f deceptive bra nd I u iptors which implicitly or explicitl y convey to the smoker and pote ntial smoker that they are descr lth than full flavor c iga rettes, including the po p ular de scriptors “low ta r,” less hazardous to hea a h t, ” “ u lt r a li g h t, ” “ mi ld , ” a n d “ n a tu r “lig l. ” T h e Co u r t is a ls o o r d e r in g D e f e n d a n ts to issue e c c t i v e s t a t e m e n t s i n m a j o r n e w s p a p e r s , o n t h e t h r e e l e a d i n g t e l re v i s i o n n e t w o r k s , o n c i g a r e tte or “onser tail display s, reg arding (1) the adve rse he alth eff ects of smoking ; (2) the ts,” and in re om smoking ss of smoking a (3) the addictivene any signific ant hea lth benefit fr nd nicotine; lack of “low tar,” “light,” “ultra light,” “mild,” and “ natura l” cig are ttes; (4) De fenda nts’ manipulation of c ig a re tte de sig n a nd c omp osit ion to e ns ur e op tim um n ic oti ne de liv e ry ; a nd (5 ) t he a dv e rs e he a lth eff x posure to sec ondhand smoke. ects of e F ina lly , th e Cou rt is o rd e ri ng De fe nd a nts to dis c los e the ir dis a g g re g a te d mar ke tin g da ta to he the ve rn me nt i n th e sa me fo rm a nd on the sa me sc Go du le wh ic h th e y no w fo llo w in dis c los ing thi s hly ma te ri a l to the F e de ra l T ra de Com mis sio n. Al l su c h d a ta sh a ll be de e me d “ c on fi de nti a l” a nd “ hig -2-

33 sensitive trade secr ct to the protec tive Orde rs which ha ve long been in plac e et i nformation” subje itigation. in this l Unfortuna , a number of sig nificant re medies propose d by the Gover nment could not be tely sid e re d b y the Cou rt be c a us e of a ru lin g by the Cou rt of Ap pe a ls i n U nit e d St a te s v . Ph ili p c on t op is, US A, I nc. , et a l., 39 6 F .3 d 1 19 6 ( D. C. C ir . 2 00 5) . I n th a ini on , th e Cou rt he ld t ha t, rr Mo use the RI statute allows only forwa rd-looking CO dies to preve nt and re strain violations beca reme t, and does not allow ba ckwa rd-looking reme dies, d is g org ement (i.e ., forf eiture of ill-gotten of the Ac p a s f r o m p a s t c o n d u c t ) i s n o t a n e r m i s s i b l e r e m e d y. i g ing this same le g al standar d, as it is bound to do, thi s Court was also precluded f rom Apply other re medies propose d by the Government, such as a comprehensive smoke r ce ssation considering marke ram to help those a ht the ir habit, a counter fig ting prog ram run by an ddicted to nicotine prog nt entity to combat Def endants’ seductive appeals to marke outh independe t; and a schedule of the y monetary al t i es for failing to meet pre pen oals for r educing the incidenc e of y outh smoking. -set g The seve n-y ear history of this ext raor dinarily complex case involved the e x change of a mil of do c ume nts , th e e ntr y of mor e tha n 1 ,0 00 Or de rs , a nd ns tr ia l wh ic h la ste d a pp ro xima te ly lio nine months with 84 testify ing in ope n witnesses Those statistics, and the mountains of pape r court. a nd mil lio ns of do lla rs of bil la ble la wy e r h ou rs the y re fl e c t, s ho uld no t, h ow e ve r, ob sc ur e wh a t th is case is really t is about an industry , and in par ticular these Def endants, that survive s, and about. I a hig g addictive pr oduct which c auses disea ses t hat lead to a stag profits, from selling ering hly amount aths per number of de , an immeasurable y of human suffe ring and ec onomic loss, and a ear pr of ou nd ts rd e n o n o ur na tio na l he a lth c a re sy ste m. De fe nd a nts ha ve kn ow n ma ny of the se fa c bu th fo r a t le a st 50 y e a rs or mor e . De sp ite tha t know le dg e , th e y ha ve c on sis te ntl y , r e pe a te dly , a nd wi -3-

34 enormous skill and so rnment, and to the acts to the public, to the Gove phistication, denied these f bli c he a lth c omm un ity . M or e ov e r, in o rd e r t o s us ta in t he e c on omi c via bil ity of the ir c omp a nie s, pu ed fe n d an t s h av e d en i ed t h at t h ey m ar k et ed an d ad v er t i s n t h ei r p ro d u ct s t o ch i l d re n u De d er t h e a ge es of of eig y oung people between the ag to eig hteen and twenty -one in order to ensur e an hteen and a de qu a te su pp ly of “ re pla c e ss, nt s mok e rs ,” a s olde r one s fa ll by the wa y sid e thr ou g h d e a th, ill ne me l, or c e ssa tio n o f s mok ing . I n sho rt , De fe nd a nts ha ve ma rk e te d an d s old the ir le tha l pr od uc t w ith zea ia d or the f d r a g e r t u o h it w n a , s s with de c e p ti o n , w it h a s in g le - mi n d e d f o c u s o n th e ir f in a n c e l s u c c human trag osts that success e x acte d. or social c edy , a wor d must be said about the role of lawy ers in this fifty -y ear history of dec eiving Finally and the Americ an public about the hazar ds of smoking a nd second ha nd smokers, potential smokers, tiv ke , a nd the a dd ic e e ne ss o f nic oti ne . At e ve ry sta g e , la wy smo rs pla y e d a n a bs olu te ly c e ntr a l r ole nt s in t he c re a tio n an d pe rp e tua tio n of the En te rp ri se a nd the imp le me nta tio n of its f ra ud ule c he me s. c Th s to a sts nti e ie c d s te dir e y de vis e d a nd c oo rd ina te d b oth na tio na l a nd int e rn a tio na l st ra te g y ; th e y d vetted scie ch they should and should no t u n sear er t ake; they what re ntific rese arc h paper s and ise would be repor ts as well as public re lations materials to ensure t h at the intere sts of the Enterpr m t h e C gra n t s fr o enter protec ted; they identified “f ri en d l y ” s ci en t i fi c w i t n es s es , s u b s i d i z ed t h em wi t h co Tobac for nd often mous fees, a h, paid them enor arc ndoor Air Rese or I the Center f and ch Resear tionship between those witnesse rried out ca hid the rela d n devised a ; and they s and the industry ssertio hind baseless a attorney document destruc client e h t f o s n tion policies and took shelter be 2 e. privileg 2 t would appea r this situation continues eve n to the prese nt. For e x ample, in this very I as so int r g ny ormer long litigation, a f overnme nt lawy er w ree en t on repre senting a compa -time ca (continued...) -4-

35 of an honor What an d disquieting c hapter in the history ad able a nd often c ourag eous s a ssion. profe P relim inary Guidance for the Reader B. that decide ever y case walks i n the cour thouse door, eve n when it pre sents the Courts must ide d o f j ur isp ru de nti a l, pub lic po lic y , ev e nti a ry , an d c a se ma na g e me nt p ro ble ms i nh kin re nt i n th is arne litigation. Fr lawsuit was filed, it has g this red muc h media attention. Rec og nizi ng om the day this, the Court hopes to assist t he intrepid rea der with he r task by explaining ce rtain principles a nd proce dures that it has followe d. o F ir st a nd fo re mos t, t he Cou rt ha s d e c ide d th a t, as fa c t f ind e r, its ob lig a tio n is to p re se nt t i i h w s t c a f t n a v e l e r e t l l a h y a b n e v o r p n e e b e v a h h c t h e a p p e l l a t e c o u r t s , t h e p a r t c e s , a n d t h e p u b l i preponde n ce of this massive body of evide nce c onsisting of testimony (including written direc t ra e xami na tio n, in- c ou rt c ro ss e xami na tio n, a nd re -d ir e c t e xami na tio n o f w itn e sse s in thi s tr ia l, a s w e ll as deposition and trial testimony nd thousands of exhibit lated ca ses), a s. By virtue of witnesses in re proce appellate of this courts will have before dure, the them all the factual dete rminations they need to decide the numerous leg al issues which will unquestionably be ra ised. e Ce ta in c o n s e q u e n c e s f lo w f r o m t h e d e c is io n to p r r s e n t t h e mo s t c o mp le te f a c tu a l p icture occa possible. Even thoug s unusually long and detailed, on h this Opinion i sion, there are very few pa g e to t he re a de r. I n th os e ins ta nc e s, imp or ta d o nt iss ue s a nd qu e sti n on s le a p of f the fa c ts p re se nte t ar it should be understood that the p nd the Court has stated nce a r evide nted no furthe prese es i 2 (...continued) ration to the ned with the De fenda nts that he g rossly alig misrepre sented in his pleading s and decla participa tion as g Court the deg ree and substance ted litigation nt counsel in rela overnme of arlier his e q i ood and Dr ug Administration. As a result, he w as di s involving the F u al fi ed fr om repre senting ATAS. See Or nor B Def endant- I nterve der #915. -5-

36 wh a ind ing s c a n b e a pp ro pr ia te ly ma de on wh a te ve r e vid e nc e do e s e xist; t he re c or d mu st te ver F in in t re a s to t he un a ns we re d q ue sti on s a nd the g a ps ma he e vid e nc e . O n o the r o c c a sio ns , s ome re ba on du l fa c tua l fin din g s ma y a pp e a r u nc le a r o r i nc a sis te nt w ith oth e r f a c tua l f ind ing s. I n th os e ind ivi lusion to that Section will contain the Court’s f inal Finding s, and its rea sons for instances, the Conc a re g the m. c hin c on in a n e ff or t to ma ke the su bs ta nc e of the Op ini on c s a c d, e ssi ble a s poss ibl e , a lmo st Se a y Finding s of Fa Section of the Opinion in both the lusions of L aw c ontains an ever ct and the Conc ntroduction that provides a n overvie w of the subjec t matter to be c o v ered and a Conclusion that I h r e s w h a t h a s b e e n f o u n d in th a t S e c ti o n ; t iz e e xte n s iv e d e ta il e d F in d in g s b e tw e e n the summa a ntr od uc tio n a nd the Con c lus ion pr ov ide the fa c tua l “ me bet t” I ween the tw o. I n a fe w i ns ta nc e s, u S t i o n s a r e s o b r i e f o r s o s e l f - e v i d e n t t h a t n o In t r o d u c t i o n o r C o n c l c s i o n w a s n e c e s s a r y. F i n a l l y, e Appendix I lossary of fr eq u en t l y u s ed ter ms and conc epts; Appendix I contains a G contains the I rele eon Ge nera ls’ Reports and their ma jor finding s; and Appendix I vant Surg I contains al l the I Ra c ke te e ri ng Ac ts c ha rg e d b y the Go ve rn me nt. -c Th e ve ry e ff or t has be e n mad e to ma ke e a c h Se c tio n s e lf d, on ta ine d s o th a t it is c omp le te ir and under nd of itself. Thus, a r eade r who is inter ested in only standable in a ticular topic, such a par as y outh marketing , can pic k up that Section, and obtain the infor mation he need s without having to rea d the entire Finding s of Fa ct. Howeve r, it ha s been virtually impossibl e to totally seg reg ate the At times, the historical data, the Finding h Section. nted in eac scientific da ta, and the r eleva nt s prese documentar y materia ls overla p subject m atter area s and therefor e mus t be repea ted in order to ensure e that a Section ca ad and unde rstood by itself. By the sam n be re t o k en , many individuals are to follow the identified numerous times in the text in an effort to make it ea sier for the re ader -6-

37 narr ative ra ving to se arc h throug h many pag es to r e-f amiliarize himself with a per son’s ther than ha De sit thi n e ith e r a Go ve rn me nt a g e nc y or on e of the wi fe nd a nt c or po ra tio ns . po ion th, specific r ecor d citations have be en g iven whene ver possible. Many times an Four id ual Findin g of F a c t is e ith e r a dir e c t qu ote fr om a wi tne ss’ s w ri tte n o r o ra l te indiv mon y or is sti taken dire from a pr oposed finding submitt ed by one of the parties and supported by the re cord ctly evidenc d by a preponde ranc e of the least e. Va st amounts of testimony wer e g iven -- and prove at eminent and r espec ted scientists, g overnme nt officials a nd corpor ate e x ecutives. O nly the by portions of their testimony specific ally cited in the Opinion were aff irmatively cre dited and re lied e re the Court. The Court has made clea r whe n specific evidenc it very fer red to is being on by reje cted or discredited. Fi ft h , p ar t i es s h o u l d u n d er s t an d t h at ev er y E x h i b i t an d P ri o r T es t i m o n y ci t ed i n t h e F i n d i n gs of F act is dee . A forma l Order , acc ompany ing this Op i n i o n , wi l l be med admitted into evidence nd nte d lis tin g tho se hu nd re ds e e rh a ps tho us a re s) of Exhi bit nu mbe rs a nd Pr ior Testimo nie s, (p overr uling a ny objections made the reto. Sixth, se ve ra l ob se rv a tio ns ne e d b e ma de a bo ut w itn e ss b ia s a nd c re dib ili ty . F or the mos t ts were part, e e Fi n d i n gs of F act e x plains why cer tain fac in th found, why ach individual Chapter cer witnesses wer e cr edited, and w tain the testimony of ce rtain witnesses wa s either discr edited hy a s ju st p la in n ot b le lie va ble or , in mos t in sta nc e s, ou tw e ig he d b y oth e r mor e c on vin c ing a nd c re dib e e. evidenc -7-

38 y Mo he wi tne sse s w ho se te sti mony was mos t ve he me ntl y a tta c ke d b f t the De fe nd a nts st o 3 Dr. Jeffre Kessler , Dr. Michael C . Fiore , R. y Wigand, a nd Dr. Cher y l Healton) s Dr. David (such a ts ( e only relied upon for undisputed or rela tively insignifica nt ba ckg round fac ssler as with D r. Ke wer onsider and Dr or testified about reme dies which this Court could not c , on the merits under . Wigand) the Court of Appe als dec ision discussed above ( as in the ca se of Dr . Fiore and Dr . Hea lton). Mu c h o f t he De fe se a nts ’ c ri tic ism s of Go ve rn me nt w itn e sse s f oc us e d o n th e fa c t th a t th e nd est that witnesses had be en long -time, devoted me mbers of “ the public hea lth community .” To sug g se pe d s ha y the e us a c be y mon sti , u ir he nt t the y we re pr e te nti ng ina c c ur a te ble ntruth ful , or u nr e lia he thi e ssi on a l li ve s tr y ing to i mpr ov e the pu bli c of a lth of pr s c ou ntr y is p a te nt ly a bs ur d. I t is , untruthful, and equivalent to ar g uing that all the Def endants’ w itnesses wer e biase d, inacc urate of them had e en working ormous amounts of money arned t majority unreliable beca use the g rea fore and/or c endants a nd other larg e corporations, and there Def wer e so devoted to the onsulting for t of cor porate Americ a that nothing they testified to, even thoug h prese nted under oath in a cour cause of law, should be be lieved. Such simplisti c attac ks on the cre dibilit y of the sophisticated a nd knowledg witnesses who testified in this case are foolish. eable All of this is not to de ny tions there wer e signific ant diffe renc es in the over all qualifica that s and the De fenda nts’ witnesses. There we rnment’s witnesse re. The nment’s Gover of the Gove d as a w witnesses, viewe of nd active in the a dentialed, a d, cre experience ar more re f e, we hol rea ny Def the e wer than , lty endants’. Ma of rea ticular a their par tever nd health, wha smoking a specia s, ear y , over many tensively x rticipated e rnment experts had pa of the Gove n-out nd draw in the long a 3 t h e C o u rt has noted for the re cord on nume rous occ asions, Dr. Ke ssler is not As i r l a t e d e n a n y w a y. -8-

39 proce ss of asce nsus of scientific opinions em b o d ied in eac h Surg eon Ge nera l’s rtaining the conse y g had taug ht a t a well-re ever arde d aca demic instituti on and wr itten numerous one Report. Virtually t viewed a rticular a rea of spec ial rticles in their pa y . Many of the Gove rnment witnesses -re peer n t i n u ed “h an d s o n , ” cl i n i ca l wo rk i n t h ei r f i el d s d es p i t e h ea v y co m m i t m en t s fo r r es ea rc h , wr i t i n g, co hing, a teac rs. nd lecturing to their pee specia nts’ witnesses we well educa ted in their ar eas of lty . I ndeed, fenda re obviously The De occa sions, Defe ndan t s ev as wa prese nted the testimony of an impre ssive s mentioned on many en ever ely did the se witnesses have , rar depth and brea dth of experience Nobel Prize winner. How the rnment witnesses. Ma ny had wor ked only in larg e corporations, and many for only one of the Gove tte tw uc h e mpl oy e rs . M a ny -- a lth ou g h not al l -- ha d w ri o s n r e la tiv e ly fe w p e e r- re vie we d a rt ic le s. or hig ny of the e he st pa id Ma xpe rt s of De fe nd a nts , wh ile we ll c re de nti a le d in the ir pa rt ic ula r fi elds , such as economics, presented re latively ow testimony tailored to the pa rticular pr oblem or issue narr A wer on for purposes of this litiga tion. tained to opine few of De fenda nts’ experts had done they e re no individual resea rch a nd written v i rt u al ly no peer -re viewed a rticles, and a few virtually e wer unfamiliar with the r nt fac ts and/or the major sc ientific literature on the issue about which the y eleva testified. es of ea Whil son -- e x pert or f act wit n e the testimony s -- wa s evalua ted on its own ch per me r it s , th e r e c a n b e n o d e n y in g th a t, a s a g r o u p , th e G o v e r n me n t’ s w it n e s s e s w e r e f a r more re kn le dg e a ble , e xpe ri e nc e d, a nd a c tiv e in t he ir ow sp e c tiv e fi e lds . Finding Finally th a nd detail of the , despite the leng s of Fa ct, the evide ntiary picture must be endants, how viewed in its totality in order to f ully appre ciate how massive the ca se is ag ainst the Def -9-

40 irresponsible their been, and how heedle ss they have been of the publ ic welfare and the actions have 4 ff e ri ng c a us e d b y the c ig a re tte s th e y se ll. su II. P ROCEDURAL HISTORY g Pla int if f, the Un ite d Sta te s of Am e ri t ins a g a 99 19 in it su s thi ht c ou br ) nt" me rn ve Go the (" a 5 over he Def endants" ) to rec lated entities (" alth car e expenditures the Gove rnment eleve o-re n tobacc fe to treat tobac co-r elated illnesses a lleg edly cause d by De has paid or w ndants’ unlawf ul ill pay conduct. The Gover nment also asked this Court to enjoin Def endants from eng ag ing in fraudule nt and other unlawful c onduct and to order De fenda nts to disgorg e the pr ocee ds of their pa st unlawful y. a c t i v i t 4 tt e mpting One c ring whether this li tiga tion was the best vehic le for a annot help wonde their indiffe to hold Defe n citizens. I lth of America e to the hea renc n a e for l countab ndants ac pla me a , n le op pe the p to d b te c le e dy bo he is t , it y c ra moc de y te ld s ou t sh tha ss, re g Con te ly the p u and addr mous economic, public he alth, commerc ial, and socia l ess national issues with such enor ed to dec tions, rather tha the courts ramifica are limit n iding only the par ticular c ase pr esente d which to them in litigation. However, this will cer tainly not be the first, nor the last, time that lit iga nts seek leg to use the courts and exis ting islation to addre ss br oad-sc ale e conomic and soc ial problems which te ly g ra pp le d w ith by ou r e le c te d r e pr e se nta tiv e s. ht b mig e fa r b e tte r a nd mor e a pp ro pr ia 5 nc. The el ev en Defendants we re: Philip Morris, I nc., now Philip Morris USA, I o Co., now Rey nolds America n (" R.J . Rey nolds"), B rown (" Phili p Morris" ), R.J . Rey nolds Tobacc n (" orillard cc o Co., now part of Rey nolds America & Williamson Toba Br own & Wil liamson"), L p igg Tobac co Company (" L orillard" cco Co., an Toba , Americ ett") ), The L c. ("L n I igg ett Grou , now par cco" ed with B rown & W illiamson which is merg t of Rey nolds America n (" Americ an Toba ), os., now Altria (“ ndustries p.l.c. (" .T. I , B.A nd.") t of BA T I , now par BA Phili p Morris C TCo, Altria”) Br cco ( I nvestments) L td. (“ itish American Toba T Co”), The Council for Tobac co Resea rch- - BA I nc. (" CTR"), a nd The Toba cco I nstitut e, I nc. (" TI ") . The latter two entities do not U.S . A. , o-conspira manufa or sell tobacc o products, but ar e alleg ed to be c cture tors in D efe ndants' tortious fe a c tiv iti e s. B AT I tt e g ig t L bu nts a nd ic e l D Al n. tio nd isd jur l a on rs pe of k c la r fo d se mis dis n e be s a . h d the Motion rante n 2003, the Court g ). I endants” Def ense ( ther in common def joined toge the “Joint ATAS”) to inter r n Tobac co Austra lian Service s, L td. (“B ritish America vene f o of B t h e li mited #449. purpose of asser ting a nd protec ting its interests in litigation docume nts. Order -10-

41 I n its original Complaint, the Gover ims ag ainst Defe ndants under thr ee nment made f our cla l Care Rec statutes. first statute, the Medica The overy Act (" MCRA"), 42 U.S.C. §§ 2651- ral fede , p ro vid e s th e Go ve rn me nt wit h a ca us e 26 a c tio n to re c ov e r ce rt a in s pe c if ie d h e a lth c a re c os ts 53 of a y s to tr e a t ind ivi du a ls inj ur e d by a thi rd -p a rt y ’s tor tio us c on du c t (C ou nt 1 ). Th e se c on d s ta tut e it p s of amendme t rr ed is a serie o as the Medic are Secondar y Pay er pr ovisions ("MSP"), 42 nts refe ction to rec 9 , which provide s the Gover nment with a ca use of a y over Me dicar e U.S.C. § 13 5 third-par ty cause d an injury requiring trea tment and a " pri expenditures when a ar y pay er" was m obliga for the tr eatment ( Count 2). The third statute is t ted to pay e R acke teer I nfluenc ed and h Cor r u p t O r g a n iz a ti o n s A c t ( " RI CO " ) , 1 8 U . S. C. § § 1 9 6 1 - 1 9 6 8 ( Co u n ts 3 a n d 4 ) , w h ic h p r o v ide s treble private pa use of a ction to rec over rties with a ca damag es due to injuries they rec eived f rom with a def endant' s unlawful racke teer ing activity and the g overnme nt a ca use of a ction to seek other equitable r emedies to pre unlawful a cts. J oint Defe ndants moved to dismiss t he ca se on vent future d in ll c nts . On Sep te mbe r 2 8, 20 00 , th e Mo tio a a s g ra nte ou pa rt a nd de nie d in pa rt , a nd Cou nts n w 1 and 2 we re dismissed. United States v. Philip Morris, I nc., 116 F .Supp.2d 131 (D.D.C. 2000). Co n ti n u in g it s c a s e o n Co u n ts 3 a n d 4 , th e G o v e r n me n t s o u g h t in ju n c ti v e r e lief and $289 6 ten g efe ndants’ il l -got ement of D ains for w hat it alleg es to be a n unlawful billion in disgorg c on sp ir a c y to d e c e ive the Am e rican p ub lic . T he Go ve rn me nt' s A me nd e d Co mpl a int de sc ri be s a to a four- long conspirac y , dating back de t le ast 1953, to intentionally and willfully dece ive and deca mislead the Amer ican public a bout, inter alia, the harmful nature of t obacc o products, the a ddictive ow t nature nd harmfulne ss of l of nicotine, a ar cig are ttes. Amended Complaint (" Am. Compl.") at to s at th y n e d ¶ 3. Acc o r d in g to th e G o v e r n me n t, th e u n d e r ly in g s tr a te g y D e f e n d a n ts a d o p te d w a 6 See United States' ct at 14. s of Fa Proposed Finding Preliminary -11-

42 smoking c aused disea an d to consistently maintain that whether smoking c aused a ny kind of s e scientific still "ope n question" for which no an consensus exis ted. Am. Compl. at ¶ 34. was disease ur the ra nc e of tha t str a te g y , D e fe nd a nts a lle g e I iss ue d d e c e pti ve pr e ss r e le a se s, pu bli sh e d f a lse n f dly misleading article s, destroy ed and conce documents which indicated that ther e wa s in fact and aled rela tion between smoking and disea se, and a g g ressively targ eted c hildren as p o t en t ial new a cor 7 smokers. Am. Compl. at ¶ 36. for more rties ag ed in intensive discover y g than two y ear s, with the assistance of The pa en c ia l Ma ste r Ric ha rd L e vie ov e rs e e ing dis pu te s and iss Spe g 17 2 Rep or ts a nd Re c omm e nd a tio ns , uin the majority wh ich wer e appe aled to this Court. During discovery , the par ties exchang of ed over 4,000 reque sts for produc tion of documents. Def endant a lone made a vail able to the Gove rnment over 26 million p ages of documents. I n addition, the parties e ach took ove r 1,000 hours of co depos i t i o n s . As d i s v er y p ro gre s s ed an d t ri al l o o m ed , t h e C o u rt h el d re gu l ar l y s ch ed u l ed and, whe n events necessitated it, irreg schedule d status confe renc es and confe renc e calls and over saw the ularly lin c of ma ny sta tus re po rt s a nd pr a e fi ipe s. g n addition, the parties l fi I ed , pursuant to limitations imposed by the Court, 18 summary u nt motions judgme h e C o and countless motions in lim rt g rante d all of the Gove rnment’s ine. T Motions for partial summary judgme nt to dismiss Def endants’ Affir mative Def enses based on: (1) a the asser t t h e F e d e r a l T rade Commi ssion had exclusive authority over D efe ndants’ mar keting tion th a c tiv iti e s ( Or de r # 35 6) to 2) wa ive r, e qu ita ble e sto pp e l, lac hes, un c le a n h a nd s a nd in p a ri de lic ; ( re a iol ht v ug so s die me 8th e d th te (O rd e r # 47 6) ; ( 3) the a sse rt ion tha t th e Go ve rn me nt’ s c la ims a nd 7 lip Morris I lleg These a .Supp.2d nc., 116 F ations in U.S. v. Phi d have been further describe at 136-38. -12-

43 Amendment of the Constit to Clause (O rder #509); (4) the asser tion that ution and the Ex P ost Fac eclude constitutional separa der #510); (5) the s the Gover tion of powers pr nment’s claims (Or I lief soug ht are prohibited by the 10th Amendment of the R CO claims and re tion that the asser ation of powe Constit that Def endants a re not jointly and seve rally liable for ution and by separ rs and dis g or g e me nt o rd e re d b y the Cou rt (O a e r # 53 8) ; a nd (6 ) r e s ju dic a ta , c oll a te ra l e sto pp e l, ny rd ase, a d and satisfa ction, and mootness (Or der #586) . I n addition, t h ccor C o u rt granted the rele e ve rn me nt’ s Mo tio ns fo r p a rt ia l su mma ry jud g me nt t ha t e a c h De fe nd a nt is dis tin c t fr om t he RI CO Go ia nte ri se (i f t he Cou rt we re to de te rm ine tha t the re is a n e nte rp ri se ) a nd tha t a De fe nd a nts ’ l rp bil ity e that RI y does not r equire conspirac Def endant to participate in the opera tion or manag ement CO for a prise (O rder #591). All other summary judgme nt motions of the Gove rnment and the of the Enter facts in disput endants we nied bec ause the exis tence of mater ial re de e re ndere d summary Def nt inappropriate . judgme solution of matters, trial all preliminary Upon re beg an on September 21, 2004. Toge ther, the d parties pre n te d e ig h ty f o u r w it n e s s e s a n d te n s o f th o u s a n d s o f e xh ib it s . T h e tr ia l l a s te e n ine s mon . ths te F br ua ry 4, 20 04 , o ur Cir cuit re nd e re d a de c isi on on On n in e rl oc uto ry a pp e a l f ro m th is a case endants ha d appe aled this . Def ing summar y judgme nt as to the Court’s decision deny Gover n m en t ’s cl ai m for disg org ement under 18 U.S.C. 1964(a). (O rder #550). I n that opinion, a wr t t e n b y Ju d g e D a v i d S e n t e l l e , t h e C o u r t o f A p p e i l s d e t e r m i n e d t h a t d i s g o r g e m e n t is n ot a et al., permissible reme in civil RI CO case s. United States of Amer ica v. Philip Morris USA I nc., dy 396 F.3d 1190 ( D.C. Cir. 2004). As a re sult, because $280 billion i n disgor gem ent was the ir proposed cente rpiec e of its re quested re lief, the Gov ernment moved for lea ve to re formulate the -13-

44 reme dies. The rante d that motion. Af ter the liability phase of the trial conc luded, the par ties Court g re Go llo we d to pu t on e vid e nc e pe rt a ini ng to t he re me die s so ug ht b y the we ve rn me nt. a At the conc lusion of the reme ral e ntities and org anizations moved to interve ne dies trial, seve nterve ssert t ere sts in the proposed relief . The Court in order to a rante d the Motions to I heir int ne g for the f rties: Americ an C ance r Society ollowing pa n Hea rt Association; Americ an L ung ; America Association; Americ ans for Nonsmokers’ Rig hts; National Afric an Amer ican Tobacc o Prevention interest in adva Networ ree Kids Action Fund. The se parties had a clear co-F ncing the k; and Tobac public health and in the r emedies pr oposed in this case. I n a dd iti on , th e Cou rt re c e ive d n ume ro us mot ion s f or le a ve to a pp e a r as a mic us c ur ia e , in support of the United States, f anizations who also wanted to asse rt t h eir views on the rom org appropri at e and ne cessa ry reme dies in this case. The Court gr anted the Motions of the f ollowing tive knowledg states and anizations beca use of their enormous collec org e and e x perie nce in the f ields u o f p g b l i c h e a l t h , s m o k i n , a n d d i s e a s e : A r k a n s a s ; C o n n e c t i c u t ; H a w a i i ; Id a h o ; Io w a ; K e n t u c k y; L ouisiana; Mary husetts; Nevada ; New J er s ey ; New Me x ico; New Y ork; Ohio; land; Massac g eg e; Ver mont; W ashing ton; W isconsin; Oklahoma; Or W y o m i n on; Tennesse ; and the District of Columbi ens’ Commission t o Protect t a.; Citiz e Truth; Reg ents of the Unive rsity of California; h Tobac co Con t rol L eg al Consortium, including 18 additional nonprof it org anizations; Essential acif Action; the City of S an Franc isco; the Asi an P ic I sland Americ an He alth For um; San and County 8 Pr ancisc an-A Fr n Tobac c o F r e e o Afric o je c t; B la ck Ne twork in Children’s Emotional Hea lth. merica t gs n i d n Fi ed s o p ro P age p 0 0 5 , 2 s t i t ed On Au gu s t 8 , 2 0 0 5 , e a c h s i d e s i m u l t an eo u s l y s u b m i 8 of the extent that they To n ve bee and amici ha s intervenor the uments arg all vant, rele are considere d and addr essed. -14-

45 of F ug ust turned into September, the G overnme nt filed its 250 pag e opening Post-trial act. As A b ri ef ; De fe n d an t s fi l ed t h ei r 2 5 0 p age o p p o s i t i o n t o t h e G o v er n m en t ’s b ri ef an d t h ei r 5 0 p age rm o p en i n g b ri ef o n af fi i at v e d ef en s es ; t h e G o v er n m en t fi l ed i t s 1 0 0 p age re p l y b ri ef an d 5 0 p age tiv op sit ion to D e fe nd a nts ’ b ri e f o n a ff ir ma po e de fe ns e s; a nd Defendants f ile d th e ir 20 pa g e re ply e ns fe de e s. br ie f o n a ff ir ma tiv s issu thi of e rs ou c the ng ri du rs de 0 Or d 101 e ha rt Cou e Th ou its nd pu e Som n. tio a s litig du s ar have opine g est piece of civil litigation ever brought. The Court will leave that he lar d that this is t g me nt t o o the rs . jud INDING S OF F ACT F 9 EA CR III TIO N, NA TU RE , A ND OP ER AT ION OF THE E NT ER P RI SE . , and The following Section sets forth in enor mous detail the intricate, inter locking niza ns s, e ov e rl a pp ing we b o f na tio na l a nd int e rn a tio na l or g a nc tio re , c omm itt e e s, a ff ili a tio ns , c on fe nisms, and repositories for ation arc h labora tories, funding mecha rese smoking a nd health inf o rm d, oa wi ng g wh ic h De fe nd a nts e sta bli sh e ls: sta ff e d, a nd fu nd e d in or de r to a c c omp lis h the fo llo e vid e c fi nti ie sc ng vo wi ro g he r t nte ou c id s, sse e lln r i e oth nd r a e nc a s c e us a c ing ok t sm tha e nc a lia a nd fe e t D ins a g a s uit ws la y jur l in a on rs e nts fs if int la f p r o mbe nu ng wi ro , g e n th ts i ic rd ve ity bil ’ p conomic viability uture e e the f and ensur . of the industry 9 ). te rp ri se ” is a sta tut or y te rm c on ta En e us ’s rt Cou e Th ine c 2( 96 § 1 S.C. U. d in 18 “ that Def f i t in these F indings doe s not impl y o endants’ a ctivities meet the statutory definition contained in 18 U.S.C. § 1961(4). Tha t issue will be fully discussed in the Conclusions of L aw. -15-

46 A. e -1 95 3 Ove r vie w–The Ri se in Am e r ic an Sm oki ng and the St at us o f Sci e nt ific P r okin ealth arch on Sm g and H Rese Tobac co u s a g e in N o r th A me r ic a d a te s a 1 f a r b a c k to a t l e a s t t h e 1 6 0 0 s w h en . s ist op he r C olu mbu s ca me to A me ri c a a nd ob se rv e d N a tiv e Am e ri c a ns smo kin g tob a c c o le a ve s. Chr ce t n d o f t h e 1 8 0 0 s , s ci en t i s t s o b s er v ed a no t i e e ab l e r i s e i n t h e i n ci d en ce o f c i gar et t e s m o k i n g, h By ll as a noticea ble rise in the number of ca ses of lung canc er. Same t T T, 9/29/04, 1027: 5-13. as we as Prior to 1900, er was virtually unknown canc a cause of death in the United lung 2. 1935, there wer e an estimated 4000 lung canc er de aths annua lly , and by 1945 that fig ure States. By 2232 at 1986 (US 64057); Brandt W 16-32:1. Annual per D, 31: had almost tripled. VXA1601844- ons u m p t ion of cig are ttes in 1900 was appr ox imately forty -nine; by 1930 that fig ure ha d capita c to 1 ro wn rock 30 0; b y 19 50 , a nn ua l pe r c a pit a c on su mpt ion ha d sky g ete d to ov e r 3 00 0 c ig a re tte s. Br andt WD, 32:2-17; Samet TT, 9/29/04, 1031:13-1033:25. By 1920s, scientists were beg inning to investig ate the r elationship betwee n the 3. the are tte consumption and lung canc er, a nd to focus on the he alth conseque nces concomitant rise in cig f s m o k i n g. Br a n d t W D , 3 2 : 2 - 1 7 . I d o Fo r e x am p l e, as ea rl y as 1 9 2 8 , re s ea rc h er s co n d u ct i n g a . larg ld study associate d heavy e fie smoking with canc er. 2060544267-4274 (US 39010). I n 1931, Fr eder ick L . Hoffma n, a well-known statistician f or the Prudential I nsuranc e C o m p an y , linked smoking with ca . VXA25102 0 2 -0 2 1 9 (US 63597). I n 1938, a population biologist and ncer bio me t r i c i a n f r o m Jo h n s H o p k i n s M e d i c a l S c h o o l , R a y m o n d P e a r l , p u b l i s h e d o n e o f t h e fi rs t d that individuals who signific ses of the he alth impact of smoking a nd conclude ant statistical analy smoked cou l d expect shorter lives. 503285883- 5884 (US 20714). I n the 1930s, che st surg eons with Al ton Os c hn e r a nd Ric ha rd Ov e rh olt pu bli sh e d ob se rv a tio ns tha t the pa tie nts the y saw -16-

47 advanc ed lung re ty pically smokers. 85868807-8823 at 8807 (US 63596). B y the maligna ncies we 1 g 4 0 s an d ear ly 1950s, far more e vidence linking smoking to disease be an to appe ar, end of the 9 rom the g eaking ing f statistical studies of two eminent B ritish statist icians, B radf ord rang round-br niversity ham nder studies a t Washing ton U Wy , to animal Hill and Sir Richard Doll, to the Gra and 10 a rc h s tud ie s p oin tin g to t he c a rc ino g e nic ity of c ig a re tte s. re se The mainstre ture a g an to pay attention to the g rowing scientific litera 4. nd am media be t on rs Dig cientists’ finding s. For example, in 1953 Reade repor est, which wa s at the time one the s popular publications in the country , published a ser ies of ar ticles titled “Cance r by the of the most Carton” whic y ed the scientific finding s of Drs. Wy nder a nd Gra ham. The ma g azine quoted h rela one of th e c o n c lu s io n s th e y r e a c h e d in th e ir A me r ic a n Ca n c e r So c ie ty s tu d y w h ic h h a d b e en 27, 1950 (“JAMA”), na published in the Americ an Medic al Association’s Journal of May mely that ms to be “ ssi ve a nd pr olo ng e d use of tob a c c o, e sp e c ia lly c ig a re tte s, se e e a n impo rt a nt f a c tor in Exc the induction of bronc nic carcinoma.” 03358234-8235 at 8235 (U S 46459). Such mainstream hioge est trig in popular mag ife, a nd Re ad media publicity ’s Dig azines such as Time, L g ere d er understanda ble public conc ern. B randt WD, 48:1-18. 5 . I n sho rt , b y 1 9 5 3 , t h e r e h a d b e e n a v e r y s u b s t a n t i a l r i s e i n t h e a n n u a l p e r c a pit a of dea consumption of cig and the number ttes ths attributable to lung c ance r; scientists were more are and more r; and the d that a rela tionship existed be tween cig are tte smoking a nd lung c ance convince ve de oth ut b . nts me lop pu bli c wa s g ro wi ng inc re a sin g ly a wa re of a nd a nxiou s a bo 10 rea . V, infra tail in Section I ter de All of these studies will be discussed in much g -17-

48 B. Cr ion of t he Ent e r pr ise e at n D g c e mbe r 19 53 , Pa ul M. Ha hn , Pr e sid e nt o f D e fe nd a nt A me ri c a n, se nt t e le I ra ms 6. e the seven other major tobacc o companies a nd one tobac co g rowe rs org anization, to the presidents of to me to counter the and develop an industry response them neg ative publicity g ener ated inviting et r. The te are e s moking a nd lung c ance tt leg rams we re se nt to: Edward A. by the studies linking cig r, President of Def endant Rey nolds; B enjamin F. Fe w, President of Def endant L igg ett; Wi lliam Dar . Halley J nt L orillard; Timothy V. Har tnett, President of De fenda nt B& W; O. , President of De fenda fenda t Phil ip Morris; J oseph F . Cullm an, Jr., President of Be nson McComas, President of De n Parker es; J .B. Hutson, President of Tobac co Associates, I & H J . Whit ney Peterson, President edg nc.; and ed S 508775416-5416 (J D 041939); tates Tobacco Co. of Unit HT0072119-2125 (US 21175), (US 000001-0014 (US 21138); MNAT 00609882-9886 (US 59809). 54357); CTRBYL Exe c uti ve s f ro m e ve ry tob a c c o co mpa ny lis te d ab ov e , with the e xce pti on of L ig g e tt, 7. 14, k City at the Plaza Hote l on Dec ember 1953. The executives discussed (I ) the met in New Yor rt g a tive pu bli c ity fr om t he re c e nt a le ic ne s in the me dia , ( ii) re sp on din g to t he pr ob le m by joi ntl y e ng g ing a pu bli c re la tio ns c ou ns e l, a nd (iii) re mov ing he a lth the me s f ro m a dv e rt isi ng . T he y a lso a igg ision not to attend the me eting beca use " in the course of time the whole thing discussed L ett’s dec uld blo w o ve r. " Th e e xec uti ve s a lso a uth or ize d wo e fi ve me mbe rs of the g ro up wh o h a d th e ir th office in New Y ork to eng ag s rvice s of Hill & Know lton on behalf of the whole committee; e the se to meet wi th Jo h n H il l a t t h e Pl a za H o te l t h e n e xt d a y , D e c e mb e r 1 5 th , to d is c u s s th e n e g a tive e pu c ity pr ob le m; a nd to r e qu e st t ha t H ill & Kn ow lto n, if it a c c bli pte d th e a ssi g nme nt, su bmi t meeting rec to the full committee at a subsequent ommendations as t o how t o proce ed. 680262226- randt WD, 2228 (US 88165); HT0072119-2125 ( US 21175); CTRBYL 000001-0014 (US 21138); B -18-

49 50 :21 1:2 3. I t is c le a r f ro m a ll t he su rr ou nd ing c ir c ums tances th a t r e pr e se nta tiv e s o f H ill & -5 n contac ted about taking to Dece mber 14, 1953. Knowlton had bee on this assignment prior e e a c c o c omp a ny e xec uti ve s d id n ot m e e t, a s th e y ha ve Th g g tob ste d, in a n a ltr uis tic 8. su equests from the scientific community that to r industry fund re sear ch on smoking and response the , they convene d a strate g y meeting of the hig hest company officia ls to formulate a n health. Rather -wide r a) to the public’s g rowing anxiety g ener ated by industry the neg ative publicity about esponse ( to e c tio n of sc ie nti fi c re se a rc h on c ig a re tte s a nd c the nc e r, a nd (b ) dir wh a t th ey accur a te ly a understood to be a t to their corpor ations’ ec onomic future. Whil e it is true that there was major threa commendation “to do good sc , independe nt science ,” B randt TT, 9/27/04, 740:15-17, the a re ience ute s o f t he min e tin g re ve a l th a t: me I t was re commended tha t this [resea rch] g roup underta ke to e nlist t he c oo ra tio n o f t he N ati ona l I ns tit ute s o f H e a lth of the U. S. Pu bli c pe l t S ervice in working out a prog ram of sc ientific investig ation Hea h wh i ch the f acts in the pre sent controve rsy would be throug h ve lop e d. Th is w a s c on sid e re d h de hly a dv isa ble in that it w ou ld ig g ram a n aspec t of in d ep en d en ce ive to the prog ram to a to the prog deg ree not obtainable in any other wa y . (no bate s) (US 88165 at 68026227). 9. At the De c e mbe r 1 4, 19 53 me e tin g , Pa ul H a hn of Am e ri c a n a nd Ti mot hy Ha rt ne tt e of W tol d th e oth e r c omp a ny pr e sid & nts tha t B they had take n definite step s t o remove the hea lth themes from the a dv e rt isi ng pr og ra ms o n Pa ll Ma ll a nd Vi c e ro y . D a rr [of Re y no lds ] made the point that he c co n cur in sponsoring an industry ould not paid adver tising campa ign (if this is t he cour se re commended by the Public Relations C as the he alth theme continued to be ounsel) as long fea tured by ee. one of the companies r epre sented on the c ommitt any -19-

50 J . Whit nited States Tobacc o and Ha rtnett “e x presse d their ag ree ment wi t h Mr. ney Peterson of U standing s in this m nted to dev el o p s o m e under Hill & Knowlton wa with the atter.” r’s view Dar nd a nts tha t fe De is g oin g to s e e k a c omp e tit ive no dv a nta g e by inf erring to i ts ne a than o t h er s . (No c laims that public that its product is less risky or toasting l er s t , or expert selec tion of tobacc o, or extra specia l fi ng th i n th e bu tt, or a ny thi ng e lse , ma ke s a g ive n b ra nd le ss l ike ly to le y cause -Safe -with-L uckies.)” ou-know-w hat. No “Play 1540 (US 87224) (e mphasis in origina l); 680262226-2228 (US 88165); TL T0901532-1540 at 1539- T0900422-0430 at 0423 (U S 8 8 1 6 9 ); T L T 0 9 0 1 5 6 4 -1 5 7 2 at 1 5 6 5 (U S 8 8 1 9 4 ); T L T 0901541-1545 TL (US J H000493-0501 at 0500-0501 (US 21179). 85819); at 1543 (US 87225); 2048375960-5964 At the Dec ember 15, 1953 meeting , the participa nts w ere Paul H ahn o f A m er i can, 10. edg r McComas of Philip Morris, J r. of Be nson & H oseph Cullman, J es, J. W hitney Peterson O. Parke from Hill ed S tates Tobacco, and repr esenta tives of Unit & Knowlton, including J ohn Hill and Be rt we Go ll & Kn ow lto n w a s to ld t ha t th e ind us tr y vie Hi d th e " pr ob le m [po se d b y the sci e nti fi c ss. stud ie s ] a s b e in g e xtr e me ly s e r io u s a n d w o r th y o f d r a s ti c a c ti o n . " JH 0 0 0 5 0 2 - 0 5 0 6 a t 0504 ( US 20191); TL T0901541-1545 at 1543 ( ). Ac co rding to a Hill & Know lton memo dated US 87225 ember d to lations firm was aske Dec 22, 1953, the public re ev ling with the public r g estions for dea d elations problem elop sug onting the industry as a r esult of widely publicized a ssertions by confr a fe w m e dic a l r e se a rc h me n r e g a rd ing the lin k b etw een c ig a re tte smoking a ance r. nd lung c TL T0901552-1552 (U S 88192). 11 . I n a n in te rn a l pl a nn ing me mor a nd ' , Hi ll & Kn ow lto n a sse sse d the ir tob a c c o c lie nts a : problems in the following manner -20-

51 it; Th i s o n l y o n e p r o b l e m - - c o n f i d e n c e , a n d h o w t o e s t a b l i sh e r e bl ssu ra nc e , a nd ho w t o c re a te it - - i n a pe rh a ps lon g int e ri m pu ic a in. n s ie nti fi c do ub ts mu st re ma c An d, mos t im po rt a nt, ho w t o wh e e e mil lio ns of Am e ri c a ns fr om the g uil ty fe a r tha t is g oin g to a ri se fr biologica deep in their h s -- r eg ardle ss of any pooh-poohing l dep t t to mere log very iga rette. N o resor light a c ic eve r -- e time they logic et, whethe r on Madison Ave nue, M ai n cure S t ree t, or in a d panic y cholog . And no mere rec it ist’s office on of ar g uments pro, or psy ati ing of arg uments con, or care ful balanc ing of the two tog ether , ignor g is . That, g entlemen, is the na ture of oing to deal with such fe ar now . e to this office the unexampled challeng H000493-0501 (U S 21408); TL T0901532-1540 at 1534 ( US 87224); Br andt WD, 53:16-54:10. J Ten day s later, on Dec ember 24, 1953, Hill & Knowlton submitt ed a p roposal 12. the tobacc arding ’s o industry reg public rela tions c ampaig n, rec ommending tha t the companies f orm a joi us tr y re se a rc h co mmi tte e tha t wou ld spo ns or ind e pe nd e nt sc ie nti fi c re se a rc h on the he a lth nt ind tion of the rese ects and announce the forma smoking arc h committee nationwide a s news and eff of tisements. Hill & Knowlton also re commended tha t the companies f und objective r esea rch in adver scientists who were nt of the tobac co industry , and that an a dvisory board b e esta blished by independe g roup of distinguished scientists from the fields of medicine, r esea rch a nd educa tion composed of a integ is be “whose y ond question.” 01138856-8864 (JE 20036); TL T0900422-0430 (U S 88169); rity S 8 TL T0901546-15 4 9 ( U S 88194); see also TL 8 1 9 1); TL T0901552 (US 88192). T0901564-1572 (U 13 . I n it s p ro po sa l, H ill & Kn ow lton ex pres se d it s c on c e rn a bo ut t he “ he a lth ” c la ims be ing de in t he De fe nd a nts ' a dv e rt isi ng : ma h ]t is impossible to ove rlook the fac t tha t some o f t [I e indus try ’s adver tising has c ome in for se rious public criticism beca use of emphasis on hea lth aspects of smoking . . . it must be re cog nized that de so of the a dv e rt isi ng ma y hav e c re a te d a me g re e of sk e pti c ism in the public mind wh i ch at the sta rt at lea st could aff ect the tions effort. believability of any public rela -21-

52 I n f t, o ne of the qu e sti on s p os e d b y Hi ll & Kn ow lto n to the De fe nd a nts wa s a c s considere t t h at the companie heir own a dvertising and whether [d] ipa e ive pr a c tic e s h a omp be e n a pr inc tit l f a c tor in cr e a tin g a he a lth c ve o b l e m ? T h e c o m p a n i e s v o l u n t a r i l y a d m i t t e d t h i s t o b e t h e c a se pr befor even question was asked. They have informa l l y t alked e the to d r t e ob le m a nd wi ll t ry he o s ome thi ng a bo ut i t. ov pr T0900422-0430 at 0423 ( US 88169); TL T0901564-1572 at 1565 680262226-2228 (US 88165); TL T0901541-1545 at 1543 ( (US 88194); TL US 87225); 2048375960-5964 (US 85819). ting day cembe r 28, 1953, anothe 14. s later, on De was held at the Plaza Hotel Four r mee attended by Paul Hahn of America n; Edward D arr of Rey nolds; Herber t A. Kent, Chairman and was of B orillard; Ti Har tnett mothy &W; O. Parke r McComas of Philip Morris; J oseph Cullman of of L , nson & H edg es; J .B. H utson, President of Tobac co As s o ci at es I Be nc.; J . Whit ney Peterson of United States Tobac co; and thre from t h e p ublic rela tions firm of Hill & Knowlton, John e people Resear t Goss, and Richard D ttendees a g ree d on T o b ac co I n dustry ow. The a ch Hill, Ber arr ttee (“ RC”) as the of ficial na me of the resea TI ee; chose Paul Hahn a s temporar y Commi rch committ man of the commi ttee; agr eed that the s ear ch shoul d beg in immediately for a qualified dire chair ctor who, tog with the companies' rese arc h direc tors, would rec ommend members f or the re sear ch ether board; a nd acc wed a advisory epted the H ill & Knowlton proposal re g arding the tobacc o nd revie ’s public rela tions c ampaig n. TL T0901411-1414 (U S 88188); 01138856-8864 (JE 20036). industry Th e a tte nd e e s a lso a g re e d o n a mis sio n s ta te me nt f or the ne w o rg a niza tio n w hic h s ta te d th a t it s “purpose s and objec re tives” we o u id a a ssi st re se a rc h int o tob a to a c nd se a nd he a lth , a nd pa rt ic ula rl y c into the alleg ed re lationshi p b et we en the use of toba cco a nd lung the c nc e r, a nd to m a ke a va ila ble to a pu bli c fa c tua l inf or ma tio n on thi s t. su bje c -22-

53 (no bate s) (JD 000294 Hill & Knowlton play ed a major role in cre ating , ref ining, a nd at 70103757). ipa me the str a te g ie s a do pte d b y the pa rt ic ng nts a t th e De c e mbe r m e e tin g s. le nti imp Al tho ug h D e fe nd a nt L ig g e tt d 15 ub se qu e ntl y pa rt ic ipa te in E nte rp rise a c tiv iti e s, . id s igg the December meeting s beca use, at the time, the c ompany believed tha t L ett did not participate in oversy er p roce dure is to ig nore the whole contr p .” JH000502-0506 at 0502 (US 20191); “the pro T0901541-1545 at 1541 ( US 87225). TL Following Hi l l & Knowlt on’s advice , the forma tion and purpose of TI RC was 16. rt nn e d o n Jan ua ry 4, 19 54 , in a fu ll- pa g e a dv e nc ise me nt c a lle d “ A F ra nk Sta te me nt t o Ci g a re tte ou a ke rs ” pu bli sh e d in 44 8 n e ws pa pe rs thr ou g ho ut t he Un ite d St a te s. Al l sp on so ri ng c ig a re tte Smo co industry cture t o b ac entities were clea rly identified. McAllister PD, United rs and other manufa ip Morris, 5/23/02, 112:14-114:13; McAlli s t er WD, 9:10-22; 11309817-9817 (U S States v. Phil S 21418) SX6390001-0400 at 0004 (US 89555); TL T0900465-0465 ; U 20277); 86017454-7454 (U also TL T0900478-0480 (U S 88440); TL T0900481-0483 (U S 88441). (US 88171); see nt was subscribe The F rank Stateme are d to by the followi n g domestic cig 17. tte and tob a c o p ro du c t ma nu fa c tur e rs , o rg a niza tio ns of lea f tob a c c o g ro we rs , a nd tob a c c o w a re ho us e c oci e on s t hat mad e up TI R C : D e f ass nd ant Am eri can b y P aul Hah n, P res id ent ; D efen dan t B&W ati rd Ti by Ha rt ne tt, Pr e sid e nt; De fe nd a nt L or ill a mot by He rb e rt Ke nt, Cha ir ma n; De fe nd a nt P hil ip hy Mo rr is b y O. Pa rk e r M c Com a s, P res ide nt; De fe nd a nt R e y no lds by Ed wa rd A. Da rr , Pr e sid e nt; B B on & He dg e s b y Jose ph Cul lma n, Jr., Pr e sid e nt; ns ri g ht B e lt Wa re ho us e As so c ia tio n b y F .S. e Roy ster, President; Bu rl ey Auction Warehouse Association by Albert Clay , President; Bur ley n Tobac ower s Cooperative A s s o c ia ti o n b y Jo h co Gr Jo n e s , Pr e s id ent; L arus & Br other Company , I nc. al by W.T. Reed, J r., President; Mar y land Tobac co Gr ower s Association by Samuel L inton, Gener -23-

54 Manag er; Stephano B C.S. Stephano, Director of Resear ch; Tobacco Assoc iates, I nc. rothers, I nc. by .B. H by States Tobac co by J . Whit ney Peterson, President. 11309817- United utson, President; and J 21418); HT0072119-2125 (US 21175); CTRBYL 000001- (US 86017454-7454 9817 (US 20277); 0014 (US 21138). Th e F ra nk Sta te me nt s e t f or th t he ind us tr y 18 “ op e n q ue sti on ” po sit ion tha t it wo uld . ’s than forty ear s -- that c iga rette smoking was not a proven cause y canc er; maintain for more of lung are ttes were not injurious to health; and that more re sear ch on smoking and hea lth issues was that cig e de d. I n th e F ra nk Sta te me nt, the pa rt ic ipa tin g c omp a nie s a c c e pte d “ a n in te re st i n p e op le ’s he a lth ne n s a sic re sp on sib ili ty , p a ra mou nt to e ve ry oth e r c on sid e ra tio ba in ou r b us ine ss” a nd ple dg e d “ a id a ac e to the re ch ef fort into all phases of to b sear and assistanc use and he alth.” The companies co promised that they would fulfill the obliga tions they had under taken in the F rank St at ement by funding nt rese arc h throug h TI RC, free f rom any industry influence . 11309817-9817 (US independe S 21418). 20277); 86017454-7454 (U . Th e “ F ra nk Sta te me nt” in i ts e nti re ty sta te d a s f oll ow s: 19 on experiments with ve g m ice ha RECENT REPORTS iven wide to a theory linked are tte s m o k ing is in some wa y publicity that cig r i th l g c a nc e wi n h uma n b e ing s. un Al tho ug h con du c te d b y do c tor s o f p ro fe ssi on a l st a nd ing , th e se experiments are not reg d as conc lusive in the field of c ance r arde arc t any serious medica l rese h. However, we do not believe tha arc h, even thoug h its results are inc onclusive should be rese disreg arde htly dismiss ed. d or lig fee l it is in the public interest to ca ll attention At the same time, we to t he fa c t th a t e min e nt d oc tor s a nd re se a rc h s c ie nti sts ha ve pu bli c ly ic qu sti on e d th e c la ime d s ig nif e a nc e of the se e xpe ri me nts . t: Di sti ng uis he d a uth or iti e s p oin t ou -24-

55 1. t med ic a l re se a rc h of re c e nt y e a rs ind ic a te s ma ny po ssi ble Th a canc er. cause s of lung n no ag ree ment 2. o is g the authorities re g arding there That am t th e c a us e is. wh a s here . no p r o o f th a t c ig a r e tt e That t mo k in g is o n e o f the 3 is a us e s. c That statistics purporting to link cig ar et t e s m o king with the 4. ould apply disease c to any one of ma ny other with equal force . I validity of the statistics ts of modern life ndeed the aspec lve s is qu e sti on e the y nu me ro us sc ie nti sts . mse d b e a c c e p t a n i n t e r e s t i n p e o p l e ’ s h e a l t h a s a b a s i c r e s p o n s i b i l i t y, W mount to every other c onsideration in our business. para We believe the pr oducts we ma ke ar e not injurious to health. s will lw a y s h a ve a nd a lw a y oo c We a pe ra te c los e ly wi th t ho se wh os e task it is to s afe uard the public health. g more than 300 y ear o has g iven solace , rela x ati on, and For s tobacc r during ear s ment to mankind. At one time or anothe enjoy these y prac tically ever y disease of the critics have held it responsible for d . One by g es have been abandone char for lac k human body one these nce. of evide ardle ss of the re cord of the past, the fa ct t Reg at cigar ette smoking h today sus p ec t ed as a cause of dise ase is a ma tter of should even be e to u on c e rn de s. p c peop t are e have asked us wha Many we g oing to do to mee t the l ern a roused by the re cent r eports. He re is the a nswer: public’s conc 1. We a re ple dg ing a id a nd a ssi sta nc e to the re se a rc h e ff or t in to . a se s o f t ob a c c o u se a nd he a lth ha Th is joi nt f ina nc ia l a id ll p will of course be in additi on to what is alrea dy being c on tr ibu te d b y ind ivi du a l c omp a nie s. ta 2 For this pu r p o s e w e a r e e s . b li s h in g a jo in t i n d u s tr y g roup roup will be consisting ini t ially of the unde rsig ned. This g -25-

56 kn ow s TO B AC CO I NDU S TR Y R ESEA RCH n a M CO T E E [“ T I RC ” ]. I T M the g rese arc h activities of e of the Commi ttee will be n char 3. I c i e n t i s t o f u n i m p a a c h a b l e i n t e g r i t y a n d n a t i o n a l r e p u t e . In s e dd iti on the re wi ll b e a n A dv isor y B oa rd of sc ie nti sts a iga disinterested in the c roup of rette industry . A g nce, a sic] from medicine, scie nd distinguished men [ ion w ill be inv ite d to se e e on thi s B oa rd . T he se ducat rv ie nti sts wi ll a dv ise the Com mit te e on its re se a rc h a c tiv iti e s. sc issued bec the people a re ause we believe This statement is being nti tle d to kn ow wh e re we sta nd on thi s mat te r a nd wh a t w e int e nd to e a ut i t. bo do 86017454-7454 (US 21418); TL T0901611-1611 (U S 88196); Bra ndt 11309817-9817 (US 20277); WD, 55:8-21. e . Th ua iss 20 nc e of the “ F ra nk Sta te me nt t o Ci g a re tte Smo ke rs ,” wa s a n e ff e c tiv e pu bli c rela tions step. By promising the public that the i ndustry was absolutely committed to its g ood health, ank Statement allay public’s conce rns about smoking and hea lth, reassure d smokers, and the Fr ed the t h an effec tive rationale for c ontinuing to smoke. B randt WD, 54:20-55:7; provided them wi H000493-0501 (U T0901532-1540 at 1534 ( US 87224). J S 21179), (US 21408); TL TIRC/CTR – Tobacco Ind ustry Rese arch Com m ittee /Council f or Tobacco C. se ar c h- USA Re Wit h the cr 21. RC in J anuar y 1954, the Def endants e stablished a eation of TI so ph ist ic a te d p ub lic re la tio ns ve hic le -- ba se d o n th e pr e mis e of c on du c tin g ind e pe nd e nt s c ie nti fi c i re ea rc h -- t o d en y t h e h ar m s o f s m o k i n g an d re as s u re t h e p u b l s c. T h at es s en t i al s t ra n d o f t h ei r l o n g- veloped a rang g y was de e strate nd implemented in 1953-54, and g uided their activities for more than andt WD, 61:23-62:7. forty y ear s. Br -26-

57 22. I by St anley Ba rnes, Assistant Attorney Gene ral, United n response to an inquiry RC rtment J anuar y 21, 1954, TI ustice on Chairman P aul Hahn se nt a letter to B arne s Depa of J States a stateme nt of the origin , p u rp dated January oposed func tions of 26, 1954, enclosing ose, and pr RC. The and objectives of TI RC as rec orded in the purposes Statement Concerning the Orig in and TI RC were Purpose of TI id a nd a ssi st re se a rc h into tob a c c o use a nd he a lth , an d p a rt ic ula rl y to a ed re lationship between the use of tobac co and lung alleg into the a nc e r, a nd to m a ke a va ila ble to t he pu bli c fa c tua l inf or ma tio n on th is c subject. 0 3 7 5 4 -3761 (J 508775382-5382 (JD 090191); 701 US 21218); D 000294); MTD0030448-0455 ( 064); HT0072119-2125 ( US 21175); TI MN0116378-6384 (U S 21277); 70103755-3761 (JD 043 e T0 90 10 26 -1 03 5 ( US 8 81 81 ); Mc Al lis te r WD , 2 8:1 4- 29 :1 ; Za hn PD, Cip oll on v. TL L ig g e tt, 12/16/86, 51:24-52:6, 53:9-12 at 0005-0007 (US 89555). 23. nt of orig in and purpose w as sig ned in the name of TI RC by Chairman The stateme bit A to the By s ratified a TI RC, and attache d as Paul Hahn, wa E x h i nd adopted by laws of the Tobac co I ndustry Resear ch Committ ee. CW00787817-7842 (US 21420); CTRBYL 000001-0014 ( U S 2 1 1 3 8 ) ; 7 0 1 0 3 7 5 4 - 3 7 6 1 ( JD 0 0 0 2 9 4 ) ; M T D 0 0 3 0 4 4 8 - 0 4 5 5 ( U S 2 1 2 1 8 ) ; 7 0 1 0 3 7 5 5 - 3 7 6 1 ( JD 043064); HT007 1 1 9 -2125 (US 21175), ( US 54357); TI MN0116378-6384 (U S 21277); 2 TL T0 90 10 26 -1 03 5 ( US 8 81 81 ). Al l of the by la ws c ou ld b e a lte re d a nd re pe a le d b y a ma jor ity vo te be of TI te member s, except “Article I . Purposes and Obje ctives” w hich could only RC’s corpora altere d with the unanimous consent of all the cor porate members. CW00787817-7842 at 7817, 7822 S 21138). (US 21420); CTRBYL 000001-0014 at 0001, 0006 (U -27-

58 24. The stateme in a n d p u r p o s e stated tha t TI RC had eng ag ed the public r elations nt of ori g Hill & Knowlton to assist TI RC in effec tuating its purpose . CW 00787817-7842 (US 21420); of firm L 0 0 0 0 0 1 - 0 0 1 4 CTRB U S 2 1 1 3 8 ) ; 7 0 1 0 3 7 5 4 -3761 (JD 000294); MTD0030448-0455 (US 21218); Y ( 9-2125 (US 21175); TI MN0116378-6384 (U S 21277); 70103755-3761 (JD 043064); HT007211 T09 0 1 0 2 6 - 1 0 3 5 ( U S 8 8 1 8 1 ) ; T L T 0 9 0 0 7 2 3 - 0 7 2 8 ( U S 8 8 1 7 9 ) ; s e e a ls o U SX 6 3 9 0 0 0 1 - 0 4 0 0 at TL 0012 (US 89555). te Th e TI RC b y la ws sta te d tha t e a c h c or po ra . me mbe r o f t he TI RC “ sh a ll f ro m ti me 25 serve as the pe rsonal member of the Committee repr esenting such to time appoint an individual to e or po ra te me mbe r” a nd tha t a ma jor ity of the pe rs on a l me mbe rs of TI RC w ou ld s c le c t su c h o ff ic e rs , ag ents, and e ees a s they deeme d nece ssary , including a Chairman to serve f or a te rm of one mploy ssor is electe ear d u n til his succe an d and qualifie d. CW 00787817-7842 (US 21420); y 000001-0014 (US 21138). CTRBYL The fir st office rs selec ted by TI RC members wer e: Paul Hah n of Amer ican a s 26. p ney ra ry Chairman; J . Whit tem Peterson of U nited States Tobacc o as Vice Chairman; J oseph o an of Benson & Hedg t of Hill & Know Trea surer ; and W ilson Thomas (“W.T.”) Hoy Cullm lton es as 7 etar . CW 00 as Secr 8 7 8 1 y - 7 8 4 2 ( US 21420); CTRBYL 000001-0014 (US 21138); 70103754-3761 7 (JD 000294); MTD0030448-0455 (US 2121 8 ); 7 0 1 0 3 7 5 5 -3 7 6 1 (J D 0 4 3 0 6 4 ); HT 0 0 7 2 1 1 9 -2 1 2 5 (US 21175); TI MN0116378-6384 (U T0901026-1035 (U S 88181). S 21277); TL tho . RC b y la ws de sc ri be 27 e me TI d o f f un din g TI RC a s f oll ow s: d th Eac h of the cig are tte manufa cturing corpor ate membe rs has pledg ed to the Commi pay ment befor e or during 1954 a n amount equal ttee for to 1/4 of a cent for eac h one thousand of ta x -paid c iga rettes pr oduced 1 by y i n such compan 9 5 3 as estimated by Har ry M. Woot ten and to the published under the da te of January 15, 1954, and has ple dg ed -28-

59 Com mit for pa y me nt d ur ing 19 54 a n a dd iti on a l a mou nt e qu a l to tee lf of the a mount origina pledg ed. one-ha lly S 21420); CTRBYL 000001-0014 at 0003 (U S 21138). CW 00787817-7842 at 7819 (U 8 . At i t s J an u ar y 2 9 , 1 9 6 4 m ee t i n g, t h e T I R C E x ec u t i v e C o m m i t t ee agr ee d t o ch an ge 2 of the name org anization to the Council for Tobac co Resea rch- U.S.A. (“CTR”) . 93218985-8986 the ry anization by laws we re a mended F ebrua org 1, 1964, to refle ct the name chang e. (US 21116). The tho ug h th e na me c ha ng e d, th e pu rp os e Al ob je c tiv e s, a nd fu nc tio ns of the or g a niza tio n d id n ot. s, Acc ording to the amende d by laws, the purpose s and objec tives of CTR remained the same, i.e. to a id a nd a ssi st r e se a rc h in to t ob a c c o us e a nd he a lth , a nd pa rt ic ula rl y into the alleged relationship betwee n the use of toba nd lung cco a a r a nd to m a ke a va ila ble to t he pu bli c e fa c tua l inf or ma tio n on thi s c nc subject. (U S 2 1 0 682631364-1368 4 ); C W 0 0 7 8 7 8 1 7 -7 8 4 2 at 7831-7835 (US 21420); see also USX6390001- 2 0400 at 0002 (CTR Response to for Admission No. 82). Timothy Har tnett announce d the Request anization name cha ng e in a March 1964 pr ess re lease . 508775085-5088 (US 20815); org HK1865014-5017 ( US 77847). 29. Robert Heimann, Chairman and Chief Ex ecutive Office r of Americ an, commente d upon the TI RC’s name cha e in a Dec ember 6, 1977 letter to A ddison Yeama n, CTR’s Chairman ng the nd e sid a nt a nd fo rm e rl y Pr Ge ne ra l Co un se l of B & W: e [W ]e decided som e y ear s ag o to rena me T.I .R.C. “The Council for co Tobac R es ea rc h ” b ec au s e “ T o b ac co I n d u stry Resear ch Committ ee” sounded too much like industry -direc ted, as d i stinct from independe nt, resea rch. S 87532). 2022200158-0160 at 0160 (U -29-

60 30. I om an unincorpor ated a ssociation to a corpor ation pursuant n 1971, CTR chang ed fr i ork. CTR’s Certifica n co rp o ra t I o n was filed w ith the New Y to the laws of the State of te of of the State of New Y ork on January 8, 1971. The by laws of the ne wly -for med Depa rtment of State ation wer e adopte ting of CTR’s Boar d of Dire ctors on January 13, 1971. corpor d at the first mee D000001-0303 a D 090053); McAllister D 093208); C TRI NC000001-0019 (J N-B CTRMI t 0002 (J WD, 10:7-14. two 31. was divi ded int o incorpora classes of members, Cl ass A and Following tion, CTR as s B. Class A members wer e: (1) de signa ted by the B oard of Direc tors; (2) domestic pe rsons Cl ow o s c ig a re tte s in the Un ite d St a te s; a nd (3 ) m a nu fa c tur e rs of the ir old n b rand of cig a re tte s. wh d Americ cco, B &W, L orillard, Philip Morris, Rey nolds, and an Toba Class A members include co. Class B members were: (1) designa ted by the Board of Direc tors; and (2) United States Tobac rtnership not elig son, corpor ation, association, or pa rship but involved ible for Class A membe a per in the production, manufa cturing cig are ttes. Class B members include d Br ight , and distribution of ia elt e ho us e As so c ia tio n, B ur le y Au c tio n Wa re B us e As so c War tio n, B ur le y To ba c c o G ro we rs , ho I cco, T obacc o Associate mperial Toba , and United States Toba cco. CTRB YL 000031-0049 s (JD 090055); CTR MI N-B D000001-0303 a t 0003 (J D 093208); 512678857-8863 ( US 30046). 32. I e Cook L ittle and W.T. Hoy t invited L igg ett to join TI RC in order n 1963, Clarenc to secure co o pera tion in dealing w ith the 1963 Surge on Gene ral’s A dvisory complete industry Com mit te e . L ig g e tt d e c lin e d th e inv ita tio n b ut, in its re sp on se , a ssu re d it s c oo pe ra tio n: “ [T]he a ims of all of us are the same and the pa th that we [L igg ett] have followed ha s been similar to that of the 142). Commi ttee in may respe cts.” RC6007182-7183 (L I -30-

61 33 . g e tt b e c a me a me mbe r o f C TR i n 1 96 4 a nd re sig ne d in 19 68 , b ut con ti nu e d to ig L deca participa I n its January 1968 resig nation letter, L igg ett’s President te in CTR activities for des. ticipate in defray CTR] cost of [ e will continue to par Special Projec ts sponsored by stated “w ing the vidual tion of h Project on an indi evalua basis.” CTR-TI RC-MI N000238-0244 the Council after eac 0 2 4 1 (U S 3 3 0 2 3 ). L i gget t m ad e c o n t ri b u t i o n s t o C T R ’s S p ec i al P ro j ec t s fu n d fr o m 1 9 6 6 t h ro u gh at iterature 1975 and to CTR’s L Division fr om 1971 throug h 1983. DXA0630917- 1033 at Retrieval a -1 5 ( US 7 59 27 ). L ig g e tt w a s a lso 24 sk e d to 02 tte nd sci ent if ic me e tin g s a t CT R. 10 a WDOJ 9055586-5587 (US 26007) ( Confidential). 044227839-7842 (US 20066); L . Re pr e se nta tiv e s o f L ig g e tt a tte nd e d CTR me e tin g s a t wh ic h CT R Cla ss A me mbe rs , 34 ass B members, CTR offic ers, CTR public rela tions counsel, tobacc o industry attorney s, and CTR Cl f c e r r e pr e se nta tiv e s o ig oth a re tte ma nu fa c tur e rs a nd the To ba c c o I ns tit ute we re pr e se nt. CTRMI N-MOM000001-0015 ( N-MOM000053-0069 ( US 32617). US 21145); CTRMI Co w Al u g h D e f e n d a n t B A T o as not a membe r of TI RC or CTR, communi cation and 35. th t betwee vel smoking a nd health re n high le ch scie ntists at BATCo and scie ntists at contac sear RC /C TR was freq uen t an TI ir ect . BAT Co sci ent is t s, in clu di ng Dav id G. Fel to n, L io nel C. F. d d Bla nd R.E. Thornton, visited TI RC/C TR sever al t ckman, a over the y ear s. TI NY0003106-3116 imes (US 21369); 105408490-8499 (U S 21135); 517002090-2091 (US 66527). 3 6 . F o r e xa mp le , in 1 9 5 8 , t h r e e B r i t i s h s c i e n t i s t s , D . G . I . ( D a v id ) F e lt o n o f B A T Co , W. W. of I Reid of B rber t) Be ntley lia, and H.R. (He mp e rial Tobac co, visited the United States ATCo-Austra fo r f ou r w e e ks a nd me t w ith me mbe rs of TI RC’ s Sc ie nti fi c Advi so ry Board , as w e ll a s w ith RC/C repr t ives of De fenda nts TI esenta TR, America n, L igg ett, and Philip Morris. TI NY0003106- andt WD, 94:8-95:3. 3116 (US 21369); 105408490-8499 (U S 21135), (US 76169); Br -31-

62 3 7 n October 1979, David F elton of B ATC o we n t o n a m o n t h -l o n g "f ac t -f i n d i n g m i s s i on . I Un mbe f l a bo ra tor ie s e ng a g e d in re se nu rc h r e la tin g to smo kin g a nd he a lth " in t he r o ite d St a te s. to a a lton was ac two lawy ers f or most of his vis i ts, either Patrick Sirridg e of Shook, Fe companied by t & B Timothy Finneg dy Meding er. N ear the end of acon or h e t ri p, Fe lton met Har an of Jacob & ecutives a nd employ e es, including Addison Yea man, CTR President; W illiam Gardner , with CTR ex ch cientific D y t, CTR Ex ecutive V ice Pre sident; Robert Hocke tt, CTR Resear tor; W.T. Ho irec CTR S tor; Vincent L isanti, CTR Associate Resear ch Dire ctor; and D avid Stone and Dona ld Ford, Direc mbe rs of CTR ’s sc ie nti fi c sta ff . D isc us sio ns inc lud e d CT R c ontr a c t r e se a rc h, nit ro sa min e s, me his kin a nd str e ss, a nd nic oti ne re se a rc h. Du ri ng g vis it, F e lto n a lso me t wi th To ba c c o I ns tit ute smo i pr e se n t a t i v e s H o r a c e K o r n e g a y , P r e s M d e n t , a n d re a r v i n K a s t e n b a u m , D i r e c t o r o f S t a t i s t i c s. 109879229-9295 (US 34923); 109879296-9308 ( US 86063). Def endants met fr to disc uss issues fac ing the Enterpr ise. Be g inning in 1954 38. equently ember companies met r TR staff. Af ularly with TI RC/C sentatives of m ter and until 1970, repre eg he Enter at CTR’s meeting lly tion, in 1971 and until 1999, t s of CTR’s incorpora prise met annua s, repr meeting tives of the Enter prise discussed a ctivities of C TR which members. At these esenta ed their g oals such as Spec ial Projects, the L iterature Retrieval Division, contract r further rch, esea pu c re la tio ns , th e TI RC/C TR S c ie nti fi c Ad vis or y bli oa rd , an d sci e nti fi c c on fe re nc e s. CTR -T I RC- B MI N00 00 01 -02 52 (J D 09 32 92 ); CTR -T I RC- MI N0 00 03 3- 00 52 (U S 33 00 6) ; CT R- 0 TI - M I N 0 0 0 1 7 4 - 0 1 8 6 ( U S 3 3 0 1 6 ) ; C T R - T I R C - M I N 0 0 RC 2 2 4 - 0 2 3 1 ( U S 3 3 0 2 1 ) ; C T R- 0 TI N00023-0244 (U S 33023); CTR-TI RC- M I N 0 0 RC-MI 2 4 5 - 0 255 (US 33024); 1002608337-8339 (US 85989); MM0010053-0056 (US 85990); CTRMI N-MOM000001-000015 ( US 21145); US 32616); CTRMI N - M O M 0 0 0 0 1 6 - 0 0 34 (US 21170); CTRMI N-MOM000035-0052 ( -32-

63 CTR M N-MOM000070-0087 ( US 32618); I N-MOM000053-0069 (US 32617); CTRMI US 32619); CTRMI R MI N-MOM000090-0104 ( US 32620); C N-MOM000088-0089 ( T 7 0 0 1 0 5 M 0 1 1 0 ( U S 32621); CTRM I N-MOM000129-0142 ( US 32623); N-MO CTRMI - US 32624); CTRMI N-MOM 0 0 CTRMI 1 5 5 - 0 1 6 7 ( U S 32625) ; N-MOM000143-0154 ( 0 N-MOM00 1 6 8 - 0 1 8 1 0 ( U S 3 2626); CTRMI N-MOM000182-0195 ( US 32627); CTRMI N-MOM000210-0221 (US 32629); CTRMI N-MOM000 2 2 2 - 0 2 3 3 ( U S 3 2 630); CTRMI S N-MOM00023 0 2 4 4 ( U - 3 2 6 3 1); CTRMI N-MOM000245-0255 ( US 32632); 4 CTRMI N-MOM000256-0268 (US 32633); CTRMI N-MOM000269 - 0 2 8 0 ( U S 3 2 6 3 4 ); CTRMI 2 N-MOM000281-0 9 4 ( U S 3 2 6 3 5 ) ; CTRMI N-MOM000295-0306 ( US 32636); CTRMI (U R M I N- M OM 0 0 0 3 0 7 -0 3 1 8 C S 3 2 6 3 7 ); CT T R M I N- M OM 0 0 0 3 1 9 -0331 (US 32638); CTRMI N-MOM000332-0334 ( . 32639); 70000261–0274 (US 31078); 7000538 8 -5 4 08 (US Ex (US 31368); TL T0901390-1393 (U T0901400-1410 (U S 31104); CW00800809-0811 S 88186); TL S 21178); TL S 88188). H000395-0400 (U T0901411-1414 (U 88187); J the Enterpr 39. ularly betwee n 1971 and 1998 at CTR’s Members of ise also convened reg rd of Dir ector s meeting s. CTR’s B oard of Direc tors was made up of re Boa ntatives from the prese member c eting s the CTR Boar d of Dire ctors discussed a nd passed r esolutions ompanies. At these me ea arding et, the status of g rants and c reg t re s issues such as CTR’s budg rc h , t h e election of ontrac office rs, pay ment of dues, and amendments to the by laws. I n addition to Boar d members, a ttendees a a e me e tin g s in c lud e d o the r c or po ra te of fi c e s a nd e xec uti ve s f ro m th e tob t th c c o c om pa nie s, co Def g al counse l and public re lations counsel, and r epre sentatives fr o m the Tobac endants’ le D000017-0020 (U I e. CTRMI N-B nstitut S 32572); CTRM I N-B D000021-0025 (U S 32573); S 32575); CTRMI N-B D000 0 2 6 -0 0 2 9 (U S 3 2 5 74); CTRMI N-B D000030-0034 (U -33-

64 CTRMI N-B - 0 0 3 8 ( U S 3 2 5 7 6 ) ; C T RM I N - B D 0 0 0 0 3 9 - 0 0 4 4 ( U S 3 2577); D00003 5 N-B D000045-0049 (U M I N- BD 0 0 0 0 5 0 -0 0 5 4 (US 32579); CTRMI S 32578); CTR D0000 5 -0 0 5 9 (U S N-B 3 2 5 8 0); CTRMI N-B D000060-0109 (U S 32581); CTRMI 5 N- B D 0 0 0 1 1 0 - 0 1 1 5 ( U S 3 2 5 8 2 ) ; CT RM I N - B D 0 0 0 1 1 6 - 0 1 2 1 (US 32583); CTRMI N-B CTRMI 4 ); C T R M I N- BD 0 0 0 1 26-0129 (US 32585); D000122-0125 (U S 3258 0 1 3 5 -0 1 3 5 D0 (US 32586); CTRMI N-B D000136-0140 (U S 32587); CTRMIN-B 0 6 D000141-0144 N-B CTRMI N-B D00014 5 -0 1 4 (US (U S 3 2 5 8 9 ); CTRMI 32588); N-B D000147-0152 (U S 3 2 5 9 0 ); C T R M I N-BD000153-0157 ( US 32591); CTRMI D N-B 1 6 2 ( U S 3 2 5 9 2 ) ; C T RM I N - B D000158-0 0 0 0 1 6 3 - 0 1 6 5 ( U S 3 2 5 9 3); CTRMI D000172-0178 (U N-B N- S 32595); CTRM I CTRMI BD 0 0 0 1 7 9 -0 1 8 2 (U S 32596); CTRMI N-B 0 1 9 1 (U S 3 2 5 9 7 ); CTRMI N-B D000192-0194 (U S 32598); D000187- N-B 0 0 2 0 0 - 0 2 2 9 ( U S 3 2 6 0 0 ) ; CT RM I N - B D 0 CTRMI 0 2 3 0 - 0 2 3 5 D0 ( US 32601); 0 CTRMI D000236-0237 (U S 32602); C T R M I N- BD 0 0 0 2 3 8 -0245 (US 32603); N-B 7 N-BD0 0 2 4 6 -0 2 4 0 (U S 32604); CTRMI N-B D000248-0251 (U S 32605); CTRMI CTRM I N - B D 0 0 0 2 5 2 - 0 2 5 5 ( U S 3 2 6 0 6 ) ; CT RM I N - B D 0 0 0 2 5 6 -0260 (US 32607); CTRMI N-B S 3 2 6 0 8 ); C T R M I N- BD 000263-0267 (US 32609); D000261-0262 (U 2 C M I N- BD 0 0 0 R 6 8 -0 2 70 (US 32610); CTRMI N-B D000271-0275 (U S 32611); T CTRMI N-B D000276-0277 (US 32612); CTRMI N-B D0 0 0 2 7 8 -0 2 8 3 (U S 3 2613); CTRMI D000284-0285 (US 32614); CTRMI N-B D000286-0291 (US 32615); 70000636–0638 N-B (JE 31084); 70000275-0279 (US 31080); 70001297-1298 (US 31095); 70005382-5387 (JE 31103); 70005409-5416 (JE 31106) ; CTRMI N-B D000001-000303 (JD 093208); ARU1130828-0904 (U S ett, 8/17/84, 195:21-196:7. 86773); Korne g ay PD, Cipol lone v. L igg -34-

65 40 . Phi lip Mo rr is C omp a nie s w a s no t a Cla ss A me mbe r o f C TR, Phi lip Mo rr is Whil e ticipat i d and par n meeting s of the CTR Boa rd of Dir ector s from Companies executives attende ed 1992. nsfeld, S These executives included Thomas Ahre to enior Vice P resident a nd Gene ral 1985 h Br and Genera l Counsel; Hug Vice President Cullm an, Vice Chairman Counsel; Murray ing, Senior f t h e B o a r d ; A l e x a n d e r H o l t z m a n , V i c e P r e s i d e n t a n d A s s o c i a t e G e n e r a l C o u n s e l ; J o h n M u r p h y, o am Murra , President, CEO, and Vic e Chairman of the B oard. y President and CEO; and R. Willi M I N- BD 0 0 0 0 0 1 -0 0 0 3 0 3 at 0 1 8 7 , 0 1 9 2 , 0 1 9 5 , 0 2 0 0 , 0 2 3 0 , 0 2 3 6 , 0 2 3 8 , 0 2 4 6, 0248, 0252, 0256, CTR 0261, 0263, 0268 (JD 093208). Pol . L or ra ine nd lic e , CT R Co rp or a te Se c re ta ry a 41 Tr e a su re r f or ov e r t we nty y e a rs , a tte e d CT R B oa rd of Di rector s Me e tin g s a nd CTR An nu a l Me mbe r M e e tin g s, a nd pe rs on a lly nd red those meeting s. Poll ice WD, 6:14-7:22; 7:23-12:12. Although the minutes of prepa minutes of afte r mee ting show participa tion by Altria repr esenta tives, Polli ce e x presse d confusion and meeting ., CTRMI tainty cise c orpora te af filiation of particula r par t i ci p an ts. See, e.g uncer N- about the pre BD (US 32597); CTRMI N-B 000187-0191 (US 32600); CTRMI N-B D000230-0235 D000200-0229 (US 32601); CTRMI N-B D000236-0237 (U S 32602); CTRM I N-B D000238-0245 (US 32603); CTRMI N-B S 32604); CTRM I N-B D000248-0251 (U S 32605); CTRM I N- D000246-0247 (U 000252-0255 N-B 32606); CTRMI N-B D000256-0260 (US 32607); CTRMI BD D000261-0262 (US 2610); N-B (US 32608); CTRMI I N-B D000268-0270 (U S 3 D000263-0267 (U S 32609); CTRM CTRMI N-MOM000222-0233 (US 32630); CTRMI N-MOM000234-0244 (US 32631); CTRMI N- MOM0 0 0 2 4 5 - 0 2 5 5 ( U S 3 2 6 3 2 ) ; C T RM I N - M O M 0 0 0 2 5 6 - 0 2 6 8 ( U S 3 2 6 3 3 ) ; C T RM I N- MOM000269-0280 (US 32634); CTRM I N- MOM000281-0294 (US 32635); CTRMI N- is MO M0 00 29 5-030 6 (U S 32 63 6) ; CT RMI N- MO M0 00 30 7- 03 18 (U S 32 63 7) . H e r t e sti mon y -35-

66 t simply contra ry t o ctly h e docume nts themselves, which we re ne ver dible since it was dire not cre rr ec ted by Polli ce he rself or by former CTR presidents or by outside counsel for CTR who co Polli wed a minutes. Polli ce WD, 6:1-25; the ce TT, 10/04/04, 01526:22-01527:14; nd finalized revie ce T T, 10/04/04, 01528:19-01529:1. Polli Fr om 1954 throug h October 31, 1999, pay ments to CTR’s Genera l Fund fr om 42. 2 e f e n d a n ts to ta le d $ 4 7 3 , 3 6 9 , 5 1 2 . 2 2 ; $ 3 1 , 9 2 8 , 2 3 9 . 2 6 f r o m A me r ic a n ; $6 7 , 6 6 6 , 0 8 0 . 5 D f r o m B & W; $40,747,457.89 o m L orillard; $189,506,678.86 from Philip Morris; $141,890,169.04 from fr nolds; and $721,868.85 from Ligg 1033 at 1017-1023 (U S 75927); Rey ett. DXA0630917- USX6390001-0400 at 0008 (U S 89555). Fr om 1966 throug h October 31, 1990, pay ments t o 43. CTR’s Special Projects fund (discussed a I I (E)( 2), infra ) total ed t Section I $ 1 8 , 270,623.65, which included: $29,665.00 f rom Americ an; $2,571,345.40 from B &W; $144,254.75 from L igg ett; $1,6 3 8 , 4 9 0 . 68 from L orillard; $5,837,923.49 from Phili Morris; and $6,029,255.33 fr om Rey nolds. DXA0630917-1033 a t 1024 p irst Set of I dule C). atories, Sche (US 75927) (CTR Response to F nterrog Fr 44. oug h April 15, 1983, pay ments to CTR’s L iterature Retrieval Division om 1971 thr (discussed at Section I I I (G), infra) totaled $16,870,480.00, which included: $2,214,1 3 5 . 0 0 from ett; $811,840.50 from L Americ om B& W; $606,043.50 from L igg an; $2,681,358.00 fr orillard; $4,813,415.50 from Philip Morris; and $5,743,687.50 from Rey nolds. DXA0630917-1033 a t 1025 dule C). (US 75927) (CTR Response to F irst Set of I nterrog atories, Sche -36-

67 1. Select IRC’s Scientific Advisory Board Mem bers ion and Approval of T tor and S cientific Direc 1954. ting of RC was held on J anuar y The fir 18, TI At this first forma l st formal mee 45. et of $1,200,000 wa s approve d; an agr meeting nt betwee n TI RC and Hill & Knowlton , a budg eeme a a p p r oved; the re sear ch prog s alling f or a Scie ntific Direc tor and a Scientific Advisory Boa rd w ram, c SAB " ) was ap pr ov e d; a L a w C omm itt e e wa s a pp oin te d; a nd the re se a rc h d ir e c tor s o f T I RC (" ompanies we member c ated a s the I ndustry Tec hnical Committ ee ( "I TC") (discussed f urther re de sign f I I ( n ) ( 2 ) , in I r a ) . CTR-TI RC-MI N000001-000252 a t 0001-0004, 0018-0032 (JD 093292); at Sectio F S 86773); TL T0901400-1410 (U S 88187); J H000395-0400 (U S 21178). ARU1130828-0904 (U of The Commi ttee was composed aw Chairman Ge org e Whiteside of Chadbourne , L 46. rophy ; J ohn Vanc e He witt of Conboy , Hewit t , O'Brien & Boa rdman; Parke, Whiteside, Wolf & B land eig Davis, Polk, Wardwe ll, Sunder hton Coleman of & Kiendl; F.R. Wadlinge r of F L oulk, Porter & Wad lin g e r; a nd F re e ma n Da nie ls of Pe rk ins , Da nie ls & Pe rk ins . Th is c omm itt e e dr a ft e d th e TI RC by laws. CTR-TI N000001-000252 a t 0001, 0006, 0021 (JD 093292); CTRMN039046-9106 RC-MI at 9069 (JD 092825). r anuar y 7, 1954, the I TC held an informa 47. at which its mem b e On J s d is c u s s ed l meeting qu a lif ic a tio ns fo r a Sc ie nti fi c Re se a rc h D ir e c tor fo r T I RC a nd e ff or ts t o f ind a nd re ta in a su ita ble Tu sci is t. Th e res earch di rect ors were H .R . Han mer of Am eri can; I rwi n W . ent cker of B&W ; H .B. Parmele of orillard; Robert N. DuPuis of Phili p Morris; Gra nt Clarke of Rey nolds; Hugh Cullman L of B nd Hedg es; Clinton Baber of L arus & Br other; C.S. St ephano of Stephano B rothers; a enson & D 092825); Ward B. B ennett of U nited States Tobacc o. CTRMN0 3 9 0 4 6 -9106 at 9070, 9076 (J -37-

68 TL T0901400-1410 TC000009-0011 (JD 095519); J H000395-0400 (U S (US 88187); CTRMI N-I 21178). C m At the J a n u a r y 7 , 1 9 5 4 me e ti n g , 4 e I T . e mb e r s a g r e e d th a t t h e T I RC Re s ear ch 8 th re c tor sh ou ld b e a medi cal do c tor , r e c og nize d in c a nc e r r e se a rc h, a nd wi th e xpe ri e nc e in Di . The I chemistry RC R es ea rch D irec tor, and a TC nominated persons for the position of TI Direc d TC, heade nt Clar ke, Resear ch by tor for Rey nolds, w as appointed subcommittee of the I Gra ss and scre en the list of nominees. TL T0901400-1410 at 1404 (US 88187); JH000395-0400 to proce at 0399 (US 21178). 49. h 15, 1954 meeting of TI RC, C hairman Paul Ha hn of Amer ican, outlined At the Marc ncounter ed in obtaining a Scientific Research Dire ctor, a nd sug g ested that SAB the difficulties e u em b er s b e a p p o i n t ed b ef o re t h e R es ea rc h Di re c t o r s o t h a t t h ey co h l d t m en as s i s t i n s el ec t i n g a I Resear 9 0 2 0 4 1 -2 0 6 4 at 2043 (US 88360). The ctor. TLT0 TC was direc ted to draw up a ch Dire sug g ested list of names f or the SAB with the assistance of Hill & K nowlton. TI RC appointed a su bc omm i t t e e t o s e l e c t s c i e n t i s t s t o b e i n v i t e d t o b e c o m e m e m b e r s o f S A B . C T R -T I RC- MI N000001-000252 a ) ; T L T 0 9 03093-3094 (US 88363); t 0005-0006 (JD 093292 (US o Response t USX6390001-0400 at 0011-0012 Request for Admission No. 111); 89555) (CTR 0890 (US 86773) (CTR Response to I atory ARU1130828-0904 at 0884- No. 12). nterrog The I 50. l Hill & Knowlton, and the L aw Committe e we re TC, public relations counse a c tiv e ly inv olv e d in se a rc hin g fo r, int e rv ie wi ng , a nd se le c tin g the sc ie nti sts a pp oin te d t o th e fi rs t SAB. TL T0902041-2064 at 2043 (US 88360); TL T0903093-3094 (U S 88363). The I TC scree ned S 21020). the ca ndidates being considere d for membership on the S AB . 681879254-9715 at 9649 (U -38-

69 51. L nt to nine scientists invi ting them to be come membe rs of the SAB , and etters we re se e c p t a n c e s w e r e e v e n t u a l l y o b t a i n e d f r c m s e v e n . T h e i r s p e c i a l i t i e s i n c l u d e d p a t h o l o g y, a o a rm a c olo g y , s ur g e ry , a nd sta tis tic s. Th e tw o sc ie nti sts wh o d id n ot a c c e pt w e re c on ne c te d w ith ph e Na Ca ncer I ns tit ute a nd be lie ve d th a t, a s g ov nal rn me nt e mpl oy e e s, the y sh ou ld n ot, a s a tio the t er o f p olicy , acc ept the invitation. CTR-TI RC-MI N000001-0252 a t 0021 (J D 093292); mat 6 at 9051-9052 (JD 092825); 508775311-5311 (JD 093893); ARU1130828- CTRMN039046-910 0904 (US 86773). . Th e fi rs t me e tin g of the SAB wa s h e ld o n A pr il 2 6, 19 54 . T he SAB me mbe rs c ho se 52 rm t h ei r C h ai C an , as l ar en ce C o o k L i t t l e, a w el l -k n o wn ca n ce r r es ea rc h er an d gen et i ci s t o f h i gh int e ri ty a nd na tio na l r e pu te . A t th e se c on d me e tin g o f th e SAB , L itt le wa s se le c te d a s Sc ie nti fi c g tor on a pa ull-time ve on a f Direc basis. I n November rt-time basis with an assistant who would ser serve tt was chosen a tor. L ittle ntific Direc d as SAB Cha irman 1954, Robert Hocke s Associate Scie s TI RC/C TR Scientific Direc tor from 1954 to from 1954 to 1957 and a ittle PD, L artig ue v. 1971. L Rey 2713:20-21, 2715:4-12, 2721:9-11; L ittle PT, Z nolds, 10/5/60, urski v. Americ an, 6 / 7/67, ag 652:21-653:2, 676:6-18. Fo l lowing L ittle, the Scientific Direc tors wer e Willi am Gar dner (1973-1981) , Sheldon (1981-1987) , J ames Glenn (1988-1990), a nd Har mon McAllister Sommers . CTR-TI RC-MI N000001-0252 a t 0022 (JD 093292); TL T0902041-2064 (U S 88360); (1991-1999) TL T0903105-3108 a t 3 1 0 5 ( U S 8 8 3 6 6 ) ; A RU 1 1 3 0 8 2 8 - 0 9 0 4 ( U S 8 6 7 7 3 ) ; C T RM N 0 0 4 9 2 8 - 4 9 2 9 ( US 85995); 11310050-0053 (JD 090066). cribed the I n a Nove mber 27, 1963 memora ndum, Clarence Cook L 53. t l e d es it ittle wrote: Enterpr ise’s cr iteria for selec ting the SAB members. L -39-

70 I n the selec rd and in the acc eptanc e tion of a Scientific Advisory Boa rl no a tio n b y tha t B oa rd of a Sc ie nti fi c Di re c tor the wa s c le a min y of , it I to pick scientists interested shown that the attitude of the T RC was in and and of the diseases implicated in the orig in the nature broadly possible fac tor, not as a pr oven one. tion of smoking as a evalua 70003601-3602 at 2601 (U S 85993) (emphasis in orig inal). . Cla re nc e Coo k L itt le ’s pe r s o n a l c o m m i t m e n t s a n d a s s u m p t i o n s a b o u t c a n c e r c a u s a lit y 54 g l proponent of the industry t ai n i n oal of main a “c ontroversy ” ra ther than ’s g made him an idea ie nti fi c a lly re so lvi ng the qu e sti on s r e g a rd ing smo kin g a nd he a lth . B ra nd t WD , 8 6:1 0- 18 . L it tle sc his appointment that: “I ss confe e announcing renc am ultrac onserva tive about explained at the pre a us e a nd e ff e c t r e la tio ns hip s. ” CW01 05 48 43 -4 87 9 a t 4877 27 (U S 20 c 8) . Ho we ve r, a t th a t sa me pr e on fe re nc e , L itt le ma de ma ny c la ims a bo ut t he he a lth be ne fi ts o f c ig a re tte us e : ss c t is very rea or example, that tobacc o has rela x ed a g I t well-known, f for a people. I v ery g ood thera py g rea t many nervous many t is a people. 01054843-4879 at 4845 (U S 20278). CW s L tedly 55. red a ttention on the so-call e d “ c o n ittle repea ti tu ti o n a l h y p o thesis”; other cente environmenta l risks; and the nee d for more rese arc h into the basic etiology of the disea ses associa ted with smoking. B randt WD, 86:19-22; McAllister WD, 123:18-22; L urski v. Americ an, ittle PT, Zag believed tha t “the ca canc er w as not known,” 6/7/67, 661:9-663:9, 665:7-666:20. He usation of lung d problem with many fac tors involved, such as nutrition, that it was a c omplicated and unsolve dity , the mental ty pe of the individual, present or former or here ting infec tion, a ir pollution, and exis radia atement of his be liefs beca me tion. This st as the “constitutional hy pothesis.” L ittle PD, known S 21156); artig ue v . Re y n o ld s , 1 0 /5 /6 0 , 2 7 2 9 :1 - 2 7 3 0 :1 5 , 2 7 3 5 :1 1 - 2 7 3 6 :2 ; C T RM N005534-5541 (U L no positive (no bate s) (US 21224); (no bate s) (US 21233); (no ba tes) (U S 21834) . He a rg ued that " -40-

71 t the e e ha s bee n ad va nc e d by a ny bo dy wh o be lie ve s in the tob a c c o g uil nc or y tha t has ma de me e vid e my ittle PD, L artig ue v. Rey nolds, 10/5/60, mind." L Under L ittle’s leader ship, chang 2782:10-16. SAB fu nd e d s tud ie s o n v ita min s, inf lue nza , tw ins , a nd vir us e s, bu t no t on c a rc ino g e nic a g e nts the d ob c c o s mok e be c a us e : “ we be lie ve tha t no su c h a g e nts ha ve be e n fo un a wh ic h a re c a rc ino g e nic in t there ” . at 2755:6-18; “[w]e don't be lieve they are d and a w ill-of-the-w isp hunt for i to men, t hasn' t y et bee n shown is a waste of money , ” i d . at 2761:14-22; “[t] here are no something tha in a rc ino g e nic a g e nts in tob a c c o ta r tha t ha ve be e n pr ov e n to c a us e c a nc e r ma n. c . . . A nd I sa y a g a in that to transfe r fr a mouse to the lung of a man is not scienc e,” id. a t 2762:23-2763:13. om the skin of st 1997 to review, a The SAB from 1954 until at lea ularly pprove, a nd rene w 56. met reg rant a p p li c a ti o n s a n d c o n tr a c ts . T h o s e w h o a tt e g d e d th e SA B me e ti n g s , in a d d it io n to SAB n members, we I TC Chairman, TI RC/C TR st aff members, public r elations counsel f or re the RC/C TR, and (a t times) Defendants' attorney s and scientific g uests. Z ahn PD, Cipollone v. TI L igg ett, 12/16/1986, 106:3-107:1; Zahn PD, Ma ssachuse tts v. P hilip Morris, 5/28/98, 7 8:3-79:5, 80:2-21; Z ahn PD, Richardson v. Philip I N-SAB 000001-1061, Morris, 12/1/1998, 96:10-16; CTRM 60); CTRMI 70011735-1757 (JD 0 9 0 N-SAB 000001-1061 (US 21146); CTRMI N-SAB 000070- 9 0074 ( U S 8 0 3 8 2 ) ; C T RM I N - SA B 0 0 0 3 2 0 - 0 3 2 5 ( U S 8 0 4 2 9 ) ; C T RM I N - SA B 0 0 0 3 2 6 - 0 3 3 0 ( US 80430); CTRMI 000337-0341 (US 80432); CTRM I N-S AB 000342-0350 (US 80433); N-SAB CTRMN004320-43 2 3 ( U S 2 1 148); CTRMN004539-4544 (US 21151); CTRMI N048368-8369 (U S 85996); Z S 64789); SM0120005-0009 (US 65442); 955011516-1520 (US 32362); N7912-7921 (U TL S 87523); S 87521); TL T0903189-3193 (U S 87522); TL T0903145-3148 (U T0903247-3251 (U S 87526); TL T0903132-3135 (U S 87524); TL T0903116-3117 (U S 87525); TL T0903181-3185 (U -41-

72 TL T0903177-3180 (U S 87528); TL T0903208-3211 (U S 88367); S 87527); TL T0903166-3169 (U S 88368); TL TL T0903197-3201 (U T0903202-3207 (U S 88369). ding to a s of had no written re cord. A ccor SAB confide ntial report meeting the Many 57. h on De cember 9, 1981 mee ting of the SAB, the following policy reg arding meeting s was t e ff ir me d: “ re on du c t in fo rm a l ‘ in h ou se ’ c on fe re nc e s o n s pe c if ic su bje c ts ‘ of f the rec or d’ he ld a to c tho ut m inu te s o r p ub lic a tio n, bu t no t to sp on so r o pe n me e tin g s w ith a re su lta nt pub lic a tio n. ” Th is wi to t lic wa s i n ef fe c t a t le a st t e n y e a rs pr ior to t he 19 81 me e tin g a nd c on tin ue d in y he la te 19 90 s. po 6 I - SA B 0 0 0 6 1 1 - 0 N 1 2 ( U S 80480) ; L isanti PD, Ri char dson v. Phil CTRM ip Morris, 12/8/98, 112:16- 21, 114:1-116:18. 58. Contrary to Defe ndants' asser tions that the m ember s of t he SAB wer e disintereste d n fr pa s w ho re c e ive d no mone ta ry c omp e ns a tio ie om t he tob a c c o c omp a nie s o r f ro m T I RC/C TR, rt sixte e n me mbe rs of the SAB (o ut of fo rt y -t hr e e ) we re a wa rd e d ov e r $5 mil lio n in gra nts -i n- a id funding betwee ommers PD, Cipoll one v. L igg ett, 10/2/86, 130:4-131:1, 132:16- n 1954 and 1991. S Phili Morris, 5/23/02, 250:15-253:11; Za hn PD, Cipol lone v. 19; McAllister PD, United States v. p igg ett, 12/18/1986, 388:3-7; L isanti PD, Engle v. Re y nolds, 8/13/97, 111: 23-112:3; McAl L ister l WD, 76:16-18. Def endants, throug h the CTR’s Boa 59. ector s, exercised control over the CTR rd of Dir rese arc h g rant prog ram throu gh o u t i t s ex istence by approving the total amount of funding for the ear g afte r t he first few y ram and, s, by selec ting the CTR Scientific Dir ector s and their staf f. rant prog Z ahn PD, Rich ar d s o n v. Phili p Morris, 12/16/98, 459:13-460:9; McAllist er PD, United States v. Phili p Morris, 5/23/02, 56:5- 57:18; USX6390001- 0400 at 0012 (US 89555); CTRMN003816-3835 Co (U S 21 14 7) . I n f a c t, Hel mu t W akeham of Phi lip Mo rr is c omp la ine d to Da vid F e lto n, a B AT -42-

73 scientist, that finding a Scientific Dire ittle after he resig ned “w as in the hands of ctor to succ eed L ommitt the lawy cco I nstitut e without consultation with CTR or company ee” ers c and the Toba S 63573). scientists. 10315968-5971 (US 26378); (US 26379); (U s o c 2. ti vit ie se f TIR C/ CT R Re ar h Ac TI RC f oc us e d it s e ne rg ie s a nd re so 60 c e s in tw o a re a s - - p ub lic re la tio ns a nd sc ie nti fi c . ur arc d as a sophisticate d public rela tions unit h. First, it serve ndants, espec ially in relation rese for Defe owing public conce rn about the risks of sm oking, by repe atedly attacking scientific studies that to gr harms of c demonstrated the s m o ke and insisting on the notion of an “ope n question” iga rette loped a sc cig arding t e sm oking a nd health. Second, it deve are ientific re sear ch prog ram that reg t c us e d o n b a sic pr oc e sse s o f d ise a se ra the r t ha n e va lua ting t he ris ks a nd ha rm s a sso c ia te d w ith fo the very had pledg ed to pursue thr oug h TI RC. Za hn PD, subject that the industry smoking -- 16-319:1, 319:3, 325:3-12, 3 2 5 :20-328:6, 336:15- Richardson v. Philip Morris, 12/16/98, 318: ndt WD, 57:13-23; 82: 21-83:8, 127:17-19; Sommers PD, C i pollone v. 337:11, 561:21-562:7; Bra 7 ig g e t t , 1 0 / 2 / 8 6 , 0 3 : 1 2 - 1 6 , 7 3 : 2 L - 2 2 , 7 4 : 2 , 7 4 : 8 - 1 5 . F r o m t h e o u t s e t , t h e d u a l f u n c t i o n s o f T I RC ie we e rt wi ne d, wi th t he sc ie nti fi c pro gram of T I RC a lw a y s su bs e rv int nt t o th e g oa ls o f p ub lic re rela ndt WD, 57:8-11. tions. Bra o Def denials of the link betwe en 61. m endants' k ing a nd disease ke pt away many s e xce lle nt r e se a rc he rs . I n a n O c tob e r 1 96 9 me mor a nd um t o Ro ss R. Millh ise r o f P hil ip M or ri s, presse Helmut Wakeham, Vice of Resea rch f or Philip Morris, ex ector d conce rn President and Dir tha t the e f f o r ts o f th e to b a c c o in d u s tr y th r o u g h CT R a n d th e A me r ic an Medica l Association have f ailed to involve the best investig ators. At s the be g inn ing of ou r s up port of smoki ng a nd he a lth re se a rc h, thi -43-

74 failure may cted with our c onsistent denial of the have be en conne i sta i cs and our c ontinued asser tion that there is nothing to the s t t tion hy pothesis. tte causa cig are 1001609594-9595 (US 21437). A y e a r l a te r, W akeh am a gain d is cus sed CT R’ s s tr ate gy of f requ ent 62 publi c de nia ls, . and ember eph Cullman, Chairman of Phi lip Morris and Chairman of in a Dec 1970 memorandum to Jos c c ve Com mit te e of the Exe ba c uti o I ns tit ute : the To t has bee n stated that CTR is a prog ram to find out the “tr uth about I and health.” What is truth to one is f alse to a nother. CTR smoking ndustry and the I equently denied what others find have publicly and fr hich we et’s fa e intere sted i n L i d en ce w ce it. We ar as “truth.” ev nies the alleg ation that cig are tte smoking c auses c ance r. believe de 1000255938-5940 (US 20085). . De fe nd a nts , th ro ug h TI RC /C TR a nd its pu bli c re la tio ns str a te g y , w e re e sp e c ia lly 63 ective in identify skeptics of the link betwe en smoking and disea se. Skeptics ing and supporting eff e invited to join the Scientific Advisory Boa home institut TI RC; they and their wer ions were rd of the pr ov ide d w ith re se a rc h g ra nts fr om t he TI RC. Th e ir vie ws we re e ff e c tiv e ly so lic ite d a nd br oa dc a st widely by RC and the Tobac co I nstitut e. B randt WD, 80:12-18. TI TI TR funded re sear ch through a variety of mec hanisms: gr ants, contra cts, CTR 64. RC/C vices, a nd CTR S pecia l Projects. ARU1130828-0904 (U S 8 6 7 7 3 ). See Sec tion Special Staff Ser isc I (E )( 2) , in fr a fo r d e ta ile d d I us sio n o f C TR S pe c ia l Pr oje c ts. I 65. Virtually none of the rese arc h fund e d b y T I RC /C T R c enter ed on immediate que stions could rela enesis and tobacc o that rcinog resolve the question of the har ms broug ht about by ting to ca c ig a re tte smo kin g . Al tho ug h so me s, TI RC/C TR- fu nd e d re se a rc he rs e xplor e d a lte rn a tiv e hy po the se ddressing TI RC/C TR did not ty pically pursue dire ct resear ch on cig are ttes and disease . Rather than a -44-

75 the constituents in t o ac co smoke a nd their demonstra ted ef fec t on the human body , TI RC/C TR b ted the majority of its res u rc es to alterna tive theories of the orig ins of canc er c enter ing on direc o actor ronmental risks. The en v i enetic f major thrust of TI RC/C TR was to emphasize that g s and ers e complex proc esses, difficult to study canc and difficult to understand, a nd to focus human wer n t h e “ n ee d fo r m o re re s ea rc h . ” B ra n d t W D, 8 2 : 1 0 -1 2 , 8 5 : 1 2 -8 6 : 3 , o 2 0 : 2 0 -1 2 1 : 1 1 . Al t h o u gh 1 rese h funded by the SAB w as irre levant to the immediate que stions associated with tobacc o arc nts kin a nd he a lth , it did “ c re a te the a pp e a ra nc e smo [De fe nd a g ] de vo tin g su bs ta nti a l r e so ur c e s to of the problem without the risk of f unding f urther ‘ contra ry evidenc e.’” Har ris WD, 104:23-105:7. 66 . Tw o o f C TR’ s Sc ie nti fi c Di re c tor s, Ha rm on McAlli ste r a nd She ldo n So mme rs , confirme d that the basic r rch f unded by CTR was n o t i m m ed i ately rele vant to smoking a nd esea llist s that that they funded “basic medical resear ch on the e tiology of disease health. McA er stated en epide lobal [si lly linked to smoking. That’ s our g have be c] -- that’s the w ay we ope rate . miologica enter e sorts of applications we the tain.” McAllister PD, Br oin v. Phil ip Morris, 12/6/93, Those ar 46 :2- 16 . So mme rs sta te d th a t a CTR g ra nt ap pli c a tio n’ s r e le va nc e to c ig a re tte smo kin g a nd he a lth was not the primar y fac tor the S AB used in rating g rant a pplications, but that “[s] cientific me rit was . l or of g of equa e than r el ev an ce rea ” S ommers PD, Cipoll one v. L igg ett, 10/2/86, ter importanc 134:10-22, 135:4-6. Sommers w as an SAB member from 1967 to 1989, SAB Chairman from 1970 to 1980, CTR R rch D irec tor from 1969 to 1972, and CTR S cientific D irec tor from 1981 to 1987. esea Sommers PD, Galbraith v. Rey nolds, 9/4/85, 10:12-25, 22:7-12, 23:22-24:16; Sommers PD, Roger s rica v. Rey 8 5 , 9:11-12, 13:14-18, 14:15-22; Sommers PD, Arch v. Ame nolds, 12/17/ n, 7/14/97, 10:21-24, 11:9-24, 13:9-13, 16:14-21, 95:14-22; S ommers P D, Arch v. Americ an, 7/15/97, 164:18- 22. -45-

76 67. During ek visit to the United States in 1958, the three Br itish scientist s who a four -we tt, ith pr e se nta tiv e s o f T I RC a nd TI RC’ s SAB , a s we ll a s re pr e se nta tiv e s of Am e ri c t w n, L ig g e re me a nd lip Mo rr is, re po rt e d th a t a Phi ett doubted ers stay ed out of TI RC originally beca use they igg L & Mey o C T I R ity ’s motives and believe d that the org anization the sincer f ficiently . They re m ain convince d that was too unwieldy to work ef ir mis g ivi ng s w e re jus tif ie d. I n the ir op ini on TI RC h a s d on e lit tle the any if onstantly reiter ated ' not proven' thing c onstructive, the c nc me in t he fa c e of mou nti ng c on tr a ry te e vid e nts e ha s th or ou g hly sta TI the SAB of TI RC, and supporting a lmost wit hout discredited RC is not rela ted di rec tly to smoking a nd lung exception projects which are er. canc US 21369); 105408490-8499 at 8495 NY0003106-3116 ( S 76169); Bra ndt WD, TI (US 21135), (U 94:8-95:17. . Af ter ano th er vis it t o th e Un ite d St a te s in the fa ll o f 1 96 4, tw o d if fe re nt B ri tis h 68 ie l r nti sts wr ote in t he ir re po rt : “ As we kn ow , CT R su ppor ts o nly fu nd a me nta sc e se a rc h o f l itt le rele vance y problems.” 1003119099- 9135 (US 20152). to present da din . e De fe nd a nts kn e w t ha t T I RC/C TR w 69 s f un Th g re se a rc h c on c e rn ing c a nc e r a s a a g e n e r a l i s s u e , r a t h e r t h a n t h e r e l a t i o n s h i p o f s m o k i n g t o c a n c e r . B r a n d t W D , 1 2 1 : 6 - 1 2 2 : 1 4 . In Pr Janu 19 68 , A dd iso n Y e a ma n, B & W Vi c e ry e sid e nt a nd Ge ne ra l Co un se l, w ro te : a Review of SAB’s curr ent g rants indicates that a very siz able number ts in what might be c of t ar e for projec em alled ‘ba sic rese arc h’ h without specific orientation t o the problem of the re lationship of the use of tobac lth. co to human hea 00552837-2839 at 2837 (U S 22968). 70. I n addition, Defe ch ciated the delay s associate d with th e basic re sear ndants appre ly a pp ro a c h. Jane t B ro wn , o uts ide c ou ns e l f or Am e ri c a n, e xp l a i n e d C T R ’ s s t r a t e g y of un de rt a kin g on -46-

77 nd ba a rc h f un din g , a s o pp os e d to fu nd ing qu e sti on s dir e c tly re la te d to tob a c c o a se he a lth to C y re sic President and Ge l Counsel f or Amer ican, a nd Addison Yea man, Vice President Hetsko, Vice nera l Counsel for B at basic r 1968 meeting . The ra tionale was t h nera esea rch and Ge &W, at a January ument on causa ep al ive the Enter prise’s ope n question arg tion. Yeaman summar ized Brown’ s k t sit ion a s: po maintain First, we nce of a the position that the ex isting evide c tio hip be tw e e n th e us e la tob a ns c o a nd healt h is ina de qu a te to re of rese arc h more c losely rela ted to tobacc o, and justify , that the study Secondly s co nstantly alive the of the disea se keep that, until basic knowledg e of the disease itself is fur ther arg ument ed, it is sc ientifically inappropria te to de vote the major e ffor t advanc to tobacco. 68-262155-2157 ( US 63527). Exe . Ge of fr e y F . T od d, c c uti ve Di re 71 tor of the To ba c c o Re se a rc h Co un c il, a B ri tis h 3) or niza tio n e qu iva le nt t o CT R ( dis c us se d fu rt he r a t Se c tio n I I I (I )( a , inf ra ) ma de se ve ra l vis its to g the United St es , d uring at fenda nts' r epre sentatives, attorne y s, and which time he met with De sc ie nti sts . A ft e r h is 1 97 3 tr ip, To dd wr ote : “ I t w a s d if fi c ult to a vo id the sa d co nc lus ion tha t C. T. R. e in the wor has bec ter of little s ignif icanc ckwa ld of smoking a nd health.” 100226995- 7033 ome a ba (US 21134). 72. Throug hout the exis tence of TI RC/C TR, r epre sentatives of the member c ompanies mber 1971, CTR and their a s were influential in its activities and rese arc h. Be g inning in Nove ttorney staff me t semiannually with repre sentatives of the member companies, usually the re sear ch dire ctors re and g ener al counsel. The all-day meeting s were desig ned to kee p members of the Enterpr ise awa -47-

78 of t he st ch funded by Def endants throug h TI RC/C TR. CTRMI N-MOM000016-0034 atus of resear at 0018, 0022 (US 21170). cher RC/C TR, sought out ce rtain re sear h TI s and/or ar eas of 73. The Ente rprise, throug h and solicited g rant a pplications. Clarenc e Cook L ittle a dmitted that, se eing a line of w ork rese arc TR approa rs and a esea rche RC/C sked them, “A re a ny of y ou willing that showed promise, TI ched r our instituti and y n ey this if we provide y ou with help? ” L ittle PD, L artig ue v. on with mo to try 2721:21-2722:9, 2800:12-25; L isanti PD, Small v. L orillard, 3/31/98, 478:11- nolds, 10/5-6/60, Rey 480:25. Sheldon Somm ers, CTR Scientific Dire ctor, stated tha t CTR freque n t l y initiated 74. a se rc h a nd su g g e ste d p a rt ic ula r r e se a rc h f or wh ic h it wo uld ma ke g ra nts a va ila ble . H e sa id, “ Ye s. re g opportunities and new i d eas and investiga tors in various fields of o out all the time looking for I Sommers PD, Roge rs v. R.J . Rey nolds, 12/17/85, 50: 19-52:15, 52:22-53:2, 53:7-18; biomedicine.” t o m m e r s P D , C i p o l l o n e v . L i g g e / t , 1 0 S 3 / 8 6 , 1 8 1 : 1 5 - 2 3 , 1 8 2 : 1 2 - 1 8 3 : 1 0 ; S o m m e r s P D , S m a l l v . R . J. Rey nolds, 10/8/97, 176: 18-177:11; 85760397-0397 (US 85998). One of the re cided to r esig n from the SAB w as that he w as asons that Paul Kotin de 75. “the g oing out a nd reque sting the submission of g rants, of a pplications for g rants. And disturbed by felt this circumve nted t he orig inal foundation for I t least for my membership in the SAB .” the SAB, a Kotin Fa lise v. America n , 7/6/00, 67:10-69:24. Kotin had served on the TI RC S AB from 1954 PD, an , 7/6/00, 9:9-15. Another r to 1965. Fa lise v. Americ Kotin PD, eason f or Kotin’s re signa tion was re po rt e d b y vis ito rs fr om t he Un ite d K ing do m’ s T ob a c c o Re se a rc h Co un c il i n O c tob e r 1 96 4: The re Annual R eport by Dr. L ittle was sever ely criticised cent [CTR] by r. the U.S. Surg eon Ge nera l at a Washing ton press conf ere nce. D signing Kotin was also hig hl y cr i t i cal of it and talks privately of re -48-

79 from the S.A.B . if port of the sa me nature is going to be other re an ear . y published next 1 2 6 7 8 4 8 4 - 8 4 9 9 ( U S 5 1 6 5 3 ) ; 1 0 0 3 1 1 9 0 9 9 - 9 1 3 5 ( U S 2 0 1 5 2 ) , ( U S 3 5 6 4 9 * ) ; 1 0 5 4 0 7 2 6 1 - 7 3 2 9 ( JE 5 7/6/00, 72:19-73:14; Koti see also Fa lise v. Americ an , PD, n PD, Falise v. A merica n, Kotin 34739); 7/7/00, 190:2-192:17, 197:13-198:2. Simi larly , J ohn Craig head, w ho was a n SA B me mb e r f o r a p p r o xim a te ly one y ear , was 76. head the nature h prog ram. Craig arc resig ned from the SAB in pa rt of the CTR rese also disturbed by use he f elt that the re sear ch did not addre ss the fundame ntal issues re l at ed t o t obacc o and beca use of the involveme beca man into the direc tion of the CTR nt of CTR Chairman Addison Yea rese arc h prog ram. Craig head PD, B utler v. Phili p Morris, 11/13/96, 47:8-17, 84:13-86:3, 87:10-21, 88:6-10, 93:8-17, 107:19-25; Sommers PD, S al l v. R.J . Rey nolds, 10/7/97, 10: 24-11:12, 12:2- m 13:19. 77. S o m mers ac knowledg ed the influe nce a nd control wielde d by CTR Sheldon RC/C rch pr og ram. Al l TR resea T I RC/C TR Presidents were Chairmen and Pre sidents over the TI co compa nies, Sommers PT, Cipollone v. L igg ett, 4/19/88, 8736:7-12, and, until 1991, from tobac ch an d ever y TI RC/C TR Chairman was a retire d tobacc o company executive. McAllister WD, ea 18:15-16. September 1981, Sommers w rote that “new I Chairman Hobbs [from RJR ] i s m o re n int e res ted in b a sic re se a rc h s o r e le va nc e to s mok ing a nd he a lth is n o lo ng e r a c ru c ia l ma tte r i n funding S 85998) ; Sommers PD, Cipollone v. L igg ett, 10/2/86, 136:8-14. Som mers .” 85760397 (U also testified that, af ter Addison Yea man (fr om B &W) beca me CTR P resident a nd CEO, CTR beg an that initiating more c ts be cause Yea man believed ontrac “the prog ram was too dif fuse a nd should be ett, 10/3/86, 297:16-298:2. ‘targ eted.’ ” Sommers PD, Cipoll one v. L igg -49-

80 78. Following anuar y 1975 annual mee ting, the CTR st af f wa s g iven more CTR’s J ute on ve r t he g ra nt a nd c on tr a c t a pp lic a tio n p ro c e ss. Ac c or din g to t he me e tin g min ol o s: c tr n stated that in continued ef fort to bring maxi mum The Chairma the rd pre Boa information to the Scientific Advisory liminary investiga tion is be ing ma de by the Council’s staff. . . . F ollowing by a subcommittee of this, the proposals are then submitted for study oard [SAB]. . . . the B t 0071 (US 32618). CTRMI N-MOM000070-0087 a ubl P ions Activities of TI RC/CTR 3. ic Relat I n Dec ember 1953, Timothy Har tnett, Pre sident of B& W, sum marized the cr isis of 79. ind he tr y in t the fo llo wi ng te rm s: us ut e a nc e r re se a rc h, wh ile c e rt a inl y g e tti ng ou r su pp or t, c a n b B on ly c lf ns n a ha we r. . . . Th e ot her sid e of the c oin is p ub lic a se la ns . . . [w hic h] is ba sic a lly a re lli ng too l a nd the mos t a stu te tio s e l l i n g m a y w e l l b e n e e d e d t o g e t t h e i n d u s t r y o u t o f t h i s h o l e . . . . It isn't e x g era tion that no public relations expert has eve r bee n handed ag . o e a l a n d ye t s o d e l i c a t e a m u l t i - m i l l i o n d o l l a r p r o s l e m r . . . F i n a l l y, b on of th e ro ug he st h ur dle s w hic h mu st b e a nti e ipa te d is ho w t o c handle sig neg ative re sear ch re nificantly y sults, if, as, and when the develop. 1005039779-9783 (US 20190); B randt WD, 55:22-56:11. 80. Fr om the outset, the dual functions of TI RC -- public rela tions a nd scientific r esea rch B& -- we Ernest Pepples, in a n internal twined. W letter dated April 4, 1978, ac knowledg ed: re inter O r ig in a ll y , CT R w a s o r g a n iz e d a s a p u b li c r e la ti o n s e f f o r t. The industry the diseases w hich wer e told the world CTR would look at being associate d with smoking. There was e ven a sug g estion by our political spokesmen that rmful eleme nt turned up the industry if a ha wo uld t. y to r oo t it ou tr S 54024); 682338651-8653 (US 22899). 680212421-2423 at 2422 (U -50-

81 81. One na or TI RC/C TR, the “Tobacc o I ndustry Commi ttee for me initially proposed f pu I ma tio n, ” re fl e cte d it s pu bli c re la tio ns or rp os e . H ow e ve r, John Hi ll o f t he pu bli c lic nf Pub tio ns fi rm Hi re Kn ow lto n e xpre ssed s keptic ism tha t a pu bli c re la tio ns str a te g y tha t si mpl y la ll & ued that the ha are tte smoking we re “unprove n” would succe rms of cig Such a campa ign mig ht arg ed. r self- interested in the fac e of the serious hea lth concer ns being raised. B randt WD, 54:11-19. appea sult, Hill As a re ested that the industry should sponsor new re sear ch and use sug g me rd “ re se a rc h” wo . . . in th e na of the Com mit te e to e sta bli sh [t]he fa c t th a t th e g ro up wi ll c a rr y on or sp on so r f un da me nta l sc ie nti fi c the arc an informa tion ag ency . h and will not be solely rese T0900422-0430 at 0424 ( US 88169); TL T0901541-1545 a t 1 5 4 2 ( U S 8 7 2 2 5 ) ; T L T 0 9 0 1 5 4 6 - 1 5 49 TL (US 88191). 82. A white pape r titled “A Scientific Per spective on the Ciga rette Controversy ” was one y of rst pu bl ic rel ations pr oje c ts u nd e rt a ke n b fi Hi ll & Kn ow lto n o n b e ha lf of its ne w c lie nt, the TI R C . T L T 0 9 0 1 6 8 8 - 1 7 0 7 ( U S 8 8 3 8 6 ) . H i l l & K n o w l t o n / T I R C u n d e r t o o k t h e p r o j e c t b e c a u se nd De a nts fe lt i t ne c e ssa ry a nd ur g e nt fe to present to lea ders of public opinion the f ac t that there was no un a nim ity a mon g sc ie nti sts re g a rd ing the c ha rg e s a g a ins t c ig a re tte s. TL US 88360). The twe nty -pag e booklet consisted of published quotations T0902041-2064 at 2054 ( from s o m e t h re e dozen scientists and re sear cher s who denied tha t there w as any proof that linked smoking a ance r or who questi oned the va lidity of statistical methods and the c onclusions nd lung c 707 (US 88386); n from re cent labor atory experiments with mice. TL T09016 8 8 -1 draw US 88360), (US 88364); CTRMN004924-4927 (US 21152). TL T0902041-2064 at 2054 ( -51-

82 83. 205,000 copies of “ h e Cig are tte Controversy ” we re A Scientific Perspe ctive on t April rele CTRMN004924-4927 (US 21152). The bookle t was sent to 176,800 14, ased on 1954. T0902954-2955 (U to de l and dental c olleg es. TL of medica S 88388). The as ans ell doctors, as w et wi boo h a p ress re lease went to a pr ess distribution of 15,000, including: editors of da ily and k l t kly ne ws pa pe rs , c on su we r m a g a zine s, ve te ra ns ma g a zines , a nd me dic a l a nd de nta l jo ur na ls; e me ndicate ma ers; busines s ed i nag o rs; editorial and sc ience writers; ra dio and television news sy t news columnists; and Members of Congr ess. I d.; CTR-TI RC-MI N000001-0252 a t commentators; T0900159-0161 (U 0006, 0007, 0010 (JD 093292); TL S 87720). n the J une 1954 “Public Relations Report and 84. ec ommendations for Toba cco I R nd us tr y Re se a rc h Co mmi tte e ,” Hi ll & Kn ow lto n d e sc ri be d th e su c c e ss of its pu bli c re la tio ns e ff or ts I r T RC: fo I ttee hea dquarte rs is steadily g aining rec og Commi source of nition as a authoritative infor tobacc o and health. The mation on the subject of mag azine writers, c olumnist s and result is that news and commentators a re turning to t h e Committ ee a nd its publi c re lations counsel for more a mation. nd more infor T0901558-1563 at 1559 ( US 88394); 514806129-6131 (US 20860). TL Har 1, 1954, the day b ec am e the full-time cha irman of TI RC on J uly 85. Timothy tnett e the De ment President of B& W, and continued to advanc as fenda nts' “ open question” afte r his retire sit ion in t ha t r po . I n the pr e ss re le a se g e ne ra te d by Hi ll & Kn ow lto n a nn ou nc ing his a pp oin tme nt, ole Ha rt ne tt r e pe a te d th e tw o co mmi tme nts tha t TI RC h a d ma de in i ts St a te me nt o f P ur po se a nd in i ts ob by ws , i. e ., (1 ) t o c a rr y on “ c omp re he ns ive a nd la je c tiv e sc ie nti fi c a nd sta tis tic a l r e se a rc h to is e sta bli sh the fa c ts, ” a nd (2 ) “ re po rt the m to the pu bli c .” Af te r sta tin g tha t th e “ tob a c c o in du str y -52-

83 de te ed to fi nd the a ns we rs to t he pu bli c ’s qu e sti on s a bo ut s mok ing a nd he a lth ,” Ha rt ne tt rm in continued: t is n o bli g a tio n o f t he To ba c c o I I us tr y Re se a rc h Com mit te e a t th is nd a the remind of [some] essential points: (1) Ther e is no time to public a link be tween smoking a nd canc er; (2) ientific proof of conclusive sc ical re sear ch points to many possible cause M ncer ; . . . (5) ed s of ca h o d erive pleasure and satisfa ction from The millions of people w kin g c a n b e re a ssu re d tha t eve ry sc ie nti fi c me a ns wi ll b e us e d to smo et all the fa g cts as soon as possible. T0901831-1832 (U Br S 88398). andt WD, 56:12-23; TL Wils on Ho y t, w ho wa s in iti a lly a Hi ll & 86 ow lto n e mpl oy e e wi th n o s c ie nti fi c . Kn round wha tsoever, he ld posit i o n s as TI RC/C TR Ex ecutive Sec reta ry , Ex ecutive D irec tor, backg ndt WD, 58:23- ecutive V sident, and President in his three deca des with T I RC/C TR. Bra ice Pre Ex reta n his 1955 administrative repor ts as TI RC Ex ecutive Sec I ry and Hill & K nowlton 59:2. lations and rese t affir med the intertwine d functions of public re ar ch executive, Hoy in TI RC’s pr og m. I n h is A pr il 1 95 5 r e po rt , h e wr ote : ra he se lly , the ma jor pu rp os e s o f t a TI RC a re Re se a rc h a nd Pub lic Es nti la tio ns . O ur job is to mai nta in a ba Re nc e be tw e e n the tw o, a nd to la c tin ue to b uil d s ou nd ly so tha on t a ll t ime s Re sear c h a nd Pub lic t a Re la tio ns c omp le me nt e a c h oth e r. I n th a t w a y we int e nd to a ssu me the mantle of le ader ultimately , to c rea te a condition wher e ship and, oth pu c wi ll l oo k to the TI RC f or a ns we rs the the r t ha n to bli e rs . ra CTR-TI N000033-0052 (U S 33006); Bra ndt WD, 83:9-23. I n RC-MI h is J anuar y 1955 repor t, he wrote, “ Wit hin this framewor k we ha ve furthere d and coor dinated the two major purposes for which la the mit te e wa s o rg a nize d n a me ly , th e pu bli c re Com tio ns ph a se a nd the re se a rc h p ro g ra m.” CTR - US 21147). TI RC-MI N000001-0252 a t 0018-0032 (JD 093292); CTR MN003816-3835 at 3826 ( -53-

84 87. Despite De ssertion that TI RC/C TR w as solely an org anization that funded fenda nts' a rch f or the purpose of finding answe rs to smoking and hea lth question, it serve d independe nt resea ent as a n eff ective public r elations tool and information conduit. I n a Jul y 1963 t ext rea to a g nera l Counsel for B &W, wrote : memorandum, Addison Ye aman, Ge opinion, provide the vehic h RC cannot, in my The TI le for suc h. I eived a s a public re lations ge sture and ( howeve r arc t was conc rese Boa rd and its g rants may undefiled the Scientific Advisory be) it has s a public re functioned a lations operation. ndt WD, 116:17-117:22; VXA2510190- 0194 (US 63599); ra 689033412-3416 (US 22034); B fin PD, Cipoll one v. L igg ett, 1/23/86, 118:14-17. 2046754905-4909 (US 20477); Duf . Al e xan de r S pe a rs , L or ill a rd ’s Di re c tor of Re se a rc h, in 1 97 4 e c ho e d th e se nti me nts 88 man when he of Addison Yea explained: n industry funded smoking and hea lth resea rch Historically t , the joi prog been selecte d ag ainst specific scientific goa ls, but rams have not the r f or va ri ou s p u r p o s e s s u c h a s p ub lic re la tio ns , p oli tic a l r ra la tio ns , e position for liti ation, etc. Thus, i t g s eems obvious t hat re views of such prog rams for scientific r eleva nce and merit in the smoking a nd tin he fi e ld a re no t li ke ly to p ro du c e hig h r a lth g s. I n g e ne ra l, t he se a prog rams have provided some buffe r to the public and political a ttack o f t h e i n d u s t r y, a s w e l l a s b a c k g r o u n d f o r l i t i g i o u s s t r a t e g y. 01421596-1600 (US 20049); 83910516-0520 ( andt WD, 123:14-124:1. US 55955); Br 89. I n a 1975 spee ch to CTR members, Addison Yea man g ave his obser vations on the Cou nc il, no tin g , “ I t is my so be r j ud g e me nt t hat CT R, as it n ow op e ra te s is the g re a te st p ub lic rela tions asset y ou have in the pr oblem of tobacc o and health.” 11303014-3020 at 3017 (US 86005) s. (e mph a sis in o ri g ina l) . Se e Se c tio n I I I (D )( 2) , inf ra fo r mor e dis c us sio n o f p ub lic re la tio ns a c tiv iti e -54-

85 4. at ion s a nd P ublic St at e m e nt s o f TIR C/ CT R P ublic al Reports TIRC/CTR Annu a. C / CTR publi TI nnual Reports fr om 1956 throug h 1997. 90. R shed and issued A 10-11. Copies of the TI RC/C TR Annual Reports we re se nt to libraries, colleg es McAllister W D, 20: of sities, deans schools, scienc e and medical e ditors and writer s for the popula r medical and univer cipients, and membe rs of prof essional medica l soc ieties. McAllister WD, 20:14- rant re press, CTR g ; G le nn PD, Son ta g v. U. S. T ob a c c o, 10 /16 /96 , 3 4:4 -2 3; Somm e rs PD, Rog e rs v. R.J. Re y no lds , 24 12/17/85, 18:8-19. 91. TR Annual Reports routinely included, in var y ing f ormats: abstrac ts of The TI RC/C rese arding h er s funded by TI RC/C TR gr ants; brief state ments reg s published by article arc t ; list anization and policy ir aff iliations; l i s s of SAB me s o f cu rrent and forme r org mbers and the ra nte e s; l ist s o f o ng oin g a nd com pl ete d p roj ect s; and res earch su mm ari es, com men tar ies , rat io na le s, g vations. Z L igg ett, 12/16/86, 79:4-13, 81:1-9; CTRAR000001-0013 ahn PD, Cipollone v. and obser AR000015-0040 (JD 090001); CTRA R 0 0 0041-0073 (JD 090002); (JD 090000); CTR 9 T R A R 0 0 0 0 7 4 - 0 1 0 9 ( JD 0 0 C 0 0 3 ) ; C T R A R 0 0 0 1 1 0 - 0 1 4 7 ( JD 0 9 0 0 0 4 ) ; C T R A R 0 0 0 1 4 8 - 0 1 8 5 ( JD 090005); CTRAR000186-0216 (J AR000254- D 090006); CTRAR000217-0253 (JD 090007); CTR 0293 (J D 0 9 0008); CTRAR000294-0334 (J D 090009); CTRAR000335- 0376 (JD 090010); C T R A R 0 0 0 3 7 7 - 0 4 3 3 ( JD 0 9 0 0 1 1 ) ; C T R A R 0 0 0 4 3 4 - 0 4 7 7 ( JD 0 9 0 0 1 2 ) ; C T R A R 0 0 0 4 7 8 - 0 5 2 6 ( JD 090013); CTRAR000527-0580 (J AR000630- D 090014); CTRAR000581-0629 (JD 090015); CTR 0675 (JD 090016); CTR AR000676-0717 (JD 090017); CTRAR 000719-0763 (JD 090018); C T R A R 0 0 0 7 6 4 - 0 8 0 7 ( JD 0 9 0 0 1 9 ) ; C T R A R 0 0 JD 8 0 8 - 0 8 6 1 ( JD 0 9 0 0 2 0 ) ; C T R A R 0 0 0 8 6 2 - 0 9 1 6 ( 0 AR001037- 090021); CTRAR000917-0974 (J D 090022); CTRAR000975-1036 (JD 090023); CTR -55-

86 1097 (JD 090024); CTR 001173-1246 (JD 090026); AR001098-1172 (JD 090025); CTRAR T R A R 0 0 1 2 4 7 - 1 3 5 5 ( JD 0 9 0 0 2 7 ) ; C T R A R 0 0 1 3 5 6 - 1 4 5 1 ( JD 0 9 0 0 2 8 ) ; C T R A R 0 0 1 4 5 2 - 1 5 4 7 ( JD C D 090030); CTRAR001650-1767 (JD 090031); CTR AR001768- 090029); CTRAR001548-1649 (J 1880 (JD 090032); CTR AR001881-2003 (JD 090033); CTRAR 002004-2149 (JD 090034); - T R A R 0 0 2 1 5 0 - 2 2 8 7 ( JD 0 9 0 0 3 5 ) ; C T R A R 0 0 2 2 8 8 - 2 4 6 5 ( JD 0 9 0 0 3 6 ) ; C T R A R 0 0 2 4 6 6 1 2 6 C 9 ( JD 090037); CTRAR002620-2784 (J D 090038); 70000302-0618 ( D 090039); 85865669-5692 (US J 85865742-5804 (US 85865805-5873 (US 21083); 85865874-5946 (US 2 1084); 22954); 21082); 8 866020-6080 (US 21085); 1002315412-5483 ( US 20125); 01141473-1541 (US 20039); 5 0 3 15562-5640 (US 20010); 1002315641-5722 ( US 20011); 1002315484-5561 (US 20126); 10 2 US 20686); 10 0 2 1002315723-5834 (US 20127); 501773418-3466 ( 1 5 8 35-5920 (US 21800); 3 85865693-5741 (US 22237); 1005082487-2584 (US 20202); 1005082585-2690 (US 20203); 0128); (US 2028556086-6177 (US 20428); 1002316312-6397 (U S 1005082691-2788 20012); 2 1002316398-6485 (US 20129); 1002316486-6571 ( US 20130); 1002 3 1 6 5 72-6677 (US 20131); 1002316678-6780 (US 20132). 92 . F ro m 19 56 un til 19 93 , T I RC /C TR pu bli c re la tio ns c ou ns e l L e on a rd Z a hn wa s in char g epar ing a nd compiling the A nnual Reports, making distribution recommendations, and e of pr draf ntroduction section for some of them . Z ahn PD, Cipollone v. L igg ett, 12/18/86, ting the I 368:23-369:4, 369:10-370:14, 371:5-9, 371:11-372:8, 379:16-38 1 : 2 4 , 382:17-21; Z ahn PD, Massac ip Morris, 5/ 28/98, 41:22-45:12, 48:2-7, 49:6-17, 49:22-51:1, 51:14-21, 52:8- husetts v. Phil 23; CTRMN015594-015613 (US 79903). I s proposed cembe r 1972 memo attac hed t o h i n a De ed that outline for the ne x t report, Z ahn ac knowledg -56-

87 [t ]he resea ec t i o n of the CTR [Annual] Report is based on rch s ortu sh rt ic le s b y g ra nte e s a nd , u nf d a nat e ly , n ot m uc h d ir e c tly bli pu e te d to tob a c c o a pp e a re d in the la st 1 8 mo nth s. re la CTRMN015614-015616 (US 79904). T 93. co m m entary in the Annual Reports unifor mly challeng ed the hy pothesis that e h arding ancer d emphasized that data r eg an smoking a nd health we re s linked to lung c smoking wa dictory , and inconc lusive. For e x ample: controve rsial, contra 1957 Report of the Scie ntific Direc ound medical a nd experimental • tor (“[S] cco use dictory limit ed, at times contra e of toba , and knowledg is relatively l rather than fa ctual. . . . The re is not known today any often c onjectura ple or qu ic k wa y to an sw e r the qu e sti on of wh e the r an y on e fa c tor ha s a sim t c le ing hu ma n lu ng c a nc e r . . . no on e ha s e sta bli sh e d th a aus ig a re tte in c ro one of its k o wn const ituents, is cance r ca using to man. . . . n smoke, or any RC SAB ] B oard ta ke the g ener al position that definitive the [TI Members of dictions of individual risks are unwar rante d by the pre sent conclusions or pre ct state of know imperfe field of lung ca ncer causa tion,” ledg e in the complex ribing er a s “this so-called c onstitut ional disease.” ); and desc canc 1958 Report of the Scie ntific Direc tor (“[A] proble m ma y well be obsc ured, • delay the s oothing acce ptance of an ove rsimplified and ed, by and its solution y ] hy pothesis. . . . The propone nts of the tobacc o immature [tobacco theor anda. have g ener ated incre asing ly intensive and extensive pr opag . . . theory As a re sult, n o n - s c ie n ti f ic a tm osphere , conducive to prematurity , unbalanc e, a quacy ic j udg ement, has pe rvade d the whole f ield. . . . The and inade of publ r o h ib it io n c o n c e p t d is c o u n ts o r ig n o r e s p ll c o n s id e r a ti o n s o f s mo king a benef erms of ple asure , rela x ation, relief of t en its in t i o n or other s functions.”) ; • 19 61 Re po rt of the Sc ie nti fi c Di re c tor (“ [T]ho se wh o most a c tiv e ly pr omo te sis thi ing -l un g c a nc e r] h y po the sis ha ve c on ok te ntl y ig no re d o r, a t be st, s [sm have minimized the fac t that numerous directly rele vant experiments either ha ve fa ile d to su pp or t th e hy po the sis or ha ve pr ov ide d only we a k o r u nc e rt a in data.” ); 1963-64 Report of the t remains ctor (“ Afte r 1 0 y ear s the fac • Scientific Dire e is insufficient e er t o ith provide a dequate proof of any that knowledg hy th the sis or to d e fi ne the ba sic me c ha nis ms o f h e a lth a nd dis e a se wi po ); which we are conce rned.” -57-

88 • 19 5 Re po rt of the Sc ie nti fi c Di re c tor (“ [E]vi de nc e to s up po rt the the sis 64 -6 ef ttes exercise a cinogen i c t car fect on man has not bee n are that cig direc forthcoming .”); nc. (“ Tobac U. S .A., I rch- [T] he 1978 Report of the Council for • co Resea onstitut ional diseases [ cancer , hear t disease, complex etiology of these c ailments] re pulmonary unrave led. These diseases ha ve bee n chronic mains d with smoking, but such associations are not proof of associate statistically and ef fec t.”). cause D 090001); 501773418-3466 ( andt WD, 86:19-87:20; US 20686); Br CTRAR000015-0040 (J 85865693-5741 (US 22237); CTRAR000041-0073 (JD 090002); 85865742-5804 (US 2 1 0 8 2 ); 0 0 1 4 8 - 0 1 8 5 ( JD 0 9 0 0 0 5 ) ; 0 1 1 4 1 4 7 3 - 1 5 4 1 ( U S 2 0 0 3 9 ) ; C T RA R0 0 0 2 1 7 - 0 2 5 3 ( JD 0 9 0 0 0 7 ); CTRAR0 6 1 (US 20126); 1002315412-5483 (US 20125); CTRAR000254-0293 (JD 090008); 1002315484-55 CTRAR000808-0861 (J D 090020); 1002316572-6677 ( US 20131). 94. For cade s, the commentar ies in the Annual Repor ts also discounted more than two de lusions reac hed by public health community and the Surg eon Gene ral linking smoking the the conc “open simply repe ated the question” position of the tobacc o industry . 515709297- se and and disea S ec t i o n 9340 (US 20866); see )(A) , infra. Robe rt Hocke tt, Associate Scientific D irec tor at the (V Council for Tobac rch–U SA, which eva luated the c ontent of the Annua l R ep orts for the co Resea y wrote: “ industry ittle’s] summations, much too appare n t l The a , s ee m s to be to protect im of [L smoking.” MNAT00515749-5762 a t 5 7 5 2 (US 63570); Br andt WD, 122:15-123:13; L isanti PD, Small v. L orillard, 3/31/98, 454:5-14. 9 5 . A J u n e 2 0 , 1 9 8 4 m e m o r a n d u m f r o m W y & n d e l l S t o n e , a t t o r n e y a t S h o o k , H a r d e ports. Stone Ba con, during the C ipollone litigation, acknowledg ed the bias of CTR/TI RC’s annual re -58-

89 commented that the r eports, espe rly ones, “c ontained leng thy commentar y . . . which re ad cially the ea lso concluded: much like industry position papers.” Stone a RC/C TR c omm e nta ry on res ear c h d id n e lw a y s se e m to Th TI ot a to the positions t aken or implied in the abstract. F or m fully confor euchte nberg er inha lation resea rch, the example, with respec t to the L the bs c ts i n th e a nn ua l re po rt s te nd to g ive a imp re ssi on tha t th e se a tr ch er s did in fact ha ve a g ood animal model of lung canc er resear od uc tio n b y smoke inh a la tio n. Ho we ve r, c omm e nta ry on thi s pr arc rese the front mate rial to the re ports tended to ar g ue aw ay the h in lts va le of the re su nc . re e 515709297-515709340 (US 20866). b. TIRC/CTR Newsletter s . F ro m Oc tob e r 19 57 to a t le a st 19 68 , fi rs t TI RC a nd the n the To ba c c o I nstitu te 96 cco a sletter var o u s l y n amed Tobacc o and He alth, Resear ch Reports on Toba i nd published a new The lth, and Reports on Tobac ealth Resea rch. co and H newsletter was Hea published two or three times a y ear ; co n t ai n ed ar t i cl es t h at d i s p u t ed t h e r el at i o n s h i p b et we en s m o k i n g an d d i s ea s e; criti cized rese arc h a re lationship; and emphasized that differ ing opin i o n s exis ted re g arding h supporting suc - c o u s e a n d h e a lt h . B r a n d toba D , 8 4 :1 0 c 8 5 :9 ; T I M N 0 0 0 0 7 1 3 - 0 7 1 4 ( U S 2 1 2 64); t W TI KU000006665-6668 (US 86007); TI MN0000719-0722 (US 86011); TI MN0000723-0726 (U S 0 86012); TI MN0000733-0734 (U S 8 6 0 1 4 * ) ; T I M N 0 S 86013); TI 0 0 736-0738 MN0000727-0728 (U (U 8 6 0 1 S MN0000739-0744 (U S 86016); TI MN0000745-0747 (U S 86017); 5*); TI TI MN0000748-0750 (U S 86045); TI MN0000751-0756 (U S 86018); TI MN0000757-0762 (U S 86019); MN0000763-0774 (US 86020); TI MN0000775-0780 (U S 86021); TI MN0000781-0784 TI (US 8602 2 ) ; T I M N 0 S 86024); 0 0 7 8 5 - 0 7 8 8 ( U S 86023); TI MN0000789-0792 (U 0 S TI MN0000793-0796 (U S 86025); TI MN0000797-0800 (U S 86026); TI MN0000801-0804 (U -59-

90 86027); TI MN0000805-0808 (U TI MN0000809-0812 (US 86029); TI MN0123324-3327 S 86028); 3 1 0 6 9 3 -0 6 9 6 (U S 6 2 8 4 4 ); T 0 M N0 1 3 0 7 0 7 -0 7 1 0 (US 62845); (US 21282); TIMN I MN0130728-0731 (U MN0130802-0803 (U S 62849); TI MN0130816-0817 (U S TI S 62847); TI TI (US 21264); TI MN0123276-3279 (U S 77059); TI MN0123304-3307 62851); MN0000713-0714 6 0 ) ; T I M N 0 1 3 0 6 8 7 - 0 6 9 0 ( US 77068); TI MN0130742-0745 (U S 77069); (US 770 MN0130749-0752 (U TI TI MN0130778-0781 (U S 77071); TI TX0006679-6682 ( US S 77070 ); TI TX0006691-6694 ( 21345); TI 49132); US 77111); 502367882-7887 (US MN0123314-3317 (US MN0000748-0750 (U 86045); TI MN0130810-0811 (US 62850); TI MN0130735-0738 86044); TI S KU000006559-6562 ( US 86048); T I KU000006545-6548 ( US 86050); (US 62848); TI US MN0130756-0761 (U MN0130714-0717 (US 62 846); TI KU000006538-6541 ( TI S 86051); TI S 22459); MNAT00515648-5651 (U S 72185). 86052); 511018410-8413 (U I nitially , TI RC was to publish t he Toba cco a nd Hea lth newsletter. This provoke d a 97. strong rea ction from members of t he S cientific Advisory Boa rd who rec eived a dvance copies of the first issue. I n a letter SAB Chairman Clarenc e L ittle, SAB member Mc Kee n Cattell classified the to ffe tion as propag anda materia new publica and expressed se rious conce rn about the e “obviously ct l” it would have on the SAB’s pr og ram. 701235030-5030 ( US 31474). J ulius Com roe, a nother SAB me mbe r, a dv ise d th a t th e SAB a nd TI RC sh ou ld n ot b e ide nti fi e d w ith the To ba c c o a nd He a lth publication. 70123533-3533 (JD 093608); 70123536-3536 (JD 093610). 98. n response to the se conce rns, the I co I nformation Commi ttee, a subcommittee Tobac of TI RC, was formed in la te 1957, from what was pre viously known as the TI RC P ublic Relations public Commi The commit tee was comprised of ttee. rela tions employ ees f rom the compa nies and sh pu bli c re la tio ns c ou ns e l re pr e se nti ng the c omp a nie s, a nd on e of its pr inc ipa l f un c tio ns wa s to pu bli -60-

91 the Tobacco a nd Hea cco a nd Hea lth newsletter we re lth newsletter. The first two issues of the Toba tte d u r t he na me of the To ba c c o I nf or ma tio n Co mmi e e a nd fi na nc e d f ro m th e TI RC b ud g e t. ue nd iss 3 6 0 9 70123534-3534 (JD 0 RC-MI N000001-0252 a t 0125-0127 (JD 093292); 9 ); CTR-TI CTRMN039046-9106 at 9056 (JD 092825). n 1958, afte r the fir st two issues were published, t he Toba cco I nstitut e assumed 99. I s co and H o n sibili ty for publishing the Tobac e ealth new sletter on beha lf of De fenda nts. Even when p r RC, and co I e, ther e wa s close coor dination with TI nstitut m o st editorial the Tobac published by at er i al d er i v ed fr o m T I R C an n u al re p o rt s , t h e T I R C l i b ra ry , an d o t h er m at er i al s av ai l ab l e t h ro u gh m RC. C TI N000001-0252 a t 0154, 0162 (J D 093292). TR-TI RC-MI h p A 1 8 T ob a c c o a nd Hea lth Re 0. a rc 96 ro c e du ra l me mor a nd um f ro m H ill & 10 se pfer , Tobac co I nstitut e Vice President, admitted that “[m] ost pa pers use d Knowlton to William Kloe throug R come fr o Resear ch L ibrary for Tobacc h advanc e dis tribution of Ken om the Council in TH& ahn PD, Cipollone v. L igg ett, 12/18/86, 344:9-22. Austin of CTR.” Z The Toba cco and Health newsletter was a public relations vehic le used to influenc e 101. t a l t h p r o f e s s i o n a l s . I a s p r i m he r y p u r p o s e w a s t o p r e s e n t d i r e c t l y t o t h e m e d i c a l a n d sc ie nti fi c communities resea rch ma lated to tobacc o and hea lth -- mater ial that fre quently did not deal terial re us th a c c o bu t su g g e ste d oth e r c a us e s of c a nc e r, wi c h a s vir tob e s, a ir po llu tio n, a nd pr e vio us c he st su ailments. I condar y purpose was ts se ttract the a ttention of the lay press to studies that cha lleng ed to a the va lid ity of re se a rc h lin kin g c a nc e r to c ig a re tte us e . A n e ws re le a se wi th e a c h is su e a ttr a c te d p re ss at n ti o n ; o n e o r b o th o f th e ma jo r w ir e s e r v ic e s te u s u a ll y c a r r ie d s to r ie s . I n o r d e r to c o mb a t the an issuing eff ects of the Tobac co and H ealth new sletter, four non-g overnme ntal health ag encie s beg -61-

92 a Medic al B MN0081443-1457 at 1443- 1444 (US 21307); B randt ulletin on Tobacc o in 1962. TI WD, 84:10-85:9. I sletter re ache d 520,000, with about ulation of the new 1 5 ,000 copies 102. n 1962, circ 3 g to d oc tor s, de nti sts , a nd me dic a l sc ho ol s, and th e re st g oin g to w ri te rs a nd e g or s, pu bli c oin dit eaders, all member s of Cong ress, broke rag e houses, tobac co g roups, fa rm and supplier opinion l g rese r companies. Publication of roups, industry arc h results helped ma ke new s g roups, and membe eff s coordinated with other publicity MN0070640-0656 at 0643 ( US 21299); and wa orts. TI MN0070657-0674 at 0661 ( 5416-5417, 5421 (US 79889); TI US 22983); CTRMN015416-5435 at CTRMN015485-5502 at 5489 (US 79893); CTRMN015412-5415 at 5415 (U S 79888). 0 3 . I n a proc e d u r a l m e mo r a n d u m, H il l & K n o w lt o n d e li n e a te d s p e c if ic c r it e r ia f or 1 um s le tin g re po rt s to be inc lud e d in To ba c c o a nd He a lth . T he me mor a nd c ta te d th a t r e se a rc se id h d not have to s deal specifica lly with tobacc alway for ex ample, resear ch which sug g ested that other o; fac tors may cause diseases a ssociated with smoking should be included; “[t] he most important ty pe of story is that which ca nd ef fect theory of disease and smoking .” B randt sts doubt on the cause a ), TI 63575); (U S 2 1 3 0 2 (US (U S 2 1 6 1 4); WD, 119:7-21; MN00721488-1491 UB L I CSTMT001270-1281 (US 32646). CTRP TIRC/CTR P leases and Other P c. ubl ic Statem ents ress Re TI lton, and TR, with the a ssistance of its public re lations counsel Hill & Know 104. RC/C ective in making eonar later L s remar kably eff d Z cer tain that the Defenda nts' positi on of “no ahn, wa p r o o f ” a n d t h e n e e d f o r “ m o r e r e s e a r c h ” r e a c h e d t h e n a t i o n a l m e d i a , a n d t h u s t h e p u b l i c . T yp i c a l l y, ompanied by news a w medica l findings would be acc ccounts of ne a pre ss relea se or statement fr om l. TI RC/C TR i ns ist ing tha t “ no thi ng ne w” ha d b e e n f ou nd a nd the stu die s w e re “ me re ly ” sta tis tic a -62-

93 Br an t W D, 7 8 : 1 8 -7 9 : 2 , 1 1 9 : 2 2 -1 2 0 : 1 5 . M o re o v er , T I R C / C T R wa s ef fe ct i v e i n m o b i l i z i n g a d tively small gr nd amplify ing the ir views as if the y were eq u al i n number a nd rela oup of skeptics a (discussed to an ance ing scientific consensus about the harms of smoking emer in detail at signific g (3)( c), infr a). B randt WD, 79:6-8, 90:20-92:5; see, e.g ., 500518759-8761 (US 20636) Section V(A) 95 8 y e a r- e nd Hi ll & Kn ow lto n/T I RC p re ss r e le a se in w hic h T I RC Ch a ir ma n T imo thy Ha rt ne tt (1 asser ts that “scientists of high profe ssional sta nding have produce d additional evidenc e and opinions e the validity d char g es ag ainst tobacc o use”) ; 503283464-3467 (US 22981) that challeng of broa to are ittle’s RC’s Cl 1959 response nce Cook L Surg eon Genera l Burne y ’s statement (TI November t be g ins , “T od a y , mor tha tha n ev e r be fo re , sci e nti fi c e vid e nc e is ac c umu la tin g tha t c on fl ic ts w ith e or fa ils to support t he tobac co-smoking theories of lung c ance r.”) ; 500 5 1 8 8 7 3-8875 (US 63601) (1960 Hill & K nowlton/TI se quo t i n g L ittle and titled “New E vidence Shows RC press relea ities of L ung r, Scientist [ L ittle] Say s”); 00552685-2690 (US 47724) (1970 L eonar d Complex Cance ahn/CTR press re ittle t h at quoting L beg ins, “A consider able number of studies by Z lease e pe nd e nt s c ie nti sts ra ise qu e sti on s a s to ind e the r s mok ing ha s a c tua lly be e n s ho wn to be a he a lth wh hazard” 53301); 670307882-7891 (US 21867); 670307882-7883 (US 63574) ); 60028206-8210 (US L lease (1969 CTR press re ittle that beg ins, “The sc ientist [ ittle] who has be en assoc iated quoting L with more re sear ch in tobacc o and heal t h t h an any other pe rson dec lare d today that ‘there is no a de a te d c a us a l re la tio ns hip be tw e e n s mok ing str nd a ny dis e a se . T he g a ps in k no wl e dg e a re so mon g re a t[.]’ ” ); CTR PUB L I CST MT 00 12 41 -1 54 5 a t 12 65 (JD 04 32 76 ) ( 19 70 L e on a rd Z a hn /CT R pr e ss rele ase quoting L ittle on g enetic a nd environmenta l fac tor theories) ; 500518873-8875 (US 20635); 500015901-5905 (US 47778). -63-

94 105. The re n TI RC/C TR and Hill & Knowlton remaine d close for many lationship betwee rs and no staf s. Be R C had no hea dquarte TI f whe n it was forme d, Hill & Knowlton ear cause y ide d a wo rk ing sta ff a nd te mpo ra ry of fi c e sp a c e a nd a ssi g ne d o ne pr its e xpe ri e nc e d e xec uti ve s, ov of son Hoy s Ex ecutive Sec reta ry for th e T I R C . I n ear t, to serve a 1956, the TI RC Ex ecutive Wil ly ttee appr eloca tion of TI RC’s offices to the buildi oved the r wher e Hill & K nowlton’s Commi ng fi c e s w e re loc a te d. At the ir Janu a ry 29 , 196 4 mee tin g , the TI RC Exec uti ve Com mit te e a g re e d to of RC. TL Hill & Knowlton employ ees, including Hoy t, to TI r seven T0902041- transfe immediately S 21116); TL T0900114-0115 (U S 88402); CTRM N003816- 2064 (US 88364); 93218985-8986 (U 3835 at 3825 (US 21147). 0 6 . E v en af t er t h e T o b ac co I n s cre t i t u t e ( d i s cu s s ed fu rt h er i n fr a a t S ec t i o n I I I (D )) wa 1 ated s in 1958, TI RC/C TR continued it s public relations ac tiviti es with the assistance of public re lations counsel Hill & Knowlton, and later eonar d Z ahn. 93218985-8986 ( US 2 1 116); 70057072-7073 L S 51653). (US 21983); 512678484-8499 (U rlier, Hill & Knowlton g ave a dvice a As noted ea tion to the lead ers of the 107. nd direc te rp ri se e ve n be fo re its a c tua l fo rm a tio n in De c e mbe r of 19 53 En Th e re a ft e r, it pr ov ided p ublic . rela or TI RC/C TR from 1954 until 196 4 . I t p ro v tions services f service s for the ided the same Tobac nstitut e fr om 1958 until 1968, i n 1979, and ag co I h ro ug h 1991. ain from 1987 t US X63 90 00 1- 04 00 a t 00 12 (U S 89 55 5) . Se e a lso Ad a ms PD , U nit e d St a te s v . Ph ili p M or ri s, 6/19/02, 495:5-17. L eonar ahn wa s an integ ral pa rt of TI RC/C TR’s public rela tions progr am -- d Z n mploy Hill & Knowlton assig ned to the TI RC account, and la ter, o first as an e h i s own, as ee of pr ima ry pu bli 5 to re la tio ns c ou ns e l f or CTR . L e on a rd Z a hn wa s h ir e d b y Hi ll & Kn ow lto n in 1 95 c ton; formed his own work on the TI RC account. I n 1969, Z ahn re signe d from Hill & Kn o wl -64-

95 company , d Z ahn & Associates; and was a ppointed CTR’s public relations counsel. Z ahn L eonar v. igg ett, 12/16/86, 9:19-21, 10:4-8, 43:17-20, 44:12-20, 45:15-18, 46:5-7, 16-17; lone PD, Cipol L husett s v . Ph il ip M o r r is , 5 /2 8 /9 8 , 4 8 :1 5 -22, 58:8-17, 59:9-17; Z ahn PD, Richardson Z ahn PD, Massac :13 lip rr is, 12 /1/ 98 , 1 6:9 -1 7:8 , 2 1:2 1- 22 :6, 25 Mo -2 6:1 6; Z a hn PD, R ich a rd so n v . Ph ili p v. Phi o rr i s , 1 2 / 1 6 / 9 8 , 3 0 8 : 7 -1 4 . Zah n & A s s o ci at es s er v ed as C T R p u b l i c r el at i o n s co u n s el t h ro u gh M 3 s paid $127,053 by . CTRMI N-B D 000001- 0 3 0 ear at 0 2 77, 0283 CTR that last y 1993 and wa 09 32 08 ). Du ri ng his de c a de s w ith TI RC/C TR, Z a hn a tte nd e d a nd re po rte d o n s c ie nti fi c (JD confe renc d SAB mee tings, orga nized press confer ence es, attende serve d as l iaison betwee n CTR s, a nd the To ba c c o I ns tit ute , p re pa re d a rt ic le s, a nd dr a ft e d pr e ss r e le a se s a nd pu bli c sta te me nts a s w e ll as the a nnual re ahn P D, R ichar dson v. Phil ip Morris, 12/16/98, 308:7-14; ports for CTR. Z ay PD, C pollone v. L igg ett, 12/5/84, 529:4-530:10; McAllister WD, 188:20-189:5; Korneg i -5360 (US US 25897); CTRMN015360 70124410-4414 (US 31512); CTR98CONG00070-0070 ( 79870); CTRMN015370- TRMN015362-5365 (US 79868); CTRMN015361-5361 (US 79869); C TRMNZ S 21160). 5371 (US 79873); CTRMN015380-5381 (U. S. Ex. 79877); C N475-477 (U D. Tobacco Institute F orm ation of the Tobacco Institute 1. onciling its dual func As time as s ed , TI RC face d incre asing difficulty rec p tions of 108. public rela tions and rese arc h. On the one ha nd some SAB members ha d alway s wanted a more di st in ct s epar ati on bet ween th e S AB and TI RC . As earl y as O cto ber 1 95 4, th e S AB rec og need for a more a ffirma tive informational appr oach by nized the RC, and expressed the fe eling that it would be in orde r for the the TI C o m m i t t ee [ T I R C ] t o t ak e m o re p o s i t i v e a ct i o n o n i t s o wn t h ro u gh Mr. Har tnett as cha irman without, at the same time, dr awing the s. Ad vis or y B oa rd or the re se a rc h p ro g ra m in to s uc h u tte ra nc e -65-

96 CTRMN004227-4232 at 4230 (US 86073). 109. as g rowing conce rn about TI RC making partisan a rg uments on I n addition, there w while it was rese arc h that the industry wanted to be perc eived a s of the industry behalf sponsoring ahn PD, Massac huset t s v. Phil ip Morris, 5/28/98, 98:25-99:16; objective. B randt WD, 90:4-9; Z n 1958, a SAB member w rote a letter to those attending BWX0011174-1187 a t 1176 (US 21773). I y e Cook ting objec ting to public st atements which had been made by Clarenc bruar the Fe SAB mee ittle, contending ittle spoke as Scientific Director of the TI RC, the inferenc e wa s that L that when L ittle was also s peaking for the SAB. CTRMN039046-9106 at 9055 ( J D 092825). The dissenting L r indicate that, unless a more distinct separa tion could be established be tween the SAB d SAB membe nd TI RC, he fe lt h e c ou ld n ot c on tin ue to se rv e on the SAB . Tw o oth e r SAB me mbe rs joi ne d in a RC-MI N000001-0252 a this statement. CTR-TI (JD 093292); 681879254-9715 at 9391 (US t 0142 21020). Ac cording to SAB member Paul K otin, membe rs of the TI RC S AB made quite c lear “the me ina bil i ty a nd do wn ri g ht u na c c e pta bil ity ” of the SAB or its isa mbe rs be ing qu ote d in TI RC p re ss dv rele nd public statements concerning the s moking and ases a oversy . Kotin PD, Falise v. health contr Americ an Toba cco, 10/31/00, 348:25-352:14. 110. On the other hand, some membe rs of the Ente rprise w anted a n o rg anization that would much m ore ag g ressive public rela tions stance to counter arg uments linking smoking take a and disea se and to oppose pr oposed labe ling leg islation facing the in d u s tr y . B B A T 0 3 0581-0582 (US 22058); MNAT00724279-4280 ( T0900385-0389 (U S 88209). US 22996); TL 111. Def endants finally decide co to cre ate a separ ate non-profit corpor ation, the Tobac d elations and political I nstitut e (“ TI ”), w hich would b e re s p o n sible for more ag g ressive public r -66-

97 lobby in d would not have the limitations associated w ith TI RC. 93481139-1140 (US 21117); g an Br andt WD, 88:20-90:3. tion of a sepa rate org anization was felt to be The c 112. rea l ping L of kee n v i o ittle at e and unta inted in his ivory tower y a wa i g ivi ng a ne wh g ro up a lit tle mor e fr e e do m of a c tio n in the pu bli c ile w la tio ns fi e ld . . . . [T]he le g a l pe op le we re e sp e c ia lly int e re ste d in re a s a nt b e c a us e the y tho ug ht o f D r. L itt le a s ume po te nti a l w itn e ss rg thi re not a nx ious to have him making public stat em en t s which and we ou ld c omp ro mis e his us e fu lne ss t o th e m in c ou rt . c andt WD, 90:4-19; BWX0011174-1187 at 1176 (U S 21773). Br I n J anuar y 1958, twelve manufac turers of cig are ttes, smoking and c hewing tobacc o, 113. e. The jointly d the forma tion of the Tobac co I nstitut announce companies f orming the and snuff efe co I nstitut e included D orillard, Philip ndants Americ an, B &W, L igg ett, L Tobac M orris, and Rey nolds. 93481139-1140 (US 21117). Y The Toba e wa s incor p o r a te d in N e w nstitut o r k St a te , T I M N0010606-0609 (U S 114. cco I MN0011255-1260 (U S 22250), and the Toba cco I nstitut e b y l aw s wer e adopte d at the 21291), TI of the incor meeting nd members he ld on J anuar y 29, 1958. TI MN0005705-5712 at 5706 porators a S 20223). (US 21290); 1005136918-6933 (U cco I nstitut e wa s a trade The Toba cording to its 1958 C ertifica te of 115. association. Ac ncorpor ation, the Tobac co I I e wa s formed nstitut to promote a be standi n g b y tter under t h e public of the tobacc o ind us tr y a nd its pla c e in t he na tio na l e c on omy ; to c oo pe ra te wi th ere g encie s and public off icials with ref ntal ag n ce to the overnme tob a c c o in du str y ; to c oll e c t a nd dis se min a te inf or ma tion rel atin g to the use of toba t and disseminate scientific a nd medical cco; to collec materia l relating t o t o bacc o; to collect and disseminate inf ormation rela ting to the tobac co i ndustry published or re lease d by any s g overnme ntal ag ency , fede ral or state, or derive d from other source -67-

98 independe nt of the i u s try ; to collect and disseminate inf ormation n d velopments, fede islative and administrative de ral or relating to leg , a ff e c tin g the tob a c c o in du str y ; to pr omo te pu bli c g oo d w ill . sta te also (no bate (no bate s) (US 21291); see s) (US 87552). Tobac shion simi I nstitut e had a B oard of Direc tors “compose d in a fa The lar to that co 116. ittee consist o ch” and an Ex ecutive Comm Resear ing of the chief executive for Tobacc of the Council fi c e rs of the ma jor tob a c c o c omp a nie s. 04 42 27 83 9- 78 44 (U S 20 06 6) . T ha t Co mmi tte e, “ [a]s a of ers, one tical matter . . . f ear s” wa s run by “a c ommitt ee of four law y y from ea ch of the or many prac tobacc o companies.” I d. major member The Toba cco I nstitut e B oard of Direc tors held its first meeting on J anuar y 30, 1958. 117. mer Cong ch ar d s i o f South Carolina was e lected Pre sident and Executive ressman James R For tor; J oseph F . Cullm an, I I I , President of Philip Morris, was elec ted Tre asure r; and Chandler Direc e bb e , V ic e Pr e sid ip M nt o f P hil Ki or ri s, wa s e le c te d As si stan t T re a su re r. Am on g tho se e le c te d to membership at this meeting wer ican, L igg ett, L orillard, Philip Morris, and Rey n o lds. An e Amer ecutive Committee was its members we re Cullman; Be njamin Few , President of Ex established, and igg ett; Bowma n Gra y , Chairman of Rey L ewis Grube r, President a nd Chairman of L orillard; nolds; L and J. W hitney Peterson, President of United S tates Tobacco. TI MN0005705-5712 at 5705, 5707- 5711 (US 21290). 1 1 8 . At th e f ir s t m e e ti n g o f it s B o a r d o f D ir e c to r s , H il l & K n o w lt o n w a s a p pointed ton & B Tobac e public r el at ions counsel, and Coving nstitut urling was a ppointed Tobac co co I I ns tit ute le g a l c ou ns e l. I d. ; U le 39 00 01 -0 40 0 a t 00 12 (U S 89 55 5) . B oth we re to pla y a ma jor ro SX6 e. in setting the pr iorities for and g uiding the f uture ope ration of the T obacc o I nstitut -68-

99 11 9. dd iti on to C ov ing ton & B ur lin g , th e To ba c c o I ns tit ute a lso ha d a re la tio ns hip wi th I n a S , H rd y & B a c on . A Ma y 19 82 le tte r f ro m Will iam ok hi nn of S ho ok , H a rd y & B a c on , to Sho a e rt Sa c hs , Co un se l f or B & W, a nd Ar thu r Ste ve ns , Ge ne ra l Coun se l for L or ill a rd , d e sc ri be d th is Rob s in la hi p. Shi nn div ide d th e la w f ir m’ s a c tiv iti e ns to f ou r c a te g or ie s: T ob a c c o I ns tit ute tio re nc e Pr o c e d u r e s , T o b a c c o I n s ti tu te Co mm it tees, Scienc e and Re sear ch, and G ener al. Cleara nce Cleara x dures we s a number of standard ope rating proce dures in e fined a am i ning T obacc o re de proce nstitut e mater ials with potential smoking and he alth overtone s. Tobacc o I nstitut e Committ ee w ork I meeti n gs of the Committee of Counsel, Communications Com mittee, and involved attending tio c uti ve Com mit te e . Se e Se c I n I I Exe (D )( 4) , in fra for de ta ile d d isc us sio n o f T ob a c c o I ns tit ute Com mit e s. Sc ie nc e a nd Re se a rc h w or k p ri ma ri ly c on c e rn e d th e de ve lop me nt o f sp e c ia l pr oje c ts te industry work witnesses. Gene ral and was a ca tchall ca teg ory with activities rang ing f rom literature ert witnesses, to appear w, for the ing possible e x p ntify ance s at the Tobac co revie purposes of ide nstitut e’s Colleg e of Toba cco Kn o wl ed g e (discusse I I I (D)( 5), infra ). d in detail at Section I 521043046-3050 (US 20891); 2015035387-5391 ( US 36651). ned re M b ers of 120. ise conve em g ularly betwee n 1958 and 1998 at the the Enterpr meeting s of the Tobacco I nstitut e’s B oard of Direc tors. At these mee tings, re prese ntatives from the co I Enterpr solutions reg arding the Tobac ssed re nstitut e’s budg et, progra ms and ise discussed and pa p r o je c ts o f th e v a r io u s d iv is io n s , e le c ti o n o f o f f ic e r s , p a y me n t o f d u e s , a n d a me ndments to the by MN0005705-5712 (U S 21290); L G2000457-0461 (U S 21876); 2025856215-6225 (US laws. TI 23769); TI MN0006140-6146 (U S 62658); TI MN0006405-6411 (US 62663); TI MN0012917-2923 (US 62779); TI OK0004462-4466 ( US 63020); TI MN0017710-7711 (US 87550); TI MN0012893- S 88244); 2900 (US 88241); TI MN0006140-6146 (U S 88243); TI MN0012951-2955 (U -69-

100 TI MN0012974-2980 (U S 88246); TI MN0013001-3010 (U S S 88245); TI MN0012995-3000 (U MN0006405-6411 (US 88247); MN0013203-3213 (U S 88249); TI MN0014400-4410 88248); TI TI Stevens S 88321); MN0012963-2973 (U (US 88250); TI WD, 3:21-4:2, 4:14-23, 8:4-14, 17:14-19; see a lso Korneg ay PD, Small v. L orillard, 11/18/97, 36:11-19. membership fluc tuated during the exis tence of the Tobac co I nstitut e, 121. Although the x all Def ATCo, CTR, and the Tobac co I nstitut e itself) c rea te d , a g ree d to fund, and/or cept B endants (e s. TI fund the Toba nstitut e over the y ear cco I FL 0020285-0311 at 0297-0305 ( J D 080429). y did jointl o m 1 9 5 8 throug h 1999, pay ments to the Tobacc o I nstitut e fr om Defe ndants amounted to more tha n Fr rom Philip $618,432,000, including: $161,505,876 f r r is; $1,848,530 from L igg ett; $110,298,387 M o nolds; $29,195,668 from L &W; and $19,146,216 fr om from Rey orillard; $15,933,769 from B Americ an. ARG0333104-3192 a t 3175-3176 (US 75555); ARU5856402-6406 a t 6403-6406 (US 92 5) ; U SX6 40 00 01 -0 52 7 a US 8 34 -0 13 5, 02 23-0 22 5, 03 44 -0 34 6 ( 75 95 61 ) ( De fe nd a nts ' t 01 Responses to I nterrog atory No. 25). 122. L orillard wa s not a mem b er of the Tobac co I nstitut e fr om 1968 to 1971. TI FL at 0299-0305 (JD 080429). Howeve r, even durin g i t s n on-member ship, 0020285-0311 orillard it lease continued to “re ceive the re L s and other inf ormation issued by the I nstitut e,” a ttended and was “kept a s of the lawy all the major c ompanies at the I nstitut e’s of fice s, meeting pprised ers of of the I nstitut e’s a ctivities.” 044227839-7844 (U S 20066). 12 3. Exe c uti ve s o f D e fe nd a nt P hil ip M or ri s Co mpa nie s a tte nd e d a nd pa rt ic ipa ted i n oard of meeting cco I nstitut e Boa rd of Dire ctors and the Ex ecutive Committee of the B s of the Toba ensfe Direc x ecutives inc luded Thomas Ahr tors. These e ld, Senior Vice Pre sid ent and Ge nera l s; Cou ns e l; Da vid Gr e e nb e rg , V ic e Pr e sid e nt; Ka thl e e n L ine ha n, Vi c e Pr e sid e nt G ov e rn me nt A ff a ir -70-

101 Howar d L sident; and Steve Parr ish, Senior V ice President. 2025856215-6225 iebeng ood, Vice Pre 6 (US 23769); 20212669 -6951 (US 26055); 87718289-8294 ( 4 US 32068); 980166160-6167 (US MN0014390-4393 (U 16760371-0372 (US 62461); TI S 32464); 521500132-0136 (U S 52769); TI ; 2025856068- 6073 (US 86509); 2023723951-3955 (U S 62782); TI MN0014955-4960 (U S 62784) TI MN0013651-3655 (US 88302); TI MN0013656-3659 87550); MN0017710-7711 (US 86510); TI S 88304); TI MN0017720-7722 (U S 88305); TI MN0017725- (US 88303); TI MN0014418-4425 (U S 88307); T 7729 (US 88306); TI M N0018436-8439 (US 88308); MN0017731-7736 (U I S 88309); TI S 88310); TI MN0018590-8593 (U S MN0018451-8455 (U MN0018462-8466 (U TI MN0019234-9239 (US 88312); 88311); MN0013203-3213 (U S 88249); TI MN0014400-4410 TI TI MN0010629-0629 (U S 88252). (US 88250); TI 4. Th e To ba c c o I ns tit ute ’s a me nd e d b y la ws c re a te d t w o c l a s s e s o f m e m b e r s h i p. Cla ss A 12 of re the are tte manufa cture rs (those membe rs who as of the date of an y el ec t i o n cig members we S tors would be subjec Article I I I , t to additional dues assessment per ec t i direc n 1 of the by laws). o Cla ss A me mbe rs wo uld be e nti tle d to e lec t tw ic e the nu mbe r o f d ir e c tor s a s th e re we re Cla ss A members. Me mbers not subject to such would be entitled to e lect the same number of assessment , tors as there mbers. I n additi o n e Class B me the member s determined tha t the chief direc wer ach member company would be executive of e nated to se rve on the Tobac co I nstitut e Executive desig Commi ttee. L G20000457-0461 (US 86081); TI MN451429-1435 (U S 87551); 2021266019-6028 at 6019 (US 26736). 12 5. Th e pr ima ry fu nc tio ns of the To ba c c o I ns tit ute inc lud e d: a dv a nc ing -- thr ou g h p re ss o rele dvertisements, publi ca t i ases, a n s, and other public sta tements -- the Enterpr ise’s primar y the relationship between smoking position t hat there wer e scie ntific and medic al doubts conce rning -71-

102 and disea se; disputing stateme rganizations about smoking a nd disease, a nd later nts from hea lth o nd about sec of TI RC/C TR rese arc h projec ts and other disease; using t he results ond hand smoke a rch pr ojects to question the cha rg es ag ainst smokin g , to emphasize the esea industry -sponsored r of complexit diseases w ith which smoking ha s been statistically associate d, and to re assure ies those ic t he indus try was actively investiga ting the hat t deny ing that cig are tte smoking wa s the publ issues; ing the difficulties of quitting smoking; and deny ing that the industry marke ted addictive; minimiz outh. USX6390001-0400 (US 89555). to y n secur n 1958, when the T o I nstitut e wa s cre ated, Hill & Know l t I obacc ed the 126. o ount to handle its public rela tions. Bra ndt WD, 52:8-9. Two of the Hill & K nowlton employ ees acc ned to handle the new Toba cco I nstitut e ac count wer e L eonar d Z ahn and Ca rl Thompson, who assig e also ha I RC account. Z ahn PD, C ipollone v. L igg ett, 12/16/86, 85:16-86:20. One ndling the T wer public rela ti o n s o b j ec tives in Hill & Knowlton’s Mar ch 1958 Rec ommendations to the of four understanding co I nstitut e was: "T o cre ate a better public arding of fa cts reg Tobac tobacc o use and nc he , and of th e c on tr ibu tio n th e ind us tr y is m a kin g to e ff or ts o f s c ie lth e to f ind the a ns we rs to a health questions." S 79886). CTRMN015402-5408 at 5402-5403 (U e" A 1966 document titled " Missio n' of the Preside nt of the Tobac 127. nstitut The ' co I explained that, to meet its objectives, "the full resourc es of the I nstitut e must be direc ted towar d a consistent and positive prog ram to g ain public exposure to r esea rch results and scie ntific opinions f t tha e sti on the c ha rg e s a g a ins t sm ok ing a nd tha t po int up the c omp le xitie s o t qu ho se dis e a se s w ith which smoking n statistically associate d." 502645038S-5038Z (US 23053). has bee 128. I n a January 19 6 r, me mo r a n d u m to Earle Clements, Vice President Will iam Kloepfe 8 elations policy who was r esponsible for public a ffa irs, set forth what was to be the g uiding public r -72-

103 fo r t ba c c o I ns tit ut e: " to a tte mpt to i nc re a se su bs ta nti a lly pu bli c a wa re ne ss o f t he c ig a re tte he To ; d another way , to make a g rea ter portion of the public awa re tha t widesprea rsy controve putting it ttes as a c poor hea lth does not amount to conviction." CTRMN015575- are ause of indictment of cig 5593 (US 79902). 9 . Howeve r, in an Apr il 19 6 8 m em o ra n d u m t o E 1 l e C l em en t s , P re s i d en t o f t h e T o b ac co 2 ar nstitut e, Willi am Kloepf er, expressed conc ern tha t the industry ’s strateg y of constant a nd consistent I sic nia kin g ’s ha rm wa s u nte na ble . He wr ote : " Ou r ba smo po sit ion in the c ig a re tte c on tr ov e rs y l of de g e, and ma y be su b j ect to a f inding, that we are making false a nd misleading is subject to the char (US he sale VXA2511046- 1048 rettes." 63576); Br andt WD, 117:23- of ciga statements to promote t 119:6; 1005112459-2461 (US 20213). Re lat ion ship Be twe e n t he Toba c c o I nst it ut e and T IR C/ CT R 2. TI 0. Cr e a tio n o f t he To ba c c o I ns tit ute did no t e nd i RC/C TR’ s p ub l 13 c r e l a t i o n s a c tiv iti e s. Rather, it marke d the beg a joint public relations ef fort, betwe en CTR , t h e Tobacco inning of ons nstitut ir overla pping D efe ndant-membe rs in which the s c ie n ti f ic a n d in f o r ma ti o n I u n c ti e, and the f of TI TR wer e used by the Tobacco I nstitut e in i ts public relations ac tiviti es, althoug h there was RC/C TR and the Toba a totally ise division of labor be tween T I RC/C prec cco I ndustry . Br andt WD, never 89:23-90:3. 13 1. Du ri ng the SAB ’s F e br ua ry 14 -1 5, 19 58 me e tin g , SAB Cha ir ma n L itt le a sk e d T I RC ob Cha n T imo thy Ha rt ne tt abo ut the ne wl y -f or me d T ma a c c o I ns tit ute , it s p ur po se s, a nd its ir rela tionship, i f any , to T I RC. Har tnett e x plained that the Tobac co I nstitut e wa s a sepa rate entity and c tha s f or ma tio n d id n ot c ha ng e or a lte r i n a ny re sp e t it t TI RC, its ob je c tiv e s, or its fu nc tio ns . H e tol d e the the SAB me mbers that it had bec ome appar ent, during the 1957 cong ressional he aring s befor -73-

104 Bla tnik Com d the di sclosure of tar a nd nicotine y ields in advertising , that mittee which had a ddresse rom ea neede n e spokesman, r ather than someone f o ch tobac co o industry d to have the tobacc m p a n y , r e p r e s e n t i t a t v a r i o u s t c m e s a n d p l a c e s . C T R M I N - S A B 0 0 0 0 01 -1 06 1 at 0 1 1 4 ( JD o i 09 60 ); 68 18 79 25 4- 97 15 a t 93 91 (U S 21 02 0) ; se e a lso Chi lc ote PD, Min ne so ta v. Phi lip Mo rr is, 09 9/18/97, 27:5-28:6, 30:16-20. 132. hairman H artne tt a lso infor med the SAB members at that same me RC C that TI eting s acting as public re lations counsel for both TI RC and the Tobac co I nstitut e and Hill & Knowlton wa desirability of this fr om both org anizations' standpoint." CTRMI N-SAB 000001- "pointed out the 9 960); see a lso Za hn PD, Cipol lone v. L igg ett, 12/16/86, 0 1061, 70011735-1757 at 0114 (JD 0 85:16-86:20. e Executive Committ uly 1958 meeting of the Toba cco I nstitut 133. ee, Cha irman At the J B ow ma n G ra y of Re y no lds re po rt e d th a t the re sp e c tiv e fu nc tio ns of the To ba c c o I ns tit ute a nd TI RC had bee n discussed at leng ed " a tentative de cision to let the matter of the respe ctive th, and announc tit nc ns of the tw o org a niza tio ns (t he To fu c c o I ns tio ute a nd the TI RC) be de c ide d o n a c a se by c a se ba basis under the g uidance of public rela tions c ounsel," Hill & Knowlton. 04209323-9326 at 9323 (US 47370); 681879254-9715 a t 9391-9392 (US 21020). tion Def x pecte d the Tobac co I nstitut e and T I RC/C 134. endants e TR to act in coordina when taking a position on specific ne ws stories involving tobac co and health. I n a Februa ry 1958 letter to John Hil l of Hill & Know lton, Paul Hahn, President of Ame rican , wr o te, " I n the pre sent e compa state of e , the position of the I nstitut e should b vidence tible with that of TI RC and SAB." TL T0900385-0389 at 0387 ( US 88209). t 13 5. Hi ll & Kn ow lto n u nd e rs too d th a -74-

105 [c] omment from TI for the press remains an ef fec tive way to meet RC co publicity ef o r ts a n d emphasizes the multiple factors tha t anti-tobac f h should be consider se, is complemented w ith a i ed. T s, of cour ing inf give editors and t o ram of supply continuing pr og ormation ed per stions of tobacco a nd health. balanc writers a spective on que HT0145148-5150 ( US 21177). ked ag g ressively on behalf 136. RC and the Hill & Knowlton wor of both its clients, TI co I e, to influenc e the media and ensur e that the position and interests of the industry Tobac nstitut ast smoking a re w ell repr esente d to journalists, broadc arding repor ters and ma g azine reg nd health we ite rs . H ill wr & Kn ow lto n sta ff c a re fu lly do c ume nte d the ir int e rv e nti on s, a nd the ir ma ny su c c e sse s. Br andt WD, 59:4-7, 131:18-132:1. For anticipated the appea ra n ce of an ar ticle by 137. example, Hill & Knowlton, having eon Ge nera l L eroy E. Bur United States Surg in the Nov em b er 1 9 5 9 J ournal of the Americ an ney Me dic a l A sso c ia tio n, VX A2 15 00 46 -0 05 4 ( US 6 36 08 ), le a r n e d o f i t s c o n t e n t s a n d p r o v i de d th e pr e ss, in advanc e of publica atements fr o m both TI RC and Tobacc o I nstitut e re prese ntatives tion, with st the Surg eon Ge l’s assessment o f t h e s cientific evidence linking cig are ttes to lung attacking nera TI randt WD, 92: 7 -9 4 : 7 ; er. B OK0000477-0477 ( US 22720) (Toba cco I nstitut e President canc 1 ames Richards); 503283464-3467 (U S 22981) (TI RC S cientific D irec J e Cook L ittle); tor Clarenc HT0145148-5150 ( MN0110091-0091 (U S 21319). US 21177); TI po 8. RC Ch a ir ma n T imo thy Ha rt 13 tt r e TI rt e d to TI RC me mbe rs in 1 96 0 th a t: ne The staf f of TI RC is constantly in touc h with H ill & Knowlton, and consul ts on every activity rela ting to hea lth matters. For phase of la xamp , it pr ovides sp e a e rs fo r p le tf or ms, he lps a na ly ze b oth ke sc ie n ti f ic p a p e r s a n d c h a r g e s a g a in s t s mo k in g w h ic h a p p e a r in the public press, a nd consults on statements which are issued to inform the public. -75-

106 2 C T I R C - M I N 0 0 0 1 7 4 - 0 1 8 6 a t 0 1 8 4 ( U S 3 3 0 1 6 ) ; C T R - T I R C - M I N 0 0 0 0 0 1 - 0 0 0 - 5 2 a t 0 1 8 4 ( JD R T US 21020). 093292); 681879254-9715 at 9393 ( n the 1970s, Def need f or eve n closer c oopera tion between 139. endants discussed the I nstitut e. Willi am Kloepf er a nd Fr ed Panzer, To b ac co I n stitut CTR and the Tobac co I e Vice cific g Chairman H en ry Ramm select a ne w Presidents, proposed spe uidelines to assist CTR S 87588). The Toba r C TR. TI MN0004138-4141 (U ctor cco I nstitut e Executive Scientific Dire fo mit te e dir e c te d T ob a c c o I ns tit ute Pr e si dent H or a c e Ko rn e g a y to m e e t w ith He nr y Ra mm t o Com cco Re cooper the I nstitut e and the C ouncil for Toba n sear ch.” K orneg ay ation betwee discuss “closer po rt e d, a t th e Ap ri l 2, 19 73 me e tin g of the To ba c c o I ns tit ute me mbe rs hip a nd B oa rd of Di re c tor s, re loser coope nstitut that “CTR did desire c e and tha t the scientific pe rsonnel of the ration with the I I e would be invited to attend the May 15, 1973 CTR meeting in Ne w York.” L G2000457- nstitut 0461 at 0459 (US 21876). 140. After four months as CTR President, Addison Yea man, chair ed his first meeting of e the C me mb e r s h ip o n D e c e mb e r 1 0 , 1 9 7 5 . H R to ld th e me mb e r s th a t, “ a ll th e r e s o u r c es [of T CTR] , all th e k n o w le d g e [o f CT R] , a ll th e h e lp th a t C T R c a n g iv e , s h o u ld b e a v a il a b le to the ld la e rs , to the To ba c c o I ns tit ute , a nd to a ny oth e r o f t he tr oo ps in the fi e ld, ” a nd tha t CTR sh ou wy be indepe ndent but “indepe the member ship.” 11303014-3020 ndent within the policies set down by S 21025). (US 86005); 682631405-1421 (U I n its press rele ases, a dvertisements, broc 141. and other materia ls, the Tobacc o hures, I nstitut e publicized the substance of TI RC/C TR resea rch a nd the ag g reg ate a mount of the funds order spent, as we the i ndustry in ll as the amounts contributed by to influence the public’s per ception tt, of the ind us tr y ’s c on c e rn a bo ut c ig a re tte smo kin g a nd he a lth . D uf fi n PD , Cipo llo ne v. L ig g e -76-

107 6 1/ 8 6 , 1 0 8 : 1 5 -2 0 ; s ee , e. g. , 5 0 2 6 4 4 5 9 2 -4 6 1 6 at 4 6 1 5 -4 / 1 6 (U S 2 0 7 0 3 ); 2 015046793-6839 at 6828 3 2 (US 25526). nstitut e ad in the W ashing ton Post discussed C TR gr ants totaling A 1970 Tobacco I 142. es “Af 20 y ear s of r ter millions of dollars and over ea rc h: The ading over $17 million under the he nd health is still a question.” T I M N 0 0 8 1 3 5 2 ( U S 21305) ; 500004807-4809 question about smoking a tte S 20 8) . A 19 75 To ba c c o I ns tit ute pr e ss r e le a se pr omo tin g its bo ok le t “ Th e Cig a re 60 (U ,” an outline of Controversy t ed the indust ry ’s doubts about the hea lth risks of smoking, no rs who ar s ea rche o help support e see king the truth.” commitment of “$50 million t re MN0120638-0639 (U S 21698). I n 1981, 1982, and 1984, Tobac co I nstitut e broc hures pr oviding TI “Toba for CT R fu n d i n g of re sear ch we re titled re spectively ndustry cco I publicity Resear ch on Smoking and He alth: A $104 Milli tme n t , ” 2 0 46754709-4719 (US 20474); “ Tobac co on Commi ndustry en ch on Smoking a nd Hea lth: A $111 Mil lion Com mitm I t , ” 670500617-0620 (US Resear Hea Tobac ndustry Resear ch on Smoking and 20968); and “ lth: A $120 M illion C ommitm ent.” co I 2045377870-7876 (US 20460). 1 4 3 . One To b a c c o I n s ti tu te a d v e r ti s e me n t t h a t r a n in ma jo r n e w s p a p e r s a n d ma g a zines throug hout the country a photocopy of a F ebrua ry 1969 CTR press rele ase, 779023398- consisted of f n CT R’ 3400 (US 36484), quoti Sc ie n ti g ic Direc tor, Clarenc e Cook L ittle, with a headline de clar ing s “ Ho w M uc h is Kn ow n a bo ut S mok ing a nd He a lth.” TI MN 00 00 56 0- 05 61 (U S 21 87 4) (a d in Br sting); 1005132848- 2849 (US 20222) (a d in New Yor k Times); TI MN0081695-1696 (U S oadca 21308) (a d in Febr uary throug h April 1969 mag azines and new spaper s). The General Counsel of ett wer Phili nolds, B& W, L orillard, and L igg p Morris, Rey e aske d to, a nd did, approve the running S 21309). of the a dvertisement. 1005153098- 3099 (US 20227); TI MN0081698-1698 (U -77-

108 144. I i n terview on a Mutual B roadc asting Sy stem radio show n a Nove mber 1962 e Allen rette Smoking n g C ance r,” Toba cco I nstitut e President Ge org u discussing “ Ciga and L nstitut e supported smoking and hea lth resea rch co I explained that the Tobac anization, the Tobacc o [I ndustry ] R esea rch throug h a sister org i ttee, wh h as done more investig ation in the eig ht y ear s Commi ch other priva anization g stablished than any since it was e te scientific or ic subject of lung org l the s pecif anization canc er . . . ove r or medica in 0 in div idu a l g ra nts . . . o ve r f ive mil lio n d oll a rs . 10 bout statisti When asked a seeme d to impli cate smoking a nd disease, A llen replied cal studi es which ion he fe nd th t nts ' po sit De tha t wi a ]hese statistical studies add up to the need f or fur t her intensive [t work on the subject . . . nobody knows what ca uses ca ncer scientific . th s a ma tte r tha t re ma ins to be fo un d by is i tho ro ug h a nd e ne rg e tic . . scientific investig ation. 500052010-2018 at 2010-2011 ( US 63600); Br andt WD, at 114:7-115:7. 145. L eonar d Z ahn, TI RC/C TR’s public rela tions counsel, maintained close ti es with the e To c o I ns tit ute a nd se rv e d a s a lia iso n be tw e e n the tw o org a niza tio ns . He ke pt i n c los c tou c h w ith ba Wil r at the To b a c c o I nstitut e, “a dvising [Kloepfe r] in advance about meeting s and other liam Kloepfe “dea g ate a problem,” suc h as an a rticle or me eting ht cre ling with a n adver se re port situations that mi on smokers.” Z ahn PD, Cipollone v. L igg ett, 12/18/86, 408:5-409:19. Za hn sent ca rbon copie s of his CTR reports to the Tobacc o I e; spoke a t sessions o f t he Toba cco I nstitut e Colleg e of nstitut s a member Tobac o wl ed g e; and wa Kn of the Toba cco I nstitut e Communications Comm ittee. co Du ff in P D, Cip oll on e v. L iggett, 1/2 3/8 6, 87 :12 -8 8:2 ; Z a hn PD, Ma ssa c hu se tts v. Phi lip Mo rr is, 5/28/98, 145:14-146:11, 149:25-150:10; TI 04962331 -2 334 (US 86167); TI 04962389-2389 (US lone v. 62201); TI 04962390-2398 (US 62202); TI FL 00 6 8 3 8 7 -8387 (US 77028); Za hn PD, Cipol -78-

109 - L tt , 1 2 /1 6 /8 6 , 1 2 9 :1 3 - 1 5 , 1 8 , 2 1 - 2 3 , 1 3 0 :1 e 3 , 1 2 - 1 9 , 1 3 0 :2 2 - 1 3 1 :2 , 1 8 8 :2 4 - 1 8 9 :6 ; Z ahn PD, g ig one v. L igg ett, 12/17/86, 274:2-8, 275:5-21; Za hn PD, Richa rdson v. Phili p Morris, 12/1/98, Cipoll hn PD, Rich 52:9-55:3, 275:17-276:6; Za s on v. Phili p Morris, 12/16/98, 308:7-14; Za hn PD, ar d 6-21. Richardson v. Philip Morris, 1/13/99, 837: c to a 1969 letter, R o b 146. r t H o Acc k e tt , CTR’s A ssociate Scientific Direc tor, was ording e t o re view Toba cco I nstitut e publications, such a s "The Ciga rette Controve rsy " a nd "E ight asked rs," ive sug g estions for improveme nt. HK0108004 (US 21171). and g Questions and Answe Members of CTR’s supposedly independe nt SAB, like Arthur Fur s t an d Sheldon 147. n m m e r s , a p p e a r e d a t T o b a c c o I n s t i t u t e p r e s s c o n f e r e o c e s t So d i s c r e d i t m a i n s t r e a m s c i e n t i fi c rese arc I n an April 1970 briefing and update "on industry public rela tions in t he fie ld of smoking h. lth," Ji of Philip Morris reported to Rober t Heimann, P resident of Americ an, and hea m Bowling co I nstitut e plan s t o hold a pre ss confe renc e on Apr il 30, 1970, to dis cre dit the about Tobac 342), infra bach- g Auer (discu s s ed further at Section I I I (F )(3) (¶337- Hammond bea ). The le study spokesmen for ndustry wer e to the i TR’s Arthur Furst and Sheldon Sommers who would "ta ke be C a stand a g ainst the ACS [ Americ an Canc er Socie ty ] propag anda a pproac h to ‘scienc e.' " 966000976- 0977 (US 86084). 14 Th e To ba c c o I ns tit ute inv ite d Sh e ldo n Somme 8. to te sti fy be fo re Con g re ss on b e ha lf rs of the industry . Sommers PD, Galbraith v. Rey nolds, 9/4/85, 58: 25-59:10. L eonar d Z ahn at TI TR edited the testimony that Sommers ga ve bef ore Cong ress into a mag azine arti cle for RC/C Americ an Drug g ist. Z ahn PD, Cipollone v. L igg ett, 12/17/1986, 223:12-224:11 , 2 2 4 : 16-224:16, 225:7-225:12; Som mers PD, Cipollone v. L igg ett, 10/3/86, 276:11-18; S ommers PT, Cipollone v. red L igg ett, 4/20/88, 8890:18-8890:25. The article titled "Smoking an d Hea lth: Many Unanswe -79-

110 Qu e s" wa s p ub lis he d in the Se pte mbe r 1 97 0 is su e of Am e ri c a n D ru g g ist . T he e dit or’s n ote sti on airman of the SAB. Z S 21161); h identified author Sheldon Sommers as C N16062-6065 (U CTRMN015361 (US 79869); CTRMN015362-5365 (US 79870); CTRMN015384 -5387 (US 79879); CTRMN015389 (US 79881). ute n 1 97 4, Willi a m K loe pf e r, To 14 I ns tit I Vi c e Pr e sid e nt f or Pub lic Af fa ir s, 9. bacco d filmed interviews with se vera l CTR-a ffiliated persons on issues re lated to smoking a nd conducte opinions of the CTR-affiliated health. The e unanimously supportive of the Ente rprise’ s persons wer x nd health issues, althoug b o moking a in d ividua ls claimed to be e h pressing their own positions on s th Sheldon Somm ers, CTR’s Associa tion Scientific Direc tor and SAB individual personal opinions. t “there is no s o u n d ev idence that smoking is har mful to the health of the Chairman, stated tha Aviado, CTR Spec ial Project funding rec ipient, stated that “on the ba sis of Domingo nonsmoker.” ting sc ientific evide nce , t obacc o smoke, I think, constitut es no hea lth hazard to normal exis nonsmokers i public place s.” Robert Hoc kett, CTR’s Scientific Direc tor at that time, stated that n “it just seems to me there is no justi fica tion for any g ener al laws with re spect to the prote cting of nonsmokers fr om smoke.” TI US 77110). TX0001450-1455 ( p The Toba e fa iled to identify scientists as re ci nstitut i en ts of CTR S pecia l 150. cco I and/or L awy ers Spec ial Acc ounts funding ( Project funding the r at Sec tion (I I I )(E) (2-3) , discussed fur infra) incorpora ting their , when onclusions in press rele ases a nd other publica tions statements and c as those of suppose dly independe nt resea rche rs or re sear ch re sults. TI M N 0 1 2 0 7 3 7 - 0 7 3 8 ( U S 8 7601) u (1982 pre lleng ing c iga rette pa ckag e wa rnin g , q se cha o ti n g St e r ling) ; TI 12431636-1650 (US ss relea 62 38 4) (1 98 4 r e vie tte f m e dic a l/sc ie nti fi c te sti mon y pr e se nte d to Con g re ss t itl e d " Th e Cig a re w o isher, Controversy : Why More Rese arc h I s Nee ded," quoting Avia do, Bic k, Bing , Bla u, Ey senck, F -80-

111 NA Fur aggi o , S el t z er , S t er l i n g); M v T 0 0 2 2 4 3 1 7 -4 3 5 4 (U S 21223) (1978 br ochure , Rao, Sal st, Hickey i t l ed "T h e S m o k i n g C o n t ro v e r s y : A P er s p ec t i v e, " q u o t i n g S el t z er , Fe i n s t ei n , Av i ad o , S t er l i n g, t g be ; T NWL 00 19 63 8 - 9 6 4 0 ( U S 2 1 70 3) (1 98 3 p re ss r e le a se op po sin g c ig a re tte pa c ka r) e wa rn ing s, Hu lau, Fishe quoting B senck, a nd CTR’s Scientific Direc tor Sommers), TI MN0138444-8446 (U S r, Ey US 85363), (US 87625); TI MN0125189-5189 (U S 77065) (1988 85362), TI MN0120772-0773 ( lease disputing Surg eon Gene ral Koop’s statement that cig are tte smoking wa s addictive a nd press re lau). quoting B St Toba c c o I nst it ut e P r e ss Re le as e s, P ublic e at e m 3. nt s, Adv e r ti se m e nt s, Br oc e s, and O th e r P ublic at ion s hur During pu istence, the Tobac co I nstitut e wa s the leading 151. b lic voice of the its ex endants. Chilcote PD, Minnesota v. Philip Morris nc., 9/18/97, 27:5-28:6, 30:16-20; Merry Def man I -15. To fur nc., 56:17-57:5; 6 PD, Richardson v. Philip Morris I : 1 ther the Ente rprise’ s g oals, the 0 To ba c c o I ns tit ute c re a te d, iss u e d , a n d d i s s e m i n a t e d p r e s s r e l e a s e s , p u b l i c sta te me nts , a dv e rt ise me nts , brochur es, pamphlets, and othe rials on beha lf of De fenda nts (1) deny ing tha t there w as r written mate link between smokin ; that nicotine was a an d d i s ease any ddictive; that cig are tte companies g ro marke at en v i outh; and th n mental tobacc o smoke (" ETS") posed a he alth risk; and (2) ted to y discrediting scientists and public health officials who t ook a differe nt position on t hese issues ( See TT, e.g c), infr a). Dawson (5)( 1/12/05, 9927:11-9928:18; Dawson WD, 34:5-7, 36:8- ., Section V(A) 13, 37:4-9, 64:20-23, 65:1-7, 71:12-16, 80:17-23, 81:1-7, 81:13-16, 84:18-19; 87:6-11, 89:1-5, 89:14-19; Chilcote PD, B roin, 11/19/93, 25:8-26:17, 27:15-28:15; Me rry man PD, B roin, 11/18/93, 27:18-22; USX6390001-0400 (US 89555); TI MN00813 5 2 -1 3 5 2 (US 21305), (U S 63572); S TI MN0081695-1696 (U S 21308); TI MN0053170-3176 (U S 65600); TI MN333361-3363 (U -81-

112 78730); MNAT00276115-6117 ( US 876 ); T I M N0 1 2 0 7 2 5 -0726 (US 87596); TI MN0120727-0728 6 5 US 63019); TI S 65625); TI MN0120731- OK0034156-4181 ( MN0120729-0730 (U (US 87597); TI 87598); TI MN0120733-0734 (US 87599); TI 0732 (US 8 7600); (US MN0120735-0736 MN0120737-0738 (U S 87601); TI MN0120742-0742 (U S 87603); TI MN0120743-0743 (U S TI MN0120745-0745 (U S 87606); TI MN012046-0746 (U S 87607); TI MN0120747-0747 87604); TI MN0120748-0748 (U (US 87608); TI S 87610); TI MN0120751- S 87609); TI MN0120750-0750 (U MN0120752-0752 (U I M N0120753-0753 (US 87613); 0751 (US 87611); TI S 87612); T MN0120754-0754 (U S 87614); TI MN0120755-0755 (U S 87615); TI MN0120756-0757 (U S TI TI 87617); TI MN0120760-0760 (U S 87618); TI MN0120763-0764 MN0120758-0759 (US 87616); MN0120768-0769 (U S 87623); TI MN0120770-0771 (U S 87624); TI MN0120772- (US 87621); TI 0773 (US 87625); TI MN0131860-1 8 6 1 (US 21744); TI MN0081712-1713 (U S 87629); TI MN0081714-1714 (U MN0000471-0495 (U S 87631); TI MN0133954-3960 (U S S 87630); TI MN0133707-3711 (U MN0076952-6961 (US 87635); TI MN0122571-2573 62653); TI S 87634); TI MN0122574-2576 (U S 87638); TI MN0122577-2578 (U S 87639); TI (US 87637); TI MN0120706- 0708 (US 87 6 4 0 ); TI MN0131847-1847 (U S 87641); TI MN0120619-0619 (U S 87642); TI MN0120618-0618 (U S 87643); TI MN0109576-9576 (U S 87644); TI MN0004099-4099 (U S (US 87646); MNAT00275488-5498 ( -0 7 9 3 MN0120792 87668); (no bate s) (US US 87667); TI 21239); 2025422955-2958 (U S 89306); TI 1016-1258 (US 89307); TI 1016-1261 (US 89308); TI 1016-1297-1298 ( US 89309); 507789709-9710 (US 89310); TI DN 0012098-2099 (US 89311); TI 89312); 506649098-9099 (89313) ; 507610852-0853 (US 89314); DN 0005825-5826 (US TI MN334986-4988 (U S 89316); 877161722-1723 (US 89317); 9 3 1 5); 507793570-3571 (U S 8 (US TI M N3 5 4 2 9 2 -4294 (US 89318); (no ba tes) (U S 89319); (no bates) ( US 89320); (no bates) -82-

113 89 28 no ba te s) (US 89 29 0) ; ( no ba te s) (U S 89 29 1) ; ( no ba te s) (U S 89 29 2) ; ( no ba te s) (US 9) ; ( tes) (U US 89296) s) (US 89294); (no ba ; (no bate s) (US 89293); (no bate S 89295); (no bates) ( t ) (US 89300); (no ba tes) (U S 89301); (no bates) ( US s) (US 89299); (no ba 89298); (no bate es 3 02); (no bate s) (US 89321); (no ba tes) (U S 21286); (no bates) ( US 21363); (no bates) (US 8 9 0720452-0464 (US 87155*). s) (US 85150); TI 87735); (no bate co I is no que t i o 152. s nstitut e intended the public to rely on the There n that the Tobac anization made on beha lf of its cig are tte manufa cture r member s. Dawson public statements the org man PD, Minnesota v. Philip M TT, 1/12/05, 9930:2-18; Merry orris, 7/15/97, 36:11-24, 38:15-17, noted, the Toba nsti t u t 70:24-71:4. As alre s cco I p ublic spokesper sons appea red on va rious ady e’ le vis ion sh ow s b ro a dc a st on al l majo r ne tw or ks in al l fif ty U. S. sta te s. Me rr y ma n PT , M inn e so ta te :2 p Morris, 2/6/98, 271 :2 2 - 2 7 1 8 7 1 ; U SX 6 390001-0400 (US 89555). B renna v. Phili ice n Dawson, V President of Public Relations for the Toba cco I nstitut e and one of it s m aj or spokespe rsons, stated that she, on beha lf of the Tobac co I nstitut e, intended the public to rely on the public statements she ions vision, reg ss of whethe r the stateme nts she made we re in re sponse to qu est made on tele ardle posed by the media or wer e spontane ous statements she volunteer ed to the media. Walker Merr y ma n , a n o th e r lo n g - ti me T o b a c c o I n s ti tu te s p o k e s p e r s o n , s im il a r ly s ta te d th a t t h e T o b a c co I nstitut public to bel ieve its public statements. Da wson TT, 1/12/05, 10110:1-6; e intended the 1 y Merr 6 , man PD, Minnesota v. Philip M 2 5 :1 1-19, orris, 7/15/97, 113:5-8, 113:15-114:11, 114:15-1 153:9-19, 155:6-11, 186:2-25, 189:14-20, 193:22-194:1, 2 0 2 :1 9 - 2 3 ; 2 0 2 5 4 2 2 9 5 5 - 2 958 (US 89306); 1016-1297-1298 ( TI TI 1016-1261 (US 89308); TI 1016-1258 (US 89307); US 89309); 507789709- 9710 (US 893 1 0); TI DN 0012098-2099 ( US 89311); TI DN 0005825-5826 ( US 89312); 506649098- S 89315); 507793570-3571 9099 (US 89313); 507610852-0853 (U S 89314); TI MN334986-4988 ( U -83-

114 (US 89316); 877161722-1723 (U S 89317); TI MN354292-4294 (U S 89318); 502823717-3718 (US 31 5) MN 34 73 91 -7 39 8 ( US 6 56 75 ); (n o b a te s) (U S 89 I 9) ; ( no ba te s) (U S 89 32 0) ; ( no ba te s) 25 ; T 50 S 89290); (no (US 89289); (no ba US 89291); (no bates) (US 89292); (no ba tes) (U S tes) (U bates) ( 9 93); (no bate s) (US 89294); (no ba tes) (U S 89295); (no bates) ( US 89296); (no bates) (US 8 2 tes) (U n o bates) ( US 89301); (no bates) (US s) (US 89299); (no ba S 89300); ( 89298); (no bate (US 89321); (no bate s) (US 21286); (no ba tes) (U 89302); (no bate US s) S 21363); (no bates) ( s) (US 85150); TI 0720452-0464 (US 87155*). 87735); (no bate 153. Howeve r, whe n asked a bout public scientific support for the public statements she s ma kin g on be ha lf of the To ba c c o I ns tit ute , B re nn a n Da ws on c ou ld n ot n a me a sin g le pu bli c wa anization that health org cco I nstitut e, that it had not bee n proven tha t asser ted, as did the Toba aused disea the time she was a spokesperson on beha lf of the Toba cco I nstitut e. smoking c se during ws on WD, 76 :8- 11 . N or c ou ld Ms. Da ws on na me a sin g le me dic a l do c tor , n ot a sso c ia te d w ith Da h o industry , who took the positio n t wa at i t the tobacc s not proven that smoking cause d disease. T Dawson 7 6 :1 2 - 1 5 . Si mi la r ly , Wa lk e r M e r r y ma n , a ls o a , o b a c c o I n s ti tu te s p o k e s p e r s on for WD over twe y ear s, could not name a single medical doctor nty aff iliated with the tobacc o industry not who publicly took the position t hat there wa s s ome medica l doubt as to whether smoking cause d disease. Me rry oin, 28:6-29:2. man PD, Br Di 4. e fu nc tio n o f t he Pub lic Re la 15 ns Th vis ion of the To ba c c o I ns tit ute wa s tio to repre sent our me m ber c ompanies with the pre ss, ge nera l public, any one who ha ion about tobacc o, specific ally the smoking d a quest lth issue, but and hea economics, history . We repr esente d all the also c omp a nie m a so tha t no on e of the m ha d to a ns we r q ue sti on s f ro s, st. pr e ss p e rs on or sto c k a na ly -84-

115 ne Du Mu nn v. Phi lip Mo rr is, 1/7 /87 , 9 3:2 1- 94 :5; Chi lc ote PD, Min D, so ta v. Phi lip Mo rr is, in P ff : -28:6, 30:16-30:20. I n other wor ds, acc ording 5 o I nstitut e Vice President 9/18/97, 27 to Tobacc re nn a n D a ws on , th e ob je c tiv e s o f t he Pub lic Re la tio ns Di vis ion we re " to ma ke pu bli c sta te me nts B the and to provide industry ’s point of view, not just one company ’s, but an industry -wide tobacc o elating to tobacco." point of view on matters r Dawson WD, 34:4-7; 34:13-15. 1, 1972 A May om Fre d Panzer, a public re lations specialist with the 155. memorandum fr co I nstitut e, to Tobac co I nstitute Pr esident Hora ce K orneg ay beg an by descr ibing pa st industry Tobac c tio n: a ed r n ea rl y t we n t y y ea rs , t h i s i n d u s t ry h as em p l o y n a s i Fo gl e s t ra t egy to defe itself . . . it has alway s been a holding stra teg y , consisting nd ny c a tin g do ub t a bo ut t he he a lth c ha rg e of tho ut a c tua lly de re ing it, wi advoca s rig ht to smoke w ithout ac tually urg ing the m ting the public’ ar actice ag ing obje ctive scie ntific rese to take up the pr ch . . . encour as the only way to resolve the que stion of health hazard. Panzer went on to discuss a proposed public rela tions campaig n -- The Roper Proposal -- desig ned to persuade the public that " iga rette smoking may not be the hea lth hazard that the anti-smoking [c] sis omit say it is beca use other alterna tives are people least as pr obable" (empha ted). The proposed at campa ould sugg est two such possible alter natives: (1) the co ign w s t itutional hy pothesis, i.e., n smokers diffe r i mportantly from nonsmokers in ter ms of here dity , constitutional makeup, lifesty le, and stress; and ( torial hy pothesis, i.e., other fa ctors such a s air pollution, viruses, food 2) the multi-fac additives, and oc cupational ha zards contribute to dise ases for which smoking is c onsidered a cause . 63585); TI at 7551-7553 (US MN0077551-7554 87657703-7706 (US 21098), (US 79218); B randt ron TT, 125:2-127:10; Panze r PD, Small v. L orillard, 10/22/97, 206:16-207:20; Panz er PD, I -85-

116 Wor ke Phi lip Mo rr is, 12 /18 /98 , 1 8:2 2- 21 :12 ; USX6 39 00 01 -0 40 0 (U S 89 55 5) (T I Re sp on se to rs v. dmission Nos. 242, 243). Request for A g . I n o r d e r to 1 s u e p u b li c s ta te me n ts r e 5 a r d in g s mo k in g a n d h e a lt h , th e T o bacc o 6 is ns tit ute c on tr a c te d wi th nu me ro us sc ie nti sts to c on du c t re se a rc h on re la te d iss ue s. Suc h c on su lta nts I L lud d Sa lva tor e Di Na rd i, G io G or i, L a rr y Ho lc omb , A la n K a tze nte in, Pe te r L e e , M a ur ic e e e Vo is, inc ence sor, Sorell Schwar y Senkus, David Weeks, L awr urra Wex ler, Philip W itorsch, tz, M Mark Rea Wit orsch. W AX001 1075-1127 at 1084 (US 64758) (TI Response to I nterrog atory No. 8). and Ray nty During -one y ear s that Anne Duffin, and the twe the twenty -two y ear s that Walker 157. Public Af y man, worke d for the Tobac co I nstitut e’s prepa fairs Division, they Merr red ma ny of the Tobac co I e publications that di sputed the ex istence of any link betwee n smoking and disease; nstitut ddictive; that cig outh; and that Environmental tte co m p an i es marke ted to y that nicotine was a are co Smoke (“ a health risk. Titles of such publications include, but ar e not limited Tobac ETS”) posed g are tte Smoking and He art Disea se; Ciga rette Smoking to: Ci ance r: A Scientific Perspe ctive: and C Smoking and He alth, The Continuing Controver sy 1964-1979; On Tob acco: 21 Questions and An s we rs ; T h e C i gar et t e C o n t ro v er s y , E i gh t Qu es t i o n s an d An s we rs ; Ab o u t T o b a c c o S m o k i n g: Smo a nd Wome n; a nd Vi ta l Sta tis tic s -- Ho w Ac c ur a te g Ar e Th e y ? Du ff in PD, Mu nn v. Phi lip kin Morris, 1/7/87, 64:22-65:6, 95:11-97:1, 100:10-102:8, 102:14-103:1, 113:8-21, 114:1-15, 2 0 -2 4, 12 1:1 -1 22 :24 , 12 3:3 -1 5, 12 6:3 -1 27 :19 , 1 33 :21 -1 35 :12 , 1 36 :15 -1 9, 13 9:5 -1 40 :3, 14 1:2 -1 0; D uf fi n PD, Cipol igg ett, 1/23/86, 63:10-64:16; Merry man PD, Minnesota v. Phili p Morris, 7/16/97, lone v. L 317:13-22; 519838352-8517 (US 87707); 519838518-8621 (US 87708); 519838622-8674 (U S 87709); TI 01071639 (US 62099); 2501112047-2098 (U S 20561); 2025431644-1748 (US 20417); US TI MN0121541 -1 558 (US 65632); TI MN0055304-5330 (U S 62816); TI OK0027221-7226 ( -86-

117 77109); 1005152849-2896 (U S 20226); TI 65670); TI MN0121622-1646 (U S MN300233-0257 (U S 65626). Over s, the Tobac co I nstitut e attempted to discr ear of the Surg eon 158. the y edit many ra l’ s Re po rt s th ro ugh it s pub lic sta Ge me nts , p re ss c on fe re nc e s a nd oth e r p ub lic a tio ns . ne te rr y ma n PD , K ue pe r v . R. J. Re y no lds , 6 /26 /92 , 19 :12 -2 1:2 ; Ko rn e g a y PD, Cip oll on e v. L ig g e tt, Me 1 10-102:8, 102:14-103:1, 1 :1 0 - 1 1 2 :9 , 1 17:6- 1 12/6/94, 683:4-687:6; Duffin PD, Munn, 1/7/87, 100: MN0125189 (US 67277); TL T0390022-0024 (U S 76770). For e x ample, a " persona l and 25; TI ntial" L orillard memora ndum dated J anuar y 8, 1979 from Curtis H. J udg e to J . Robert Ave confide endants, related a thur J h corpor ate of ficials of D ef . Stevens, all hig J anuar y 5, 1979 and Ar ill on ve rs a tio n th a t Judg e ha d w ith Al e xan de r S pe a rs of L or a a rd a nd c no the r c on ve rs a tio n w ith B ill Kl oe e r o f t he To ba c c o I ns tit ute : pf rs surmises that this carbon monoxide information may Dr. Spea be h e new “ bombshell” part of the Surg eon Ge nera l’s repor t and the t repor nd part of the l i kely to attrac t the media. At t which is new a 4:30 on Frida afte rno o n I talked with B ill Kloepfer a t the Tobac co y I n s t i t u t e a n d h e h ad j u s t l ea rn ed o f t h i s i n fo rm at i o n a fe w h o u rs ago (about the sa me t we did) on w hat he de scribed a s an “inter cept.” ime g h s with our conclusions as t o He a ow it will be used in the ree nstitut eon Ge l’s repor t and the I Surg e will work on c ountera cting nera it. I promised that we wo uld ge t the information to him should we rec ore he does. eive it bef 85158126-8127 at 8126-8127 ( US 56009). 159. The Enter prise’s c oncer n about the substance of the 1983 Surg eon Ge nera l’s Report was a constant theme throug hout the Tobac co I nstitut e’s doc uments for months befor e the r eport wa s ss of ever published. As ear ly as Jul y 1, 1982, “the Scientific Affa irs Division w as in the proce -87-

118 devising strateg Surg eon Genera l’s Report.” TI 0396-1863-1866 a t 1863 (US ies to counter the 1983 e the Surg eon Ge l’s Report was e ven made public, 62157). B efor nera e] take ce . [t he Toba cco I nstitut that rtain steps . asked Sam Chil cote . S u rgeon Gener al’s re to blunt the impact of the 19 8 3 port on the st, it wil tiv i t y . l lack objec W e expect the round that, as in the pa g rt disease s. subject to be smoking and hea , the plans direc lly ivision Specifica ted the Scientific D rela to prepa ical pape r cove ring selec ted ar eas of tively brief log re a ontradictions in the ca se for smoking a s e and c inadequa te knowledg a a e of or ri sk fa c tor in h e a rt dis e a se s. c us e c e ntr a l r ole of le g a l c ou ns e l in the c le a ra nc e pr oc e ss w a s a lso de ta ile d in the me mor a nd um: Th f i rdy ovide clea ranc e of the paper and o will pr t s final Shook, Ha h will be develope d by the Public Relations Divisi on. At format whic sa me tim e the PR st a ff a nd PR c ou ns e l w ill pr e pa re a lis t of me dia the ne op wh o ma y be e xpe c te d to c ov e r the Sur g e on Ge le ra l’ s Re po rt . pe urg issued Kloepfe r: “When t he S by eon Genera l’s Report i s issued, the The following directive was aff will stick to the TI PR st position rathe r t han commenting directly on the report.” TI 03961860- 1861 (US 62156). 16 A d oc ume nt d a te d Oc tob e r 18 , 19 82 , tit le d “ Me mor a nd um f or the Re c or d - - S ub je c t: 0. ’s Response or Planning to Meet the 1983 Surg nera l’s Report” de tailed the entire Planning TI eon Ge of this Tobacc y nstitut e ef fort. TI 03961863-1866 at 1863 (U S 62157). chronolog o I 6 1 . At th e D e c e mb e r 9 , 1 9 8 2 1 o b a c c o I n s ti tu te B o a r d o f D ir e c to r s me e ti n g , Tobac co T I nstitut e P resident Samuel D. C hilcote, J r., discussed the I nstitut e’s a pproac h to the upcoming 1983 t Surg nera l’s Re p o rt . T h e T o b ac co I n s t i t u t e’ s p l an s i n cl u d ed p er s o n al l y p as s i n g o u eon Ge s u m m aries o of its document on “Smo i n g an d C ar d i o v as cu l ar Di s ea s e” t k s ev er al d o z en re p o rt er s ; h av i n g Ge o rge questions and lend Schafe r, Tobac co I nstitut e Medic al Dire ctor, on ha nd to answer the re porters' -88-

119 Ge c ty ; ho ldi ng its “ ow n pr e ss c on fe re nc e a da y or so be fo re the Sur g e on ili ne ra l’s p re ss dib re renc lleng ing the co n t ention that smoking c auses c ardiova scular dise ase,” with Shook, confe e cha g & B dy ssistance; and a tt e mp ti n acon pr to “enc ourag e a non- tobacc o state cong ressman Har oviding a unch an investiga tion into MRFI T [Mul tiple Risk Fa ctor I nterve ntion Trials] s hortly befor e the to la s a g Ge ne ra l’ s c on fe re nc e ,” a lle g ing tha t it wa on waste of 11 5 mi lli on ta x pa y e rs ' do lla rs , e Sur eby putting the Surg eon Ge nera l on the defe nsive.” TI MN0017276-7303 (U S 86118). “ther A J y 11, 1983 memorandum de tailing the monthly overvie w of the Toba cco anuar 162. nstitut e’s Scientific Affa irs Division listed as i ts first “key ” item the “[p]repara tion and ref inement I t on hear nstitut esponse to the 1983 Surg eon Ge nera l’s forthcoming repor e’s r t disease.” of I 03962431-2432 at 2431 (U S 62160). TI e wa Simi larly , the Tobac co I nstitut a re s very active in pla nning 163. sponse re g arding the e ad re s e of t h e 19 8 7 S u rge o n Ge n er al ’s R ep o rt wh i ch d i s cu s s ed t h ea d i ct i v e na t u r e o f s m o k i n g. l Dawson WD, 21:21-22:7. S g ested strateg ies for the Tobac co I nstitut e re sponse and the public’ s ug ction wer e ca ref ully considere d. TI MN34639-9639 (U S 62752); TI MN349632-9633 potential rea (U S 62 75 1) . Sa mue l Ch ilc ote wr ote inf or ma tio na l me mor a nd a a bo ut t he Sur g e on Ge ne ra l’ s R e p o rt s for distribution to the Tobacc o I e Executive Committ ee. See , e.g ., TI NY 0009385-9387 ( US nstitut (1992 58830) Gene ral’s Report). Surg Br ennan Dawson, V ice Pre sident of Public Relations for eon the Tobac co I nstitut e, also made a pre sentation at a 1988 Toba cco I nstitut e Communicati o ns editorials favorable to Commi bout her plans to distribute ting, a the i ndustry about the 1987 ttee mee Surg eon Ge nera l’s Reports to editorial writer s. Dawson a lso invit ed additional dis tribution sug g estions from Communications Com mittee members. Da wson WD, 21:21-22:7, see Section ittee. I I I (D)( 4)(c ), infra for de tailed discussion of the Toba cco I nstitut e Communications Comm -89-

120 164. I nera l’s Report, the Tobac co I nstitut e launc hed n anticipation of the 1989 Surg eon Ge campa hich included h is Enough” its “Enoug ign w ffor t s i n 19 newspa pers, a new public opinion national adve rtising e co issues brief, and a vide o with smokers poll, a compre hensive tobac pressin heir opinions on the anti-smoking t x and nonsmokers e g movement. TI S 62252); 507635309-5348 (US 66484); Dawson WD, 66:14-69:22. 09911581-1615 at 1601 (U e To ba c c o I ns tit ute la un c he d a ma jor me dia c a mpa ig n, dis tr ibu tin g ma te ri a ls a nd inf or ma tio n to Th ters, conduc some 2,500 repor iefing for the Washing ton, D.C. press cor ps, and ting a private br lease discrediting dio satellite press re s, all with the aim of publicly distributing both television and ra Surg the Gene ral’s Report. Daw son WD, 66:14-69:22; TI 0991 1581-1615 at 1601 forthcoming eon S 62 25 2) . T ob a c c o I ns tit ute do c ume nts ind icate tha t th e To ba c c o I ns tit ute be lie ve d it s e ff or ts (U al e wor irst question the Surge on Ge n er thwhile since the f rec eived a t his press confe renc e wer by asing his 1989 Report was g ener ated mpaig the “Enoug h is Enoug h” ca rele n. TI 0991 1581-1615 at 1601 (US 62252); Da wson WD, 66:14-69:22. y 5. tor ne y s r e pr e se nti ng De fe nd a nts a g a in p 16 At e d a ma jor role in th e se e ff or ts t o la discredit the Surge on Gene ral’s Repor ts and attac k other scie ntific rese arc h linking smoking and dis e a se . T he y me tic ulo us ly e dit e d a nd re wr ote dr a ft s o f To ba c c o I ns tit ute a dv e rt ise me nts , a rt ic le s, ic a pu bli c sta te me nts . L a wy e rs re g ula rl y re c omm e nd e d id e a s f or a rt nd le s a nd pr ov ide d ma te ri a ls t o the Tobac nstitut e for consi d eration. 1005134430-4432 (US 36107); 508089329-9329 (U S co I 86089). 166. y n a Jul y 6, 1977 memorandum to W illiam Kloepfer of the Tobac co I nstitut e, attorne I the Donald Hoe l of Shook, Hardy & Ba con signific antly chang ed the dr aft of a n article titled "Why -90-

121 Ca se ins t Smo kin g is N ot C los e d" and re c omm e nd e d a " ma jor re wr iti ng e ff or t." Ho e l a lso Ag a that s had not previously had the c hance to review the ar ticle. He dissatisfaction expressed attorney wrote tha t content benef time-saving if the and of such mate rial be icial it would e pr op os e d a rt ic le a ou ld be fi rs t “ c le a re d” wi th t he a pp ro pr ia te s th c t the Tobac co I n s t i t u t e befor e an “ approve d” dra ft is sent persons a for leg here e. al clea ranc a l we c omm e nd tha t the la wy e rs be g ive e dv nt on to re nc e no tic e of su c h a rt ic le s so the y c ou ld Ho n a sug g estions and provide ma terials for considera tion.” TI MN262629-2629 (U S 62734). “make The Toba nstitut e also worke d with its publ ic re lations counsel and its member cco I 167. p a n ie s to a n o n y mo u s ly d is s e mi nate de ceptive a nd misleading public statements, such a s the True com are azine article the s ale of cig , to promote ttes. CTRMN 015575-15593 (US 79902); Z ahn PD, mag 49 oll on e v. L ig g e tt, 12 /18 /86 , 3 1 : Cip - 4 , 2 0 - 23 , 3 51 :4- 14 , 3 57 :22 -2 5, 36 1:3 -8 , 1 7- 22 . Jose ph F ie lds , a public re lations ag &W, ar rang ed for a repor ter named Stanley Fr ank to write a smoking ent for B lth article, titled " To Smoke or Not to Smoke - That I ll The Question," which appe are d and hea s Sti t y mag azine. I anuar ticle, Fr ank state d 1968 issue of True h at h e had review ed the in the J n the ar vid e nc e a nd fou e it con tr a dic tor y a nd inc on c lus ive ; he c on c lud e d th a t th e ha zar ds of c ig a re tte nd smoking wer e not so rea l a s the public had been led to be lieve. TI MN462375-23 8 0 (U S 2 1660). y F di d not di sc los e tha t he ha d b e e n p a id $ 50 0 b nk the De fe nd a nts fo r h is t ime a nd e xpe ns e s in ra writing the article and had been g uara nteed another $1250 in the event that it wa s not published; that acob & tobacc repr esenta tives including Ed J acob of J o industry Meding er, a ttorney s for TI RC, had revie wed the article pr ior to publication; or that he wor ked for Hill & Knowlton. 690012994-2993 357:22-25, 361:3-8, 17-22. (US 54322); Z ahn PD, Cipollone, 12/18/86, 349:1-4, 20-23, 351:4-14, -91-

122 168. Fur Tobac co I nstitut e’s public r elations ag encie s, The Tider ock thermore , one of the the True an one-ha lf-pag e adve rtisement promoting ed to run a article titled "Ar e rr g Corp., had a re tte s Re a lly Ha rm fu l to Yo ur He a Cig ? " Th e a dv e rt ise me nt r a n in the top se ve nty -t wo ma rk e ts a lth he Un ite d Sta te s a t a n e sti ma te d c os t of $6 9, 00 0 pa id fo r b y De fe nd a nts Phi lip Mo rr is, Re y no lds , in t W, American, a B& public did not become a war e of these fa cts until the nd L orillard. The ns ma n w a s r e ve a le d in a se ri e s o f i nv or sti g a tio tio by the Wal l Str e e t Jour na l, Con su me r R e po rt s, inf e Warren Ma g nuson. Z ahn P D, C ipollone, 12/18/86, 349:1-4, 20-23, 351:4-14, 357:22- and Senator MN462375-2380 (U MN0123336-3336 (U S 21628). S 21660); TI 25, 361:3-8, 17-22; TI 9. I n a dd iti on to i ts p re ss r e leases and pu bli c a tio ns , th e To ba c c o I ns tit ute re g ula rl y 16 sletters to furthe r publicize its viewpoint on beh al published various new f of the Enterprise. TI MN339121-9128 at 9121 ( US 86127); TI NY 0009385-9387 (US 62964); 947089976-9979 (US 32332); TI E 062448). I n May 1976, the Tobacco I nstitut e publi shed i ts first issue 16300337-0345 (J distributed n . The public purpose s l et ter, The Tobac co Obse rver of its most widely of the ew , as stated in the first issue, was to "e d thousands' whose livelihoods are associate newsletter nable ' " to be well informe ms f acing with tobacco ' tobacc o.' d about the proble The Toba cco O bserve r wa s pub li s h e d b i- mo n th ly f r o m 1 9 7 6 u n ti l D e c e mb e r 1 9 8 8 , u n d e r th e s u p e r v is io n o f th e T obacc o (U I e’s Spec ial P ro j ec t s . 6 9 0 0 1 8 7 8 6 -8 7 8 6 (U S 8 6 1 1 9 ); T I OK 0 0 1 5 3 7 2 -5 3 7 8 at 5 3 7 3 nstitut S 8 6126); TI MN366674-6895 at 6864 ( US 86120). co The Toba I nstitut e circ ulated The 170. cco Observe r fre e of char g e to company Tobac employ ees, br oadca sters, new spaper s, and indi v i duals. At the ea rly stag es of publica tion, the eived lis Tobac nstitut e re quested and rec co I ts of names and addr esses of pote ntial subscribers f rom ched 80,000 the tobacc o companies. I n 1978, the Tobac co I nstitut e ca lculated c irculation to have rea -92-

123 and by 1988 circ 0 0 0 . Most subscriptions, however, w ere ulation had almost doubled to 145 , Acc unsolicited. to a J une 1, 1987 memorandum fr om Anne Duf fin to Peter Sparbe r, " TTO ording asked ting ba ear s, have ne ver be en ck 11 y if they want r] subscribers, some da [The Tobacc o Observe Most we re added to the subscription list by I nstitut e staff copies. h persona l co n t ac t or throug o g s[.] " 670059500- 95 0 6 at 9503 (US 86121); 690019767-9767 ( US 86122); tobacc roup roster OK0015372-5378 a S 86123); TI t 5372 (US 86126). 680549177-9182 at 9179 (U in T he Tobac co Observe r 171. tuated the Enterpr ise’s denials of ca usation Articles perpe m f ro m s m o k i n g . One he adline announc ed, " Smoke not harmful to aver ag e non-smoker " and har d tober 1978). the May 1976 issue, one headline rea n "N o Simpl e Answer s; Researc h Disputes I (Oc ;" thi s a rt ic le foll ow e d a no the r t ha t st a te d, " no c a us e a nd e ff e c t r e la tio ns hip be tw e e n c ig a re tte UPI smoking and emphy sema has been established." pulmonary I n a J une 1, 1987 memora ndum, Anne Du ff in w ro te c a nd idl y a bo ut T he To ba c c o O bs e rv e r: Historically TTO [The Tobac rver ] h as re lated g ood news co Obse , prese nting the ba only in its most optimis tic context . . . TTO’s only d o inform, to cast fa vorable light upon tobac co’s many purpose wa s t tr on e rs ie s. c ov 2 8 ( 03048388-8399 at 83 S 8 6 1 2 4 ) ; T I M N 0 1 8 7 4 6 5 - 7 475 at 7467 (US 86125); TI OK0015372-5378 U at 5373 (US 86126). 4. Tobacco Institute Com m ittee s 172. The Toba cco I nstitut e wa s run b y a v arie ty of committees, compr ised of il r p r e s e n ta ti v e s a n d a g e n ts f r o m D e f e n d a n ts Ph e ip M o r r is , L o r il la r d , L ig g e tt , Re y n o ld s , a n d B & W, re and employ ees f rom Def endant Tobac co I nstitut e. The most influential and power ful of these we -93-

124 the Tobac co I ee of Counsel, the Tobac co I nstitut e Executive Committ ee, and the nstitut e Committ nstitut Tobac e Communications Comm co I ittee. ittee m nsel and Outsid e Counsel Com a. of Cou Th e To ba c c o I ns tit ute Com mit 17 e of Cou ns e l w a s c omp ri se d o f t he g e ne ra l c ou ns e ls 3. te the sp on so ri ng c omp a nie s of the To ba c c o I ns tit ute -- Phi lip Mo rr is, Re y no lds , L or ill a rd , L ig g e tt, of &W -- as and B Americ an. 85686131-6131 (US 87589) ( L orillard); 1005147807- well as counsel for nolds); 517004087-4090 (US Rey 7807 (US 36119) (Philip Morris); 03654362-4362 (US 29296) ( G2014927-4931 (U S 86090) (L ig g ett); 681725305-5307 (U S 21019) (Amer ican) ; 20874) (B &W); L 3 ; J u chatz TT, 11/18/04, 06545:11-06546:2; Korneg ay PD, -2 Stevens WD, 2:18-22, 5:1-11, 5:12 orillard, 11/18/97, 34:11-18. Represe ntatives from Phili p Morris Companies also wer e Small v. L s were the Commit Counsel, and some C o m m i t tee of Counsel meeting tee of members of held at Phili p Morris Companies hea dquarte rs in New Y ork. Northr ip WD, 8:14-8:5; 2023033745-3745 (US 87590); 2023033795-3795 (U S 87591). Members of the Commit tee of Counsel also included attorney s from the outside law f Bur ling, Jacob Meding er & Finneg an, and irms of Covington & con. WAX0011075-1127 at 1088-1093 (U S 64758); Hoel PD, United States v. Shook, Hardy & Ba Phili p Morris, 6/27/02, 71:17-22; 521043046-3050 (US 20891); 680038350-8352 (U S 20980); evens TT , 01278:10-01280:1. Stevens WD, 5:1-11; St te 174. h e Co mm it of t e of Counsel meeting s was to discuss leg al issues rela ted The purpose t o t h e t o b a c c o i n d u s t r y a n d t o p r o v i d e l e g a l a d v i c e o n a n y m a t t e r t h a t m e m b e r c o m p a n i e s w ou ld bring e it. Northrip WD, 8:11-13. befor 17 5. Th e imp or ta nc e of the Com mit te e ip of Cou ns e l wa s des c ri be d in a n O c tob e r 1 96 4 tr il: re po rt wr itt e n b y vis ito rs fr om B ri ta in’ s T ob a c c o Re se a rc h Co un c -94-

125 The lea dership in t nd health situation theref ore lies he U.S. s moking a w e w e r f u l P o li c y Co mm it te e o f s e n io r la o y e r s a d v is in g the p h with t , very bly , in effe ct, understanda don' t take , and their policy industry is " es." I t is a situation that does not enc any e construc tive or chanc ourag ches to smoking lth problems, and it also means bold approa and hea tr e ic y Com mit te e of la wy e rs e xer c ise s c los t th c on Pol ol o ve r a ll tha e sp c ts o f t he pr ob le e a ms. 1003119099-9135 (US 20152). 176. The primar y function of the Committee of Counsel within the Enterpr ise was sc ri be d in a do c ume nt p re pa re d b y Er ne st Pe pp le s, Ge ne ra l Co un se l f or B & W: de pr [T]he fu nc tio n o f t his Com mit te e of Cou nsel has be e n to ima ry c the wa g on s, ir to c oo rd ina te no t on ly le the de fe ns e of a c tiv e c a se s, c t a lso to c oo rd ina te the a dv ic e wh ic h th e Ge ne ra l Coun se ls g ive to bu rt g g op e ra tio ns of the ir c omp a nie s p e oin a ini ng to p ro du c ts l ia bil ity on sk s. ri 517004087-4090 (US 20874). Co 7. Th e Com mit te e of se un 17 l me t f re qu e ntl y ov e r t he y e a rs a nd the a g e nd a of its e me i n g s c o v e r e d a w i d e r a n g e o f t o p i c s t h a t w t r e o f c o n c e r n t o t h e D e f e n d a n t s . T y p ic a l it e ms e dis c us se d in c lud e d v a ri ou s sm ok ing a nd he a lth re la te d iss ue s inc lud ing a dd ic tio n, ind us tr y wi tne ss development ( espec in the are a of ET S), Special Projects, Spec ial Acc ounts, CTR’s L iterature ially utional resea w of the o b ac co Retrieval Division, revie nstitut e’s a ds, instit T rch, a nd smoking a nd I health litiga tion ge nera lly . Stevens WD, 6:10-12, 6:13-21; Northrip WD, 8:11-13; 680239427-9429 (US 30835); 0 3 6 5 4 1 3 4 -4 1 3 4 (U S 2 9 2 9 1 ); 8 5 6 8 6 1 3 2 -6 1 3 2 (U S 87592); 85686235-6236 (U S 87593); 4 85685497-5497 (US 32030); 03654220-42 0 (U S 2 9 2 9 3 ); 0 3 6 5 4 1 7 9 -4 1 8 0 (U S 8 7 5 9 2 ); 5 0 3 7 6 2 7 6 8- 2768 (US 86093); 03654341-4342 (U 29295); 03654327-4328 (US 29294); 85685745-5745 (U S S 86094); 503689705-9705 (U S 86095 ) US 35994); 5 6 8 2 3 8 0-2381 (US 32023); 1005085870-5870 ( ; 8 S 86098); L G2005471-5473 (U S 88096); 03654160-4160 (US 86097); 03746187-6190 (U -95-

126 L G2008241-8242 (U S 21206); 03638986-8987 (US 86815); 03746184-6185 (U S 20600); DOJ2607427-7434 (US 86099); 2024671248-1255 (US 21584); 1005121522-1526 ( US 23046); L 601453-1453 (US 86102); 01333625-3625 ( US 36225); 0 US 26468); BWX0004268-4274 ( 3 03654139-4147 (US 86103); XB W0011405-1416 (US 86104); BWX000 4 264-4267 (US 36224); T I FL0407410-7410 (US 22041); FL 680542504-2505 (US 86105); TI 0407411-7411 (US 22044); 681000290-0293 (US 21015). Ev e n w he n L ig g e tt d e c ide d to c e a 17 pa rt ic ipa tio n in the To ba c c o I ns tit ute a s a Cla ss 8. se , it continued to participate in the Commi ttee of I n a September 21, 1993 letter A member Counsel. om L ig g e tt’ s in -h ou se c ou ns e l Josi a h M ur ra y to th e Toba c c o I ns tit ute ’s Pr e sid e nt a nd Cou ns e l, fr igg L its pay ments to the Tobac co I nstitut e, but at the same time sought Toba cco ett soug ht to reduce e appr nstitut to continue participating in the Tobacco I nstitut e’s Committee of Counsel, and I oval i ess to Tobac ontinued acc e informa tion and dat a, co I n cl u ding r eports and to have c nstitut mor a nd fr om Cov ing ton & B ur lin g to the Com mit te e of Cou ns e l. I n se e kin g me these mater ia ls, a Mu rr a y a ssu re d th e le tte r’ s r e c ipi e nts th at L iggett wo uld c on tin ue to c on fo rm its c on du c t in a c or da nc e wi th t he En te rp ri se ’s str a te g ie s, wr iti ng : c t is not t ett to conduct its business in a manner e i n t en t of L igg I h y dv rs e to the int e re st a the ind us tr e a s a wh ole wi th r e sp e c t to tho se of leg al and political issues as to which, by applicable law, the se vera l ri c tit or c omp a nie s h a ve a e g ht t o a c t in c oncert a nd in omp c oll a bo ra tio n o ne wi th a no the r, a nd a tta ini ng thi s o bje c tiv e is enhanc ourse by [L igg ett] being a dequate ly informed. ed, of c L WDOJ 00023390-00023392 (US 25910). 179. The role of out side counsel, a s opposed to the in-house g ener al counse ls, including was to assist the Shook, Hardy & B acon, Jacob, Meding er & Finneg an and Covington & Bur ling, -96-

127 Commi ttee of Counsel. 03638986-8987 ( Northrip WD, 6:12- US 86815); Rupp W D, 38:21-39:19; lrea 16; 6:22-6-1:25; D ntioned, and will be fur ther dy awson WD, 15:15-21. As has a been me w firms, in particula a, two of those la Bur ling, be came the g uiding ated on infr elabor r Covington & ise and we re de eply involved in implementation of those strateg strateg ists for the Enterpr ies once adopted. Bur ling wa s counsel for the Tobac co I nstitut e and w as also desc Covington & 180. ribed l for the " industry ." 682150942- 0942 (US 86491); Rupp WD, 38:21-39:19. An attorne y as counse gt o n & Burling attended e very meeting of the Committee of Counsel. Covington & from Covin ttee ling first revie wed ag enda proposals for the Commi s of Counsel meet i n gs b ef ore attorney Bur wer e sent to member companies. B lix t PD, United S tates v. Phili p Morris, 10/31/02, 159:20- they ued by urling red pr ess re leas es i s s also clea the Tobac co 161:13, 169:13-170:1. Covington & B nstitut e. Mer ry man PD, Minnesota v. Philip M orris, 7/16/97, 414:21-415:2, 416:10-22. I wa 1. Sho ok , H a rd y & B a c on fe s c ou ns e l f or De 18 nd a nts Phi lip Mo rr is, Phi lip Mo rr is Companies, L orillard, Rey W, and benef itted from a c lose associa tion with Defenda nt nolds, and B& co I nstitut e. 521043046-3050 ( US 20891); TI MN0245637-5638 (US 62723); 2015007199- Tobac 72 07 (U S 20 31 1); Nor thr ip T T, 9/3 0/0 4, 01 33 4:1 9- 01 33 5:5 ; K or ne g a y PD, Cip oll on e v. L ig g e tt, Robert Northrip, 8/17/84, 177:23-178:3, 179:5-21, I n fac t, following his attendanc e 185:20-186:3. at a Co m m i t t ee o f Counsel Meeting , would normally bill either three or four tobacc o companies L (including s , ip Morri orillard, B &W and possibly Rey nolds) for his time. Northrip TT, Phill 9/30/04, 01346:12- 22; Northrip WD, 5:17-5-1:11. 182. I n addition to J ohn Rupp of Covington & Bur ling se rving as counsel for the Tobacc o es I nstitut e and the “industry ,” Shook, Har dy & B acon w as also g iven a wide ra ng e of r esponsibiliti -97-

128 fo r t te rp ri se . I n a Ma y 18 , 1 98 2 me mor a nd um, Willi a m Sh inn of the fi rm de sc ri be d it s he En amined cco e and noted that it e x nstitut “most materia l emanating from ting to the Toba activities rela I nstitut e which ha s potential smoking and health overtones.” This memorandum wa s the Tobac co I to Robe or Sachs, Assistant G ener al Counsel f ssed B& W, and Arthur Stevens, Senior V ice addre rt era e orillard, and c opied to Thomas Ahre nsfeld, Senior Vic en President and G l Counsel for L Gene l for Phi lip nera Alexander Holtz man, Assi stant Counsel ral Counsel President and Ge Morris; ral Counsel for B &W; and Samuel Witt, Genera l Counsel for Philip Morris; Ernest Pepples, Gene nolds. Si nce the firm’s re v i ew i nvolved a g rea t deal of g ive and take , it sometim es for Rey h epar the final version" of the product. Shook, Ha rdy & Ba con also assiste d t e T o b acc o [ed] "pr nstitut strateg y , prepa ring e in setting oking and health issues, briefing s, review ing I witnesses on sm e ss r e le a se s, a dv e rt ise me nts , a nd oth e r p ub lic sta te me nts , a nd or c he str a tin g fo llo w- up a c tiv iti e s. pr d: "While we a re a sked occ asionally to do something that we believe T .I . should do Shinn remarke s rese have alway rved the itself, we rig ht to decline unless dire cted by the Commit tee of Counsel." 521043046-3050 (US 20891). 183. & B acon’ s role was further explained in a June 28, 1988 memorandum Shook, Hardy s, om D ld H oe l of Shoo k, Ha rd y & B a c on to T od d So lli a As so c ia te Ge ne ra l Co un se l f or Phi lip fr on rr is M a na g Mo me nt C or po ra tio n. Ho e l e xpla ine d th a t e [b] use SHB repr esents sever al of those [ciga rette] manufa cture eca rs and enjoy ssociation with the T I , s a close a h e fi rm is able to move t fre el y a mo n g in d u s tr y me mb e r s , f a c il it a ti n g c o o p e r a ti o n a n d o p en communication. I n this way lps eliminate potential , SHB he y fi ult ie s w ith in t he tob a c c dif str c tha t cou ld r e du c e PM’ s a bil ity o indu to a dd ress effe c tiv e ly smo kin g a nd he a lth iss ue s a nd imp a ir its de fe ns e of la ws uit s. thrip TT, 9/30/04, 01334:19-01335:5. 2015007199-7207 (US 20311); Nor -98-

129 184. J r & Finneg an was y et another law firm whic h play ed a ma jor advisory acob, Me dinge s Rey acob a ttended and g ave p re W, and CTR. Edwin J en tations at s counsel for nolds, B& role a te e of Cou ns e l me e tin g s; h e wa s a lso inv olv e d in the a dmi nis tr a tio Com f C TR S pe c ia l Pr oje c ts mit n o further at Section I I I (E)( 2), infra ). 680038350-8352 ( US 20980); 1005121522-1526 (US (discussed 23046). Tobacco Institute Executive C m b. ittee om ce on cco I The Toba ee ha d the "final voi nstitut TI matters" and 185. e Executive Committ ba c c o I ns tit ute sta te me nts . I t in c lud e d tw o r e pr e se nta tiv e s f ro m e a c h o f t he c ig a re tte To o I cture er co mpanies of the T obacc b nstitut e and ha d a rota ting c hairmanship. r mem manufa lc o te PD , Ri c h a r d s o n v . Ph il ip M o r r is , 9 /2 1 /9 8 , 9 2 :2 1 - 9 7 :2 ; K o r n e g a y PD , Sm a ll v . L o r il la r d, Chi rmined ecutive Committee also co I nstitut e policy and dete Tobac set 11/18/97, 25:13-29:1. The Ex ce a llocation within the org anization. Dawson WD, 10:13-11:2. resour The Toba Commi I nstitut e Ex ecutive 186. ttee met fre quently to keep a brea st of issues cco of c o m m o n c o n c e r n w i t h i n t h e E n t e r p r i s e . I n a d d i t i o n t o h a v i n g f i n a l a p p r o v a l a u t h o r i t y on a ll often Tobac e matter s, the Ex ecutive Commi ttee nstitut discussed issues of joint industry rese arc h co I o n s m o k i n g an d h ea l t h , re s ea rc h fu n d ed t h ro u gh C T R , an d fu n d i n g o f T o b ac co I n s t i t u t e a d v er t i s i n g. Dawson WD, 11:3-6; Northrip WD, 8:11-13; Chilcote PD, Broin, 11/19/93, 34:5-35:5; 03677101- 7103 (US 29313); TI S 88258); TI MN001 3 4 7 1-3476 (US 88259); MN0013425-3428 (U MN0013429-3431 (U S 88261); TI MN0013432-3435 (U S 88262); TI MN0013460-3464 (U S TI 88264); TI MN0013471-3476 (U S 88265); TI MN0013508-3513 (US 88266); TI MN0013514-3517 3 (US 88267); TI S 88268); TI MN001352 6 - 1 MN0013518-3251 (U 5 3 0 ( US 88269); TI MN0013554- MN0013455- 3557 (US 88270); TI MN13450-3 4 5 4 (U S 8 8 2 7 6 ); T I MN0013441-3445 (U S 88289); TI -99-

130 3456 (US 88291); TI MN0013477-3484 (U 8 8 293); TI MN0013485-3489 (U S 88294); S S 88295); TI TI MN0013500-3507 (U S MN0013496-3499 (U MN0013490-3495 (U S 88296); TI ; T MN0013558-3563 (US 88299); TI MN0013583-3589 S 88298) I 88297); TI MN0013550-3553 (U MN0013651-3655 (U S 88302); TI (US 88300); TI MN0013628-3632 (U S 88301); TI MN0013656- N0 014418-4425 (US 88304); TI MN0017720-7722 (U S 88305); M 3659 (US 88303); TI S 88306); TI MN0017731-7736 (U TI MN0018436-8439 (U S MN0017725-7729 (U S 88307); TI MN0018451-8455 88309); TI MN0018462-8466 (U S 88310); TI MN0018590-8593 88308); TI (US S 88312); L t 7154 (US 21194). MN0019234-9239 (U G0237151-7159 a (US 88311); TI example, the Tobac co I 187. e Executive Committ ee me t on J anuar y 12, 1964, For nstitut i m p lications of the 1964 Surg eon Ge nera l’s Report on Smoking and H ealth. The to discuss the ecutive ag ree d that it wa s "c onsidered to be ttee of prime importance that t h e indus try Commi Ex ont and that if one or more companies wer e to c onduct themselves as a matter maintain a united fr est, particula G2008203- in adver tising, obvious vulnerability would be the r esult." L of self inter rly 8210 (US 22682). t titl 1974 Tobac 188. I nstitut e repor A ed “D efe nding T obacc o” stated tha t the Tobac co co I nstitut e B oard of Gover nors' adoption, in J anuar y 1 9 7 1 , of the Guide lines for Authority and atly Re sib ili ty of the To ba c c o I ns tit ute , h a d g re on imp ro ve d th e To ba c c o I ns tit ute ’s ov e ra ll sp eff iciency . The report established authority and responsibili ty of t he Toba cco I nstitut e’s staf f and meeting committees, d more authority in its President, and require d more fre quent place s of the nstitut Ex ate a nd revie w Tobacco I ecutive Committee to cre e poli cies, progr ams and objec tives. The ity Gu ide lin e s e lim ina te d mu c h u nd ue de la y oc c a sio ne d in the pa st in ob ta ini ng a pp ro va l a nd a uth or -100-

131 from the Tobac e Ex ecutive Comm ittee or its Boar d members f or Tobac co I nstitut e ac tion co I nstitut ll efficie and improved the prise. TI MN217628-7639 (U S 21263). ncy overa of the Enter uni cations Com m ittee Tobacco Institute Com c. m cco I nstitut e Communi cations Commi ttee revie wed and appr 189. cco The Toba oved Toba nstitut rtisements, media p l ans, and public r elations ca mpaig ns car ried out by the Tobac e adve I co nstitut e on beha lf of the Ente rprise. Chilcote PD, Richar dson v. Phili p Morris, 9/21/98, 263:5-14. I 0. Ea c h T ob a c c o I ns tit ute memb e r c omp a ny de sig na te d it s p ub lic re la tio ns pe op le to 19 tings of the attend mee ee a nd to inf orm their respe ctive companies a bout cation Committ Communi es of the Committee. Dawson WD, 17:9-23; Daw son TT, 1/12/05, 9899:20-9900:10; tiviti the ac Duffin PD, B arne s v. America n Tobac co, 10/6/97, 118:4-119:3, 119:7-121:2. Membership of the mmu nic a tio ns Com mit te e c on sis te d o f r e pr e se nta tiv e s o f R e y no lds , B & W, Ph ill ip M or ri s, Co ers f orillard, L ett, an d Americ an, as w ell as outside lawy igg rom Shook, Hardy & B acon a nd L to in g n Cov & B u r li n g , T o b a c c o I n s ti tu te p u b li c r e la ti o n s s ta f f a n d CT R p u b li c r e la ti o ns counsel ; Z L Zahn. Da ws on TT , 1 /12 /05 , 9 89 9:2 0- 99 00 :10 ard a hn PD, Ric ha rd so n v . Ph ili p M or ri s, eon 12/1/98, 52:9-55:3; Zahn PD, Cipollone, 1 2 /1 7 /8 6 , 2 7 4 :2 - 8 ; 2 7 5 :5 - 2 1 ; 7 9 4 0 0 3 1 3 1 - 3 1 32 (US 86107); TI MN0081843-1864 (U 0 2 41704-1705 (US 54034); S 86108); 03678709-8711 (US 88313); 68 N21992-1995 (U S 21375); 690014 Z 4 6 -4 848 (US 86111); TI MN0124674-4674 (U S 88323); 8 TI MN0124717-4718 (U S 86113); 680570007-000 8 (US 86114); 87716615-6618 (U S 86117); TI 09911543-1580 (US 62251); TI 0991158 1 -1 6 15 (US 62252); 16470337-0338 (US 62449); TI TI (US 77092); 09912151-2191 (US (62256) ; TI MN345630 -5 6 6 5 09911885-1920 (US 62255); TI S 77093). TI MN345741-5777 (U -101-

132 191. Members of d CTR a public relations the Communications Com mittee considere prise. Ac benef S ep t ember 17, 1971 Communi cations cording it for the Enter to minutes from the ice Pre ri cco I nstitut e, b ting, William Kloepfer, V ef ed the Commi sident of the Toba ttee mee arc -financ sear ch, including rese ed re h funded by CTR. Kloepfer the status of industry committee on ch, “the best basis for affirma tive public rela tions.” L eonar d Z ahn, public re called this re sear lations even a m of t he Tobacco I nstitut e Communications counsel to CTR from 1955 until 1993, was ember obacc tended c eting s at the behe st of Kloepfe r of the T ee me o I nstitut e. ttee and at ommitt Commi S 87595); Za hn PD, Cipol lone, 12/16/86, 129:13 - 1 TI , 1 8 , 2 1 - 2 3 ; 1 3 0 :1 - 3 , 12- MN0003978-3980 (U 5 hn P D, R i ch ar d s o n , 1 2 / 1 / 9 8 , 5 2 : 9 -5 5 : 3 ; Zah n P D, C i p o l l o n e, 12/17/86, 274:2-8, 19, 130:22-131:2; Za 275:5-21. 192. nstitut e re port titled "De f e n d in co I T o b a c c o" sta ted that, prior to 1967, A 1974 Tobac g h o f t he c omm un ic a tio n betwee n me mbe r c omp a nie s w a s th ro ug h th e To ba c c o I ns tit ute muc ording ttee of by informational memoranda . Acc to this repor t, one cha ng e that Counsel, or Commi rea tly fac ilitated the internal infor mation flow within the Ent erpr ise was the cre ation in 1969 of the g sentatives of cations Committ hich was ma de up of r epre ee, w eac h major compa ny Communi and of the Tobac co I nstitut e’s leg al counsel and who met fre quently to a dvise on the Tobac co I nstitut e’s public rela tions strateg . TI MN217628-7639 (U S 21263). y omm 3. ro ug h th e se To ba c c o I ns 19 ute c Th itt e e s, the De fend ant s, thr ou g h th e ir tit e x e c u t i v e s , e m p l o ye e s , a g e n t s , a n d a t t o r n e ys , c o n t r o l l e d t h e T o b a c c o In s t i t u t e a n d s e t i t s p o l i c y, u including a izi ng th e mu lt it and author d e of statements made by the Tobac co I nstitut e about pproving s m o k i n g a n d h e a l t h . W h i l e t h i s s ys r u c t u r e c h a n g e d s o m e w h a t o v e r t i m e , D e f e n d a n t s a l w a t s. ma int a ine d c on tr ol o ve r t he To ba c c o I ns tit ute ’s a c tiv iti e s a nd c omm itt e e -102-

133 5. Tobacco Institute College of Tobacco K now ledge n 194. f informa tion and car eful instruction on how infor mation should be Coordinatio o jor aim of the Ente rprise. I t was considere d vital nted and disseminated to the public w prese as a ma vulnera ble to a ttack in litig ation or to subje ct the to leave no to further reg ulation. member industry x succe ssful method used to ensure that industry repr esenta tives understood and w ere One e tremely d transmit consistent statements reg nd health an smoking a o ther issues of able to publicly arding rn to the De fenda nts was the oper ation of training seminars by the Tobac co I nstitut e’s common conce opera of Tobac e. The College beg an in the 1970s and dg ted for over a dec ade. co Knowle College wson TT, 1/12 / 05, 9920:19-21; 2025864882-4895 (US Dawson WD, 26:7-21, 27:2-6, 28:6-8; Da 86140). 5. Re pr e se nta tiv e s o f a ll t he De fe nd a nts , in c lud ing B AT Co an d Phili p M or ri s 19 s we pa nie s, I nc ., a tiv ll as re pr e se nta Com e s of se ve ra l in te rn a tio na l or g a niza tio ns (i nc lud ing TA C, I NFO , and I COSI ) (e x plained in detail infra ) attende d the Colleg e. 1000019 6 4 0 -9 6 47 (US TAB 1000019649-9651 86150); 2501290388-0396 (US 86156); TI 16740660-0663 (US 86149*); (US S 2973 7 ); T I 1 6 7 72403); 503908538-8538 (U 0 6 6 0 -0 6 6 3 (U S 7 2 4 0 3); 503908538-8538 (U S 29737); 4 TI 04962210-2211 (US 67 2 5 0 ); TI 16740652-0659 (US 86168); TI 16740741-0749 (US 86169); TI 04962337-2341 (US 86170); 65473); TI FL 0071151-1151 (US 86176); TI FL 0071174-1174 (US (US 86142); TI 0071152-1154 (US 86177); TI FL 0071200-1202 (US 8 6 178); TI FL 0072275-2277 FL (US 86180); TI 16740614-0616 (US 86181); TI 11961414-1414 (U S 8 6 1 8 2 ); T I FL00 7 2 2 9 0 -2 3 0 3 (US 86183); 87645518-5522 (U S 86184); TI FL 0 068394-8402 (US 86185); TI 11961377-1377 (US cco, 7/25/97, 148:9-13. 86186); TI FL 0071027 (US 77029); Mer r y ma n PD , F lo r id a v. Americ an Toba -103-

134 19 6. nts wh o a tte nd e d th e Col le g e se ssi on s w e re “ p e o p l e fr om t he tob a c c o in du str y ;” Stu de le s, os e re sp on sib ili ties inc lud e d p ub lic a ff a ir op pu bli c re la tio ns , g ov e rn me nt r e la tio ns ; pe wh e [p] fr om a ll f a c e ts o f t he ind us tr y fr om s e e d b le d to sa le s c ou nte r; ” a nd ind us tr y lob by ist s. “ eop rr y ma n PD , F lor ida v. Am e ri c a n, 7/2 5/9 7, 148: 17 -1 49 :8; Z a hn PD, Ma ssa c hu se tts v. Phi lip Me Morris, 5/28/98, 145:2-13. t 7 . In a c c o r d a n c e w i t h t h e g o a l o f a c h i e v i n g a u n i f i e d p u b l i c m e s s a g e f o r t h e i n d u s 9 r y, 1 nd also Vice ry imed “De an of t h e C o l l eg e of Toba cco K nowledg e” a procla Walker Mer man, self- T b ac co I o e, g ave pr esenta tions at the College during President of Public Relations for the nstitut ould "r oam the room with a micr which he w sk people que stions [ about what they had ophone and a hear and lea rned ove r the two da y s] and see how they answe red the m." Me rry man PD, Florida v. d Americ an, 7/25/97, 151:12-152:18; Merry , Richardson v. Philip Morris, 4/9/98, 87: 15-88:7; man PD 16740590-0593 TI 86148). F or example, he mig ht ask a student if he believed tha t there w as (US a re la tio ns hip be tw e e n s mok ing a nd dis e a se , a nd su g g e st t ha t th e be tte r r e sp on se wa s th a t “ the re is a statistical re lationship between smoking se” rathe r than that “smoking cause s disease.” and disea y v. Americ an, 7/25/97, 153:16-156:10. Merr man PD, Florida 9 8 . The purpose o f t h e T o b ac co I n s t i t u t e C o l l ege 1 f T o b ac co Knowledg e wa s to “improve o working t i o n s wi th all major seg rela co industry .” Da wson WD, 28:6-8. For ments of the tobac example, Bre nnan Da wson participated in a mock se g ment of “The Phil Donahue Show” titled “S h o u l d S m o k i n g Be R es t ri ct ed i n t h e W o rk p l ac e? ” d u ri n g the 198 8 C o l l ege o f T o b ac co Kn o wl ed ge nstitut confe ing the role of T obacc o I e, play e spokespe rson while James Savare se play ed renc Donahue and the y a c te d o u t a r e a c ti o n o n b e s a lf o f th e to b a c c o in d u s tr y to a Su r g e o n G e n e r a l’ h ys R e p o r t o n t h e s u b j e c t o f E T S . A g a i n , t h e C o l l e g e ’ s i n t e n d e d p u r p o s e w i t h t h e r e h e a r s a l w a s a l w a -104-

135 to e ns pr e se nta tio n o f a un if ie d a nd c on sis te nt p ub lic sta nc e on smo king and he a lth iss ue s. ur e Dawson WD, 29:6-30:1. The Colleg cco K 199. e “g ave a tt en d ee s an over view of a number of nowledg e of Toba the o industry that fac es or fac ed at the time.” tobacc Merr y man PD, F lorida v . Am er i can, issues hilco t e P D, R i ch ar d s o n v . P h i l i p M o rr i s , 9 / 2 1 / 9 8 , 2 5 9 : 8 -2 6 1:10; Duffin PD, 7/25/97, 147:16-148:2; C funded a e b acco I nstitut e not only o nd opera ted the Colleg e of T Munn, 1/7/87, 187:3-190:25. Th ba c c o K no wl e dg e , it a lso de ve lop e d th e Col le g e ’s c ur ri c ulu m a nd its sta ff ta ug ht t he se ssi on s. To Massac v. Phili p Morris, 5/28/98, 147:14-18; Chil cote PD, husetts Dawson WD, 26:16-21; Zahn PD, Richardson v. Philip Morris, 9/21/98, 261: 11-15; Duff in PD, Munn, 1/7/ 87, 187:3-190:25. After Tobac co I nstitut e executives Mer ry man, Kloepfer, and Chilcote approve d the 200. e mailed a iculum, the T o bacc o I nstitut nnounceme nts to it s Communi cations Committ ee, the curr “ nte rn a tio na l T ob a c c o I nf or ma tio n Ce nte r ( ), I NF OT AB ” I i t s s e n i o r s t a f f , a n d o t h e r i n t e r e s t e d pa rt ie s. n T 7 1 0 1 1 -1 0 1 2 (U S 8 6 1 4 1 ); T I FL00 7 1 1 7 4 -1 1 7 4 ( U S 8 6 1 4 2 ). I FL00 p re p ar i n g fo r a C o l l ege I se on , th e To ba c c o I ns tit ute wo ssi ma ke its uld senior vice presidents awa re of the fa ct that one of these seminar s was schedule d. And if they had new employ ees that they wanted to ha ve invited or if they thou t t h ere was a contra ct lobby ist who might gh it, t h ey co uld invite that indivi dual. We also would let our benef me mbe r c omp a nie s kn ow tha t a no the r se min a r w a s sc he du le d, a nd if they had people thought would be nefit fr om such in mind whom they , they a seminar could be invited. y man PD, Florida Merr Americ an, 7/25/97, 149:9-150:3; 85701033-1033 (US 86143), 85701041- v. 1042 (US 86144); TI FL 0069155-9155 (US 86145); TI FL 0069161-9161 (US 86146). gen 201. spea k er s A number of er ally spoke on a “ half dozen or more differ ent issues.” e sessions Merr y man PD, Florida v. Americ an, 7/25/97 , 1 5 7:24-158:2. Speaker s at the Colleg -105-

136 included Toba cco I ees w ith specialities in com m u nications, public rela tions, and nstitut e employ nd state re or the industry ulatio n ; lawy ers f ral a ; medical consultants; state sena tors or fede g Americ esenta ry man PD, Florida v. cians. Mer an, 7/25/97, 158:5- repr tives; economists; and statisti D, 39:20-40:3. 159:5; Rupp W 0 2 . The En te r p r is e w a n te d to a c h ie v e c o n s is te n t p u b li c s ta te me n ts c o n c e r n in g v a r io us 2 nd health re smoking a s throug h its control of the Colleg e’s c urriculum. F or lated subj ect area ere quent discussions at the Colleg e about the hea lth hazards of smoking a nd example, there w fre usation g ener ally and how, a ccor ding to the industry , causa tion had not y et bee n proven. of ca y v. Americ Merr 9 7 , man PD, Florida 1 5 9:13-160:4; 1000019640-9647 (US 86149*); an, 7/25/ TI FL 0068950-8955 (US 86163). 203. The Colleg e’s curriculum also include d the topic of industry sponsored re sear ch and the func tion of CTR gene . For example, prese ntations by L eonar d Z ahn, C TR public relations rally scribe the activities of C T R and its resea rch pr og ram “ so that all the mid and counsel, would de ious c ps slightly vel employ ees f rom the var perha ompanies would have a n idea, more above mid-le e xac t kn ow le dg e , o f w ha t th e Cou nc il w a s a nd ho w i t w or ke d. ” Z a hn PD, Ma ssa c hu se tts v. Phi lip Morris, 5/28/98, 145:14-146:11, 149:25-150:10; TI 04962331-2334 (US 86167); TI 04962389-2389 04962390-239 8 (US 62201); TI 62202); TI FL 0068387-8387 (US 77028). I n addition, Z ahn (US distributed or made a vailable to the pa rticipants CTR materials including the Annual Repor t. Z ahn PD, Massachuse tts v. P hilip Morris, 5/28/98, 148: 8-20. 204. Simi larly , Addison Yea man, CTR Chairman and Preside nt, spoke on the topic of s: sp on so ri ng sc ie nc e , d e sc ri be d in the sy lla bu s a s f oll ow -106-

137 F or e a rs , to ba cco ma nu fa c tur e rs , g ro we rs a nd wa re ho us e 25 y unded indepe ndent cientific r esea rch into tobac co opera s tors have f arne d. t is being le use and he alth. How it is done and wha 1000019640-9647 (US 86149*). n addition to discussing the func tion of CTR, the Co l l eg e provide d another 205. I obacc Enterpr I nstitut e and CTR to coordina te for the T ise activities. I n a letter da ted opportunity o liam Hobbs, CTR Chairma n, wrote that CTR repre sentatives “T om Hoy t and October 27, 1981, Wil e Nove nbach w .’s Colleg e of Toba cco K nowledg erte mber 16 a nd 17" pr oviding Bob G ill attend T.I i ty for the T obacc o I nstitut e’s Hor ace Korne g ay to brief the CTR President a nd an opportun “it might be be ecutive V .’s adve rtising a nd rese arc h plans” be cause sident on “T.I nefic ial ice Pre Ex anag ement.” 503908538- 8538 (US 29737). to CTR m Another to p ic f r e q u e n tl y d is c u s s e d a t t h e Co ll e g e w a s E n v ironmental Tobac co Smoke 206. its S”) and the to deter mine failure true health eff ects on nonsmokers. 1000019640-9647 (US (“ET FL00 6 8 9 1 FL -8 9 2 6 (U S 8 6 1 5 9 ); TI FL 0068913-8926 (US 86159); TI 86149*); TI 0068939-8939 (US 3 86 16 1) . I nd us tr y ET S c on su lta nts lik e Na ncy Balt er, John Gr a ha m a nd “ Gr a y ” Rob e rt so n a lso explained their opposit i n to public smoking re strictions. TI FL 0071152-1154 (US 86177); o FL TI 0071200-1202 (US 86178). The College curr iculum a lso inc luded an “interna tional pe rspec 207. and tive” on smoking health ted issues. For example, Mary Covington, Secr etar rela Gene ral of I NFO TAB , spoke at the y No v em b er 1 9 8 1 C o l l ege ab o u t i n t er n at i o n al p er s p ec t i v es re l at ed t o E T S , ex p l ai n i n g t h at t h e C o l l ege seminars off er a to le arn a lot about smoking issues and n opportunity prog ry s industry o rt rams in a ve t i m e. . . . W ithout a conce rted h e ff or t by the tob a c c o in du str y [ini tia tiv e s to e lim ina te smo kin g in public place s] wil l make g radua l headw ay in chang ing a ttitudes . tow a rd s sm ok ing a s a so c ia lly a c c e pta ble c us tom -107-

138 2501029891-9901 (US 20557). 208. p u blic rela tions was woven into ea ch of the subject ar eas discusse d The topic of a consistent public messag or example, at both 1983 sessions of the der to achieve e. F above in or g e , Willi a m Kl oe pf e r of the To ba c c o I ns tit ute sp ok e to t he stu de nts on pu bli c Col la tio ns iss ue s. le re n addre the “e ffe ctiveness a nd unity ” of the tobacc o industry , Kloepfe r conte nded I ssing the issue of many use “w ts one aff ects a ll,” the Tobac co I nstitut e used fec strateg ies “to keep us that beca hat af ther, to kee p us all awa re.” Acc ording to Kloep fe r, t h e Tobacco I nstitut e Public Relations toge e Toba responsibl r four strateg ies: the Tobac co I nstitut fo cco O bserve r e Division was primarily ws pa pe r r e a c hin g 15 0, 00 0 r e a de rs six tim e s a y ear ; a dv e rt isi ng in t ob a c c o tr a de pu bli c a tio ns ; ne roups; and the Toba ring fore trade and industry g kers be cco I nstitut e Colleg e of as spea appea co Knowle dg e that has he lped “e ducate ” and “orient hundreds of key family members . . . a Tobac 04962436-2454 (US is our most potent publi lations and leg islative tool.” TI c re united industry FL 0526112-6125 (US 62625). 86172); TI ic 9. I n a dd re ssi ng the iss ue of pu bli c smo kin g re str tio 20 ns , K loe pf e r n ote d th a t throug h our spokesmen, our literature dvertising , we , and our a ast t m essag es: (1) a mbient smoke has not been pr oven broadc wo ) smo e us to n on -s mok ng rs , a nd (2 ro king re str ic tio ns c a us e da e ssary expense, inconvenie nce, a unnece nd discrimination. TI 96 24 36 -2 45 4 ( US 8 61 72 ); TI FL 05 26 11 2- 61 04 (U S 62 62 5) . I n a dd re ssi ng “ ou r o lde st, mos t 25 fr us tr a tin g iss ue ,” Kl oe pf e r m a int a ine d, a s la te a s 1 98 3, tha t a W c a l l i t t h e p r i m a r y i s s u e . It i s t h e s m o k i n g a n d h e e l t h c o n t r o v e r s y. We think of it . . . a subjec t far f rom dec ided . . . and as controversy thr ou g h o ur sp ok . sme n a nd lit e ra tur e we ma ke tha t po int e 0526112-6125 (US 62625). TI 04962436-2454 (US 86172); TI FL -108-

139 21 0. lly , in dic a tio ns fr om t ho se wh o att e nd e d the Col le g e we re tha t the En te rp ri se , v ia F ina e To ac co C o l l ege h f Kn o wl ed ge, wa s ac h i ev i n g i t s b go al o f un i t i n g t h e in d u s t ry an d p ro m o t i n g a t o mon pu bli c re sp on se to i ssu e s r e la te d to smo kin g a nd he a lth . F or e xamp le , A rt hu r S te ve ns , com session to the ral C n s el fo r L orillard, sent c omments from the L orillard attende es at one u o Gene co I e. 03022004-2008 (US 86157); nstitut ne employ ee w rote, Tobac 85676573-6577 (US 86158). O information pre sented g ave me a better view of the defe nsive position in which our industry “The US 85676573-6577 (US 86158). S imilarly , in fee dback a fter 86157); finds itself.” 03022004-2008 ( 1980 session reg arding whether o r n o t the Colleg e of Toba cco K nowledg e wa s the September a rt hw hil e , o ne L or ill a rd ote tte nd e e wr wo : Def initely opportunity to meet with the pros, who fight in the -- The hes, was an experienc e which e panded my knowledg e and trenc x ua itm nt t omm ur mut e l g oa ls. c o o 5 7 0 0 9 5 4 -0 9 5 5 (U S 8 6 1 6 2 ). Fu rt h er co 8 m en t ar y b y L o ri l l ar d at t en d ee s o n t h e S e v en t h C o l l ege m inc lud e d: [A] fter the prog ram wa s completed , I definitely have a better a un ta nd ing of the ind us tr ie s [si c ] p os iti on in c e rt a in a re rs s . . . pa st de attendee never the industries [si c] stand on a s should be updated whe es or ne in the ilable, espe cially position chang w information is ava ll smoki overa and hea lth controversy . ng 85180845-0846 (US 86164); 85700895-0895 ( US 86166). 211. I n addition to the f ormal training rec eived by Def endants' employ ees on the industry nstitut position i matters at the Tobac co I nd health e’s College of Tobac co Knowle dg e, n smoking a industry lawy ers also informally instructed tobac co compa ny employ ees on the industry ’s smoking Wigand, f and hea ions. For e x ample, Jeffre y lth posit ormer V ice Pre sident of Resea rch a nd ices of Shook, Deve lopment of B& W, shortly afte r starting to work for B& W, was sent to the law off -109-

140 S H y & B a c o n i n K a n s a s C i t y , M i s s o u r i , f o r a n o r i e n t a t i o n . d h o o k , H a r d y & B a c o n a t t o r n e ys r a liam Shinn, R er t Northrip and Cha rles Wall instructed Wigand on the tobacc o industry Wil ob tion and addiction. Scott Appleton, a B &W tox icolog ist, also attended a tr aining position on causa acon. Wig and WD, 29:26-30:10. session at Shook, Hardy & B 6. Tobacco Institute Testing Laboratory I n J une 1966, the F eder al Tr ad e Commissi on (“F TC”) a nnounced tha t it was 212. machine the labora t o m easure by ry tar a nd nicotine content of cig are tte smoke. to establishing a a t sa me y e a r, the tob a c c o indu str y de c ide d to e sta bli sh its ow n la bo ra tor y , th e To ba c c o I ns tit ute Th ate division of the Toba L (“TI TL ”), w hich would be a separ tory cco I nstitut e. The TI TL abora Testing stablished so that Def endants could conduct tests to de termine the a ccur acy and re liability of was e the FT C laboratory ’s tests. The TI TL was also used by Def endants for other testing pur poses, such as the testing of the c l i n t h e late 1960s and e arly 1970s. 500500320-0323 (US hemical Chemoso 2 M 6 7 1 4 2 -7 1 4 3 (U S 2 1 3 5 3 ); 20633); TI I M N2 6 7 1 N2 0 -7 1 2 1 (U S 2 1 3 5 1 ). M u rr ay S en k u s , Direc tor T of Re se a rc h a t RJR, a c kn ow le dg e d th a t TI TL wa s a “ Me c ha nis m f or Mu tua l Co op e ra tio n” wi thi n the Tobac co I t u t e. 500500320-0323 (US 20633); TI TL 0003363-3374 (US 21931); nsti MN267142-7143 (U 1 MN267120-7121 (U S 2 TI 351); TI TL 0003108-3111 (US 21597); S 21353); TI 01246525-6537 (US 34516). Joint Resear ch Act ivity Direc ted by Defendan ts’ Exec utives and L awyers E. 1. Wit ne ss D e ve lop m e nt nolds, L 213. Phili p Morris, Rey endants orillard, L igg ett, B& W, American, CTR, and Def d Special co I nstitut e deve loped a va riety of joint resea rch pr o j ects that were dubbe the Tobac ts, Pr oje c ts. Th e se pr oje c ts a ssu me d n ume ro us fo rm s a nd na me s, includ in g CT R Spe c ia l Pr oje c -110-

141 L a e rs Spe c ia l Pr oje c ts ( pr oje c ts pa id thr ou g h L a wy e rs Spe c ia l A c c ou nts ), a nd To ba c c o I ns tit ute wy nd c oje c ts. Th e se pr oje c ts w e re e xclu siv e ly fu l Pr e d by the se pa rt ic ula r D e fe nd a nts . T he ma in Spe ia rp os e of the se pr oje c ts, wh ic h w e re pr ima ri ly la wy e r- de ve lop e d, dir e c te d, a nd su pe rv ise d, pu s to wa obtain and deve able to De fenda nts for testimony befor e C o n gress and other lop witnesses favor ulatory bodies, for use g ation, and for support of industry public statements. reg in liti on a non-pe RC/C TI allocate d funding TR throug er r eviewe d 214. h its “Special Projects” as i s fo r r es ea rc h p ro j ec t s as b o ci at ed wi t h l i t i gat i o n an d wi t n es s p re p ar at i o n , Br an dt WD, 127:20-22, s a nd were no t des ign e d to a dd re ss s mok ing a nd he a lth iss ue s in a wa y tha t w ou ld b e he lpf ul t o incre asing e about smoking and disea se. public knowledg the 5. c ia l Pr oje c ts w e re ov e rs e e n b y the ma in m e mbe 21 of Spe Com mit te e of Cou ns e l, rs i.e., the Ge l Counsels of Defe ndants Phili p Morris, Rey nolds, L orillard, L nera ett , B&W , and igg Amer i ca n . S t ev en s W D, 6 : 1 3 -2 1 ; 2 0 4 5 7 5 2 1 0 6 -2 1 1 0 at 2 1 0 7 (U S 2 0 4 6 7 ); 1003718428-8432 at 8429 (US 35902); 01124376-4421 (U S 26394); 01124445-4445 (US 26400). te 6. e Com mit te e of Cou ns e l r e c e ived f requen t up 21 Th s o n Sp e c ia l Pr oje c ts. da 1005061626-1626 (US 35960); 1005061 6 1 5 -1615 (US 35958); 1005061616-6125 ( US 35959); 1005061626-1626 (US 35960); 680305856-5858 ( US 30887); 2501190758-0759 (US 20562). 217. S p ec i al P rojec ts were often mana g ed by y et another committee ca lled the Ad Hoc ttee consisted of Commi ee . T he Ad Hoc Commi t in-house counse l, liti g ating lawy ers, a nd other t ag ents such as public r elations and rese arc h repr esenta tives of Def endants dire cted to conduc t long rang e policy planning with respec t to resea rch a nd witness development. 2045752106- 2110 (US US 35902). 20467); 1003718428-8432 at 8429 ( -111-

142 21 8. e fo c us on wi tne ss d e ve lop me nt, a s o pp os e d to sc ie nti fi c re se a rc h, is ill us tr a te d in Th dated Oc tober 28, 1966, whe ttorney Fr ancis De ck er ad v i s ed Da vid Hardy of Shook, a letter re a & B status of ce rtain Ad Hoc matters. He stated, dy acon on the Har only available on a li mited basis. Howeve Dr. Pratt is prese ntly r, we to develop him as a p o s s b l e witness. . . . Dr. Soloff intend to try i d e th e r e ma r k a b o u t t h e f in d in g that th e n o n - s mo k ma r a n d e x- e smoker have idence of hea rt disease . Nonethele ss, I the same inc b n excellent witness. T o egin wit h, I think he think he could be a ht b e pe rs ua de d th a t th e va lidity of the a bo ve sta te me nt i s mig questionable. 1005105988-5990 (US 36020). I : (1) Janet C. Brown, anuar y 1967, the Ad Hoc Commi t t ee wa s comprised of 219. n J L o Americ an and CTR; (2) Kevin Parke, counsel t . Carroll, W hite & Ca se, counse l Chadbourne & to B & W; (3 ) Do na ld J. Coh e n, Web ste r, She ff ie ld, F le isc hma nn , H itc hc oc k & Chr y sti e , c ou ns e l to L igg rd J. C ooke, Jr., Da vis, Pol k & War dell, counsel to Rey nolds; (5) Fr ancis De cker , ett; (4) Edwa ld, Fleischma k & Chry stie, counsel to L igg ett; (6) Alexander Webster, Sheffie nn, Hitchcoc a n , Co n b o y , H e w it t, O ' B r ie n & B o a r d ma n , Holtzm o u n s e l t o Ph il ip M o r r is ; ( 7 ) E d w in J. J acob, c J dinge r & Finnega acob, Me W, and Rey nolds; and (8) Willi am W. Shi nn, n, counsel to CTR, B& Sho ok , H a rd y , O ttm a n, Mit c he ll & B a c on (l a te r “ Sho ok , Ha rd y & B a c on ” ), c ou ns e l to Phi lip Mo rr is, L &W, and Rey nolds. 2015059690-9697 (US 20309). orillard, B 22 0. At tim e s, me mbe rs of the Ad Ho c Com mit te e a nd the Com mit tee of Co un se l he ld s relate joint meetings to kee endants infor med as to the status of joint resear ch matter p Def d to the enter prise, par ticularly “industry leg islative” and litig ation positions. BWX0000007-0007 (US 59828). -112-

143 221. On Dec ting of the “Committee of Six [i .e., the Committee ember 17, 1965, at a mee ns t to l],” re pr e se nta tiv e s o f a t le a st C TR, B & W, a nd Re y no ld s, and ou tsi de c ou ns e l me Cou of e us R a nd Ad Ho c sp e c ia l pro je c ts in re la tio n to the c ne e d f or ind us tr y wi tne ss d e ve lop me nt. dis s CT US 20034). 95522182-2185 (US 56821); RC6033491-3496 (US 86225); 01124441-4444 ( 2. I n a fo llo w- up le tte r da te d Janu a ry 4, 19 66 , a tto rn e y John Rus se ll o f P e rk ins , D a nie ls 22 Mc & c k in fo rm e d J.E . B e nn e tt, Pr e sid e nt o f L or ill a rd : Cor ma ha y re a wa re , the la wy e rs ou ve , tog e the r wit h the sta ff of Cou nc il As a cc o R esea rch, be en re viewing our industry ’s re sear ch for Toba ram with a vie d developing some sort of a ma ster plan. w towar prog se ll a dv ise d th a t th e re we re thr e e c a te g or ie s o f r e sea rc h: “ A. Ad ve rs a ry ne e ds (C on g re ss, Rus ; a ig a tio n, e tc .) ; B . D e fe ns ive ne e ds sic nd C. B a lit re se a rc h. ” He fu rt he r ad vis e d tha t so me pr oje c ts wo u d be paid throug h L awy ers' Special Ac counts and some out of CTR. 01124445-4445 (U S l 26400). o I An Ap ri l 12 , 196 6 R ey no ld s d ocu men t d escr ib in g the m is si on 22 the To ba c c 3. ns tit ute of discussed endants' g oals including witness development in upc oming health Def n . T he litigatio document stated tha t the authoriz ation and purpose of CTR Special Projects and A d Hoc Committee la wy e r p ro je c ts w a s to a ssu re e ff ic ie nt ha nd lin g of me dic a l e vid e nc e a nd to p ro vid e the ind us tr y wi th witnesses for health litiga US 23053). tion. 502645038.S-5038.Z ( B 4. vid Ha rd y , p a rt ne r a t Sho ok , Ha rd y 22 Da a c on , pla y e d a ma jor ro le in D e fe nd a nts ' & witness development plans to perpe tuate the Enterpr ise’s “open question” posi tion. Hardy worke d . to secure tiga tion throug hout the 1960s for future li For example, in a January possible witnesses 12 , 1 96 7 let te r to the Ad Ho c s. mit te e , he re qu e ste d e va lua tio ns of po te nti a l in du str y wi tne sse Com various CTR I n the same le tter, Ha rdy asked A d Hoc Committee members to a naly ze the value of -113-

144 and Ad Hoc projects in g et practical use out of t hem i n time for e x pecte d Congr essional an effort to ings. 2015059690- 9697 (US 20309). hear a 5 A F e b r u a r y 8 , 1 9 6 7 l e t t e r t o H a r d y f r o m D o 2 . l d C o h e n a n d F r a n c i s D e c k e r , a t t o r n e ys 2 n leischmann, Hitchc ock & Chry stie, responde d t o Ha rdy ’s re quest for with Webster, Sheffield, F omm e nts a nd e va lua tio ns of po te nti a l in du str y wi tne sse s. I t a dd re sse d ma ny areas of poss ibl e c in gr s tail and provided na mes of doctor s an d testimony ci en t i s t s, many of whom we re CTR eat de ts recipients a h various De fenda nts in later y ear s. C o Special Projec en and D ecke r nd funded by fenda itnesses stated that De nts' w the unexplained para dox es in th e ciga rette smoke should describe s theory tion. [ They ] causa h o uld present the ide a that the of disease statistics are a s consi stent, if not more so, with the constitutional t h o r y a s w i t h t h e c i g a r e t t e s m o k i n g t h e o r y. e cker ho had re also rec ommended that doctors and scientists w Cohen and De ceive d CTR gra nts-in- Project be used a s potential witnesses. 1005154422-4435 a t 4425 (US aid and CTR Special funding 20228). 6. Willi a m Sh inn of Shoo k, Ha rd y & B a 22 on a lso re sp on de d to Ha rd y ’s re qu e st, wi th c c op ie s to me mbe rs of the Ad Ho c Com mit tee , reg a rd ing po te nti a l w itn e sse s f or De fe nd a nts in upcoming ressional he aring s. 1005154472-4479 (US 20229); 2015059690-9697 (US 20309). cong 22 7. Simi la rl y , on Ma rc h 3 1, 19 67 , Ro be rt Ho c ke tt, on be ha lf of CTR , s e nt a memorandum to Ha descr ibing Adolphe D. J onas, a psy chiatrist who had wo rked on the rdy psy cholog potential industry of smoki n g. I n this memorandum, Hocke tt mentioned J onas as a y witness. 2015034120-4121 (US 20319). -114-

145 228. When a scientist was willing a witness in litigation or be fore cong ressional to act as half of the hear rk was often funded by CTR S pecia l Projects. For Enterpr ings on be ise, her wo attempt names to H ardy unnel as potential witnesses be fore 3, 1968, in an example, on October to f rd ing ind us tr y fu nd ing to s c ie nti sts , A le xan de r H olt zma n, Ge ne ra l Co un se l of a lip Mo rr is, wa Phi ote le tte r p ro po sin g CTR Spe c ia l Pr oje c t f un din g fo r R ic a rd Hi c ke y . H ic ke y ’s a pp lic a tio n to wr ha viously been tur ned down, but Holtzman stated that CTR for $30,000 had pre key is willi ng to prepa re a statement for Congr ess provided Dr. Hic a posi that he is put in complete the analy sis of data which he tion to on -h nd a nd he wo uld , s in y op ini a , ma ke a n e xce lle nt w itn e ss. ha in m 05 08 47 84 -4 78 6 a t 47 84 (U S 22 98 8) . H olt zma n a lso wr ote tha t 10 think we might be suade him to make a dditional able to per I se rv a tio ns in t he se pa pe rs c on c e rn ing the imp lic a tio ns of his da ta ob in relation t ublic Hea lth Service the P view on the smoki ng question. o I d. 229. Si m i l ar l y , a Nove mber 17, 1978 Philip Morris memorandum noted that “CTR has supplied spokesmen for the industry ong ressional hearing s. The monies spent a t CTR provides at C for introduc 2110 at 2107 (US 20467); 1003718428-8432 at a base tion of witnesses.” 2045752106- 8429 (US 35902). 3 0 . An industry document wr itten by “A.H . ” ( v er y l i k el 2 Al ex an d er Ho t z m an), describing y what tra a Gene ral nspired at at the off ices of Philip Morris on J anuar y 4, 1978, Counsels’ meeting a t whic h r e p r e s e n t a t i v e s f r o m B & W , L i g g e t t , R e y n o l d s , t h e T o b a c c o I n s t i t u t e , a n d P h i l i p M o rr is ount wer d the development of S pecia l Acc sent, demonstrate No. 4 (a spe cific ty pe of L awy ers e pre Spe c ia l A c c ou nts , d isc us se d a t Se s. tio n I I I (E )( 3) (b ), inf ra ) t o a dd re ss D e fe nd a nts ' ne e d f or wi tne sse c s to Th e En te rp ri se us e d Sp e c ia l A c c ou nt N o. 4 to fu nd re se a rc he rs a nd sc ie nti sts and to pa y fe e -115-

146 consultants who could off er knowledg e to Defe ndants and a ct as witnesse s on their beha lf. expert d unding w ht out b y De fe n soug an t s' attorney s based on how he lpful they Recipients of such f ere o u l d b e i n f u t u r e l i t i g a t i o n a n d c o n g r e s s i o n a l h e a r i n g s . F u n d s w e r e a l l o c a t e d a c c o r d i n g l y. w scu ss io ns a nd de ta ils of the la wy e rs ' sp e c ia l pr oje c ts w e re to b e ke pt c on fi de nti a l. I n th is s a me Di e c nt d e sc ri bin g wh do t oc c ur re d a t th e Janu a ry 4, 19 78 me e tin g , a tte nd ume e s w e re a dv ise d not t o a discuss the details of Spec ount No. 4 in wri t i ng , and instead discuss a ny questions on the ial Acc matter in a phone response to a letter within a g iven date w as assumed to mea n that “the call. No matter [was] ag ree able.” BW X0004364-4375 (U S 36228); 03658901-8901 (US 20061); L G2024193-4196 a t 4196 (US 21212). e 1. n a F e br ua ry 9, 19 78 le tte r t o T ho ma s F . A hr e ns fe ld, Ge ne ral Cou 23 I l f or Phi lip ns Morris; Max H. Crohn, J nera l Counsel for Rey nolds ; J o s ep h Gre r., Ge ener al Counsel for er, G L igg ett; Arnold Henson, a n attorney with Chadbourne & Parke; Er nest Pepples, Gene ral Counsel f o r B & W ; a n d A r t h u r J . S t e v e n s , G e n e r a l C o u n s e l f o r L o r i l l a r d , W i l l i a m S h i n n o f S h o o k , H a r d y & Ba con wr ote of the for l are as of r esea rch w ith due reg ard f or the politics of need specia e, the importanc e of de scienc wi t n es ses and the ne ed for a veloping responsive me chanism to meet unfounde d claims made a bout tobacc o. I s document, Shinn recommende d approva l for funding of projec ts through Spec ial Acc ount No. n thi 4 and CTR Spec ial Projects. Once ag ain, re cipients of this letter we re r eminded not to reta in notes on matters of w itness development. 503655086-5088 a t 5087 ( US 20720); 503655086-5088 (US 75190). -116-

147 232. By , the Tobacco I nstitut e and its ag ents bec ame c oordinators at least the la te 1970s fe g a nts ' e ff or ts t o d e ve lop a g ro up of wi tne sse s for fu tur e lit ig a tio n a nd he a ri ng s. An Au e us t in D nd se 97 tte r fr om Er ne st Pep ple s of B & W to Ric ha rd Ma dd ox of B AT Co d isc us , 1 d th e re qu e st 30 8 le Hora Korne g ay , President of ce Tobac co I nstitut e, that the Committee of Counsel be involved of the and providing scientific witnesses and documentar y testimony for use in hear ings be fore in selecting e g nd e lse wh e re . D ur ing its y e a rs a s a n a c tiv ss a tr a de a sso c ia tio n, the To ba c c o I ns tit ute re Con e pa re d o r p ro vid e d o ve r 1 00 wi tne sse s f or te sti mon y be fo re Con g re ss, c ou rt s o r s ta te le g isl a tur e s. pr t 0335 (US 89555). 681725305-5307 (US 21019); USX6390001-0400 a A Marc 11, 1980 document dra fted by Max C rohn of Rey nolds acknowle dg ed that 233. h longtime CTR Special Projec count No. 4 re cipient Theodor S t er ling wa s “one of t and Special Ac ou r i nd us tr y ’s mos t va lua ble ou tsi de a sse ts. ” I n a dd iti on to n ume ro us pu bli c a tio ns a nd stu die s, Crohn noted that “[Sterling] has continued to be primary scientists available f or one of the & B acon in Ka .” 503645463-5463 ( US 29696). consultation with Shook Hardy nsas City rom Erne A 1983 letter f es of B& W to J im Bowling of Philip Morris and 234. st Peppl rs of L orillard attache Alexander Spea “a paper proposing rec ommendations which we might make d to the [Tobacco I nstitut e] Ex ecutive Committee.” 80419202-9202 (US 21061). The a ttached pa per titled “I ndus t ry R es ea rc h S u p p o rt – R ec o m m en d at i o n s ” l i s t ed t h e f o l l o wi n g among its considerations i fo co m i n g s ci en t p fi c f u n d i n g: r u B e pr e pa re d to increa se sc ie nti fi c fu nd ing of sp e c ia l pr oje c ts t o resolve sc nd develop witnesse s. . . . ientific problems a Maintai n company cooper ation – philosophies about resea rch ma y differ at times, but goa ls should be the same. . . . I. Im p r o v e c o o p e r a t i o n b e t w e e n i n d u s t r y m e c h a n i s m s s u c h a s C T R a n d T -117-

148 80419203-9203 (US 21062). 235. ebrua ry 2, 1984 memorandum wr itten by Arthur Stevens, Gene ral Counsel for I n a F l Counsel for Philip M n Hol tzm an, Ge nera er orris; Erne st Pepples, Gener al orillard, to Alexa L d B& W; J osiah Murra y , Gene ral Counsel for L igg ett; and Samuel Witt , Gene ral Counsel Counsel f or Ad e no r R , St e ve ns dis c us se d th e intent of the y Ho c Com mit te e to “ pr op os e a wi tne ss fo lds ve lop me nt p la n” to a ssi st t he lit ig a tio n a nd regul a tor y e ff or ts o f t he me mbe r c omp a nie s. de S 21081). 85687269-7270 at 7269 (U rom Patrick Sirridg e, S hook, Har dy An April 7, 1986 letter f acon, to Ale x ander 236. & B ltzma n, Ge ne ra l Co un se l fo r Phi lip Mo rr is; Way ne W. Juch a tz, Ge ne ra l Co un se l f or Re y no lds ; Ho &W; Paul osiah J y , I I I , Gene ral Counsel for L igg ett; Ernest Pepples, Ge nera l Counsel for B . Murra J and Gene Counsel f or Americ an; ral A. Randour, tevens, Ge nera l Counsel for L orillard, Arthur J. S informed CTR Boa rd member s that Shook, Ha rdy & Ba con would take over both the a dminist ration of Specia l Account No. 4 f acob, Me dinge r & Finneg an and the submissi on of re sear ch rom J CTR S pecia ording to this l etter, Shook, Ha rdy & B acon a nti ci p ated proposals for l Projects. Acc d by reque erta in wit n ess development expenses incurre sts for “c national litigation highe r funding 507877173-7174 at 7173 (U S 20800). counsel.” 7. An oth e r lon g 23 ime ind us tr y la w f ir m in vo lve d in wi tne ss d e ve lop me nt w a s Wa c hte ll, -t L ipton, Rosen & Ka tz. An April 28 memorandum from attorney David Murphy to attorney s Herbe rt Wachtell, Paul Vizcarrondo, Jr., and J ohn Savare se described an issue that had arisen at L orillard. in Ar r S te ve ns a nd Willi a m A lli nd e r of L or ill a rd wa nte d to know if L or ill a rd c ou ld “ pa rt ic ipa te thu e fu ing thr ou g h a Sho ok , H a rd y sp e cia l acco un t th nd wo rk of a Ge or g e tow n p a tho log ist , B e nn e tt t J ensen.” Murphy repor ted that he ha d been a dvised that J ensen ha d rec eived CTR Special Projec -118-

149 b f i n g i n 1 9 8 8 , a n d n o w f a c e d p r o b l e m s a t G e o r g e t o w n d e c a u s e o f h i s t i e s t o t h e t o b a c c o i n d u s t r y. n u & B acon pr oposed to Shook, Hardy g ive him ” $4 0, 00 0 - - n ot f or sp e c if ic re se a rc h . . . or wi th a n e y e to “ a bli tio n b ut s ole ly in o rd e r t o maint ain a g oo d r e la tio ns hip wi th c pu a n d s e c u r e h is c o n ti n u e d h e lp in ma k in g c o n ta c t w it h o th er him ie nti sts . sc dy also repor ted that “Allinder admits tha t Shook, Har wants Murphy to g ive J ensen money to keep him happy and that ther to his rese arc h.” J ensen, howeve r, was a potential e is no immediate value ation and his contac ts “could l d to leg islative witnesses.” 87715635- witness in the Haines litig ea rt Northrip, a ndeed, Robe Shook, Har dy n attorney & B acon, a cknowledg ed 5636 (US 21101). I with t on e of the be ne fi ts o f S pe c ia l Pr oje c ts w tha s p re se rv ing the g oo d w ill of fo rm e r w itn e sse s. a Northrip WD, 10:6-11:2; Northrip TT, 9/ 01366:7-01367:25; ATX9275490271-0280 at 0273 30/04, (US 36231). 2. ojec ts CTR Special Pr a. of CTR S pecial P roje cts Nature 23 8. CTR Spe c ia l Pr oje c ts w e re a se pa ra te c a te g or y of re se a rc h p ro je c ts f un de d b y CTR . the CTR Unlike the g teg ory of re sear ch, CTR Special Projects we re not scr eene d by aid ca rant-in- Scientific Advisory Boa rd (“ SAB” ); instead the pr ocess wa s directed by the Gene ral Counsels of Phili p Morris, Rey nolds, L orillard, L igg ett, B& W, and American, as well as a ttorney s at outside law rdy firms including dinge r & Finneg an, and Shook, Ha acob, Me & B acon. T he wor k was J specific ally commissioned for possible use in litiga tion . S t ev en s WD, 13:22-16:16, 17:20-18:8; J uchatz T T , 11/22/04, 06736:17-06748:17, 06754:8-06782:3; (US 87024); McAllist er WD, 159:12- n, 14, 161:23-162:25; McAllister TT, 3/21/05, 16171:22-16175:13; Sommers PD, Arch v. A merica -119-

150 7/14/97, 49:7-9; see also Rupp Northrip TT, 9/30/04, 01369:25-01374:16, 01374:17- WD, 38:1-8; y 01375:3; L S 89555). nolds, 8/13/97, 86: isanti PD, Engle v. Re 8-21; USX6390001-0400 (U , there of the law er involveme nt and the lac k of re v i ew b y cause h e SAB y was 239. Be t nition CTR S pecia l Projects did not constitut e the indepe that sear ch promised in the og rec ndent re nk Sta te me nt. Jane t B F wn , r e ta ine d c ou ns e l f or CTR , a c kn ow le dg e d th e pr ob le m in a le tte r t o ra ro vid rd y da te d Jun Ha 13 , 1 97 4: Da e e r e th e in d u s tr y is it s e lf th e a r b it e r o f th e a mo u n t a n d nature of Wh is ar h to b e d o n e , h o w e v e r , a r g u me n ts th a t t h e r e s e a r c h c s elf- rese e rv -- tha t is , is too li tt le, to o la te , d oe s n ot b ing a r r e a so na ble se tion to the nature and scope of the proble ms nor to the industry ’s rela s - rk e t po sit ion , s a le s, pr of its , a dv e rt isi ng ex pe nd itu re - g ma a in i n forc e and acc e. Moreove r, t he indus try may have little, if any eptanc lts e to disa sso c ia te its e lf fr om a ny re su y of su c h r e se a rc h w ith le wa ree . which it does not ag 03659023-9025 at 9025 (U S 87177). Fr om 1966 to 1990, Def endants c 240. amounts to CTR S pecia l ontributed the following Pr c ts: Am e ri c a n - $2 ,0 49 ,3 54 ; B & W - $ 2, oje 1, 35 4; L or ill ard - $1,6 38 ,4 90 ; Ph ili p M or ri s - 57 $5 ,8 37 ,9 23 ; a nd Re y no lds - $ 6, 02 9, 25 5. F ro m 19 66 to 1 97 5, L ig g e tt co ntr ibu te d a pp ro xima te ly $144,000. DXA0630917- 1033 at 1024 (US 75927). i Although L rom CTR in 1 9 6 8 , ett withdrew f t co ntinued to participate in CTR 241. igg ts. St Special Projec D, 17: 14-19. I ndeed, in its J anuar y 8, 1968 resig nation letter, L igg ett’s evens, W Pr e sid e nt s ta te d “ we wi ll c on tin ue to p a rt ic ipa te in d e fr a y ing the c os t of [CTR] Sp e c ia l Proj e c ts a sp so re d b y the Cou nc il a ft e r e va lua tio n o f e on c h Pr oje c t on a n in div idu a l ba sis .” CTR -T I RC t 0241 (US 33023). MI N000238-0244 a -120-

151 e 2 L i k e C T R g r a n t s - i n - a i d , C T R S p e c i a l P r o j . c t s i n v o l v e d r e s e a r c h i n t o e p i d e m i o l o g y, 2 4 tory wo rk , and animal e x perimenta tion. However , they wer e re g arde d by at least one prior labora ctor of CTR as “ Scientific Dire which would not a ppeal to the CTR S AB . Sommers soft scienc e,” n Tobac merica co, 7/14/97, 49:7-24; 7/15/97, 215:22-24, 216:2-6. PD, Arch v. A pecia l Projects allowed pa rticipating tobacc o manufa cture rs acc ess to paper 243. CTR S s nts by they wer e subm scientists before for publication to journals or to reg ulatory and stateme itted die s. nts e e .g ., US 340 88 ; 6277 4. Spe c ia l Pr oje c t f un din g a lso a llo we d D e fe nd a bo to h a ve so me Se say in publications resulting f rom such funding . See e.g ., US 20469. 244. The law y ers who coordina ted, re quested a nd monitored CTR Special Projects wer e not scientists and did have scientific backg rounds. The lawy ers wishe d to avoid the CTR SAB not rt tho f f un din g be c a us e the SAB e va lua te d it s pro jec t- fu nd ing re qu me sts in p a d o fo r s c ie nti fi c e leg , while the lawy ers we re f ocused on litig ation and li ability objectives. Hoel PD, United itimacy ip Morris, 6/27/02, 58:20-59:19. States v. Phil I n the mid-1960s, Shook, Hardy & B 245. veloped a smoking a nd health litera ture acon de retrie val sy stem within the firm to he lp the lawy ers identify scientists f riendly to the t o b acc o industry ’s liability o that these scie ntists could rece ive funding throug h the CTR Special positions s ram. Hoe lip Morris, 6/27/02, 61:10-62:7, 62: Projects prog 11, 63:11-20. l PD, United States v. Phi An April 14, 1967 246. om Addison Yeama n, Vice Pre sident and Ge nera l memorandum fr Counsel of B& W, addressed to Fr eder ick Haa s, Gene ral Counsel f or L igg ett; Cy ril Hetsko, Ge nera l nolds; Paul Smith, Associate Gene Counsel for Amer nry Ramm, Gener al Counsel for Rey ican; He ral Counsel for Philip Morris; and Earle Cleme nts, President of t he Tobacco I nstitut e, explained how SAB pr oje c ts h a d b e e n “ de lib e ra te ly iso la te d” fr om l a wy e r- dir e c te d p ro je c ts: -121-

152 We have de liberate AB from thos e area s of re sear ch ly isolated the S consider w which they ontroversia l or adve rsar y nature ere might of a c hy l u eason w d n ot be that isolation cannot and sho and I see no r ientific integ rity and rvation of the sc to the fullest prese maintained h e S AB dignity but with the relea se of f unds from the SAB of t , budg o both resea rch dire ctly rela ted to tobacc o portion of CTR’s et t ia the -c nd lle d Sp e c so l Pr oje c ts. a a 670307892-7894 (US 20967). A Fe bruar y 24, 1969 L orillard memora ndum also d e s c r ib e d th e o r ig in of CTR Special 247. oje Pr c ts: se a mbe r o f y e a rs , c e rt a in r e or e nu nta tiv e s o f the ind us tr y ha ve fe lt F pr the Council [for Tobacc o Resear ch] has not been a s that the work of . rt nt t o o ur pr ob le ms a s it mig ht b e . . . ine I n a n e ff or t to me e t th is pe 5 c ti o n , in 1 9 6 e th obje Co u n c il e mb a r k e d o n a p r o g r a m o f g uided rese arc . I n order to financ e thi s phase of their activity , a spec ial h. . . ts budge loped. projec t was deve 044227839-7844 (US 20066). An April 18, 1980 memora ndum to file by Arthur Stevens stated: “I conclude d that 248. is this work [of CTR t rec ipients Kuper and J anis] rojec potentially useful from a litiga tion Special P point of view.” 01336290- 6290 (US 88436). 2 4 9 . A Se p te mb e r 1 8 , 1 9 8 1 le tt e r f r o m F r a n c is D e c k e r , a n a tt o r n e y w it h Webster & s from Sheffield, to Joseph Gree nera l Counsel for L igg ett, enclose d his note President and Ge r, Vice a September 10, 1981 meeting of the Committee of Counsel. Dec ker’ s notes descr ibed a discussion betwee n Arthur Stevens, G ener al Counsel for L orillard, and E dwin J acob, CTR attorne y with J acob, en CTR Special P Meding Finneg an, noting the diffe renc es betwe er & rojec ts and L awy ers Spec ial Pr oje c ts: -122-

153 r Ste s : “ I n e e d to k n o w w h a t th e h is to r ic a l n e a s o n s w e r e f or the e v ence n the cr iteria for lawy ers' specia l projects and CTR differ betwee specia l projects.” * * * J acob: “ When we starte d the CTR Special Projects, the idea was that sc ie nti fi c dir e c tor of CTR wo uld re vie w a pr oje c t. I f h e lik e d it , the e it t. I n o t l i k , then it beca me a f he did it was a CTR Special Projec ers' specia l project.” lawy took of fense re scientific embar rassment to us, but not Stevens: “He to CTR.” J h Spielberger , we we re a fra Wit y for F TC and acob: “ id of discover anted to prote ct it under the la wy ers. We did not with Aviado, we w want it out in the open.” L G2000741-0750 a t 0745-0746 (US 36269). y 0. A 1 984 do cume nt p re pa re d b Sta L e e 25 nf or d o f S ho ok , H a rd y & B a c on to D a vid Har dy y & Ba con, concer ning the briefing of Alex Spears of L orillard for a of Shook, Hard pecia ed that Projects. The document acknow ledg deposition, discussed CTR S “[t] hese a re initiated l loped throug h outside counsel (SHB and J&M).” 92456261- 6268, (US 75420). and deve A document pr epar 251. in or about 1992 titled “F unding Sourc es of Toba cco I ndustry ed Re se a rc h” no te d th a t CT R Spe c ia l Pr oje c ts we re “ - R e se a rc h d ir e c te d a t in du str y pr ob le m - Witn e ss -F development objec g ener al counse l d by unded through CTR .” 01334642-4655 (US tive -Approve 34528). 25 2. An Ap ri l 28 , 1 99 2 Wa c hte ll L ipt on me mor a nd um f ro m a tto rn e y Da vid Murph y to J attorney rt Wachtell, Paul Vizcarrondo, J r., and s Herbe ohn Savare se di scussed the nature of CTR : Special Projec ts and raise d the spec tre of “ perpe trating a fr aud on the public” -123-

154 I n my view, the J ensen issue raises a larg er que stion -- overc autious funds (a whether ctivities were nd afte “CTR Special Projects” r such a TR, industry funds administered thr oug h Shook, of C joint moved out re use Har t o purcha se fa vorable judicial or leg islative dy ) we d s t i m o n y, t h e r e b t e r p e t r a t i n g a f r a u d o n t h e p u b l i c . A d m i t t e d l y, e y p on of fr aud wa s unknown to the commo n l aw , b u t if we this noti side assume the other ng g lass . . . perha ps it is cause for of t he looki rn. conce 87715635-5636 (US 21101). Law yers' Involvem ent with CT R Special P roje cts b. s at J acob, Me dinge r & Finneg 253. rdy & Ba co n kept the Attorney an and Shook, Ha ttee of Counsel a pprised of the status of CTR Special Projects and a lso made Commi c omm e nd a tio ns to D e fe nd a nts ' Ge ne ra l Co un se ls a nd to e a c h o the r a s to wh e the r pr oje re ts s ho uld c be conduc ted throug h CTR S pecia l Projects. TI MN261386-1387 (US 21288); 1005048374-8374 (US 35939). See a lso L ican Toba cco, 6/10/97, 80:9-81:19, 82:10-19. isanti PD, Arch v. Amer sent For 19, 1967, Wil liam Shinn of Shook, Ha rdy & Ba con, a letter 254. example, on May lip Morris Gener al Counsel, reg arding C T R Special Projec ts. He to Alexander Holtzman, Phi a proposa l to support and publicize resea discussed dvancing the theory of smoking a s benef icial rch a to health as ress reduce r, even for “ corona ry prone” persons; re prese nted that stress (r ather a st than nicotine addiction) e x plains why smoking c linics fail; and propose d to publiciz e the “ imag e of smo kin g a s ' r i g h t ' f o r m a n y p e o p l e . . . a s a s c i e n t i f i c a l l y a p p r o v e d ' d i v e r s i o n ' t o a v o i d d ise a se causing 3882 (US 20204). stress.” 1005083882- 255. On Fe bruar y 5, 1974, Shinn sent a letter to the following Gene ral Counsels: Thomas of B Ahre ris; D eB aun Br y ant nsfeld of Philip Mor &W; Fr eder ick Haa s of L igg ett; Cy ril Hetsko of rdy Americ an; Henr y Roemer of Rey nolds; a nd Arthur Stevens of L orillard, stating that “Da ve Ha -124-

155 rk and I ommend approva l of the $50,000 g rant for Dr. Car l D. Se l t z er ’s wo rec as a CTR ly strong l project” , citing the valuable r esea rch he at Harvard University onducting and the wor ks specia was c e h a d a l r e a d y p u b l i s h e d r e l a t i n g t o s m o k i n g a n d h e a l t h , w h i c h w e r e h e l p f u l t o t h e i n d u s t r y. h S 20209). 1005108380-8381 at 8381 (U On J une 3, 1986, Patrick Sirridg e of Shook, Ha rdy & B aco n 256. en t a l et ter to the s e llo wi ng Ge ne ra l C ou ns e ls: Al hil xan de r H olt zma n o f P fo ip M or ri s; Wa y ne Juch a tz of Re y no lds ; J osiah Murra of L igg ett; Ernest Pepples of B &W; Paul Randour of Ame rica n; and Arthur Steve ns y orillard, re l for additional funding of He nry approva Rothschild through CTR of L commending ts. 507878840-8840 (US 20802). Special Projec 7. Suc h in du str y att orn ey re 25 omm e nd a tio ns c on tin ue d in to t he 19 70 s a nd 19 80 s. c L G2000429-0 4 30 (US 34067); 1005083560-3561 (U S 35991); L G2002513-2514 (U S 34076); 1005070386-0387 (US 35981); 1005108380-8381 ( US 20209); V00012777-2778 (U S MNATPRI S 20720); 03638976-8979 S 46483); 86233); 503655086-5088 (U (US 20060); 03638976-8979 (U 6 4 8 8); 507731976-1976 (U S 86273); 521032586-2588 (US 85746); 01335398-5398 (US 2 26516); 01335571-5571 (US 26498); 03754226-4227 (US 29343); 01338391- 01335965-5966 (US 8392 (US 26567); 01337575-7576 (U S 26552); 1005125797-5798 (US 36097); 505741621-1622 (US 86245); B WX0003772-3773 (US 36199); 503645740-5741 (US 29699); 504339396-9397 (U S 29751); BWX0002772-2773 ( ); 1005125390-5391 (US US 36171); 521030035-0036 (US 30458 36091); BWX0002884-2885 ( US 36182); 1 0 0 5 125300-5301 (US 36089); 03747448-7449 ( US 29327); US ATX9277370208-0209 (US 36233); 503645752-5753 (US 29700); 1005064666-4667 ( 35973); L G2002762-2763 US 36222); 507731371-1371 (US (U S 34086); BWX0004202-4202 ( S 30470); 503645128-5129 (US 86251); 86 2 5 0 ); 1 0 0 5 0 6 4 6 7 8 -4 679 (US 35975); 521032115-2116 (U -125-

156 1005064711-4712 (US 35977); B WX0003460-3461 1005064646-4647 (US 35972); (US 36192); US 30466); 1005064594-4595 (US 35969); 503566273-6274 (US 86253); 521031847-1848 ( 86255); BWX0002886-2887 ( (US US 36183); 503655382-5383 (US 86254); 503655216-52 1 7 2867 (US 36180); 1005064627-4628 (U S 35971); BWX0002893-2894 (US 36185); BWX0002866- 6 5 3 9 3 7 - 3 9 3 8 ( U S 8 6 2 5 6 ) ; 5 0 7 7 3 1 3 4 4 - 1 3 4 4 ( U S 2 9 8 6 2 ) ; 5 2 1 0 2 9 7 1 2 - 9 7 1 3 ( U S 3 0 4 5 1 ); 503 (U 1005064547-4548 S 35967); 503645684-5685 (US 86257); B WX0002888-2889 (US 36184); 86259); 86262); (US 86261); 507732105-2106 (US (US 521030984-0985 507734475-4476 (US 86267); 507734379-4380 (US 29905); 507731548-1549 ( US 86266); 507734458-4458 507731658-1659 (US 86269); 507731764-1765 ( US 86270); 507731469 -1 470 (US 86271); US 29888); 50773 1 5 75-1576 (US 86275); 507731758-1758 (US 29896); 507731648-1648 ( US 86278); 5 7 875993-5993 (US 22692); 0 507731487-1487 (US 86276); 507731973-1973 ( ATX300010994-0995 ( US 22694); 521031106-1107 (US 22696); 01336194-6195 ( US 22697); G2000678-0679 (U S 22 7 0 3 ); 1005064682-4683 (U S 35976); 01338089-8089 (US 22701); L US 29328); 01336110-6113 (US 26519); 03751975-1976 (US 29340); 03747528-7528 ( 1005064561-4561 (US 35968); 01335579-5579 ( US 26499); 201502938 5-9385 (US 36639); -7 1 1 (U 1 1 2 01336499-6500 (US 26535); 5078771 S 8 8 4 3 8 ); 8 6 0 0 3 0 1 7 -3 0 1 8 (U S 5 6 0 8 4 ); 0 1 3 35472- 5472 (US 01338515-8517 (US 26570); 01334899-4899 (US 26474); 01331881-1881 ( US 26493); S 2 S 29 1 1 ) ; 0 1 3 3 6 1 9 1 - 6 1 26467); 503655440-5441 (U 2 ( U 7 6 5 2 2 ) ; T L T 0 2 7 0 5 5 5 - 0 555 (US 85619); 9 03751370-1372 (US 29331); 01335959-59 5 9 (U S 2 6 5 1 4 ); 0 1 3 3 5 9 6 7 -5 9 6 8 (U S 2 6 5 1 7 ); 5 2 1 0 3 2 3 1 2- 2314 (US 30472); 1000781727-1727 (U S 35321); 1005125129-5130 (US 36084). 258. I n-house c ounsel also made r ecommenda tions for CTR Special Projects. On Oc tober acon 3, 1968, Alexander Holtzman of Philip M orris sent a letter t o David Ha rdy of Shook, Hardy & B -126-

157 proposing that Richard Hic ad p reviously applied for funding throug h CTR but been key , who h . On Octobe ece ec i al Project funding p r 21, 1968, Ha rdy endorse d that cted, r ive S reje sending a letter to F rede rec Haa s of L igg ett; Cy ril Hetsko of Americ an; Henr y ommendation by rick al Counsel for Rey nolds; P aul Smith, Genera l Counsel for Philip M orris; and Addison Ramm, Gener man, Gene ral Counsel for B& W, by also rec ommending approva l for Hickey as a CTR S pecia l Yea US 22988); 1005084799-4800 (US 20206). Project. 1005084784-4786 ( & B letter da ed M ay 2 8, 1970, Wil liam Shinn of S hook, Har By t acon a dvised 259. dy an that he now had approval from Phi lip Morris, Rey nolds, and L igg ett “with re spect to the Holtzm Special Projec t,” a ref ere nce to studies rela ting air pollution to lung c ance r incidenc e by Dr. Hickey of the I nstitut e of Envir onmental Studies at the University of Pennsy lvania, and Richard J. Hickey n a t h e in te n d e d to “ c a ll th e o th e r G e a e r a l C o u n s e l, if I h a v e n o t h e th r d f r o m t h e m b y th e n , e a r ly n e xt wee k.” 2015031514-1514 ( US 20316). I ice Pre sident an d Gene ral Counsel of L orillard, 260. n 1981, Arthur Stevens, Senior V ag ed in extensive corr espondenc e with Patrick S irridg e of Shook, Hardy & B eng eg arding the acon r possibili of establishing an industry ty tionship wit h Henr y Shotwell, a Sun Chemical employ ee rela who spec ialized in air-sampling analy sis sy s te ms . 0 1 3 4 9 5 7 7 - 9 5 7 7 (US 86281); 01349576-9576 (U S 86282); 01349575-9575 (U S 86283); 01349574-9574 (US 86284); 01349557-9557 (U S 86285). 1983, Simi , on November 261. larly Arthur Stevens sent a letter to Patrick Sirridg e of 28, Shook, Hardy & B acon, in q uiring : “I s Binstock someone who might be appropr iate for a spec ial projec ” 03746232-6232 ( US 29322). t? 262. CTR perso n n l commended tha t cer tain projec ts be funded a s CTR S pecia el also re vid Pr oje c ts. F or e xamp le , o n D e c e mbe r 2 4, 19 69 , A rt hu r F ur st, CTR c on su lta nt, se nt a le tte r t o D a -127-

158 Har dy ial Project funding for Hans J . Ey senck, of the I nstitut e of Psy chiatry of rec ommending Spec al Hospitals in L hy pothesis of a re lationship between ethlehem Roy ondon, to test the Maudsleu and B mot ion a l ma ke -u p o f p e op le a nd c a ncer by con du ctin g a pil ot s tud y of c a rc the g e ne sis in r a ts e ino or diffe hara cter istics. 1005070515-0515 (US 20201). bred f rent c ording t Har mon McAllister, after law y ers ha d initiated a Special Projec Acc 263. to CTR’s cr , “a d es al i ption of the proposed pr oject and its cost [were ] presented to CTR . . . for propos p p r a i s a l b y t h e S c i e n t i f i c D i r e c t o r . ” M c A l lis te r W D , 1 6 1 : 4 - 1 8 ; C T R S P - F I L E S 0 2 6 1 6 2 ( JD a ndividuals proposed pr oject desc ription and cost estimate to the CTR who presented the 090143). I ctor include d company attorney s, attorney s from Shook, Hardy & B acon, a nd Scientific Dire i s from Jaco & M ed b n ger. Mc Allister TT, 3/21/05, 16171:22-16172:22. The CTR attorney e c i t n S i f i c D i r e c t o r w o u l d t h e n r e v i e w t h e S p e c i a l P r o j e c t p r o p o s a l a n d e i t h e r a p p r o v e o r r e je c t it . McAllister TT, 3/21/05, 16178:16-24; WD, 19-25; CTRS P-FI L ES012009 (J D 093897). McAllister ers r d and appr oved dozens of Special Projec t proposals during his tenure a s Sheldon Somm eviewe R S cientific Director . See, e.g ., 01335398-5398 (US 26488); 521032586-2588 ( CT US 85746); 507731976-1976 (US 86273); 804122847-284 (US 26525); 282002535-2536 (U S 28076); 8 US 52693*); 8 507731658-1659 (US 86269); 521028862-8863 ( 04122847-2848 (US 23586); 36192); BWX0003808-3809 ( BWX0003460-3461 (US lso 503565787-5787 (US US 36204); see a 29683); CTR98CONG00067 (US 32516); L WODJ 9055269-5270 (US 26015). 264. I f appr oved by the CTR Scientific D irec tor, the proposa l was pre sented to the Ge nera l ard, Cou e ls o f D e fe nd a nt s P hi li p M orr is , R ey no ld s, L ori ll ns L iggett , B&W , an d Amer ic a n w ho wo uld 8 make the f ther to fund it. McAllister WD, 162 : 8 -1 inal decision whe ; M cAlli ster TT, 3/21/05, cco, 6/10/97, 86:17-87:2. 16179:7-16182:2. See also L isanti PD, Arch v. Am er ican Toba -128-

159 Sometimes, ge nera if a projec t w as appr oved for CTR S pecia l l counsel would advise CTR direc tly . y For example, on J uly 22, 1970, Henr funding Ramm, Senior Vice President and Ge nera l Project dvised Robert Hoc Counsel of Rey ntific Direc tor of CTR, reg arding the nolds, a kett, Associate Scie Confere to be held in the West I ndies in J anuar y 1972, proposed nce ou ns e l r e pr e se nti ng Phi lip Mo rr is, B & W, Am e ri c a n B ra nd s, L ig g e tt c ers a & My rd which compa nies tog ether with Rey nolds nd L orilla a ic in Spe c ia l Pr rt c ts h a ve ipate dv ise d th a t if the Sc ie nti fi c pa oje Boa rd does not appr ove this projec t the same can be tre ated Advisory ia s a ro ve d Sp e c pp l Pr oje c t. n a a P-FI L ES009810-9810 (US 21696); B WX0010831-0840 (US 36244). CTRS The propose d confe renc e was approve d as a CTR Special Projec t in October 1970; 265. ed ld on St. M artin I sland on J anuar y 12-15, 1972; and wa s ca l l ence the Confer was he on the Motivational Mechanisms of Ciga oking. Among the attendees we re A .K. Armitag e fr om rette Sm i co Resea rch Council; Robert Hoc kett, CTR Associate Scientific Dir ector ; Henry Br tain’s Tobac mm, CTR Cha ir ma n a nd Pr e sid e nt; Gi lbe rt Hu e bn e r, To ba Ra c o I ns tit ute Me dic a l D ir e c tor ; Ma rv in c Kastenba o I nstitut e Dire ctor of Statistics; and sev er um, Tobacc of the De fenda nts' r esea rch al dir e c tor s, inc lud ing Willi a m B a te s o f L ig g e tt, I .W. Hu g he s o f B & W, Mu rr a y Se nk us of Re y no lds , Alexander Spea rs of L elmut Wakeham of Philip Morris; and sever al C TR Special orillard, and H e, and Ca rec Project funding senck, Richard Hickey , Hans Sely ipients, rl Seltz er. including Hans Ey 503654881-4885 (US 88413); 105394371-4388 ( US 88414). 266. I n g ener al, howeve r, De fenda nts' G ener al Counsels w ould advise attorne y s at J acob, ree Meding Finneg an or Shook, Ha rdy & B acon w hether or not their companies would ag er & to fund the re commended CTR Specia l Projects. The followi n g are but a fe w examples: America n: &W: 521031038-1038 (US TL T0960501-0501 (U S 87682); ATX300000157-0157 (US 21130). B -129-

160 20889); 521028861-8861 (U S 52692*); 2050987576-7576 (US 27065); 52 3 1 8 75-1875 (US 1 0 1 6-1846 (US 30465); 521029712-9713 ( 3 1 8 4 S 30463); 52 US 30451). 30467); 521031322-1325 (U 0 orillard: 01243259-3259 (U ; 01240219- 0219 (US 26444); 01334994-4994 (U S 26475); L S 20041) 01338114-8114 (US 26565); 01336286-6286 ( US 26527) ; 01338207-8207 (US 26566); 01335922- 20045); 80412203-2203 (US 21060); 85171343-1344 (US 22042); 80412199-2199 (US 5922 (US S 57129); 1240455-0455 (US 26447); 01240436-0436 (U 21059); 91821884-1884 (U S 26445); S 26545); 01336555-6555 (US 26541); 00499935- 01336587-6587 (US 26543); 01336855-6855 (U 9935 (US 29415); 01335470-5471 26492); 01335522-5522 (US 26495); 01335570-5570 ( US (US S 26513); 0133 8 0 8 6-8086 (US 26564); 01338514-8514 ( US 26569); 26497); 01335958-5958 (U US 26556); 01336501-6503 (US 26536); 01336504- 01336289-6289 (US 26528); 01337806-7806 ( 6505 (US 26537); 01336190-6190 (US 26521); 01338062-8062 (US 26563); 01337090-7090 (US 26549); 01334735-4735 (U S 26469); 01336268-6268 (US 26524); 0133627 1 -6271 (US 26526); 01336959-6959 (US 26546); 01335008-5008 ( US 26476) ; 01335403-5403 (US 86292); 01337994- 01337733-7733 26553); 01337962-7962 (US 26557); 01337543-7543 (U S 7994 (US 26562); (US 26551); 0 3 3 6249-6249 (US 26523); 01336089-6089 ( US 26518); 01335396-5396 (US 26486); 1 01336438-6438 (US 26531); 80412203-2203 (U S 21060); 85171343-1344 (US 22042); 80412199- 2199 (US 21059); 87598541-8541 ( US 5 6 2 50). Rey nolds: 507731453-1453 (US 29876); 503655278-5278 (US 21683); 5 7731762-1762 (US 20785); 507731377-1377 ( US 29865); 0 507731370-1370 (US 29863 ); 508371649-1649 (US 86295); 03751438-1439) (US 29332); 507731343-1343 (US 29861); 503645683-5683 ( US 29698) ; 5 0 7 737625-7625 (US 29912) A ); 507731653-1653 (U S 2 2 769); 507731427-1427 (U S 29871); 50731762-1762 (US 20785); S 29923); 507731975-1975 (US 29900); 507731504-15 0 4 (US 51245); 507877123-7123 (U -130-

161 507731649-1649 ( US 29889); 507731757-1757 (U S 29895); 507732210-2210 (US 29901); 6 (US 29882); 507731727-1727 (U 8 S 29893); 507731568-1568 (US 29885); 507731486-14 31 64 6- 16 46 (U S 29 88 7) ; 50 77 31 97 2- 19 72 (U S 29 89 9) ; 50 7 7 3 1 5 7 2 - 1 5 7 2 ( U S 2 9 8 8 6 ) . 50 i g g e tt: 77 L ; L G2002533-2533 (U S 21198). Phil ip Morris: 1005053953-3953 2015031514-1514 (US 20316) ip Morris Companies: 2015047160-7160 (US S 86298). Phil (US 20198); 1005053931-3931 (U S 20310); 2015006923-6923 (US 23047). 20326); 2015006925-6925 (U the Gene ral Counsels had a pproved a CTR S pecial P ro j ec t 267. s from Once , attorney acob, Me r & Finneg an or Shook, Ha rdy dinge & Ba con would advise CTR that the CTR Special J c t h a d b e e n a p p r o v e d . CT R w o u ld th e n a s s ig n e a c h CT R S p e c ia l P r o je c t a n u mb e r a n d the Proje unds for that CTR Special Projec ipient or t to the rec CTR staff would administer and distribute the f or he r a ff ili a te d r e se a rc h in sti tut ion fr om a se pa ra te ba nk a c c ou nt m a int a ine d b y CTR fo r o nly his For of CTR Spec ial Projects. the funding example, on J une 27, 1968, Ed Jacob of Jacob, Meding er & F inneg an sent a letter to W.T. Hoy t, Ex ecutive D irec tor of CTR, with r espec t to approva l of CTR Special Projec t funding d Ba rg er, a nd reque sted: “[W ]oul d y ou please assig n a CTR for A. Cliffor to the project me know what that number is.” McA llist er PD, United States v. SP Number and let tates v. Morris, 5/ 92:19-95:3, p Hoel P D, Unit ed S 24/02, Phili p Morris, 6/27/02, Phili 136:2-136:7; also McAllister WD, 162:4-18. 56:9-20, 57:13-18; 515772203-2211 (US 87024); see CTR S pecia l Projects wer e not pa rt of CTR’s g ener al fund budg et; CTR’s members 268. pa ov pr e fu nd ing fo r C TR S pe cia l P ro je c ts i n s e ide ra te tr a ns a c tio ns . E a c h c omp a ny -- Phi lip d th Mo rr is , R e y n o l d s , L o r i l l a r d , L i g g e t t , B & W , a n d A m e r i c a n - - c o u l d d e c i d e w h e t h e r o r no t to contribute to a pa rticular pr o j ec t . The division of costs, howeve r, wa s usually based upon the tly c omp a nie s' re sp e c tiv e ma rk e t sha re s and the c omp a nie s se nt t he ir sh a re of a pr oje c t’ s c os t di re c -131-

162 to CTR and its separ or Specia l Projects. CTR personnel often se nt letters to the Gene ral ate a ccount f the the companies reque sting pay ments for CTR “ Special Projects Fund.” Hoel PD, six Counsels of 27/02, 66:10-67:10; McAllister WD, 161:14-16; 680305856-5858 United States v. Phili p Morris, 6/ I (US 30887); CTRSP ES026615-6615 (86302); 81616878-6882 ( 31968). -F L e sent etters a L of a CTR Special Project wer dvising of the direc tly from CTR 269. funding h e C T R S p e c i a l P r o j e c t r e c i p i e n t . C T R S P - F I L E S 0 1 0 6 0 2 - 0 6 0 3 ( U S 3 2 7 1 0 ) ; CTR SP- to t 3 L 1 8 ) ; C T RS P- F I L E S0 1 1 7 3 8 - 1 3 3 8 ( US 32720); CTRS P-FI L ES007790- ES011331-1331 (US 32 FI 7790 (US 32683); McAllister WD, 162:14-15. 0. CTR Spe c ia l Pr oje c t r e cip ien ts we re ins tr uc te d to us e a n a c kn ow le dg me nt l ine in 27 from CTR Special Project f unding w hi ch was differ ent from the publications resulting r g c kn ow le dg me nt lin e re c ipi e nts of CTR re g ula we ra nts a re ins tr uc te d to us e in t he ir pu bli c a tio ns . th Th a c kn ow le dg me nt lin e , us e d by CTR Spe c ia l Pr oje c t re c ipi e nts did no t dis clo se t hat e ir e rese h prog ram wa s underta ken at the s pecif ic request of Defenda nts for pr edominantly litigation arc nd was not scr es v. d and appr oved by the CTR SAB. McAllister PD, United Stat purposes a eene p Morris, 5/24/02, 145:23-149:18. Phili CTR did not include informa tion about CTR S pecia l Project resear ch in i 271. ts Annual Reports, whi ch were widely distributed to medical editors at ne wspape rs, medica l editors for television prog rams, deans of colleg es and unive rsities in the United States, libraries a t colleg es and universities, colleg e and g rant offices, the CTR board of direc tors, members of the CTR university B members, and the Scientific Advisory antee s, CTR C lass A and rd, CTR gr Tobac co I nstitut e, Boa a nd c on ta ine d in fo rm a tio n a bo ut c ur re nt a n s. t e r m i n a t e d g r a n t s - i n - a i d , g r a n t e e s, a nd the ir ins tit uti on d s. McAllister WD, CTR also did not i nclude infor mation about CTR S pecia l Projects in press re lease -132-

163 164:17-24; McAllister T hn PD, Massachuse tts v. T , 3/21/05, 16167:18-16168:12, 16182:3-11; Za p Morris, 5/28/98, 55:1-9, 177:14-17. Phili ended sometime funding pecia around 1990. U SX6390001-0400 at 272. l Project CTR S fter, Philip Morris, Rey nolds, L orillard, L igg et t , B&W , and Amer ican 0017 (US 89555). The rea fund re sear cts on beha lf o f the Enterpr ise throug h L awy ers Spec ial ch proje continued to jointly below. F or example, on Marc h 2, 1990, Stevens sent a letter to Patrick ounts, discussed further Acc of Shook, Ha rdy & Ba con, enclosing a chec k for $46,461, which repr esent ed L o ri l lard’s Sirridge of joint funding f share long- time CTR S pecia l Projects g rante e. Stevens noted or Theodor Sterling, a u ed directly d a CTR project, but is now being f by the Companies and “that this is no longer n s a Specia ch Projec t throug h y our firm.” 87598486-8486 (US 21096). administered a l Resear On Marc h 7, 1990, Way n e J u ch at z of Rey nolds sent a letter to Sirridg e enc losing 273. ued funding nolds' por n t i n tion for the co of Sterling . On Marc h 19, 1990, Paul Randour of Rey a e ri c n a Am lso se nt a le tte r t o Si rr idg e ind ic a tin g a pp ro va l of the joi nt fu nd ing of Ste rl ing . O n July 23, 1990, Ernest Pepples of B& l et t er to S irridg e enc losing a chec k for $65,579, whic h W sent a contribution for Sterling esente W’s repr of funding for Sterling. Pepples sent another d B& ’s share work in 1991. 87598486-8486 (US 21096); 507731678-1678 ( US 29892); ATX300004011-4011 (US 21131); 521100040-0040 (U S 20893); 91765001-5001 (US 32125). 27 4. On Se pte mbe r 2 6, 19 90 , Pa trick Sir ri dg e of Sho ok , H a rd y & B a c on se nt a le tte r t o igg Way osiah Murra y of L nolds, J ett, Ernest Pepples of B& W, P aul Randour of ne Juchatz of Rey Americ an, Ar thur Stevens of L orillard, and Charles Wall of Philip M orris conc erning funding for n Rodge ick, a pr acticing oncolog ist-hematolog ist who had bee r B co l lecting data on lung canc er e noted that incidence in Kern County , California. Sirridg -133-

164 [f] or over s, Dr. Rodg er B ick’s res ea rch on lung c ance r has 10 y ear Special P rojec t. TR Dr. Bick has requeste d ted under a C been suppor t h is s u p p o r t b e r e n e w e d s o th a t h e c a n th o n ti n u e the w o r k . We a c ommend that this project be a mount of $40,404.32 rec pproved in the a by be nd e d d ir nd c tly fu the c omp a nie s. a e p Morris, Rey nolds, B& W, L o ri l l ard, a nd Americ an all ag ree d to jointl y fund the c ontinued Phili 0 arc 2 6 5 9 -2 6 6 1 (U S 3 2 0 4 6 ); 5 0 7 7 3 1 8 5 0 -1 8 5 1 (U S 8 6 3 h. 8600 8 ); 6 8 0 7 1 2 9 4 8 -2 9 4 8 (US 30912); rese US S 76279); 20307); 507731849-1849 (U 512678317-8317 (US 30044); 2015002794-2794 ( 86002653-2653 (US 32045); 87688005-8005 ( US 32060); 91768262-8262 (US 32126). I n 1990, the companie s continued to jointly the fund 275. work of Alvan Fe instein tha t had previously been f unded as a CTR Special Project on be half of the Enterpr ise. ATX300004098- 4098 (US 58613); 507731403-1403 (U S 29870). sted continued funding By d at ed Fe bruar y 26, 1991, Sirridge reque er from 276. lett merica n and Juchatz of Rey nolds for Carl Seltzer, a long -time CTR S p ecial Project Randour of A ipient. Sirridge advised that B&W , L o ri llard, and Philip Morris had alre ady rec ree d to the ag continued funding US 36212). . BWX0003847-3848 ( l I h 1992, Be rnar d O' Neill of Shook, Hardy & B acon se n t 277. a n Marc et ter to Way ne J uchatz of Rey nolds, Ernest Pepples of B &W, Paul R andour of Americ an, Ar thur Stevens of L or ill a rd , a n d C h a r l e s W a l l o f P h i l i p M o r r i s , a n d c o p i e d S t e v e n P a r r i s h o f P h i l i p M o r r is, Sterling. 2015002947- rec nother e x tension of j oint indust ry funding of Theodor ommending a 2955 at 2947-2948 (U S 20308). 278. On May 18, 1992, Charles Wall, Vice President and Associate Genera l Counsel of ck Phili p Mo rr i s C o m p an ies, sent a letter to O' Neill of Shook, Hardy & B acon e nclosing a che -134-

165 repr esen g Ph il ip M o r r is Co mp a n ie s' contribution to St erling ’s re sear ch ef forts. 2023230770-0770 ti n (US 20384). Scientists F CTR Special Pr ojec ts und c. ed Through ref that the following scientists were funded throug h the CTR Special Documents 279. lect ect pro gram: W il li am H . A l b a n ; A us ti P Dom in go M. Avi ado ; R ob ert o Bach i; Cl aus B. roj n; hnson; W . Ba ir; Clifford A. B arg er; B evilacqua ; illiam J es are Bia ncifiori; Rodg er L . Bic k; Ba C man V. B oenig ; Bria n Bozelka; L y man A. B rew er, I I I ; Geoff rey L . Br inkman; Ba r b ara B. B rown; Her unner; Vic Br ; J ohn Robert C arte r; J eff rey N. Clark; Richard C. Clelland; I rven D eVor e; tor B. Buhler s) tor R. D iN a rd lva lia m L . Dun n (Ph ili p Mor ri e ; Kur t Ensl e in; Ha ns J. Ey se nc k; A lva n R. Sa i; Wil instein; T.N. Finley ; G.H. Friede ll; H. Hugh Fudenber g ; Arthur Furst (CTR ); Arvin S . Glicksman; Fe in; W J Gruhn; Michae l R. Guer G. illiam H. Gutstein; Frede rick He cht; Norman ohn Victor Gould; . Her man; Kather ine M. Her ockett (CTR); ; Robert C. H W. Heimstra; Doris L rold; Richard J. Hickey Ebbe Curtis Hoff; Fre Homburg er; E. L ee H ddy an Hutche on; J oseph M. J anis; Alfre d usting; Dunc B e nn e tt J e ns on ; Willia m V. J ud y ; Mar vin A. Ka ste nb a um ( To ba c c o I ns tit ute ); L e o K a tz; D a vid M. ston; Mariano Kissen; Kleiner man; Suz anne Knoebel; L awr ence L . Kuper ; Hiram T. L ang erome J L eonar d A. L ee; Samuel B. L ehre aVia; L J . MacD onald; Thomas F. Ma ncuso; J .H. r; Eleanor Ma nh old ; Ma rc us M. Ma so n; Ne a l L . Mc Ni ve n; Al do Mis e fa ri ; K e nn e th M . M os e r; Ha rr y Ne ss; S. Har O' oseph M. Og ura; I ng ram Olkin; Ose r; J old Per ry ; Cha rles D. Puglia; L .G.S. Ra o; Herbe rt Shea; L . Ratcliffe ; Vernon Riley ; J .B. Rober ts; J ay Roberts; G ra y R obertson; L isa Rosenblatt; Henry Rothschild; L I . Russek; J ohn Salvag g io; G.N. Schrauzer; Seg i; Carl C. S eltzer; inda Russek; Henry Hans Sely e; L ucio Sever i; J las H. . Smit h; L ouis A. S o l o ff ; Da rr el H. Spackma n; Doug ames F g; S p ru n t ; R . S t an k u s ; Fr ed er i ck J . S t ar e; R u s s el l S t ed m an ; T h eo d o r D . S t er l i n g; Da v i d A. S t er l i n -135-

166 Har old L .R. Tr in id a d ; Ja me s A. Wakefield; John S . Waugh; John . Stewart; Guiseppe Teti; Thomas; J n Vivian Wells; C insor; Geor g e Wolf; and J . Yer ushalmy . 92613920-4198 Travis W K.Wells; aroly 503654113-4113 (86310); 503654114-4153 (86311). 38726); (US 32132); 2048925665-5704 (US 3. Law yers’ Special Accounts I n a dd iti on to C TR S pe 28 ia l Pr oje c ts, Phi lip Mo rr is, Rey no lds , L or ill a rd , L ig g e tt, 0. c W, and America n funded still an o t h er cate g ory of spec ial rese arc h projec ts on behalf of the B& ise, often r Enterpr d to as L awy ers’ Special Ac counts. These acc ounts were direc ted by efe rre WD, 16:17-17:19, 18 lawy including Ad Hoc Commi ttee. Stevens ers, : 1 9 -19: 4; industry the S 20467); 1003718428-8432 at 8429 (US 35902). 2045752106-2110 at 2107 (U 1. De fe nd a nts wo uld of te n f un d th e sa me sc ie nti st t hr ou g h both CTR Spe c ia l Pr oje c ts 28 ounts. L ers’ Special Acc awy For example, on September 26, 1977, Edwin Jacob sent a le tter and op hin n, wh ic h e nc los e d a pr te os a l f ro m L .G .S. Ra o. Jac ob no to S d th a t it now appea rs that this resea not appropria te for c onsideration rch is t. Never theless, the wor b vious as a CTR Special Projec k is of o eff ective proponent of some of value. . . . Dr . Rao should be a most s v i e w s a n d , u n d e r a p p r o p r i a hi e c i r c u m s t a n c e s , m i g h t w e l l b e a b le t to provide useful information t o a Cong ressional Committee or other body i n q uiring into certa in aspec ts of smoking a nd health. . . . F or cial these, reasons, I rec ommend that we fund Dr. Rao as a spe would projec t throug h Special Ac count No. 4. 503673274-3275 (US 29716). 28 2. On Se pte mbe r 4 , 1 98 6, Pa tr ic k Si rr idg e of Sho ok , H a rdy & Baco n sent a le tte r t o Gene oltz man of Philip Morris, W ay ne Juchatz of Rey nolds, J osiah Murra y ral Counsel Alexander H orillard, igg ett, Ernest Pepples of B& W, P aul Randour of Rey nolds, and Arthur Steve ns of L of L : re c omm e nd ing tha t Ric ha rd Hi c ke y re c e ive c on tin ue d f un din g -136-

167 Be cause no longe r has a n officia l university position, we Dr. Hickey time believe it is an a Special P rojec t support for his ppropriate CTR ear . Dr . Hi [shoul d be paid] for one y , to end. Howe ver . . ckey would be paid f rom Shook Hardy & B acon $12,000. The consultancy ia l A c Spe ou nt. c c S 20796). 507875961-5962 at 5961 (U x s work on the the multipl e source funding for Dr . Hans Ey senck’ 283. Another e ample is ecei canc nd the patient’s “ emotional makeup.” Ey senck r er a v ed CTR rela tionship between lung c ia l Pr oje c t f un din g a ft e r i nit ia lly a pp ly ing -- a nd be ing tur ne d do wn -- fo r a CTR SAB g ra nt i n Spe P 9 9 . E y s en ck co n t i n u ed t o re ce i v e C T R S p ec i al 6 ro j ec t fu n d i n g fo r a n u m b er o f p ro j ec t s t h ro u gh 1 ive 86 . E y se nc k a lso re c e d CT 19 R SAB g ra nt f un din g fr om 1 97 3 th ro ug h 1 97 6. An d Jac ob a lso rec ommended to Thomas Ahr ld of P h i l i p M o rris, Max Crohn of Rey nolds, J oseph Gre er of ensfe Stevens igg Arnold Henson of L an, Ernest Pepples of B& W, and Arthur ett, of L orillard that Americ Ey senck r ece ive funding throug h Special Ac count No. 4 in 1978 and 1979. CTRSP-FI L ES008806- 8 8 0 6 ( U S 2 1 1 6 8 ) ; CT RS P- F I L E S0 0 8 8 0 4 - 8 8 0 4 ( U S 2 1 1 6 7 ) ; CT RS P- F I L E S 0 8 7 9 9 - 8799 (US 21165); HK169 8 0 2 -8002 (US 21473); 507731385-1385 ( US 20784); 03747024-7205 (US 21538); 0 507731387-1388 (US 29868). Acc awy ers’ Special Ac counts wer e primar ily 284. throug h Special L ount No. 3, handled Special ount N o. 4, Special Ac count No. 5, and se Acc te institut ional g rants, discussed be low. para a. Special Account No. 3 ch, but 285. s not used t o fund resear count No. 3 wa to coordina te smoking a nd Special Ac health data b ases f or use by the member s of the Enter prise, espe cially litigating counsel. Contributors eric to Special Acc ed : Am ount No. 3 includ an, B &W, L igg ett, L orillard, Philip Morris, and nolds. 682150942-0942 (US 86491); Stevens WD, 20:3-7. Rey -137-

168 b. Special Account No. 4 lip F thr ou g h a t le a st 1 98 9, Am e ri c a n, Phi m 1969 Mo rr is, Re y no lds , B & W, L ig g e tt, 6. ro 28 ibuted to Special Account No. 4, which wa s used on beha lf of the Ente rprise f or and L orillard contr ers' l project funding , consultancy fee s, and witness expenses. S tevens WD, 16:17-17:19, lawy specia S 21066); 80680283-0285 (US 21065); 2015028333-8336 (U (U 18:9-19:4; 80680301-0303 S 2 2 2 46-2249 (US 20314); 1005122219-2222 (U S 20214); 1005122237-2240 (US 20215); 10051 2 0 2 18); 1005122267-2271 (U S 20216); 1005122257-2260 (U S 20217); 1005122262-2265 (US 6 3 8 9 2 9 - 8 9 3 1 ( U S 2 0 0 5 9 ) ; 2 0 1 5 0 4 2 0 5 6 - 2 0 5 9 ( U S 2 1 8 6 2 ) ; 2 0 1 5 0 4 2 0 6 9 - 2 0 7 2 (US 22949); 20219); 03 US 20799); 507875832 834 (US 20794); -5 507875857-5859 (US 20795); 507876993-6994 ( 507876986-6987 (US 20798); 507875698-5700 ( US 22953); ATX140000938-0939 ( US 21122). A May 18, 1971 document prepa red by Arthur Stevens of L orillard noted the na ture 287. ial Acc ount No. 4, which is used for Congr essional and r of “Spec ulatory matters.” 806802 29- eg 0229 (US 31967). 2 8 8 . A Se p te mb e r 1 9 , 1 9 7 3 d o c u me n t p r e p a r e d b y D e B a u n B r y a n t o f B & W s ta te d that Special Ac count No. 4 to maintain d for c erta in resea rch w ork such is used expenses incurre e by Arthur D. L ittle on mult ivariate analy sis; work as that do n perf witnesses in prepa ration for Congr essional or fede ral ormed by ag s hear ings. The follo wi encie g companies c ontribute equa l n a mou nts to t his a c c ou nt: Am e ri c a n B ra nd s, B & W, L ig g e tt & My e rs , . P. L ill a rd , Ph ili p M or ri s, Re y no lds or 682150942-0942 (US 86491). ral Counsel A Dec ember 9, 289. document prepa red by Max C rohn, Assistant Gene 1977 used to pay for Rey nolds, further de scribed Spec ial Acc ount N o. 4: “ Special Acc ount N o. 4 has been -138-

169 expenses and fees connected with expert and stateme nt prepa ration.” 03638986- 8987 consultancie s (US 86815). A document titl “S pecia l Account No. 4 - - funding of Crohn Subcommittee ed 290. i ral Review d that during nd Gene ener al Counsel m ee t ” indicate n g” on J anuar y 4, penses a Ex a “G was a g ree d that “Specia l Account No. 4 c ould be used for pay ing f ees a nd expenses of 1978, i t statements or c expert witnesses willing to pre pare onsult.” 03658901-8901 (US 20061). anuar 291. the file pre pare d by Arthur Stevens of L orillard 27, 1978 memorandum to y A J a t: d th te no At a Committ o n J anuar y 4, 1978 the future ee of Counsel meeting of Specia l Account No. 4 w as discussed. Ea ch proje ct to be handling nd e d out o f S p e c i a l A c c o u n t N o . 4 w i l l b e t h e s u b j e c t o f s p e c i f ic fu oval by prior appr Counsel. Howeve r, blanket the Commit tee of iven by l was g te e o f Counse l for expenditures out approva the Commit ccount not to ex cee d $10,000 per y ear , without the need f or of the a oval. L &M noted that it will participa te i prior appr the funding of n Spe c ia l A c c ou nt N o. 4 d ur ing 19 78 on ly to t he e xten t t ha t it did in 1977 (appr ox $40-$45,000? ). imately 85675219-5219 (US 32009). & A F e br ua ry 9, 19 78 me mor a nd um fr om Willi a m Shinn of Sho ok , H a 29 y 2. B a c on to rd Thomas Ahrensfeld, Genera Counsel for Phi lip Morris; Max Crohn, Assistant Gene ral Counsel for l l Counsel for L nolds; J , Vice President and Genera oseph Greer igg ett; Arnold Henson, Ge nera l Rey Counsel for Amer ican; Ernest Pepples, Vice President and Gene ral Counsel for B &W; and Ar thur or Ste , G e ne ra l Co un se l f or L ns ill a rd , s ta te d in pa rt : ve Some of y ou have a s k ed for a dditional information conce rning funding h Special Account No. 4. This acc ount is administ ere d throug by J acob & Me dinge r and Ed Jacob a nd I have r eviewe d the enc losed wi repor also enc lose a memora ndum t. I t h reg ard to funding of ou find this to be proj ec ts and would appre ciate y our advic e if y -139-

170 inc or t in a ny wa y . T he re is p ro ba bly no ne ed fo r y ou to r e ta in re c tisfied y the cur rent situation. ou have sa those notes once y ourself of 503655086-5088 at 5086 (U S 20720); 503655086-5088 (US 75190). ument descr esent and future c ommitm ents of Specia l Another 1978 doc ibed the pr 293. ocedur e for the appr oval of e merg ency Acc The list of indust ry ount No. 4 funds and the pr matters. ncluded: Aviado, Brow n, Ey senck, Spielber g er, H ine, Ridgon, Seltzer, Rao, B ooker, E. witnesses i ish e r, Va le nti n, He ims tr a , Du nla p, F a rr is, F . F ish e r, Hi c ke y , Mo se r, Ok un , Ste rl ing , We il, Jone s, F tit ic Sol of f, Ku pe r, Ha rv a rd Me dic a l Schoo l (Hu be r) , St a nf or d Re se a rc h I ns k, ute , F ra nk lin B S 21212); nstitut I ndustry Resear ch L iaison Commi ttee. L G2024 1 9 3-4196 at 4195 (U e, and the I US 32091); 89694313-4318 (US 32090). 89694310-4312 (US 32089); 89694319-4325 ( 294. I n the 1980s, Def endants Philip Morris, Rey &W, Amer ican, L orillard, and nolds, B L igg ett, throug h the law f irm of Shook, Hardy & B acon, c ontrac ted wit h Ba t t el le L abora tories of Columbus, Ohio t o conduct studies on tobac n d n i co t i n e in the envir onment. Special co smoke a US ount No. 4 was used o fu n d the projec t. 01348599-8599 (US 87689); 01348503-8503 ( t Acc S 86317); 01348473-8473 (US 86318); 01 3 4 8483-8488 (US 86319); 86316); 01348490-8490 (U 3 4 8 4 8 9 -8 4 8 9 (U S 01 6 3 2 0 ); 0 1 3 4 8 4 6 5 -8 4 6 5 (U S 8 6 3 2 1 ); 01348315-8315 (US 26580); 502667789- 8 7790 (US 29584); 50367351 4 - 3 5 1 5 ( U S 2 9 7 2 0 ) ; 5 2 1 0 2 8 9 9 6 -8997 (US 30443); 01348441-8441 ( US 34535); 01348727-8727 (US 86322); US 29719); 521028981-8982 (US 30442); 503673416-3417 ( US 34532); 01346206-6208 (US 34533). 2010045875-5876 (US 36519); 01346204-6205 ( A Fe bruar y 22, 1980 letter fr om Arthur S t 295. en s , Senior Vice President-Ge nera l ev Co un sel of L ori ll as F. to Ti mo th y F i n n e ga n o f J acob & Med in ger and cop ied to Th om ard, s, Ah re ns fe ld, Al e xan de r H olt zma n, Ma x H. C ro hn , Jose ph H. Gr e e r, Ar no ld H e ns on , E rn e st Pe pp le -140-

171 Wil liam W. S nd J anet C. B rown a cknowledg ed exactly why Special Ac count No. hinn, Ed J acob, a sta s u fu nd sc ie nti sts . St e ve ns d to te d: se a 4 w mandate w ith which y our off ice, am mindful of the continuing I , H a rd y Sho nd oth e rs ha ve be e n c ha rg e d b y y ou r r e sp e c tiv e c lie nts ok a of the I ndustry : that is, to find witnesses and re sear cher s -- on behalf p d i f n ec es s ar y i n o rd er t o d et er m i n e t h e f ea s i b i l i t y o f d ev el o , i n g a an s tionship eng ag e them as c onsultants, or as re sear cher them, with rela initially modest projects. . . . [T]hi s [i s an] important aspect of the on ndustry ’s work, that is, to attempt to posture ourselves to defe nd I litigation and r elated a ttacks on our pr oducts. product liability 6 X0004097-4099 ( U S 3 6 2 1 8 ) ; 8 5 6 7 6 6 9 0 - 6 BW 9 2 ( U S 3 2 0 1 2 ) ; 1 0 0 5 1 4 6 5 1 0 - 6 5 1 2 ( U S 3 6 118); 01110668-0670 (US 87679); 01335053-5055 ( US 26480); 85676690-6692 (US 32012). As with CTR S pecia ress a nd status reports of L awy ers’ S pecia l 296. l Projects, prog ojects e ounts pr to Committee of Counsel me mbers. wer For example, on Marc h 27, 1980, Acc sent wi n Jac ob se nt a le Ed r t o T ho ma s A hr e ns fe ld, Ma x Cr oh n, Jose ph Gr e e r, Ar no ld H e ns on , E rn e st tte Pepples, and Art Stevens, enclosing rese arc h paper s “in part supported by the consultation rese arc h funds y ou o Professor Ey senck through Special Account #4.” 521029758-9788 ( US have provided t 30452). 297. h 28, 1980, J acob sent a letter to Thomas Ahre nsfeld, Max Crohn, J oseph On Marc er, A rnold Henson, Er nest Pepples, and Ar t Stevens enclosing a prog ress re port from Profe ssor Gre Spielberg er, a rec ipient of Specia l Ac co u nt No. 4 funding . 521032463-2496 (US 30476); 500515939-5939 (US 29465); 502822004-2004 ( 5 5 5 4 0-5540 (US 26583); US 29586); 013 BWX0002848-2848 ( US 36175). Counsel and On September 10, 1981, a re port was pr epar ed on “Mee ting of Company 298. Retrieval Ad Hoc Committee Member s” which discusse d specia l p ro j ects a nd the L iterature -141-

172 Di vis n it , th e fo llo wi ng c omm e nts we re a ttr ibu te d to Ed wi n Jac ob : “ Th e se ‘s pe c ia l pr oje c ts’ ion . I aring and: litigation and he are oriented,” en C.T.R. and Specia l Four ( lawy ers' projec ts). Differenc e betwe s special pr if projec t was problem tor of C.T.R. review ojects -- Direc .T .R. , u se Spe c ia l F ou r. fo so , if the re a re wo rk pr od uc t c la ims , r C Al e d th e la wy e rs ' pr ote c tio n . . . do ne thr ou g h Sp e c ia l F ou r b e c a us e ne y of possibilit that C.T.R. would be subpoenae d. to lawy ned that scie s becom e omment, “Concer ondary nce ha ers' advoca cy The c diluted and sec e re sts ,” wa s a ttr ibu te d to Ste ve ns of L or ill a rd . T ho ma s B e zan so n o f C ha db ou rn e & Pa rk e a lso int red a arding the September 10, 1981 meeting . g 2023918181-8185 at 8181(US memorandum re prepa S 20466); ATX9275490271-0280 (U S 36231). 20397); 2045752086-2093 (U 9 9 . A J anuar y 10, 1983 chart d em o n s t ra t es t h at De fe n d an t s j o i n tly funded throug h Special 2 oth consultancies ( ount No. 4 b viado, Theodor listed were Domingo A Acc e B lau, Walter B ooker, y Ma os s i , R a g n e r R y la nd e r, Ca rl Se ltze r, a nd Mu rr a y Se nk us of Re Mic no lds ) a nd re se a rc h p ro je c ts rc (listed wer attelle Columbus L aboratories, Melvin Fir st, Arthur F urst, Nanc y Mello and Jack e B 11, .G.S. Rao, and Charle er) . This char t was sent on January Mendelson, L 1 9 8 3, by s Spielberg Pa tr ic k Si rr idg e of Sho ok , H a rd y & B a c on to J os e ph Gr e e r, Ge ne ra l Co un se l f or L ig g e tt; Ar no ld l Co He , G e ne ra l Co un se l f or Am e ri c a n; Ale xan de r H olt zma n, Ge ne ra on un se l f or Phi lip Mo rr is; ns Ernest Pepples, Ge l Counsel for B &W; Arthur Stevens, G ener al C o unsel for L orillard; and nera t, Gener al Counsel for Rey nolds. L G2002618-2626 (U S 21200); L G2002617-2617 (U S Samuel Wit 21199); 1005061636-1636 (U S 35962); 1005061637-1645 (US 35963). s first administered by 300. al Ac count No. 4 wa ci J acob & Meding er a nd then by Spe Sho ok , H a rd y & B a c on sta rt ing st 98 6. At tor ne y s f ro m bo th f ir ms w ou ld p e ri od ic a lly re qu e in 1 ett. The contributions from Philip M orris, Rey nolds, America n, B& W, L orillard, and L igg -142-

173 companies w ere eports re gar d i n g the ac tivity in the acc ount. 507877173- also sent ac countant’s r - 9 5 ) ; 6 8 0 3 0 2 4 8 7 2 2 4 8 7 ( U S 3 0885); 86002376-2377 (U S 9 S 2 7174 (US 20800); 507877176-7176 (U 32044). n 1986, Shook, Hardy & B acon r eminded Committ ee of 301. members that I Counsel ]ou w ll reca ll that Special Fund 4 a lso is used to cover c erta in witness development expenses “[y i national litigation counse t 7173 (US 20800). d by l.” 507877173-7174 a incurre ral Counsel fr om Phil ip Morris, Rey nolds, Lor 302. l l ar d, L igg ett, B& W, and Gene i a n a n d la w y e r s f r o m Ja c o b , M e d in g e r & F in n e g a n a n d Sh o o k , H a r d y & B a c o n made Americ ount N ommendations with respec the funding of Special Acc t to o. 4 projec ts. F or example, on rec a bruar y 9, 1978, Wil liam Shinn of S hook, Har dy & B ac o n s en t letter to Thomas Ahr Fe ensfe ld, Gene ral Counsel Crohn, Gene ral Counsel of Rey nolds; J oseph Gre er, G ener al of Philip Morris; Max of L l Counsel ett; Arnold Henson, Ge nera l Counsel of America n; Ernest Pepples, Ge nera Counsel igg oval of funding and Arthur Gene of B&W; orillard, re commending the appr Stevens, ral Counsel of L for Ha ns Ey senck throug h Special Ac count No. 4. 03638976-8979 ( US 46483). 3 0 3 . O n F e b r u a r y 1 2 , 1 9 8 2 , P e p p l e s s e n t a l e t t e r t o P a t r i c k S i r r i d g e o f S h o o k , H a r d y & Ba con, re the re newa l of an annual g rant to Arthur Fur st be paid fr om Special Acc ount commending S 20887). No. 4. 521029995-0008 (U Such industry attorney 304. ommendations lasted fr om at least the 1980s throug h the rec ear ly 1990s. 01335056-5057 (US 26481); 0 1 3 4 7 1 7 1 -7 1 7 2 (U S 2 6 5 7 9 ); 0 1 3 4 6 1 3 4 -6 1 3 5 (U S 26577); 1005125796-5796 (US 36096); 1005125153-5154 ( US 3608 5 ); 1005047922-7923 (US 35938); 1005064674-4674 (US 35974); 1005064613-4613 (US 35970); 03751441-1442 (US 29333); US 56082); 86002593-2594 (US 56081). 80411597-1598 (US 31961); 86002656-2656 ( -143-

174 305. Documents re minimum , the following individuals and org anizations flec t that, at a inn e un din g thr ou g h Specia l A c c ou nt N o. 4 b e g d f ing in t he 19 60 s a nd e nd ing in t he 19 90 s: c ive re nc.; L aure n Acke rman; ACVA Atlantic I Able-L g e Albee ; Aleph Founda tion; Arthur ands, I nc.; Geor ittle, I rence; At m o s p h er i c H ea l t h S ci nc.; Aspen Confe ce s ; Do m i n go Av i ad o ; J ames Balleng er; D. L en va n L . B a ra ch; Wal te r B a rk e r; B ro da O. B a rn e s; B a tte lle Col umb us L a bo ra tor ie s; B a tte lle Al nstitut Memorial I B ecke r; Peter B erg er; Rodg er L . Bic k; Billings & Gussman, I nc.; Richard e; Walte r I ; B e se a rc h L a bo ra tor ie s; T ing od or e B lau ; ioR rv in B los e ; Wa lte r B oo ke r; Ev e ly n J. B ow e rs ; B he rem; L y man A. Br ewe r, I I I ; Brig ham Young University ; Oliver B rooke; Richar d Thomas H. B ownlee; otman; Ba . Br own; K. Alexander Br a B Kather ine B ry ant; Victor B . Buhle r; Thomas rbar Br ford; J Enterpr Har old Bur n; Marie Burne tt; Maurice Campbell; Carney Bur ises, I nc.; Duane Carr ; . Run e Ce de rl of ; D ome nic V. Cic c he tti ; Ma rt in C lin e ; Co de C on su lta nts I nc .; C oh e n, Col e g he ty Founda tion, I Associates, I nc.; Computerland; W. Cl ark C o o p er ; A. Cosentino; nc.; Colucci, & Ger trude Cox; De Ta kato; Be rtram D. D immens; Charles Dunlap; Henr y Daniel Cox; CTR; Geza nstitut red Ene y iott; Enginee t. I nc.; Environmental Policy I rg e; J . Earle Estes; Fre deric k W. Ell Mg . Evans; Wi ll ia m E v a n s ; E xp e n s J s r e la te d to Co n g r e s s io n a l H e a r in g s in Wa s h in g to n D . C. ; H a ns e J. Ey se nc k; E y se nc k I ns tit ute of Psy c hia tr y ; Jac k M . F a rr is; She rw in J. F e inh a nd le r; Al va n R. Fe instein; Herman F rd F ickes; T. F inley ; Melvin First; E d wi n Fisher ; R. Fisher; eldman; Edwa nberg Merr ; Richard F ree dman; Her bert F reude . Foster er; F udenber g ; Arthur F urst; Nicholas itt W Ger ber; Mena rd M. Ger tler; J ea n Gibbons; Carl Glasser; Dona ld Goodwin; B. Gr eenbe rg ; Alan i Griff y ntelberg ; Harva rd Medica l School; Hearing s-Kenne dy -Ha rt Bill; W en; F. G l liam Heavlin; Hickey Norman H oseph He rkson; Richard J . eimstra; J ; Carlos Hilado; Charles H. H ine; Hine, I nc.; ndustry Har old C. Hodge ; Gary Huber ; Wi lhelm C. Hueper; Da rre ll Huff; Dunca n Hutche o n ; I -144-

175 C R a r c h L i a i s o n C o m m i t t e e ; In f o r m a t i o n In t e r s c i e n c e s , In c . ; In t e r n a t i o n a l e o n s u l t a n c y; s e nterna y Co rpora tion; I nterna tional I nformation I nstitut e, I nc.; J .B. Spalding I tional Technolog e; J Finneg Smit h Resear ch Ac count; J acob, Me dinge r & ical Servic an; J oseph Janis; Roge r Statist .F. L enkins; um; L eo Katz; Ma rti Kirschba um; Kr avetz Kastenba evine & Spotnit z; L awr ence J Marvin . Kuper ; Mariano L a Via; H. L ang ston; Wil liam G. L eama n; Michae l L ebowitz; Samuel B. L ehre r; L liam L Wil d Ray nar L evine; G.J. L i eb er m an ; S.C. L ittlechild; Eleanor Mac donald; erne r; Edwar ; Nathan Mantel; R. McFa rland; Mec kler Eng ineer ing G roup; Milton Meckler; uso Thomas Manc Mello; J ack Mendelson; Michig an S tate University ; Marc Mic ozz i; I rvin Miller; K. Moser; Nanc y h it O ' F a ll o n ; Jo h n O' L ane; William Ober; J .H. Og ura; Ronald Okun; I ng ram Olkin; Albert Nide n; Jud h o m as Os d ene (Philip Morris); Peat, Marwic k Main & Co.; Thomas L . Petty ; Pitney , Har din & T eslie Preg riest; R. Proctor; Terr ence P. Ps hler; Public Smoki ng Resear ch er; Walter J. P Kipp; L ou p; R .W. An de rs oh n & As so c.; L .G. S. Ra o; H e rb e rt L . Ra tc lif fe ; A tti lio Re nze tti ; Re sp on se Gr An a ly sis Pr o j e c t ; R e sp on se su a ly sis Con An lta tio n; R .H . Ri g do n; Ja y Rob e rt s; M ilt on B . Ro se nb la tt; J ohn Rosencra alter Rosenkr antz; R ay H. Rosenman; L inda Russek; Henry Russek; Ragna r ns; W ir lander e o r g e L . Sa ig e r ; D . E . Sa il a g y i; I . Ri c h a r d Sa v a g e ; R ic h a r d S. Sc h il li Ry g ; S c h ; G me r n Eng ing Corp.; S. Schor; G.N. Schr auzer; Charle s Schultz ; J ohn Schwab; Carl L . Seltz er; ineer ; Sh rr y Se nk us (R e y no lds ); Pa ul S ha Mu ; R. Shi lli ng a oo k, Ha rd y & B a c on ; H e nr y Sho tw e ll; lmy Al l en S i l b er b er g; N. S k o l n i k ; J F Sm i t h ; L o u i s A. S o l o ff ; S h el d o n C . S o m m er s (C T R ); J B S p al d i n g; Charles Spielberg ; Charles Spielberg awr ence Spie l v o g el; St. Georg e Hospital & Medica l er; L r anfor ch I School; St ion Project; Russell S tedman; Arthur Stein; E li a St e d Resear li n g ; T h e o dor nstitut Ste s; ing ; Tho ma s Szasz; Th e F ou nd a tio n f or Re se a rc h in B ro nc hia l A sth ma a nd Re la te d D ise a se rl of The F utures Gr oup; Paul Toannidis; Trenton, New J erse y Hea ring s; Chris P. Tsokos; University -145-

176 an South Flori l m u t Va l en t i n ; R i ch ar d W agn er ; No rm He W al l ; W ay n e S t at e U n i v er s i t y ; Weinberg a; d o n s u l t i n g Gr o u p ; R o ger W i l s o n ; W i s co n s i n Al u m n i R es ea rc h Fo u n d at i o n ; J ac k W i s em an ; Ge o rge C g Wri y att; J . Yer ushalmy ; and I rving Z eidman. 01347232-7243 ( US 75293); ht; J ohn P. W S t 6313 (US 85355); 03746320-6331 at 6327 (U 03638929-8931 (US 20059); 03746309-6316 a S 21122); 507875698-5700 (US S 85716); ATX140000938-0939 (U 75305); 86002410-2413 (U 5 7 8 8 2 - 5 8 3 4 (US 20794); 507875857-5859 (U S 20795); 507876993-6994 (US 20799); 22953); 507 3 US 20215); 1 0 0 5122262-2265 (US 20218); 1005122219-2222 (US 20214); 1005122237-2240 ( S 20314); 1005122246-2249 (US 20216); (U 1005122267-2271 (US 20219); 2015028333-8336 1005122257-2260 (US 20217); 20 1 0 0 47954-7955 (US 86358); 2015041994-1997 ( US 36654); US 22949); 5 0 7 8 7 6 9 86-6987 (US 20798); 2015042056-2059 (US 21862); 2015042069-2072 ( US 21066); 86002393-2396 (US 86359). 80680283-0285 (US 21065); 80680301-0303 ( Special Account No. 5 c. Another a venue use d by Def endants for joint funding of sc ientists was the r esea rch 306. ’ S pp or te d th ro ug h L a wy e rs c pe c ia l A c su ou nt N o. 5. I n a me mor a nd um d a te d Nov e mbe r 8 , 1 97 8 to ns Th hre ns fe ld o f P hil ip M or ri s; Jos e ph Gr e e r, L ig g e tt; Ar no ld H e s A on , A me ri c a n; E rn e st oma Pepples, W; Henr y Roemer, Rey nolds; B& Stevens, L orillard, and copied to J anet B rown and Arthur of Cha db ou rn e & Pa rk e ; D e B a un B r y a n t , B & W; Ma x Cro hn , Re y no lds ; A le xan de r H olt zma n, Phi lip Morris; L ester Pollack, L hinn of Shook, Ha rd y & Bacon, Edwin Jacob of orillard; and William S arc acob & er e nclosed a J ear , $400,000 rese Meding h proposal from Alfre d M. Fre edman a nd two-y Ric ha rd B ro tma n. Jac ob a dv ise d: “ Jane t B ro wn , B ill Shi nn a nd I ha ve dis c us se d th is p ro po sa l w ith he B [Brotman and F dman]. We r ecommend its approval.” T ree rotman/Fr eedma n rese arc h, rela ted ount No. to defining risks and “unhe althy ” beha vior, was de signa ted by counsel to be a Special Acc -146-

177 11 US 29290); 682070027-0027 (US 7 0 -9485 (US 30450); 03639217-9217 ( 4 5 projec 521029 t. S 29324). 36145); 03746884-6884 (U I n J uly 1982, Arthur Ste v e n s o f L o r il la r d s e n t a n u p d a te d B r o tm a n /F r eedma n proposal 307. view. orillard scie ntist Alex ander W. S pear s for re to L I n his assessment, Spears c oncluded that the te Br oposals wer e of “ lit tl e p o edman pr n ti al value to this I ndustry ,” but ac knowledg ed “the otman/Fre are a of B rotman’s a n d Fr eedma n’s value a s witnesses in leg islative proce eding s.” L orillard second participa the first phase of the projec t, but did not participa te in the ted in the joint funding of phase. Steve ns WD, 16:17-17:3; 01335523-5 5 2 3 (U S 26496); 01335522-5522 (U S 26495); US 26494). 521029470-9485 (US 30450); 01335521-5521 ( h f e D e s: t n a d n 3 0 8 . Th e B ro tm a n / F r e e d m a n p r o j e c t w a s a p p r o v e d i n 1 9 8 2 b y f o u r o f t e Americ an, Rey lip Morris and B &W and r an throug h the mid-1 9 8 0 s . 5 21029470-9485 (US nolds, Phi 30450); 86002376-2377 (U S 32044). Institution ants d. al Gr L awy 309. Special Ac counts wer e also used to pay for the institutional gr ants funded ers’ by Phi lip Mo rr is, Re y no lds , L or ill a rd , L ig g e tt, B & W, and Am e ri c a n. De fe nd a nts fu nd e d p ro je c ts n a t H a r a r d U v i v e r s i t y, U n i v e r s i t y o f C a l i f o r n i a L o s A n g e l e s ( “ U C L A ” ) , a n d W a s h i n g t o n U n i v e r s i t y. Stevens WD, 19:7-15. D of I n a Nove mber 17, 310. memorandum, Robert Seligman, Vice President of R& 1978 e. efe ndants used instituti p Morris, desc onal g rants to ref urbish their scientific ribed how D imag Phili acon a & B dy ting Shook, Har d that at the mee eporte Seligman r liam Shinn had stated: Wil ttorney 11 unding f rd d orilla n eedma rotman/Fr or the B i se of f in the second pha not participate d L rese arc h. (US 30450). -147-

178 CTR g a n to lo s e th e ir lu s te r in th e mi d - 6 0 ' s a n d th e tobacc o b e nd tr loo ke d a ro un d f or more b e ne fi c ia l w a y s to sp e y the ir ind us arc nd health. I t was at thi s time that rese h dollars on smoking a l roj ects we re instituted at Washington Unive rsity , Har vard specia p ive rs ity , a nd UC L A. . . . [T]he ind us tr y re c e ive d a ma jor pu bli c Un Ha la plu s' wh e n mo nie s w e re g ive n to n ' rv a rd Me dic a l Sc ho ol. tio re S 20467); 1003718428-8432 at 8429 (US 35902). 2045752106-2110 at 2107 (U Def endants' instit utional g rant to Washington Unive rsity in St. L ouis was to rese arc h 311. mmunologic aspects of er. 2045752106-2110 at 2107 (US 20467); 1003718428-8432 a t canc the i 2 ) ; 0 1 3 3 8 8 8 8 - 8 8 8 8 ( U S 2 6 5 7 2 ) ; 521033382-3383 (US 30478); 521033485-3486 ( US 8429 (US 3590 30479). endants' Def 312. instit utional g rant to Ha rvar d University was unde r the dire ction of Dr. Ga ry be r, wh o w a s c on du cti ng in viv o a nd in v itr o a nim a l st ud ie s o n th e bio log ic re sp on se s to Hu pa a c o s mok e . F un din g be g a n in 19 72 , a nd the tob rt ic ipa tin g c omp a nie s w e re De fe nd a nts c Americ an, B& W, L igg ett, L orillard, Phili p Morris, Rey nolds, a long w ith L arus & Br other, Toba cco Associates, a nd United States Tobac projec t was to be funded for a total of $2,792,750 over co. The the main re five-y period. Arnold Henson of Americ a knowledg ed that one of ear asons for the an ac Har oject wa s “the PR value of the Har vard pr me.” Z N25950-5956 (U S 64794) ; 955030735- vard na 0 7 3 7 (US 86365); B WX0004364-4375 (U S 3 6 2 2 8 ); 9 6 8 0 0 3 1 36-3137 (US 25857); 961016507-6508 (US 25854); 1000207774-7775 (U S 26078); 2015057132-7132 86366); 980076941-6942 (US (US US 3 7 86 BWX0004364-4375 ( US 36228); 1005053856-3856 (US 20197); 86001059-1071 ( 6 ); 86369); 968003658-3666 (US 25860); 961017594-7594 (US 86370); 968003658-3666 a t 3665 (US S 36525); 100371866-8669 (US 35905); 5 0 2 0 2 6 4 8 1 -6 4 8 7 (U S 29549); 2010048605-8606 (U 25860); 39-0642 (US 30860); 2010048831-8834 (US 36526); 961017379-7379 ( US 86371); 6802606 -148-

179 961000834-0834 (US 32366) ( Confidential); 01335777-5778 (U S 26508); 01335779-5779 (US 5 9); 01335794-5794 (U S 86374); 01335789-5789 (US 26510); 01347161-7161 (U S 86375); 2 0 6 0 - 6 2 0 0 ( U S 2 9 7 0 1 ) ; 0 1 3 3 5 5036462 6 7 - 5 7 7 2 ( U S 26506); 01335774-5774 (US 26507); 01335761- 0 7 (US 26505); 980078407-8411 (U I I (E)( 3)(d) , infra, f S 25865). See Section I 5764 or discussion of vard/Hube r re sear ch. the Har J oint f unding at UCL A beg an in 1974, and the participa ting companie s were 313. endants Philip Morris, Rey Def with United States Tobacc o and Toba cco nolds, and B&W , along N25950-5956 (US 64794); TI MN217738-7739 (U S 62720); TI Z S Associates. MN217740-7743 (U 62719). F Com m ittee s . . Rese arch Re view Commi tt ee , Re s ea rc h L i aison Comm ittee , and I ndu stry 1 arch Com ittee m Rese I n Fe bruar y 1974, a conse nsus had deve loped among Def endants that a n industry 314. view their suppor t of medica l res ea rc h committee should be established to re an d to make re co m m en d at i o n s as t o t h e fu t u re co u rs e D ef en d an t s ' s u p p o rt s h o u l d t ak e. At a C T R m ee t i n g, L orillard, throug resident Curtis J udg e, ag ree d to participate in an incre ased budg et for CTR h its P on t suc only a revie w of industry condition tha rese arc h be under taken. B WX0007549-7588 (US h 86832); ARU1130828-0904 (U S 86773). 315. One set of sug g ested g uidelines from the mid-1970s for an I ndustry Commi ttee for (1) the Review of ndustry ’s Over all I ndepende nt Scie ntific Resear ch Effor t w as: I to rec onsider the and S CTR resea og ram, both SAB gra nts rch pr pecia l Projects; (2) to re consider non- CTR resea rch and (3) to consider the projec ts undertake n by one or more individual tobacco c ompani es ; -149-

180 establishment of a me ans of c rese arc h underta ken in ( 1) and (2). 2015040937-0938 oordinating the OK0032723-2724 ( (US 20322); 2015040955-0955 US 63004); 2015057143-7144 (US 20323); TI (US 87693); 03659038-9039 (US 29304); 2015057135-7136 (U S 86379); 2015057134-7134 (US 308-0308 (US 86381); 2015040955-0955 ( 0 0 US 20323); 2015057145-7150 (US 0 86380); 201 7 86384); CTRMM015322-5327 (US 79854). Willi a m Smi th, Cha ir ma n o 31 To ba c c o I ns tit ute ’s Exe c uti ve Com mit te e , w ro te in 6. f the ri l 19 74 , th a t a g re e me nt h a d b e e n r e a c he d wi th e a c h o f t he ma jor ma nu fa c tur e rs a s to the ir Ap h p presen e on the “ c omm itt e e to s tud y the re se a rc tiv ro g ra ms f un de d b y ou r i nd us tr y , b oth ta re h CTR and independe nt projects.” Smith reporte d that David Ha rdy of Shook, Hardy & B acon throug illiam the commi Korne g ay and W Kloepfe r would repr esent the Toba cco ttee; Horace would chair nstitut e; and W i l l i am Ga rd ner a nd L eonar d Z ahn would re prese nt CTR. S mith st ated that the I ed with the re the committee were c harg for study sponsibili ty members of ing industry rese arc h prog rams and r rch pr ojects funde d outside of CTR, such as those at Ha rvar d, Washington esea , and UCL eporting their re commendations to the chie f executives of the six major University A, and r gar et t e c o m p an i es -- Am er i ca n , B&W , L i gget t , L o ci l l ar d , P h i l i p M o rr i s , an d R ey n o l d s . M ee t i n gs ri of the I ndustry Resear ch C ommitt ee beg an on May 7, 1974. After meeting sever al times in 1974, n Co the itt e e re c omm e nd e d th a t a Rese a rc h L ia iso omm mmi tte e be a pp oin te d to se rv e ind e fi nit e ly c to achieve “a coordina ted and informed overvie w of all industry rese arc h.” CTRMN015328-5329 (US 21600); Z N22613-2614 (U 29303); L WODJ 9055585-5585 (US S 64796); 03659035-9036 (US 26006) WODJ 9055586-5587 (US 26007) ( Confidential); L WODJ 9055585-5585 (Confidential); L (US 26006) ( Confidential); BWX0007549-7588 n f id e n ti a l) ; L WO DJ 9055586-5587 (US 26007) ( Co Confidential); (US 86832); 03659013 -9 016 (US 29300); L WODJ 9055779-5781 (US 26008) ( -150-

181 L WODJ 36652); Z N22408-2408 9055531-5532 (US 26009) ( Confidential); 2015040862-0863 (US 9 R C ON G0 1 1 8 7 -1 1 8 8 (U S 21137); 03540217-0225 (U S 22294); L WODJ 9055501- 9 T (US 86391); C ntial); 03659013-9016 (US 29300). 5505 (US 25957) (Confide Resear 317. iaison Commi ttee wa s approve d at a mee ting of the Creation of the ch L co I e on Oc tober 3, 1974, as a suc cessor nstitut ch Review Commi ttee which ha d Tobac to the Resear ee n es t ab l i s h ed i n Ap ri l 1 9 7 4 . T h e ne wl y fo rm ed R es ea rc h L i ai s o n C o m m i t t ee ex i s t e d t h ro u gh b re ly arc h L iaison Commi ttee we ims and functions of the Rese t o devise a nd 1978. The a ear er r eview f or instituti onal g rants, and to c onsider a n d ma k e r e c o mm e n d a tions implement fiscal and pe e th r oje sp e c t to pr op os a ls fo r ins tit uti on a l a nd oth e r re se a rc h pr wi c ts i n li g ht o f a ll r e se a rc h e ff or ts tt in a tsi de of the ind us tr y . M e mbe rs of the Re se a rc h L ia iso n Co mmi ou ee were e nc ou ra g e d to nd attend mee p informed a bout its pl ans and projects. Stevens WD, 29:8- tings with CTR in order to kee ahn PD, Cipollone v. L igg ett, 12/16/86, 138:2-139:24, 148:12-16; Zahn P D, Cipollone v. 19; Z L igg ett, 12/17/86, 208:20-209:1; Zah n P D, M assac husetts v. Phil ip Morris, 5/28/98, 106:11-22, 114:14-115:4; Za hn PD, Phili p Morris, 12/16/98, 375:3-10; Korneg ay PD, Cipol lone Richardson v. 9055332-5332 (US 25953) igg 196:25-201:2, v. L 213:8-217:8; L WODJ ett, 8/17/94, 208:10-212:18, (Confidential); B WX0007549-7588 (US 86832); BWX0002609-2611 ( US 36165); ARU113 0828- 0904 (US 86773); 2015057125-7125 (U S 86400); 955002251-2 251 (US 32354); 01404441-4441 (US 86401); 7012 4 4 10-4414 (US 31512); 1003719192-9192 ( US 35906); 503673145-3146 (US 86405); 1003719175-9179 (U (U S 7 86408); 1003712682-2688 (U S S 86406); PM010430-043 86409); 1000255997-6001 (U S 20086). 318. At its J ided that the ry 1 9 7 5 meeting , the Resea rch L iaison Commi ttee dec anua gh ex p en s es o f c o n s i d er i n g t h e f ea s i b i l i t y o f r es ea rc h p ro j ec t s an d p ro p o s al s wo u l d b e fu n d ed t h ro u -151-

182 the CTR Special Projects fund and funded by companies ag ree ing to the resear ch st udy . The those ticipating c s d ec i d ed that par ompanies would pay for the a uditing expenses for the ttee al o Commi uti on a l pr oje c ts a t H a rv a rd , U CL A, a nd Was hin g ton Uni vers ity , a nd dis c us se d p ro ble ms ins tit e g u n d in g o f th e H a r v a r d /H u b e r r f s ear ch proje ct at Ha rvar d Medica l School. BWX0002613- ardin reg WX0007549-7588 (US 86832). 2614 (US 36166); B ttorney port dated N 19, 1977, written by J 319. rown, a ovember for Ame rica n A re anet B om C ha db ou rn e & Pa rk e , s umm a ri zed the a c tiv ity of the Re se a rc h L ia iso n Com mit te e fr om i ts fr arc inception as the Rese 7 7 . Br o wn advised that h Review Committee in April 1974 throug h 19 ht wish to maintain a repr tive on the R esearch L iaison Commi ttee af ter the an mig esenta Americ prese ntative, Cy ril Hetsko. B WX0007549-7588 (US 20286). depar ture of its re ain an a n 1978, the budg ction of t h e CTR was ag et and dire rea of conc ern f or I 320. fe nd a nts . Ac c or din g ly , D e fe nd a nts pr op os e d th a t y e t a no the r c omm itt e e be c on ve ne d a g a in “ to De e k a u p th e g e n e r ta l q u e s ti o n o f w h a t k in d o f r e s e a r c h th e in d u s tr y s h o u ld b e in to th r o u g h CT R or elsewhe re.” A L orillard document dated April 21, 1978, also articula ted the need for a n ew omm e e : c itt g ain “abdicated” the scientific r esea rch dire ctional We have a agement of the I to the “L man awy ers” with virtually no ndustry on the par involvement business manag ement side of t of scientific or the bu sin e ss. I nd us tr y re pr e se nta tiv e s h e ld m e e tin g s a nd re po rt e d to the c omp a nie s’ Ge ne ra l Co un se ls. Th e na me e of thi s new c omm itt e e wa s the I nd us tr y Re se a rc h Co mmi tte e , w hic h e sse nti a lly pe rf or me d th sa me tte fu tio ns a s th e pr ior Re sea rc h L ia iso n Co mmi nc e . 0 13 46 20 4- 62 05 (U S 34 53 2) (e mph a sis in US 63003); orig inal); Ste v e n s WD , 2 9 :2 0 - 3 8 :1 5 ; 9 5539849-9850 (US 56829); TI OK0032721-2722 ( -152-

183 03537201-7201 (US 86411); 680252124-2125 ( US 30 9 ); 03638976-8979 (US 20060); 8 5 US 36238). BWX0007531-7548 ( 32 int e rn a l le tte r f ro m E rn e st Pe pp le s, B & W Vi c e Pr e sid e nt a nd Ge ne ra l Co un se l, An 1. oseph E. Ede ns, Cha . McCarty , I .W. Hughe s and De Ba un Br y ant dated A pril 4, 1978, to J rles I s r us d th e ne w c omm c e e . Pe pp le se e po rt e d: dis itt ee, as y ou know, has a number of disc iplines and That Committ tti tud e s r e pr e se nte d in c lud ing re se a rc h a nd de ve lop me nt, pu bli c a Ju e t i o n s , l e g a l a n d o n e C E O ( C u r t a d g e ) . I t i s t h e p r o p e r p l a c e to l r ener al question of wha t kind of rese arc h the indus t ry take up the g r e in to th r o u g h CT R o r e ls e w h e e . I t c a n a ls o d e a l w it h the should b sear ct re sear ch ver sus gr ant re ch. issue of contra 680212421-2423 (US 54024); 682338651-8653 ( US 22899). The ne w I s t ry Resear ch Committ ee me t on November 6, 1978. I n attendanc e 322. ndu nold H st Pepples, B& Tucke r, Rey nolds; Ar W; Charles enson, Amer ican; Janet Br own, wer e: Erne tto rn e y wi th C ha db ou rn e & Pa rk ; Jame s B ow lin g a Phi lip Mo rr is; Ed wi n Jac ob , a tto rn e y fo r C TR; , and Dona n ey wi t h Shook, Hardy & B acon. A n even la rg er me ld Hoel, attor was he ld on eting Dec ember 13, 1978, and mee tings c ontinued throug hout 1979, 1980 and 1981 which w ere attended by De fe nd a nts ' re pr e se nta tiv e s a nd ind us tr y a tto rn e y s. With re sp e c t to t he dir e c tio n a nd ro le of CTR , “[i] t was ag d that the CTR role would be one of bas i c re s ear ch into the disease are as that have ree CTR would not, howe tisti been sta associate d with smoking . cally ver, e ng ag e in re sear ch desig ned to te st the e ff e c ts of tob a c c o smok e or tob a c c o pro du c ts in a nim a l or hu ma n s y ste ms, ” c on tr a ry to the promises made i n t h e orig inal Fr ank Statement. Stevens WD, 29:20-36:9; 2075318262-8268 S (US 43667); 1000041870-1876 (U S 35102); 03677101-7103 (US 29313); 03754196-4198 (U -153-

184 29342); 521032356-2357 (U S 31474); 01346193-6196 (US 20046); 01346186-6186 (US 26578); US 21062). 01346656-6656 (US 86416); 80419203-9203 ( m ittee Ind 2. ustry Technical Com o company ted the re d i rectors of its tobacc ch members a s the RC designa sear TI 323. hnical Committ ee ( “I TC”) in January I sear ch dire ctors o n t h e fi rs t I TC ndustry Tec 1954. The re ntatives from Ame rica n, B& W, L orillard, Philip Morris, and R ey included re J H000395- prese nolds. T0901400-1410 (U t 0011 (US 89555). 0400 (US 21178); TL S 88187); see also USX6390001-0400 a n Th I TC pr ov ide d te c hn ic a l inf or 4. tio e to t he TI RC SA B c on c e rn ing tob a c c o, its 32 ma n s t i t u en t s , an d o t h er m at t er s . T h e c h ai rm an o f t h e ITC wa s i n v i t ed t o s i t i n o n al l S AB m ee t i n gs co nd I nsure c t h e SAB a TC. Members of the I TC attended SAB oordination between in order to e s and answe red que stions from the SAB. Z ahn PD, Cipollone v. L ig g e tt, 12/16/86, 107: 2-11, meeting ahn PD, Massac husetts v. Phil ip Mor ri s , 5/28/98, 77:4-18; 107:20-108:23, 113:6-8, 114:6-9; Z 0 T R M I N - S A B 0 0 0 0 1 C - 1 0 6 1 a t 0 0 0 2 ( U S 2 1 1 4 6 ) ; C T R M I N - S A B 0 0 0 0 0 1 - 1 0 6 1 , 7 0 0 1 1 7 3 5 - 1 7 5 7 ( JD 090960); CTRMI N-I AT X3 0 0 0 0 0 0 15-0017 (US 21129); TC000009-0011 (JD 95519); D 092825); 500500320-0323 (US 955036231-6240 (US 32364); CTRMN039046-9106 (J 20633); 950148087-8088 (US 32347); 507079688-9689 ( US 29831). 5. At a 19 67 I TC m e e tin g he ld a t CT R, wi th re pr e se nta tiv 32 s p re se nt f ro m CT R, e Chadbourne & igg ett, Americ an, B &W, Rey nolds, L orillard and Philip Morris, Osdene of Parke, L rt lip rr is r e po Phi e d th a t Mo Dr. Ho c k e tt s ta te d th a t C T R i s mo v in g in to a n e r a o f a c tive collabora ry and they wish to make the tec hnical tion with the indust c omm itt e e mor e e ff e c tiv e by inc lud ing bio log ist s. . . . Pr og ra ms w ill b e d ev el oped in which Hoc kett wishes to use the industry technica l o into the development committee people to g ive advice which will g -154-

185 of plans for submis i o n t o t h e SAB . C.C. L ittle would like to meet s e th t omm itt e e e ith e r b e fo re or a ft e r the SAB me e tin g . H c fe e ls wi his to build a cre an d that that this would be an opportunity ative future CTR would move with more speed. US 86419). 682011463-1466 (US 86418); 1001609316-9320 ( ting wa s call ed to “or 326. anize the I ndustry Tec hnical A subsequent 1967 mee g mm it te e.” Pre s e n t a g a in a t t h e me e ti n g w e r e r e p r e s e n ta ti v e s f r o Co T R, A me r ic a n , B & W, m C Rey orillard, Philip Morris, and Chadbourne & Parke. nolds, L t was stated Boa rd and the C.T.R. staff I that the Scientific Advisory the re anized assistance ular a nd org desirous of obtaining of [were] g technica oup. Func tions of the I TC [ wer e]: 1. To the industry l gr in g its te c hn ic a l kn ow -h ow to b e a br n p ro ble ms i n w hic h it is r o desired. 2. T g estions. . . . Whi le the o assist the staff. 3. Make sug the I consisted of the Resea rch D irec tors makeup of .T.C. has usually rious participa ting c of the va cog nized that any ompanies, it was re company could desig nate whome ver it wished a s I .T.C. member. ATX300008549-8551 ( US 58614). 327. A meeting of the I TC w as held on April 26, 1968, at the CTR office in New Yor k and wa s c lle d s pe c if ic a lly by W.T . H oy t of CTR on be ha lf of the CTR sta ff . Re pr e se nta tiv e s f ro m CT R, a ic W, oril la r d , Ph il B& M o r r is , Re y n o ld s , a n d A me r L a n a tt e n d e d th e me e ti n g . T h e me e ti n g w as ip called “to hear prese ntations by the CTR-staff of the contra ct re sear ch prog ram be ing pr oposed by Mason Resea rch I e,” which wa s to involve larg e-sc ale, long -term mouse inha lation nstitut I xpe me nts . 9 55 03 39 96 -4 01 e US 3 23 63 ). ri t w a s n ote d th a t: 2 ( a) the contra ct status as propose d repr esents a sig nificant c hang e of “ ta c t” [sic ]. b) the pr op os e d prog ra m r e pr e se nts ve ry c on sid e ra ble c) a incre ay . and outl nd there fore , this entire prog ram may ase in costs repr esen t a s ." fi cant “dep art ure f rom CT R p lan s an d p ol icy igni 955033996-4012 (US 32363). -155-

186 328. I ckg round for the Mason contr act, Ar thur W. Burke of Amer ican n descr ibing the ba d taken a icolog y ten y ear s prior: ted that the CTR staff ha n interest in inhalation tox repor o u t t h i s t i m e t h e C T R - s t a f f b e g a n t o v i s i t t h e v a r i o u s g r a A t e e s to b n n what wa from their s t u d ies, and on a visit t o the lear s forthcoming nce w nberg tory lear ned that evide labora as ac cumulating euchte ers' L inomas o f mouse lung wer e occ urring with smoke that adenoc arc ce inhalations. . . . “Si fo es of I ndustry might snatc h-up such n finding i o n , the CTR staff preliminary s and misuse the informat nte rt a ine d a lim ite d p ro je c t a t Mas on Re se a rc h I ns tit ute , th e pu rp os e e which of to se t-up and compar e the opera tion of s ev era l would be ac e and a t one time, m hines in one plac animal exposure-smoking a me mo u s e s tr a in , e tc . using the - in s h o r t t o s tu d y th e s mo king s - r se. This wor k was initi at ed at Mason about one y ear machines pe ns g ” I n the c ou rs e of the se ma c hin e e va lua tio o. , M a so n n ote d s ome a defic iencies in some these machines, and the “CTR rec og of nized that they wer e piddling in some da ng erous a rea s.” 955033996-4012 (US 32363) ( emphasis in orig inal). 32 9. a n O c tob e r 2 5, 19 68 I TC m e e tin g , the re wa s a lso a dis c us sio n of the re la tio ns hip At on tw e n th e I TC a nd the CTR Sc ie nti be c Ad vis or y B oa rd . Ho y t voic e d the op ini e tha t th e SAB is fi considering targ eted r esea rch w ith closer CTR staff monit oring which would be in a ) “more s demia by rants, and b) aca es by contra ct -- w here neces g ar y . " 955036231-6240 (US other plac 32364). 3 3 0 . I n a 1 9 7 0 r e p o r t , t h e D e f e n d a n t s ' r e s e a r c h d i r e c t o r s - - H e l m u t W a k e h a m o f P hil ip y Mo is; Pr e sto n L e a ke of Am e ri c a n; A lex a nd e r S pe a rs of L or ill a rd ; Mu rr a rr Se nk us of Re y no lds ; Hug Wil igg ett; and I .W. L hes of B& W -- expressed their displea sure with CTR’s liam W. Bates of ensive arc h prog ram, its focus on studies of diseases that wer e assoc iated with smoking, its def rese a of smoking posture, and its lac k of g uidance for f uture stra teg y of the tobacc o industry in the are -156-

187 and hea lth. The repor o m e more eff ective a s an t offer ed opinions as to how CTR might bec co industry ood of the tobac . 1002636362-6365 (US 22998). instrument for the g 1 . I n th e 1 9 6 0 s , th e I T C a s s is te d th e T o b a c 3 o I n s ti tu te , a n d I T C me mbers we re 3 c ag meeting s at the Tobac co I nstitut ed to attend TC meeting at the Toba cco I nstitut e wa s encour e. An I a lle d “ to d isc us s th e po ssi ble imp lic a tio ns of a $5 0, 00 0 g ra nt fr om Na tio na l I ns tit ute s of He a lth to c .C. laboratory machine c apable of ca rbon monox ide ana ly sis.” Present to develop a smoking the F.T t t h e me e ti n g w e r e r e p r e s e n ta ti v e s o f L ig g e tt , A me r ic a n , Re y n o ld s , L o r il la r d , Ph il ip M o r r is , B & W, a was Bur nd the Tobac co I nstitut e. There ling, a much conce rn over the possibili ty that Covington & c F TC i nte nd e d to pu bli sh br a nd oxi a rb on mon the d e l e v e l s . T he a tte nd e e s su g g e ste d th a t D e fe nd a nts be a dy to d e ma nd pu bli c he a ri ng s o n me tho do log y a nd be pr e pa re d to “ c ou nte ra c t th e inc re a sin g ly re e being orce n by anti -s moking f irrational public imag s” on ca rbon monox ide hazard. draw MN0134876-4877 (U S 65574); 950148089-8091 (US 32348). TI c c o W 3. king G r oup Toba or I n Marc h 1968, the National Cance r I 332. e cre ated the Tobac co Working Gr oup nstitut (“TWG”) s an advisory g roup to its Smoking to serve a Hea lth Prog ram which was dire cted by and Dr. Gio B . Gori. 87754028-4373 (US 22259). The Group was composed of a broad c ross-sec tion ia of nti sts , r e se a rc he rs , a nd tr e a tin g ph y sic ie ns sp e c ia lizin g in s moking a nd he a lth . F ou r o f i ts sc members we re f rom the tobac co industry : Murray Senkus, Direc tor of Resea rch f or RJ R; Alex ander Spears, Director of ch and Development f or L orillard; Helmut Wakeham, Vic e President of Resear Corporate Resear ch and D evelopment f o r Ph il ip Mor ris; and Charles K ensler of Arthur D. L ittle, I nc. Ba By W i l l i am 1969, tes, Direc tor of Resea rch a t L igg ett, was a ttending T WG meetings, a nd by ious 1971, I .W. Hughe s of B rown & W illiamson had acce pted m ember ship. The TWG exist ed in var -157-

188 forms fr om 1968 throu 1 9 7 7, when it was dissolved a s a cost cutting measure . HHA6060033- gh DOJ3002797-2803 (US 86423); L G0267405- 0036 (US 86422); 501555964-5966 (U S 22284); L 86424); 680231778-1778 680142974-2974 (US (US Stevens 7405 (US 59094*); WD, 43:23-46:9; T1022905-2912 (U TL ); S 30817); 680142967-2967 (US 54018 22254); 680142966-2966 (U S 86842); TI MN0102540-2560 (U S 86843). repr esenta tives repe atedly informed the TWG tha t the y wer e par ticipating I 333. ndustry epre sentatives of the ir individual tobacc o company in their individual capa cities, and not as r over, the y emphasized that their participation did not repre sent ac cepta nce of the employ ers. More ttes were lth or cause d lung canc er. U.S. 88, 489. I n his 1968 letter are hazardous to hea view that cig membership in the TWG, Murra y Senkus stated “I am in no manner a cce acc w epting pting the vie esent c rettes a re ha zardous or (2) iga h cig are ttes cause s or contributes (1) that pr that the smoke of suc human lung canc er.” See also US 22263; US 69276; US 22269; US 26069. to the development of ve 4. ic ipa tio n b y ind us tr y re pr e se nta tiv e s p ro rt d va lua ble by a llo wi ng De fe nd a nts to Pa 33 e p a br e a st o f w ha t the Un ite d Stat e s Gov e rn me nt wa s doin g wi th re sp e c t to smo kin g a nd he a lth ke also provided a mecha nism by which De fenda nts could try to influence issues. Their participation e Un ed S it th tat es G ov ernm ent ’s a cti vi ti es i n t he s mo ki ng and heal t h a r e n a . An u nd ate d B&W document, discussing United States De artment of Health, Educ ation and Welfar e ac tivity in the p rly ted the re asons for D efe ndants' participa tion on the TWG: 1960s, clea articula f o u r a c ti o n s [t a k e Of these b y th e U n it e d St a te s D e p a r tm e n t of n He a lth , Ed uc a tio n a nd Wel fa re wi th re sp e c t to smo kin g and h eal th issues], t first three [developing epidemiolog ical evidenc e linking he smo kin g a nd c e rt a in dis e a se s; la un c hin g a pr og ra m to a le rt the pu bli c ab u t the dang ers of smoking; and pushing for leg islation which o wo uld re du c e c ig a te tte c on su mpt ion ] ha ve be e n o f s uc h im media re ived most of the attention of the tobacco conce rn that they have r ece -158-

189 industry . Howeve tiating a rese arc h prog ram de signe d r, t he later [ini "le zardous cig are tte"] is probably as important, or a ss ha to produce r h a p s m o r e i m p o r t a n t f o r t h e l o n g - t e r m f u t u r e p f t h e i n d u s t r y. e o tho h w or k in thi s ar e a is in its init ia l sta g e s, ug the dir e c tio n of t his Al ms clear ly indicated a nd should be eva luated. work see * * * e c a n lo g ic a lly e xpe c t th a t a ny re luc ta nc e on the pa rt of ind us tr y to On produce voluntarily are ttes on the basis o f posi tive commerc ial cig sul in leg ram would re islation to force results from this prog t probability n all littl e attention is likely to be g iven to the adoption. I , omm e rc ia l a c c e pta bil ity of the [unr e a da ble ] fr om t his pr og ra m. c * * * Since industry as re prese ntatives on this committ ee, it should be h in completely awa re of all actions take n and to have possible to rema nce on these actions. I f one assumes complete and at least some influe nk intercha ng e of infor mation arising from within this commit tee fra s sh mon g a ll c omp a nie s, the c omp a nie n ou ld t he a op erate f ro m a common base. HHS1330992-0998 (US 76082). Simi larly ch 9, 1972 docume nt drafte d by Alexander W . Spears of L orillard 335. , a Mar og d: c nize re we re to w ith draw [ fro m th e TWG ], L I ill a rd wo uld los e f I or er able insi g ht into the working s of the Na tional Cancer consid n s ti tu te p I o g r a m w it h r e s p e c t to c ig a r e tt e s . T h e r e is a very rea l r possibili that this progr am is g oing to ty a profound eff ect on the have c ig a re tte ind us tr y , a nd I be lie ve tha t w e sh ou ld be awar e of the se eff ects a s they become clea r. We also have some signif icant s soon a d a lue e on the c ou rs e inf the de ta ile nc c tiv iti e s a nd , th e re fo re , s ome of e ff e c t on ult ima te re su lts . 01240178-0178 (US 22282). y 6. De fe nd a nts ' a pp ro a c h to the TWG a nd 33 a ll De fe nd a nts ' re la te d a c tiv iti e s w e re joi ntl that formulated a nd closely monitored by committees of industry lawy ers a nd executives to ensure -159-

190 such " participa ed ser ved -- Def endants' common tion" in the TWG did not threaten - - and inde ularly en t s' repr esenta tives to the TWG reg an repor ted to their counse l, who kept ef d purposes. D a ny e xec uti ve s, CTR , th e To ba c c o I ns tit ute , a nd on e ano th c a br e a st o f T WG a c tiv iti e s. omp er 5 6259-6263 (US 22283); 501555964-5966 ( US 22284); 500502060-2063 (US 22286); 501 5 1 0 5 070117-0121 (US 22288); 1005070122-0122 ( US 22903); 0 501990370-0374 (US 22287); 36652); 680143084-3084 (U 680142648-2648 (US 22374); 2015040862-0863 ( US S 22293); BWX0003934-3938 ( US 86425); 03753993-3994 (US 22295); 03540217-0225 (US 22294); 03646227-6228 (US 22296); L G0208389-8389 (U S 59040). 7. Th e En te rp ri se e ng a g e d in a con cert ed e ff or t to pr e ve nt, c ur ta il, a nd ult ima te ly to 33 liz neutra ts to evaluate c iga rettes’ eff ects u sing a n animal inhalation bioassay ffor e the TWG’s e rese arc her Oscar Auer bach. 1000298389- 8392 (US 26082); 1005086254-6254 (U S d by develope S 86427); 1000298389-8392 (US 26082); 1005086254 -6 2 54 (US 86426); 1002906624-6625 (U S 86427); 86428); CTRMN015382-5383 (US 500006051-6051 (US 86426); 1002906624-6625 (U lso Korneg ay PD, Cipol lone v. L igg ett , 1 2 /6 /9 4 79878). See a 588:11-589:4, 590:2-8, 592:23-594:6, , 598:20-604:7. 338. I n Auer bach’ s study , beag le dog s sm o k ed ci gar ett es for up to 2.3 y ear s throug h a -s thr e nin g in t he ir wi nd pip e s. Tw o of the e ig hty t op ix do g s whi c h sta rt e d the te st d e ve lop e d e a rl y oa sq ua mou s c e ll b ro nc hia l c a rc ino ma , th e mos t c omm on lun g c a nc e r o c c ur ri ng in h uma ns . A n A pr il 3, 1970 repor t from a United K acc o manufa cture r, Ga llahers, c irculate d among ingdom tob proves endants, c Def lieve the Aue rbac h work oncluded that “ bey ond a rea sonable doubt that we be fr e sh wh ole c ig is re tte smo ke is c a rc ino g e nic to d og lun g s and the re fo re it i s h ig hly lik e ly tha t it a mmond car cinog enic to human lungs.” US 21688. Dr. Auerbac h and his co-r esea rche r E. Cuy ler Ha -160-

191 nic a NC I to c on du c t fo llo w- up stu die s on the e ff e c ts of d to oti ne on c a rd iov a sc ula r d ise a se in lie pp s, made a prese and WG at a meeting in November of 1970. US 29546, 22298. dog ntation to the T 9. Th e To ba c c o I ns tit ute c a re fu lly re se a rc he d Aue rb a c h an d h is p a st r e se a rc h p ro je c ts 33 share and with its member companies on behalf of the Enterpr ise. 2015047506-7506 d information 86433); 1005086194-6194 (U S 86432); 500006028-6028 (US S (US 86431); 508775596-5596 (U (U S 8 6 4 3 6 ); 0 3 86434); 1005086196-6196 (U 5 8 4 8 1-8482 (US 86437); S 86435); 1005086198-6198 7 US 86439); T I MN221636-1636 (U S 86440). 1005086201-6201 (US 86438); 2024991017-1017 ( em an i n d i cate d in a Dec ember 22, 1971 letter to other industry TWG members that Helmut Wak l w he ver rea t probability that this proposa g ill be acc epted a nd funded by the N.C.I . is a matter y “[t] able c oncer n to the tobacc o industry .” U.S. 22261. of consider scientists, w Despite the f of Def endants' indings hich af firmed the sig nificanc e of the 340. e e rb a c h s tud y , th sti To ba c c o I ns tit ute pu bli c a lly qu e Au on e d the re su lts . A 19 70 To ba c c o I ns tit ute press re lease stated, “We ha ve g ood rea son to question whether lung canc er e x perts in this review 95 ro we re a ble to co nf ir m any fi nd ing of lun g c a nc e r[. ]” TI g 01 09 55 6- up 60 (U S 87 69 8) ; se e a lso MN CTRMN015379-5379 (US 79876). Represe to block the TWG from fenda nts a l s o decide d to try 341. ntatives of the De ting Aue rbac h’s re sear ch. Edwin J acob, counsel to CTR and Rey nolds, instructed Rey nolds’s replica scientists Mur ray Senkus and Alan Rodg man, as we ll as other De fenda nts' sc ientists, to prevent the s TWG f o m p e r f o r mi n g d o g in h a la ti o n s tu d ie s s u c h a s th o r e d e e me d n e c e s s a r y to d e v e lo p n ew products. Jacob arg ainst such studies o n ued ag t h e grounds that they would be an a dmission by ot a De fe nd a nts tha t e xistin g c ig a re tte pr od uc ts w e re ha rm fu l. M or eov er, J acob -- a n a tto rn e y , n -161-

192 scientist -- fe are periments mig ht show proof of nic otine habituation. 515872408 - 2 4 56 d that these e x at 2424-2429 (U S 22261). the Tobacco I nstitut e Annual Meeting on J anuar y 28, 1971, Wil liam I 342. n his report to e oa pf ste d th a t Kl oe r b g essure Auer bach’ s shag Hammond’s and y -- or ur constant pr [o] on b y - - sha o g s to r y h a s p u t th a t w o r k a s r e p o r te d s o f a r into a b d e r m a n e n t f i l e m a r k e d c o n t r o v e r s y - - e s p e c i a l l y a m o n g s c i e n t i s t s . It p pa mor tha n tha t. I t de mon str a te d ou r c ou nte ra tta c k c a e bil ity a s a did ing the y ear we missed no eve nt worth talking rest of the team. Dur n whi ch our c omment wasn' t issued -- and pr inted and about i ast -- the same da y . broadc TI MN0081403-1405 (U S 77050). 343. I ing to sha pe the pa th of rese arc h underta ken by the TWG, n addition to try fe ou a nts ' la wy e rs a nd e xec ut iv es d ete rm in ed t hat th eir sci ent is t r epre sen tat iv es o n t he TWG w De ld nd c fe of ug g e sti on s a bo ut e xpe ri me nts to c on du c t or pr oje r n ts t o p ur su e in t he se a rc h f or a le ss o s hazardous cig are tte. 1005056343-6343 at 6343 (U S 22272*). 344. Def endants also utiliz ed the rela tionships they develope d with c erta in go vernme nt scientists through the TWG. After the TW G was disbande d, they reta ined two of its members, Dr . nd o G i, f or me r C ha ir ma n o f t Gi TW G fro m NCI a or Dr . T .C. Ts o f ro m U SDA , a s c on su lta nts . he Gori has be en a spoke sperson a nd consultant for the industry since lea ving the NCI in the 1980s and Phili serv i ce s ured the o f Tso upon hi s retire ment from USDA in 1983. B loch PD, p Morris sec Un ite d Stat e s v. Phili p Mor ri s, 2/1 4/0 2, 18 15 :20 -1 81 9:2 0; T so PD, Un ite d St a te s v . Ph ili p M or ri s, 6/5/02, 178:1-181:12, 182:19-183:2, 183:16-184:23; HHS1091046-1048 (US 88738); 680900035- S 22487); 2050986280- 0045 (US 21013); 1005082903-2903 (U S 21529); TI MN435245-5245 (U -162-

193 6281 (US 27064); 2023799642-9642 (U 7 7 0 1 ); 2 0 0 0 5 1 1 3 0 1 -1 3 0 2 (US 87703); 2000596045-6045 S 8 S 87705). (US 87704); 2001202319-2319 (U G. Health Literature Collect ion an d Retr ieval Coordinated Smoking and Def endants’ pa ramount objec tives has consistently been to a void the issuance 345. One of ny bil ity fi nd ing s th a t c a ld r e su lt i n la rg e lia dam age a wa rd s a s w e ll a s in c re a se d p ub lic of ou c og nit ion of the ha rm fu l e ff e c ts o f s mok ing . I n p ur su it o f t ha t ob je c tiv e , D e fe nd a nts c oll e c tiv e ly re dic a d, or g a nize d, sto re d, a nd e ve ntu a lly a uto ma te d me re a l a nd sci ent if ic lit e ra tur e re la te d to the g nd health re sear ch. smoking a Acc ording to a Fe bruar y 1 9 6 9 L o r il la r d me mo r a n d u m, D e f e n d a n ts ' “ Ce n tr a l F ile” wa s 346. at inancially 1950s, was supported f started in the l by all members of the industry , and wa s e an the Ad Hoc ttee. I t was eve ntually consolidated supervised by d put under the dire ct Commi supervision of De fenda nts' a ttorney E d wi n J ac o b . The “ Central F ile” wa s a collec tion of ever y document which c ould be found re and hea lth controversy . Be g inn i n g in or lating to the smoking cco c of L orillard, also joined tog ether and about 1967, the major toba ompanies, with the exception sta bli sh e d an “ I nf or ma tio n Cen te r” fo r t he c oll e c tio n, su mma ri zat ion , a nd c omp ute ri zat ion of a ll e information and doc uments conce rning smoking a nd health. The purpose of the I nformation Center wa s to ha ve inf or ma tio n re a dil y a va ila ble to the ind us tr y fo r l iti g a tio n a nd c on g re ssi on a l he a ri ng s. 044227839-7844 (US 20066); 0 4 US 29454); 4227839-7844 (US 20066); 500289915-9918 ( US 21080); 80680229-0229 (US 31967). 01422304-2304 (US 20288); 85649920-9920 ( By 1964, indices of scientific lit era ture we 347. lso being compiled sepa rate ly by the re a ind ivi du a l D e fe nd a TR, a nd the ir agent s for lit ig a tio n p ur po se s. Ed wi n Jac ob , a tto rn e y fo r C nts logue Re y n o ld s , a n d B & W, e mp lo y e d a s u p e r v is o r a n d th r e e o th e r e mp lo y e e s to a b s tr a c t a n d c a ta -163-

194 se c dic a l and sc ie nti fi c lit e ra tur e by su bje c t a nd a uth or fo r l iti g a tio n p ur po nt me s. He nr y Ra mm, re ur for Rey er inde x , containing over 20,00 0 d o cu m en t s in eig nolds, kept a similar but larg attorney ht n addition, Kenneth Austin a d t h n e other CTR staff me mbers compiled indice s of volumes. I re ture for litigation purposes. L itigation indi ce s we re also kept by J anet B rown, scientific litera for Ame attorney Holtzm an, attorne y for Philip Morris. L igg ett hired a person rica n, and Alexander tera de law f advoca ted us ing space at an outsi ther li irm of one of the companie s to do to ga ture and of literature under the wing ” ollected “ counsel. 1003119099-9135 the task, so that future could be c G2017032-7034 (U S 34100). (US 20152); L I n a mid-1960s re port, L orillard stated 348. tr e a us e of the c on tin ue d a tta c ks on the ind us c y . . . it is in t he be st B orillard to join force s with all oth er members of the interests of L c n d u s t r y c o n g e r n i n i t h e h e a l t h c o n t r o v e r s y. Although e iga rette c ompany handled its own litiga tion through va rious trial attorney s, ach c en h e i s a h i gh d egr ee o f co o p er at i t n b et we er t h e c o m p an i es t h ro u gh o . . . the d Ho “A Commi ttee” w hich finds medica l witnesses and c pr e pa re s te sti mon y . L or ill a rd ’s re pr e se nta tiv e on thi s Commi tte e is Mr. David dy . The Committee supervises the Ce ntral F ile which Har tion of ound rela y document which c an be f is a collec ting to the ever nd health controversy smoking a ation must be . This cooper continued. An adverse decision ag ainst any member of the industry wo uld be dis a str ou s to a ll. 80684691-4695 (US 21067). 349. endants shar ed the ex pense of bibliogra Def es and a naly sis perfor med for phic servic the Central F ile. 85649920-9920 (US 21080); 80680229-0229 ( US 31967). 350. I n 1971, the servic es supported unde r the Centra l File and the service s perf ormed by ctors the I nformation Center wer e tra nsfer red to CTR. At the first mee ting of CTR’s Boar d of Dire -164-

195 afte r its incorpora ave a pproval to C TR to take over and opera te, as a CTR tion in 1971, the Boar d g e ia oje c t, a n in fo rm a tio n a nd re tr ie va l sy ste m a nd c omp ute ri ze m l Pr dic a l li te ra tur e , a rt ic le s, Spe to c published documents re co and health, with the lating to tobac expenses to be borne by the and other ting c ompanies. At the fir st annual mee t i n g o f CTR members afte r incorpor ation, the participa or mbe a pp ro ve d th e na me I nf orma tio n Sy ste ms f or thi s sp e c ia l pr oje c t. I nf rs ma tio n Sy ste ms me me a division of CTR which ana zed, summarized, ind exed, and re trieved sc ientific and ly beca er at u re at the dire ction of De fenda nts' a ttorney s. Defe ndants relied on this division of medical lit e to r e vie w t he me dic a l li te ra tur la re CTR tin g to smo kin g a nd he a lth e ve n tho ug h the y c on tin ue d to monitor litera ture CTRMI N-B D000001-0303 at 0007-0008 (JD 093208); C T R M I N- in-house. ahn PD, Massac 98, 143:8-23; ip Morri s , 5 / 2 8 / MOM000001-0015 (US 21145); Z husetts v. Phil isanti PD, Arch v. Amer cco, 6/10/97, 101:10-102:15. L ican Toba The Repor t of the Chairman to the se cond annua l meeting of CTR members held on 351. i anuar J aled that I nfo rm at y on Sy stems had bee n chang ed to I nformation Retrieva l 28, 1972, reve Division. The Division wa s staffe d by a g roup of twenty -six people and fina nced se para tely from Retrieval Division. the g et; its name was e ventually changed t o the L iterature al budg ener CTRMI N-MOM000016-0034 ( US 21170); McAllister TT, 3/21/05, 16161:16-16162:6; Duffin PD, Munn, 1/7/87, 161:17-25, 164:23-167:10, 171:7-15; DXA0630917- 1033 at 0964-0965 (US 75927); WAX001 0698-0786 at 0771-0772 ( US 75555); USX6400001-0527 at 0347-0350 (US 89561); USX6400001-0527 at 0225-0227 ( US 89561). US 89561); USX6400001-0527 at 0136-0138 ( 352. CTR maintained a separate chec king acc ount called CTR Specia l Account No. 1 f or the L iterature Retrieval Division. CTR requested, r ece ived, and deposited monies from its sponsor ce WD, 3:3-5:1. companies f or the L iterature Retrieval Division. Polli -165-

196 v 3 I n a d d it io n to th e CT R L it e r a tu r e Re tr ie . a l D iv is io n , D e f e n d a n ts A me r ic a n , B & W, 3 5 i gget t , L o ri l l ar d , P h i l i p M o rris, and Rey n o l d s al s o co n t i n u ed t o fu n d S p ec i al Ac co u n t No . 3 t h ro u gh L “ wi ’s fi rm . T he a c c ou nt w a s desi gna te d a s a ob F ile fo r L iti g a tio n” a nd wa s “ us e d to n Jac Ed an office wher e sever al doctors work on an analy sis of medical literature . ” 6 8 2 1 5 0 9 4 2- maintain 0942 (US 86491). Retrieval Divisi rly expenditures for the L iterature Yea on continued to be shared by 354. endants fr om 1970 un t i l i t h e L Def tera ture Retrie val Division cea sed to exist in 1983. 70124547- 4547, CTRL RD004193-4193 (US 31557); 70124546-4546, CTRL (US 31556); RD004192-4192 RD004233-4233 (US 31558); CTRL RD004190-4190 (US 70124548-4548, CTRL 70124544-4544, 11275453-5453, CTRL RD004191-4191 (US 31555); RD004232- 31554); 70124545-4545, CTRL 4232 (US 26402). her te nure in the Public Aff 355. f t he Toba cco I nstitut e, Anne During airs Division o d source materia l from the L i t era ture Retrie val Division to assist her in writing Duffin obtaine lth 1964- s, pamphlets, handouts, and other n s . E xa mp le s in c lude “Smoking a nd Hea publicatio article 1979, The Continuing Controver ,” “Cig are tte Smo k i sy g and Canc er: A Scie ntific Perspec tive, n 19 82 ,” a nd “ Cig a re tte Smo kin g a nd He a rt Di se a se , 1 98 3. ” Du ff in PD, Mu nn v. Phi lip Mo rr is, 1/7/87, 161:17-162:3, 162:20-163:15, 164:23-168:5, 169:4-16, 171:7-15, 173:2-174:3, 174:11-19, 519838352-8517 (US 87707); 519838518-8621 176:18-22; 87708); 519838622-8674 (US (US 87709). 3 5 6 . Alexander Spea rs' s informal re view re p o rt d es cr i b ed t h e Lit er at u re R et ri ev al Di v i s i on wo op ra tio n a s “ ne a rl y c omp le te c ov e rage of the e rl d me dic a l li te ra tur e on tob a c c o a nd he a lth val available at ea ch user location with essentially s tate of a rt information sea rch a nd retrie -166-

197 capa bili . ” Be cause the L iterature Retrieval Division sy stem was usef ul to L orillard “in the a rea t y alth rela of tobac ntal reg ulatory proce eding s,” Spear s ted to litigation and g co and he overnme e orillard to f L d t h u L iterature Retrieval Division “since it seems an cision by supported the de n rt of defe nding the industry and this c ompany integ define d are a.” L orillard funde d the ral pa in the iterature h 1983. 01422327-2328 (US 20050); Stevens WD, L Retrieval Division from 1980 throug t 1025 (US 75927). 42:19-43:22; DXA0630917-1033 a 357. n September 1981, the Ad Hoc Committee, including Wil liam Shinn and Robert I & B acon, me t a nd Northrip fr a proposal to se ver the L iterature Retrieval om Shook, Hardy discussed iv is io n f r o m CT R a n d r e o r g a n iz e it , a lo n g w it h th e Ce n tr a l F il e ( s o me ti me s r e f e rre d to as the D idi ba c o L iti g a tio n F ile ), int o a se pa ra te c or po ra tio n. B y pr ov c ng lit ig a tio n s up po rt se rv ic e s to To h fending nd health ac tions, t smoking a e separate corpor counsel de to provide ation would be able more e x tensive and r eliable wor k product prote ction for the L iterature R et ri eval Division’s microfilmed, computer ized database nd health informa tion when and abstracts on smoking a U c v e r y w a s s o u g h t in li ti g a ti o n . Se e ( n o b a te s ) dis ( o S 3 6 3 2 1 a t 2 7 5 ) . T h e p r o p o s a l, w hich was ultimately nd implemented, re commended tha t: (1) the L iterature adopted a i o n be Retrieval Divis re mov e d to the c us tod y of de fe ns e c ou ns e l in to a ne w b us ine ss c or po ra tio n to be fo rm e d c a lle d L S, I nc., the stock of ned by the four la w firms; (2) pa y ments to L S, I nc. by the law which would be ow for a firms would be on a marke t sha re basis client ll functions; (3) the only users of the sy stem per would be the f our law f irms plus Covi ng ton & Bur ling, repr esenting the Tobac co I nstitut e; (4) the only stem would be for litigation, which would be define d to include administrative use of the sy proce eding s and leg islative hear irms were t which proc eeding s and hea ring s the l aw f ings, a Retrieval Division, repr esenting their clients; and ( 5) Fred Giller, then-Dire ctor of CTR’s L iterature -167-

198 would be appointed of L S, I nc. Stevens WD, 42:19-43:22; DXA0630917-1033 President and CEO 9 US 7 ); S 75 X6400001-0527 a t 0225-0227 (US 89561); USX6400001-0527 a t 2 at 0964-0965 (U 9275490271-0280 (US 0136-0138 (US 89561); USX6400001-0527 at 0347-0350 (US 89561); ATX 36231); L G2000741-0750 (U S 36269); 515848825-8830 (US 21583 ); 2015020054-0054 (US 8 ) ; 2 0 1 5 0 2 0 0 4 6 - 0 0 4 6 ( U S 3 6 6 2 7 ) ; 2 0 1 5 0 2 0 0 3 8 - 0 0 3 8 ( U S 3 6 6 2 6 ) ; 2 0 1 5 0 2 0 0 3 2 - 0 0 3 2 (US 3662 S 36624). 36625); 2015020021-0021 (U n Marc , the Commit tee of Counsel approve d the implementation and I h 1983 358. S, I nc. L G200 0 8 incorpora 3 -0 832 (US 21544); 2047663658-3695 (U S 20481); tion of L 2 2047663658-3695 (US 20481). H. Defendan ts' Organizations Foc used on ETS Issues 9. F ro m th e 19 70 s f or wa rd , me mbe rs of the En te rp ri se , s pe c if ic a lly Phili p M or ri s, 35 & y no lds , L or ill a rd , B the W, B AT Co, a nd Re To ba c c o I ns tit ute on be ha lf of its me mbe r c omp a nie s, pooled their re source d i nated their activities with respe ct to passive smoking , or s and coor l tobacco smoke ions S”), issues throug h a var iety of committees and or g ani z at environmenta (“ET il at Section V(G)( ). The a nfra (discussed in deta ims of the many differ ent industry ETS 6), i org oordinate a n industry position on passive smoking and to fund proje cts that anizations were to c wo uld g e ne ra te da ta su pp or tin g the ind us tr y ’s po sit ion tha t to ba c c o s mok e wa s n ot a pr ov e n h e a lth ri sk on smo ke rs . to n specific The fir 360. committee dedica ted st industry ally to addre ssing ETS conc erns wa s formed a s ear ly as 1975. The c ommitt ee, c haire d by Shook, Har dy & Ba con counsel Don Hoel, met under the direc tion of the Resea rch L iaison Commi ttee to address ETS-specif ic projects which, at US the time, wer e funde d v ia Sp e c ia l A c c o u n t 4. 1003293761-3763 (US 86502); 1003293752-3753 ( -168-

199 20169), (US 75204); 500294698-4698 (US 24145); 504126505-6507 (US 24216); 03638976-8979 ular membe (US 46483); 01337388-7388 (U ed rs of this committee, sometimes ref S 86504). Reg err ttee or A dvisory Commi Gr oup, included compa ny scientists from ng to as the Public Smoki lip Mor ri s , B&W , an d L o ri l l ar d . 1 0 0 0 1 2 5 3 8 6 -5 3 8 6 Rey S 8 6 5 0 5); 504339411-9412 (U S nolds, Phi (U 86506). endants r ee stablished this commit tee in 1984 under the name of the Tobac co 361. Def e ETS Advisory to propose, re ttee, or TI -ETSAG. ETSAG met almost monthly nstitut view, I Commi Commi e scie g t h e ntific projec ttee of Counsel a pproved f or funding . Reg ular and mana ts that ETSA G al s o included compa ny scientists from Rey nolds, Phi lip Morris, B& W, and members of orillard, in addition to Tobacc nstitut e re prese ntatives, Don Hoe l, and Covington & Bur ling o I L tto rn e y John Rup p. 20 21 00 40 58 -4 06 4 (U S 20 33 9) . Wh ile ne ith e r L ig g e tt n or Am e ri c a n d ir e c tly a pp rt ipa te d in ET SAG , b oth pa rt ic ipa te d w ith the fu nd ing of a ic ro ve pa ro je c ts. I d. a t 40 58 ; se e a lso d p Adams PD, United States v. Philip M orris, 6/18/02, 226:15-235:20, 236:2-237:24, 255:24-256:18, 257:8-20, 262:13-263:5, 266:7-268:18, 284:1-24, 285:5-289:6. 36 2. Th e Ce nte r f or I nd oo r A ir Re se a rc h ( “ CI AR ” ) w a s f or ma lly e sta bli sh e d in 19 88 to car -funde d rese arc h re l at ed out industry t o passive smoking ; the orig inal char ter membe rs wer e ry Def endan ts Ph il ip M o r r is , Re y n o ld s , a n d L o r il la r d . 5 0 6 3 0 0 8 0 4 - 0 8 1 4 a t 0 8 0 4 ( U S 2 0 7 56); 506647151-7156 at 7151 (U MN0014390-4393 S 20761); 321141105-1144 at 1142 (US 20588); TI (U S 62 78 2) ; 20 71 41 29 78 -3 14 3 a t 3082 -3 09 6 (U S 23 06 1* ); 50 66 62 31 5- 23 16 (U S 75 27 7) . See a lso Adams PD, United States v. p Morris, 6/19/02, 302:4-15, 304:5-306:11. Although CI AR had Phili a Scientific A dvisory Boa rd to revie w rd of h e m er it of project pr oposals, only the CI AR Boa t y- D i r e c t o r s h a d a u t h o r i t y t o a p p r o v e a p r o j e c t f o r f u n d i n g . M o r e o v e r , a l a r g e n u m b e r o f i n d u s t r -169-

200 favor able CI pproved dire ctly by the CI AR Boa rd of Dire ctors without any revie w AR projects we re a AB . 517577761-7761 (US 20867). by its S oals ees a d Def endants’ c ollective g anizations furthere by : (1) 363. nd org ommitt These c Def endants' eff orts to ge nera te evidenc e to support its positi on that there ting coordina and funding open contr oversy ” a s t o t h e h ea lth impl ications of exposure to ETS; (2) lea ding the rema ined an “ nment’s efforts t act on Gover evidenc e linking E TS to disease; and, (3) in the case of attack on the o lly ring sear ch funding org anization when it w as rea ndent re a fa cade for AR, appea to be an indepe CI c e a lin c ind us tr y pa rt ic ipa tio n in c e rt a in s tud ie s. on g Int e r nat ion al O r ga niz at ion s, Co m m it te e s, and G r oups I. Overview 1. g Th re is o ve rw he lmi ng e videnc e de mon str a 36 e De fe nd a nts ’ r e c og nit ion tha t th e ir 4. tin ests would best be ser ved by pursuing a united front on smoking and hea lth issues and economic inter ote a lob a l c oo rd ina tio n o f t he ir a c tiv iti e s to pr g c t a nd e nh a nc e the ir marke t po sit ion s in the by ir respe ctive countr ies. To furthe r their sha red obje ctives, the De fenda nts, over an e x tended period of n tim re a te d, c on tr oll e d, us e d, or pa rt ic ipa te d i , c an a sto nis hin g a rr a y of int e rn a tio na l e nti tie s, e inc lud i n g , a m o n g m a n y o t h e r s ( a l l o f w h i c h w i l l b e d i s c u s s e d i n f r a ) , t h e T o b a c c o M a n u f a c tur e rs ' Standing Committee (“T MSC”), ch bec ame the T obacc o Resear ch Council (“T RC”) and then whi ”), co Advisory ; the I nter n a ti o n a l C the Tobac mmittee on Smoking I ssues (“I COSI Council (“TAC”) o whi I nterna tional Tobacc o I nformation Center ch became the nc. (“ I NFO TAB ”) a nd then the , I I nte rn a tio na l T ob a c c o Doc ume nta tio n Cen te r (“ TD C” ); a nd the Ce nte r f or Coo pe ra tio n in Sc ie nti fi c de Resear Relative to T obacc o/Centre ch Coopération pour les Reche rche s Scientifiques Relatives “CORESTA”). au Ta bac ( -170-

201 3 6 . De fe n d an t s co o rd i n at ed t h ei r e ff o rt s t o fu rt h er t h ei r e co n o m i c i n t er es t s t h ro u gh 5 us tip me e tin g s a ro un d the g lob e . Th e se nu me ro me e tin g s, he ld b e tw e e n th e 19 50 s a nd a t le a st mul le 00 , we re sc he du le d b y c or re sp on de nc e a nd me mor a nd a tha t w e re se nt v ia fa c sim 20 a nd by ma il. ile 536202391-2391 (US 86553); 202549578 -5 7 8 8 (US 22856); 2025495795-5795 (U S 26848); 8 ( 2 0 3 3 1 - 0 3 3 1 ( U S 8 6 5 5 5 ) ; 2 0 2 4 7 7 1 3 9 1 - 2065 3 9 1 6 U S 8 6 5 5 6 ) ; 2 0 2 5 4 7 7 9 5 5 - 7 9 5 5 ( U S 2 6 8 3 4); 1 700533941-3941 (US 86558); 503089421-9433 ( US 86573); 2078348038-8038 (U S 86906); 70 05 33 92 1- 39 21 (U S 88 56 5) ; 30 05 43 35 5- 33 56 (U S 88 50 6). Whil e the c ite d e xhibi ts a re to n m i n gs i n t h e 1 9 9 0 s , m an y o t h er e x h i b i t s ci t ed t h ro u gh o u t t h es e F i n d i t gs p er t ai n t o m ee t i n gs ee betwee n the 1950s and 2000. s and De Ag ere usu a ll y tr a n s mi tte d in advanc e of the 366. endas w fenda nts ag ree d, meeting throug espondenc e, which of their industry h corr p re sentatives would and should a ttend. re 2023244315-4315 (US 86585); 2023244363-4363 (US 86586); 2028454705-4705 (U S 2 2852); 2028360079-0079 (US 86587); 2023897308-7308 ( US 37062); 2024 1 0 6 30-0631 (US 22868); 2 US 86589); 700533917-3917 (U S 86590); 2051810327-0327 (US 86588); 2065260325-0325 ( US 87574); 30054395 4-3954 (US 87575); 2065260328-0328 (US 66825); 300543980-3980 ( -2232 (US 88507); 300543968-3968 (US 67755); 300543357-3358 (US 87576); 300512229 (US 88508); 2025495656-5656 (US 300543811-3813 2078742951-2951 (U S 27724); 88509); 2 0 7 8 7 4 2 9 5 2 - 2 9 5 2 ( U S 2 7 7 2 5 ) ; 2 0 7 8 7 4 2 9 5 4 - 2 9 5 4 ( U S 2 7 7 2 7 ) ; 2 0 7 8 7 4 2 9 5 5 - 2 9 5 5 ( U S 2 7728); 300543817-3817 (US 88513); 2502250184-0185 (US 45981); 2047315966-5966 ( 8 5 1 2 ); US 8 2065260344-0344 (US 88514); 2072424257-4257 (US 88516); 2072424213-4214A (US 88517); 2046546145-6145 (US 88524); 2072417268-7269 (US 88528); 321569333-9336 (US 88536); see ckie WD, 101:13-104:21, 127:3-140:3. also Bla -171-

202 s, 36 ny ins ta nc e s, me e tin g pa rt ic ipa nts su mma ri zed the su bs ta nc e of the me e tin g n ma I 7. orded the of the discussions, and identified the company repr esenta t i v es in attendanc e. rec nature 8 US 86599); 507974116-4116 (US 51286); 0 5079731 -3109 (US 86598); 536202400-2404 ( 86601); 2051809368-9369 (US 86603); S 86600); 2023897315-7318 (US 2025493306A-3307 (U 2596 at 2594 (US 22926); 517002090-2091 2028363540-3549 at 3541 (U S 86604); 2028372583- 3 0 0 543979-3979 (US 87578); 300545676-5680 ( US (US 66527); 300512244-2245 (U S 67752); S 87581); 300543 4 4 0 - 3 4 5 4 ( U S 8 7 5 8 2 ) ; 3 0 0 5 4 4 202-4208 (US 87583); 87579); 300545701-5704 (U 9 2047315 -5 978 (US 88636); 2078742947-2948 (U S 27721); 2078742962-2963 (US 45192); 7 8 6 (US 88545); 300543940-3942 (U S 88546); see 3 6 2078742949-2949 (US 27722); 300543360-3 also Bla ckie WD, 104:22-113:20; 128:7-132:18. endants used inter national meeting s to identify and c o 368. rd inate the r espec tive Def o of t he many international org anizations affiliated with the tobac co industry such as responsibilities I nte rn a tio na l E TS M a na g e me nt C omm itt e e (“ I EM C” ), Con fe de ra tio n o f E ur op e a n Co mmu nit y the d (“ a re tte Ma nu fa c tur e rs L imi te TA CEC CM” ), Cig C, I NF OT AB , an d o the rs . Sc or e s o f d oc ume nts demonstrate the sophisticated planning as well as t he division of labor, be tween and coordination, 4:2 ind tr y ’s int e rn a tio na l org a niza tio ns . B la c kie WD, 10 the 3- 10 us 1, 10 4:2 2- 11 3:2 0. To c ite jus t 1:1 one example of a p o n s i llocation of res i lities, W . David Rowland of Rothman’s I nterna tional b summarized the “end product” of a J uly 25, 1995 I EMC me eting by stating: “Howe ver, it w as g e a lly re so lve d: I EMC wi ll de ve lop the me ssa ntu e s ( g lob a lly ), CEC CM w ill de liv e r t he se ve messag es (in Europe ).” 900006204- 6204 (US 88482). A) 36 Un ite d St a t e s S umm a ry Exhi bit 17 36 1 ( 9. su mma ri zes a va st n umb e r o f D e fe nd a nts ’ hout memoranda , ag endas, a nd meeting minutes, all used to coordinate Def endants’ me eting s throug -172-

203 ing the d. As thi s Summa ry Exhi bit de mon str a te s, hig h- le ve l de c isi on -m a ke rs , in c lud rl c or po ra te wo rs, leg l, and experienc ed public re lations a n d s ci entific pe rsonnel, attende d office al counse u international mee t is clear f rom the fr eq tings. I en cy with which the name s of the Def endants' llo wi ng ind ivi du a ls a pp e a r i n th e Sum ma ry Exhi bit tha t th e y e a c h p lay ed a cen tr a l r ole in fo ting De coordina orts and ensur ing tha t a un i t ed fr ont was deve loped and f ollowed on fenda nts’ eff lackie, a i s u es: Sharon B s BA T scientist; J ohn Rupp, Covington & B urling smoking a nd health tto rn e y ; Ch a rl e s G re e n, RJR Pri nc ipa l Scie nti st; He lmu t Re if , Pr inc ipa l Sc ie nti st a t a Phi lip Mo rr is a Carchma and member AR Boa rd of Dir ector s; Richard of CI n, Phili p Morris Dire ctor of subsidiary I ie nti fi c Af fa ir s; J. Ke nd ri c k Wel ls , I I Sc B & W Ge ne ra l Co un se l; a nd Chr ist op he r P ro c tor , B AT Co Hea d of Scientific & R ulatory Affa irs at C hadbourne & Parke in United S tates between 1989 a nd eg US 86598); 507974116-4116 (US 51286); 1993. 401033458-3463 (US 85530); 507973108-3109 ( 9 6 3 (US 45192); 2023053733-3733 (U S 86513); 507782317-2318 (US 20788); 2078742962- 2 3 1 5 9 78-5978 (US 88636); 2023897315-7318 (US 86601); 2072424257-4257 ( US 88516); 2047 S 20788); 202502102-2134 (US 20346); 506617595-7596 (US 20760); 507782317-2318 (U 681000290-0293 (US 21015); 2024270524-0527 ( US 75083); 50534717 2-7174 (US 20739); US 21015); 321569333-9336 (US 88536). 2024210630-0631 (US 22868); 681000290-0293 ( tio 0. fe nd a 37 us e d th e ir ma ny int e rn a De na l me e tin g s a s o pp or tun iti e s to me e t, nts c oo rd ina te a nd c oo pe ra te in i de nti fy ing “ thr e a ts” to t he ind us tr y a nd to d e ve lop re sp on se s to the se n B pe e ive d “ thr e a ts” a s th e y e vo lve d o ve r t ime . F or e xamp le , Sh a ro rc la c kie , Joh n Ru pp , M a tt Be Winokur, J ick Wells, Chadbourne & Parke a ttorney Tho m as . Kendr zanson, and Christopher Proctor met on seve ral oc casions to discuss the ac tivity of EPA and I ARC, including the status and a) timing of the impending EPA risk assessment (discusse d at Section V(G )(2) (¶¶ 3340-3344), infr -173-

204 and I ARC study at Section V(G) (2)( ¶3347), infra) and De fenda nts' pote ntial responses (discussed response ilarly NFO TAB to prepa re a endants used I to the perc eived thre ats to the to. Sim , Def there posed by the forthc oming I ARC report. 2 0 2 1 5 9 5753-5910 at 5769, 5897, 5903 (U tobacc o industry S 8 5 7 8 ); 3 0 0 5 4 7 9 5 4 -3954 (US 87575); 2065260328-0328 ( US 66825); 85541); 300543979-3979 (US 3 lackie WD, 94:6-95:5; Bla ckie WD, 143:18-144:4. 2072417681-7682 (US 89132); B 1. De fe nd a nts c los e ly tr a c ke d re g ula tor y “ thr e a ts” to the ind us tr y in the Un ite d St a te s. 37 tin or le , th e min ute s o f a n A ug us t 26 , 1 99 6 CE CCM m e e xamp g in A mst e rd a m r e a d: e F ational Deve lopments. USA. Pr es i d ent Clinton has taken the [N] put tobacc o under F DA jurisdiction. This decision will be decision to ed by are tte manufacturer s. Since this decision has the cig challeng iv ate d th e de ba te on c n a dr e react nd smo kin g , th e Cha ir ma n w ill hil ra i s e t h e i s s u es aga i n at t h e n ex t Bo ar d m ee t i n g. 800123779-3782 at 3781 (U S 89137). I COSI orga n i z at ions that affor ded De fenda nts an opportunity to meet 372. , one of the the “threat” to , expli rec og nized the international nature of citly Def endants’ busine ss. An reg ularly ri l 19 79 I CO Ap do c ume nt n ote d: SI The proble s and attac ks proposing restric tions of smoking and m ial activities like adve m merc normal rtising a nd publicity have co highly international. . . . No one industry in one country nor become any one compa ny can w ag e and w in the battle ag ains t t h i s s o rt of org anised world-wide attack. . . The whole I ndustry , companies a nd . Trade s o ci ati ons alike must unite with common targ ets and As c omm on a pp ro a c he s. 1003717317-7330 at 7318 (U inal). S 86518) (emphasis in orig 373. The e x tent to which Def endants’ f ar- rea ching cooper ative interna tional conduct af fec ted United States’ inter ests is demonstrated by the following : meeting s were held on United , Sta te s so il; repre se nta tiv e s o f U nit e d St a te s c omp a nie s a nd or g a niza tio ns , in c lud ing De fe nd a nts -174-

205 a tte d me e tin g s o f t he c oo pe ra tin g or g a niza tio ns bo th i n th e Un ite d St a te s a nd a br oa d; a t th e se nd e ensive c s ext s g iven to the impact of U nited States liti g ation on overseas meeting onsideration wa s well as the impac n as deve lopment upon liti gat i o n i o companies, a t he United tobacc t of overse industry press coordination the Unit ed S tates t obacc o with , including D efe ndants, was States; and ex and org anized. For instance, in 1973, the Tobac co I nstitut e’s Commi ttee o f C ounsel planned a c se d e xpa nd ing the To bacco I nstitu te ’s c e ntr a l r ole in t he En te rp ri se to o ff sh or e us c tiv iti e s, dis ombating f n anti-cig are tte activity . The purpose of expanding the Tobac co including c oreig nstitut e’s r ole was to pre I De fe n d ants ' position on sm oking a nd health abr oad and pr event serve erosion of public industry positions t hat had been adopted and publicized in the Unit ed S tates by the actions of non- domestic companie s. t is prefe rable stic industry to act to gether to combat I for the dome t ctivity nies ign a ct. On the subjec than for individual compa fore to a d health the domestic industry has ac ted in conce rt of smoking an h the I nstitut throug s it is l eg ally permitted to do and e in the past, a presumably continue to do. Thus, the policy with respec t intends to d anti-cig tte activity abroa to combating would be but an e x tension are o f t h e d o m e s t i c p o l i c y. 5024293 6 -9 3 7 3 (US 29556); TI 16740660-0663 (US 72403); 2501029891-9901 ( US 20557); 9 04962210-2211 (US 67250); see S 86541). TI also 1002610069-0069 (U Additional examples of the nexus between Defenda nts’ international org anizations 374. and the United States inc cembe r 1978 memora ndum asserti ng that the ef fec tiveness of lude a De I COSI require d coordina tion with and input from the Tobac co I nstitut e and Shook, Ha rdy & B acon, 2501018326-8327 (US 21505); a September 1983 I NFO TAB meeting , held in Washington, D.C., conce US 25366); “[h] ow to use a toba cco ne twork-U.S. hea ring s,” 2501021486-1489 ( rning nts I NF OT AB ’s 19 91 re te nti on of L ov e ll, Whit e & Du rr a nt to pr ov ide le g a l c le a ra nc e fo r a ll d oc ume -175-

206 v r t e d t o s m o k i n g a n d h e a l t h , a n d o f C h a d b o u r n e & P a r k e t o r e a i e w t h e d o c u m e n t s w i t h a n e ye l e king sur considera tion is given to the leg al position in t he United Stat es,” toward ma e that “due t anuar 1993 CECC J m ee y i ng in Bonn, Ge rmany , considering 2023237649-7650 (US 87025); a M port on risk assessment of E TS” and “[r]eview of the published literature on smoking the “E.P.A. re k perf and wor pare d b y Co vington & Bur ling,” 300543360-3366 (US 88545); a Fe bruar y ormanc e pre d conce ARC Action, scheduled to “ [r] eview sta tus of st u I y re l ease . . . 1997 meeting rning xpe c ta tio ns re: ti mi ng , r isk , n umb e r, U. S. v s. Eu ro pe a n r e le a se ” a nd “ U. S.- ba se d Sc ie nti fi c e T es m en t s eam ( on all in event of publica tion in U.S.-based journal),” 2072417268-7269 (US Ass tional Counsel May 1997 I nterna held Meeting , 88528); and a in N ew Yor k, reg arding the “[i] mpact a of g a tio n re so lut ion dis c us sio ns on oth e r c ou ntr ie s, ” a s we ll a s B ri tis h a nd Au str iti lia n ma tte rs , US l 321569333-9336 (US 88536). e 5. AT Co p a rt ic ipa te d in man y ind us tr y 37 B tin g s r e la te d to ET S iss ue s, a s sh ow n in me US 18325, a demonstrative exhibi t show ing a sampling of the many meeting s that included direc t con t t with one or more repr esenta tives of B ATCo. 300543979-3979 (US 87578); 517002090- ac 66527); 300512229-2232 (U 2091 (US S 88507); 507974116-4116 (US 51286); 300543968-3968 (US 67755); 300545701-5704 (US 87581); 2025495795-5795 (US 26848); 503089421-9433 (US S 86588); 2065260328-0328 (US 66825); 321569 3 3 3 86573); 2051810327-0327 (U 336 (US -9 88536). 2. TMSC – Tobacco Manuf acture rs' Standi ng Com m ittee 376. On Fe bruar y 12, 195 4 , t h e British Minis ter of H ealth made a stateme nt before the e Ho e of Pa rl ia me nt r e g a rd ing th e rep or t of a sp us c ia l c omm itt e e a pp oin te d b y the B ri tis h H e a lth lationship between Ministry sug g esting that the statistical evidenc e pointed to a possible causal re -176-

207 smoking a nd lung c Br itish tobac co manuf actur ers in the United K ingdom a pproac hed ance r. The sp Min e r of He a lth a nd , on his a dv ic e , a g re e d to do na te £2 50 00 , to be ist re a d o ve r s e ve n y e a rs , the ,0 l Resear for resea rch into smoking and lung canc er. B randt WD, 76:1-12; to the Medica ch Council J S 20270); 321310317-0342 (JD 031027); (no bates) ( D 011382). 110070785-0842 at 0788 (U n Marc h 1954, J ohn 377. Hill & Knowlton, TI RC’s public relations counsel, a nd I Hill of a n Ca mpb ell -J oh nson , th e L on do n a sso c ia te of Hi ll & Kn ow lto n, me t w ith D. M. Op pe nh e im, Al TCo Chairman; Robert Sinclair, I BA irman; and E.P. Par t ri d g e, I mperial mperial Toba cco Cha y rect or a nd Se c re ta ry , to dis bacco us s th e ne wl Di -f or me d T I RC a nd a po ssi ble re la tio ns hip To c tw e e n T I RC a nd the tob a c c o ma nu fa c tur e rs in t he Un ite d K ing do m. H ill ou tli ne d p ro po se d p la ns , be the TI esponsibiliti TI RC, the TI RC SAB, and es for RC Resear ch Dire ctor, policies, functions, and r pu nd sh ow e d the g ro up pr oo fs of the a bo ut- to- be d bli sh e a wh ite pa pe r ( de ta ile d d isc us sio n o f H ill & K nowlton/TI at Section I I I (B ), supra) . The B ritish ex ecutives of fer ed sug g estions RC white paper the r ha ng e s to the wh ite pa pe r be c a us e fo [q]ui te na tur a lly c B ri tis h To ba c c o g ro up is vi tally “ interested in wha ause the repe rcussions of wha t happens t we do bec United States will affe ct in the Gr e a t B ri ta in a nd vic e ve rs a .” Ti mot hy Ha rt ne tt, Pr e sid e nt o f B & W, a nd oth e r m e mbe rs of the TI RC Boa rd “ha to discuss with [ the B ATCo and I mperial Toba cco e x ecutives] the d asked [Hill] ro ssi ity of so me fo rm of lia iso n b e tw po e n th e tw o g bil up s” a nd to s ug g e st e that this could b e wo rk ed through Hill & Knowlton, I nc. and our L ondon Associate Campbell-J ohnson, or in any other wa y they might sug est. The r eac tion to the idea of liaison was most fa vourable . g TL T0 9 0 0 1 5 9 -0 1 6 1 (U S 8 7 7 2 0 ). T t as liaison e a rr an gem en t b y wh i ch C am p b el l -J o h n s o n wo u ld “ac h h it desired throug h which the British industry could clea r informa tion reg arding developments whic -177-

208 to communicate to TI RC” was conf Timothy Har tnett when he was in L ondon later in the irmed by T0902041-2064 at 2060 ( US 88360). spring of 1954. TL anding une 1956, the Toba nufac turers' 378. t cco Ma Commi ttee (“ TMSC”) was n J I S TCo and other U nited King dom tobacco ma nufac turers, g iving formed by BA tion in research roup of opera formal status to the co- of the g rs who tion of £250,000 to the cture manufa in 1954 made a dona ch Council for inve stiga tion into t he ca uses of lung Medica l Resear er. canc ta te d p ur ts s se wa s I po ssi st res earch int o q ue sti on s c on c e rn e d w ith the re la tio ns hip to a n s m o k ing a nd health, to kee p in touch with scientists and betwee s w o r k in g o n th is s u b je c t i n th e U n it e d K in g d o m a n d a b r oad, other ormation ava k ers a nd the ilable to scientific wor and to make inf public. fre y F. Todd was appointed Direc tor of TMSC. Alan Campbell-J ohnson, Hill & Knowlton’s Geof public rela ondon associate , was appointed C. TSMC tions consultant to TMS L occupie d a position in the United King dom analog RC in t h e Un ited States. 110070785-0842 ous to the position of TI 20270); T0900822-0825 (87725) ; (no bates) (JD 011382); Read TT, 3/21/05, at 0788-0789 (US TL 16327:25-16328:14. 9. As of Au g us t 31, 195 9, the me 37 rs of TM SC we re An tho ny Mc Cor mic k an d D .M . mbe O p p e n h e i m o f B A T C o ; A l e xa n d e r H . M a xw e l l ; E . R . A d l e r o f Ca rr e r a s ; R . S . W . C l a r k a n d E . J. o Partridg cco; E.J. Fo o rd mperial Toba f Ga llahers; P.A.G. Phillips of Godfr ey Phill ips, L td.; e of I J . Wallington of Arda th Tobacc o Co., L td.; and F.H. Wrig ht of J . Wix & Sons, L td. TMSC also had rs of the vari a Te l Subcommit tee whic h was c omprised of membe chnica o u s UK tobacco S 47043). manufa cture rs. (no ba tes) (U -178-

209 te 38 e 19 57 , th e Me dic a l Re se a rc h Co un c il i n E ng la nd is su ed a sta n Jun me nt, I 0. by a statement from the Minister of He alth, condemning tobacc o as a ma jor ca use of supplemented local hea r and c or a pr og ram by alling f lth authorities and their educa tion departments that lung c ance o u l d i n f o r m t h e g e n e r a l p u b l i c o f t h e r i s k s o f s m o k i n g . C T R - T I R C - M I N 0 0 0 0 0 1 - 0 2 5 2 a t 0 1 3 0 ( JD w 093292). 38 SC me mbe r c omp a nie s in the Un ite d K ing do m a nd TI TM be r co mpa nie s in 1. RC mem dinated their e ts to promote the open question ffor the rela tionship between the United States coor on kin g a nd dis e a se a nd to de ny c a us a tio n. Af te r T imo thy Ha rt ne tt, TI RC Ch a ir ma n, tr a ve le d to smo land to meet t h TMSC m ember s in J une 1956, Campbell-Johnson wrote to J ohn Hill that wi Eng tnett’s “pre sence at t hat par ticular moment should do much mater ially to help to ge t relations Har ood n TI ommitt ee [TMSC] off to a g RC and the new c start.” Campbe ll-J ohnson ended the betwee e tte r b y c ou ns lin le g tha t: [C ]l ht is needed on the rel ati onship betwee n TI RC and ose thoug y SC a pu bli c re la tio ns imp lic a tio ns of thi s a re c le a rl the le ft to TM nd s et ion to consider. While it is fully appre ciated tha t the our di cr ct, and should appe ar to be entirely separ ate, ther e opera tions are, in fa rly will be occasions when pronounce ments emana ting f rom one clea m o o th e r s id e o f th e A tl a n ti c , f r o o u r r e s p e c ti v e a u th o r it ie s , c a n be r us e fu lly pr omo te d a t bo th e nd s. Th e re no w e xists a po te nti a l in te re st in T I ic ta on thi s si de of the At lan ti c an d p e rh a ps in T MSC RC d our side. statements on y T0900822-0825 (U S 87725). TL TI 2. ute s o f a No ve mbe r 1 38 19 60 Min RC me e tin g sta te , in pa rt : 5, A close w orking rela tionship i s maintained with the Tobacco in Manufa Standing Com mittee rs' Eng land, which or g anization cture pa ra lle ls t he TI RC. Al tho ug h met ho ds of op e ra tio n ar e c on sid e ra bly differ ent, our cooper ation, both in rese arc h and public re lations, has valuable. proven ve ry -179-

210 CTR-TI RC-MI D 093292). N000001-0252 a t 0183 (J esenta ntat es from TMSC, which included B ATCo repr v tives, came to the Represe i 383. d St a te s in 19 58 a nd me t w ith re presen ta tiv e s f ro m T I RC, Am e ri c a n, L ig Un e tt, a nd Phi lip ite g others. Clare ittle, the first scientifi c d i rec tor of TI RC, was among the Morris, among nce Cook L tives and titled “Report on wed. A me o ra ervie dum, drafte d by BA T repr esenta m individuals int n .A. and Cana da, 17th April-12th May 1958,” demonstra ted that althoug h “D efendant Visit to U.S cture rs continued to asse rt publicly that there was no proof that cig are tte smoking c aused a ny manufa ease dis “did not acc ord with the private views of their own ,” these public positions clearly is W US 21135); Harr D, 99:15-100:9. scientists.” 105408490-8499 at 8492 ( odd, Direc t o r o f TMS C, attended a 384. I RC S AB meeting s in the G.F. T number of T N-SAB 000001-1061 at 0187, 0190, 0206, 0207, 0230 (JD 090960). 1960s. CTRMI 5. I n 1 96 3, TM SC de c ide rc c on du c t it s o wn smo kin g a nd he a lth re se a 38 h p ro g ra m. d to To ref that fac t, T MSC was r ename lect co Resea rch Council in J anuar y , but retaine d the d the Tobac same purpose and mission as its predec essor. 321310317-0342 ( J D 031027); Read T T, 3/2 1/05, 16327:25-16328:14. 3. C – Toba c c o R e se ar c h Co unc il TR the Tobac When TMSC ed it s name to chang co Resea rch Council (“ TRC”) in 1963, 386. c on tin ue d to be fu nd e d b y B TRC Co a nd oth e r U nit e d K ing do m to ba c c o ma nu fa c tur e rs . T RC AT built the Har rog ate L abs in Eng land. B ATCo sat on the boar d at the Ha rrog ate L abora tories and wa s te on of the e nti tie s th a t di re c te d th e re se a rc h a t H a rr og a e . Re se a rc h w a s c on du cte d at th e TRC labora tories in Har rog ate f rom 1962 throug h 1974, when Ha rrog ate was sold. I ts projects included is mou se sk in p a int ing , in ha la tio n s tud ie s, oth e r b iol og ic a l a ssa y s, a nd nic oti ne ph a rm a c olo g y . H a rr -180-

211 TT, 10/ 18/04, field TT, 11/29/04, 7204:14-19; 321310317-0342 (JD 031027); 2752:11-14; Henning Read TT, 3/21/05, 16329:5-9. An Octobe t S ir Ph il ip J. Roge rs, TRC Chairman, r 1964 TRC trip report c 387. onfirmed tha ited the United States and me F. Todd, Direc tor, had vis TRC t with repre sentatives of offr and Ge ey ts RJR , A me r ic a n , B Def W, Philip Morris, L igg ett, L orillard, CTR, and the Toba cco I nstitut e, endan & ll as Hill & Knowlton executives and a Edwin J ac o b , i n a ser ies of mee tings. The ttorney as we h at Har rs' of TR C’s bio-assay rese arc main criticism rog ate wa s that the cture United States manufa arc h was a n “implied admission that ciga rettes a re ha rmful.” B& W considered TRC’s re sear ch rese e lic pa rt ic ul arly pr e jud ic ia l to the m th ro ug h th “ ir a sso c ia tio n w ith B .A .T .” Th e TRC y po esenta tives ag ree d that Har rog ate bio-a ssay rese arc h might be seen as an im plied admission, but repr int d o ut t ha t e po onstantly bore in mind the possible r eper cussions of its actions TRC c . rese n i S . A. and that T.R.C arc h was ba sed on the ne eds of the U. sit ua tio n in the U. K. , in c lud ing a ne e d f ro m the le g a l po int of vie w t o g ive no rounds for a n acc usation of neg lige nce a g ainst the g nu c tur e rs . ma fa meeting s with Philip Morris, “[t] he informa l ag ree ment betwee n TRC members not At one of the to make hea lth claims was ex 1003119099-9135 at 9106, 9108, 9115 (US 20152); Read plained.” TT, 3/21/05, 16335:11-14. 388. Corresponde rom Addison Yea man, B &W Gene ral Counsel, t o Anthony D. nce f McCormick, B ATCo’s company secr etar y , in Fe bruar y 1966 soug ht to arr ang e for “a c loser liaison a be e e n H a rr og a te , H a mbu rg a nd ou r C .T .R. ” I t no te d th a t “ the c ig tw re tte c omp a nie s in the U. S. i have g esponsib i l i t y iven the prime r n the hea lth area to their lawy ers” and sug g ested that the ld la wy e rs , w ho dir e c t “ da y -b y -d a y de c isi on a nd po li cy dir e c tio ns . . . in the fi rs t in sta nc e ” c ou -181-

212 fa te thi s c omm un ic a tio n, in l ie u o f t he “ e xec uti ve he a ds ” of ta the re sp e c tiv e tob a c c o c omp a nie s. ili c noted that Ed F of t he Ex ecutive Committee of the T inch, as Chairman o I nstitut e and The letter obacc e sid e nt o f B & W, c ou ld h e a d th e g ro up a nd tha t Ed J a c ob of Jac ob & Me din g e r, c ou ns e l to CTR , Pr s he “is on re should be included a RJ R a s well as B& W.” Y eama n indicated in his letter tainer from rr wa tr ou ble d” tha t a pr t he pe c tiv e Ha s “ og a te re se a rc h r e po rt mig ht tha os de a sig nificant c ausal relation betwee n the use of toba cco a nd conce er of canc ] e would hope to be aff orded the the lung . . . . [W of with the people on y our side conc erning the opportunity consulting Har rog ate’ s work is pres en t ed , admittedly with the hope of way po sla ng ” the re nti rt . “ d TT, 3/21/05, 16335:1-10, 16335:17-16336:5. 680204115-4117 (US 20990); Rea C On Fe bruar y 14, 1967, A.W.H. Stewa rt-Moore , a member of the T R ecutive E x 389. Commi ttee, sent a il D. Heg er, Executive V i ce Pre sident of Amer ican Toba cco, letter to Virg f ing him that TRC would be sending atio n o g s cientis ts to the United States in March notify a dele isc us s nic oti ne wi th sc ie nti sts de sig na te d by CTR . De sp ite the sc to d nti fi c na tur e of the me e tin g s, ie Stewart-Moor d that the meetings would include “the lawy ers f rom the major Ame rica n e indicate o manufa rs.” 0060293378- 3378 (US 85326). tobacc cture TA C - - T oba 4. c o A dvi so r y C ounc il c 390. The TRC was re -name d the Tobac co Advisory Council (“TAC”) on Aug us t 3 1 , 1978. 10 98 38 1- 03 83 a t 03 83 (U S 20 26 1) ; Read TT, 3/22/05, 16354:12-20, 16407:6-11. 40 ic 1. ri ou s me mbe rs 39 the En te rp ri se pa rt Va ipa te d in the TA C, inc lud ing B AT Co, RJR, of and Phili p Morris, J ohn Rupp of Covington & Bur ling and Don Hoel of Shook, Ha rdy & Ba con. bates) The TAC meeting s occur red in Ma y of 1999. (no last (US 17361); 505 3 4 7 1 7 2 -7 1 7 4 (US ield TT, 11/29/04, 20739); 508226799-6804 (US 75279); 2025025510-5512 (US 37221); He nningf -182-

213 7277:18-23; see a lso 300545676-5680 (US 87579); 3 5 4 3360-3366 (US 88545); 800123779-3782 0 0 (US 89137). Alex Marine, B in note s prepa red on O ctober 3, 1983 of a r ece nt TAC ATCO 392. counsel, lth g Smo tin g a nd He a on , s ta te d th a t: e Me kin AT ’s vie w, the big g e st sin g le thr e a t f a c [I the ind us tr y , in bo th ]n B ing o n tr y a n d e ls e w h e r e , is th u is s u e o f s mo k in g a n d h e alth. this c e e c a u s e o f t h i s , w e b e l i e v e t h a t t h e i n d u s t r y m u s t b e u n i t e d in its B omp ive l st a nd on thi s is su e a nd tha t no mem ber c a a ny sh ou ld rs un x ng and health issue ploit the smoki own commer cial seek to e for its g e. . . . The industry is acutely awa re of t h e p o s s ible impact advanta on business of the Product L iability our around the world, and laws in particular those in the U.S.A. . . . I need not r emind y ou that over the past 20 y ear s, no less than 100 civil suits in the U.S.A. have be en succe ss ly defe nded by our I ndustry . Continuous s ucce ss has not ful On the contr ary larg ely been a chieve d , it has very been coincidental. ordinated a nd consistently applied self-discipline on the a co- by and hea lth within t he I ndustry . subject of smoking d TT, 3/22/05, 16406:24-16408:24. 301043570-3571 (US 93210); Rea At a November 16-17, 1983 meeting , the TAC member company tobacc o rese arc h 393. to tors ag direc a TAC publication, “Re view of Rese arc h Activities,” in response ree d to modify the eleve nth hour intervention by BA T lawy ers on many aspects of the g a lle y pr oo f o f t he pu bli c a tio n [be c a us e of ] the e xtre me s e ns iti vit y of many f the issues, and of the vital need to be safe rathe r than o o r y. s r rticipants agree d t o The pa repla ce summar ies of the r esults of g rante es’ r esea rch - - which the re se a rc he rs ha d w ri tte n - - w ith “ muc h s ho rt e r s ta te me nts of re su lts pr e pa re d by TA C a nd a g re e d to by rante es.” 109840381- 0383 at 0383 (US 20261). the g 394. tions and ritish tobacco industry ’s re lationship with public rela TAC continued the B JR r e s e a r c h e n t i t i e s i n t h e U n i t e d S t a te s wit h r e s p e c t t o E T S i s s u e s . A F e b r u a r y 2 4 , 1 9 8 6 R -183-

214 interoff ice memor en, RJ R scientist, to hi s s u p er i or, Alan Rodg man, andum from Char les Gre the I nterna orking Commi ttee stated: conce rning tional ETS W , s been ma y for Shook, A proposal ha de to Mr. Don Hoel an attorne con and chairma n of the TI -ETS Working Committee, & dy Har Ba fo rm a l c oo pe ra tio n b e e sta bli sh e tha e tw e e n th e sc ie nti fi c t mo re d b itt e s c on c e rn e d w ith ET S. c omm e pointed out that members of the TAC wer e The memora ndum further e pa d to me e t w ith re pr e se nta tiv e s o f t he U. S. T ob a c c o I ns tit ute pr re ondon on April 8th. Mr. Hoel ha king Committee in L s ETS Wor e ste d th a t D r. To m O sd e ne of Phi lip Mo rr is a nd re I a c c omp a ny him qu eeting t is ex pecte d that this . I be the f irst of two or thre e to this m will ee t i n gs p er y ea r w h er e t h e v ar i o u s co m m i t t ee s wi l l ex ch an ge m ie sc c inf or ma tio n a nd c oo rd ina te pr op os e d s tud ie s. nti fi e e qu e ste d p e rm iss e fr om R JR to a tte nd the me e tin g s as n r “th e valu e of ou r p a rt ic ipa tio n in Gr ion tings should be obvious.” H andwr itten comments on the ty ped memora ndum rea d: these mee e it h e r le g a l n o r I h a v e a p r o b le m w it h th is . I n f a c t, Mary Bob: N th k s it ’ s a g r e a t id e a . M a y w e in h a v e y Ward u r a p p r o v a l for Dr . o Gre en to par ticipate? -Alan 2/24/86; Approve d! B ob 2/26/86. 50 81 92 98 2-2 98 2 (U S 86 53 3). I n 1 98 6, Mar y W ard s er v e d a s A ss is tan t C ou ns el i n R J R’ s R &D Depa rtment. Ward WD, 2:13-19. m 9 . O n A p r i l 8 , 1 9 8 6 , a “ j o i n t m e e t i n g o f t h e E T S a d v i s o r y g r o u p s f r 3 5 W e s t G e r m a n y, o the ite d K ing do m, a nd the Un ite d St a te s a s w e ll a s th e I NF OT AB B Un rd of Di re c tor s” wa s h e ld oa at TAC’s L to discuss “scientific a nd publi c r ondon office la tions proble ms related to e nvironmental e to b a c c o s mo k e . ” T h e me e ti n g in c lu d e d r e p r e s e n ta ti v e s f r o m D e f e n d a n ts Ph il ip M o r r is, B ATCo, Tobac RJ I nstitut e, as well as “the entire co co Advisory Resear ch Commi ttee,” a nd R, and the Tobac the l aw firm o f Sh o o k , H a r d y & B a c o n . T h e a tt e n d e e s d is c u s s e d v a r io u s r e s e a r c h p r o je c ts w h ic h ms c ou ld b e us e d to a dd re ss p ro po se d r e g ula tio ns wi th re sp e c t to ET S, inc lud ing pr oje c ts a nd pr og ra -184-

215 sponsored by the Tobacco I the “coopera tive [Unit ed States] indust ry study to measure nstitut e and nts.” 505347172-7174 at 7172- ide, particula te matter in r estaura and 7173 car bon monox nicotine, ard WD, 70:21-71:16. S 22828); W (US 20739); 2022932502-2506 (U ntatives of TAC also met with the Tobac co I nstitut e, Ge rmany ’s Ver band der 396. Represe rettenindustrie ( “Ve ), and Japan Tobac co I nterna tional in Washington, D.C. on Marc h Ciga rband” ss for increa addre sed cooperation among the participating countries a nd on 18-19, 1987, to the need tional level. The me was de signe d to inform participa nts a bout the curr ent status of an interna eting sear ch, public af fairs, a nd political nua nces in e ach of the countries. The Ver band ETS scientific re the German equivalent is nstitut e. Philip Morris I nterna tional, BATCo, a nd other of the Toba cco I 00682162-2163 (US 21240); tte manufa are re a ffiliated with the Ve rband. TI ctur cig ers a ish TT, 1/26/05, 11163:21-11164:4; Ogden T T, 3/16/05, 2501458142-8148 (US 27951); Parr 15831:19-22. 9 7 . A n A p r il 6 , 1 9 8 7 RJR I n te r o f f ic e M e mo r a n d u m f r o m C h a r le s G r e e n to Alan 3 ua g ma n, a nd c op ie d to sev e ra l indi vid Ma ls, inc lud ing Rod ry War d, dis c us se d th e joi nt m e e tin g he ld in Washin gt n , D.C. in March 1987. This Apr il 1987 memorandum descr ibed the mee ting o I ndustry h on ETS , ” “Non- arc ndustry Sponsored Resea rch,” discussions on “I -Sponsored Rese nt Publi c Af fairs/Political Concerns,” and “F uture Rese arc h Nee ds” and state “Curre d: The fir the s econd day included pre sentations by Trevor st session of tzu, B , Ger rer , Y. Shimi King ill Kloepf er, and John R upp. hardt Sche T h e r e w e r e ma n y s im il a r it ie s a mo n g a ll th e p r e s e n ta ti o n s a n d the need for cooper ation betwee n scientists a nd public re lations close . profe dly . R. J peate Rey nolds was pra ised ssionals was expressed re by se ve ra l sp e a ke rs a s an exa mpl e of a n e ff e c tiv e re se a rc h a nd pu bli c rela tions relationship. t: Th is m e mor a nd um f ur the r s ta te d th a -185-

216 Dr . Sp rs sta te d th a t th e I nd us tr y ha s o nly a sh or t ti me (5 y e a rs ) t o e a ctory orous denial is not a satisfa solve the ETS problem. Vig y . All ag ree d that the most significa nt ETS problem nsive strateg defe g ndustry is the result of epide miologica l studies which in the I fac low risk rela ted to E TS e indicate a posure. More industry sponsored x arc h is neede d to addre ss this i ssue. . . . All of the a ttendees le ft rese ith a better a pprec iation of t h e i n t erna tional ETS this meeting w ted ac nd ustry ’s tion is needed to improve the I problem. Concer position. ro po se d f oll ow -u p me e tin g “ wi th t he pu rp os e of g e ne ra ti ng a wor ld -w ide ET S a c tio n p la n” is A p descr S 75279); W ard WD, 71:17-72:6, 72:10-73:17. ibed. 508226799-6804 (U further Sharon B lackie, f ormerly of B ATCo and B &W, and one of the major or g anizers of 398. endants’ inter national initiatives, ackno wl edged tha t she collabora ted with repr esenta tives the Def in he r to b a c c o c o mp a n ie s io f a s h of ot n in g c o n s is te n t E T S p u b li c s ta te me n ts . D e f e n d a n ts w ho cooper ated in this way AT, Philip Morris and RJ R. Blac kie WD, 17:3-14. included B Def endants c d revised ve rsions of TAC publ ications. Acc ording to a Marc h 399. irculate Phili p Morris pl anned to distribute the TAC publ ication “Toba cco 10, 1987 internal memora ndum, Smoker” to industrial organ i z Smoke and the Non- i ons on behalf of the Enterpr ise once the at document had me l of industry attorney s. 2501009269-9269 (US 27917). t with the approva rker Acc t 400. ch 17, 1987 letter to Hans Ve ording k of I NFO TAB , Wil liam o a Mar Kloepfe r of the Tobac co I nstitut e planned to “ compar e notes on the ETS issue” with his colleag ues ith at e fo re a tte nd ing a ste e ri ng c omm itt e e me e tin g in c on ne c tio n w TAC b the Sixth Wo rl d Confere and He alth. TI 12261173-1173 (US 62338). nce on Smoking 401. I n a May 27, 1987 memorandum, Toba cco I nstitut e Vice President Will iam Kloepfe r repor ted to Samuel Chilcote, Tobacc o I nstitut e President, a bout his mee tings with TAC in L ondon. w Acc ording to Kloepfe r’s memora ndum, he g ave the TAC public rela tions commit tee a n overvie -186-

217 of To c c o I ns tit ute iss ue s a nd ma na g e me nt. Ac c or din g to K loe pf e r, TA C r e c og nize d E TS a s it s ba issue and wa nted t adapt Tobacc o I nstitut e consultant Gra y Robertson’s video for TAC’s primary o DN0012090-2091 ( 05261937-1938 (US 62213); TI US 77023). use. TI cco I nstitut e co n 402. i n u ed to s hare information on how to conf ront TAC and the Toba t ET S iss ue pu bli c a lly . On Au g us t 23 , 19 89 , Cl ive Tu rn e r, the C D e pu ty Chi e f E xec uti ve , w ro te TA to Sa cote, Toba cco I nstitut e President, r equesting an ETS publication kit prepa red by the m Chil co I e. TI 12240317-0317 (US 86537). Tobac nstitut I n J anuar y 1994, TAC chang ed it s name to the Tobacco Manuf actur 403. iation ers Assoc (“TMA cause “the name TAC did not ”) be rly ref lect the chang e of f ocus in its role to that of a clea tr a de a sso c ia tio n f or the UK c omp a nie s. ” TM A m e mbe rs inc lud e d De fe nd a nts B AT Co a nd RJR. TMA held meeting as recently as 2000, t he date of the discove ry deadline e stablished in this case. s 0342 (JD 031027); 4 U S 6 7 8 0 7 ) ; 3 2 1 1 0 3 7 6 1 - 3 7 6 1 ( U S 2 8 321103764-3771 at 376 8 6 ) ; 321310317- ( 2 (no bate s) (US 17361). ICOSI – In national Com m ittee on Smoking Issu es 5. ter Aug ust 2, 2006On Dec ember 404. h Cullm an, Executive Vice President of 3, 1976, Hug Phili telephone w ith R.A. (Tony ) Ga p Morris, talked by tt, Chai rman of I mperial Toba cco. rre Cullm an’s notes from that call indicate that Gar rett explained he had been exploring, with a number of major tobac co compa Def endants B ATCo and RJ R, as well as Rothmans nies, including nterna heads mig erma ny ), wh ether company I ht be pre pare d “to meet tional and Reemtsma (G tly to develop a de fensive smoking and hea lth strateg y , to avoid our countrie s and/or discree c omp a nie s b e ing pic s d o ff on e by on e , w ith a re su lta nt dom ino e ff e c t.” Th e ini tia l ob je c tiv e of thi ke roup would be g -187-

218 lude a to e lo p a s mo k in g a n d h e a lt h s tr a te g y w h ic h w o u ld inc v e d ag ment that no co n ce s s ions bey ond a ce rtain point voluntary ree me be lun ta uld ly ma de by the vo mbe rs [to t he ir governme nts ] wo ri nd , if fu rt he r c on c e ssi on s we re re qu ir e d b y re sp e c tiv e g ov e rn me nts , a me t th se no t be a g re e d to a nd tha t g ov e rn e nts be for c e d to tha islate. leg The propose d ag enda f or the mee ting include d Consideration of the inter national di mension to smoking and he alth. This might include suc h matters as . lopments in one . . how do deve ou ntr a ff e c t ot he rs . c y t Section eff endants' Oper ation Be rkshire” (discussed f urther a ort was ultimately Def termed “ (6)( a)( (2)) , infra) . 2025025347-5348 (US 75149); 2025025286-5286 (US 20407); V(G) US 20410). 2025025290-5291 (US 22980); 2025025347-5348 ( On Marc 405. ett of I mperial Tobacco w rote to Alexander H oltz man, h 24, 1977, R.A. Garr meeting ener bout “ Oper ation Be Associate G an upcoming al Counsel for Philip Morris, a rkshire,” betwee n the executives of c erta in tobacco c ompanies. Participants include d repr esenta tives from Def endants B ATC o , P h i l i p Morris, and RJR , as we ll as Reemstma, Rothmans I nterna tional, and I mperial Toba he purpose of the mee ting wa s to form a gro u p to develop a c ommon cco. T The group formed was international posit smoking and health is sues. on called the I nterna tional ion Commi ttee on Smoking I ssues (“I COSI ”). The resulting position paper wa s revie wed and edited by prese the law f Meding er, w hich re acob & nted RJ R, B& W, and CTR. 2025025288-5289 ( US irm of J 20408); 2025025313-5318 (U S 23741); 2025025341-53 4 3 (U S 20409); 2025025347-5348 (US 20410); 202502534 7 -5348 (US 75149); 2025025369-5369 ( US 20411); 500269225-9228 (US S 21903); 2501024103-4107 (US 20622); 202502479 7 -4 8 0 3 (US 20406); 2501020298-0308 (U -188-

219 21909); 2501024103-4107 (U S 75181); 2501024571-4575 (US 21904); 50 4 8 5 80-8591 (US 2 9 21908). The c COSI , states that its purposes and objec tives are : harte 406. r of I for tion e of views and informa forum the establishment of a exchang smoking issues (to include tobac alth) by the on co and he international ientific, and nd information in economic, sc coordina tion of data a h n i ca l t ea s . T h e ge n er al o b j ec t i v es ar e t o b ro ad en t h e k n o wl ed ge ec ar f i t s m em b er s , o f co n s u m er s , an d o f a p p ro p ri at e a u t h o ri t i es . I n l ar ge o ccomplishment of these part a ht by providing objectives will be soug de assoc nd other tobacco tra iations information to various national a as a r esourc and by pertise, da ta ana ly sis and opinion serving e of ex ts of interest to the industry and i t s p u b l ic. The on these subjec made the ener ality of this infor mation w ill be g in the dissemination of ports, arti cl form of bulletins, re , survey s, pamphlets, and other es a na log ou s me a ns . 2025048998-9014 at 8999 (U S 20412); see also 503143820-4106 a t 3909 (US 75974). 19 7. SI ’s ina ug ur a l me e tin g , h e ld i n Jun e CO 77 , a t Sh oc ke rw ic k H ou se in B ri ta in 40 I d as the be g inning of Oper serve rkshire. This meeting , which was called by BA T CEO Tony ation Be Gar s attended by repr esenta tives of the major U nited S t at es tobac co manuf actur ing rett, wa ag companies. meeting participa nts jointly The ree d to “ hold the line on admissions concer ning w hat they would admit to their individual gove rnments conc erning smoking a nd health, among other things.” Har ris TT, 10/14/04, 2576:10-24, 2577:11-18; see also 2025025295-53 0 0 (U S 75146). ar ording iles fr o m a M to notes in BATCo’s f ch 1 978 meeting in Australia, the objec tive of Acc I COSI was “ defe nsive rese arc h aimed at throw ing up a smok e s cre en and to throw doubts on hich show smoke ca smoking re in g s w ch find uses dec ease s [s ic].” 321588692-8692 (US 28544). sear 408. mber Covington, Secr etar y Gene ral of I NFO TAB , t old attendee s at the Nove Mary anization 1981 Tobac co I nstitut e College of Tobac co Knowledg e in Washing ton, D .C. tha t the org -189-

220 (first name d I and later rena med I NFO TAB ) wa s founded to per fo rm internationally the COSI that the co I nstitut e perf ormed for the dome stic industry in the United States: “F rom functions Tobac ing tse he me mbers reco gniz e d th a t th e so c ia l a c c e pta bil ity ou smo kin g , in c lud t, t the pu bli c the of s a subject on whic attention should be focuse d [si c].” 2501029891-9901 at 9896 smoking issue wa h 04962210-2210 (US 67250); B T, 10/26/04, 3846:18-22. also TI lackie T (US 20557); see COSI ’s key 409. ff i cers included the c hairmen a nd other princ ipals of the member I o omp a nie s w ho a tte nd e d th e Op e ra tio n B e rk sh ir c me e tin g : Pa tr ic k Sh e e hy , B AT Co C ha ir ma n; K it e S u a r t L o c k h a r t , B A T C o D e p u t y C h a i r m a n ; W i t l i a m H o b b s , R J R C h a i r m a n ; W i l l i a m M u r r a y, l Pr e sid e n t o f P h i l i p M o r r i s E u r o p e ; A l e xa n d e r H o l t z m a n , A s s o c i a t e G e n e r a l C o u n s e l f o r P h i lip Morris; and Andr ew Whist, Director Corpor fairs of Phili p Mo rr i s (A ustralia) L td. ate Af US 20411). 2025025341-5343 (US 20409); 2025025369-5369 ( 0. Th e r e w e r e t w o g o v e r n i n g g r ou ps of I CO SI . T he B oa rd of Go ve rn or s w a 41 e sp on sib le s r fo sta bli sh ing po lic y , in c lud e d o ne pr inc ipa l f r e m e a c h me mbe r c omp a ny , a nd met a t le a st ro a nn ua lly . T he Exe c uti ve Com mit te e wa s re sp on si bl e fo r i mpl e me nti ng the po lic ie s o f I CO SI in e those a s w h e r e d e c is io n - ma k in g p o w e r s h a d b e e n d e le g a te d to th e Co mm it te e b y th e B o a r d of ar Gover nors. 2501020298-0308 (U S 21903). 411. Represe ntatives of the pa rticipating Def endants a ttended numer ous m eeting s of roups and task f sever COSI working g rent I orce s, including the Social Acc eptability Working al diffe Gr ou p, wh ic h d e a lt w ith ET S iss ue s, the Me dic a l a nd B e ha vio ra l Re se a rc h G ro up , th e EEC Ta sk For ce, the Product L iability Task F orce , and the Swiss Refer endum Task F orce . 2501020298-0308 S 28544); 2025025295-5300 at 5295 (US 75146). (US 21903); 321588692-8692 (U -190-

221 412. I g istered a s a non-pr ofit association in Gene va, Switzerland, on COSI was re I e , 1 97 8. Th e se ve n fo un din g me mbe rs of r 1 CO SI we re De fe nd a nts B AT Co, Phi lip Mo rr is, c mbe De RJR, a s w e ll a s G a lla he rs , I mpe ri a l T ob a a c o, Re emst ma , a nd Rot hma ns I nte rn a tio na l. nd c MN257288-7303 (US 21343); 321588692-8692 (US 28544); 1003717317-7330 at 7318 ( TI US S 87411*). 86518); 301079919-9998 (U ree repr esenta tives met six times be tween J une 1977 and Fe bruar y 413. 1979, to ag I COSI “the ntals of I COSI ’s policy fundame form, org anization, financing and wor k-prog rammes.” upon , S 86518). 1003717317-7330 at 7319 (U kin 4. SI me mbe r c omp a nie s ag re e d to a c t to g e the r t o r e sp on d to smo CO g a nd he a lth I 41 es worldwide promoting the “open que stion” controv ersy and the my th of risk challeng by rch. O n October 14, 1977, Dennis Durde n, Vice Pre sident of RJ R and then- independe nt resea ir ma n o f I CO SI ’s Wor kin g Pa rt y on the Soc ia l Ac c e pta bil ity of Smo kin g , for wa rd e d a r e po rt to Cha the s I COSI reg arding the rese arc h and analy sis a ctivities that would be conduc ted by of the member y party the working p ar working . Members of l isted in the summary included re prese ntatives of t Def endants RJ R (Durde n and James Hind, RJ R Vi ce P re sident of Planning) , BA TCo (Richard e Ha o n , Pu b li c Re la ti o n s M a n a g e r ) , a n d Ph il ip M o r r is ( Jo h n T . L a n d r y , Se n io r V ic e Pr d s id e n t) . d 501472756-2794 at 2758, 2759, 2762 (U S 66342). r H 5. Ap ri l 21 , 1 97 8, P. I se nr ing dis tr ibu te d a let ter to A le 41 de On olt zma n, Phi lip xan Morris Vice nera l Counsel, and others about the I C OS President and Ge E E C Task F orce on I C o n s u m e r i s m . I s e n r i n g u r g e d c o o p e r a tio n a n d c o o r d i n a t i o n b e t w e e n P h i l i p M o r r i s a n d R JR c c e rn ing the inv olv e me nt o f t he la w f ir ms of Jac ob on & Me din g e r an d Shoo k, Ha rd y & B a c on , b oth SI of wh ic h r e pr e se nte d s e ve ra l D e fe nd a nts . Sp e c if ic a lly , I se nr ing dis c us se d the f act that the I CO -191-

222 EEC Task F orce re a n industry response to the EEC Consumer on Co nsumerism had to prepa n Consultative Com ap er “Toba cco a nd the Hea lth of the Consumer” a nd g mittee’s anti-smoki p COSI law members and their respe ctive ested that I firms work tog ether on a common appr oach sug g s. 2501025098-5099 their to the situation in Europe over the y ear exposure to the response iven , g S 86516); 2501025108-5108 (US 86517). (US 86515); 2501025100-5100 (U n advanc e of the J une 1979 F ourt h W 416. rl d Confere nce on Smoking and He alth, I o CO fo rm e d a Ta sk F or c e to “m on ito r a nd c omb a SI the sp ot t he str on g pr op a g a nd a e xpe c te d to I t on ener ated a t this C onfer ence ” which is “ sponsored by the Worl d He al t h Or g anisation and the be g , w d i s h H e a l t h A u t h o r i t i e s . ” In f u r t h e r a n c e o f t h i s e f f o r t e t h e IC O S I T a s k F o r c e m e t i n K a n s a s C i t y, S e 20-21, schedule d two task forc 1978, meeting s for e arly 1979, and anothe Missouri on November r meeting just pr ior to the confe renc e. Attende es of the K ansas City meeting included: Gwy nn Har g BA TCo; Murray Senkus of RJ R; W illiam Kloepfer of Tobac co I nstitut e; L eonar d Z ahn, rove of tions counsel for CTR; Tim Finneg ers Jacob & Meding er; Hug h Grice public rela an of CTR’s lawy TA C; a nd Do na ld H oe l of Sho ok , H a rd y & B a c of . I CO S I engage d a Sto c kh olm -b a se d p ub lic on rela tions ag ency to “monitor the Confere nce or g anizers’ a ctivities and to assist with press room a c ti v i t i e s a t t h e C o n f e r e n c e . ” A d d i t i o n a l l y , t h e T a s k F o r c e w a s c h a r g e d w i t h p r e p a r ing a po st- i confe re p o rt co v er e n g sever al matters, including “contr adictions,” “ Confere nce renc rec ommendations to gove rnments,” a n evalua tion of the possible i m p ac t of the Confe renc e, and “industry rela te to the Confere nce.” 2501015475-5480 at 5475-5476 ( US 27921); positions as they 2501015328-5331 at 5328, 5329, 5331 (U S 86519); 1003717317-7330 at 7328 (US 86518); Z ahn PD, Richardson, 12/16/98, 309:12-17 , 5 0 5 : 6-505:17, 506:6-14, 512:8-10, 517:2-518:10, 525:12- S 30846). 526:3, 537:1-538:18, 581:10-582:5; see also 680241699-1701 (U -192-

223 417. I h 1980, the Executive Commit tee of I COSI was disbande d. I nstead, the n Marc rnors c eac two named repr esenta tives of rd of Gove h member company wer e to meet onsisting of Boa one vote a ear Eac h member c ompany was to have . t the meeting s of the B oard of a y at least twice ve rn or s. Cha ir ma ns hip wa s h e ld i n r ota tio n b y e a c h me mbe r c omp a ny . W il liam D . H ob bs , Go , was Chairma Chairman of RJR ard of Gover nors betwe en 1979 and Ma rch 31, 1980. n of the B o 2501020298-0308 (US 21903). INF ter national Tobacco Inf orm 6. ation Center OTAB – In nform COSI named the I nterna tional Tobacc o I I at i on Center/Centre 418. was re nterna tional d’I nformation Du Ta bac ( “I NFO TAB ”) a nd reg istered in Ge neva, Switzerland, on I ember NFO TAB ’s 8, 1980. 504934906-4953 (US 20737); Ward TT, 11/3/04, 4950:10-12. I Dec ter, filed w i t h the Swiss Government on Nove mber 2, 1982, wa s substantially the same a s char COSI ’s cha rter. 2025048998- 9014 at 8999 (US 20412). I Th 9. ing e six f ou nd 41 me mbe rs of I NF OT AB we re Def e nd a nts B AT Co, Phi lip Mo rr is, and RJ R, as well as I cco, Reemtsma, and Rothmans I nterna tional. 504934906-4953 mperial Toba PD, United States v. Phil (US 20737); Tully ip Morris, 6/13/02, 33:7-14. Def endant B ATCo belong ed to I NFO 420. from 1981 or 1982 to a pproxi mately May TAB 1990. Proctor PD, United States v. Philip Morris, 6/12/ 02, 16:8-18. 42 1. I NF OT AB ha d th re e c a te g or ie s o f m e mbe rs hip : F ou nd ing Mem be rs , A sso c ia te a Me rs , a nd Al lie d Mem be rs . De fe nd a nts L ig g e tt an d L or ill mbe rd we re As so c ia te Me mbe rs , w hil e Def endant Toba cco I nstitut e wa s an Allied Member , as wa s Br itain’s TAC. 504934906-4953 (US if felt that its contribution 20737). L orillard later withdrew f rom participa tion in I NFO TAB beca use -193-

224 and par ticipation in the Tobacc e provide d adequa te support for I NFO TAB . Stevens WD, o I nstitut 4:3-13; 85174260-4260 (US 56011). .O. Ely h Cullm an of Phili p Morris, R.L Hug of B ATCo, Andre w 422. I n the mid-1980s, p Morris, and Ri char d J . Marc otullio of RJ R were on the I NFO TAB Boa rd of Whis t of Phili nors, which wa s later named simply “the B oard of Direc tors.” Cullman was the Chairma n Gover re- Direc S 20737); 2025013308-3308 (US 21585). oard of tors. 504934906-4953 at 4948 (U of the B co I nstitut e re 423. t atives, Peter Spar ber a nd Bill Kloepfe r (Senior V ice Tobac presen e sid e nt, Pub lic Re la tio ns ), pa rt ic ipa te d in a n Oc tob e r 7- 10 , 19 85 I NF OT AB wor ks ho p in Pr en. The Copenhag NFO TAB ’s Secr etar y Gene ral wr ote to Tobac co I nstitut e President rea fter, I to thank him for the Toba cco I nstitut e’s pa rticipation. Acc ording to the confe renc e Chilcote Samuel orkshop included discussions about “the Social Acc eptanc e of Smoking ,” “T he ram, the w prog lth Cont rover sy -- S o m e As p ects Old a nd New,” and “A mbient Tobacc o Smoke, Defe nse - Hea e l, Defe wi t h I n door Polluti on.” Ac cording to the confe renc nse - Political, and Relation Medica panies a ram, Hug an (the n Vice Cha irman, Philip Morris Com h Cullm nd 1985/86 I NFO TAB prog ma r n Chai ) , Jo h n T o ll is o n ( th e n I n s ti tu te D ir e c to r o f th e T o b a c c o I n s ti tu te o f A u s tr a li a L td.) , and Hug h Grice ctor of the TAC) we re a lso among the spea kers, discussion g roup (then Executive Dire rs and moder duled to attend the wor kshop. TI 12263348-3361 (US 62369*). leade ators sche 4. A No ve mbe r 30 , 19 89 I NF OT AB 42 do c ume nt lis te d I NF OT AB ’s “ most im po rt a nt” roles, including : “‘Think tank’ for industry cooper ation worldwide, in a ssociation with mem ber Pr c a nie s, ” “ Pr e pa ra tio n o f p os iti on s ag re e d by the ind us tr y ,” “ omp e pa ra tio n o f p ub lis he d ma te ri a ls ation of strate and kit sets for use NMA’s a nd lead c ompanies,” a nd “Promulg by g ies ag ree d by the US 46572). industry .” 300528729-8731 ( -194-

225 425. I prepa red va rious materia ls on smoking and he alt h issues including NFO TAB h-re rese mpaig n materia ls, and advoc acy paper s. For e x ample, lated mater arc ials, public relations ca TAB produce ssues Binde r which pr ovided in 1986, I NFO d an I materia ls a nd quotations in response to the fer members with re ence a lle g a tio ns in t he ma smo kin g a nd he a lth a re a . The bin de r [w a s] jor anized around nin i ssues -- “ addiction,” a dvertising e org and oping c ountries, the public smoking issue, sponsorship, devel islation, smoking and health, social costs, taxation and warning leg be ls. la 504934906-4953 (US 20737). 2 6 . J . K e n d r ic k We ll s o f B & W s e n t a me mo r a n d u m t o E r n e s t P e p p le s o f B & W d a te d 4 nt discussion with L 27, 1 9 81, conce rning his rece .C.F. B lackman, D irec tor of the Gr oup October o ch and D evel C p m en t Resear enter of B ATCo in Southampton, England, a bout Blac kman’s slide a pr nta tio n ti tle d “ B a sic Ap pr oa c h to Go ve rn me nt a nd Medic se l A uth or iti e s. ” Wel ls v oic e d h is e conce rn with Bla ckman that the initial document “ admit[ ted], despite a disclaimer, tha t ci gar ettes a re ha rm fu l to he a lth in pr op or tio n to de liv e ry .” Wel ls fu rt he r no te d tha t the do c ume nt “ ru ns a g a ins t important arg is making in re sponse to the FT C St aff Report and may need ument the U.S. industry m sponse to char es that cig to make in re ttes are addictive.” Black g an ag ree d to chang e the are document and se nd it to the other I NFO T AB m em b er s . 680585063-5064 (US 21007); 680585041-5042 (US 21006). I BA TCo relied on positio n p ap er s develope d for the industry by 427. NFO TAB . An internal B ATCo memorandum, distributed “[t] o all No. 1's an d Public Relations Manag ers of umentation,” Oper ating Companies, transmitted an update d I NFO TAB paper on "A dvertising Arg -195-

226 wh ic vid e d a rgum ent s agai ns t ad vert is in g rest ri cti on s. Th e tr ans mi tt al m emo urg e d it s r e c ipi e nts h p ro .” 100439233-9233 ( US 34655). to “ensure that no mention is made of its source to monitor nd Def endants used I NFO 428. other rese arc h that sug g ested TCo a BA TAB ance r. 2021594539-4540 ( US 36773). smoking c aused c une 28, 1988 memora ssed to T odd Solli s, Assistant Gener al Counsel A J ndum addre 429. lip Mo rr is, fr om D on a ld H oe l, a tto rn e y wi of ho ok , H a rd y & B a c on , de sc ri be d the c e ntr a l r ole Phi th S y e d b y Sho ok , H a rd y & B a c on wi th r e sp e c t to I NF OT AB . H oe l st a te d: pla SHB, national manufa cture rs, was as counsel to PM and other inter t instrum NFO TAB to help streng then and al in the founding en of I n ate the activities of the var ious national manufac turers d coor i ati on s. ass Th e fi rm rem ain s act iv e in th e op erat io n o f I NFOT AB. oci t mon it o r s th e me e ti n g s a n d c le a r s th e d r a f t m in u te s o f the I e F T A B B o a r d o f D i r e c t o r s a n d t h O G l o b a l Is s u e s W o r k i n g P a r t y, IN I ll a s te N F O T A B w o r k s h o p s . A ll ma as we r ia ls p r e p a r e d by I NFO on smoking a nd health issues, including briefing TAB actur ers a ci at ions and documents sent to national manuf sso se tio ns by the I NF OT AB sta e , a re nta c le a re d by SHB in or de r t o pr ff ote c t th e me mbe r a sso c ia tio n a pr me mbe r c omp a nie s. SHB a lso nd approve mpaig ns, tactics and stra teg ies which s all public relations ca ss smoking and he addre alth issues. 2015007199-7207 at 7204-7205 ( US 20311). 0. A 1 98 9 I NFOT AB doc ume nt o utl 43 d h ow to a tta c k th e WHO [Wor ld H e a lth ine Or g a niza tio n]. T he ta c tic s it su g g e ste d in c lud e d th e fo llo wi ng : s, Cr ize bu dg e t ma na g e me nt, Ad dr e ss hea lth pr ior iti e c Expo se iti resour ck ma il , H ig ce bla li g h t r eg ional failure s, Attack h “ be ha vio ur ism ,” Cou nte r o n p ub lic iss ue s, Di sc re dit a c tiv ist s' ns c de nti a ls, En g a g e in s ta tis tical wa rf a re , I nv e st i n p re ss r e la tio re , a Sho mpa c t of “ c uc ko o” or g a nis w i tio ns . The doc ument also sug g ested the industry should attack I OCU [the I nterna tional Org anization of pose Con su me r Un ion s] wi th the fo llo wi ng pr og ra m g oa ls: “ Re lie ve NG O pr e ssu re on W HO, Ex -196-

227 activists’ ‘cr edentials,’ Counter ’ r e g u la ti o n , c o r r e c t a n ti - b u s in e s s slant.” 2021595753- ‘beha viourist 5910 at 5769, 5897, 5903 (US 85541). I NFO TAB also issued an I NFO TAB publication ti tl e d “ Ch il 431. r e n & Sm o k ing d n 1990, I lance s that add re s Ba ed various World Health Org anization claims. I t stated that -- The d View” and indings there wer e inconsistent f o is not addictive, as to whether smoking c auses low tobacc that lopment in infancy ts, y ed mental a nd phy sical deve and dela . 2070052572- birth weig ht, birth defec S 20565). 2578 (US 87151); 2501342105-2110 (U 2. On Janu a ry 19 , 19 90 , Ron L oa de r, I NF OT AB Di re c tor of I nf or ma ti on S e rv ic e s, 43 i d the first mee ldwide indus t ry wo rk a wor ng g roup at the of fice s of the Toba cco ting of confirme nstitut e in Washington, D.C. for t h e p u rp o s e of pla nning a Global Arg umentation Project. The I ntation an effort to develop a standar dized and compre hensive c ollection Project was Global Argume g umentation paper s on smoking and health issues, including ETS and y outh marketing , which of ar o e u s e d b y lo c a l m a n a g e me n t a n d N a ti a n a l M a n u f could b c tu r in g A s s o c ia ti o n s ( “ N M A s ” ) f or lob by , pu bli c inf or ma tio n c a mpa ig ns , or a s ba sic do c ume nts fo r re sp on din g to pu blic heal th ing tes. Repre advoca om I NFO TAB , the Tob ac co I nstitut e, Shook, Har dy & B acon, a nd sentatives fr al Europe t nited States cig aret sever e manufacture rs attende d the meeting , including K ay an and U of of TCo, Cy nthia von Maer estetten Comer Phili p Morris, J im Goold of RJ R; Donald Hoel and BA J im Newsome of Shook, Ha rdy & B acon, a nd Charles Power s and Fre d Panzer of the Toba cco sons I t had bee n decide d that for severa l rea e. I “it would be sensible to hold this first meeting nstitut i n W as h i n gt o n ” be ca u s e “w e n ee d t o i n v o l v e t h e U S T I at an ea rl y s t age i n o rd er t o t ak e a d v an t age terials d of their de g umentation/lobby ing ma tailed information/ar evelope d over y ear s in practica l in, situations and needing persona l discussion”; “most members of the W orking Group a re a lrea dy -197-

228 or nee d to be in, the States (i.e. 8 out of 11) o rt unity for I NFO TAB ”; and “ it provides the opp other infor coordina RJ R) at first hand.” TI MN362946-2949 (U S mation sources (e.g tors to review ., MN362918-2922 (U MN362950-2952 (U S 62919). 62874); TI S 62872); TI also collabora 433. EMC. 507782317-2318 (US 20788). TAB NFO I ted with the I e 7. TDC – Tobacco Docum entation Centr ) 4, 1991, the Tobac umentation Centre ( “T D C” co Doc , was e stablished ember 434. On Dec entity to I NFO TAB . BA TCo joined the TDC at its inception. I ts charte r stated: as a suc cessor e e s s o c ia ti o n h a s a s it s p u r p o s A th e e s ta b li s h me n t o f a f o r u m f or h T e of views and information on interna tional tobacco issues by exchang on e co a tio n o f d a ta a nd inf or ma tio n in e c din omi c , s oc ia l, or th and tec hnical ar eas. The g ener al objectives a re to broa den scientific kn ow le dg e of its me mbe rs . I n la rg e pa rt a c c omp lis hme nt o f t he se the v s w il l be soug ht by providing information to various national e objecti other tobacc o trade associations and by serving as a r esourc e of and ana y s i s on these subjec ts of interest to the l expertise and data n d u s t r y. i - 0 1 1 5 9 0 9 2 - 9 1 0 1 ( JD 0 3 1 0 1 7 ) ; 3011 59 1 3 6 0 9 1 5 1 ( JD 3 3 1 0 1 8 ) ; 7 0 0 4 9 5 5 4 9 - 5 5 6 1 a t 5 5 5 0 ( JD 031478); Proctor PD, United States, 6/12/02, 16:8-18, 113:7-11; Tully PD; United States, 6/13/02, 38:9-24. c e F ou nd ing Me mbe rs of the TD C a nd su bs Th ri pti on le ve ls fo r ea c h we re a s f oll ow s: 43 5. p M o r r is I n te r n a Phili o n a l, I n c . , 2 0 % ; R JR T o b a c c o I n te r n a ti o n a l, I n c . , 2 0 % ; B A T Co , 2 0%; ti Ga l l aher s, 10%; Reemtsma, 10%; and Rothmans I nterna tional, 20%. Subscription levels of On membership ca re ba sed on annual production. ories we the unanimous proposal from Charte r teg m e m b e r s , t h e f o l l o w i n g p e r s o n s w e r e u n a J. i m o u s l y e l e c t e d t o t h e B o a r d o f D i r e c t o r s f o r 1 9 9 2 : D . n tional, F.J. Moreno Ba con of B ATCo, L .E. Bir ks of Gallahers, Ri char d J . Marc otullio of RJ R I nterna -198-

229 l. of rr is, C.J . Walt he r o f R e e mts ma , a nd A. A. Woo ds of Rot hma ns I nte rn a tio na Mo lip Phi 301159092-9101 (JD 031017); 301159136-9151 (JD 031018). s formed 436. The TDC wa i as centr al information resour ce for ct tobac co a ndustry to a the essor] I NFO TAB had an ext ensive infor mation worldwide. [Predec oll e c tio n a nd da ta ba se , w hic h w a s c on sid e re d v a lua ble a nd wo rt h c g. ai ai n i n t n m 502601564-1567 at 1565 (U S 29570). 7. Th e I EM C a nd CEC CM s c he du le d me e tin g s f ro m ti me to t ime at TD C’ s o ff ic e s. 43 US 22868); 2028363540-3549 (US 86 700494467-4471 (US 89139); 2024210630-0631 ( 604); 6 2 2078742951-2951 (US 27724); 2078742947-2948 ( 963 (US 45192); US 27721); 20787429 -2 900006204-6204 (US 88482); 2051809368-9369 ( US 86603). On April 28, 1992, the I nterna tional E TS Ma nag ement Commi ttee (“I EMC”), which 438. was c omprised of re prese ntatives from De fenda nts BATCo, Phi lip Morris, and RJ R, prepar ed ing c nts fo r d istri bu tio n b y the TD C r e g a rd e the dr a ft EPA Ris k A sse ssm e nt o n th e he a lth omm ha zar ds of ET S. Al l nat ion a l man uf a c tur e r as so c ia tio ns (“ NM A” ) we re to u se the se c omm e nts in s re on din g to i nq uir ie s r e g a rd ing the dr a ft Ris k A sse ssm e nt. Th e do c ume nt wa sp a lso pr ov ide d to TDC member c US 20865). ompanies. 515622547-2547 ( 439. TDC distributed the I E M C E T S p osition papers, date d May 6, 1992, to the NMAs ed for and lea that the documents ha d been c lear d companies, stating use by Def endants B ATC o, 13040345-0424 (US 86522). Phili p Morris, and RJR . TI -199-

230 44 0. 19 , 1 99 2, Ma tt Win ok ur , D ir e c tor of Corporat e Affa ir s a t Ph ili p M or ri s On June s, rn tio na l, i nf or me d G e of fr nte y B ibl e , Pr e sid e nt o f P hil ip M or ri a a nd othe r P hil ip M or ri s I e ees, tha pare d by Covington & Bur ling we re t the EPA talking points pre employ our interna tional competitors and by National used by also being cture rs Association via the TDC. This coordinate d approa ch Manufa desirable to communications is highly lobal . I t enables the entire g ommon posit industry ntial ion immediately to espouse a c , an esse to local g nt and media. responding element in quickly overnme 2021173016-3016 (US 20342). – 8. r for Cooperat ion in Scientifi c Rese arch Relative to CORESTA Cente o b acco/Ce ntre de C oopération po ur le s R e c he r c he s Sc ie nt if iq ues T s au Tab Relative ac for Cooper ati 441. rch Rela tive to Tobacc o/Centre de The Center on in Scientific Resea s Recher ches Scie ntifiques Relatives au Ta bac ( “CORESTA”) w as cr eate d Coopération pour le ro llo wi ng the res ol ut io ns a pp d b ve fo y the F ir st I nte rn a tio na l Sc ie nti fi c To ba c c o Co ng re ss h e ld i n Paris, Fr , on September 10, 1955. I t w as cre ated “[i] n order to opera te a pe rmane nt Secre tariat ance national co- tion in scientific studies relative to tobac for inter co.” I ts r egi s t er ed o ffice s are opera obacc is, and eve world-wide major t ry o company and tobac co industry org anization located in Par is a member. M e e ti n g s h a v e b e e n h e ld e v e r y tw o y e a r s a n d , a s o f 1 9 9 2 , CO RE ST A h ad , L a ro xima te ly 19 0 me mbe rs , i ncl ud in g Defend ant s BAT Co , P hi li p M orr is pp ori ll ard, B&W, L igge tt, 8); 401349330-9333 and RJ t 9243 (US 2 1 7 8 R. 401349241-9242 (US 47550); 401349243-9248 a (US 47575); Stevens WD, 4:3-5. 442. A Marc h 31, 1992 BA TCo document desc ribed CORESTA’s value to the tobacc o : ind us tr y -200-

231 I t is e ive d a s b e ing ob je c tiv e , te c hn ic a l a nd ind e pe nd e nt. I t is thi s pe rc s CORESTA unique and very eption which make perc valuable. e oth e r o rg a niz atio ns , e .g ., CEC CM[, ] it is no t r e g a rd e d a s a Un lik h b yi n g o r g a n i s a t i o n o f t b e t o b a c c o i n d u s t r y. l o S 21788) . 401349243-9248 at 9243 (U 3. I n Jun e 20 01 , r e pr e se nta tiv e s f ro m D e fe ndant s L or ill a rd , Ph ili p M or ri s, a nd RJR, 44 u o g wi t h o t h er d e l e gat es fr o m t h e i n d u s t ry , co n v en ed at C OR E S T A’ s E T S S u b Gr o n p m ee t i n g, al n N e the y dis c us se d tr e nd s in E TS r e se a rc h. I re ov e mbe r 2 00 1, the CO RES TA Sid e str e a m T a sk wh ce, w m hich included r epre sentatives fr o For Def endants B ATCo, RJ R, and Phili p Morris, among others, met to re view re ch co n d u cted on sidestre am tar a nd nicotine. 525302822-2823 (U S sear 325260347-0362 at 0348 (U 525302728-2729 525776902-6936 (US 86528); 86527); S 86526); (US US 66571). 29146); 524596882-6890 at 6883 ( Toba c c o I nst it ut e Int e r ac ti on with Ove r se 9. and I nt e r nat ion al G r oups as 444. i b ed above, the Tobac co I nstitut e wor ked close As descr and consistently over a ly leng thy period of time with over seas a nd international tobac co org anizations to present a unified fr on t on iss ue s o f co mmo n co nc e rn ; to inf lue nc e pu bli c op ini on ; to c on vin c e g ov e rn me nt o ff ic ia ls to adopt the public positions of t co industry ; to maintain the Defe ndants' open he United States tobac a e on po sit ion on the re la tio ns hip be tw e e n s qu ing a nd sti dv e rs e he a lth e ff e c ts; to a vo id a dv e rs e mok liability verdic ts in lawsuits broug ht around the world; and as an overarc hing goa l to preser ve and a e nc e De fe nd a nts ’ p ro fi ts. nh 445. I n a docume nt dated Oc tober 1, 1973, a nd titled “I nterna tiona l Activi ties of the haus, Tobac I nstitut e, I nc.,” J .C.B. Ehring co J r., Tobac co I nstitut e Ge nera l Counsel, advocate d that haus noted that the Tobac co I nstitut e have an incr ease d role interna tionally . Ehring -201-

232 any success of the anti-smoking country g roup in another s u . I th in k w e h a v e to d s o me th in g a b o u t it , to be “diminishes” o re a nd to participate in order to pr otect the inter ests of the awa e ri c a n c omp a nie s. Am fu He r s ug g e ste d: he rt are of wha t’s g oing on a round the wor ld and be aw We would keep l e to ad v i s e ou r i n d u s t ry p eo p l e in o n e co u n t ry o f t h es e h ap p en i n gs ab ir tha t th e y ma y be g uid e d in de a lin g wi th t he a ow n lo c so l si tua tio ns . 2010030234-0235 (US 88447). 446. cco I nstitut e’s r ole in international matter s was then di s cu s sed at the The Toba ree meeting of the Toba cco I nstitut e Executive Committ ee, a nd it was ag 1973 d that “the October 4, ttee of Counsel should continue consideration of this ar ea.” TI MN0013425-3428 at 3427 Commi (US 88448). One wa y in which the Toba cco I nstitut e coor dinated wor 447. i ndustry positions ldwide was by hures, pa mphlets, “bac kg rounders,” industry position papers, and othe r publishing broc ea ls on the Enterprise materia rsial smoking a nd h ’s stance l t h issues and making them on controve available for ove rsea s distributi on, often throug h I NFO TAB . USX6400001-0527 at 0506-0507 ( US 89561). 448. cco I nstitut e deve loped a T o b a c The Toba o I n stitut e “ba ckg rounder ” titled “Toba cco c in the Deve loping Nat i o n s” and a nnounced its ava ilability in a Tobac co I nstitut e new sletter on rwarded to interna J y 14, 1980. Copies were t o b e fo anuar tional public relations per sonnel of member c ompanies, over seas NMA s and other tr ade a ssociations, and interna tional o rganiz ations 16740349-0366 (US 86538). such as I NFO TAB and I COSI . TI MN0241954-1971 (U S 21545); TI -202-

233 449. On Octobe oel of Shook, Ha rdy & Ba con, sent a letter to Horac e r 15, 1981, Dona ld H or ay nstitut e, tra nsmitt ing a draf t of a “ Public Sm oking Pape r” f the Tobacco I Korne g , President of NFO TAB . TI MN0144678-4678 (U S 23015). I use by n anticipation of the 1983 Surg eon Genera l’s Report on hear t disease, the Tobac co 450. I a tit iss ue d a re po rt “ Cig a re tte smo kin g a nd he ns rt dise a se .” Th e re po rt wa s d ist ri bu te d to I ute ba c c o I ns tit ute me mbe r c omp a nie s w ho we re re qu e ste d n ot t o d ist ri bu te it wi del y , bu t to us e it To eon Ge for inter u n t i l the Surg es nera l’s repor t on hear t disease wa s relea sed whe n nal purpos only dd iti on a l c op ie s w ou ld b a ma de a va ila ble . I NF OT AB dis tr ibu te d th e repo rt a s w e ll, a dv isi ng its e members that the T obacc o I nstitut e would acqua int ne ws repor ters with its views about smoking a nd hear t disease be the re lease of the 1983 Surg eon Ge n er al ’s repor t. 2501023645-3645 (US fore 20556). 451. n anticipation of the 1985 Surg eon Ge nera l’s Report on smoking a nd the workpla ce, I co I tions on sim e staff g ather ed prior publica the Tobac ilar subjects by the prospec tive authors nstitut repor port cha r to fore cast the c onclusions of the of the re t with some deg ree of ac cura cy pters in orde a nd de ve lop “ sh a do w” paper s b y sc ie nti sts wh o w ou ld q ue sti on or re je c t su c h c on c lus ion s. TI MN0061572-1572 (US There afte r, I NFO TAB informed NMAs throug hout the world, 88450). member, tha including B which BA TCo w as a of t the Tobac co I nstitut e had a ssembled ritain’s TMA, materia l for use in fr aming answe rs to possible specific que stions from the media re g arding the 1985 rded a copy Surg l’s Report. I NFO TAB forwa nera of this material for use as a basic re fer ence eon Ge by Def endants a nd spokesper sons from the NMAs. 2501444186- 4187 (US 27948). r wa 452. cco I nstitut e’s Wil liam K loepfe The Toba s g iven six draf t briefing paper s in J une s 1987 that wer e to be pr esente d at the Six th World C onfer ence on Smoking and Hea lth. The paper -203-

234 discu ssed ETS and I ; the Science of ETS; ETS L eg islation; Tobacco a nd ndoor Air Qua lity Young Deve and S moking and Women. Kloepfer was a sked loping Countries; Smoking and People; on and Women. TI MN0269920-9944 (U S rs except the one to, and did, rew rite all pape Smoking 12261173-1173 (US 62338). 86540); TI ndustry n a 1990 memora Allies to B e Notified of I ing “ Youth I nitiatives,” I 453. ndum list ba c c o I ns the ute dir e c te d th a t, p ri or to p ub lic a nn ou nc e me nt o f a ny ne w i nd us tr y ini tia tiv e s in To tit ea of y o u t h smoking, the Toba cco I nstitut e staff would provide org anizations withi n the the ar o family tobacc llies of the new pr og ram with adva nce c opies of pre ss and prog ram , g roups, and a staff. to g ned by the Tobacco I ls and a cover letter e P resident or other a ppropriate be si materia nstitut the interna tional org anizations to be kept abre ast of the Toba cco I nstitut e’s a ctivities on Among of the industry wer e I NFO TAB and TMA. TI MS00026152-6153 (US 88451). behalf A letter da h 6, 1992, from Willi am Kloepfer, Tobacc o I nstitut e Senior Vic e ted Marc 454. of I NFO TAB , nera others, provided information about the Surg eon Ge President, to Ron Tully l’s and Report titled “Smoking and H ealth in the Americas” which was to be re lease d on Marc h 12, 1992. Th e le tte r e xpla ine d th a t th e To ba c c o I ns tit ute wo uld c omm e nt on the Sur g e on Ge ne ra l’ s Re po rt , if asked, to United States media L atin Americ a media; that the Pan Americ an He alth Org anization and -country cou tr y - by n status report on tobac co pre vention and contr ol measure s; and would be issuing a tha t K loe pf e r w ou ld b ri ng ma te ri a ls p re pa re d b y Do n H oe l of Sho ok , H a rd y & B a c on a nd oth e rs to the brief ssions. 2500121043-1043 (US 20552). ing se 45 5. Th e To bacco I ns tit ute fu rn ish e t to dv ic e , a ssi sta nc e , a nd fi na nc ia l su pp or d a ts, int e rn a tio nal ind us tr y -r e la te d g ro up s a nd or g a niza tio ns a s th e se g ro up s w or ke d o n p ro je c -204-

235 publications, videos, confe renc paper s, and lobby ing ma terials. USX6400001-0527 a t es, briefing 0506-0507 (US 89561). form letter a J 456. y 17, 1983 n to its members, TAC informed e ach of its member I anuar omp a nie s, on e of wh ic h wa s D e fe nd a nt B AT Co, tha t th e To ba c c o I ns tit ute ha d p ro vid e d T AC wi th c of a Toba a copy e videotape compilation showing the ir spokesper sons’ team in ac tion: cco I nstitut t extracts of t he four members of the t eam being inter viewed I shows television and speaking to live audienc es. Two points ar e of on r intere the way in which they The first, publicly fac e and st. particula alth issues. The sec ond that all the tea m ar e fi rst and handle he most media trained a nd there fore utterly familiar with, and fore a la xed in, de a ling wi th h os til e int e rv ie ws a nd ud re ie nc e s: t he ir knowledg e of toba matters, while vitally important, is a seconda ry cco e on e ra tio n in the se le c tio n a nd tr a c ng pr oc sid ss. ini 2024919702-9702 (US 26821). s The Toba nstitut e provide d fac iliti 457. cco I for an I NFO TAB Workshop es at its office fo r N MA s hel d on Se pte mbe r 1 9- 22 , 1 98 3. Willi a m K loe pf e r, To ba c c o I ns tit ute , V ic e Pr e sid e nt, and Tony St. Auby , wer e among the prese nters. TI 13161263-1266 (US n, TAC Assistant Director 2 S 88500); 2501021530-1532 (US 2 7 9 4); 2501021486-1489 (U S 88499); 100294426-4429 (U 25366); USX6400001-0527 at 0506- 0507 (US 89561). 458. During 1984, the Tobac co I nstitut e paid $70,000 f or one half t he cost of a monogr aph commissioned by NFO TAB , edited by Robert Tollison, Professor of Ec onomics at Virg ini a’s I Geor g S 65655); rsity , title d “S m o king in Society .” TI MN371669-1669 (U e Mason Unive US 89561). USX6400001-0527 at 0506-0507 ( -205-

236 45 9. ov e mbe r 1 99 0, Samu el Chilc ote , T ob a c c o I ns tit ute Pr e sid e nt, se nt M a rt in I n N NFO TAB es and s u b -m es s age s [t hat] could be helpful as a starting Oldman of I a list of “messag lobal and/or NMA E TS campaig n.” TI 12200663-0663 (US 62313). point for any g , strateg cco I e provide The Toba uidance , advice nstitut ies, and tac tics to oversea s 460. d g anizations and g roups for se tting up tobac co allianc es outside the United States, a s the following org examples demonstrate. 461. 16, 1981, Mary Covington, Secr etar y Gene ral of I NFO TAB November On , speaking nterna tional Perspective on Smoking I ssues and Relate d Activities of the Toba cco I ndustry ,” on an “I NFO TAB had re ceive d outstanding he lp from the Toba cco I nstitut e, “a valuable sour ce noted that I tion and ideas.” 2501029891-9901 (US 20557). of informa I n a Mar ch 5, 1986 letter to Bry an S i m p s o n , I NFO TAB Secre tary Gene ral, Ar thur 462. ra ve ns , L or ill a rd Se nio r V ic e Pr e sid e nt a nd Ge ne se l Co un Ste l, s ta te d th a t: L or a rd wi ll n ot b e re ne wi ng its I NF OT AB me mbe rs hip ill lease t our ac tion in no way subscription for 1986. P understand tha lects any disag ree ment or dissatisfaction with e ither the mission or ref hievements of I i TAB , all of wh the ac ch are cre dible and NFO active signific Howeve r, as . and signific ant contributors to the ant. . . pr og r a m of the U. S. T ob a c c o I ns tit ute , w ho se a ssi sta nc e is g e ne ro us ly ady and freq t ly aff orded to I NFO TAB , we be lieve we are alre en u supporting I TAB ’s ef forts to a ve ry NFO ant deg ree . signific 91820409-0410 (US 57120). 463. Simps on wrote ba ck to Stevens o n M arch 21, 1986, confir ming L orillard’s ac withdrawa r of I NFO TAB an d l as a membe k nowledg ing tha t “we a re a war e of y our major US 56011). contribution to TI , and the be nefits that we r ece ive indirec tly .” 85174260-4260 ( -206-

237 46 4. or din g to a n O c tob e r 2 , 1 98 1 B AT Co d oc ume nt, the To bacco I ns tit ute Ac c I : “I NFO TAB has without any dou b t TAB at al l made a n nce of NFO commented on the importa ns e c ha ng e in t he g e ne ra l a tmo sp he re imm the ind us tr y a nd thi s ha s le d to a n e no rm ou s in c re a se e in ation.” This document f urther sta ted that the I nstitut e had be en in cooper kin g fo r 1 5 y e a rs fo r a n in te rn a tio na l um br e lla to e na ble the m to loo NMAs and deal with other the streng th of the industry as to improve ck-w ng om events and a ttacks af fe cti - the ba the a whole; - ash fr fully in sma countries comes back power to the USA; . . . industry ller NF OT AB he lps the ind us tr y to u nit e in t ry ing to co mba t the a tta c ks ; I h or y ed t s it had been hop at there would be some sort of ear -- f anisati o n of interna tional trade a ssociations, which neve r org d. happene 321796064-6067 at 6067 (U S 28685). 19 5. I n r e ma rk s o n Se pte mbe r 20, , at an 83 46 I NF OT AB wo rk sh op in Wa sh ing ton , D .C. on “How to Set Up a Tobac ,” the Assistant Dire ctor of B ri t ai n ’s T AC, stated that the co Alliance on o industry ally turned to the Toba cco I n s titute for g uidance dom initi tobacc in the United King tobacc o alliance in ear ly summer 1982. setting up a a n k s to th e u n s ti n ti n [T]h h e lp th e y g a v e u s , w e w e r e a b le to draw g much of our c onceptua l thinking from their experience with the To ba c c o A c tion Net wor k . . . T. I .’ s e xpe ri e nc e , a nd e sp e c ia lly the ir war nings some of the problems and pitfalls w e had to avoid, was of invaluable. 2501021530-1532 at 1530 (U S 27924); 2024919702-9702 (US 26821). Tobac co I nstitut e re prese ntatives serve d on international tea ms, committ ees, a nd 466. the boards, a ry repr esenta tives from outside ith indust United States, in which strateg ies wer e long w de ve . e d f or a c oo rd ina te d a pp ro a c h to sc ie nti fi c re se a rc h s tud ie s a nd pu bli c re la tio ns c a mpa ig ns lop 13111755-1755 US X6400001-0527 a t 0506-0507 (US 89561); TI 12431630-1630 (US 62383); TI -207-

238 (US 62412); TI 13110904-0904 (US 62410); TI 13); TI 12432168-2168 (US 12200663-0663 (US 62 3 p Morris, 6/18/02, 17:16-20. 62385); Wil liam Adams PD, United States v. Phili ions for I nstitut countless pre s en The Toba at e made NFO TAB and other cco I 467. t k s h o p s , s e mi n a r s , s y mp o s international g , a n d c o n f e r e n ces outlining Def endants' strateg ies roup wor ia ttacking what Defenda nts deeme d “anti-smoking ” re sear og rams linking smoking and for a ch and pr TS and hea lth. USX6400001-0527 at 0506-0507 (U S 89561). health and E 8. F or e xamp le , o n M arch 29 , 1 98 4, W il li am K lo epfe r, T ob acc o I ns tit ute Vi c e Pr e sid e nt, 46 oje rt te d in a me e tin g of the Pa ssi ve Smo kin g Pr ipa c t G ro up , a n I NF OT AB c omm itt e e , in ic pa ausanne , Switz erla nd. T I 1 2 431630-1630 (US 62383); TI 12432168-2168 (US 62385); L US 89561). USX6400001-0527 at 0506-0507 ( On J u n e 4 , 1 9 8 4, Wil liam Kloepfe r attende 469. of the I NFO TAB ETS d the meeting ttee in B russels, B elg Commi s from De fenda nts Phi lip Morris and RJ R also attended. ium. Scientist TI 13 11 17 55 -1 75 5 ( US 6 24 12 ); USX 64 00 00 1- 05 27 a t 05 06 -0 50 7 ( US 8 95 61 ) ( TI Re sp on se to I nterrog No. 15). atory i On Octobe nstitut e P re s co I d en t Samuel Chilcote spoke at an 470. r 10, 1985, Tobac NFO TAB I nterna tional Workshop on the credibility g ap betwe en the t o b ac co industry and the I MN371764-1795 (U public. TI MN350605-0605 (U S 88498). S 77095); TI On Octobe illiam Kloepfer spoke on Smoking in the Workplace at 471. r 14-16, 1986, W NFO TAB I nterna tional Workshop in Brussels, ca lling a an I ie n t s mo k e a p olitical issue rather than mb a hea lth issue. R.L .O. Ely , head of BA TCo Pu b l ic Aff airs, addr essed World Hea lth Org anization r ( W H O ” ) I n i t i a t i v e s . T o m O s d e ne , P h i l i p M o r “ i s D i r e c t o r o f R e s e a r c h , C h a r l e s G r e e n , R JR TS. sc ie nti st, a nd Do na ld H oe l, l a wy e r a t Sh oo k, Ha rd y & B a c on , took pa rt in a pa ne l di sc us sio n o n E -208-

239 2021594646-4648 (US 2 6 5 9 ) ; T I OK0029712-9712 ( US 86546); TI OK0029713-9723 ( US 86547); 0 OK0029724-9734 ( US 86548); 86024168-4172 (US 21089); T 12820001-0004 (US 62398); TI I 12820005-0290 (US 62399). TI e 18, 1988, Walker Merr y man, Tobac 472. I nstitut On Vice President, spoke a t October co NFO TAB Workshop in Malag a, Spain, on anti-smoking activists. TI 12261398-1399 (US an I 62348). 7 3 . T h e T o b ac co I n s t i t u t e ar ra n ged v i s i t s an d b ri ef i n g s es s i o n s fo r d o m es t i 4 n d fo re i gn c a industry esenta tives to discuss curr ent and emer g ing issues tha t the Tobac co I nstitut e believe d repr tened the industry For example, after attending a lunche on in Washington, D.C., hosted by the threa . ac co I n s t i t u t e’ s Ho ra ce Ko rn ega y , m Tob b er s o f J ap an T o b ac co , I n c. (“ J T I ”) we re i n v i t ed to attend em a Toba cco I nstitut e ETS Advisory Group mee ting in Washing ton, D .C. I n his J uly 15, 1986 letter to JTI ’s a ke da , D on a ld H oe l, C ha ir ma n o f t he ET S Ad vis or y Gr ou p, wr ote : S. T the purposes a o it s fr One of m the proposed joint meeting nd benef e deta o cu rrent resea rch would be to exchang iled information as t ts . . . . The sec ond day would include identifica tion of rese arc h projec d p ne a nd pe rc e ive ds ro ble ms. e TI 00610156-0156 (US 86549); TI 00610153-0154 (US 62064). 47 4. I n 1 99 0, Cha rl e s H . Po we rs , T ob a c c o I ns tit ute Se nio r Vic e Pr e sid e nt, a rr a ng e d a vis it c a br ie fi ng se ssi on be tw e e n th e To ba c c o I ns tit ute a nd the Ca na dia n T ob a c nd o M a nu fa c tur e rs ’ ht Council on curre ing issues in the two c ountries, par ticularl y t h o se issues which mig nt emerg United produce fec ts from the spill-over ef States to Canada a nd/or vice ve rsa. TI 12910068-0069 (US 86550). -209-

240 475. Tobac esenta tives from ar ound the world a ttended the Toba cco co industry repr e’s Colleg e of Toba nowledg e, the se minars held to provide industry manag ers a nd other I cco K nstitut positions on s moking and health relate d most up to date information and industry employ ees the I I (D)( 5), supra ). At the Oc tober 1982 session, for example, issues (discussed in deta il at Section I uay forty en t s we re f rom fore ign c ountries, e.g ., Parag -nine stud , Canada , United sevente en of the dom, Australia, B razil, Swit zer land, Holland, Ve nezuela, and G uatemala . 04163285-3285 (US King S 75000); TI 04962 2 1 0 - 2 2 1 1 ( U S 6 7 2 5 0 ) ; T I 0 4 9 6 2 2 0 7 - 2 2 0 7 ( U S 8 8 5 0 1 ). 74872); 04235250-5251 (U Employ NFO TAB wer e also invited to, and did attend, rom I s es s ions of the ees f 476. co I nstitut e C olleg e of Toba cco K nowledg e. TI FL 0067876-7877 (US 88633); TI FL 0071174- Tobac FL 11961377-1377 (US 86186); TI 16740660- 0071332-1332 (US 88634); TI 1174 (US 86142); TI 0 663 (US 72403); USX6400001-0527 a t 0506-0507 (US 89561). F or example, five membe rs of NFO TAB attended the November 1981 session of the Colleg e. 501029891-9901 ( US 20557). I J. Dissolution of CTR an d the Tobacco Institute st of the State Attorney 477. 1998, m o n November s Gene ral e ntere d into a settlement I a g r e e m e n t , r e f e r r e d t o a s t h e M a s t e r S e t t l e m e n t Ag re e m e n t ( “ M S A ” ) , w i t h P h i l i p M o r r i s , R . J. Rey nolds, B& orillard, L i gget t, and Commonwealth Br ands, I nc., to re solve all pending W, L Medica oupment litigation. The State Attorney s Gene ral for Florida , Mississ ippi, Minnesota, id rec and Te x as had a lrea dy enter ed into settlemen t s wi t h tobacc o defe ndants prior to Nove mber 1998. The MSA re Tobac co I nstitut e ce ase a ll operations and dissolve. I n addition, quired that CTR and the constituting CTR or o products manuf actur ers sig ning the MSA w ere prohibited from re the tobacc form. JDX4100001-0328 (JD 045158). its function in any -210-

241 1. CT R 8 & O n M a y 8 , 1 9 9 8 , in c o n n e c ti o n w it h St a te o f M in n e s o ta v . Ph il ip M o rris, B 4 W, . 7 o L is, and R.J . Rey nolds (the four Class A me mbers of CTR) e ntere d into a orillard, Philip M rr of e nt Ag re e me nt a nd Stip ula tio ttl fo r E ntr y me a Con se nt Jud g me nt w ith the Sta te of Min ne so ta Se n Min ne so ta Sett lem e nt A g re e me nt” ), in w hic h, a mon g oth e r t hin g s, the c omp a nie s a g re e d to (“ onsent judg dissolve CTR and enter into a c udg ment”). Section VI of ment (“Minnesota Consent J nsent J day ment, enter ed on May 19, 1998, provided that, within ninety o s of the Minnesota C udg to comply all opera cept a s nece ssary 8, 1998, CTR would cease with exi sting g rants or May tions ex c ts a n d to c o n ti n u e it s d e f e n s e o f o th e r la w s u it s a n d th a t C T R w o u ld b e d is b a n d e d and contra sonable time per fter. 2060571342- 1361 at 1342 (US 86853). iod therea dissolved within a rea The s of CTR held a spec ial meeting on October 19, 1998, at CTR’s office 479. members in New Yor k City at which the Plan of Corporate Dissolution and Distributi on o f As s et s of The Council f or co Resear ch-U .S.A., I nc. was approve d by a unanimous vote o f t h e members Tobac e e n t . T h e C l a s s A m e m b e r s p r e s e n t w e r e pr & W , r e p r e s se n t e d b y S e n i o r V i c e P r e s i d e n t Er ne st B Pepples; Phil repr esente d by ip Morris, Vice President of Ope rations J ohn Nelson; L orillard, Senior repr esente d by Chairman and CEO A lexander Spear s; and R.J . Rey nolds, repr esente d by President ht B a An dr e w Sc hin dle r. Th e Cla ss B me mbe rs presen t were B ri g CEO e lt Wa re ho us e nd Association, Tobac tion, I nc., B urley Auction Warehouse co Associa s o ciation, B urley Tobac co As Growe rs Coopera tive Association, I n c . , a n d U n it e d St a te s T o b a c c o . 2 060571342-1361 at 1359-1361 we (U 85 3) . T he Pla n o f C or po ra te Di sso lut ion allo S 86 d CT R to c on tin ue to d e fe nd its e lf a nd to s protec t its i ntere st in li tiga tion, and to assist in t he def ense of Def endants and CTR’s other member -211-

242 in liti g ree ments or ar rang ements. 2060 5 71342-1361 at 1344, ation, pursuant to joint defense ag 1348-1349 (US 86853). CTR and the Gene ral of New York ag d to the terms of the dissolution, 480. Attorney ree New York Supreme Court e ntere d an Or der A pproving CTR’s Pl an of Corpor and the ate Dissolution ate of o u t October 21, 1998. 70005153-5362 at 5153-5186 and Certific Dissolution on or ab (JE 021048). CTR Preside Marc 481. 1998, J ames Glenn, n nt, se nt a memorandum to the members I h the Sc ie nti fi c Ad vis or y B oa rd requ est ing tha t th e y ind ic a te the ir wi lli ng ne ss t o s e rv e a s a of or any or as any future activities of C TR in succe ssor org anization. Glenn a participant consultant c e ive d mi xed re sp on se s to h is r e qu e st. Som e me mbe rs , s uc h a s Ca rl o Cr oc e , r e pli e d a ff ir ma tiv e ly re n ir willingne t o co ss t inue with CTR’s activities. Others such a s J udith Swain, expressing the p ec l i n ed an y fu rt h er re l at i o n s h i , wi t h C T R d s t at i n g, beca use of information that has come out of the tobac co litiga tion the a oc I do no t fe e l tha t I c ss, n c on tin ue a s a me mbe r o f t he Cou nc il pr e co Resea rch . . . of Tobac om previous y ear s the information fr indicates that ouncil may not have been totally independe nt of the C u h t o b a c t o i n d e s t r y. c TL T0270372-0372 (U S 76330); TL T027 0370-0370 (U S 76328). 2. Tobacco Institute 482. Pursuant to a plan of dissolution that was to be negotiate d by the Attorney Gene ral L of the Sta te of Ne w Yo rk a nd the Or ig ina l Pa rt ic ipa tin g Ma nu fa c tur e rs , B & W, or ill ard, P hil ip wi Mo is, a nd R.J. Rey no lds , in ac c or da nc e rr th Exhib it G of the MSA , th e To ba c c o I ns tit ute wa s to nd cea se all oper ations and b e d i s s olved in acc ordanc e with the laws of the State of Ne w York a -212-

243 un de a uth or ity of the At tor ne y Ge ne ra l of the Sta te of Ne w Yo rk , with the pr e se rv a tio n of a ll r t he es held by ompa member c privileg ny of the Toba cco I nstitut e. (no ba tes) (JD 045158). applicable any n T a c c o I b stitut e’s Plan of Corpor ate Dissolution and Distribution of Assets was The o 483. ust 7, 2000, by its Cl ass A member s: Ernest Pepples, Seni approve r Vi ce Pre sident of d on Aug o W; M l Sz y manczy k, CEO of Philip Morris, I ichae Alexander Spears, Chairma n of L orillard; B& nc.; s Blixt , Ex ecutive Vice Pre sident and Ge nera l Counsel of R.J . Rey nolds. TI 31113058- and Charle a 65 26 1) . T he Pla n o f C or po ra te Di sso lut ion S 21 llo we d the To ba c c o I ns tit ute to c on tin ue to (U 31 fe nd its e lf a nd to p ro te c t it s in te re st i n li tig a tio n, a nd to ass is t in th e de fe ns e of its me mbe rs in de nse ag ree ments or ar rang ements. I d. at 3060, 3065. litigation, pursuant to joint defe dopted by The Toba nsti 484. ’s Dissolution P lan was a cco I the Tobac co I nstitut e B oard tute of Di re c tor s. Th e me mbe rs of the B oa rd of Di re c tor s at the tim e we re Ni c ho la s Br oo ke s and Er ne st Pepples for B &W, Ronald Milstein and Alexander Spear orillard, Tommy Pay ne and A ndrew s for L d L R.J manczy k for Phi lip Morris, I nc., and Howar nolds, Michael Szy iebeng ood Schindler for . Rey 31113205-3207 (JD 053521). for Philip Morris Companies. TI The S upreme Court of New York County enter ed an O 485. Approving the Tobac co rder I e’s Plan of Corpor ate Dissolution and Certifica te of Dissolution on or abou t S ep nstitut em b er 1, t 2000. TI 31113204-3214 at 3208-3213 ( J D 080768). IV. THE DE F E ND AN T S ARE ENGAG ED IN AND THEIR ACTIVITIES AF F ECT N C IN TE A ND F OR EIG STA OM M ER CE TER 48 6. De fe nd a nts in t his c a se a t a ll te le va nt tim e s ha ve be e n a nd a re e ng a g e d in i nte rs ta re gn an d fo re i gn co m m er ce an d t h ei r ac t i v i t i es h av e af fe ct ed , an d co n t i n u e t o af fe ct , i n t er s t at e a n d fo re i -213-

244 commerc e within the meaning 1962(c) and (d). Reg arding Def endant- members of of 18 U.S.C. § s th CO rp ri se , th e Cou rt fi nd nte e fo llo wi ng fa c ts. s RI thi e hili p Morris Com pani es A. P s endant P Def ip M o r r is Co mp a n ie s h a h e n g a g e d in a n d conducte d activities aff ecting 487. il e rs ta te c omm e rc e wi thi n th e me a nin g of 18 U. S.C. § 196 2( c ) an d (d) du ri ng the pe ri od fr om Jul y int 1985 1, mber 10, 2002. United States v. Phili p Morris, No. 1:99-CV-2496, O rder #280 at to D ece ; United States v. Phil .C. Dec. 11, 2002) .C. 2004). ¶ 7 (D.D ip Morris, 316 F. Supp.2d 19, 26 (D.D P B. p M or r is hili 8. De fe nd a nt P hil ip M or ri s h a s e ng a g e d in a nd c on du c te d a c tiv iti e s a ff e c tin g int e rs ta te 48 § omm rc e wi thi n th e me a nin g of 18 U. S.C. e 19 62(c ) a nd (d ) d ur ing the pe ri c fr om 1 95 3 to od De c e mbe r 1 0, 20 02 . Un ite d Stat e s v. Phili p Mor ri s, No . 1:99 -C V- 24 96 , O rd e r # 28 0 a t ¶ 1 ( D. D. C. Dec .11, 2002). R. Re yno lds C. J. 8 9 . De fe n d an t R J R h as en gage d i n an d co n 4 u ct ed ac t i v i t ies aff ecting interstate c ommerce d within the meaning nd (d ) during the pe riod from 1953 to De cembe r 10, of 18 U.S.C. § 1962(c) a p Morris, No. 1:99-CV-2496, Order #280 at ¶ 2 (D.D.C. De c. 11, 2002). 2002. United States v. Phili D. Liggett 49 0. De fe nd ant L ig g e tt h a s e ng a g e d in a nd c on du c te d a c tiv iti e s a ff e c tin g int e rs ta te t co m er ce wi t h i n t h e m ea n i n g o f 1 8 U. S . C . § 1 9 6 2 (c ) a n d (d ) du ri n g m h e p er i o d fr o m 1 9 9 0 t h ro u gh i J y 29, 2003. L igg ett' s prede cessor s anuar n i ntere st eng ag ed in and c onducted a ctivities affe cting rom 1953 until 1990. interstate c o m m er ce wi t h in the meaning of 18 U.S.C. § 1962(c) a nd (d) f -214-

245 United States v. Phili p Morris, No. 1:99-CV-2496, O .D.C. J an. 31, 2003); United rder #308 at ¶ 1 (D .C. 2004). ip Morris, 316 F. Supp.2d 19, 26 (D.D States v. Phil Lorillard E. De fend ant L or ill a rd ha s e ng a g e d in a nd c on du c te d a c tiv iti e s a ff e c tin g int e 49 ta te 1. rs omm rc e wi thin th e me a nin g of 18 U. S.C. § 1 96 e c ) a nd (d ) d ur ing the pe ri od fr om 1 95 3 to c 2( c e mbe r 1 0, 20 02 . Un ite d Stat e s v. Phili p Mor ri s, No . 1:99 -C V- 24 96 , O rd e r # 20 8 a t ¶ 5 ( D. D. C. De . 11, 2002). Dec . BATCo F 2. De fe nd a nt B AT Co h a s e ng a g e d in a nd c on du c te d a c tiv iti e s a ff e c tin g in ter st a te 49 § 196 omm rc e wi thi n th e me a nin g of 18 U. S .C . e 2( c ) a nd (d ) d ur ing the pe ri od fr om 1 95 3 to c a c e mbe r 1 0, 20 02 . U nit e d St te De s v . Phi lip Mo rr is, No . 1:9 9- CV -2 49 6, Or de r #2 80 a t ¶ 6 ( D. D. C. Dec . 11, 2002). Brown G. & Williamson 9 3 . De f e n d a n t B & W h a s e n g a g e d i n a n d c o 4 d u c t e d a c t i v i t i e s a f f e c t i n g i n t e r s ta te n c omm e rc e wi thi n th e me a nin g of 18 U. S.C. § 1 96 2( c ) a nd (d ) duri ng the pe ri od fr om 1 95 3 to t ¶ De e mbe r 1 0, 20 02 . Un ite d Sta te s v. Phi lip Mo rr is, No . 1 :99 -C V- 24 96 , O rd e r # 28 0 a c 3 ( D. D. C. Dec . 11, 2002). H. Am eric an 494. Def endant Ame rica n, prede cessor to Defe ndant B &W, eng ag ed in and c onducted during activities aff interstate c ommerce within the meaning of 18 U.S.C. § 1962(c) and (d) ecting the per iod from 1953 to Fe bruar y 28, 1995. United States v. Ph i lip Morris, No. 1:99-CV-2496, . 11, 2002). Orde r #280 at ¶ 4 ( D.D.C. Dec -215-

246 I. Tobacco Institute ofit corpor endant Toba e adm i t s t h at it was a not-f or-pr nstitut ation and cco I Def 495. association for med in 1958 under the laws of the State of New Y ork, and that, at o industry tobacc tim e , it s p ri nc ipa l pl a c e of bu sin e ss w a s lo on a te d in Was hin g ton , D .C. Un ite d Stat e s v . Ph ili p e c Answer Def enses and J ury Demand of s, Tobac co I nstitut e, I nc. at Morris, No. 1:99-CV-2496, The t. 30, 2000). 16 (D.D.C. Oc Fr om at least 1959 throug h 1995, Def endants Ame rica n, B& W, L igg ett, L orillard, 496. p Morris, and RJR Phili the m ember org anizations of t he Tobacco I nstitut e, albeit for wer e among riods of a ho, as ing pe part of their membership oblig ation, contributed to the Toba cco time, w vary e' s funding . TI FL 0020285-0311 at 0297-0305 ( J D 080429). nstitut I Fr om 1958 until 1999, Defenda nts Philip Mor ris, RJ R, A merica n, B& W, L orillard, 497. e, which w igg red c ontributions of o v er $ 618.4 milli on to the Tobac co I nstitut ett decla ere and L stem. (no bates) ssed throug the interstate ba nking sy h (US 89561 at 97-103) ; (no bates) (US proce s 5 4 - 5 6 ) ; ( n o b a te S ) ( U 75925 at 8 9 5 6 1 a t 4 0 - 4 4 ) ; ( n o b a te s ) ( U S 7 5 5 5 5 a t 7 1 - 7 3 ) ; ( n o b a tes) (U S 89561 at 132-135). 498. the per iod 1980 throug h 1994, the Tobac co I n s ti tu te s p e n t mor e than $169 million For elations and a . TI FL 0020285-0311 at 0298 (JD 080429). for public r dvertising 9. Th e To ba c c o I ns tit ute , it s a g e nts , 49 fo rm e r e mpl oy e e s h a ve ma de nu me ro us pu bli c or statements or a dmissions of t he int erstate nature and scope of its business. For e x ample, on January nt f 12 00 5, B re nn a n D a ws on , fo rm e r Se nio r Vi c e Pr e sid e , 2 or Pub lic Af fa ir s, te sti fi e d a t tr ia l in thi s case that she made public statements, on beha lf of the Tobac co I nstitut e, concer ning smoking and s Crossfire, Good health issues on television prog rams, including CNN' s Newsmake r Sunday , CNN' -216-

247 Morning Americ ht W at ch, and that she intended that millions of America n a, and CB S News Nig h public statements. Daw s believe suc son TT, 1/12/05, 9925:17-9930:16. television viewer Du ri ng tr ia l, B re nn a n D a ws on a lso te sti 50 e d th a t ma ny of the To ba c c o I ns tit ute ' s p re ss 0. fi le a se s a nd oth e r pu bli c sta te me nts we re dis se min a te d to the pu bli c via ne ws pa pe rs a nd ma g a zine s. re d. at 9928:19-9929:10. I On Fe bruar y 25, 1994, the Tobacco I 501. e' s Senior Vice Pre sident of nstitut r d m i n i s t r a t i o n , W i l l i a m A d a m s , a n d i t s S e n i o r V i c e P r e s i d e n t f o t S A a t e A c t i v i t i e s , K u r t L. Malmg ren, ma Br own & Wil liamson Senior Vice Pre sident iled, out of state, individual letters to: a ne pp le s ( a uth or e d b y Mr . M a lg re m) ; Ph ili p M or ri s Pr e sid e Er nd CEO Willi st Pe m Ca mpb e ll nt a (authore by Mr. Adams); a nd L orillard Senior Vic e President M. Alfr ed Peter son (authore d by Mr. d co equesting ny ' s respe ctive their compa n t ribution of at least $100,000 to the Michig an Adams), r Citi zens f or Fa ir Taxes to fight a 1994 ballot initi ative, and r equesting that eac h of the c ompanies wire its contribution to the Tobac co I e' s Washington, D.C. bank a ccount. TI 16370185-0402 nstitut at 0366, 0368, 0369 (US 21258). 502. ust 31, 1994, Wil liam A dams, Senior Vice President of Administration of the On Aug co I nstitut e, mailed, out of state, individual letters to: Phi lip Morris President Wil Tobac liam Campbell; Rey ecutive V ice Pre sident David Ander nolds Ex rown & Wil liamson Senior V ice son; B President Erne st Pepples; L orillard Senior Vic e President M. Alfr ed Peter son; and Americ an Vice d President J er, a dvising them e ach tha t the Tobac co I nstitut e Mana g ement C ommitt ee ha ohn Hag x approve l obby ing e d additional penditures f or a state initiative and reque sting their r espec tive US 21258). company ' s pay ment. TI 16370185-0402 at 0340-0346 ( -217-

248 J. TIR R C/ CT endant TI 503. sever al entities, including RC was formed in January Def 1954 by nd L orillard. TI RC had its principal place of R, B& Defendants Philip Morris, RJ W, American, a i n es s in New Yor k City , New Y bu n 1964, TI RC chang ed its name to The Counc il for s ork. I co Resea - U.S .A. I n 1971, rch - was chang ed to The Council for Tobac co Resea rch - - Tobac the name nc., when CTR incorpora ted as a not-for-prof it corpor ation org anized under the laws of the U.S.A., I f w York. U we r o ip Morris, No. 1:99-CV-2496, Ans CTR at 4, 6 nited States v. Phil State of Ne t. 30, 2000). (D.D.C. Oc Fr om 1954 to 1999, Defe ndants Phili p Morris, Amer ican, B &W, L igg ett, L orillard, 504. mately R contributed a total o f ap proxi $505.4 milli on to CTR, which pay ments were and RJ the interstate ba ssed through h 1999, member nking sy stem. From the pe riod 1954 throug proce contributions to the CTR Genera l Fund, proc h the interstate ba nking sy stem, totaled essed throug t 1017-1023 (US 75927). over $470.2 million. DXA0630917-1033 a Throug h 1997, CTR funde d 1,657 rese arc h g rants-in-a id, r esea rch 505. cts , and contra scientific c ence s, totaling a pproxi mat onfer y $317 milli on, in the United States and a broad. el McAllister WD, 53:3-54:3; 70000302-0618 at 0308 (JD 090039). 506. Fr om a bout 1966 to 1991, CTR a lso a dminist ere d the funding of ce rtain CTR Special para Project wh i ch were se , te and distinct from CTR' s g rant in aid prog ram. CTR administered s Special Projec t funding throug h a separate chec king a ccount, a nd rec eived dire ction and funding from sponsor c Def endants Philip Morris Companies, Phi lip Morris, America n, ompanies, including B& W, L and funds ett, L orillard, and RJR and/or their attorney s. CTR also sent corre spondence igg United States Mail. For to Special Project re cipients and/or their aff iliated instit utions throug h the -218-

249 the per iod 1966 throug over $18.2 milli on toward the funding of h 1990, CTR members contributed No Spe ia l Pr oje c ts. Un ite d St a te s v se p M or ri s, c . 1 :99 -C V- 24 96 , A ns we r o f C TR a t 9 the . Phili t. 30, 2000); McAllister WD, 159:8-164:5; DXA0630917-1033 at 1024 ( US 75927). (D.D.C. Oc 0 7 . C T R p ro v i d ed fu n d i n g t o S p ec i al P ro j ec t s re ci p i en t s v i a c h ec k s p ro ce s s ed t h ro u gh 5 S nking sy n i t ed ed via the U t ates Mail. McAllist er PD, United stem and deliver the interstate ba ip Morris, 5/24/02, 98:3-99:2, 102:13-22, 103:7-19. States v. Phil 8. Ac c or din g to H a rm on Mc Al lis te r, CTR ' s 3 0( b) (6 ) w itn e ss o n th e su bje c t of ma ili ng s, 50 United States mails. I d. at 65:11-66:21. CTR mailed its Annual Reports through the V. DEF ENDANTS DEVISE D AND EXECUTED A SCHE UD ME TO DEFRA CON SU M ER S A N D P OT EN TI A L C ON SU M ER S O F C I G A RETTE S IN MOST, B UT NOT ALL, O F ALLEGED BY THE GOVERN MENT THE AREAS ort De s Ha ve F als e ly D e nie d, D ist ant e d and M inim iz e d t he Sig nific ant A. fend Health Consequences of S m Adverse g for Decades okin 509. rette smoking cause s disease, suffe ring , and death. Despite interna l Ciga rec og nition of this fac t, Defe ndants have publicly denied, distorted, a nd minimi zed the hazards of smoking for deca des. The sc ientific and me dical community ' s knowledg e of the rela ti onship of smoking a nd disease e volved throug chieve d consensus in 1964. Howe ver, e ven af ter 1964, h the 1950s and a such conse endants c both the Def tence of ontinued to deny nsus and the over whelming evidenc e exis on which it was ba sed. 1. Ci ga r e tt e Sm oki ng C aus e s D ise as e 510. rette smoking and exposure to sec ondhand smoke (a lso known as environme ntal Ciga tobacc o smoke or " ETS") kills deaths ly 440,000 Americ ans eve ry y ear . The a nnual number of near to du e to c ig a re tte smo kin g is su bs ta nti a lly g re a te r t ha n th e c omb ine d a nn ua l nu mbe r o f d e a ths du e -219-

250 ill e l dr ug us e , a lc oh ol c on su mpt ion , a uto mob ile a c c ide nts , fir e s, ho mic ide s, su ic ide s, a nd AI DS. g a e oxima ly on e ou t of e ve pr fi ve de a ths tha t oc c ur in t he Un ite d St a te s is caus te d b y c ig a re tte Ap ry T0960104-0112 at 0104 (US 87047) (Center s for TL Control a n d P re v ention, smoking. Disease kin g -A ttr ibu ta ble Mo rt a lit y a nd Ye a rs of Pot e nti a l L if e L os t - - U nit e d St a te s, 19 94 , M MWR, Smo 1997)); VXA 46(20) ( e r s D . , D a y - L a lly C., Namboodiri M., 1000001-0604 (US 77217) ( Thun M., My th J Ex e and the nders W.D., Adams S., Hea posure- Response Relat i o nships Calle E., Fla r. C., Ag th in Cancer Pre aret e S moking a nd Premature Dea tween Cig vention Study I I , Chapter 5, Be t kin g a nd To ba c c o Cont ro l Mono g ra ph 8: Cha ng e s in Cig a re tte -R e la te d D ise a se Ris ks a nd Th e ir Smo e, mplications for Preve nd Control, Na tional I nstitut es for Hea lth – National Cance r I nstitut ntion a I ); TL T0930001-0949 (U S 88621) (2004 Surg eon Ge nera l Report). p. 383-476 (1997) ke 1. Cig a re tte smo c c on ta ins 51 a rb on mon oxide , n itr og e n o xide s, c y a nid e , b e nzo py re ne s, radioa ctive polonium, ar enic, a ldehy des, nitrosamines, numer ous tox ins, and other human s cinog ens. Samet WD, 22:15-23:10. ens and tox ins are absorbe d into the bloodstream car Carcinog rette smoke is inhale iga d. Samet WD, 23:11-24:3. when c ret t e smoking c 512. canc er. VXA1601844- 2232 at 1986 (US 64057) Ciga auses lung 96 4 Su rg e on Ge ne ra l Re (1 rt ). L un g c a nc e r k ill s 1 60 ,0 00 Am e ri c a ns e a c h y e a r, a nd 90 % o f a ll po lun g c a nc e r c a se s ar e c a us e d by c ig a re tte smo kin g . T he fi ve -y e a r s ur viv a l r a te fo r l un g c a nc e r i s only 14%. Samet WD, 71:18-22, 80:1-3; Carmona WD, 1:18-21. 51 3. Th e ri sk of de ve lop ing lun g c a nc e r i nc re a se s w i t h a n i n c r e a s e i n s m o k i ng . I nd ivi du a ls te smo g te n to tw e nty c ig a re tte s p e r d a y ha ve a kin n- fo ld i nc re a se d r isk a nd ind ivi du a ls s mok ing fo rt y d risk of or more c iga rettes pe r day -- two pa cks and ove r -- have more than a twenty -fold incr ease -220-

251 developing lung c This r ate of risk is r efe rre d to a s "r elative r isk." Samet WD, 64:17-67:19; ance r. (no bate s) (US 17141). , including e x posure to sec ondhand smoke, c rette smoking ardiova scular 514. Ciga auses c a se , in c lud ing my oc a r d i a l i n f a r c dis i on (c omm on ly kn ow n a s " he a rt a tta c k" ), c or on a ry he a rt dis e a se e t CH D" ) and a the ro sc le ro sis . CH D r e fe rs to d ise a se s w hic h a ff e c t th e blo od ve sse ls o f t he he a rt . (" , an D c n c a us e a de pr iva tio n o f o xy g e n to the he a rt a d th us , c a us e he a rt a tta c ks . A the ro sc le ro sis CH on the ar ers to the de velopment of plaque of blood flow teries, whic h contributes to the blocking ref no to t a rt . Sa me t WD, 10 7:1 8- 11 8:2 1; (n o ba te s) (U S 17 16 5) ; ( he ba te s) (U S 17 15 8) ; ( no ba te s) he (US 17134); (no ba S 17159); (no bates) ( US 17160); (no bates) (US 17204). tes) (U Ciga 515. s chronic obstruc tive pulmonary rette smoking disease (" COPD"). Same t cause WD, 81:4-90:21. 51 6. CO PD, pr e vio us ly re fe rr e d to a s " e mph y se ma " or " c hr on ic br on c hit is, " wa s f ou nd to be ca usally rela ted to smoking in 1964. I d. at 81:10-83:14; VXA1601844-2232 a t 1986 (US 64057) eon Ge (1964 Surg l Report). nera Ciga rette smoking 517. s bladder c ance r. Samet WD, 90:22-91:4; 97:5-98:17; (no cause bates) ( US 17103). 518. Ciga rette smoking cause s cer ebrova scular dise as e. Samet WD, 118:21-120:18, 121:15-122:14. Ciga rette smoking cause s esophag eal c ance r. I d. at 90:22-91:4, 94:5-95:13. 519. Ciga rette smoking cause s kidney canc er. I d. at 90:22-91:4, 98:18-101:4. 520. Ciga rette smoking cause s lary ng eal c ance r. I d. at 91:5-92:21. d. at 92:22-94:4. 521. Ciga rette smoking cause s oral ca ncer . I -221-

252 522. Ciga s pancr eatic c ance r. I d. at 90:22-91:4, 95:14-97:4. rette smoking cause rette smoking s peptic ulce r disease . I d. at 125:10-127:3. Ciga 523. cause rette smoking cause s aortic a neury sm. I d. at 122:15-125:9. 524. Ciga rette smoking s cata Ciga rac ts. I d. at 127:4-128:8. 525. cause rette smoking Ciga in post-me nopausal women. cause I d. at 128:9- 526. s low bone density 129:22. Ciga rette smoking cause s reduc ed fe rtility . I d. at 130:12-131:23. 527. Ciga 528. s adver se re productive outc omes, including pre- mature rette smoking cause ab nes, plac the membra en t al enta pr ruption, pre- term deliver y and shortene d rupture of evia, plac estation, feta l gr owth restric tion and low birth weig ht. I d. at 130:20-132:9. g 529. rette smoking cause s acute my eloid leukemia. I d. at 101:5-102:23. Ciga Ciga rette smoking cause s stomach ca ncer . I d. at 103:1-104:9. 530. 531. Ciga rette smoking cause s uterine a nd cer vical ca ncer . I d. at 104:10-105:15. 532. Ciga cause s liver ca ncer . I d. at 105:16-106:9. rette smoking Ciga lth status. I cause s dimini shed hea 533. d. at 132:15-135:20. rette smoking Scientifi 2. searc h on L ung Can cer up to Dece m ber 1953 c Re a. Scientists Investigating the Rise in the Incidence of Lung Can cer Lin d Disease before 1953 ked Smoking an 534. Dr. Allan M. B randt wa s acc epted a s an ex pert in t he history of scienc e and me dicine without objection from Def randt TT, 9/27/04, 642:19-643:3. endants. B 535. Dr. B vard s Kass Profe ssor of the History of Medicine at Har randt is the Amalie Mose ir Me dic a l Sc ho ol a nd Pr of e sso r o f the Hi sto ry of Sc ie nc e a t Ha rv a rd Un ive rs ity , wh e re he is t he c ha -222-

253 of the De partment of the e. B ran d t W D, 1 :3-6. Dr. B randt ha s published History of Scienc a siv ly in the fi e ld of the his tor y of sc ie nc e a xten me dic ine fo r e pe ri od of a lmo st t hr e e de c a de s. e nd ece er Prize nomination for one of his works, and, during t h e p ived a Pulitz t d eca de, has He r as than 15 peer -re viewed essay s and article s on the history of cig are tte smoking. I d. published more at 3:17-15:3. 536. se of his historical investiga tion of tobacc o, Dr. B randt ha s review ed and I n the cour ttee at the hival materia 9 6 4 S u zed the arc eon Ge nera l's A dvisory Commi ls from the 1 analy rg chives, a t i o n nd numerous addi tions, including those of H arva rd National Ar al archival collec (Will iam Cochran) ; the Countway L ibrary at Har vard Me dical School (J. McKeen University St. sity L ittle); Washington University , (C.C. L ouis (Evarts Gr aham) ; of Maine Cattell), the Univer orica l Soc i et y (B ruce Ba rton, J ohn W. Hill , Robert L asch, M.V. O ’Shea) ; the the Wisconsin Hist J y Medica l A rchive s at the ohns Hopkins Medical I nstitut ions (L ewis Robbins); Alan Mason Chesne hin ive rs ity of Was g Un ton , Se a ttl e (Wa rr e n M a g nu so n) ; th e L ibr a ry of Con g re ss ( Ed wa rd B e rn a y s, h H r v e y W i l e y ) ; Y a l e U n i v e r s i t y ( C h e s t e r B l i s s , L e s t e r S a v a g e ) ; D u k e U n i v e r s i t y ( t a e J o h n W. Har tman Center f rtising a nd M arketing H istory ); the Smithsoni an (N C Ay er or Sales, Adve The Warsha na); the N usiness America Collection, ational L ibrary of Medicine w Collection of B eon Ge Ba (Stanhope and the Na tional Archive s (The Surg y nera l’s Advisory Commi ttee). ne-Jones); He ha s also revie wed inter nal documents of D efe ndants, including corr espondenc e, re ports, and memoranda o industry activities and prog rams. I d. at 26:14-28:13. on tobacc 537. Much of the G overnme nt’s evidenc e relating to the history of scientific rese arc h on endants did not ca lung c r re lies on Dr. B randt’s te stimony . Def ance ll any expert witnesses or pr esent in this area. any testimony -223-

254 538. By of t he twentieth centur y , phy sicians and public he alth officia ls in the the m iddle rt d te s ha d wi de ly no te d a n a la rm ing inc re a se in the nu mbe r o f c a se s o f l un ite c a nc e r. Vi Sta ua lly Un g kn n a s a c a us e of de a th i n 1 90 0, by 19 35 the ow we re an est im ate d 4, 00 0 d e a ths a nn ua lly un re ttr ibu te d to lun g c a nc e r. A de c a de la te r, the e sti ma te of de a ths a ttr ibu te d to lu ng c a nc e r h a d n e a rl y a p tri 1601844-2232 at 1986 (U S 64057) (1964 Surg eon Ge nera l Report); Br andt WD, l ed. VXA 31:16-32:1. The rise ance r had f ollowed the dra matic i ncre ase in ciga rette c 539. onsumption in lung c p rly an ea . Annual per capita c ons u m in the twentieth ce t i o n of cig are ttes in 1900 which beg ntury t ap p ro x i m at el y fo rt y -n i n e c i gar et t es ; b y 1 9 3 0 , an n u al p er ca p i t a c o n s u m p t i on was ove r 1,300; stood a 50 19 wa , it by s ov e r 3, 00 0. Ev e n tho ug h the inc re a se s in lun g c a nc e r c a se s a nd de a ths su bs ta nti a lly lag g the incre ase in cig are tte use, the a ppare nt association led to consider able spe culation ed behind 2 ny isted betwee n the two. VXA1601844- 2 tionship ex 3 2 at 1895-1898 (U S about what, if a , rela 4 0 5 7 ) ( 1 9 6 4 Su r g e o n G e n e r a l R e p o 6 t) ; B r a n d t W D , 3 2 :2 - 1 7 ; S a me t T T , 9 /2 9 /0 4 , 0 1 0 3 1 :1 3- r 01033:25. 540. The da ng ers of smoking, including its connection to lung canc er, be g an to attra ct the wh mor on c e rt e d att e nti on of sc ie nti sts in t he 19 20 s, c e n r e se a rc he rs be g a n to fo c us on the sp e c if ic e health conse quence s of smoking. B randt WD, 32:18-34:13. r 541. as 1928, re sear cher s conduct in g a la rly g e f ie ld study associate d heavy smoking As ea with canc er. 2060544267-4 2 7 4 (US 39010) (L ombard, He rber t L . and Carl R. Doe ring , Cance r Studies in Massachusetts: Habits, Charac teristics and Environment of I ndividuals W ith and Wit hout andt WD, 33:14-34:13. Cance r, Ne w Eng land J ournal of Me dicine, 196.10: 481-487 (1928) ); Br -224-

255 542. I ick L . H o ffman, a well-known statistician for the Prudential I nsuranc e n 1931, Fr eder canc arc h left him with linger ing me thodologica l , linked smoking with er, although the rese Company sti on s abo ut re pr e se nta tiv e ne ss, sa mpl e size , a nd the c on str qu tio n o f c on tr ol g ro up s. e uc 2510202-0219 (US 63597) ( n, Fr eder ick L ., Cance r and Smoking Habits, Annals of VXA Hoffma ery , 93: 50-67 (1931)) ndt WD, 33:21-34:4. Surg ; Bra I ian from Johns Hopkins, R ay mond 543. n 1938, a population biologist and biometric ea rl , p u b l i s h ed o n e o f t h e f i rs t s i gn i fi ca n t s t at i s t i ca l an al y s es o f t h e h ea l t h i m p ac t o f s m o k i n g. P s conclusion was tha i d u als who smoked could e x pect shorte r lives. 503285883-5884 Pearl' t indiv (US 20714) (Pea Ray mond, Tobacc o Smoking and L ong evity , Science , 87:2253 (1938)); B randt rl, WD, 34:5-13. 544. Early rese arc h eff orts led to publica tion in Ge rmany in 1939 of the first ca se control study that showed the n n ec t i on betwee n smoking a nd lung c ance r. VXA 2510202-0219 (US co fman, F rick L ., Cance r and Smoking Habits, Annals of Surg ery , 9 3:67 (1931)); 63597) (Hof rede 0239 (US 63595) (F. H. Muller, Abuse of Tobacco a nd Carcinoma of the L ung s, J ournal VXA251- of the Ame ri iation (translation of the or igina l from Z eitschrift fur can Medical Assoc bsforschung ; Bra rlin) (1939)) Kre ndt WD, 34:5-36:7. , Be I 545. chest surge ons such as Alton Oschner a nd Richard Ove rholt published n the 1930s, ob se rv a tio ns tha t th e pa tie nts the y sa w w ith a dv a nc e d lu ng ma lig na nc ie s w e re ty pic a lly smo ke rs . Oschne eon, De Ba key conclude d that: "I n nother surg o u r o pinion the increa se in smoking r and a with the univ ersa l custom of inhaling is proba bly a re sponsible fac tor, as the inhale d smoke, constantly repe ated ove r a long period of time, undoubtedly is a source of chr onic irritation to the l, br on chi al muco sa ." 85 86 88 07 -8 82 3 a t 88 07 (U S 63 59 6) (O sc hn e r, Al ton , D e B a ke y , M ic ha e -225-

256 Primary Pulmonary gnancy , Surg ery , Gy necolog y and Obstetric s, 68:435-45 (1939)) ; Bra ndt Mal i WD, 34:14-36:7. By vidence linking smoking to disease be g an to appe ar. 546. the end of the 1940s, more e g inn ing in 1 94 8, un de r t he a us pic e s o f t he Me dical Re searc h Co un c il, a un it o f t he re B e ntl y e c re te d N a tio nal H e a lth Se rv ic e in t he Un ite a ing do m, B ra df or d H ill a nd Sir Ric ha rd Do ll c d K on du c te d a stu dy to i nv e sti g a te the ri sin g inc ide nc e of lun g c a nc e r. F oll ow ing Wor ld Wa r I , H ill c ome one of had bec uished medica l statisticians in Gre at B ritain. Doll, a phy sician, the most disti ng miologic methods. The s s ed sophi sticated tra ining in statistics and epide es y rea liz ed that also po s e sti on s c on c e rn ing the c a us a lit y of sy ste mic c hr on ic di seas es wou ld n ot r e a dil y su c c umb to qu inf xpe ri me nta l la bo ra tor y inv e sti g a tio n ( un lik e the stu dy of e e c tio us dis e a se wh e re sp e c if ic c a us a lit y was important). TI MN0145510-5519 at 5510, 5518 ( 5 5 ) (Doll , Richard, a nd A. B radf ord US 628 oking a the L ung : Preliminary Report, B ritish Medical Journal (1950)); Hill, Sm nd Carcinoma of Br andt WD, 32:18-34:13; 40:19-44:2. 7. F ro m th e ir da ta fr om l un g c a nc e r p a tie nts a nd a c on tr ol g ro up in l a te 54 19 48 a nd e a rl y 1949, came clea r to D oll a nd Hill that cig are ttes wer e the cruc it be fac tor in the rise of lung canc er. ial Wit lmost 650 l ung canc er pa h data on a conclude d that “smoking is an important fac tor tients, they in the cause of ca rcinoma of the lung.” The finding s wer e impressive: among the 647 lung canc er rs pa in D oll a nd Hi ll' s st ud y , a ll 6 47 we re smo ke nts . T he y wa ite d to pu bl icize th e ir re su lts , tie ho we ve r, un til the y ha d da ta on 14 00 lun g c a nc e r pa tie nts , wh ic h fu rt he r str e ng the ned thei r conclusions. TI M N0145510-5519 (US 62855) (Doll & H ill, S moking a nd Carcinoma) , supra; andt WD, 42:1-44:2. Br -226-

257 n 5 I n t h e e ar l y 1 9 5 0 s , Do l l an d Hi l l u n d er s t o o d t h at s o m e c ri t i cs m i gh t d i s m i s s fi . d i n gs 8 4 kin smo kin g to d ise a se a s " me re ly " sta tis tic a l - - w hic h is pr e c g ly wh a t De fe nd a nts did . A s a lin ise descr ific cr i t ibed the spec require d befor e an result, Doll and Hill meticulously eria that they a sso c ia tio n" c ou ld be ide nti fi e d as a g e nu ine c a us a l re la tio ns hip . F ir st, the y wo rk e d to e lim ina te " y the possibilit ontrols, as well as in re porting and re cording of bias in the sele ction of patients and c emphasized the sig l relationship betwee e of a clea r tempora Second, they n their histories. nificanc ht Finally they soug nt development of disease. to rule out any other fa ctors exposure and subseque , t mi g ht d ist ing uis h c on tr ols fro m pat ien ts w ith dis e a se . T his e xplic it s e a rc h f or po ssi ble tha t of their ar onfounder ination marke d a cr itical aspec their elim rival at a causa l conclusion. s" and "c e y ins ist e d o n c a re fu lly a dd re ssi ng a ns sib le c ri tic ism s and a ll alt e rn a tiv e e xpla na tio Th fo r t he ir ll pos finding s. I n this respec t, Dol l and Hill expressed a strong commitment to inductive science , hy pothesis-testing, a nd scientific method: sid tio n h a s b e e n g ive n to the po ssi bil ity tha t the ra re su lts c ou ld Con e en produc the selec tion of ed by unsuitable g roup of c ontrol have be an tie nts , b pa pa tie nts with r e sp ir a tor y dis e a se e xag g e ra tin g the ir y smoking ha bias on the par t of the int er v i ewers. Reasons bits, or by all g x cluding are these possi biliti es, and it is conclude d that iven for e s m o k i n g i s an i m p o rt an t fa ct o r i n t h e c au s e o f c ar ci n o m a o f t h e l u n g. , VX 1 0 1 1 7 -0 1 2 6 at 0 1 2 5 (U S 6 3 6 0 4 ) ( Do l l & H i l l 5 S m o k i n g a n d C a r c i n o m a o f t h e Lun g: A2 Preliminary Report, supra) ; Bra ndt WD, 42:10-43:9. 549. Noted historian Charles Webster observe d of the first Doll a nd Hill pa per, published in 1950: s h i s m o d es t p ap er i s n o w re gar d ed as a cl as T i c. Fr o m t h es e f i n d i n gs emer g ed the r ealization t hat smoking ha s been r esponsible for a s t cholera many d ea t hs per a nnum as wer e cla imed by the g rea -227-

258 epidemics of the nineteenth c Smoking was thus esta blished entury . use of pr ble disease . jor ca eventa as a ma 51 03 01 -0 31 0 a t 03 01 (U S 63 58 9) (We bs te r, Cha rl e s, To ba c c o Sm ok VX Ad dic tio n: A A2 ing e to the Na e, British J ournal of Addiction, 79:7 (1984)) ; Br andt WD, Challeng tional Health Servic 46:4-47:23. , utiny . Two y ear s lat er 550. i n a 1952 Doll and Hill's w ork withstood scientific scr llo w- up re po rt , D oll a nd Hi ll o ff e re d a dd iti on al evi den c e fo r s us ta ini ng the ir c on c lus ion , a g a in fo lly fu sid e ri ng a lte rn a tiv e e xpla na tio ns : c on ouble the ly ly 1,500 case s, or more t h an d sent ana The pre sis of near alt with in our preliminary repor t, suppor ts the conclusion number de rea ched and has reve aled no alterna tive explanation -- for then ol lighter example, in the use of petr s. n sug g I ts with a particular phy sical t has bee ested that subjec ay be prone to de velop (a) the habit of smoking a nd (b) constitution m a of the nd that the associa tion might there fore be lung, a carcinom ther than c ausal (Parnell,1951). We know of no evidence indirect ra phy sical constitution character istic of patients with lung of such a xist w a rc ino ma. I f it d oe s e ind e sh ou ld s til l ha ve to f c so me environmenta l fa ctor to account for the incre ased inc idence of the nt y e in r e c e se e a rs . dis a A2 51 01 27 -0 14 2 a t 01 39 (U S 63 60 3) (e mph a sis in or ig VX l) (D oll , Ric ha rd , an d A . B ra df or d H ill , ina A Study the Aetiolog y of Carcinoma of of L ung , Br itish Medical J ournal (1952) ); Br andt WD, the 43 :10 -4 4:2 . T his a lte rn a tiv e e xpla na tio n fo r t he re la tio ns hip be tw e e n s mok ing a nd lun g c a nc e r c a me also Section I to be labele ional hy pothesis” by Def endants. See onstitut I I (C)(1) (¶55) , supra. d the “c 5 5 1 . Do l l an d Hi l l al s o s o u gh t t o co n fi rm t h e f i n d i n gs o f t h ei r r et ro s p ec t i v e s t u d y t h ro u gh ather prospec tion. They g tive investiga ed data from 40,000 B ritish phy sicians who we re f ollowed vy in order to se e whe ther they would develop lung canc er . T h i s s tudy showed ove r time that hea -228-

259 smokers had de ath ra 2 4 t i mes hig her tha n those of nonsmokers. D oll and Hill's re sear ch t es y une of 2004 nd his colleag ues published a f ifty Doll a ear observa tional h J when continued throug in t he B ri tis h M e dic a l Jour na l. B ra nd t WD , 4 6:1 -2 0; V XA 25 10 00 1- 00 05 (U S 63 61 stu (D oll , dy 2) ha , a nd A. B ra df or d H ill, Th e Mo rt a lit y of rd c tor s in Re la tio n to Th e ir Smo kin g Ha bit s: A Ric Do Report, B ritish Med i ca l J o u rn al (1 9 5 4 )) ; VX A2 5 1 0 0 0 6 -0 0 2 1 (U S 6 3 6 1 1) (Doll, Richar d, Preliminary e nd ra df or d H il l, L un g Ca nc e r a nd Ot he r C a us B s o f D e a th i n Re la tio n to Smo kin g , B ri tis h A. a l J ournal (1956) ). Medica Other r esea rche rs studie d the conne ction betwee n smoking a nd lung c ance r during 552. rg sa tim e pe ri od . I n 194 9, Ev a rt s Gr a ha m, a l e a din g su me e on a t B a rn e s H os pit a l in St. L ou is, the nder, a and Ernst Wy t Washington University , desig ned and implemented a study medical student a to addre ss and direc tly resolve the persistent and inc rea singly important questions conce rning the possible harms of c iga . Gra ham, a na tionally known surg eon who ha d perf ormed the rette smoking tomy , was a smoker himself and ske ptical of the c iga rette -l ung canc er first pneumonec heavy pothesis. hy nder a nd Gra ham collec Wy g roup of 684 patients with lung 553. ted extensive data on a a nc e r l oc a te d in c sp ita ls t hr ou g ho ut t he Un ite d St a te s. Th e se pat ie nts we re e xten siv e ly ho int e rv ie we d a bo ut t he ir smo kin g le ve ls a nd his tor ie s. Hi sto log ic a l e xams c on fi rm e d th e dia g no sis in all case s. This gr ompare d to a " control g roup" of non-smokers, simil ar in a g e and oup was then c e e e mog ra ph ic c ha ra c te ri sti oth s. Wy nd r d r an d Gr a ha m expla ine d, " [T]he te mpt a tio n is st ro ng to c incriminate e x cessive smoking , and in par ticular c iga ret smoking , over a long pe riod as at lea st one g imp ta nt f a c tor in t he str iki ng inc re a se of br on c hio or e nic c a rc ino ma ." Th e y of fe re d f ou r r e a so ns to smokers. Second, support this conclusion. First, it was very unusual to find lung canc ers a mong non- -229-

260 among patients with l g ca n cer, cig are tte use tende d to be hig h. Third, the distribution of lung u n ender mong me atio of smoking pa tterns by g tched the r . And finally , "the er a canc n and women ma rm ou s in c re a se in t he sa le of c ig a re tte s in thi s c ou ntr y a pp ro xima te ly pa ra lle ls t he inc re a se in e no arc inoma." T hese r esults were repor t ed in the Journal of the Amer ican Me dical bronchiog enic c AMA" estig ious, peer r eviewe d journal, on May 27, 1950. VXA2510109- 0116 J ), a pr Association (" 14 (U S 63 60 5) (Wy nd e r, Er ns t L ., a nd Ev a rt s A . G ra ha m, T ob a c c o Sm ok ing a s a Pos sib le t 01 a t o r i n Br onchiog enic Car cinoma: A Study of Six Hundre d and Eig hty Four Proved Etiologic Fac andt WD, 32:18-34:13, 37:13-40:15. Cases, JAMA, 143.4: 329 (1950)); Br f h e p o r t o r a n investiga tion reac hing similar That 1950 issue of JAMA also included t e 554. conclusions by an d o t h er s . I n his commentary on rese arc h into the scientist Morton L evin tion between c iga rettes a n d lu n g c a n c e r , L e v in c o mpa red the curr ent epidemiolog ical re sear ch connec the smoking/lung are ea rc h o n s canc er c onnection done in the pr ece ding tte smoking to re on cig y ear s, arg uing that the past of ade was "inc onclusive beca use of lack twenty quate sa mples, lack work of ra l ack of proper controls or fa ndom selection, e-standa rdize the data." I n the ca se of ilure to ag the da ta g a the re d f or his stu dy , c a re fu l a tte nti on to " e xclu din g bia s" ha d b e e n c e ntr a l. L e vin qu c lud e d th a t " in a ho sp ita l po pu la tio n, c a nc e r o f t he lun g oc c ur s mo re tha n tw ice as f re c e ntl y on among wh o h av e smoked c iga rets [sic] for twe nty -five y ear s than among those s or other smoker nonsmokers of c ble ag e." ompara 0108 at 0106, 0107 (US 63606) (L evin, Morton L ., VXA2510106- Hy ma n Gol d s t e i n , a n d P a u l R . G e r h a r d t , C a n c e r a n d T o b a c c o S m o k i n g ; A P r e l i m i n a r y R e p o r t, J ; Bra ndt WD, 39:23-40:18. AMA, 143:4 (1950)) 55 5. B y the 19 50 s, a nim a l re se a rc h s. s a lso po int ing to t he c a rc ino g e nic ity of c ig a re tte wa ir Wy nd e r a nd Gr a ha m tu rn e d th e ir a tte nti on to t he qu e sti on of the " bio log ic a l pl aus ib il it y " of the -230-

261 epidemiolog ical finding animal investig ations, Wy nder r ea s o ned that if tumors s. I n conducting ld b log pr od uc e d in a nim a ls, it w ou ld b e a n im po rt a nt s te p in c on fi rm ing the e a rl y e pid e mio ou ic c e Noting that condensa s. tes, also known as tars, contained benz opy rene s, arse nic and finding smoke inoge ects. F backs of mice to e valuate their eff arc ifty -eig ht perc ent other known c ns, he painted the d canc erous tumors. Wy nder conclude d that "the suspected huma n car cinog en of the mice develope s th us be e n p ro ve n to be a c a rc ino g e n for a la bo ra tor y a nim a l." Th e se fi nd ing s w e re re po rt e d in ha r Resea Cance r 1953. The study was often ref err ed to as the Sloan-K ettering study rch in De cembe I nder w filiated with the S loan-Ke ttering use Wy nstitut e of the Memorial Center for Canc er beca as af nd Al lie d D ise a se s. CW00 86 01 30 -0 14 4 a t 01 37 (U S 58 86 8) (Wy nd e r, Er ns t L ., Ev a rt s A . G ra ha m, a inoma with Cigar le B p er i mental Production of Carc r, Ex ette Ta r, Cance r . Croninge and Ade ch, 13.12 (1953) ); Br andt WD, 62:13-63:13; Harris WD, 62:4-63:10. Resear By late 1953, there had be en at lea st five published epidemiolog ic investig ations, as 556. a ll a s o the rs , p ur su ing c a rc ino gen ic c omp on e nts in t ob c we c o s mok e a nd its imp a c ts. Th e se a re rc he rs ' un de rs ta nd ing of the lin k b e tw e e n smok ing a nd lun g c a nc e r w a s ma rk e dly mor e c e rt a in se tha e c a se stu die s a nd pr e lim ina ry sta tis ti cal n th nding s c on c lud e d e a rl ie r i n th e c e ntu ry . Wh ile fi so me of the e pid e mio log ic a l met ho ds we re inn ov a tiv e , th e y we re c omp le te ly c on sis te nt w ith e sh e d s c ie nti fi c pr oc e du re a nd pr oc e ss. bli Ep ide mio log y wa s n ot j us t ba se d o n s ta tis tic s, bu t a lso sta wa s a n in te rd isc ipl ina ry , a pp lie d f ie ld. Th e stu die s h a d s ub sta nti a lly tra ns fo rm e d th e sc ie nti fi c are knowledg rni n g the har ms of cig conce tte use. Unlike e arlier anec dotal and clinica l e base nd resolving fer ed new and path-bre aking approa ches to inve stiga ting a assessments, these studies of andt WD, 46:21-47:17. causa l relationships. Br -231-

262 557. Medica ome to vie w these studies a s among the most important l historians w ould c They medicine twentieth centur y . offe red a sophisticated contributions to public health and in the y for r esolving centr al questions of ca usality . I d. at 46:21-48:6. scientific methodolog By 1953, Defendan ognized the Nee d f or Conce rte d Action ts Rec b. e g Evide nc to Confront Accum of the Serious Con sequences ulatin of Sm oki ng 558. The studies conne cting smoking a nd lung canc er were rec eiving attention outside the example, scientific c 1953. For by published repor ts like a Reade rs’ Dig est article titled ommunity "Ca ncer by the Carton" share d the scie n tific finding s in national media, cr eating public conce rn. 12 03358234-8235 (US 46459); B randt WD, 48:1-18. d: 55 9. Th e " Ca nc e r b y the Ca rt on " a rt ic le , p ub lis he d in 19 52 e xpla ine a v E d n a r e d n Wy . L t s e rts A. A study o f 6 8 4 n c a s e s , ma d e r b y E ty nd ha m f or the Am e ri c a n Ca nc e r Soc ie a a Gr pu bli sh e d in the AM A J ournal, May 27, 1950, stated this conc l usion: "Excessive and cig prolong ed use of tobacc o, espec ially are ttes, seems to be a n chi on f br n o io uct nd ant " ma. he i no c carci ogeni im po rt n t fact or i More r ece ntly Wy nder, now associate d with Memorial Cance r Center New s o n s moke e mo r e a p e r in s Y o r k , e xp a n d e d th e s ta te me n t: " T h eas the the lung er of canc veloping ter is the risk of de rea the g , wher ht smoker." a lig risk was small in a nonsmoker or S 46459). 03358234-8235 at 8235 (U Gr d n nder a was published, tobac afte n late 1953, shortly I 560. co study am ah r the Wy c sto me t ti rs fi the s wa h ic wh , 52 19 in 2% ut bo a d e lin c de lso a d ha s le sa tte re a ig c ll ra e Ov d. e lin c de ks 12 e the Court has not r elied upon ce rtain portions of Dr . Br andt' s testimony , a ca ref ul Whil c a re vie w o f a ll o f D r. B nts a nd fe e h D hic w nts ume c do the nd ra d, ite c he nts ume nd do e , th y mon sti s te t' cter cited to re but his testim ony reve als that many nts' chara of both the testimony izations of Defenda and individual documents ar e out of c ontext , unrepr esenta tive, and unfa ir. -232-

263 sales had de clined since ession. Ha rr i s WD, 63:11-64:12; 01138541-8542 (US the Gre at Depr 34313). 1. a lr e a dy dis c us se d, by 19 53 -1 95 4, tob a c c o co mpa ny e xec uti ve s w e re a wa 56 bo th re As s a sig ic a nt s c ient if ic st ud ie s e sta bli sh ing smo kin g a nif c a us e of lun g c a nc e r a nd the pu bli c of the tte nti on the stu die s we re re c e ivi ng . De fe nd a nts ' e xec uti ve s we ll un de rs too d tha t th is n e w s c ie nti fi c a e constituted a f evidenc espec tive companies. B randt WD, 48:19-51:23. ull-scale c risis for their r mok As vid e nc e re g a rd ing the ha 2. s o f s e ing su rfaced, Def e nd a nts e ng a g e d in 56 rm tising ca mpaig ns to induce t he publi c to believe that cig are tte smoking wa s actua lly benef icial adver r s health. Some examples of Def tisements include: Kent Microni te f il te adver s , w h ich endants' to one' e supposedly "de veloped by rese arc hers in atomic ener g y plants," Kent cig are ttes, which cla imed wer gar o oth er ci and a ette appr oache s such a de g ree of hea lth protection and taste sa tisfaction," "N e Che ie ld a d c la imi ng to c ite te st r e su lts tha t " smo kin g Che ste rf ie lds wo uld ha ve no a dvers rf ste eff t, sinuses, or aff ecte d org ans." ADV1100001- 0003 at 0002-03 (US 88703); ects on the throa W02427396-7397 at 7396 0009 at 0008 (US 88728); ADV 74413); ADV1110007- L 1100040- (US rris WD, 67:11-70:20. 0043 at 0042 (US 88715); Ha Whil e continuing to insist that there 563. cation that cig are ttes were unsafe , was no indi Def endants m o v e d a g g r e s s iv e ly to ma r k e t p r o d u c ts w h ic h th e y im p li e d w e r e s a f e r . I n 1 9 53, t Def ett hired Ar t h u r D. L i igg t l e, I nc. (" ADL ") to test tobacco c ondensate s on mice in an endant L a tte mpt to d e ve lop str a te g ie s f or re mov ing carcin og e ns , a t th e sa me tim e tha t it a dv e rt ise d th a t it s " fi rs we re " Just Wh a t th e Doc tor O rd e re d. lte VX A2 61 11 90 -1 19 0 ( US 6 35 43 ) ( L ig g e tt ). Adver tisement, "F redr ic Marc h Say s -- This I s I t L & M Filters Are J ust W hat the Doc tor Orde red" -233-

264 (" 56 nd a nts a lso de ve lop e d the To ba c c o I nd us tr y Re se a rc h Commi tte e fe TI RC" ) t o De 4. arc s of tobacc o u s e an d health" and to handle public r elations for the sponsor rese h into "all phase of scientific o industry to the g rowing body esponse knowledg e. See e x tended discussion tobacc in r TI RC in Se c tio n I I I (C ). Th e fi rs t Sc ie nti fi c Di re c tor of TI RC , a pp oin te d in 19 54 , w a s a we ll- of cted g respe r re s ea rc her, Clar ence Cook L ittle. A former president of the eneticist and c ance of Maine a University of Michig an, founder the of the Roscoe B . J ackson Me morial University nd a bo ra tor y , a nd mem ber of the Na tio na l A c a de my of Sc ie nc e s, L itt le qu ic kly be c a me a ste a df a st L are emer ing sc ientific data linking cig g ttes to canc er. B randt WD, 86:4-88:5. critic of the m 6 5 . A c o n fi d en t i al re p o rt o f a T I R C g h ee t i n 5 el d Oc t o b er 1 9 , 1 9 5 4 , m ad e e x p l i ci t L i t t l e's and De fenda g enda: " [L ittle] decla red tha t both he and the membe rs of the boa rd we re a war e nts' a o for ove the had been made on tobacc which r 200 y ear s, and wished to build a founda tion of attacks sear ch suff iciently strong to arre st continuing or f uture a ttacks." CTRMN007295-7297 at 7295 of re (US 22900); B randt WD, 86:4-88:5. L s showed har ms from tobacc o use: 566. ittle criticized those whose finding The rig ht of an individual to determine his own le vel or thre shold of is unquestioned. convincibility are and will a lway s be individuals who a re c onvinced without There the ne e d o f e xpe ri me nta l e vid e nc e tha t a ll tob a c c o in a ny fo rm is e vil , nox i u s and toxi c. The re a re individuals with a similar attitude o e a a lc oh ol, c of fe tow , a nd the us rd of dr ug s, se ra or me dic ine s. e * * * Suc h a ssu mpt ion s [th a t sm ok ing c a us e d c a nc e r] st imula te d s ome omponent" or investiga in an enth u s i astic hunt for the "c tors to beg "c omponents" in tobac co smoke that can be blamed for the unprove d tion of cause -and- eff ect rela tionship as well as for the re ported produc -234-

265 skin canc er in some e rtain st ra i n s o f labora tory x periments with ce mice. US 20686) (empha sis in original); B 501773418-3466 at 3428-3429 ( randt WD, 86:4-88:5. n the ac continually called for more ittle arc h: "I tive and continuing discussions L 567. rese ut t ob a c c o u se a nd he a lth , th e re se e ms to b e ne a rl y a omp le te a g re e me nt a mon g sc ie nti sts on on ly bo c d much more intensive rese arc h into the subject." 501773418-3466 at 3425 one point: The nee for randt WD, 86:4-88:5. (US 20686); B L ittle's lea dership, the major thrust of TI Under i z e that human 568. RC was to emphas a nc e rs we re c omp le x pro c e sse s - - dif fi c ult to stu dy a nd dif fi c ult to un de rs ta nd . L itt le dir e c te d T I RC c t he ca esea rch." He c laimed that studies whi ch er r fo cu sed on cig are ttes lled "pione towards wha stifle or dela y neede d rese arc h to fin d t h e b asic orig ins of lung c ance r or c ardiova scular could " deadly hich ar most powe rful, diversified and e enemies to our w diseases, w ." 85865874- ell-being 5946 at 5878 (US 21084); B randt WD, 86:19-88:5. 56 9. L itt le als o arg ue d th a t th e re we re no kn ow n c a rc ino g e ns in t ob a c c o ta rs (d e sp ite (b De a nts ' c le a r k no wl e dg e to t he c on tr a ry , a s a dd re sse d in Se c ti on V(A) (5) nd )) . H e re pe a te dly fe cente ttention on the so-called " constitutional hy pothesis," o t h er environmenta l risks, and the red a need f or more r rch: esea e is known about Too littl fac tors, including why people smoke many or wh a t ki nd of pe op le be c ome pa rt ic ula rl y he a vy smo ke rs . * * * The proble usation of any ty pe of c ancer i s co m m of ca lex and p difficult to analy ze. All resea rch on t his so-called c onstitut ional dis e a se is, a nd mu st be , p a ins ta kin g a nd tim e -c on su min g . T he re is not known today any simple or quick way to answer the question of er. whether any one fa ctor ha s a role in c ausing human lung canc -235-

266 De sp a ll t he a tte nti on g ive n to smo king as a n a c c us e d f a c tor in ite canc er, no one b l i shed that cig are tte smoke, or human lung has esta er- any c]. causing one of its known constituents, is canc to man [si andt WD, 85:10-86:3. US 20686); Br 501773418-3466 at 3422-3423 ( lopme nts Between 1953 and 1964 3. Deve Between 19 5 3 a nd 1 9 6 a , t he Evid ence D em onstrating that . 4 okin Causes Sign if icant Adverse g Health Ef fects G rew Sm th oug h No Co nse nsus Had Ye t B e e n Re ac he d Al During 570. nce implicating smoking a s a ca u s e of lung canc er the 1950s, the evide tho on ue d to g ro w. Th e pu bli sh e d re se a rc h emp loy c d d if fe re nt m e tin do log ie s a nd wa s r e po rt e d in e well-re d peer revie wed journa ls. I d. at 66:10-73: 1 specte . Such rese arc h utiliz ed clinica l 0 observa tion, population st udies and labor atory investiga tion, all of which, alone or in combination, are traditional methods of scientific tion. Bra ndt TT, 9/27/04, 643:5-652:11. investiga 7 During ly 1 9 5 1950s, particular -1959, the scie ntific and medic al evidenc e 571. the late- s mou nti ng tha t smo kin g c a us e s dis e a se . Ho we ve r, the wa wa s sti ll on g oin g deb ate amon g st re respe nd independe nt resea rche rs and public he alth experts about both the substantive evidenc e cted a y tion and about showing echnic al t erminolog causa to descr ibe the deg ree of assoc iation the proper t betwee n smoking a nd the disease . link 572. e mounted demonstra ting the causa l s the evidenc betwee n smoking a nd Even a dis e a se , s c ie nti sts e qu ivo c a te d on the e xac t nat ur e of su c h ca us a tio n. F or e xamp le , in 19 56 , D r. C.S. er Socie Cameron, the Me Direc tor of t he American Canc ntific ty (“A CS”), wrote a n dical and Scie article , appea ring r, Atlantic, on the history and ong oing rese arc h on smoking a nd lung c ance in The which stated: -236-

267 Most of the scientists who have houg ht and st udy to the matter g iven t e r g r e e th a t a n a s s o c ia ti o n b a tw e e n c ig a r e tt e s mo k in g and a appe to the lung d o es ex i st. W hether that association is one of canc er of us and a effe c t is a s y e t un a ns we re d in te rm s o f m a jor sc ie nti fi c c e The Ame ri n Cance r Society ] does not hold t hat opinion. . . . [ ca ce o i n g ca m s es ca n k r o f t h e l u n g. s u o b a te s) (J D 0003 10 a t 71 , 7 5) (C .S. Ca me ro n, L un g Ca nc e r a nd Smo kin g : Wha t We Re a lly (n sta ow At la nti c , 1 97 (1 ): 71 -7 5 ( Jan. 19 56 )) . Ca me ro n w e nt o n to he te , h ow e ve r: , T Kn rica r Society , al o n Cance g with a g rowing body of The Ame n ro fe s s i o n al an d s ci en t i fi c o p i n i o n , h as t ak en t h i s p o s i t i o n : Al t h o u gh p of the c esent preva lence rette in the pr of ca ncer of iga the complicity has not bee n proved to the sa t i s fa ct i on of eve ry one, the the lung evidenc ht of mand the stewa e aga inst it is so s erious as to de weig rds of the bli c we lf a re tha t th e y ma ke the e vid e nc e kn ow n to a ll. pu d. I debate on causa tion in the 1950s stemmed from those who believe d that a ca usal 573. The nt d experimental confirma tion. Bra ndt TT, 9/27/04 at 726:13-21. For e x ample, one judgme require sp e c te d r e se a rc he r w ro te : “ pr oo f i s la c kin g a re wi ll rem ain ab se nt u nti l it be c ome s p os sib le to nd produce er e x perimenta lly from some or a ll of the products c ontained in cig are tte smoke.” (no canc Cance bates) ( at 267) (E. Graham, P rimary D 002521 r of the L ung Wit h Special Considera tion Of J I ts E tio log y , B ull e tin of the Ne w Y or k A c a de my of Me d. , 2 7:2 61 -7 6 (19 51 )). As on e a rt ic le a e d it , ma ny sc ie nti sts we re sk e pti c ine l of the e pid e mio log ic e vid e nc e : xpla Th e re is a his tor y of sk e pti c ism tow a rd fi e ld- ba se d p o p u l a t i o n s t u d i e s, in contrast th studies perfor med in the labora tory . . . the wi epidemiolog ic and biostatistical technique s used in the re trospective stu die s of smo kin g a nd lun g c a nc e r we re re la tiv e ly ne w. Ske pti c ism nt and misunderstanding this ne w methodolog y play ed an importa of role in the de bate ove r the he alth eff ects of c iga rettes. s: Th e a rt ic le a lso sta te -237-

268 [T]he e on g e ne ra l and US Pub lic He a lth Se rv ic e (P HS) sc ie nti sts su rg arly as a c ause of l u ng luded as e had conc as 1957 that smoking w ed, “the p ri n ciple etiolog ic fa ctor in the incr ease d canc er, inde canc r, Throug hout the 1950s, howeve of lung the PHS incidence er.” further actions . . . . I tobacc o-re lated public health cted t was not reje outside the P in the early 1960s that HS until pressure mounted from n. Earlier ac tion was not taken ction was take more substantive a c a us e of the wa y in w hic h PH S sc ie nti sts (p a rt ic ula rl y tho se wi thi n be nis e na l I ns tit ute s o f H e a lth ) a nd a dmi tio tr a tor s v ie we d th e ir Na th lation to science and public hea lth. roles in re s) (JD 004238 at 197) (M. Para scandola , Public Health Then a nd Now: Ciga rettes a nd the (no bate . c He . P u b in the 1950s, Am. J Hea lth, 91(2):196-205 (2001) ). I n this good alth Service US Publi , p r o f e s sional debate , scientists seeking such experimental conf irmation did not doubt t he ca usal faith n betwee doubted that it had bee smoking a nd disease but r ather link n proven w ith scientific rig or. Br andt WD, 67:19-68:19. Given this diversity of views a g s t r espec ted and indepe ndent scientists, the Court 574. mon u nt has arg the mid-1950s, a overnme n s en s ued, that, as of s h ad y et bee n does not find, as the G co ched on w hether cig are tte smoking “ cause d” -- in the prec ise scientific meaning rea of that term -- canc er. I of S urg eon Genera l L eroy Bur ney , 575. tudy n 1956, at the urging Group on smoking a S and hea anized by the Amer ican Canc er Socie lth was org , the Amer ican He art As s ociation, the ty National Canc er I nstitut e, and the National He art I nstitut e. This g roup of distinguished experts met ting to reg rac ter of the scientific e vidence rela to assess the cha t o b ac co and health. At that ularly t i m e, t h e G ro u p n o t ed t h at s i x t ee n s t u d i es h ad b ee n co n d u ct ed i n fi v e c o u n t ri es a l l s h o w i n g a A statistical association betwe and lung canc er. en smoking mo n g the studies they summarized, it was smokers than demonstrated tha t: lung ca ncer occur s five to fiftee n times more fre quently among -238-

269 no ns rs ; on a lif e tim e ba sis on e of e ve ry te n me n w ho smo ke mor e tha n tw o p a c ks a da y wi ll mok e er; a probability cessa tion r educe s the canc of developing lung c ance r. VXA 2510023- die of lung nd ank M., et al., Group Hea lth: J oint Report of the S tudy , Fr 0027 (US 63610) (Strong Smoking and , 125:1129-1133 (1957)) ndt WD, 69:22-71:7. alth, Science ; Bra on Smoking and He oup also noted that t he epide miologica l findings we re suppor ted by animal 576. The Gr had been produce d by tobacc o smoke conde nsates. F urther, nt neoplasms studies in which maligna ical and histolog ical studies adde d ev i d en ce t o streng then the " conce pt of ca usal human patholog tionship." The a rela uthors conclude d: morpholog e of carc inoge nesis, as it is understood y ic stag Thus, ever e se nt, ha s b e e n o bs e a e d a nd re la te d to the smo kin g ha bit . t pr rv e su m to ta l of sc ie nti fi c e vid e nc e e st abl is he s b e y on d r e a so na ble Th a ub a t c ig a re tte smo kin g is a c t th us a tiv e fa c tor in t he ra pid ly do n n cr ea s i n g i o ci d en ce i f h u m an ep i d er m o i d ca rc i n o m a o f t h e l u n g. VXA2510023- 0027 at 0023 (US (Strong , Fr ank M., et al., Smoking and Hea lth: J oint Report 63610) Smoking and Health, Science , 125:1129-1133 (1957)) ; Bra ndt WD, 69:22- of the Study Group on 71:7. 7. Ho we ve r, the Stu dy Gr ou p' s ju dg me nt t ha t sm ok ing c a us e s d ise a 57 wa s n ot w ide ly se acc . Michae l S h i m k i n, a PHS resea rche r and a member of epted. Dr Group, stated the the Study Study eport “ cre ated no pa rticul Group’s r and wa s not widely acc epted outside of the ar stir . . .” g r o u p it s e lf . ( n o b a te s ) ( JD 0 6 0 6 3 6 ) ( Sh im k in , M . B . , I n th e M id d le : 1 9 5 4 - 6 3 – H is to r ic al Note, e of the J 1295-1317 (May 1979)). Som 62(5)- very org anizations which had sponsored the Study NCI rt Association (US 63610 at the National He art I n s t i t ute and the A merica n Hea Group, including 1297)). 1129), did not acc ept its report a s “suffic iently convincing .” (no ba tes) (JD 060636 at -239-

270 I ndividual NCI disag ree d with the Group’s conclusion, and ther e wa s definitely no scientists within nsus at NCI randt TT, 9/27/04, 712:25-713:5, 715:9-16. r conse on the issue. B clea I n 1 95 7, NC I ’s Di re c tor , Joh n H e lle r, g a the re d to g e the r the c hie fs of fo ur ma jor NC 57 8. I Epidemiology Hu eper (Chief of the Environmental Canc er sections, Drs. Gilliam (Chief of ), ’s expert on ca enesis), a nd Stewart (N CI ’s hea d patholog ist) to determine (NCI rcinog Section), Shear ther smoking cause d disease. H e “r ece their stance n i als than on the issue of whe ived more de tes) (JD 060636 at 1298) (Shimkin, supra). “[T] heir pa radig m of ca ncer rese arc h support.” (no ba im p ly d id not enco mp a s s th e e p id e mi o lo g ic me th o d . ” I d . T h u s th e y “ r e f u s e d to r e c o g n iz e s ic data tha not confirmed in labor atory animals.” I d. t were epidemiolog 9. B e c a us e of the diss e ns ion wi thi n N CI ov e r t he c a us a tio n is su e , a nd its re fu sa l to 57 y ept the conc Group, Surg eon Ge nera l Burne lusions of the Study appointed Dr . L ewis Robbins acc to d e NC I ’s po int pe rs on ith e a l w to b the iss ue of c a us a tio n. B ra nd t TT , 9/2 7/0 4, 71 6:2 -1 5; s e e a lso e (no ba ) ( JD 0 6 0 6 3 6 a t 1 2 9 8 ) ( Sh im k in , s u p r a ) ( “ [B u r n s y ] th e n o r d e r e d a f u ll e r a c c ount to be te prepa or his signa ture; this task was assig ned to Dr. L ewis Robbins. . . .”). red f Dr. Robbins’s first task wa 580. a brochur e for phy sicians on smoking a nd lung s to write canc er. Bra ndt TT, 9/ 27/04, 720:23-721:5; (no bate s) (JD 004252 at 609). As the broc hure “ went tional Cancer throug o u s revie ws at the Na er I nstitut e throug hout the next 16 m onths” (no h num ba te s) (JD 00 42 52 a t 60 9) , D r. Rob bin s f a c ed in ter nal op po sit ion . Wit hin NC I ’s Ca rc ino g e ne sis ), Br r (Chief of the Environmental Canc er Sec tion rs. Huepe Shear ( NCI ’s expert on anch, D car cinog enesis) and Stewart (NCI ’s head patholog ist) a ll oppose d publication beca us e t h ey “disag ree d with any emphasis that cig are tte smoking induce d lung c ance r.” I d. at 610. t while: 581. I n 1961, the editors of The New E ng land J ournal of Me dicine stated tha -240-

271 th e d it o r s o f th e Jo u r n a l h a v e o n o c c a s io n r e v e a le d the ir own e ic ion tha t on e sid e of thi s con tr ov e rs y is p ro ba bly the on e to su sp t c ic le a ve , it is p e rh a ps no c omp le te ly jud ic ious for the m to wh h to r any extraneous comments at this time that mig ht seem to favor offe action. either f * * * e e n o u g h to s a y th a t m o s t o f I is e v id e n c e is s ta ti s ti c a l a nd t th close a ssociation betwee n heavy cig are tte smoking demonstrates a canc er. and lung * * * co n s c ie n ti o u s o b s e r v e r s b elieve tha t there a re strong indications Many avor a causa l r elation in the of vast majority of ca ses. . . . Other s in f n unconvince i h individual must d. . . . Eac rema choose his own c o r s e , w h e th e r to w o o th e la d y n ic o ti n e o r a b ju r e th e f ilthy u e a wh ile the se we rc h f or tr uth c on tin ue s. d, s) (JD 020447). (no bate Ba sed on the Study Group' s review of existi ng materia l, Dr. Robbins's br ochure , and 582. s e subsequent r a r c h r e s u lts, Surg eon Ge nera l Burne y believed in 1959 that the link betwe en smoking e a nd disease was sig nif ic a nt a nd tha t, a s a re su lt, the re we re imp or ta nt a nd tim e ly op po rt un iti e s to preve nt disease: Hea vice believes that the following statements ar e The Public lth Ser justified by studies to date. The we ight of evidenc 1. as the e at present implicates smoking principal etiologica fac tor in the i l ased incidence of lung ncre canc er. 2. Ciga rette smoking particularly is associate d with an incre ased chanc veloping lung c ance r. e of de 3. Sto pp ing c ig a re tte is kin g e ve n a ft e r l on g e xpos ur e smo l. be ne fi c ia -241-

272 4. No method of filtering the smoke has be en trea ting tobacco or ective in mate demonstrated to be u cing or rially eff red er. canc eliminating the ha zard of lung r i ncidenc e of lung c ance 5. The nonsmoker has a lowe r than the ther a naly zed in terms of controlled studies, whe smoker in all r a l a r e a s , u r b a n r e g io n s , in d r s tr ia l o c c u p a ti o n s , o r s e x. u u Persons nev er s m o ked at all (cig are who have cig ars, or 6. ttes, ve the be st chanc e of e scaping lung c ance r. pipe) ha Unless the use of tobacc o can be made safe , t h e i ndividual 7. s risk of lung person' an best be reduc ed by canc er c f s m n at i o n o i m o k i n g. el i A2 51 00 46-0 05 4 a t 00 52 -0 05 3 ( US 6 36 08 ) ( B ur ne y , L e ro y E. , Sm ok ing a nd L un g Ca nc e r: A VX of e, JAMA, 71: 1828-1837 (1959)); B randt WD, 76:13-77:21. the Public Health Servic Statement 3. Whil e Dr . B ur ne y be lie ve d th e lin k b e nif e e n s mok ing a nd dis e a se wa s si g 58 ic a nt, his tw article did not come to a cate g orica l c onclusion. The PHS itself labeled Dr. Bur ney ’s co n cl usion “we asel wor re ne cessitated by the strong disag ree ment over the issue within the ag ency ds” that we .C. e . B ra nd t TT , 9 /27 /04 , 7 07 :4- 70 8:3 , 7 22 :1- 12 ; ( no ba te s) (JD 02 27 06 a its (L e tte r f ro m L lf t 1) Rob s, M. D. , Ch ie f, Ca nc e r C on tr ol P ro g ra m, t bin .S. Di e hl, M.D. (Jul y 8, 19 60 )) . T he de ba te o H over w hat was pr oof of a “ca use” is unmi stakable in the e arly draf ts of the Surg eon Ge nera l’s 1959 statement. To try to reach agr eement on how the PHS would describe the evidenc e and the at 611). Weeks be tionship, a number of dra e cir culated. ( no bates ) (J D 0 0 4 rela 5 2 fts wer fore 2 publication, in a Novembe ft marke d “fina l , r 1959 dra t h e PHS planned to state that the a rea was ” “hig hly controve rsial,” that ther e wa s “no scientific proof” of ca usation, and that the Surg eon Gene rticle would “ admit[ ] t his”: ral’s a [W]e f e e l ju sti fi e d to ma ke a tty fu rt he r ob se rv a tio n wh ic h se e ms p re auses well established. There exis ts no scientific proof that smoking c -242-

273 lung can cer Ev e n th e Sur g e on Ge ne ra l’ s sp e c ia l a rt ic le a dmi ts . ve thi this. . . . Today ” of a statistical s “coinc we ha idence canc and lung p at hologic al tionship between smoking rela er. The e nc e of the re la tio ns hip be tw e e n e tw o, if no t we a k, is a t le a st vid the hly on tr ov e c ia l. hig rs s) (JD 020373 at 1). (no bate 8 4 . The diss en t o v e r th e is s u e a ls o le d to PH S p u b li c a ti o n o f a n e d it o r ia l o p p o s in g the 5 eo Surg n article , which wa s published two weeks la ter. (no ba tes) (JD 023196) (at n Gene ral’s ow tte ); randt TT, 9/2 7/0 4, 72 2:1 3- 72 3:4 , 7 b 7 :9- 15 (w ri B n b e c a us e of dis a g re e me nt w ith in Ta 24 eon Ge nera l’s office and NCI ). The editorial criticized Surg eon Ge nera l Burne y ’s statement on Surg ted g two rela ed disag ree ment over its conc lusion: rounds. Fir st, it acknowledg amined the same e vidence cited A number of authorities who have ex Dr . B ur ne y do no t a g re e wi th h is c on c lus ion s. by evidenc Second, it pointed out the lack of uthoritative position: e to support an a Neither the propone nts nor the opponents of the smoking theory have su ff cient evidence to wa rra nt the assumption of an all-or -none i authoritative position. lso a te s) (JD 00 07 16 a t 21 04 ) ( Smo kin g a nd L un g Ca nc e r, JAMA , 1 71 (1 5) :21 04 (1 95 9) (n Se e a o b ). Br andt TT, 9/27/04, 722:13-723:30. h 5. n a dd iti on , o uts ide of the pu bli c he a 58 I com mu nit y , s ur g e on s a nd pa tho log ist s lt pub li s h e d c li n ic a l r e p o r ts a s s o c ia ti n g c a n c e r in th e ir p a ti e n ts w it h th e ir s mo k in g h a b it s. I n 1957, ported in the Ne Osca h and his collea g ues first re rbac w Eng land J ournal of Me dicine on r Aue "C h an ges i n t h e B ro n ch i al E p i t h el i u m i n 's el at i o n t o S m o k i n g an d C an ce r of t h e L u n g. " Au er b ac h R n order study evalua ted patients with c onfirmed smoking histories who died and wer e autopsied. I -243-

274 to avoid any potential bias, wer e kept ig norant of the smoking histories in the 30,000 microscopists xami na ns tha t th e y ma de . A ue rb a c h a nd his c o- a uth or s c on c lud e d: e tio nts se nd ing s a re fu lly c on sis e nt wi th the hy po the sis tha t in ha la fi Th te t or another important fac tors in the ca u s ati on of of one sor are arc re a indings a enic c lso consistent with the bronchog inoma. The f that are tte smoking is an important fa ctor in the c ausation theory cig hog enic c arc inoma. of bronc bach pr esente d additional confirma tory finding s in 1961 a nd 1979. 682628764-8771 at 8771 Auer uerba ch, Osc t al., Chang es in the B ronchia l Epithelium i n Relation to Sm oking (US 54185) (A ar, e s the L er of P ro gre s ung , New E ng land J ournal of Me dicine, 256.3:97-104 and Canc : A Report of 9 5 7 )); VXA2511322-1328 (US 63538) ( Auer bach, O scar , E. Cuy ler Ha mmond, and L awr ence (1 Cig rf Ga l, C ha ng e s in the B ro nc hia l Ep it heli um i n Re la tio n to ink a re tte Smo kin g , 1 95 5- 19 60 vs . e 1970-1977, Ne w Eng land J ournal of Me dicine, 300.8:381-386 (1979) ); Br andt WD, 63:14-64:11. 586. During the same time pe riod, E. Cuy ler Ha mm o n d and Da niel Horn c onducted a massive epidemiolog ical study nd lung c ance r under the auspice s of the Amer ican of smoking a ore tha r Society orn study , m n the Hammond and H n 200,000 men wer e followe d Cance . I os pe c tiv e ly fo r n e a rl y fo ur y e a rs ; du ri ng thi s pe ri od pr ,0 00 die d. Th e a uth or s f ou nd tha t no t on ly 12 was lung er far more preva lent as a cause canc of death among those who smoked (twe nty -four times more than nonsmoker s), so too were hear t disease a nd circ ulatory d i s ea s e. Hammond and Hor n u e t i m a t e d t h a t a m o n g s m o k e r s , s m o k i n g m i g h t a c c o s n t f o r u p t o 4 0 % o f t h e i r m o r t a l i t y. VXA2510028- ammond, E. Cuy ler, a nd Daniel Hor n, Smoking and De ath Rates 0045 (US 63609) (H randt t on Forty -four Months of Follow-up of 187,783 Men, JAMA, 2840-2857 (1958)); B -- Repor WD, 65:16-66:9. -244-

275 58 7. se re su lts we re con si st ent wi th res earch bei ng carri ed o n o ut si de t he U ni te d St a te s. Th e 95 nte the Me dic a l Re se a rc h Co un c il o f G re a t B ri ta in i ssu e d a sta te me nt p ri n 1 d in the B ri tis h I 7, ournal a ance t which re ad: l J Medica nd the L inves tiga tions in di ffe rent c ountries indicates Evidence from many sso ma pa rt of the inc reas e [in l un t a c a nc e r] i s a jor c ia te d w ith tha g o particula rly in the smoking, iga rettes. I n the opinion tobacc form of c the Cou nc il, the mos t re a so na ble int e rp re ta tio n o f t his e vid e nc e is of lationship is that the re e of direct ca use and e ffe ct. The o n l identification of se enic substanc es in tobacc o smoke car cinog vera usal rela tionship. h a ca provides a r ational basis for suc ndt WD, 75:23-76:12. Howeve 01149261-9264 at 9264 (U at that point in ti me, the S 63537); Bra r, l Resear pare d to rea ch a c ch Council was not pre orica l conclusion on ca usation. Medica ateg 8 8 . I n Ja n u a r y 1 9 5 9 , Je r o me Co r n f ie ld , w h o w a s A s s is ta n t C h ie f o f th e B io me tr ic s 5 m tional Cancer e and Cha irman of the D epart nstitut ent of B iostatisti cs at Johns I Section at the Na , offe red a substantive revie w of the available evidenc e linking cig are ttes to lung Hopkins University ng a nc e r. Cor nf ie ld a nd his c oll e a g ue s c a re fu lly c on side re d th e ra of e c a lte rn a tiv e hy po the se s to a c ou nt f or the sig nif ic a nt r ise in c a se s o f, a nd de a ths fr om, lun g c a nc e r. Th e y c on c lud e d: c nc e nit ud e of the e xce ss l un g -c a g e r ri sk a mon g c ig a re tte Th ma s s o g r e a t t h a t t h e r e s u lt s c smokers i n n o t b e in te r p r e te d a s a r ising a from an indire tion of cig are tt e smoking with some other ct associa ent or c cter istic, since this hy pothetical ag ent would have to be ag hara s s t ro at least a gl y associate d with lung c ance r as c iga rette use ; no n such ag ent has be en found or sug g ested. The consistency of all the epidemiolog ic and e perimenta l evidence also supports the x on e lus ion of a c a us a l r e la tio ns hip wi th c ig aret te smo kin g , w hil c c re the re se ri ou s in c on sis te nc ie s in a c on c ili ng the e vid e nc e wi th re other hy potheses which have been a dvance d. Unquestionably there e a re a s w he re mor e re se a rc h is ne c a ssa ry , an d, of c ou rs e , n o s ing le re cause acc ounts for all lung canc er. The information alr eady available , a ho ve r, is s uf fi c ie nt f or pla nn ing we nd a c tiv a tin g pu bli c he a lth s. me a su re -245-

276 This paper also expli uted ong oing c rit i q u es by two well-known statisticians, F isher and citly ref Be rkson: contra d i ctory or inconsistent in the inhere We see nothing ntly ion that one ag n be re sponsible for more than one est ent ca g sug we lacking disease, nor in prec edents. The Great Fog of L ondon are 2 in c re a se d th in 1 de a th ra te fo r a nu mbe r of c a us e s, pa rt ic ula rl y 95 e tory and cor onary disease, but no one has g iven this as a re ason respira r d ou bti ng the c a us a l r ole of the F og . T ob a c c o s moke, to o, is a fo complex differ ent combustion substance a nd consists of many I incre dible" to f ind that these hundre ds products. t would be more " f c h e m i c a l p r o d u c t s a l l h a d t h e s a m e e f f e c t t h a n t o f i n d t h e c o n t r a r y. o ffe in wh i ch cause and e ct alwa y s have a one-to-one A universe ta or re sp on de nc e wi th e a c h o the r w ou ld b e e a sie r to u nd e rs ut i nd , b c t ob vio ly is n ot t he kin d w e inh a bit . us 0098 at 0068, 0091 (US 63607) ( Corn ie ld , J erome , et al., Smoking a nd L ung Cance r: VXA2510068- f and Discussion of Some Que National Canc ournal of the nt Evidence er I nstitut e, Rece stions, J ndt WD, 71:23-73:10. ; Bra 22.1:173-203 (1959)) n 1960, the World Health Org 589. ) also issued a sta tement sig naling I anization ("WHO" ree ment with the Surg eon Ge nera l's a nd Medica l Research Council's c onclusions. After its ag fo on c tin g a re vie w o f th e scie nti fi c fi nd ing s, the WHO du un d a c a us a l li nk to b e the " mos t c rea sonable interpr etation." Br andt WD, 77:22-78:1; Bra ndt TT, 9/27/04, 704:12-14. 590. I n 1962, y et another thoroug h and fa r-r eac hing a ssessment of the scie ntific evidenc e sicians, af rea onclusions as previous studies. T h e Br itish R oy al Colleg e of Phy same c ter ched the two y s of investig ation, stated, " [d] ear ssociated with smoking now ca use so many deaths iseases a that the y p r e s e n t o n e o f th e mo s t c h a ll e n g in g o p p o r tu n it ie s f o r p r e v e n ti v e me d ic in e to d a y . " The repor t concluded: The strong statistical association betwe en smoking , espec ially of usal cig are ttes, and lung canc er is most simply explained on a ca -246-

277 basis. . . . The smoking is a n important cause of lung conclusion that bit cease canc rom lung canc er d, er implies that if the ha the death rate f action, per l fal o a fr haps to one fif th or eve n, lly would eventua t t o o n e tenth of the pre sent level. Since the prese nt among men, th annual number ance r bef ore the ag e of of dea s attributed to lung c is some shortening . . . a lar g e amount of pr emature ment retire 12,000 of life is at issue. s) (JD 001007); Bra ndt WD, 78:2-17. (no bate om 1953 t o 1964, in articles, spe Fr s, and testimony , the deba te continued 591. eche m o n g s t m a n y o f t h e m o s t r e s p e c t e d s c i e n t i s t s a n d o r g a n i z a t i o n s i n t h e c o u n t r y: a ’s Dire 1953: NCI ohn R. H eller, “testified that there has not ctor, Dr . J conclusive pr oof that smoking cause s canc er.” Br andt TT, been a ny 8 / 0 4 , 885:10-13. See a lso (no bates) ( J D 004219 at 1018) 9/2 s partment L abor- Fe dera l Sec urity Ag ency Appropria tion of for (De ings B e the Subcomm. of the Comm. on efor 1954: Hear tions, 83rd Cong. 1018 (1953) (testimony of Dr. John Appropria f h lle r: “ As y ou a re we ll a wa re , the c or re la tio n o a e a vy c ig He re tte smoking ha s been me i n co n nection with the occ urre nce of ntioned ng canc tion, definitely been lu er, but this has not, to our satisfac ). established. . . .”) 1953: Three o ted the statistical associa tion, senior PHS scientists n l significa nce of these a but stated “the e tiologica ssociations remains (no bates) (JD 000720 at 1256) (D .A. Sadowsky , et unestablished.” . , The S tatistical Association Betwee n Smoking and Carcinoma of al ung the L NCI , 13:1237-58 (Aug . 1952-June 1953)). , J Huepe r, NCI Environmental Canc er Sec tion 1954: Dr. ’s Chief of the n.” B randt TT, 9/27/04, stated that “c ausation had not been prove 709:10-19. on Gene ral Sche 1954: Surge d the “not prove n” position and ele state the clea d for “ much more stu d r nee . ” (no bate s) (JD 020490 at y DM A0 01 06 29 ) ( “ He a vy c ig a re tte smo kin g a nd the a lle g a tio n th a t it c ca e s lu n g c a n c e r h a v e r e s e iv e d mu c h a tt e n ti o n la te ly . There u a pp e a rs to be a sta tis tic a l c or re la tio n b e tw e e n h e a vy c ig a re tte ever smoking a urre nce o f l u n g canc er, how nd the occ , we do not b el i eve tha t adequa te evidenc e of a positive causal r elationship has ). been pr oven. Much more study is require d and is now in prog ress.” -247-

278 1 9 : D r . J e s s e G r e e n s t e i n , C h i e f o f N C I’ s B i o c h e m i s t r y L a b o r a t o r y, 5 4 biochemistry book which states: s time, the etiolog ical wrote a “At thi of the appare signific lung c ance r and smoking nt ance association of D 000719 at 167) (G ree nstein, ins unestablished.” (no ba rema tes) (J m i s t ry of Cance r: Chapter I I I J tors .P., Bioche -- Extrinsic Fac ademic Pre ). (Ac ss 2nd ed.) (1954) ’s C d nvironmental Cance r, Dr. H ueper , lecture I 1955: NC hief of E s “at be st circ u m s tantial.” (no that the value of statistical data wa J D 000467 at 67, 69) ( Ciga re t t es , L abora tory Tests . . . The bates) ( ndustry I ts, 20(2):56-73 (F eb. . . . Medica l Aspects, Consumer Repor e per a some other e x perts re g ard the evidenc d n Dr. Hue 1955) (“ are tte smoking a s insufficient or and cig linking lung cancer , and the theor y g ener ally contra . . . [A] ccor ding dictory as not proven. per, a enowne d authority on environmenta l to Dr. Hue world-r cinog iga rette the ory is almost entirely based on car ens, ‘the c t istical data ha ving a t best circumstantial va lue and be ing in pa rt sta igin.’ . See also (no bates) (JD 020522 at 173-74) ”)) of questionable or n An al y s i s o f t h e E n v i ro n g C en t al C au s es o f Lun (A an cer, Americ an m Pharmac eutical Ma nufac turers’ s Ass’n Proce eding s of the Mid-Ye ar Meeting at 149-178 (D ec. 6- 8, 1954)). 1955: NC I ’s scientists repor ted to be “pr etty well divided” on the l relationship . (no bate s) (JD 000711 at 8) (Edwa possible causa rd n b ro Cig a re tte s L un g Ca nc e r, CB S te ur visio w, ro a dc a st R. M le ipt, J une 7, 1955). H oweve r, by 1957, NCI ’s Dire ctor, Dr . transcr “made it clear that ‘only one or two’ scientists in the Heller wer e NCI not in ag m en t with the PHS [ Public Health Service ] vi ew on the ree e.” ( J D 004238 at 200). evidenc no bates) ( 56 : N CI ’s Dir e c tor , D r. He lle 19 te sti fi e d b e fo re Con g re ss t ha t it r, was NCI ’s view that a cause and ef fec t relationship betwee n smoking and lung canc d not y et been demonstrated. B randt TT, 9/28/04, er ha 886:3-9. ore Cong ral B urney t es 1957: Surge i fi ed bef on Gene ress that fina l t answe rs had not bee n secur ed, and, w ithout “much more de finitive inf or ma tio n, ” a wa rn ing c a mpa ig n s ho uld no t be c omm e nc e d. F a lse and Mi Adver tising: Hea ring Be fore the L eg al & Mon. Aff. sleading Sub c omm itt 5th e of the C omm itt e e on Go ve rn me nt O pe ra tio ns , 8 e n: Con g ., 13 3- 16 2 ( 19 57 ). Sur g e on Ge ne ra l B ur ne y we nt o -248-

279 We b e tha t [“ it i s c on fi rm e d b e y on d a re a so na ble lie ve t ere is a hig h deg ree of statistical doubt tha t h ciation between lung er a nd heavy and o canc as s e d c ig a prolo ette smoking ”], and Dr. He ller’s g roup n g r s with that. . . . I would like to say ag ain, ree ag that we do not be lieve the final a n swers howeve r, ve be n s e c ur e d a nd tha t th e re is a limit to w ha t a ha e dera should do ency can or icial Fe responsible, off l ag ble re y ha ve a ll fo va ila the inf or ma tio n. Th a t is be a I think we have stopped at a cer tain point. Using why ticular judg our par ment, and that until such time as we mo have muc d e f in itive inf ormation, we should not r h e out on a campa ign and put stickers on c iga rettes o g all c e rt a in o a r t hin g s. nd the eon Ge l Burne y and Dr . Heller of the NCI testified about the a g ree nera n Surg ment betwee t to the role that smoking pla y s in lung c ance r: scientists with respec T]here a re ma ny scientists in the Cancer I nstitut e, [ ing a y d if f e r e n c e s o f o p in io n , s c ie n ti s ts b e n and m dis ie sts . H ow e ve r, I wo uld nti a g re e . . . th a t th e re is sc ri wi de va pa a tio n in a tti tud e . E ve n a a rt ic ula r s c ie nti st who believ es t hat air pollution is much more of a tor, for s, howeve r, that fac example, than smoking, say min is n bt t ha t smok ing is i nc ri ou a te d in thi s re o d the s proce i m ply a matter of deg ree . . . . I ss and it i s say that the consensus in the C r I nstitut e -- would ance I t speak for the entire Public Hea lth Service , but can’ ce ta in ly in th e Ca n c e r I n s ti tu te a r d in th e N a ti o n al n I nstitut es of Hea lth - - the c onsensus is refle cted in the sta t em en t wh i ch t h e S u rge o n Ge n er al has y p mu lg a te d . . . . A n o v e r w h e lm in g ma jo r it o [a g r e e ]. r I with the exception of only 1 or 2 who do would say ree p with this vi ew not ag oint, but the completely overw jority o f t he scie ntists i n the helming ma National I nstitut e of H ealth ag ree . (no bate ller fur ther e x plained the a g ree ment among scientists. s) (JD 11816 at 160). Dr. He Takin g th e c o u n tr y a s a w h o le . . . I w o u ld s a y the majority of t hem concur in this viewpoint. There a re s c e rt a in i nd ivi du a ls . . . wh o d o n ot a g re e . . . . Th is i -249-

280 c ha te ri sti c of sc ie nc e in g e ne ral, whe re the re is a ra c of opinion on many subjects. Howe differ ence ver, o the utmost analy t h er e is not as when one , zes it t on the surfa ce. . . . might think renc much diffe e as one My h at 75 perc ent of the phy sicians or best g uess is t have e and some competenc e knowledg scientists w ho with this formula. ould concur in this area w I d. at 161. s 5 : NC I ’s Di 9 ct o r, J o h n He l l er , t o l d C o n gre 7 s t h at “e l u ci d at [ i n g] 1 re mecha was of the nism involved” rea test importance in the the basic g i re ct i on of re sear ch. (no ba tes) (JD 000332 at 145) (Adve rtising d g il - T ip Ci g a r e tt e s ) , H e a r in r s B e f o r e a Su b c o mm . o f the te (F mit te d. on Go ve rn me nt O pe ra tio ns , H ou se of Re pr e se nta tiv e s, Com ). 85th Cong. 145 (1957) porter f h C i ef , Dr. Harold Dorn, c ranc h or 1960: Biometrics B o-re hnical Report No. 192, “ Epidemiology of Cance r of the WHO’s Tec ung ,” stated tha t “epidemiolog ical studies of a disease such as lung L se. er ide g ener al factors that af fec t the incidence of the disea ntify canc of t he specific age nt responsible for the ef fec t of a The identification tor e ne ra l f a c or (f g e xamp le , c ig a re tte smo kin g or a ir po llu tio n) mus t usually be made labora tory or experimental st u d i es . The Study by commends that such studies be e g ed. . . . The Study Group re ncoura o u p al s o wi s h ed t o ca l l at t en t i o n t o t h e f ac t t h at ex i s t i n g k n o Gr ed ge wl of the of lung c ance r is alre ady sufficie ntly well established etiology fy lactic a ction aimed at r educing expos u re to known to justi prophy al fa ctors.” F ED 100017175-7184 a t 12-13 (JD 045987). etiologic of the As the deba 592. rly 1960s, the o v erw helming ma jority te continued, by the ea scientific a nd medical c ommunity had come to believe that smoking was c ausally linked to disease. For example, in 1962, Dr. L ewis C. Robbins, of NCI , acknow ledg ed that althoug h scienc e could not y n “author itative position” on the issue of ca usation, the public health stake s were too gr eat et take a to w a it f or s u b m i s s i o n o f t h e c o m ple x expe ri me nta l pr oo f r e qu ir e d b y tr a dit ion a l c a us a tio n s ta nd a rd s. c I , PH S w o u ld s e n d it s me s s a g e to th e p u b li nstead b a s e d o n a le s s s tr in g e n t “ p u b li c h e a lth” t: vie wp oin -250-

281 Whil e one be unable to take an a uthoritative position concer ning may nd f la tio ns hip be tw e e n s mok ing a a re lun g c a nc e r, the re is a oo of pr b l i c h e a l t h v i p w p o i n t w h i c h i s o f t h e g r e a t e s t i m p o r t a n c e : It u e pp e a rs th at th e re ma y no t be de fi nit ive stu die s c on c e rn ing thi s a tionship in rela omes a time whe n scienc e ca n our lifetime. . . . The re c ree bility but cannot a n s wer the final h deg of proba show a hig applied question: Shoul ople? I t is here that the pr actice d this be to pe ventative medic ine must pick up and take the final step. of pre s) (JD 020481 at 2). (no bate ommunity I the ea rly 1960s, the v i ew o f t h e s cientific c n sum, by had re ache d the 593. and lung vidence supporting a causal rela tionship between smoking canc er w as conclusion that the e it ff ic ie ntl y e sta bli sh e d a nd re c og nize d - - a lbe no t to a sc ie nti fi c c e rt a int y -- su tha t it wa s a pp ro pr ia te to warn the public of the da ers it fa ced. ng e Be 64 , Def en d an ts In tern all y R 19 c og niz e d t he G r owing b. fore de nc e De m Evi tr at ing th at Sm oki ng C aus e s Sig nifica nt ons Adverse fects Health Ef nts' knowledg I l documents reve 594. hat Defenda nterna e of the pot ential har m cause d al t by smo kin g was mar ked ly dif fe re nt f ro m th e ir pu bli c de nia ls o n th e sa me su bje c t. D e fe nd a nts specific ally og nized th e v ali dity of the g rowing body of scientific evidenc e that existed in the rec 50 s. 19 At the same time that De n d an t 595. fe as sured the public thr oug h their 1953 " Fr ank s Statement" tha t "ther e is no proof tha t cig are tt e s moking is one of the ca uses [of canc er]," the y documented a l e number of known car cinog ens contained in cig are tte smoke. 86017454-7454 arg (US 21418). 596. For example, a Dec ember 24, 1952 memorandum titled " Report o f Prog ress -- s in Te c hn ic a l Rese a rc h De pa rt me nt" c on ta ine d a "C a nc e r" se c tio n, wh ic h note d: " Th e B & W la b h a -251-

282 the pa de a pa rt ia l isola tio n an d id e nti fi c a tio n o f t he a ro ma tic hy dr oc a rb on , b e nzo py re ne , in bo th st m a o from are EI GH blend cig inal tobacc ttes." The repor t refe rs to benzopy rene as smoke and orig RAL cinog droca rbon." 65020084-0095 at 0092 (U S 21388). car enic hy a " g inning in 1954, the BA T Group' s major rese arc 597. labora tory perf ormed re sear ch Be h cinog of ciga rette smoke by conducting enicity x periments on mice. A s into the car skin-painting e te d at Se c tio n V (A )( 5) (b )( ¶6 71 ), inf ra , th is r e se a rc h s ho we d th a t w he n c omp ou nd s in c ig a re tte no e painted onto mouse skins, they d canc erous tumors. 682621615-1617 a t 1615 (US cause smoke wer 54180). 8. RJR re c og nize d s mok ing a s a caus e of dise a se in m ic e a s e a rl y a s 1 95 3. Th is 59 e is documente Claude Tea bruar y 1953 Report dra fted by knowledg g ue, an RJR rese arc h d in a Fe ith Empha ed " of Cance r Resea rch w Survey sis on Possible Carcinog ens fr om Tobacc o." scientist, titl I t wa s cle a r to Te a g ue tha t, " [s]ome wo rk e rs ha ve a tte mpt e d to pr od uc e e xpe ri me nta l c a nc e rs in t e st animals by application of ta rom tobacc o, tobacc o smoke, and other materia ls derived rs obtained f dg om t a c c o. " Te a g ue fu rt he r a fr kn ow le ob e d: " On the ba sis of the inf or ma tio n a t ha nd , it wo uld c appea r that poly nuclea r aromatic compounds occur in the py roly tic products of toba cco. B ensy prene identified and ' prene [si c], both carc inoge ns, were nsy in the distil lates. . . . Studies of clinical N-be data tend to c onfirm the rela tionship betwe en heavy and prolong ed tobac co smoking and incidenc e of ca ncer ." 501932947- 2968 at 2952-2953, 2961, 2963 (U S 21407). of the lung 599. R document written by Alan Rodg man, an RJR scientist, discusses a 1954 A 1959 RJ repor " and car cinog enic ( canc er pr oducing ) poly cy clic hy droca rbon, 3, 4-be nzpy rene t of a " g: el ab o ra t es o n R J R 's i n -h o u s e r es ea rc h wh i ch co rr o b o ra t ed t h i s fi n d i n -252-

283 There is e that any of t hese c ompounds will produce ca ncer no evidenc n. in m the le ss, the re is a di sti nc t po ssi bil ity tha t th e se ne No a cinog substances w ffe ct on the human r espirator y ould have a car enic e l experience has shown that man responds to various stem. sy Medica e m i c a l s c b s t a n c e s i n t h e s a m e m a n n e r a s e x p e r i m e n t a l a n i m a l s . It h u llo ws the re fo re tha t it wo uld be be tte r fo r the c on su me r i f c ig a re tte fo ke smo de vo id o f s uc h c omp ou nd s. we re * * * rb rt y -o dd po ly c Som c lic hy dr oc a thi on s h a ve sin c e be e n s imi la rl y e y ha ra c te ri zed in t he se la bo ra tor ie s. Of the se , eig ht a re c a rc ino g e nic c ou e pid e rm is. se to m 500945942-5945 at 5942 (U S 21249). RJ R soug ht to remove some of t he cance r-c ausing compounds at t he same time it was 600. ny bli c ly de c ing tha t th e c omp ou nd s e ve n e xiste d: " [H]a vin g pu on fi rm e d a nd e xten ded th e ea rl y published findings on poly cy droca rbons i n cig are tte smoke, we initiated a leng thy rese arc h clic hy s in gram ve lop me tho ds to l e sse n th e a mou nts of the se po te nti a lly da ng pro ro us c omp ou nd to de e cig tte smoke." 500945942-5945 at 5943 (U S 21249). are wrote a Rodgma s later wor k corr oborate d his prior finding s. I 601. 1956, he n' n extensive n paper he Ana ly sis of Cigar on "T I n it, Rodgman e x plained: ette Smoke Condensate." Th e re se a rc h d e sc ri be d in thi s r e po rt re pr e se nts a c on c e rt e d e ff or t to deter mine whether cy clic a rom atic hy droca rbons ar e or not the poly nt in ciga smoke condensa te. One of the major objec tions prese rette fe re d to pr e vio us inv e sti g a tio of is t ha t th e ide nti fi c a tio n o f s pe c if ic ns compounds solely on the basis of ultraviolet absorption studies is not definitive. Since the prese nt rese arc h descr ibes the ac tual isolation, c ide fi c a tio n a nd chara c te ri zat ion of se ve ra l po ly c y nti lic a ro ma tic enic 3, 4- hy rbons including the hig hly car cinog droca benzpy rene , the major cr iticisms of past resea rch a re now nullified. s: Rod g ma n f ur the r w ro te of the stu die s u nd e rt a ke n u sin g sta nd a rd Ca me l c ig a re tte -253-

284 I n v f t his da ta , i t is l og ic a l to a ssu me tha t th e c a rc ino g e nic ie w o are nsate is due to the pre sence of one of cig activity tte smoke conde e c a rc ino g e nic po ly c y c lic a ro ma tic hy dr oc a rb on s. or mor * * * smo Sin s n ow we ll- e st abl is he d th a t c ig a re tte e ke do e s c on ta in c it i al poly clic ar omatic hy droca cy n s, and consider ing the sever rbo tentia l a nd a c tua l c a rc ino g e nic a c tiv ity of a nu mbe r o f t he se po st c omp s, a me tho d o f e ith e r c omp le te re mov a l or a lmo nd omp le te ou c l of these c are tte smoke is require d. remova ompounds from cig S 20667). 501008241-8293 at 8254, 8279, 8280 (U o s views wer e c Rodgma nsistent with what visit ing sc ientists from the United 602. n' ng do m obse rv e d in 1958 a bo ut re se a rc he rs wo rk ing fo r De fe nd a nts . Th e thr e e B ri tis h s c ie nti sts Ki ted widespre ad ac cepta nce a mong top of ficials and sc ientists in t repor co he United States tobac industry , including those at TI RC, L igg ett, Phili p Morris, and Ame ri ca n , t hat smoking c auses disease. T hey noted that t here was virtual consensus among resea rche rs wit hin the industry further tio t c re tte s p la y e d a ro le in t he pr od uc a n o f h uma n c a nc e rs : tha ig h one exception (H.S. N. Greene ) the individuals whom we met Wit that smoking cause s lung canc er if by "c ausation" we mea n believed chain of any h leads fina lly to lung c ance r and w hich events whic he olv s sm ok ing a s a n in dis pe ns a inv lin k. I n t e U. S.A . o nly ble Be rently , is now prepa red to doubt the statistical evide nce rkson, appa soning is nowhe re thoug ht to be sound. and his rea * * * I n their [L igg ett' s] opi nion T.I .R.C. has done littl e if a ny thing constructive, the re- iterate d "not proven" statements in the constantly e of mounting ry evidenc e has t horoug hly discredited fac contra .R.C., an d the S.A.B. of T.I .R.C. is supporting a lmost wit hout T.I exception projec ts which are not rela ted di rec tly to smoking and lung c a nc e r. L ig g e tts [sic ] f e lt tha t th e pr ob le m w a s su ff ic ie ntl y se ri ou s to stm jus y lar g e -s c a le inv e tif e nt b y the Com pa ny dir e c tly in that experimental rese arc h on smoke and c ance r, ac cepting privately -254-

285 a strong case o had bee n m ad e out and a voiding a ny ag ainst tobacc re ch had pr ovided something public comment until their ow n sear er. concr ete to off * * * jor ity of indiv id uals wh om w e me t a c c e Th d th a t be y on d a ll e ma pte are tte smoke most probably acts a s a direc t sonable doubt cig rea v ery wea k car cinog en on the human lung . The opinion was thou gh mic iven that in view of its che co mpositi on it would indeed be g al his isi if c ig a re tte smo ke we re no t c a rc ino rpr e nic . T ng su g repr ity but by no means the una nimous undoubtedly esents the major s entists in U.S.A. These individuals advised us that opinion of ci althoug h it is not possible to predict unambiguously the ef fec t of any ce on man from its eff ect on e x perimenta l animals the substan ener g ssful use of a nimals in other fie lds as a model for man ally succe m. jus ie s th e ir us e lly ur pr ob le tif fu in o NY0003106-3116 a mphasis in origina l); Br an t 3108, 3111, 3112 (US 21369) (e t WD, 94:8- TI d ndt TT, 9/28/04, 820:6-20. 96:13; Bra 3. I n 1 96 2, Ro dgman off ered hi s as ses sm ent of "t he s mo ki ng and heal th pro bl em": 60 major par al es of this Company consists of t of the s Although the ig a re tte s, wh a t th e Com pa ny se lls is c ig a re tte s mok e . T his c p erne y , there fore , should be conc Com d with the phy siologica l an mpositi ties d co an on of cig are tte smoke. The be nefits from proper su c h k no wl e dg e a re ob vio us , p a rt ic ula rl y [sic ] it a nti c ipa te s p os sib le g ov rnm ent a l r e g ula tio n. Du ri ng the pa st t wo de c a de s, c ig a re tte e die ke ha s be e n smo ta rg e t of a ho st of stu s r e la tin g it t o il l- he a lth the and par ti cu larly to lung c ance r. The ma jority of these studies inc ri min a te c ig a re tte smo ke fr om a he a lth vie wp oin t. * * * Epidemiologic results of 34 diffe rent statistical studies al data: The g incre are o k i n m ases the r isk of developing lung show that cig tte s er. Many canc authorities believe the relationship to be one of ca use- and-e ffe ct. . . . The statistical da ta from the smoking -he alt h studies a re a lmo st u niv e rs a lly a c c e pte d. Af te r mor e tha n te n y e a rs , c ri tic ism s t o t h e s f u d ies have been r educe d to the dictum. A statistical study s. c a nn ot p ro ve a c a us e -a nd -e ff e c t r e la tio ns hip be tw e e n tw o f a c tor -255-

286 R o an m ad e e x p l i ci t t h at h e c o n s i d er ed t h e e v i d en ce o f s m o k i n g's h ar m co n v i n ci n g: d gm v Obviously , the amount of e ate: i d ence Evidence The to D c umu lat ed to ind ic t c ig a re tte smo ke a s a he a lth ha zar d is a c rw nc lmi ng . T he e vid e e e c ha lle ng ing thi s in dic tme nt i s sc a nt. ov he c mpt to sh if t th e bla me to o the r f a te tor s, e .g ., a ir po llu ta nts , At s c e ssi ta te s a c c e pta nc e of da ta sim ila r t o th os e de nie d in the c ig a re tte ne se. smoke ca * * * t has bee stated that some scie ntists di scount the n repe I atedly e. canc ory . This is tr u tte smoke-lung But it should be are cig er the d th a t ma ny of tho se qu ote no thi s r e g a rd a re on re c or d w ith te d in sting view ., Be rkson, the statistician, has stated " ...the s, e.g contra of t hese statistical studies is not that there definitive important finding n a sso c ia tio n b e tw e e n smok ing a nd lun g c a nc e r, bu t tha t th e re is is a ths from all ca iation betwee k i n g and dea o uses n sm an assoc ener ally . . . ." g (US 20735) (emphasis in origina l); Br andt WD, 96:14- 504822847-2852 at 2847-2848, 2850-2852 99:4. 604. Despite these writing s, in 1995, Dr. Rodg man stated under oath that, as of 1962, he e a g re e d th a t it wa s “ mor e lik ot ly tha n n dis th at cig a re tte smo kin g c a us e d h e a lth pr ob le ms. Th is explanation is in dir contra diction to the clea r wording of his ow n documents, set forth a b o v e, ect ve itt n 4 0 y e a rs be fo re his 19 95 te sti mon y . M or e ov e r, Dr . Ro dg ma n h wr d a fi na nc ia l in c e nti e to a of r f a vo ra ble te sti mon y to R JR whe n h e te sti fi fe d. He wo rk e d for RJR as a sc ie nti st f ro m 19 54 to e 1 9 8 7 , r i s i n g t o t h e l e v e l o f R & D D i r e c t o r o f F u n d a m e n t a l R e s e a r c h . S i n c e h i s r e t i r e m e n t f r o m R JR g in 1 Rod g ma n h a s b e e n r e ta ine d a s a pa id smo kin 7, a nd he a lth lit ig a tio n c on su lta nt t o Wo mbl e 98 Carly le PL L C (“Womble”), ear ning as much as a total of $600,000. Rodgma n PD, United States v. me Phi Mo rr is, 6/2 6/0 2, 23 :20 -32 :8 . At the sa lip tim e tha t he wa s b e ing pa id a s a c on su lta nt t o nd Wombl e, Rodg man also ser ved as a fac t witness for RJ R in it s defense of va rious smoking a -256-

287 health ca ses. I 2 : 1 0 -1 6 , 27:1-32:8, 33:2-25, 37:1-41:12, 42:14-43:11. Dr. Rodg man’s d. at 1 he a tio n o f t he e xten siv e a na ly sis a nd fi nd ing s o f h c e se a rc h o f t nta late 195 0s a nd 19 60 s is re is r not cre patently dible. iga orillard also c esea rch w hich L to c onducted r rette smoking as a ca use of 605. pointed a nc e r a nd oth e r d ise a se s. I n th e e a rl y 19 60 s, L or ill a rd c on du c te d in- ho us e e xpe ri me nts on a nim a ls c iliastatic eff that showed c on the re spiratory trac t. T he cilia a re small hair -like ects of toba cco smoke lue h help move par out a s in the lungs whic airwa y s clea n. Spears PD, B ticles structure nd keep the w J erse y v. Phili p Morris, 3/23/00, 144:4-22. Cross/Blue Shield of Ne 6. Phi lip Mo rr is a lso re c og nize d th e lin k be tw e e n cig a re tte smo kin g a nd dis e a se . A July 60 , 1 95 24 8 me mor a nd um w ri tte n b y C. M a c e , he a d of re se a rc h for Phi lip Mo rr is, a dmi tte d th a t Ph ili p Morris was aware s linked to lung c ance r. The me morandum stated that " the that smoking wa ither alone e . . . is building up that cig are tte smoking contributes to lung canc er e or evidenc heavy sical and phy siologica l fac tors." 1000305086- 5087 at 5086 (US 20090). in association with phy Dr. He lmut W akeha m, a hig h-ra nking Philip Morris scientist, wrote in a Septe 607. mber 22 95 9 me mor a nd um r e g a rd , 1 nic oti ne : ing One of the main re asons people smoke is to ex per i ence the ph y sio log ic a l e ff e c ts o f nic oti ne on the hu ma n s y ste m. N ic oti ne , to s n the f p re se nt k no wl e dg e , d oe st o ot p ro du c e c a nc e r. He nce, in be theory one could a chieve the m ajor advantag e of smoking without the cco hazard of c ut nic otine in toba r. B smoke is pr esent in the tar ance phase, a nd so far a reduction in tar by filtration or otherw ise has bee n acc ompanied by a compa rable reduc tion in nicotine. S 21657). 1005039423-9424 at 9424 (U -257-

288 608. L internally linked smoking and disease, and soug ht to red u ce o r remove igg ett 1 ar o u s co n s t i t u en t s . I n a m em o ra n az u m d at ed M ar ch d 5 , 1 9 6 1 , Ar t h u r D . L i t t l e, I n c. , L i gg e t t 's h d tsi de re se a rc h c on su lta nt, su mma ri zed the re su lts of the wo rk it p e rf or me d f or L ig g e tt: ou ri Th a re bio log ic a lly act ive ma te re a ls p re se nt i n c ig a re tte e 1. o. tobacc h es e a re : a) ca n ce r c au s i n g T n ) c ce r p ro m o t i an g b ) p ois c ou s on d) sti mul a tin g , p le a su ra ble , a nd fl a vo rf ul. 2. There is no r eason w hy the poisonous gr oup, CO, HCN, NO2, ou tc a nn ot be red uc e d, e ve n th c g h th e y a re no t se e n a s a e ., ima ry he a lth ha zar d. pr tho ds fo r r e mov a l a re : Me a) f ted ca rbon, etc .) iltration (trea pr tr a tmen t f or b) mov ing e e c ur so rs , CN re elimination c) a ddition as a rea ctant (ur ea f or NOs) . 3. Cance ng materia ls, esters, phenols, a mines, can r promoti be re rac some trea tment, ext possibly tion, etc. duced by The c 4. cer-ca using ma terials appa rently are in many an su bs ta nc e s th a t a re py ro ly zed bu t se e m to be a sso c ia te d w ith tobacc eate r concentra tion than for primarily cellulose. o in gr These f indings we re ma rked " confide ntial." 2021382496- 2498 at 2496 (US 20345). at 609. igg ett working memorandum titled “Alte rn A L i ve The ories of Car cinog enesis,” operties prepa red on A pril 24, 1963, acknow ledg ed a causa l r elationship betwee n “the c hemical pr -258-

289 of ing d to ba c c o s mok e ” a nd de ve lop me nt o f c a rci no ma th at w a s su g g e ste d b y De fe nd a nts ’ e ste scientists. 2022969727-9728 (US 20368). Ca 19 50 s, De fend ant s Beg an Th e ir Jo int m pai gn t o F als e ly . c In the he Existence of a Lin k Between Cigarett e ort t Deny and Dist g and D i s ea s e, Even Thou gh Th eir Inter nal Docum ents Sm okin ognized Its Existence Rec 610. inning in the 1950s, all Def endants, including TI RC, the Tobacc o I nstitut e and g Be U. s su c e sso r, Th e Cou nc il f or To ba c RC' o Re se a rc h– c S.A ., I nc . (" CTR " ), iss ue d nu me ro us fa lse TI c ned to mislead the public a bout the connec tion betw een c iga rette smoking public statements desig se. and disea National Marc public speec h to the 1954 Association of Tobac co Distributors by A h 611. g e Wei ssm a n, a Vi c e Pr e Ge e nt w ith De fe nd a nt P hil ip M or ri s, c a ptu re d D e fe ndant s' pu bli c or sid sit ion tha t th e re wa s n o li nk be tw e e n s mok ing a nd dis e a se : po tha or ve r i n th e his tor y of Am e ri c a n in du str y -- a his tor y ne t no t so F incidentally had its orig has one industry been unde r ins in tobacco -- n k as we t o d such attac , are ever has an industry ' s very exis tence ay been so de pendent on its rela tions with t he public. * * * Which brings me to a nd even mor e important cur re nt nother, a - the c urre g anda being direc ted aga inst the problem! - nt medical propa are by a sm all number of doctors and a larg e number of cig tte industry g a zi n e s , a n d n e w s p a p e r s . A s ma n y , ma n o t m o r e , d is ti ng uished if sc nti sts ha ve dis pu te d th e a rb itr a ry statem ie the fe w d oc tor s. ents of As many , if not more, distinguished r esea rchers , h av e pointed out o t h er f a c t o rs s u ch as ai r p o l l u t i o n ra t h er t h an ci gar et t e s m o k i n g. scientists w There many are ho question the statistics and even doubt t h e f ac t t h at t h er e i s a h ea l t h q u es t i o n i n v o l v ed i n ci gar et t e s m o k i n g. dlines when the c Ye wh o rate d the hea , harg es we re ma de? t Unfortuna tely , t h e ci gare tte industry . Where we re the denials and counter claims? You sometimes had to use a microscope to find we the m. . . . I f w e h a d a n y th o u g h t o r k n o w le d g e th a t in a ny way -259-

290 we re lli ng a pr od uc t har mf ul t o c on su me rs , w e wo uld sto p b us ine ss se tomorrow. S 21766) (emphasis in orig andt WD, 49:23-50:10. 2022239339-9343 at 9339, 9341 (U inal); Br On Ap ri l 14 , 19 54 , TI RC pu bli sh e d 61 A Sc ie nti fi c Pe rs pe c tiv e on th e C iga re tte 2. " ," wh i ch re s t at ed t h e F ra n k S t at em en t 's p ro n o u n ce m en t t h at t h e D ef en d an t s had ac cepte d Controversy n interest "a s health as a basic re sponsibili ty , para mount to every other c onsideration in our ople' in pe re pr inted and sent to 176,800 doctors, g ener al pra ctitioners total of 205,000 copies we business." A ialists. I t was also sent to the de an s o f m ed i ca l an d dental colleg es. The book a nd an and spec 0 ompany ess re lease went to a pr ess distribution of 1 5 , ing pr 0 0 , including e ditors of daily and acc ne e kly pa ws we pe rs , c on su mer magazine s, ve te ra ns ma g a zine s, a nd me dic a l a nd de nta l jo ur na ls, news sy ndicate ma ers, business e ditors, editorial writer s, science wri t ers, r adio and tele vision nag New Y ws columnists, a Members of Congr ess. The Sunday d ork Da ily News commentators, ne n ir c ula tio n 3 ,8 00 ,0 00 ) g a ve fe a tur e tr e a tme (c o the bo ok le t, d e vo tin g a ma jor pa rt of the pa g e to nt t comment and a car toon. The story was also sent to some 1,400 radio stations. 1005039987-0008 at 9990 (US 20192); TL T0902954-2955 (U S 88388). 613. I n a Jul y 1, 1954 statement by TI RC, Defenda nts promised not only to conduct fi re a rc h o n th e re la tio ns hip be tw e e n s mok ing a nd dis e a se , b ut a lso to m a ke the ir se nd ing s k no wn to the public. VXA2511193- 1194 (US 63544). On Octobe r 13, 1954, i n newspa 614. as t he New York D aily Mirror, Timothy pers such Har et established RC, was quoted as say ing tha t "no cl i n i ca l evidence has y tnett, Chairman of TI ATC2454770-4770 (US 87049). tobacc o to be the ca use of human c ance r." -260-

291 615. TI sued a July 15, 1957 press re lease titled " Sc ie n ti s t C o mm e n ts on Benzy py rene RC is where it disputed the United States Surg eon Ge l's r eport that be nzy py rene had bee n Report," nera sts fi d in c ig a re tte smo ke , a nd sta nti d th a t sc ie nti e ha d co nc lud e d tha t ben zy py re ne in c ig a re tte ide te ok e cann ot be a ca us e of c ancer in sm ok ers . T hi s p ub li c st ate men t co nt radi cte d i nt sm l B&W erna rese h. 11313243-3244 (US 20280); 650200084-0095 ( US 21388). arc 6. fi e To ba c c o I nf or ma tio n Co mmi tte e , a TI RC su bc omm itt e e , p ub lis he d th e 61 rs t in Th ies of Toba a ser nd Hea lth newsletter s in October 1957. The ne wsletters c ontained ar ticles that cco a tionship between smoking and disea se, cr iticiz ed re sear ch that supported suc h a disputed the rela rela t differ ing opinions existed reg arding tobacc o us e and health. The tionship, and asserted tha newsletter was sent to the medic al and sc ientific communities. I t rea ched a circ ulation of 520,000 in 1962, with about 315,000 co i es b ei n g sent to doctors, dentists, and medica l schools. The p the publication was to re but and discre g es ag ainst tobacc o. admitted purpose of dit the char S 21282); 511018410-8413 22459); MN123324-3327 (U TI MN0070640-0656 (U S 21299); (US TI S 22983); TI MN0081443-1457 (U S 21307). MN0070657-0674 (U TI A Dec ember 16, 1957 press re lease from TI RC falsely stated that 617. has "[n]o substance been f known to c ause canc er in human being s." 500518708- 8711 at 8708 ound in tobacco smoke (US 21834). fi h the rising popularity o f 618. l t ers, De fenda nts attempted to promote their ne w Wit fi lte re d c ig a re tte s a s sa fe r, wi tho ut e xplic itl y a dmi tti ng tha t th e ir pr e vio us pr od uc ts caused he a lth ely problems. They ed to i nsist that the rise of filter c iga rettes mer u ref lected the nature of contin cons u me r d e ma n d . Ja me s P. Ri c h a r d s , Pr 0, s id e n t o f th e T o b a c c o I n s ti tu te , e xp la in e d o n Ju n e 3 e 1958: -261-

292 The c iga ng ed its mind. Our posit ion was and ret industry has not cha ienti is based on the f nce doe s not support the fi act that sc c evide thing in smoke known to ca are t is any use human theory that there cig co I nstitut e] believes that the health of the ance lung c r. . . . [The Tobac o p l e i s m o r e i m p o r t a n p t h a n d i v i d e n d s f o r a n y i n d u s t r y. e t MN0122775-2775 (U TI S 21326). n a new spaper article I 19, 1958, Clarenc e Cook L ittle was 619. published on November as s ay i n g t hat there was sca nt clear evidenc e that smoking cause d lung c ance r, that much quoted sear more re d, and that TI RC would continue to provide funds for indepe ndent re sear ch ch wa s neede l answer obtained. 501860595-0595 ( US 21233). he fina s were in universities and hospitals until t n a De cembe r 27, 1958 public statement, Ha rt n et t , 620. till TI RC's Chairman, I s oking a emained unde termined a nd asser ted that an nd disease r c rea sing emphasized that links to sm in u mb e r o f f a c to r s w e r e b e in g a s s o c ia te d s ta ti s ti c a ll y w it h lu n g c a n c e r . H e c it e d occupa tional n residenc air pollutants, place of birth and lung a e, previous exposures, specific ilments, and nutrition, c la ng tha t the se fa c tor s a nd oth e rs we re su bje c ts o f m uc h s c ie nti fi c inv e sti g a tio n. He sa id t ha t: imi in J ndustry y 1954, the Tobac co I at its formation Resear ch anuar pr mit e sta te d it s f un da me nta l po sit ion : “ We be Com ve the te od uc ts lie we make not injurious to health.” We are pledg in g ai d and are assistance t h e resear ch ef fort into all phases of tobacc o use and to health. Tha t statement and pledg e ar e reaf fi rm ed today by the members of the Tobac ndustry Resear ch Committ ee. co I S 20636); Bra 500518759-8761 at 8761 (U ndt WD, 88:6-89:4. 1. I n a no the r T ob a c c o a nd He a th n e ws le 62 r, TI RC c la ime d: tte Con i n u i n t scientific r esea rch le nds support to the position t hat too g many un knowns exist today conce rning lung c ance r to war rant v co cl u s i o n s p l ac i n g a m aj o r c au s a t i n e r o l e o n ci gar et t e s m o k i n g, acc ording to the 1957 Report of the Scie nti fic Dire ctor of the ee. Tobac co I ndustry Resear ch Committ -262-

293 Th e c a tio n a lso de c la re d: pu bli is compatible Ciga lth, and even rette smoking with normal hea ag aver tte smoking i s e cig compatible with better - r-than- heavie are v er age m o rt al i t y ra t than , ac co rd i n g t o a s ci en t i fi c r ep o rt prese nted -a es e the Southern Me dical Associa tion. befor MNAT00515648-5651 a t 5648 (US 72185); Br andt WD, 84:10-85:2. 2. On No ve mbe r 2 7, 19 59 , the To ba c c o I ns tit ute iss ue d a sta te me nt a tta c kin g the a rt ic le 62 Surg l Burne y on the hazards of cig are tte smoking. nera See ¶¶ 137, 624; eon Ge written by MN0110091-0091 (U S 21319). TI L ittle issued the following state ment one day afte r publication of B urney ' s 1959 623. tion: evalua e the r ece nt resea rch tre nds, the conc lusions set forth in the Despit revie w re ly almost entirely on past repor ts that Public Health Service tha re no mor e c on c lus ive today e n w he n th a se re po rt s w e re fi rs t pub l s h ed . Most of the points are not ne w but are familiar to the i nc e c a n p ub lic be c a us e the y we re Am fi rs t adv a ri e d some y e a rs a g o in statistical studies that admittedly not suppor ted by experimental are e. evidenc 503283464-3467 at 3465-3466 ( US 22981); Br andt WD, 90:20-92:5. 62 4. Hi ll a nd Kn ow lto n, TI RC 's pu bli c re la tio ns c ou ns e l, e xpla ine d it s st ra te g y in po a ipa tio n o f t he B ur ne y re c rt : nti Comment from TI RC for the press remains an ef fec tive way to meet anti-tobac co p u b li c it y eff orts and empha siz es the multiple fac tors that should be co n idere d. This, of course , is complemented with a s og continuing pr ing i n fo rmation to g ive editors and ram of supply writers a balanc ed per spective on que stions of tobacco a nd health. * * * Publis hed in the Nove mber 28 issue of the J ournal of the Americ an l Medica l Association, the ar ticl e signe d by the Surg eon Ge nera -263-

294 pr e d a se le c tio n of p ub lis he d d a ta a bo ut s mok ing a s r e la te d to se nte ney canc appea ranc e of the Bur nticipating the article and g lun er. A rn ing of its c on te nts in a dv a nc e of pu bli c a tio n, it w a s p os sib le to le a with statements from Dr ittle, Mr. ess promptly . C.C. L provide the pr P. Ric ha rd s, pr e sid e nt of Th e To ba c Jame o I ns tit ute , a nd othe rs . s c cc i n d o stry comment in cover ing the Press stories used the toba u eon Ge nera l's a rticle. Surg t 5148 (US 21177); Br HT0145148-5150 a andt WD, 92:23-94:7. side nterna endants a cknowledg ed that, as William Kloepfer , Vice Pre , Def n t of 625. lly I nstitut e wrote to Earle Clements, President of the Toba cco Public Relations for the Tobac co I ns tit ute : I s ic p o s it io n in th e c ig a r e tt e c o n tr o v e r s y is s u b je c t t o the Our ba inding, that we g be subj ect to a f may are making false or e, and char le a din g sta te me nts to p ro mot e the sa le of c ig a re tte s. mis MN0072354-2356 at 2354 ( US 63576). TI But De fenda nts' c ampaig n continued. On July 6, 1961, the Tobac co I nstitut e issued 626. r e s s le r e a p a s e th a t q u o te d th e T o b a c c o I n s ti tu te Pr e s id e n t G e o r g e A ll e n ' s c o mm e n ts on curr ent s health con r n s r e g a r d in g c ig a r e tt e s mo k in g : " T h e to b a c c o in d u s tr y it e e lf is mo r e in te r e s te d tha n c any in finding out and making publi c the true fac ts about tobacc o and hea lth." Allen f urther one else has produc rese h in rec ent y ea rs arc ed finding s that wea ken ra ther than suppor t the claimed that " claim that smoking is a ma jor contributor to lung canc er." TI MN0104428-4429 at 4428 ( US 21762). 627. Geor e Allen, Pre sident of the Tobacco I nstitut e, explained the De fenda nts' ong oing g n a ra position i dio interview: L EN: . . . All the medica l authorities as fa r as I k n AL w, or o prac all of t hem, agr ee that tically knows what c auses c ance r, nobody a n d s p ins to be c if ic a ll y lu n g c a n c e r , a n d th is is a ma tt e r th a t r e ma e tion. found by thoroug h and ene rg etic scie ntific investiga -264-

295 * * * A E N : . . . T h a t s tu d y [f r o m th e Ro y a l Co ll e g e o f Ph y s ic ia n s , 1 9 6 2 ], L L d very in its accusations, cha rg es re g arding considere while strong g , ne ve rt he le ss tha t stud y its e lf sa id tha t th e ma jor ity of pe op le smo kin wi o if ut a ny ha rm to t he ir sy ste m. S ke y ou sa y , a m I g oin g to smo tho canc canc smoke, a lot of people g et lung et lung er who have g er if I d a rec ent case , in which 27 nuns smoked in their lives. We ha never r, not all tog ether , not in the same plac had died of lung c ance e, but the stat s t ics . . . who had ne i en nea r tobac co. So, among ver be e r t a i n l y o n e w o u l d h a v e t o s a y t h a t i f yo u j u s t a s k t h e q u e s t i o n f l a t l y, c smoke, will I if I canc er, the re a re ma ny , many case s and g et lung re e e s -- c ite d sta te me nts vid fa c t tha t the nc is no p ro ve d c a us e e to the fec t relationship betwee n the two. and ef 500062010-2018 at 2011, 2015-2016 ( US 20619); Br andt WD, 114:6-115:7. 2 8 . On M ar ch 1 4 , 1 9 6 3 , el ev en m o n t h s b ef o re t h e re l ea s e o f t h e 1 9 6 4 S u rge o n Ge n er al 's 6 ining a cco I e issued a pr ess re lease to the New York Times conta nstitut statement Report, the Toba Allen: by ie . M nti fi c op ini on s d if fe r w ide ly Sc a ny sc ie nti sts sa y tha t mo re mus t be lea rned be it will be known whether any o f t h e fa ctors now fore , includin g s a role in c ausation of disea ses under study smoking, ha dir h a ng c a nc e r, a nd , if so , w he the r t ha t r c is s lu e c t or ind ir e c t, su ole or incidenta n the opi nion l. I hese scientists, si ng ling out primary of t o as a ma jor fac tor is not warra nted by scientific knowle dg e. tobacc TI MN0131426-1426 (U S 21336). b 2 . O n A p r i l 1 5 , 1 9 6 3 , t en m o n t 6 s 9 ef o re t h e r el ea s e o f t h e 1 9 6 4 S u rge o n Ge n er al 's h R e p o r t , A l l e n c o m m e n t e d o n a r e c e n t b o o k l e t i s s u e d b y t h e A m e r i c a n C a n c e r S o c i e t y: th Th e is d is p u te a mo n g s c ie n ti s ts a s to r e c a u s e s o f lu n g c a n c e r. e Many differ ing opinions exist. . . . The booklet doe s not purport to contribute new knowledg e. I ief that the a nswers to que stions about diseases such a s t is our bel l u n g c a n ce r w i l l co m e t h ro gh gh t h e r es ea rc h l ab o ra t o ry , n o t t h ro u u g. b o o k l et s o r c am p ai gn s fo r o r a gai n s t s m o k i n -265-

296 TI MN0118348-8349 at 8348 ( US 21320). une 1963 Toba A J e stateme nt by Allen similarly claimed that ther e wa s cco I 630. nstitut lung c r. ientists as to the causes of Al l en ance re p o rted that since 1954 the mong sc "dispute a " tobacc cture rs had supporte d g rant-in- aid re sear ch throug h TI RC and had contributed more o manufa funds independe nt me dical and scientific rese towards h. Whil e the r esea rch than $6 million in arc ra ms were continuing, the press re lease claimed that r esea rch f indings re g arding underly ing prog to s of ca rdiovascula r disease s were and ca that date inconclusive. TI MN0104311-4312, ncer cause at 4311 (US 21317). A J uly 9, 1963 press re lease rea ffirme d the Tobac co I nstitut e' s public position t o not 631. ay ept any m o k i n g p l claims that s ed a par t in causation of human dise ase until furthe r re sear ch acc se ov ide d f a c ts t o li nk smo kin g to c e rt a in h e a lth e ff e c ts. Th e re le a n: qu ote d A lle pr Wit h the numerous theor esolutions t hat have ies, statements, and r d the publ ic, there is some dang er of losing sig ht of been presente to ht to be the basic obje ctive of all who what oug conce rned. Tha t are is, doing the ne eded r esea rch. W e believe t he answ ers will be f ound. An d t h ey wi l l b e f o u n d i n t h e s ci en t i fi c l ab o ra t o ry , n o t t h ro u gh pronounce ments either f g ainst tobacc o. or or a MN0098597-8598 at 8598 ( TI US 21270). I n September 1963, the Tobac co I nstitut e issued a publica tion tit led " Tobac co and 632. o The Public I t provided: " [t ]here ought t st." I b e a respite from theor ies, resolutions and ntere emotional statements for a time a t le ast, so that scientists can objec tively evalua te what is known a nd h to find nece what is known." He r eaf firmed De fenda nts' pur ported c ommitm ent to rese arc not ssary fa ts: c That is what this industry has tried h the o d o in the past, throug t shall do in the rese arc h prog ram of the [TI RC] . And that is what we -266-

297 fu tur nti l e no ug h fa c ts a re kn ow n to pr ov ide so lut ion s to the he a lth e , u questions involved. MN0104251-4256 at 4254, 4256 ( TI US 21316). On Oc tob e r 1 1, 19 63 , in or de r t o in te ns if 63 De fe nd a nts ' pu bli c re la tio ns c a mpa ig n in 3. y nti c ipa tio n o f t he 19 64 Re po rt , th e To ba c c o I ns tit ute iss ue d a pr e ss re le a se : " Al le n O utl ine s So me a I Re ns Why Smo kin g -H e a lth Th e or y is D isp ute d. " so t pr ov ide d: a of ]eople sometimes forg h ere are g ood rea sons why et that t [P the bout smoking and he alth problems ar e in dispute, and a re theories a stioned by responsible scie ntists. . . . [T] he orig inal theory often que tha bo mok ing a nd lun g c a nc e r - - t he the or y ut s t sm ok e wa s a a e c t, dir contac t car cinog en -- has virtually been a bandoned. He a sserted tha t the case ag ainst smoking rested l arg ely on statistical studies, whose meaning s were ques t o n ed by many leading medical statisticians, and tha t there w as a g rowing interest among i tic ent ts s tud y ing the iss ue a s to the po ssi ble ro le of c on sti tut ion sci l a nd g e ne is fa c tor s. a TI US 21561). MN0118249-8250 at 8249 ( se titled "Toba On Novembe cco I n s t i t 634. elea r 3, 1963, a Toba cco I ndustry ute news r Confident Resear ch Will Find Answers, Ge org e Allen Say s," stated that Allen was " convince d that scientific r esea rch w ill dis cover the answers t o questions about s moking and health and the cause s atalog of the disea n associate d." A fter c has bee uing D efe ndants' positions ses with which smoking on smo kin g a nd he a lth , A lle n " su g g e sted a mo ra tor ium on re so lut ion s a nd e mot ion a l st a te me nts what is not about and health, so that scientists c an objectively evalua te what is know n and smoking known." MN0118245-8246 at 8245, 8246 ( US 77055). TI 635. The Surg eon Ge nera the t was re lease d on J anuary 11, 1964. Following l's Repor ite re le a se of the Re po rt , De fend ants c on tin ue d to a sse rt a lte rn a tiv e c a us a tio n th e or ie s. De sp -267-

298 g o r w h e l m i n g e v i d e n c e f r o m a w i d e r a n g e o f d i s c i p l i n e s i n c l u d i n g s t a t i s t i c s a n d e p i d e m i o l o e y, v y patholog chemistry , clinical obser vation, and animal e x perimenta tion, as well as their ow n an d ttempt to crea ch, De nts c ontinued to claim "no pr oof" and continued to a sear te doubt internal re fenda ntific finding s. about the scie 6. De fe nd a nts re c og nize d - - a nd us e d - - t he de nia l a nd ra tio na liza tio n us e d b y smo ke rs . 63 e Weissman, Ex n a memo to J . Cullm an of Philip Morri s, Georg oseph F ecutive V ice Pre sident I g e rs e a s ( I nte rn a tio na l) , d e sc ri be d h o w , i n r e s p o n s e t o t he 19 64 Sur ra e on Ge ne Ov l' s Re po rt , " we mus t in t e n ea r future provide some a nswers w hich will give smokers a psy cholog ical cr utch and a h d ationale to continue Among the " crutc hes" and " rationale s" pr oposed to be off ere self-r smoking." re que stions of medical ca usation, "tha t more re sear ch is neede d," and that there to the smokers we "c ontradictions" and " discrepa ncies." 1005038559-8561 at 8559-8560 ( US 20189). are I 637. on J une 25, 1964, five and a ha lf mont h s af t er issuance of the 1964 n testimony g eon Ge l's Repor t, at a he ar i n nera o f the Committee on I nterstate a nd For eig n Commerce, Surg B ow ma n G ra y , Ch a ir ma n o f t he B oa rd of RJR, st a te d: th I ve . . . th a t ne a rl y e ve ry on e fa mil ia r wi lie th ese dif fi c ult be problems would ree that there are ag e and ba sic are as whe re the re larg is lack of knowle dg e, unce rtainty , and where a g rea t deal more ential bef rese i s es s h ore de finitive answer s can be made. Ma ny arc distinguished scie ntists are of the opin i on that it has not been established that smoking s disease. cause 501935056-5071 at 5060 (U S 20690). 638. I n a new nd article dated July 12, 1964, Hora ce K orneg ay , the Chairman a spaper that President of the Toba cco I nstitut e, wa s quoted as say ing: " There exis t s no definite proof -268-

299 smoking c iga canc er or any other drea ded disea se." TI MN013181-3181 (U S auses lung rettes c 88779)3. On August ued a pr ess re lease 17, 1964, CTR iss ittle: "The f act r emains that 639. quoting L ow le dg e is i ns uf fi c ie nt e ith e r t o p ro vid e a de qu a te pr oo f o f a ny hy po the sis or to d e fi ne the ba sic kn nisms of health mecha with w hich we are conce rned." MNAT00287815-7818 at 7815 disease and (US 21224). On Dec 29, 1965, the Tobacco I nstitut e is sued a ember reiter ating that 640. press release arc h had not established whe ther smoking cause s disease and that it was still an "open que stion." rese lease ]f there is something in tobacco tha t is c ausally [i rela ted to canc er went on to state that " The re other dis ea s e, the industry wants to find out what it is, and the sooner the better ." or any MN0123790-3793 at 3790, 3791 ( US 21330). TI te 4 1 . O n O c to b e r 2 1 , 1 9 6 6 , mo r e th a n tw o y e a r s a f 1 r is s u a n c e o f th e 6 9 64 Surg eon Gene ral' nstitut e is sued a public statement t o newspa pers that state d that the s Report, the Tobacco I mon a c o in du str y kn e w " of no va lid sc ie nti fi c tob vid e nc e de c str a tin g tha t e ith e r ' ta r' or nic oti ne is e responsible for any human illness." TI MN0099040-9041 at 9040 ( US 21550). 4. The 19 64 Sur ge on G e ne r al Re por t R e pr e se nt e d a Sc ie nt ific Co nse nsus th at oki ng C aus e s D ise as e Sm The Pr rgeon G hodol ogy of the Su a. eneral’ s Report ocess and Met cre I eon Gen er al 642. ated his Advisory Commi ttee on Smoking a nd n 1961, the Surg Hea lth to perform a compre hensive evaluation of all the e x isting re sear ch re g arding cig are ttes and proce disease a r a definitive assessment. The nd offe ss of the Commi ttee' s formation, its selection, lic its su bs ta nti ve wo rk , and its fi nd ing s w e re de sig ne d to re pr e se nt a mod e l of ob je c tiv e , p ub -269-

300 sc ie c a nd me dic a l in qu ir y ba sed on a ri g or ou s a nd sy ste ma tic a sse ssm e nt o f t he he a lth nti fi e a ns of smo kin g . B ra nd t WD, 99 :5- 11 2:1 . Th lic fi nd ing s o f t he Ad vis or y Com mit te e wo uld imp tio c ome the Sur g e on Ge ne ra l’ s Re po rt . be Surg 643. ral L uther Te rry first drew up a list of some 150 individuals as potential eon Gene ttee member i re know n to have take n a public position rega rd Commi n g the Advisory s. None we esente of sm These individuals repr oking and health. d a number of fields and me dical rela tionship lties from pulmonary medicine to statistics, car diology to ep i d em i ology . This list was then specia an ulated Americ an Cance r Society , the Americ Hea rt Association, t h e N ati onal to the circ ulosis Association, and the Americ an Medic al Association, as w ell as the Toba cco I nstitut e. Tuberc rea h g s permitted to eliminate any name, without citing any roup wa son. I ndividuals who had Eac ady e published on the issu alre o r h ad t aken a public position were a lso eliminated. The sele ction proce ss indica Terr y ' s commitment to a proce ss tha t w ould pr oduce a g enuine a n d d ef i n itive ted rt on ns us . D r. Te rr y ha d wa nte c to e ns ur e tha t th e Re po se c ou ld n ot b e a tta c ke d o n th e ba sis of its d membership. All ten of the members f inally selec ted wer e eminent phy sicians and sc ientists; eight wer e medica l doctors, one wa s a che mist and the other a statistician. Three of the pa nelists smoked 2232, cig asionally smoked pipes or ciga rs. VXA1601844- ttes, two others occ at 1864-1867 (U S are 64057) (1964 Surg eon Ge nera l Report); Br andt WD, 100:8-102:8. 6 4 4 . All of the major c o m p an i es m an u fa ct u ri n g ci gar et t es an d o t h er t o b ac co p ro d u ct s were invited to submi tinent to the inquiry . information per The replies which we re t statements and any at 1870 (US 64057) eived we re ta ken into considera tion by the Commi ttee. VXA1601844- 2232 rec andt WD, 100:8-102:8. (1964 Surg eon Ge nera l Report); Br -270-

301 645. Terr s first ten s elec tions all ag ree d to serve on the Advis ory Commi ttee, indicating y ' of tha e se sc ie nti sts we re c on vin c e d o f t he imp or im " nc e of the su bje ct and t th th e c omp le te to h ta and nce of the Public He alth Service ." VXA2511396- confide at 13 9 6 (U S 2 1 376) support 1397 ry , L uther L ., The Surg eon Ge nera l's f irst report on smoking and hea lth: A chall eng e to the (Ter ofession, Ne medical pr ; Bra ndt WD, 102:4-23. w York State Journal of Medic ine, 1254 (1983)) ory t drew on the streng ths of the Advis ctive disciplinary Commi ttee The Repor respe 646. members. Walter J. Burde surg eon and chair of the Surg ery Depa rtment at the tte was a prominent of Utah; John B. Hickman wa s t h e C hair of I nterna l Medicine a t the University of University list and head of a ndiana; and Cha eMaistre was a pulmonary specia L very larg e ca ncer trea tment rles I r. The patholog ists joining the Commit tee we re: Emmanue l Far ber, Chair of Patholog y at the cente of Pittsburgh; Jacob Fur th from Columbia, an expert on t he biolog y of ca ncer ; and University an Pharma Seever s, Chair of the University of Michig rtment. L colog y Depa Maurice ouis Feiser of Har vard U was a n eminent o rganic chemist. Completing the Committee wer e: Stanhope niversity pit a ne -Jon e s, a ba c te ri olo g ist , f or me r h e a d o f N B w Y or k H os y a l a nd De a n o f Y a le Me dic a l Sc ho ol; e L d H. Schumann, epide miologist at the Univer sity eonar Wil liam G . Cochran, a of Minnesota; and Har vard U niversity mathematician w it h e xp e r ti s e in s ta ti s ti c a l m e th o d s . V X A 1 6 0 1 8 4 4 - 2 2 32 at 1864- 1867 (US 64057) (1964 Surg nera l Report); Br andt WD, 102:9-23. eon Ge 64 7. Te rr y div ide d th e pr e pa ra tio n o f t he 19 64 Re po rt int o tw o d ist inc t ph a se s. Th e fi rs t m phase, the Ad v i s o ry C o m work of the ittee, was to de termine the " nature and mag nitude of the health ef fec ts of smoking." The Committee soug ht to arrive a t a clinical judg ment on smoking. As he United States one public hea lth official explained, " What do we (that is, The S urg eon Genera l of t -271-

302 Public He h Service ) advise our patient, the Amer ican public, a bout smoking? " V XA2511346- al t 1350 at 1346 (US 63531). ne times in just over a y t h er n i ttee met toge ear . I n betwee n 648. The Advisory Commi s, both Comm ittee member s and staff worke d to review , critique, a nd sy nthesize what these meeting ormidable volume of sc ome a f tobacc o. Terr y promised t hat t he re port on had bec ientific work on reme by phase I I , proposals for dial action, ther eby insulating the these finding s would be followed ttee fr om the poli t i cs t h at swirled a round the tobac co question. Ter ry rec og nized that the Commi Commi Advisory ith authority about the scientific nature of the health risks ttee could only speak w questions to the politi l v e t he policy ea cal pr ocess. B randt WD, 103:23- of smoking; he would 104:19. Be g inning with the first Report in 1964, the United States Public He alth Service has 649. ientific conse oach w hen produc ing a Report of the Surg eon nsus formation appr followed the sc ral on Smoking and Hea lth. The scientific c ommunity forms a c onsensus on issues of ca usation Gene ; examini revie all of the scie ntific evidenc e available wing ng that evidenc e for by th, its streng co n s i s t en cy , co h er en ce , t em p o ra l as s o ci at i o n an d b i o l o gi ca l p l au s i b i l i t y ; an d t h en re ac h i n g a tionship between smoking judgme the data suppor t a ca usal rela to whether and a dise ase. B urns nt as WD, 14:13-19. 65 0. Th e Re po rt s g o thr ou g h a c a re fu l pr oc e ss to e ns ur e tha t in div idu a l bi a se s p la y no ro le ess occ in conclusions or statements reache d. That proc mining the urs throug h a set of e x pert deter revie ws of the Repor t at various stag es in its prepar ation. I ndivi d u al scientists, usually outside of sked to write c the g nt, are first selec ted and a overnme hapter s on a g iven topic. Sometimes the entire , Report will be devoted to a specific topic, like canc er or hear t disease or lung disease. I n that case -272-

303 individuals are a sked to write c tions on specific que stions that relate to the g eneral hapter s or sec assembled to cover the entire topic. The individual authors issue examined, so that chapter s can be are knowledg e extremely are a that they eable asked to wr ite about. They ted ar selec in the specific ted to consider a ll of the pertinent scientific litera ture a nd to base the c hapter ' s conclusions are direc d in that literature r esente than on the author ’s per sonal v iews. I nitial drafts of on the data pr ather rec e pre rs ar ach Re port by the individual authors, and the initial dra fts are pare eived a nd chapte d for e pters. I d. then edited into cha Once the cha pters ar e submitted by the initial author, the editors make all subsequent 651. or their a es and the e not re submitt ed to those authors f rs ar pproval of the chang es. The chapte chang ha pte rs a re ne xt s e nt o ut t o a g ro up of e xpe rt sc ie nti fi c re vie we rs fo r p e e r r e vie w o f t he ir sc ie nti fi c c to c u r a c y a n d c o mp le te n e s s , a s w e ll a s f o r b a la n c e , a n e ac n d a p p r o p r ia te n e s s o f th e conclusions draw n from the sc . These comm ents are integ rate d into the volume, and the entire ientific data roup of se nior scientists in the a mic community for f urther r eview volume is then sent out to a g cade eac cy e and tone. The Report is also formally revie wed by cura h of the a g encie s of for its ac , balanc e. I d. the Public Health Servic g 2. 65 ese m any revi ews are co mp let ed, th e edi tor s a Onc a in i nte g ra te the c omm e nts int o e th the text t o streng then its substanc e. Eac h Report is the n submitt ed for final formal clea ranc e by the tary Centers for Control, by the Assi stant Secre Disease for Health, by the Surg eon Ge nera l, and by the Secr etar y of He alth and Human Ser vices. Onc e the Repor t is cleare d, it is t ransmitted as a formal position require aw to Congr ess as the official of l of t he HHS on the issue. I t is also relea sed ment to the public and the ear I d. at 15: 3-16:7. I n the 1960s and 1970s, it took approxim ately one y press. of to complete the Repor t prepa ration proc ess. More r ece ntly , g iven the vast expansion in the body -273-

304 smoking a nd health li has required two to three y ear s to acc omplish the t ask of pr epar ing tera ture, it eon Ge l on Smoki ng and He alth. Bur ns WD, 16:8-11. the Surg nera a Report of As pa rt of tha t pr oc e ss, the Ad vis or y Com mit te e e sta bli sh e d a se t of 65 ri te ri a to 3. c te the sig e of a statistical as s o ci at ion. Recog nizi ng that such eva luation require nificanc evalua s nt, the Commi ht to specifica lly define the proc ttee soug orously as poss ible, and set judgme ess, as rig rt h f ive sp e c if ic c on dit ion s f or jud g ing c a us a l r e la tio ns : fo Consist a. iation. Near ly all the re trospective ency of the Assoc re pr pe c tiv e stu die s pr od uc e d c nd a ra ble os su lts , d e sp ite a omp ct that ent methods wer differ employ ed for collecting the fa e data. Streng the Association: the ra tio of lung c ance r ra tes for th of b. s v e r s u s n o n s mo k e r s . T h e Co mm it te e a s s e s s e d the smoker e nif ic a nc e of the do se e ff t r c t ph e no me no n, fi nd ing tha sig isk inc re se d w ith a mou nt s mok e d. Ac c or din g to t he Re po rt : a 9- to 10 fold vera cig are ttes have a e smokers of ri sk of [A] g ve lop ing lun g c a nc e r, a nd he a vy smo ke rs , a t le a st a 20 de old -f risk. Thus it would appear that the streng th of the assoc iation g tw e n c ig a re tte smo kin g a be lun e c a nc e r m us t be jud g e d to nd be hig h. c. Specificity of Associa tion. This crite ria, a ccor ding to the Re po : rt re ci ion with which one compone nt of an implies the p s edict the oc pair be d ed to pr can curr ence of the associate utiliz w fr equently other, i.e. ho sence of one va riable ( e.g ., the pre lung canc will predic t, in the same individual, the pre er) sence of anothe r (e .g ., cig are tte smoking). I n a discussion of the spe cificity of the rela tionship between any fac ca usal in char acte r and a disease it may tor possibly , it must be re cog nized that rare ly , if eve r, in our produce bio log ic un bly ers e, doe s th e pr e se nc e of a n a g e nt i nv a ri a iv ss pr e dic t th e oc c ur re nc e of a dis e a se . Se c on d, bu t no t le -274-

305 imp or is o ur g ro wi ng re c og nit ion tha t a g iven di se a se ta nt, us ha tip le c a mul e s. y ve ma e c ur re nt c a se , th e sp e c if ic ity of t he a sso c ia tio n w a s e sp e c I lly n th ia on . T he Re po rt e x pl ain ed, " of the tot a l lo g d o f l un g c a nc e r i n str a rce nt is associated with cig are tte smoking." males about 90 pe . Tempo ra l R el at i o n s h i p o f A s s o ci at ed Va ri ab l es : t h e A d v i sory d ttee wr Commi ote: g sumed to be ca usal must prece de, Ex ent pre posure to an a ra lly , t he onse t of a dis te a se wh ic h it is p ur po rt e d to mpo e od uc e . . . . [N]o e vid e nc e ha s th us fa r be e n bro ug ht f or th t o pr h at t h e initiation of the ca rcinomatous proc ess in a indicate t d who develope anteda lung canc er smoker ted the onset of s m k i n g. o Coherenc e of the o n: the Advisory Commi ttee e. Associati conclude d: appra isal of ca usal signif the e of a n A final c riterion for icanc coher ence association n fac ts in the na t u ral is its with know and biolog y of the disea se. history 2232 at 2033-2036 (US 64057) VXA1601844- Surg eon Ge nera l Report); Br andt WD, 105:6- (1964 111:7. i 5 . The 1964 Surg eon Ge nera l's Ad v i s o ry C o m 6 4 t t ee 's as s es s m en t o f causality was ba sed m on a cohere nt a n d lo g ic a l s e t o f c r it e r ia , w h ic h h a v e b e c o me th e b a s ic me th o d o lo g y f o r c a u s al infere nce c ning dise ase since issuance of the Report. B randt WD, 104:20-108:21. oncer The ons nc lusi b. Co nera The 38 655. 1964 Surg eon Ge 7 l's Repor t, citing 7,000 a rticles, ca me to the -page fo llo wi ng c on c lus ion s: ase in the a Ciga is associated with a 70 perc ent i ncre rette smoking g e- specific death r ates of ma les. The total number of excess dea ths in the U.S. population cannot be causa lly rela ted to c iga rette smoking -275-

306 acc u n view of the continuing a nd mounting rately estimated. I om many evidenc he judg ment of the Committee that source e fr s, it is t or re smo kin g c on tr ibu te s su bs ta nti a lly to m tte ta lit y fr om c e rt a in c ig a nd to the overa ll death ra te. diseases a specific * * * s m o king is c ausally Ciga ted to lung c ance r in men; the rette rela nitude of the ect of cig are tte smoking far outweig hs all other mag eff h le tor Th e da ta c fo r w ome n, tho ug s. ss e xten siv e , p oin t in the sa me fa tion. direc * * * velopi The risk of de l ung canc er inc rea ses with duration of n g d p g an the nu mbe r o f c ig a kin tte s sm ok e d e r d a y , a nd is smo re hed by discontinuing smoking . diminis 2232 at 1884 (U S 6 4 0 5 7 ) ( 1 9 6 4 S u rge o n Ge n er al R ep o rt ); Br an d t W D, 1 0 8 : 2 2 -1 1 1 : 7. VXA1601844- The 1964 Repor efully evalua ted the animal studies that had be en conduc ted up t car 656. to that time: cco smoke are car cinog enic wh en t ested by Condensates of toba ap p li c a ti o n to th e s k in o f mi c e a n d r a b b it s a n d b y s u b c u taneous inj e tio n in ra ts. c * * * Br enic c arc inoma has been produce d in laboratory animals by onchog a dmi ni st ra tio n o f p oly c y c lic a ro ma tic hy dr oc a rb on s, c e rt a the in me ls, ra dio a c ti ve su bs ta nc e s, a nd vir ta e s. Th e his top a tho log ic us char acte ristics of t he tum ors produced ar e similar to those observe d i n m a n a n d a r e p r e d o m i n a n t l y o f t h e s q u a m o u s v a r i e t y. VXA1601844- S 64057) (1964 Surg eon Genera l Report); B randt 2232 at 1884, 1994-1997, 2016 (U WD, 108:22-111:7. 65 7. Th e 19 64 Re po rt fo un d mu c ith ig he r d e a th r a te s a mon g smo ke rs , a s c omp a re d w h h d with consumption: nonsmokers; these r ates incr ease -276-

307 The de ath ra iga rettes only , who wer e smoking at te for smoke rs of c pros p , is about 70 the time of entry into the particular ective study . T nt h he r t ha n tha t f or no ns e e rs ig he de a th r a te s in c re a se rc pe mok smoked. For g roups of men smoking less than 10, with the amount nd 40 ci gar t es and over per day , respe ctively , the 10-19, 20-39, a et re nt, and 120 o u t 4 0 perc ent, 70 per cent, 90 pe rce ates a death r ab her tha ent hig for nonsmokers. The ra tio of the dea th rates of perc n rlier a s h ighe st at the ea i g es (40- 50) smokers to nonsmokers p rese nted in the studies, and dec lines with increa sing a g e. The re ffe same e e ra t i o of the de ath ra te of he avy ct appe ars to hold for th e rs ha t of ke ht s mok e rs . I n th to t stu die s th a t pr ov ide d th is smo lig ratio of c iga rette s m o k ers to nonsmokers information, the mortality highe was substantially started to smoke under ag e 20 r for men who ft n who started a age 25. The mortality ratio wa s than for me er ased a s t h e number of y ear s of smoking inc rea sed. I n two incre corde d the degr ee of inhalation, the mortality ratio for studies which re ng iven amount of smoki was g a g rea ter for inhalers than f or non- inh a rs . le 2232 at 1888-1889 (U eon Ge nera l Report); Br andt WD, 108:22- VXA1601844- S 64057) (1964 Surg 111:7. 8. Th e 19 64 Re po rt a lso re a c he d c on c lus ion s a s to c or on a ry he a rt dis 65 a se : e Although the tive rol e of c iga rette smoking in deaths fr om causa ry er n, the Commit tee c on s i d corona s it more disease is not prove prudent from the public hea lth viewpoint to assume that the tte association n cig established betwee smoking and c o ronary are disease ha s causa tive mean i n g t h an to suspend judg ment until no un c rt a int y re ma ins . e c e 68 Re po rt we nt a ste p f Th the r, c on 19 lud ing tha t ur [b] use of the inc rea sing c eca enc e of e pidemiologica l and onverg phy siologica l f indings rela ting cig are tte smoking to c oronar y h eart disease it is conc luded that cig tte smoking c an contr ibute to the are car development of disease a nd particula rly to death fr om diovascular corona ry hear t disease. VXA1601844- 1964 Surg eon Ge nera l Report); 2232 at 1885 (US 64057) ( AT C 1 0 8 1418-1542 at l Report). 1430 (US 65351) (1968 Surg eon Ge nera -277-

308 659. Fr and a public health per spective, the 1964 Report conc luded that om both a clinical d an individual' s risk of disease lth: stopping smoking lowere and hea in tte ke rs wh o h a d s top re d s mok smo g p ri or to e nr oll me nt i n a Cig pe d y had mortality ratios about 1.4 as a g ainst 1.7 for c urre nt the st u tte smokers. T are e mortalit y ratio of e x -cig are tte smokers cig h ith the number of y of smoking a nd was hig her f or ased w ears incre wh o stopped afte r ag thos or those who stopped a t an e e 55 than f lier ag e. ear VXA1601844- 2232 at 1888-1889 (U S 64057) (1964 Surg eon Ge nera l Report). The 1964 Surg eon Genera l's Report on Smoking and Hea lth is widely considere d by 660. he tor to b e on e of the mos t si g nif ic a nt d oc ume nts in t ns his tor y of tw e nti e th c e ntu ry pu bli c ia his randt WD, 99:5-112:1. health. B P os t- 19 64 Re se ar c h on th e Ad verse Hea lt h Effec ts of Sm oki ng and 5. ts' P nt Denials Th ere of ersiste Defendan F oll owing P ublic at ion th he 1964 Re por t, a. e Sc ie nt ific of t Co m m unit y C ont inue d t o D oc um e nt th e Link B e twe e n Sm oki ng and an Extraordinary Num of Serious Health Consequences ber Smoking and health is one of the m ost studied subjects i n the field of publ ic hea lth. 661. enter nd Databa se, m aintained by the C lth s for Disease Cont rol and Preve ntion, The Smoking a Hea ite d St a te s D e pa Un me nt o f H e a lth a nd Hu ma n Se rv ic e s, is a bib lio g ra ph ic da ta ba se -- a c c e ssi ble rt via the interne t -- which inc ludes more t h an 6 2 ,000 items on smoking and he alth and cove rs over xten thi y y e a rs of inf or ma tio n. Th e me dic a l lit e ra tur e is re ple te wi th e rt siv e e pid e mio log ic a l st ud ie s, milli co d u cted over dec ades, c omparing the disease and dea th rates of n ons of smokers a nd nonsmokers. Ever y rele vant population and demog raphic g roup has be en examined. Examples of ; Dorn Study these studies ar e: Amer ican Canc er Prevention Study I and I I ; Br itish P hy sicians Study -278-

309 of United States Ve tera lth I nterview Study ; Current Popul ati on Survey ; and the ns; National Hea haviora l Risk Factor Surve . Bur ns WD, 9:2-16. Be y of literatur e has be eviewe d, and discussed in Reports of the 662. This body en cited, r in 1964, ral Gene and Hea lth published on 1967, 1968, 1969, 1971, 1972, 1973, Surg eon Smoking 1974, 1975, 1976, 1979, 1980, 1981, 1982, 1983, 1984, 1985, 1986, 1988, 1989, 1990, 1992, 1994, 1998, 2000, and 2001. I d. ntific The scie eac h of t he R eports of the Surg eon Ge nera l conclusions presented in 663. consensus of the n-existi ng scientific unde rstanding . Bur ns WD, 14:10-12. based on the are . De fe n d a n t s b I n t e r n a l D o c u m e n t s a n d R e s e a r c h fr o m t h e 1 9 6 0 s, ' 1 7 0s, and Beyond Reveal Their Continu ed Rec ognition That 9 ear okin h Eff ect s and Their F Sm g Causes Serious Adverse Healt of the Impact of S uch Knowl edge on Litigation 66 4. B y a t le a st Ja nu a ry 19 64 , w ith the iss ua nc e of th e Sur g e on Ge ne ra l' s 1 96 4 Re po rt , Def endants kne was a cons e n sus in the scientific community that smoking c aused lung canc er w there ist nd e r d ise a se s. De sp ite tha t f a c t, t he a pu bli c ly ins oth e d th a t th e re wa s a sc ie nti fi c c on tr ov e rs y y and disputed scientific finding s linking smoking a nd disease know ing the ir asser tions were f alse. 665. Following the 1964 Surg eon Genera l's Repor t, Helmut Wakeham, then issuance of President of Rese rch r h and De velopment at Philip Morris I nc., admitt ed in a resea Vice- eport that arc s [of the 1964 Surge was " e basis for disputing the finding there on Gene ral' s Report] at this time" littl and acknow ledg ed that the Report ref lected a "pr ofessional approa ch" of the Advisory Commi ttee. s Howeve for another thirty -five y ear r, Philip Morris continued to maintain – – its publi c position that the ca usal link betwee n smoking a nd health wa s an " open question." 1000335612-5625 at 5615, 5616 (US 22986). -279-

310 66 6. or din g to a Fe br ua ry 19 64 re po rt pr e pa re d by Al a n Rodg ma n at R JR, " Cig a re tte Ac c ." fr ny tob a c c o ty pe or tob a c c o b ke nd c on ta ins c a rc ino g e nic c omp on e nts om a Th e re po rt a lso smo le [n] chemica l data ac quired in our studi es or in st udies conduc ted elsew here indicated that " one of the s ical, pathologica or st atistical data indicting cigar ette smoke a og is inconsistent with reported biol l, lth hazard." 504912643-2713 at 2704 (U S 20736). a hea 7. I n A ug us t 19 64 , Ro dg ma n r e c og nize d in a n in te rn a l RJR do c ume nt: 66 nitrosamines [subst Many have be en shown ance s in tobacco smoke] in s c rc ino g e nic fo r d if fe re e rg a ns a e ve ra l sp e c ie s of a nim a ls. to b nt o nit ro sa min e s ar e fo rm e d by the re a c tio n o f o xide s o f n itr og e n w ith As t c c da ry a min e s, it i s p os sib le tha on ig a re tte s mok e c ou ld c on ta in se , ro so a na ba sin e a nd nit ro so no rn ic oti ne . Ni tr oa na ba sin e h wh ic nit is a deriva t arc inoge nic nitrosopiperidine, ha s now produce d ive of the c to r ny s o f t he e so ph a g us wh e n g ive n o ra lly or a ts. ma tum 501013277-3277 (US 20670). n 1966, in a semi-annua l r eport I p Morris' s "Projec t 6900," whic h explored 668. on Phili ologic al activity of t obacc o smoke, Project Dire ctor Peter C. L uchsing er note d that "c iga rettes the bi likely s one of will most t h e ca usative ag ents in these disea ses [emphy sema a nd be implicated a g on hit is]. " L uc hs ing e r not e d tha t in br se ri e s o f l on c -t e rm pr ima te e xpe ri me nts fi na nc e d b y Phi lip a Morris, monkey s forc ed to inhale smoke ha d a hig her r ate of emphy s em a t h an t hose in a non- smoking control roup. Project 6900 included other experiments w ith smoking rodents, cats and g nimals to de aff whether differ ent cig are ttes other a ecte d lung f unction in a diffe rent manne r termine , or to a diff ree . L uchsing er' s repo rt nt deg n ever rele ased to the public a nd marke d "[n]ot t o be ere t ak en fr o m t h i s gy ro o m , " co n cl u d ed t h at , b as ed o n l o n g-t er m i n h al at i o n s t u d i es , "gr o s s l u n g p at h o l o S 20095). can be induced by smoking c iga rettes." 100341400-1414 at 1402, 1406 (U -280-

311 66 9. y 19 67 re po rt on " Pr oje c t 69 00 " de sc ri be d f ur the r t e sts wi th m ic e , p ig s, A M a iltered smoke." ts, concluding was "no l ess tumorig enic than nonf filtered smoke that s and ca monkey S 20096). 1000342063-2073 at 2065 (U Phi lip Mo rr is Se nio r S c ie nti st, Dr . H e lmu t Wa 67 ha m, i nf or me d Ph ili p M or ri s 0. ke anuar 10, 1969, that "[n]ow we have a study y of the e ffe ct of smoking in preg nancy executives on J vious conclusi o n s t h at smoking mothers pr oduce sma ller babie s," a nd that the which supports pre ield rec medical f bies suffe r detrimenta l effe cts all throug h life," including og nized that "smaller ba nce te t ag e 10." 1000211305-1307 at 1306 (U S 20080). r intellige st scores a "lowe A 1 96 9 Ph ill ip M 67 ri s me mor a nd um r e ve a le d: 1. or e vie w of recen t mo us e sk in p a int ing da ta fr om t he Ha rr og a te A r abora in prog ress re ports of the Toba cco Re sear ch tories appearing L nc il ( Gr e a t B ri ta in) ind ic a te s s tr on g su pp or t f or pr e vio us ly Cou a bli sh e d d a ta on the f oll ow ing po int s: C ig a re t sm ok e c on de ns pu te painted on the backs mice over a two-y ear period produc es tumors of t n u m b e r s p r o p o r t i o n a t e t o t h e a m o u n t o f c o n d i n s a n e a p p l i e d . In e other wor dose-r esponse relationship is clea rly being followed ds, the in these experiments. 2025010581-0583 at 0591 (U S 20405). I n the 1960s, RJ R established a fa cility in Wi nston-Salem, North Carolina, w hich 672. sear ch the health eff ects of smoking. I n this facility , nicknamed the "Mouse House," used mice to re RJR sc ie nti sts re se a rc he d a nu mbe r o f s pe c if ic a re a s, inc ludi ng studi e s o f t he a c tua l me c ha nis m , an RJ wher auses e mphy sema. I nterna lly smoking c R-commissioned report f avora bly descr ibed eby the Mo us e Ho us e wo rk a s th e mos t impo rt a nt of the smo kin g a nd he a lth re se a rc h e ff or ts b e c a us e it h had come rm i n i n g t close to dete e under ly ing me chanism of e mphy sema. B umga rner PD, Texas 3:5 v. Am e ri c a n T ob a c c o, 11 /11 /86 , 3 2:9 -3 -281-

312 673. Resear s science and hea lth gr oup l o cated at the Mouse House was ch done in RJR ' ientific community ientists were f orbidden to both discuss and withheld from the sc -- sc routinely publish their findings. I d. at 35:3-38:18. As a res ul t of th e Mo us e 67 us e wo rk , RJR w a s a wa re tha t sm ok ing wa s li nk e d to 4. Ho mph y sema. Aft er exten de d e xpos ur e to s mok e , th e a nim a ls s uf fe re d w e ig ht l os s a nd c ha ng e s in e h in surfac metabolism of lipids bot d. at 63:17-66:15, 68:14-20. tant and in lung and liver. I R knew t hat ex RJ to tobacc o smoke led to: slowing of hear tbeat during 675. posing rabbits cre ase in pulse pr essure , incre ased numbe r of g oblet cells, alve olar c ollapse, er y thema of puffs, de a y , acute pulmonary edema , ery thema, en d o c nx r d ia l he morrhag e, kidney disease, br onchial nasophar pe pe rp la sia , e mph y se ma , e pit he lia l hy hia rp la sia , b ro nc hy l e de ma , b ro nc hi ol ar plu g s, a nd g ro ss lesions on lungs. 515384994-4999 arc h Report titled “I nitial At t em p t s at (US 87983) (1969 Rese posing Rabbits to Whole Cigar ette Smoke”) Ex . R scientists had produce r, fac Moreove t RJ the d emphy sema in chr onic-smoke- 676. t tha d ra t s was known to Philip Morris. I n a 1969 Philip Morris document conce rning the expose biologica l resea og ram a t the Mouse House a nd the linkag e it showed to smoking and disea se, rch pr ie Phi Mo rr is s c a nti st w ro te : lip I m et Dr. Price from R.J Rey nolds at the CTR-USA meeting of e De mbe r 1 1 a nd 12 , 1 96 9. He me nti on e d d oin g c hr on ic c ig a ret te c smoke exposure studies w ith r ats. The animals rec eived up to 5 00 cig ttes and emphy sema wa s produce d. are 1001882748-2749 at 2748 (U S 26123). 677. I oing on in the p Morris' s President complained to RJ R a bout the work g n 1970, Phili closing Mouse House. Despite the prog ress made there , RJ R r esponded to the complaint by abruptly -282-

313 the Mouse House -- disbanding arc h division i n one day , without giving notice to the the entire rese us , ng a ll tw e nty -s ix s c ie nti sts a t the Mo us e Ho ri e , a nd de str oy ing y e a rs of smo kin g a nd he a lth ff fi sta a rc h. re 03 15 96 8- 59 71 (U S 26 37 8) . Th e sc ie nti sts we re tol d tha t the te rm ina tio ns we re no t a se 11 lection on their wor onomic rea so n s ” ca k, but that “ec s ed a cha ng e in the dire ction of the ref u omp a ny . Wh e n th e y we re dis mis se d, the y we re re min de d t hat they ha d s ig ne d c on fi de nti a lit y c , ree e not to discuss company rese arc h. Bumg arn er wer PD, Texas v. ments that meant they ag an Toba cco, 11/11/96, 38:19-44:4, 44:5-53:24. Americ 7 8 . At t h e m ee t i n g i n fo rm i n g em p l o y ee s wo rk i n g at t h e M o u s e H o u s e o f i t s d i s b an d i n g, 6 g g up wa s inf or me d by its su pe rv iso r t ha t th e le ro a l de the rt me nt h a d r e qu e ste d th e ir la b n ote bo ok s. pa They wer e initially told t h at t h e notebooks would be re turned to them, but they wer e not. L ater , Anthony V. Colucci, Dire company ' s Scientific L itigation Support Division, i n fo rm ed ctor of the d been a ccide d est roy ed in the leg al depa rtment. I d. at ntally them that some of the notebooks ha s ever produce d as evide nce in this ca se. one wa 38:19-44:4. Only 7 9 . Def end a n ts a ls o o b ta in e d e 6 id e n c e a b o u t t h e h e a lt h e f f e c ts o f s mo k in g th a t w as v co n tr a r y to th e ir p u b li c s ta te me n ts f r o m r e s e a r c h th e y f u n d e d jo in tl y . D r . G a r y H u b e r c o n ducted smoking a nd healt re s ear ch funde d by Def endants fr om 1972 to 1980 while working at Har vard h rch w University s re s ea l School. Huber' as conduc ted pursuant to a w ritten ag ree ment Medica betwee n Har vard a nd B& W, L igg ett, L orillard, RJ R, a nd Phili p Morris. The a g ree ment cre ated the ram, with Hube Har h Tobac co and H ealth Prog arc r as its hea d and chie f investig ator. vard Rese Huber PD, Texas v. America n Tobac co, 9/20/97, 11:9-12:16, 24:1-11, 24:13-25:9. 680. Huber and his g roup used laboratory animals to conduct numer ous studies into t he ng re s p o n s e o f th e lu n g s to to b a c c o s mo k e . T h e s e s tu d ie s a s s e s s e d th e e f f e c ts o f s mo k e o n lu -283-

314 Th a s, lun g pa re nc hy ma , a nd the he a rt a nd c a rdio va sc ula r s y ste ms o f a nim a ls. y e stu die s a lso wa ir sema, c hitis and coronar y ar te r y d is e a s hronic bronc . H u b e r ' s a nimal studies looked at COPD, emphy e ed commer cially available and rese arc h cig are ttes, including commerc ially available cig are ttes utiliz Def supplied by d human-ty pe dis ea s es i n t he lung s of animals that inhaled endants, a nd produce are tte smoke. studies demonstrated c hang es in animal lung s that Huber' s g roup The inhalation cig e ana logous to human disea ses. I d. at 12:4-13:20, 40:13-15, 40:17-25, 42:2-43:3. d wer conclude Huber specific ally repor ted to his sponsors -- B &W, L igg ett, L orillard, R J R , and 681. p Morris -- tha Phili monstrated a r esponse to inhaled c iga rette smoke, inc luding t his resea rch de imilar to those associa ted with diseases in humans. I d. at 12:20-13:20, 14:17- disease me chanisms s 15:1, 15:6-16, 17:24-18:14, 18:22-24, 19:3-9. Huber also conduc ted rese arc h funded by Def endants that studied chang es in human 682. h mo k in g b e h a v io r a s a f u n c ti o n o f lo w e r a n d h ig n e r s ic o ti n e le v e ls in c ig a r e tt e s . T h e r e s ear ch demonstrated tha t smokers of lower are ttes had an inc rea sed risk of de veloping nicotine cig t disease. H u n d t h at "co m p en s at i o n , " o r s m o k i n g b eh av i o r m o pulmonary i fi ca uber fo i o n s , ex h i b i ted d by r nicotine c iga rettes, re n dere d such cig are ttes potentially smokers of lowe rmful than more ha highe r nicotine c ounterpa rts beca use more intense inhalation car ried the smoke deepe r i nto the lung wher e ade nocar cinoma g ener ally occur s. I d. at 49:6-50:3, 50:5-51:4, 51:6-11. n 683. tion studi es conduc ted by Huber focuse d o roup of inhala ra t s . The Another g re se a rc h s ho we d th a t r a ts e xpos e d to c ig a re tte smo ke de ve lop e d e mph y se ma . Hu be r r e po rt e d th e se results to Defe d. at 17:16-18, 18:21-24, 19:3-9. ndants. I 684. Huber had fr nts, including u ent contact with scientists working f or De fenda eq of Philip Morris. Alex an der Spea rs of L orillard, Alan Rodg man of RJ R, and Thomas Osdene -284-

315 Spears made sever ' s labo ratory and re viewed his prog ress re ports. Spears al site visits t o Huber ch conducted by conclude d that tobacc o smoke ca used cha ng es in the the resear Huber admitted that trac ts of the animals consistent with chronic obstruc tive lung dise ase. I d. at 27:15-28:23, respira tory ican Toba 29:4-13; Spears PD, Tex s PD, as v. Amer cco, 7/24/97, 233:1-238:12, 239:8-16; Spear igg ett, 7/26/84, 177:1-181:25. one v. L Cipoll On September 26, 1977, Philip Morris' s Assistant Gener al Counsel, Alexander 685. ltzma n, se nt a wa rn ing to the c omp a ny Pr e sid e nt, Jose ph Cul lma n, inf or min g him tha t th e re su lts Ho rvar from the Ha led Huber to the conclusion that exposure of ra ts to ciga rette smoke d Project had paper auses sema and that a onths c announcing those results would be de livered a t for six m emphy ican Colleg e of Chest Phy sicians meeting in Oc tober, 1977. Holtzman indicated that the Amer Wil hook, Har dy & B acon, unde r the dire ction of industry counsel at the liam Shinn of S attorney co I nstitut e, had be en sent to modify Huber ' s views on the results of hi s rese arc h. The a ttorney Tobac T not suc c e e d in a lt e r in g D r . H u b e r ’ s in te r p r e ta ti o n o f th e r e s u lt s o f h is s tu d y . a h e T o b did c co I nstitut pare d a pre ss relea se to mitigate the damag e in the eve nt Huber' s interpre tation rec eived e pre media attention. 1005053856-3856 ( any US 20197). 6. I n 1 98 0, Hu be r s ou g ht t o c on tin ue his smo kin g a nd he a lth re se a rc h o n a nim 68 ls a t a a time when he w signific ant prog ress, but De fenda nts cut off funding for h is resea rch a t as making e vard a quest for f unding af t er h Har m o ved later that y ear to the University of nd denied his re Ke ntu c ky . I n a 1 9 8 0 m e e t i n g , D e f e n d a n t s ' a t t o r n e y s t o l d H u b e r t h a t t h e r e a s o n f u n d i n g f o r his ntinued was be rese h had bee n d i s co arc cause he wa s "g etting too c lose to some things." The W, and attorney s in cl uded L ee Stanf ord fr om Shook, Hardy & B acon, E rnest Pepples fr om B& -285-

316 Ar St e v e n s f r o m L o r il la r d . H u b e r PD , T e xa s r v . A me r ic a n T o b a c c o , 9 /2 0 /9 7 , 4 1 :4 - 1 7 , 43:21- u th 44:15, 46:6-10, 46:12-24, 47:2-5, 73:12-74:18. 8 7 . A n u m b er o f e x h i b i t s we re i d en t i fi ed an d i n t r o d u c e d b y p l ai n t i ff 's an d d ef en d an t 's 6 u counsel d r' s September 20, 1997 de position i n the State of Te x as litiga tion. The ring Dr. Hube tionship with Def ht on ' s rela Huber endants a nd provide spec ific examples of documents shed lig Dr. n wi t h h el d fr o m h i m b y De fe n d an t s . HT T 0 0 1 0 2 1 2 -0 2 1 4 (U S 8 8 8 0 7 ); HTT0010215-0216 informatio 0219 (US 88809); HTT0010220- (US 88810); HTT0010223- 0225 0222 (US 88808); HTT0010217- 0363 (US ; H TT0010359-0360 (US 88815); HTT0010361- (US 88811); 1335866-5870 (U S 88812) 88816); HTT0010364-0368 ( US 8 8 817); 1000037069-7069 (U S 88818); 501009723-9727 (US 88819); 01421596-160 0 (US 88820); 03540193-0194 (U S 88821); 01346204-6208 (US 88822); 0 4 4 (US 88823); 504822923-2923 (U S 88824); 504912643-2713 (US 88825); HTT0010392- 0 1 HTT0 US 88827); 01370915-0915 (US 88828); 0 0 502-0503 (US 88826); 0000130803-0803 ( HTT0010514-0516 ( US 88830); US 88829); HTT0010511-0513 ( HTT0010508-0510 ( US 88831); HTT0010517-0531 ( US 88832); HTT0010532-0534 ( US 88833). as subpoena ed by the State of Te x as 688. stify in its case ag ainst the When Huber w to te endants in 1997, lawy or De fenda nts, including Rober t McDer ers f ones Da y and L ee Def mott at J dy & B Stanford at Shook, Har ontacted him and ur g ed him "to keep the f aith, to hold the line." acon, c Hu r P D, Te xas v . A me ri c a n T ob a c c o, 9/2 0/9 7, be :21 -1 00 :2, 10 0:4 -8 . T he a tto rn e y s im pli e d to 99 H u b e r t h a t h e d i d n o t " f u l l y a p p r e c i a t e t h e f u l l w e i g h t o f S h o o k , H a r d y & B a c o n a n d J o n e s D a y" and fina repr tives of the tobacc o industry . The c alls cause d Huber to fea r for the safe ty esenta ncial ceive secur of his family . I d. at 101:4-8, 10-21. Hube r per ity d a cle ar me ssag e: Def endants wa nted d. at 102:3-17. to keep him silent. I -286-

317 689. After as ca s e deposition, Def endants obtaine d an orde r the conc lusion of his Tex op lin the tr a ns c ri pt to ke e p D r. Hu be r' s te sti mon y fr om p ub lic vie a nd vig or ou sly g po se d e ff or ts se w a litigants to ript. Those ef forts continued in this case , befor e this Court and in the by obtain the transc eping District Texas. Def n succe eded in ke of the transcr ipt sealed for almost seven Easter endants ear s, but ulti mately , the United States obtained a n order from the Ea stern Dist rict of Texas in 2004, y the transc unsealing , supra. I n re U nited States' Motion to Modi fy ript, which is cited at leng th rs, 5:03-MC-2 (E.D.T une 18, 2003), O rder of June 8, 2004. Orde ex. J Sealing or De fenda nts also rec og nized the validity of re 690. ch that Dr . Scientists working f sear r Aue rbac h conducte d with smoking bea g les in the 1960s and ea rly 1970s. Osca Principal Phili p Morris scientist Ray mond Fag an sent a memo r a n d u m d a te d Fe bruar y 691. arch Direc Auer bach' s Smoki ng tor, on " 25, 1970 to Helmut Wakeham, then Philip Morris's Rese ag les" th at descr ibed his visit t o Auer bach' s laborator y to observe the smoking dog s and tissue Be a de s. F a g e n o bs e rv sli d: I would say t h at t h e ex periment is a c rude one but effe ctive in that cinoma in dog s has bee d. . . . The c ru x o f t he situation n produce car ener al ag re ement by qualified pa thologists that re is g is whether the cinoma . . . has inde ed bee n produc ed. And e ven if the c ance r- car e production is invalidat th e o b vious emphy sema produc ed ca nnot be d denied. 1000837391-7392 at 7392 (U S 20109). Gallahe On April 3, 1970, a c rese arc 692. ompany r L td. (Americ an Toba cco her of Company ' s Br itish-bas ed s i s t er company ) wrote his manag ing dir ector a conf idential memo titled r " u e r b a c h / H a m m o n d B e a g l e E x p e r i m e n t " d e s c A i b i n g A u e r b a c h ' s r e s e a r c h a s " u n d o u b t e d l y a ond signific ant step for war d" a nd noting: " [W ]e believe that the A u erbach wor k proves be y -287-

318 re a ble do ub t th a t fr e sh wh ole c ig a re tte smo ke is c a rc ino g e nic to d og lun g s a nd the re fo re it i s so na e ly hly t it is c a rc ino g e nic to hu ma n lun g s. " lik Th e re se a rc h ma na g e r c on tin ue d, " [t]he re su lts hig tha the re se a rc h w ou ld a pp e a r t o u s to re mov e the c on tr ov e rs y re g a rd ing the c a us a tio n of the ma jor ity of ond an lung cancer sum up, we are of the opi nion that Auer bach' s work prove s bey ]o ," and "[t of hum sonable doubt the c ausation of lung canc er by smoke." 321993992-3995 at 3992, 3993, 3994 all rea (US 21688). 9 3 . Af t er a r ev i ew o f a p re s en t at i o n b ef o re t h e T o b ac co W o rk i n g Gr o u p , L o ri l l ar d 's 6 pear Alexander S Auer bach) repr esente d obvious lung s admitted that "[t] he slides (shown by Cipoll with increa y ation with smoke exposure." Spea rs PD, sed ce one v. patholog llular prolifer igg ett, 7/26/84, 190:1-191:25. L 4. A Jul y 21 , 1 97 0 let te r fr om B & W ou tsi de c ou ns e l Sh oo k, Ha rd y , O ttm a n, Mit c he ll 69 s B a c on to B & W Ge ne ra l Co un e e l D & b a u n B ry a nt, re ve a ls t ha t B & W wa s c on c e rn e d th a t st a te me nts a of B n d B A T e mp lo y e e s , “ w h ic h a p p e a r to d e mo n s tr a te a b e li e f o n th e p a r t o f c o mp W a ny & pe on ne l th a t c ig a re tte smo kin g ha s b e e n e sta bli sh e d as a g e rs ra l hea lth ha zar d o r a c a us e of so me ne particula or disease s,” would expose r disease W and BAT to smoking a nd health litiga tion. As B& ex am p l es , t h e l et t er d i s cu s s es s t at em en t s m em o ri al i z ed i n t h e m i n u t es o f a co n fe re n ce at Kr o n b er g, . Ge a ny , h e ld f ro m June 2 th ro ug h 6 , 1 96 9 th a t w a s a tte nd e d b y bo th B AT a nd B & W re se a rc he rs rm I vid Hardy ' s opinion that such statements "c onstitut e a r eal threat to the continued suc cessf ul t was Da defe nse of smoking and health litiga tion." The statements which g ener ated c oncer n included, but wer e not limited to: There is a possibili ty that the experiments taking place at R. & D . E., Southampton, with t he membra ne of the ch i ck en embry o, might be s; and showing g enuine c arc inoge nic ef fec ts in day -288-

319 The c o lu s io n o f th e Co n f e r e n c e w a s th a t a t th e p r e s e n t ti me the c n rs us y ha d to re c og nize the po ssi bil ity of di sti nc t a dv e tr e he a lth nd I ctions to smoke aer s o l : (a) L ung Cance o Emphy sema a nd rea r (b) onchitis. . . . Br e le tte r a lso dis c us se s add iti on a l con c e rn ste mmi ng fr om the e xiste nc e of a " ' B AT /B & W Cos t & Th ooling Ag ment' execute d in J uly 1969." 681805313- 5319 at 5313, 5314, 5316 (US 30935). ree Risk P 5. De fe nd a nts a lso re vie we d o uts ide re search th a t c on fi rm e d th a t sm ok e c on sti tue nts 69 14, e ca enic. A Fe bruar y rcinog 1973 rese arc h repor t distributed to Defenda nts and their outside wer linked firms The smoking to c ance r. law repor t, titled "Cig are tte Smoke Conde nsate Prepa ration and Der mal Application to Mice," prepa red by Hazelton L abora tories and submitted to America n, was W, L igg orillard, Philip Morris, RJR , and the law firm of Covington & Bur ling. I t reporte d B& ett, L ross lesions in the skin in the area veloped g mal applications of that "97 of the 100 mice de of der ." E x rene wer e squamous ce ll carc inomas. 501547434- benzo(a)py amination indicated that these 7448 at 7444 (US 20682). On J anuar y 7, 1969, Wakeham informe d his supe r 696. r s a t P h il ip M o r ris that an abstra ct io of paper prepa red by a rese arc her a eiving CTR funding stated: "sc ientific finding s sugg est that rec inhalation of fr esh ciga rette smoke may enhanc e carc inoge nesis in mice." 682011667-1671 at 1668 (US 21021). 697. n 1974, David Ha rdy of Shook, Hardy I acon a dvised BA TCo ag ainst admitting & B to the pu bli c wh a t it s sc ie nti sts kn e w i nte rn a lly -- tha t sm ok ing c a us e s d ise a se . A t th e tim e , B AT Co packa was placing a war ning on cig are tte considering g es sold in Eng land -- with no go v er nment n a letter attribution -- that stated that smoking "c auses lung canc er, br onchitis, heart disea s e. " I -289-

320 addre ssed to BA s i o n of fa ct would impede the de fense of TCo, Hardy advised that this admis tion in the United States. He wrote : smoking a nd health litiga op e d n e w w a rn ing re mov e Th e os a ttr ibu tio n o f t he wa rn ing to pr e s th nt," a nd instead appe ars to be a voluntary and dire ct "H .M. Governme the cig tte manufa cture r that the c iga rettes c ontained admission by are e pack s e "lu ng cance r, b ron chi ti s, hear t d is e a th e." A in age caus of the manuf actur er w ould, in our opinion, wholly owned subsidiary d by prejudicia lly rsely eff ecte and such a voluntar y war ning be adve v e n t h o u g h i t i s a s e p a r a t e e n t i t y. e * * * Once ont en t o f t h e war ning g ot before a jury in the ct and c the fa subsidiary United States in a ca ense of "no se involving the , the def tion" would be lost for all prac causa proof of tical purposes. Such a result would indeed be unfortunate in view of the f act that in eve ry n s t an ce wh er e t h e m at t er h as b ee n ex p l o re d i n o u r C o u r t s t h ro u gh i wise, the c and other r has iga rette manufa cture expert testimony preva iled. S 34974). 110318156-8157 at 8156, 8157 (U 8. Simi la rl y , a Janu a ry 1, 19 76 le tte r fr om B & W Vi c 69 Pr e sid e nt an d G e ne ra l Co un se l, e Ernest Pepples, to B ATCo Gene ral Counsel, H.A. Morini, discusses B& W's conc ern tha t voluntary c o n s e n t b y B A T to p la c in g a d d it iv e s u n d e r th e T o b a c c o M e d ic in e A c t w o u ld p rej u d ic e B & W, beca use it could attribute to B e of spe cific ha zards, which would badly wea ken &W knowledg W's litiga ion. MNATPRI V00023457 (US 86869). B& tion posit I n 1980, in a confide ntial me 699. naly zing BA T public positions and their impact on mo a B & W' s st a nc e in l iti g a tio n , B AT Co i nte rn a lly a dmi tte d: " I t is sim ply inc or re c t to sa y , ' Th e re is s til l no scientific pr auses ill-hea lth.'" 680050983-1001 at 0998 (U S 20981). oof that smoking c 700. Phili p Morris scientist J s Vice Charles (who would later serve as the company ' ames , President of Rese arc h) sent a F ebrua ry 23, 1982 memorandum to depa rtment head Thomas Osdene -290-

321 re sp g to t he 19 82 Sur g e on Ge neral's Repo rt on Smo kin g a nd He a lth : " Cig a re tte smo ke is on din to active" are tte smoke condensa te applied cig the backs of mice c auses tumors." lly biologica and " ting to the biologica l a ctivity of cig are tte smoke and told Osdene "y ou may He listed nine fa cts rela t] way y o u [i s ee fit." 1003171563-1567 a t 1564, 1566 shred this document . . . or use in any US 26137). sis in original) ( (empha 4, 1982, a BATCo consultant, Fr ancis Roe, wrote to BAT a nd explained why On May 701. that position on causation unsupported, noting to be "[i]t is not really true, he believe d the industry s th e Am e ri c a n T ob a c c o in du str y wo uld lik e to be lie ve , tha t the re is a ra g ing wo rl dw ide c on tr ov e rs y a ink n smoking a nd cer tain disease." 100432193-2203 at 2194 (U S 20182). betwee about the causal l RJ R's r ecog nition of the v a li d it y o f e p id e mi o lo g ic a l a n d s c ie n ti f ic s tudie s led Anthony 702. ctor of the ' s Scientific L itigation Support Division, to write to attorney company V. Colucci, Dire ames E. Young of Jones, Day , Reavis & Pogue to push the "me chanistic a rg ument" of causa tion. J tt n a 1 9 8 6 me mo r a n d u m, Co lu c c i e xp li c it ly a d mi a e d : " th I t c ig a r e tt e s a r e a r is k f a c to r f o r h u ma n lung c ance futable f act." 507910855-0856 at 0855 (U S 20803). r is an irre ry 3. y 19 80 , L or ill a rd wa s a wa re 70 t e ve B ma jor me dic a l a nd sc ie nti fi c g ro up in tha Americ a tha t h a d s tu d ie d th e q u e s ti o n h a d c o n c lu d e d th a t s mo k in g c a u s e s d is e a s e . T h e c o mp a ny was e qually re that the only scientific studies to disag ree with that conclusion wer e per formed awa 7/24/97, 58:3-60:12. d by o industry . Spears PD, Te x or funde Americ an Tobac co, the tobacc as v. 704. The testimony of two hig h-leve l Phil ip Morris scientists fully corr oborate s the documentar y evidenc e cited a bove that De fenda nts were tot a ll y a w a r e o f a n d c onvinced that smoking c c us e d d ise a se . F ir st, fo rm e r P hi lip Mo rr is s a ie nti st D r. Willi a m F a ro ne , w ho wo rk e d a t Ph ili p n asked Morris for 18 y ear s and wa s impressive and c redible a s both a fa ct and e x pert witness, whe -291-

322 wh a vie w w a s a mon g Phi lip Mo rr is s c ie nti sts on the qu e sti on of wh e the r s mok ing c ig a re tte s is t th e canc nd other disea use of lung ses, re sponded: a ca er a sprea There e that smoking c aused disea se. I d acc was wide eptanc lip Morris who said that smoking talked with a sc never ientist at Phi doesn’t ca use disease . this understanding , he stated: When asked wha t the basis was for pidemiology The c ecounte d in the Surg eon’s ompelling e such as that r eports, and our knowledg e about the che micals that wer e Gene ral’s r ated by cig are ttes and what wa s delivere d to the smoker, hundre ds cre y of times per da e. on aver ag was also hether any of these e x ecutives in his discussions with them challeng ed asked w Dr. Farone ntific evidenc e that smoking cause s disease, a nd answe red: the validity of the scie could or nera focuse d on how the company lly omments ge No. Their c vidence was va lid. should respond, not to whether the scientific e me mbe r, a ma in r e a so n w hy the y hir e d me in 1 97 6 w a s to he lp Re less rette. I t seemed to me a t the time I was hazardous ciga develop a nd cer tainly was the c ase dur ing my entire tim e t here , that hired, a self im that job was it me for plicit recog nition that the ciga rettes hiring causing e out there being sold were disease. that wer Fa rone WD, 66:11-18, 68:22-69:10. former Second, err y Whidby , a J Phili p Morris scientist who continues to appe ar 705. Dr. s a fa c t a nd e xpe rt wi tne ss f or the c omp a ny a nd wa s p a id $2 80 0 p e a a y by Phi lip Mo rr is f or his r d te mon y in t his c a se , r e sp on de d to qu e sti on s f ro m th e Cou rt on the sa me su bje c t: sti THE C OURT : A n d y o u w e r e a s k e d in th is q u e s ti o n : “ H o w long ng have y nized that smoki ng was da og erous a nd cause d canc er, ou rec e m p h y s e m a a n d o t h e r d i s e a s e ?” re An m I c or re c t th a t y ou a ns we d a d: “ Sin c e y e a rs be fo re I we nt t o p Morris.” work for Phili -292-

323 So the a w e r w o u ld b e , I g a th e r , th a t f o r y e a r s b e f o r e 1 9 7 2, y ou n s nized that smoki og cause d canc er, e m p h y s ema and other rec ng re a tha t c or , is c t? e dis se s, that is corre ct. When I was in hig h school and THE WI TNESS: Ye d a mma c ho ol, we ta lke r s bo ut i t in sc ho ol. g ra t question was: “Have y ou ever doubted THE COURT: And the nex e s dang d canc er , e mp h y s nd cause ma a n d o ther erous a that smoking wa ” diseases? d y ou a ns we re d: “ No , I ha ve ne ve r d ou bte d th a t.” I s th a t c or re c t? An ns E WI Th a t’ s w ha t I a ESS: we re d, y e s. TN TH E CO UR T: An d we re y ou a wa re fr om 197 2 for a t le a st 2 0 y e a rs , TH e tha n 2 0 y e a rs tha t y ou rk we re wo mor ing a t Phi lip Mo rr is, tha t Ph ili p Morris was the public position that it was an ope n question as taking a he mok ing wa s d a ng e ro us a nd c r s us e d c a nc e r, e mp hy se ma to w the nd oth e r d ise a se s? a TNESS: I was awa re of some of those statements, not all the THE WI statements, no. THE COURT: . . . but did y testify in y our di rec t that that ou not also m st y on knowledg e among was the co our scientific colleag ues at m Phili as dang erous an d ca used ca ncer , p Morris, that smoking w e mph y se ma a nd oth e r d ise a se s? THE WI eople I wo rked a round who shar ed their be liefs TNESS: P with me , y e s , th a t’ s w h a t w e th o u g h t. We w e r e th e r e to ma ke the cig are tte better. TT, 2/22/05, 14112:6-14113:11. Whidby c. nal Know ledge, Defendants Contin ued, Fr om Despite Their Inter 1964 Onw ard, to F al s el y De ny and Distort the Serious Health Effec of Sm oki ng ts 706. Def endants re lected the eon Ge neral ’s R eport, whic h ref sponded to the 1964 Surg active scientific c onsensus th at smoking c auses lung canc er w ith a campa ign of proac tive and re -293-

324 re sp s to sc ie nti fi c e vid e nc e tha t w a s d e sig ned to misl e a d th e pu bli c a bo ut t he he a lth on se se int e nc e s of smo kin g . De fe nd a nts ’ g oa l wa s to cr e a te a nd ma on a in t he smo kin g ha bit so a s to c qu porate e cor enhanc profits. n November 1967, at the dire ction of outside lawy ers Da vid Hardy of Shook, Hardy 707. I er, the nd Ed J er, F orsy th & Dec k Cabell, Meding Tideroc k Corporation, the acon, a acobs of & B nstitut e' s public relations firm, pre pare d an ac tion plan titl Tobac The Cig are tte Controversy ." co I ed " ction plan proposed to influe cre ating nce public opinion by initiatives to re -open the The a specific stion” cig are tte controve rsy . The prog ram called for the cre ation of a position paper for “open que use as we intra-industry one for distribution to the media and public. The plan inc luded targ eted ll a s ories for i s the medica l profession, scie n t g s ts, communicators (pr ess, ra dio, cate mailings such a fig ures, and 10,000 top corpora te pre sidents. I t also detailed the television), educators, top public azine article s. 1005109086-9106 (US 20211); TI MN0070816-0821 (U S 77048); publication of mag 502644592-4616 (US 20703). 8. I n 1 96 8, the To ba c c o I ns tit ute pu bli sh e d a pa mph le t ti tled " Th e Cig a re tte 70 e T o t ro v er s y : An E x am i n at i o n o f t h e F ac t s b y t h n o b ac co I n s t i t u t e - - T h e T o b ac co I n d u s t ry C 's Con tr ibu tio n to He a lth Re se a rc h. " I t de c la re d: I n order e scie ntific understa nd i n g o f t he ca uses, as to help advanc ans of pr eventing olling disea se, the A merica n well as the me and contr o industry contributed milli ons of dollars for independe nt tobacc has a r c h o n s mo k in g a n rese h e a lt h . D u r in g th e p a s t th ir te e n y e a r s, the d i n d u s t ry h as s u p p o rt ed o v er 3 0 0 i n d ep en d en t h ea l t h s t u d i es t h ro u gh .S.A. Do cig the s Council f or Tobac co Resear ch - U ' are ttes industry cause disease? I n spite of all the deba te -- in spite o f all of the re se a rc h - - t h a t q u e s t i o n i s s t i l l u n a n s w e r e d . T h e i n d u s t r y wi ll o c n t i n u e t o s e e k t h e t r u t h i n t h e c o n t i n u i n g c i g a r e t t e c o n t r o v e r s y. 4803 (US 21613). TI NY0006498-6601 a t 6534-6536 (US 87056); TI MN0104765-4868 at 4802- -294-

325 709. An A l 23, 1968 publication of The Cig are tte Controversy re- stated and r e- p ri a size e fe nd a nts ' vie ws : e d D mph important new e vidence ag ainst cig are ttes been ny Q: Has a rt e d in re c e nt y e a rs ? re po g No Cig a re tte s tod a y a re br a nd e d . uil ty on vir tua lly the sa me A: e that wa s considere d insufficient only a fe w kind of evidenc ear s ag o. y * * * Q: s smoking a he alth hazard? I A: That question is still an open one . * * * t h at t i m e [ t h e e ar l y 1 9 5 0 s ] , m o s t s ci en t i s t s co n s i d er ed t h e f i n d i n gs At icient to prove a ag ainst smoking. Since of these studies insuff case other studies have been done. But there is still no proof then, many r -- h t tte smoking is a c ause of lung c ance at cig or any other are disease. 502644592-4616 at 4595, 4596 (U S 20703). 710. I n a 1969 pre ss relea se titled "A merican T o b acc o Refutes Anticig are tte Charg es," Americ an announc nother ve rsi on of " The Cig are tte Controversy ." T he ed it was distributing a eview e over s ea rc h d o n booklet purported to r the prior f ifteen y ear s and conc luded that, in the re ailed to more tha e of me nce, " the question is stil l an open one ." I t was m dical evide n 140,000 absenc stockholders of A merica n. TL T0962304-2309 at 2304 ( US 88668). 7 1 1 . T h i s u p d a t e d v e r s i o n p r e s e n t e d " f a c t s " e x p l a i n i n g t h a t t h e r e w a s " c o n t r o v e r s y" ere surrounding e of smoking and hea lth that must be answ the scienc d by further scientific r esea rch tt a nd pu bli c dis c us sion. Th e pa mph le t w a s r e vie we d b y CTR ' s Sc ie nti fi c Di re c tor Rob e rt Ho c ke -295-

326 pr ior lic a tio n. Ac c or din g to a le tte r f rom Dav id Ha rd y to H oc ke tt, thi s T ob a c c o I ns tit ute to p ub re le a s w ri tte n to e xplai n to the p ub lic the ok re a so ns wh y re pr e se nta tiv e s o f t he Cig a t w tte bo " nd s t ry contend that the c ase a g ainst cig are ttes has not been pr oved." Har dy explained that "the u I lt it desirable to have some Tobac dable doc ument or pamphlet to g ive them co Institute has fe rea of t he unanswere d questions." 1005152849- 2896 (US 20226); HK0108004- which spells out some 8004 (US 21171). I n 1971, the Tobac co I nstitut e re vised and re published anot h er ed i t i on of " The 712. rs aret tr ov e rs y -- e ig ht q ue sti on s a nd a ns we Con ." I t w a s d ist ri bu te d b y dir e c t ma il t o te Cig y sic ia ns , li br a ri a ns , ne ws pa pe r a nd ma g a zine e dit or s, Me mbe rs of Con g re ss a nd the ir top a ide s, ph ulties, leading public rela d i cal sc hool fac tions groups, me tobacc o g rowe rs and members of u xe c u t i v e s o f i n d u s t r y s u p p l i e r f i r m s , o t h e r U n i t e d S t a t e s b l s i n e s s e e a d e r s , c o l l e g e a n d u niv e rs ity presidents a nd depar ads, scienc e writers, and business and financ ial writers a nd secur ities tment he sts. Copi es we lso ma iled to a larg e list of minist ers. The mailing we nt to nearly 350,000 analy re a ther 300 radio a station ma nag ers toge t was sent to over with a six ty second persons. I nd television ment. TI MN30 0 2 3 3 - 0 2 5 7 ( U S 2 1 6 7 announce ) ; 6 90014815-4838 (US 21041); 5 TI S 21716); 03768320-8337 (US 20064). MN0080470-0477 (U e 3. n 1 97 1, the To ba c c o I ns tit ute pu 71 sh I d a sh or ter su mma ry of the 19 70 " Cig a re tte bli Controversy " pa mp h le t t it le d " Sm o k ing/He alth An Ag e-O ld Controversy ." T his leaflet br iefly stated e Def d a n ts ' o p in io n s o n th e q u e s ti o n s o f c a u s a ti o n a n d th e v a li d it y o f th e s c ie n ti f ic r en s e arc h o c du c te d to d a t e . A N o v e m b e r 9 , 1 9 7 3 T on b a c c o I ns tit ute me mor a nd um d e sc ri be d " Smo kin g /H e a lth ter version of the An Age- Old Controversy " as a "g ood sy nopsis of t he [ 1970] pamphlet" and a "shor -296-

327 industry stand on the cig rsy " tha t should "be put to g ood use." TI MN0121524-1527 are tte controve US 21365). MN0395428-5429 at 5429 ( (US 21710); TI 4 . I n N o v e mb e r 1 9 7 1 , RJR r e q u e s te d a n d r e c e 7 e d f r o m t h e T o b a c c o I n s ti tu te 1,000 1 iv pamphlet " lth An Ag e Old Controver sy " f Smoking/Hea r use in responding to inquiries copies of the o om c hil dr e n a bo ut s mok ing a nd he a lth . I n F e br ua ry 19 73 , 5 00 mor e c op ie s w e re re qu e ste d, a g a in fr esponding for r S 21710); 500005148-5148 (US 21323); to school children. TI MN0121524-1527 (U 500013882-3882 (US 20611). c The Cig are tte Controversy ," the T 715. b a the publication of " c o I n s titute publis hed After o se ri e s o f a dv e rt ise me nts in v a ri ou s ma g a zine s, inv iti ng re a de rs to r e qu e st c op ie s o f t he pa mph le t. a example, on November 6, 1972, the Tobac co I nstitut e ran an advertisement in The Na tion that For HAVE A RI YO U ON AB GHT TO A FUL L DI SCUS SI stated " OUT smoking and hea lth. The l ci t e qu es t i o n i s s t i l l a qu es t i o n . S en d fo r fr ee b o o k et et , 'T h e C i gar et t e C o n t r o v e r s y . '" gar TI S 21333). MN0124460-4460 (U The Cig The Toba nstitut 716. rsion of " cco I are tte Controversy " a nd e published a 1974 ve con ti n u e d to a r g u e th a t o b je c ti v e r e s e a r c h w a s n e e d e d to e xp lo r e q u e s ti o n s a b o u t s mo k in g a nd health. The rette Controversy stated that a c ausal re lationship between smoker s and illness or Ciga death ha stablished and that such cla ims were unpr oven. Ove r one million copies of the d not been e Ciga rette Controve rsy , which was descr ibed as "the basic g uide for othe r for ms of communication," TI wer the y ear . the end of MN0017604-7612 (U S 23020); TI MN217628-7639 at 7634 e in print by (US 21263). sident and I n an addr es s d el ivere d on October 3, 1967, Paul D. Smit h, Vice Pre 717. hether Gene ral Coun s el o f P h i lip Morris, stated: "The truth of the matter is this: No one knows w -297-

328 h a c tte smo kin g c a us es any hu ma n d ise a se or in a ny wa y imp a ir s h uma n h e a lth ." Smit re lso a ig "[n]obody has y et been able to find any ingr edient as found i n tobacc o or sm claimed that oke that s human disease e also c riticized the Publi c Health Service ' ." H acc usations ag ainst tobacc o cause s nd c la ime d th a t th e pu bli c res earc h c omm un ity wa s b ia se d d ue to i ts r e c e ipt of fe de ra l f un ds . a S 20337); 2010035814-5818 (US 21603). 2015068601-8612 at 8603, 8611 (U worke n 1968, a sportswriter Stanley Fr ank, I named d for Hill & Knowlton was 718. who id $ 50 0 b y the To ba c c o I ns tit ute , to wr ite a n a rt ic le tit le d " [T]o s mok e or no t to smo ke -- tha t is pa section of Tr the question," which appea red in the "Scie nce" ue Mag azine. I n the ar ticle, Fr still ank stated that he ha d revie wed the e vidence on smoking a nd disease a nd found it inconclusive and contra dictory I I (D)( 3)(¶ 167-16 8 ). TI MN462375-2380 (U S 21660); 690012994-2994 (US . See, I 54322). ints of co I nstitut e order ed milli ons of repr Tobac the Stanley Fr ank ar t i cl e for 719. The n April 1968, L orillard, R J R , P h mass mailings. I l i p M orris, and B &W purc hased r eprints of the i article urther ma ilings. 690012994-2994 ( US 54322); TI MN0 0 70307-0307 (US 21571); for f MN0070324-0335 (U S 21301). MN0071398-1401 (U TI S 21592); TI I n an 720. memorandum outlining the Toba cco I nstitut e' s involvement with the internal Fr ank ar ticle, Will iam Kloepfe r, Vice President of Public Relations at the Tobac co I nstitut e, noted with a p r oval that the Toba cco I nstitut e' s involvement in another a rticle, " the B arr on' s editorial," had p t be n u no nc ov e re d: e t should be noted that our ea rlier pr oject, the a dv ertisement of the I Ba s editorial, esc aped notice able r ebuttal. The editorial will be rron' reme mbere d, howeve r, as a n independe nt crit i ci sm of g overnme nt ion a tiv ity , w ith no re a so na ble su sp ic c po ssi ble tha t c ig a re tte int e re sts ration. wer e re sponsible for its prepa -298-

329 TI MN0071398-1401 (U S 21301); 1005112459-2461 at 2460 (US 20213). tiviti All these ac rette Controve rsy series, the Frank ar ticle, and es, such a 721. s the Ciga of st me nts of the ind us tr y we re un de rt a ic n a s p a rt ate a c on c e rt e d, wi de -r a ng ing pu bli c bl pu ke tio ns str a te g y on the pa re of De fe nd a nts to m is lea d th e pu bli c . A 19 68 To ba c c o I ns tit ute la rt To c c o a nd He a lth Re se a rc h Pr oc e du ba l Me mo" la y s o ut t he ba sic str a te g y : " ra s t i m p o rt ant ty pe of story is that which ca sts doubt on the The mo and ef cause of disease and smoking . . . . [T] he hea dl ine fec t theory sy call out the point -- Controver ! Contradiction! should strongly r f a c tor s! Ot kn ow ns ! he Un MN0071488-1491 at 1489 ( US 21302). TI 2. I n 1 96 9, the To ba c c o I ns tit ute pr e pa re d a n a rt ic le tit le d " Centur ie s- old 72 rt kin /H e a lth Con tr ov e rs y Con tin ue s, " wh ic h a sse g e d tha t the c a us e s o f c a nc e r a nd he a rt dis e a se Smo e re sti ll u nk no wn . Th e a rt ic le sta te d th a t e vid e nc smo c on c e rn ing we kin g a nd c a rd iov a sc ula r d ise a se was, if a ny confuse d than it was in 1964 and did not permit the conc lusion that there wa s thing, more usal rela and ca rdiovascula r disease . TI MN395434-5437 (U S 21664). a ca tionship between smoking 2 3 . Cla im s th a t s mo k in g w a s o n ly s ta ti s ti c a ll y li n k e d to d is e a s e p e r s is te d 7 A F e b r u a ry . 3, 69 CTR pr e ss r e le a se e xpla ine d: 19 who has be iated with more r esea rch in tobac co The scientist en assoc th than any other pe rson [Cl are n ce C ook L and hea ecutive ittle, Ex Direc TR] decla red today tor of C there is no demonstrated c ausal that re la tio ns hip be tw e e n smo kin g a nd a ny dis e a se . The gaps in sse kn dg e a re so g re a t th a t th os e wh o d og ma tic a lly a le rt oth e rw ise ow -- whe state that there is or is not such a c ausal re lationship -- ther they are ture in judgment. I f any thing, the pur e biolog ical evide nce prema is pointi ng awa y fr o m , n ot toward, the c ausal hy pothesis. . . . moking a Statist ee n s iations betw nd lung c ance r, base d on ical assoc stu dy of tho se tw o fa c hip s a lon e , a re no t pr oo f o f c a us a l r e la tio ns tor s. in t he op ini on of mos t e pid e mio log ist -299-

330 670307882-7891 at 7882 (U S 21867). bruar 724. ener al counse ls f or Phili p Morris, RJ R, B &W, L orillard, y On Fe 6, 1969, the g re me Commi ett, all of whom we ttee of Counsel, approve d publication of the and L igg mbers of the ess re lease under the headline: "How much is known about smoking a nd health." The g fore oing pr a s r un in m a jor ne ws pa pe rs a a un d th e c ou ntr y , a dv e rt isi ng jou rn a ls, a nd medic a l jo ur na ls, d w ro pers in Richmond, Raleig Knoxvi lle, Nashville, Washington, Ne w York, L ouisvill e, including pa h, n edition of the Wall St t J ournal , exington and Columbia; in the easter Adver tising Ag e, L ree oadca sting, Editor and Publis her, Sout hern Advertising and Publishing, Na tional Association of Br ist ta g g ist Jour na l, F oo d T op ic s, VE ND , Re ta il T ob a c c on ru , So uthern T ob a c c o Jou rn a l, il D Re co, Toba istributor and Confec tionary Guide, Tobacco J obber, Tobacc cco D eaf , Tobac co Tobac o L obacc o Re p orter, U S Tobacc o J ournal, Medic al World News, Medic al Economics, a nd US Record, T 3 . (U S 2 0 2 2 2 ); 1 0 0 5 1 5 1005132848-2849 0 9 8 -3 0 9 9 (U S 2 0 2 27); TI MN0081698-1698 (U Medicine S 21309); TI MN0000560-0561 (U S 21874); TI MN0081695-1696 (U S 21308). 725. Def alized that they neede d to chang e publi c opinion in order to sustain the endants re the bil of the tob a c c o indu str y g ive n the fa c t tha t th e re wa s li ttl e , if a ny , e vid e nc e via up po rt ity ir to s po ion . I n a n A ug us t 10 , 1 96 7 RJR me mor a nd um f rom J .S sit de ll t o C. B . Wa de , D ow de ll . Dow a c kn ow le dg e d: Desp i t e the fact that the industry has ver y littl e, if a ny , positive evidenc e u the ag g ressive c ampaig n nece ssary at pon which to base to ma chang this late date e public opinion, public attitudes can terially ng be cha st to the ex tent that the majority who now believe ed. At lea smo kin g is a pr ov en caus e of lun g c a nc e r c ou ld b e c ome do ub tf ul; and, others who are now d that befor e the skeptical could be convince is further pe industry evidenc e is requir ed. Howe ver, the nalized more un fa vo ra ble op ini ly on the ha zar ds of smo kin g wi ll r e ma in d e fi nit e on positive action high, a nd will not shift in a favorable direc tion, until -300-

331 is taken by the industry anti-smoking pr opag anda a nd to counter the b i c i t y. u l p e ll a dv oc a te d th a t th e To ba c c o I ns tit ute Exe c uti ve Com mit te e Do app rove the 19 67 Pub lic wd am and be in an ag g ressive public r elations ca mp a ig n . 5 0 g 0 0 6 1 9 2-6194 at 6193 (U S Relations Progr 0 mphasis in origina l). 47761) (e 6. At the sa me tim e , an int e rn a l B & W do c ume nt t itl e d " Smo kin g a nd He a lth Pr op os a l" 72 Doubt explained: " product since it is the best means of competing with the ' body of fa ct' that is our nera t is also a means of e c. I ts in the mind of the ge stablishing a c ontroversy ." exis l publi S 21040). 690010951-0959 at 0954 (U u &W document pr epar ed fo r p I b l ic dissemination titl ed " How Eminent 727. n a 1969 B en o f M ed i ci n e a n d S ci en ce C h al l en ged t h e S m o k i n g-a n d -H ea l t h T h eo ry Du ri n g R ec en t He ar i n gs M question ss," B tated that "the &W s of sm oking and health remains an ope n, not in the U.S. Congre a close d, issue." B& W also asser ted that "[t]he c ause of canc er in huma ns, including the cause of canc er of , is unknown" an d t h at "[t]he concept that c iga rette smoking is the cause of the the lung colossal ase canc er and emphy sema is a blunder." 650332832-2839 at 2833, 2835-2836 incre in lung (US 20947). 8. On No ve mbe r 11, 19 69 , th 72 To ba c c o I ns tit ute pu bli sh e d a n a dv e rt ise me nt t itl e d " Al l e Ad ve rt isi ng Sho uld be Tr uth fu l," c on ta ini ng a re pr int of a n Ad ve rt isi ng Ag e a rt ic le tit le d " Th e Tr uth r Seems a L attacke d the Amer ican Cance article Society and the Ame rica n Hea rt ittle Twisted." The As so c ia tio n c omm e rc ia ls i nf or min g the pu bli c a bo ut t he ri sk s o f c ig a re tte smo kin g . T he a rt ic le mis sta d th a t th e c omm e rc ia ls we re un tr uth fu l a nd te le a din g a nd tha t " wi ld" un su pp or te d s ta te me nts s should not be permitted on the air. The Tobac co I nstitut e ran these a dvertisements in new spaper -301-

332 in N e k, B os ton , Ph ila de lph ia , Wa sh ing ton , Ch ic a g o, L os An g e le s and Sa n Fr a nc isc o a nd in w Y or k, and the Wall wswee issues of Time, Ne Street Journal. 1005132842-2842 (US 21667); 1005132840-2840 (US 21668); 1005132841-2841 ( US 21669). n Fe bruar y 1970, the Tobac co I nstitut e issued an announce ment titled " The Toba cco 729. I e believe an public is entitled to compl ete, a uthenticated inf ormation about nstitut s the Americ I a re tte smo kin g a nd he a lth ," wi th th c su btitle " Th e Am e ri c a n Ca nc e r S oc ie ty do e s n ot s e e m to ig e g re e ." Th is a nn ou nc e me nt c ha lle ng e d in fo rm a tio n is su e d b y the Am e ri c a n Ca nc e r S oc ie ty a f C on e rn ing a re se a rc h p ro je c t pu bl is hed by Dr . O sc a r A ue rb a c h ti tle d " Th e Ef fe c ts o c ig a re tte c t s." F endants’ e ffor t s wi omplete discussion of Def h re s p ect to the or a c Smoking Upon Dog bach Studies, see Section I I I (F )(3) and S ection V(A)(5) (b)( ¶690-693) , supra. TI MN0081949- Auer 1949 (US 21686). e sent On April 30, 1970, t he Tobacco I nstitut claimed that a press rele ase that falsely 730. the Amer ican Canc ty had re fused to re lease experimen t al d ata unde rly ing the er Socie o er ac h / Ha m m o n d "s m o k i n g b ea gl es " s t u d y , w h Au c h d i s c b v e r e d b r o n c h i a l c a r c i n o m a i n b e agl e d o gs i forc ed to smoke tobac co. T076378-6379 ( US 21237). 73 1. I n M a rc h 1 97 0, the To ba c c o I ns tit ute a pp ro ve d te le vis ion sp ots wh ic h s a id: Today , we in this industry esea rch on the support more impartial r o and hea vital question of tobacc ag ency of the F eder al lth than any G o v e r n me n t, a n d mo r e th a n a ll th e v o lu n ta r y a g e n c ie s c o mb in e d . We have g t confidenc e that the f indings of this re sear ch will lead the rea wa y in p ro vid ing fa ir a nd a c c ur a te inf or ma tio n r e g a rd ing c ig a re tte s o k i n g. m * * * o industry common sense? We i n the tobacc Do Smokers have sponsible men believe they do, and that milli ons of re asonable and re -302-

333 and women w ho smoke will not be mis by the ca mpaig n of fe ar l ed ainst smoking. e believe tha t these emotional that is conducted a g W e no there e for objective fac ts ga es ar d from re sear ch. substitut char g S 20300). 2010008819-8822 at 8820 (U On April 22, 1970, a CTR pre s s rele ase titled " Studies Raise Questions About 732. quoted Clarenc e Cook L ittle as stating: "The deficienc ies of the tobac co Smoking as He alth Hazard" pothesis and the nee tion hy re s ea rc h are becoming clea rer to increa sing causa d of much more rch sc t 5902 (US 47778). esea numbers of r ientists." 500015901-5905 a 7, 1970, Dr. S h eldon Sommers, Scientific Dire ctor of CTR and 733. On September n sserted in a SAB, a "S m o k i n article g and He alth: Many Unanswe red Chairman of the titled e s ti o n s " : " I d o n o t b e li e v e it h a s b e e n s c ie n ti f ic a ll y e s ta b li s h e d th a t c ig a r e tt e s moking cause s Qu i ," a cco Re sear ch is dee ply com m he Council for Toba t t ed to the sear ch for nd, "T human disease rs." Z N16062-6065 a t 6063, 6065 (US 21161). answe nstitut I ember 1970, the Tobac co I n Dec e issued y et another statement, published as 734. dv n a me e rt ise a nt i n ma jor Am e ri c a n n e ws pa pe rs , ti tle d " Th e Qu e sti on a bo ut S mok ing a nd He a lth I s Sti Qu e sti on " : ll a major portion of this scientific inquiry n financ ed by the [A] has bee op le wh o k no w t he mos t a bo ut c ig a re tte s and ha ve a pe re a t de sir e to g lear . . . t h n the truth co industry . And the industry has e tobac committed itself to this t ask in the most objective and sc ientific wa y po ssi ble . . .111 5 r e po rt s in a ll. Th ro ug h th is w or k mu c h v a lua ble c da ve be e n p ro du c e d a bo ut l un g ha a nc e r, heart dis e a se , c hr on ic ta respira tory ailments and other dise ases. How ever , th er e's st ill a lot that more to be learne . . There are eminent scientists who believe . d. the question of smoking and hea lth is an open one a nd that rese arc h in this area must g o forwa rd. F rom the beg inning, the tobacco dese industry has believed that the Americ an people rv e objective, scientific a nswers. With this s ame cre d o in mind, the tobacco commitments for additional industry stands rea dy today to ma ke new -303-

334 valid scientific r esea s to shed light on new fac ets of rch tha t offer nd health. smoking a wi e min e nt s c ie nti sts ” in s uc h p ro no un c e me nts w ere ne ve r i de nti fi e d. De fe Th a nts e de ly “ nd dvertisement a provided it to ever y member of Congr ess with a distributed reprints of the a nd om Horac co I neg ay , President of the Tobac l letter fr nstitut e. TI MN0081352-1352 (U S e Kor persona ); 1 005132832-2832 (US 21666); 2010008878-8879 ( US S 22010 21305); 2010008873-8873 (U 36514); 500004807-4809 at 4807 ( US 20608); Br andt WD, 128:14-129:11. 5. De fe nd a nts ' e xec uti ve s a lso c on tin ue d to ins ist in t he 19 70 s, a s th e y ha d in the 19 50 s, 73 and whe ny harmful e lements wer e identified in c iga rettes, they would take necessary n" a that "if ps to r e mov e the m. F or e xamp le , o n Jan ua ry 3, 19 71 , Jose ph Cul lma n I I I , P resid e nt o f P hil ip ste Fa ce the Nation" television interview: Morris, explained in a " n, s in du str y c a n fa c e the fu tur e wi th c on fi de nc e be c a us e wh e s, a [T]hi and if a ny edie n t in cig are tte smoke is identified as being ingr human health, we are confident that nate that injurious to we can elimi hat cig ttes are hazardous; we edient . . . . We do not believe t are ingr ept that. B ut we ar e wor king w ith the gove rnment, working don' t acc ith the govern m en t , on various methods of a scer taining hard w very or not cig are ttes can be found to be ha zardous. . . . I whether believe they en prove d to be unsafe . have not be S 35622). 1002605545-5564 at 5550, 5560 (U During the s ame televised interview, Cull man falsely denied that cig are ttes posed a 736. hazard to pre g their infants: “[I ]t ’s true tha t babies born f rom women who smoke a re nant women or are just as healthy as the ba bies born to women who do not sm oke. Some women smaller, but they woul d p r e f e r to h a v e s ma ll e r b a b ie s . ” H is s ta te me n t c o n tr a d ic te d th e in f o r ma ti o n Helmut Cor Wak ha m, P hil ip M or ri s' s Vi c e Pr e sid e nt fo r e po ra te Re se a rc h a nd De ve lop me nt, ha d g ive n h im US 20080). two y ear s ear lier. 1002605545-5564 a t 5561-5562 (US 35622); 1000211305-1305 ( -304-

335 73 7. n e ff or t to de tr a c t a tte nti on fr om s mok ing a s a c a us e of dis e a se , D e fe nd a nts I n a 3, 1971, a Tobacco I se conta e pre ss relea uses. On January ined pointed to other possible ca nstitut ing public ing eff orts, and sug g esting to the public that not enoug h was be iticiz statements cr health tiga n t o i n v es o te incidents of lung canc er in nonsmoker s. The pre ss relea se alleg ed that d e nds of lung canc er vic tims who have neve r smoked ci g are ttes [are] being ne g lected by "thousa I xpe ive pr op a g a tio n o f m y ths ins te a d of sc ie nti fi c kn ow le dg e ." ns t a lso qu ote d To ba c c o I ns tit ute e anization in a positi ce K : "A ny org ornegay on to apply resour ces in the se arc h for President Hora le se ke y s - - a nd wh ic h f a ils to do so -- wi ll c on tin ue to b e g uil ty of c ru e l ne g om i c t of tho se wh tho t prete nds to serve." g ay told the public that the Def endants planned to provide more than four Korne a n o ll a r s in 1 9 7 1 f o r in d e p e n d e n t s c ie n ti f ic millio e s e d r c h . 2 0 0 1 0 5 2 7 1 5 - 2 7 1 8 a t 2 7 1 6 , 2 7 1 8 ( US r 21719); TI MN0123716-3720 at 3717 ( US 21328). 738. A May 25, 1971 Tobac co I nstitut e pre ss relea se publ i cly denied a ny links between smoking a nd health. I s re lease , Def endants a g ain re prese nted that " many eminent n this pres ntified) believe much a question of smoking a nd health is still very scientists" (unide that "the MN0131768-3769 at 3769 ( question." TI US 21337). I n a pre ss relea se date d November 1 739. , 1971, the Tobac co I nstitut e cha lleng ed the 5 claim that smoking is har mful to preg nant women. Hor ace Korne g ay , President of the Toba cco only I s quoted: "We just don' t know, and e, wa further rese arc h on smoking a nd all the other nstitut possible fac tors that may aff ect pr eg nancy will answer the question." TI MN0100469-0470 at 0469, 0470 (US 21687). nancy The Toba cco I nstitut e pre pare d 740. "ba ckg rounder " on smoking and pre g an entire discussing which wa s sent to newspa per editorial writers throughout the country . A TI press re lease -305-

336 the bac kg . . . opponents of cig are ttes are endea voring to scare preg nant women rounder claimed that “ e uc ta te me nts a s tha t of the Sur g e on Ge ne ra l tha t 'w e a re th s ing ba bie s b e c a us h s of mot he rs ' wi los " T MN0100469-0470 at 0469 ( US 21687). smoking.' I n the J y 24, 1972 issue of the Wall Street J ournal, Philip Morris's Senior V ice I anuar 741. owling w as quot President J stating: "[i] f our product is harmful . . . we ' ll stop m aking ames B ed as e now know e n o u gh t h at we c an take any thing out of our product, but we don' t know what it. W do re to t a ke ou t. " Bo wl ing fu rt he r s ta te d th a t " [w]e nts n' t kn ow if smo kin g is h a rm fu l to die ing e think somebody oug ht to find out." 500324162-4164 a t 4163 (US 20627). health, and w 2. On F e br ua ry 1, 19 72 , th e To ba c c o I ns tit ute iss ue d a pr e ss r e le a se de c la ri ng tha t 74 ]he cig are tte industry is as vitally conce rned or more so than a [t ny other g roup in de termining whether cig are tte smoking c auses human disease, w hether is some ingr edient found in c iga rette smoke there nd t c e sh ow n to be re sp on sib le , a n b if so , w ha t it is tha a nd tha t a t [ t h e despite this effor itment of $40 mill ion by the tobacc o comm industry for smoki ng and hea lth resea rch] the answe rs to the cr itical nd health ar questions about smoking a e still unknown. MN0120596-0597 at 0597 ( US 21321). TI Def endants iss 743. ed scathing comments about off icial re ports demonstrating the u a dv e rs e he a lth e ff e c ts o f s mok ing . F or e xamp le , a F e br ua ry 26 , 197 2 Tob a c c o I ns tit ute pr e ss r e le a se qu a rt e d th a t th e 19 72 Sur g e on Ge ne ra l' s Re po rt on the He a lth Con se sse e nc e s o f S mok ing " ins ult s nother the scientific c " a nd that the repor t w as "a ommunity example of ' press c onfer ence scienc e' -- t "the an absolute ma sterpiec e of bur eauc ratic obf uscation." The pre ss relea se fur ther a sserted tha -306-

337 nu mbe he a lth pr ob le m is no t c ig a re tte smo kin g , but is the e xten t to wh ic h pub lic he a lth of fi c ia ls r o ne ly ican public." TI MN0120602-0603 at 0602 ( US 21322). knowing may mislead the Amer asoning behind the Toba cco I nstitut e' s public relations ca mpaig n based on the 744. The re controve e is e x plained in a 1972 Tobac co I nstitut question internal document, which sta ted: open rsy those the are n controve rsy , the public -- espec ially cig who are I tte nt and potential supporter s (e.g . tobacc o state cong ressmen a nd prese smokers) -- m ust perc eive, understand, and be lieve in evidenc e heavy oking ma to sustain their opinions that sm usal fac tor. y not be the ca S 21098). 87657703-7706 at 7705 (U co I Fr 745. e President of the Tobac A May nsti tu te , 1, 1972 memo written by ed Panzer, Vic or a c e Ko rn e g a y de sc ri be d th e str a te g y e mpl oy e d b y De fe nd a nts : to H t r n rl y t we n t y y ea rs , t h i s i n d u s ea ry h as em p l o y ed a si n gl e s t ra t egy Fo tio e fe nd its e lf on thr e e ma jor fr on ts - - l iti g a nd n, po lit ic s, a to d pu bli c opinion. Whil teg y was brilliantly conce ived and e x ecute d over the e the stra s, e he lpi ng us wi n im po rt a nt b a ttl e rs it i s on ly fa ir to s a y tha t it is y a as it intended t o b e -- a v ehicle f or victory . On the not -- nor w ry holding stra s been a contra teg y consisting of , it has alway h - a ti n g d o u b t a b o u t t h e - e a lt cre c h a r g e w it h o ut h a c tua lly de ny ing it -- advoca ting the publ i c's right to smoke, without actua lly ing the m to take up the pra ctice urg rc e ou rag in g ob je c tiv e sc ie nti fi c -- se a nc h a s th e on ly re way stion of health hazard. to resolve the que tion front for which the s On the litiga y was de signe d, it has been trateg su c c e ssf ul. Whil e we ha ve no t lost a lia bil ity c a se , th is i s n ot b e c a us e a jur s h a ve re je c te d th e a nti -s mok ing ie rg ume nts . s On the political front, the stra y has helpe d make p o teg s i b l e an that it has not stemmed the order ly retre at. Bu t i t i s fair to say -307-

338 pressure for ne the major c oncessions we have w leg islation, despite made. c opinion front, howe ted ver, our On the publi situation has deteriora This erosion will have a orsen. se ef fec t to w and will continue n adver t he other fronts, bec ause he re is whe re the beliefs, a ttitudes and o n es, juries, ted officia ls and g overnme nt employ ees actions of judg elec formed. are industry l i k e other r, executives, noted that the ope n question strateg y was not likely to be Panze c c e ssf ul m uc h lo ng e r. Stil l, h e be lie ve d th e tr a dit ion a l de fe ns e wa s v ia ble in s ome re sp e c ts: su e supply As things stand w c] with too l ittle in the way them [t he publi a a -m a de c re dib le dy lte rn a tiv e s. of re * * * o s uc h c re dib le a lte rn a tiv e s e xist: Tw pothesis i.e. 1) The Constitutional Hy people who smoke tend if fe r i mpo rt a ntl y to d om p eop le who do no t, i n th e ir fr he re dit y , in c on sti tut ion a l mak e up , in pat te rn s of lif e , a nd in the pre ssure unde y live. r which the nce Th Mu lti -f a c tor ia l H y po the sis i.e . a s sc ie nc e a 2) a e s, dv more a ctors come under suspicion as contributing nd more fa s h smoking is blamed–a es for whic to the illne ir pollution, s viruses, food a tional hazards and stre sses. dditives, occupa Our 1970 public opinion survey showed that a majority (52%) believed that cig are ttes are only one of the many cause s of s m o kers of having illnesses. I t a lso showe d that half more the people who believed tha t smokers have more illnesses than nonsmoker s acc epted the constitutional hy pothesis as the explanation. TI 7553 (US 63585) (e mphasis in origina l). MN0077551-7554 at 7551- 746. Following this strateg d another , on J anuar y 14, 1975, the Tobac co I nstitut e re lease y t: ve rs ion of its bo ok le t " Th e Cig a re tte Con tr ov e rs y ." Th is a nn ou nc e me nt s ta te d th a -308-

339 I f smoking doe disease, w hy , afte r y ear s of intensive re sear ch, s cause curs? has it not been shown how And why has no ing redie nt this oc i s the ca en t i fied a usal fac tor? These a re d as found in smoke be en stions set for th in a new publica tion of the red que the unanswe among b a c c o In s t i t u t e , t i t l e T T h e C i g a r e t t e C o n t r o v e r s y. o d MN0120638-0639 at 0638 ( sis in original). TI US 21698) (empha endants c ec og nize and exploi t the fac t that their public rela tions Def ontinued to r 747. campa tionaliz ations for the smoker . Their use of publ ic re lations was ca lculated a nd ign pr ovided ra ise, and interna l resea rch done on it de monstrated its e ffica cy . As B& W st ated in a N ovember prec sto , 1 mo t itl e d " Cig a re tte Ad ve rt isi ng Hi 6 me ry " : 97 29 are tising i n the past tte adver iven the ave rag e smoker Good cig has g me a n s o f j u s t i f i c a t i o n o n t h e t w o d i m e n s i o n s t y p i c a l l y u s e d in a ] . rg alth and immorality risk to he . . All good uments: [ anti-smoking a are tte adver tising has e ither direc tly addre ssed the anti-smoking cig arg uments preva s cre ated a strong , attrac tive lent at the time or ha e into which the be sieg ed smoker c ould withdraw. imag 680086039-6044 at 6039, 6040 (U S 20984). 748. On J une 6, 1977, Addison Yea man, B &W' s Gene ral Counsel, publically rea ffirme d De fe a nts ' pr omise to c on du c t me a nin g fu l r e se a rc h, a s h e e xpla ine d in his re ma rk s a t Ma xwe ll nd so l T ia te s' B ia nn ua As ob a c c o Se min a r t ha t: c g a tt e r ly s I c u r e in s a y in m u to y o u th a t t h e to b a c c o industry e re c og nize s it s r e sp on sib ili ty a nd its du ty a nd tha t it wi ll c on tin ue its ever y ort and a t whateve r cost to find the a nswer to the que stion, eff t part, if any , does tobac co play in human diseases.” “wha UB L I CSTMT001437-1445 at 1445 (US 21164). CTRP 74 9. I n a do c ume nt d ist ri bu te d b y B & W titl e d " F a c ts E ve ry To ba c c o M a n Sh ou ld e Re mbe r, " wh ic h a pp e a re d in the Oc tob e r 2 7, 19 77 me dit ion of the Un ite d St a te s T ob a c c o Jou rn a l, to B & W cl a ime d th a t " [t]he c a se a g a ins t to ba c c o is no t c los e d . . . in a se ns e , the jur y sti ll i sn ' t a ble -309-

340 retire to consider the c it doesn' t have all the relevant facts." 544001284-1297 at 1285- ase be cause 1286 (US 20935). u c c o I n s ti tu te ' s p u b li c r e la ti o n s s tr a 750. g y f o c a s e d its attention on diss eminating The Tob te endants' e to the public that ther e wa s no definite link be tween smoking and hea lth and Def messag re i n s we o found, smokers should not fea r that their he alth was that, until answers to these ques t nd a ng e re d. De fe nd a nts ' fo ur -p oin t pl a tf or m w a s se t ou t in a De c e mbe r 29 , 19 77 To ba c c o I ns tit ute e e pr le a se : ss r e d stion o f s mo k in . a n The que h e alth is stil l a question 1 g scientific r esolution. requiring 2. Tobac co smoke doe s not imperil normal nonsmokers. Th e tob a c c o f a rm pro gram is an ess ent ial pa rt of pu bli c 3. . policy The fr eedom of ch o i ce of our industry ' 4. be s customers must rved. prese TI FL 0522279-2280 at 2280 (U S 21424). 751. I n 1977, the Tobac co I nstitut e published a pamphlet titled " Fa cts About the Smoking n C t r o v e r s y. " T h e p a m p h l e t c l a i m e d t h a t t h e 1 9 6 4 S u r g e o n G e n e r a l ' s R e p o r t “ w a s e s s e n t i a l l y a o ' of numbers - - a se lective r eview of study studies which compa red disea se ra tes among population smokers , e x- s mo k e r s a n d n o n s mo k e r s . ’ ” I t a ls o s ta te d : “ H a s th e Su r g e o n G e n e r a l' s r e port established that smoking s canc er or other disea ses? No.” TI MN0055129-5135 at 5130 ( US cause 21298). 75 2. De fe nd a nts a ime d mu c h o f t he me pu bli c re la tio ns c a mpa ig n a t lu ng c a nc e r a nd , a s ti ir tion that went on, hea rt disease . I n 1978, a Toba cco I nstitut e p am p h l et s t ated: "The f lat asser -310-

341 smoking causes lung ca ncer and that the c ase is prove d is not supported by many and hea rt disease ading MN319568-9604 at 9578 ( US 62902). ld's le scientists." TI of the wor On Janu a ry 12 , 19 78 , Ros s Mil lhi se r, 75 Pr e sid e nt of Phi lip Mo rr is, sta te d in a le tte r t o 3. h e e d i t o r i n t h e N ew Yo rk T i m es : "as fo r t h e la ck o f r es ea rc h o n t h e 'h ar m fu l ' ef fe ct s o f s m o k i n g, t ct is there is g the fa n t o d o u b t the culpability of cig are tte smoking in cor onary hear t so ood rea disease." ATC2411308-1308 (US 21378). n May 1978, the Tobacco I nstitut e publi shed a fifty I pag e document titl ed " Fa ct 754. -four ancy ? " a nd sent it to broadca sters, editors, wr iters, and of fice rs of wome n' s associations and or F has incre anizations the tobacc o and hea lth controversy cause asing ly focuse d on women and "be org The doc ument claimed to have been pr oduced "to pre sent more f actua l and balanc ed smoking." rs on the hea lth question about which mature w omen nee d to know more." I t presente d the answe controve rsy arg ument that causa lity had y et to be proven in a ny of the disea ses and c onditions l inked statistically iga rette smoking. 03731785-1838 (US 21466); 04326897-6897 (U S 2 1468); with c US 21469); 04326901-6901 (US 21470). 04326898-6898 (US21467); 04326900-6900 ( endants a lso continued to insist pub l i Def y that there was no ne ed to under take 755. cl arc h to develop " safe r" cig are ttes, since they rese ted that the cig are ttes then being sold were not asser harmful alth. I n J une 1978, to he liam D wy er, V ice Pre sident of the Toba cco I nstitut e, explained Wil in a n a rt ic le tit le d " Smo kin g : A F re e Cho ic e " : A questi on sked of the toba cco industry is whether r esea rche rs often a rette. A v re ve lop ing a “ sa fe a c ig a de a ri a tio n o f t ha t qu e sti on is ” whether low “tar ” nicotine c iga rettes are safer . The tobac co industry is convinced tha are tt e has be en prove d unsafe . There fore , t no cig they reg ard a ny sug g estion of a “ safe ” or “ safe r” c iga rette a s tortured he re l gi c. T o duced “ tar” and nicotine c iga rettes r epre sent about 20 onsumer perc ent of sale s and ar e in the mar ketplace becaus e of c -311-

342 demand. That demand obviousl lects the pe rsonal pre fer ence s of y ref rs ke . smo TI MN0074796-4800 at 4797 ( US 21480). I n D e c e mbe r 1 97 8, the To ba c c 75 ns tit ute pu bli sh e d " Th e Smo kin g Con tr ov e rs y : A 6. o I er s p ec t i v e. " T h e p u b l i ca t i o n s t at ed t h at s o ci et y wa s o n t h e "br i n k o f p ar an o i a" r ega rd i n g s m o k i n g; P one really that "[n]o r this personalized war far e ag ainst tens of millions of Americans knows whethe ent a si ngle case of lun g cance r"; tha ll ] o one reall y prev kn ows th e roo t o r cau ses of ca ncer "; wi t "[n nd tha t th e lth wa rs " a g a ins t dise a se tha t we re be ing " wa g e d b y the g ov e rn me nt a nd vo lun ta ry he a a " ag encie s" w ere "be y ond the realm of science." TI MN0129593-9628 (U S 21499); MNAT00224317- 4354 (US 21223). 757. n 1979, the Tobac co I nstitut e published a docume nt titl ed " TOB ACCO from see d I auses a sy that "it has not been established t hat s moking c t stated flatly ny to smoke amid controver ." I ." 690142176- 2180 at 2178 (US 21512). human disease One y ear prior to the rele ase of the 1979 Surg eon Gene ral' s Report on Smoking and 758. se a , D e He nd a nts sta rt e d p la nn ing the ir re sp on lth to w ha t th e y e xpe c ted i t to sa y . T ha t r e sp on se fe inc lud e d e sta bli sh ing a ta sk fo rc e to wr ite a nd pu bli sh a re bu tta l pap e r. Ra the r t ha n h a ve sc ie nti sts evalua the R eport' s finding s, once they he evidence or wer e is sued, the Toba cco I nstitut e assig ned te t a public re lations staff member to resea rch, w ri t e, an d edit the re buttal paper . Anne Duf fin was & B g , under the direc tion and g uidance of the law firm Shook, Ha rdy iven this responsibility acon. Other public rela tions staff members re-re ad and e dited chapte rs of the doc ument as it was dra fted. US 21525). TI MN0073990-3992 at 3990 ( -312-

343 759. On J 10, 1979, one day prior to the re lease of the 1979 Repor t of the Surg eon anuar y Hea m o I nstitut e published a doc ument tit l ed "S ral on Smoking & o k ing a nd lth, the Tobacc Gene The Tobacco I 1964-1979: The Cont inuing Cont rover sy ." nstitut e prepare d it for distribution lth Hea he ne ws me dia a nd ta ilo re d it to re sp on d to the c on te nt of the 19 79 Re po rt . Th e To ba c c o I ns tit ute to t ee dr had obtained thr rs of the Surg eon Ge nera l's Repor t. The re buttal document was 166 aft chapte and represe major effort on the part of the tobacc o industry to pre-e mpt the impact es long nted a pag nera l's Repor t. TI MN0084430-4594 (U S 21534). of the1979 Surg eon Ge rized ee, a consultant, char acte long time industry the Tobacco I nstitut e’s 1979 Peter L 760. he Continuing Controver sy ” (r efe rre d to as “TA73" ) as “ misleading .” He wr ote that document “T e's counter publication did not appea co I i t u t t r to understa nd the idea of medical ns the Tobac a us a tio n: c ctors ca of role of other fa the n be par ticularly misleading Discussion tive mag rela nitudes of effec when no discussion is made of ts. For example, he avy smokers are observe d to ha ve 20 or more ti m es t he ance r ra s. Sure, this does not prove smoking lung c tes of non-smoker mean, canc s lung hat it doe s er, and TA73 ne ver c onsiders cause but w s, is t ha t f or a ny oth e r f a thi tor to e x pl ain th is a sso c ia tio n, it m us t c have a as strong an association t least canc er as the obser ved with lung association for smoking (a nd be highly corr elated w ith the smoking habit). * * * ms ready ept evidenc e implicating fac tors other than TA73 see to acc kin g in t he a e tio log y smo smo kin g wi tho ut r e qu ir ing the sa me of str in g e n t s ta n d a r d s o f p r o o f th a t i t r e q u ir e s to a c c e p t e v id e n ce implicating smoking . This is blatantly unscientific . inal). 100214029-4047 at 4046 (U S 21515) (emphasis in orig -313-

344 76 1. he ide nti fi e d pro ble ms wit h th e To ba c c o I ns tit ute pu bli c re la tio ns do c ume nt, Whil e eon Ge cknowle ed that: " There is no doubt that [ the Surg g nera l’s Report] is an impressive ee a L d d Fe bruar y 9, 1979 also states: " Th e wa y i n wh ich the document." His memorandum date and unemotive." n s prese nted was on the whole sound, scientific wa He pr edicted tha t o informati po rt wo uld be c ome " the Nu mbe r O ne ba the re fe re nc e do c ume nt for smoki ng a nd he a lth Re sic arc hers the w orld over." 100214029-4047 at 4030 (U S 21515). rese The da y befor e the 1979 Repor t was re lease d, Def endants he ld a pre ss con fer ence , 762. orneg it a n d a r r a n g e d f or seve ral tele vision appear ance s by Hora ce K , ay , President s distributed press k cco I u t e. A J nstit y 25, 1979 Tobac co I nstitut e docume nt memorializes remarks of the Toba anuar t a TI Ex ecutive Commi ttee meeting wher e the g oal of the TI approa ch to the 1979 Surg eon made a . . ne l' s Re po rt wa s e xpla ine d. On e of the goals was: " ra . to e nc ou ra g e the pr e ss a nd pu bli c Ge or fi c ia ls to a pp ly a sk e pti c a l, qu a t le a st of e sti on ing , a tti tud e to the su bs ta nc e of the re po rt , a nd its source ." MN0073990-3992 at 3991-3992 (U S 21525); TI FL 0403308-3312 at 3308 (U S 62631); TI MN0055304-5330 (U TI S 62816). 3. De fe nd a nts ' int e rn a l do c ume nts no te tha t th e ir pu bli c re la tio ns e ff or ts r 76 c e ive d p re ss e c e ra g e tha t e qu a le d th a t r ov c e ive d b y the Re po rt its e lf : e Most o f u s a r e a w a r e th a t n e w s c o v e r a g e o f th e 1 9 7 9 Su r g eon e Ge l' s Re po rt a c hie ve d a bal a nc ra , of sor ts, wi th at te nti on g ive n to ne the To ba c c o I ns tit ute ' s v ie ws bo th b e fo re a nd a ft e r t he a c tua l e ve nt. TI J D 011663) (e mphasis in origina l). MN0073993-4002 at 3994 ( 76 4. On Janu a ry 11 , 197 9, fo r e xamp le h e Ne ws a nd Ob se rv e r o f R a le ig h, No rt , th t Carolina, quoted the T obacc o I nstitut e as stating that "' many scientists' a re be coming conce rned tha -314-

345 the fo cu are tte smoking diver ts attention from other suspec ted hea lth hazards." s on cig S 21325). TI MN0122721-2721 (U g y co I nstitut e continued On J 17, 1979, the Tobac g ressive public rela tions anuar 765. its a a press rele ase stating that the tobacc o industry eff rch ort and issued had spent $75 million on resea nty ear s to learn whe ther smoking is harmful, but th at "t h e ca y e ag ainst cig are ttes is not over twe s torily demonstrated." TI MN0074006-4006 (U S 87985). satisfac Phili p Morris' s 1979 Annual Report sim i larly decla red: " No conc lusive clinical or 766. e smoking oof of a -and- eff ect r elationship betwee n cig are tt cause and disea se has y et ny medical pr overe d." 2043819548- 9607 at 9561 (US 20451*). been disc 7. Whil e the pu bli c re la tio ns c a mpa ig n contin ue d, De fe nd a nts pr omi se d th e ir 76 , for instanc interested r rch. I commitment to dis 1 esea e, the Toba cco I nstitut e published a n 198 document titled "O n Smoking -- 21 questions a nd answe rs," written by the law f irm Shook, Hardy & B c on , w hic h s ta te d: a co industry has committed more than on for The tobac $91 milli q rch on smoking lt nt resea and hea u est ions. . . . The independe h o industry rema ins committ ed to adva tobacc scientific inquiry ncing into the ga e in the smoking controve rsy . ps in knowledg EX0007587-8106 a TI t 7589 (US 87061). On Dec ember 31, 1981, the Tobacco I 768. e publi shed a doc ument titled "Toba cco nstitut I ndustry Resear ch on Smoking a nd Hea lth: A $104 Mil lion C o m m i t m ent" that ag ain asser ted: "que alth are unresolved." 2046754709-4710 at 4710 (U S 20474). stions of smoking and he 76 9. I n 1 98 2, the To ba c c o I ns tit ute lf un c he d a na tio na l se ri e s o f a dv e rt ise me nts on be ha la , of De fenda nts that addresse d smoking a nd health issues, enviro n m en t al t obacc o smoke (" ETS") -315-

346 public smoking re strictions, and y d rea ders to kee p an open mind on outh smoking. These ads aske e c o is su e s a nd " [w]e ig h b oth sid e s b e fore [the y ] ta ke sid e s. " Re a de rs we re e a ou ra g c d to tob nc st a fre of the Tobacco I nstitut e' s booklet "A nswers to the Most Asked Que stions about reque e copy 03028799-8809 at 8801 (U rettes." S 20053). Ciga bruar y 18, 198 2 , 770. m oking a nd Cance r -- A Scientific Perspe ctive" was On Fe "S u b l i s h e d b y t h e T o b ac co I n s t i t u t e i n an t i ci p at i o n o f t h e r el ea s e o f t h e 1 9 8 2 S u rge o n Ge n er al 's p o ep rt o n S m o k i n g a n d H ea l t h . T h e t i m i n g o f t h e r el ea s e w as b as ed o n t h e T o b ac co I n s t i t u t e's R x s more ef fec tive to take the initiative in situations invol ving a prospec tive neg ative iom that it i "a vent." The pre ss relea se ac company ing the 104-pag e Tobacco I nstitut e docume nt stated that news e tween esea rch ha d not been a ble to establish a ca usal link be er. Copies smoking a nd canc scientific r wer e provide spondents and to var ious M em b er s of Cong ress. 2025431644-1748 ( US d to corre MN0245529-5529 (U S 21340) 2472 (US 20063); TI MN0245530-5532 (U S 20417); TI ; 03762472- S 21339); 03762460-2461 (US 20062). MN0245292-5292 (U 21341); TI 7, 1982 memorandum to R J R 771. advised that the key point to be made A May executives ny dis c us sio n o f t he iss ue of smo in a g a nd he a lth " is tha t it i s a le g iti ma te sc ie nti fi c c on tr ov e rs y kin which continued unr esolved." 502483421-3421 (US 20700). 77 2. I n 1 98 3, in a nti c ipa tio n o f t he 19 83 Surgeon Ge ne ra l' s Re po rt , " Th e He a lth Consequence s of Smoking -- ular Disea se," the Tobac co I nstitut e published a doc ument Cardiovasc I le Cig a re tte Smo kin g a nd He a rt tit se a se ." d " t st a te d th a t sm ok ing was not a n im po rt a nt r isk Di fa c tor fo r h e a rt dis e a se , a nd tha t " [w]he the r c ig a re tte smo kin g is c a us a lly re la te d to he a rt dis e a se is to D not scientifically The doc ument was fir st distribut ed established." efe ndants, who wer e aske d until the Report was not to dist ribute the publica tion widely , but to use it for internal purposes only -316-

347 re le d. Up on re le a se , th e To ba c c o I ns tit ute dis tr ibu te d the do cume nt, a s d id t he De fe nd a nts ' a se clea NFO house, known as " I n information TAB " ( discussed in detail at Sec tion I I I (I )(6) , Europea ring S 20561) . 2501112047-2098 at 2090, 2091 (U supra) ; 2023274132-4133 (US 20386); 2501023645- 3645 (US 20556). ers, Scientific Direc tor of CTR, testified befor e Cong ress in 1983 that 773. Sheldon Somm rette smoking established to be a n scientifica lly iga cause of chr onic disease s, such as has not bee "c ardiova scular dise ase, or emphy sema." 503685073-5075 at 5073 (U S 88734). er, c canc 4. I n 1 98 4, RJR pla c e d a n a d in nu me ro us ne ws pa pe rs , in c lud ing Th e Ne w Y or k T ime s, 77 ine le Smo kin g a nd he a lth : Som e fa c ts y ou ' ve ne ve r h e a rd a bo ut. " Th is a d c on ta d " d th e sta te me nt: tit rt u h a r a lot the se da y s a bo ut r e po e s th a t li nk smo kin g to c e rt a in Yo e e a se s. Th is ev ide nc e ha s led ma ny sc ie nti sts a nd oth e r p to op le dis conclude that smoking c diseases. auses these e is signif icant evide other side of this iss ue. But ther nce on the ularly And y ed by the critics of smoking. t is reg ou rar ely hear ignor I he public media. B abo suade ma ny ut it in t ut, it has helped per ainst smoking is far from close d. scientists that the case ag one wants to know the rea l a nswers more than RJR . That is why No re pr we a funding for sc ientific rese arc h. The funds a re oviding major sc ive t a rm ' s le ng th to ind g pe nd e nt n a ie nti sts wh o a re fr e e to p ub lis h e whatev e r th e y f in d . We d o n ' t k n o w w h e r e s u c h r e s e a r c h ma y lead. But this much we c n we f ind the answe rs, y ou' ll hear an promise: whe bo t. a ut i 504100135-0136 at 0136 (U S 50882). I n 1983, the Tobac co I 775. e published a pa mphlet titl ed " Tobac co I nd ustry nstitut Re se a rc h o n Sm ok ing a nd He a lth : A $1 20 Mil lio n Co mmi tme nt. " Th is p a mph le t st a te d: re Sin e the fi rs t qu e sti on s w e c ra ised abo ut s mok ing a s a po ssi ble ican health fa ctor, the toba cco industry has believe d that the Amer -317-

348 people erve objective, sc ientific answe rs. The industry has d es committed itself to this task. S 20460). 2045377870-7876 at 7871 (U le n Jan ry 19 84 , a n RJR pr e 77 e ua a se de c la re d: I 6. ss r r a ll o f t his stu dy Af e re a re ma ny sc ie nti sts wh o b e lie ve the re is te , th tory or clinica l proof that cig are tte smoke does -- or does not no labora c a us e dis e a se . We be lie ve tha t r e a so na ble pe op le wh o e xami ne a ll -- e conc the evidenc nd disease would ag ree this is an erning smoking a rsy ase. ntific controve open scie , not a closed c 504638054-8056 at 8056 (U S 20733). rd Horr iga n, Chairman of the Boa rd at RJ R, made the following 777. A month later, Edwa prog panel the "N ightline" television discussion on ram: (1) " I t is not known comments as par t of a cig are ttes cause canc er" ; ( 2) "D espite all the rese arc h to da te, there has bee n no causa l link whether of n smoking a 3) " As a matter sema]"; and ( fac t, there a re studies that nd emphy established [betwee re a ccuse d of being associate d with hear t disease, ther e have been studies c onducted ove r while we a is still puzzled ove ear s that would say , ag ain, that scienc e r 10 y these forc es." 502371212-1223 at 1216, 1217 (US 20699). 77 RJR pla c e d a n a d in dai ly ne ws pa pe rs in 198 4 title d, " Ca n we ha ve a n o pe n d e ba te 8. ie bo mok ing ? " a I n thi s a d, RJR c la ime d tha t " [s]tud ut s s wh ic h c on c lud e tha t sm ok ing c a us e s d ise a se ha ve re g ula rl y ig no re d sig nif ic a nt e vid e nc e to the c on tr a ry ," a nd tha t th os e " sc ie nti fi c fi nd ing s c ome t fr e se a rc h c omp le te ly ind e pe nd e nt o f t he tob a c c o ind us tr y ." I om r a lso sta te s tha t " re a so na ble pe op le i who ana ze it [ the evidenc e] may come to see the ly s s u e not as a closed c ase, but a s an open 3434 (US 50268). controve rsy ." 513943434- -318-

349 77 9. a t sa me y e a r, 19 84 , th e To ba c c o I ns tit ute pu bli sh e d a do c ume nt t itl e d " Cig a re tte Th e." Chronic Obst Disease s: The Major Ga ps in Knowledg ung I t declar ed that Smoking and ructive L fe nd a nts did no t agree wi th the c on c lus ion of the Sur g e on Ge ne ra l' s Re po rt s th a t c ig a re tte De d been e sserted t ause of chronic bronchitis and fur ther a smoking ha h at a ca usal stablished as a c d not been e tionship between smoki and either chronic bronchitis or emphy sema ha stablished rela ng lly . TI 13062142-2156 (US 62409). scientifica 0. Th e To ba c c o I ns 78 ute pu bli sh e d a no the r r e po rt in 1984 title d " Th e Cig a re tte tit C o n t r o v e r s y : W h y M o r e R e s e a r c h i s N e e d e d " a s a f o r m a l s t a t e m e n t o f D e f e n d a n t s ' p o s i t i o n . It a purpor to r e v ie w th e te s ti mo n y g iv e n a t t h e 1 9 8 2 a n d 1 9 8 3 Co n g r e s s io n a l t o b d c c o la b e ling te hear nd stated: ings a nine scientists prese nted test m ony ag ainst proposals in the Thirty i en was ba sed on their own published r esea rch or bills. Their evid ce view of sc ientific literatur their re e. Eac n rig ht is a re cog nized scientist, and h of them in his or her ow ache d eminence in their are a of e x pertise. most have re * * * Th e evi de nc e pr e se nte d b y the se me n a nd wo me n is su mma ri zed in the foll owing pag es. The scientists and their professional a ffiliations he Appe liste i n t ndix . We publish t his summary in the belief are d t th e c on tr overs tha abo ut s mok ing mus t be re so lve d b y sc ie nti fi c y re se a rc h a nd in t he be lie f t ha t in fo rm e d disc us sio n of t he c on tr ov e rs y int is i pu bli c e e re st. n th * * * Fifte en witnesses e x plained why they consider the hy pothesi s that cig are tte smoking c auses lung canc er to be unproven. * * * -319-

350 Wit nesses a rette smoking c auses lso questioned the asser tion that ciga lun y in p a rt ic ula r a nd c hr onic ob str uc tiv e ma g dis e a se se mph e ) i n g e ne ra l. OPD (C re po rt fa ile Th to dis c los e tha t mos t of the se sc ie nti fi c wi tne sse s w e re tob a c c o in du str y c on su lta nts e d wer e rec eiving funding from the lawy ers' Special Acc ount N o. 4. TI 12431636-1650 at 1638, who 1642,1645 (US 62384). 781. uly 1984, RJ R mailed l et t er s n J fr om employ ee A nn Griff in addre ssed to various I hil dr e n w ho ha d w ri tte n to the c omp a ny . I n th e le tte rs , RJR c la ime d to be e ng a g e d in a n e ff or t to c mine the har ects of smoking for the bene fit of smokers, promised to support mful eff deter sear ch into smoking a d any laimed that re sear ch had not re v eale disinterested re nd health, and c "c onclusive" evidenc e that any element in cig are ttes cause s disease. 505465919-5919 (US 20741). 782. time, RJ R sent numerous letters to survivors of dece ased smoker s, deny ing a ny Over s c i e n t i f i c a l l y e s t a b l i s h e d l i n k s b e t w e e n s m o k i n g a n d d i s e a s e . F o r i n s t a n c e , o n A u g u s t 1 8 , 1 9 8 8 , R JR sent a letter to Anthony r of a lung canc er vic tim) in which the company A. Christina (the widowe e wa causa l link between smoking denied that ther and disea se. 515792869-2869 ( US 2086). s any 783. , 2005, RJ R Chairman Andre w Schindler wa s asked wha t his curre nt As of January answe r to the Christina letter would b e, an d whether he would still refuse to a dmit that sm oking cause most he would say was that, a s of J anuar y , 2005, smoking po ses “sig nificant s disease. The health risks and ma y contribute to ce rtain disease s in some peop l e." Schindler TT, 1/24/05, 10810:9-21. principal of I n J anuar y 1990, RJ 784. er w rote in a le tter to the R's Public Relations Manag : a g ra de sc ho ol a nd on e of the sc ho ol' s st ud e nts -320-

351 The tobac co industry ned about the c harg es being made is also c oncer io k g is r e s p o n s ib le f o r s o ma n mo s e r in u s d is e a s e s . L ong that s y e the prese nt criticism beg an, the tobac co industry , in a sincer e befor o d eter mine what har mful eff ects, if a ny , smoking mig ht attempt t n health, esta have on huma o Resear ch blished the Council for Tobacc supported resear ch gra nts directed by industry has also -- USA. The dical Associa the Amer e y ear s the tobacc o ican Me tion. Over th has g iven in e x cess of $162 milli on to independent r esea rch industry rsies surrounding s m o k ing - - more tha n all the on the controve health assoc iations co m b i ned. De spite all the rese arc h voluntary a oing o n , th e s im p le a n d u n f o r tu n is te f a c t g th a t s c ie n ti s ts do not know the ca use or c the chr onic dis ea s es repor ted to be auses of d with smoking. associate 508466199-6200 at 6199 (U S 20813). inning in 1986, B renna n Dawson, spoke Beg the Tobac co I nstitut e, 785. sperson for ated in numer ous television appea ranc es the Toba cco I nstitut e' s public position that the links reiter betwee n smoking a ere based on statistics, and that the c ausal re lations h i p betwee n nd disease w Tobac smoking a not y et been established. The had co I nstitut e' s position t hat it had not nd disease been pr oven that smoking cause d dis ea s e was not shared by a sing le public hea lth org anization during the entire ved as spoke sperson for the org anization. Dawson WD, 64:17-23, time Dawson ser 76:8-11; Dawson TT, 1/3/04, 10102:5-24. 786. an Aug ust 17, 1986 appea ranc e on the tele vision progr am " Newsma ker During ," Dawson stated, in response to a question about the Toba cco I nstitut e' s position on whether Sunday cig are tte smoking is hazardous to the smoker , that "w hat we think . . . is that the fac ts are not c lear . The c lationship has not been esta blished." ( no bates) ( US 89296). ausal re 787. I n an Apr n asked appea ranc e on the t elevision show "A sk An Expert," whe il 8, 1987 re not whether smoking c auses lung canc er, D awson stated, " [i ]t ' s not a y es and it' s not a no. . . . We' -321-

352 g oing to tell that smoking is g ood for them. We'r e not g oing to te ll them that smoking is bad any one be, it may (no bate s) (US 89292). t may for them. I not be." n a J anuar y 11, 1989 appea ranc e on the tele vision show "Good Morning Americ a," 788. I that "a ll the links that have bee n established betwe en smoking and ce rtain disease s Dawson stated usati v e [si c] relationship has not y et bee n are based on statistics. What that means is that the ca sta bli sh e d. " Th is w a s tw e nty -f ive y e a rs a ft e r t he Sur g e on Ge ne ra l a nn ou nc e d a c a us a l r e la tio ns hip e n smoking a betwee r. TI MN389474-9479 at 9475 ( US 21286). nd lung c ance n larly ar an Simi o , in an appe CNN' s “Crossfire ” on Apr il 18, 1989, Dawson 789. ce claimed: icall y t h ere are associations. I n terms of biolog ical ca usation Statist that hasn’t bee n found which is why came t o I t h e conclusion that smokers have to make up their ow n minds. W e all k n o w wh at t he op Sur on Ge ne ra l’ s w a rn ing s sa y . I n fa c t, the va st ma jor ity of pe e le g believe it so I think we are intelli g ent enough as adults to make up our own minds. (no bate s) (US 89290). I n a F ebrua ry 27, 1990 790. ranc e on CBS' s “Nig htwatch,” when a sked whe ther she appea believed c iga rette smoking "c ontributes to hear t disease a nd canc er," Dawson r efuse d to provide a s straig instead responding that "I think that that' nswer, an individual decision that eac h person ht a needs to make for themse lf." CORTI 1731-1738 at 1737 (U S 87735). 79 1. Da ws on dis mis se d th e ov e rw he lmi ng sc ien ti fi c evi den ce l in ki ng sm ok in g and d is eas e as mere ly “statistical.” I n a subseque nt appea ranc e on C rossfire on April 11, 1990, when a sked d: “The links that whether smoking cause d canc er, hear t a ttacks, or strokes, Dawson a g ain re peate -322-

353 ou st a tic tis sta re , a le xamp e or , f ff d o e ttl ra ju l in y se a e dis nd a ing mok n s e e tw be de n ma e be ve ha . The industry nature S 85150). 1828-1841 at 1831 (U that position.” CORTI sticks by fice 792. man of Philip Morris Companies, Geoff rey The Chief Executive Of r and Chair on what the c ontent would be in public statements on smoking and Bible, w as the ultimate authority 13 health made Phili p Morris Companies subsidiaries, including Phili p Morris U S A. Bible PD, by United States v. Phili p Morris, 8/22/02, 83:9-84:9, 85:22-86:25. ns in its product, that has 793. When a company makes a st at ement about the c arc inoge imp do muc h mo re a c t up on the c on su min g pu ta so ne Min PT, e ibl B s. e bli y rt pa rd thi me so n if tha c v. Phili p Morris, 3/2/98, 5762:5-9. t When Phil ments ab o 794. ip Morris made state smoking a nd health, the c ompany u intended the public - - including consumers a nd public h ea l t h au t h o ri ties -- to re ly on them. I d. at 5718:7-14. 795. When Brow n & Williamson puts s tatements on its website, it intends that consumers li r should a c t i 11/16/04, a n c e u p o n th e in f o r ma ti o n c o n ta n in e d in th o s e s ta te me n ts . I v e y T T , e 6098:16-19. 13 fe nd a nt A ltr ia , w hic h w a s o ri g ina lly inc or po ra te d in 19 85 as P hi lip Mo rr is De Companies I tively and ac tively fec co n trols the activities of all of its subsidiaries, including nc., ef endant Phi hilip lip Morris US A I nc., P Def Morris C ompanies, and Phi lip Morris I nterna tional, I nc. tions opera companies' rating e cts of Altria op all policies on all major aspe . Over tional") nterna PM I (" s, e e oy mpl e s, ve uti xec e ia ltr r A nio se nd a nt, me e g na ma ia tr Al t by se re a in te ipa ic rt pa nts e g a nd a a ra a nd /or c on tr ol d e c isi on s a bo ut ho w the op e g c omp oth nie s imp le me nt tho se po lic ie s, thr ou g h b tin formal a nd informal re porting rela tionships. Berlind PD, United St ates v. Philip Morris, 5/23/02, 8:4-10:13; 2071412978-3143 (US 23061*). -323-

354 6. As ts Still Do Not Adm it the Serious Health Ef fects of of 2005, Defendan g Which T ognized Internally Decades Ago okin hey Rec Sm Mo re tha n f or ty y e a rs a ft e r D e fe nd 79 nts iss ue d th e F ra nk Sta te me nt a nd c re a te d T I RC, 6. a f e n d a n t s ' e s s e n t i a l p o s i t i o n o n t h e r e l a t i o n s h i p o f s m o k i n g a n d h e a l t h r e m a i n s v i r tua lly De o c ng e d. I n A pr il 1 99 4, in t he no w- fa mou s c on g re ssi on a l he a r i n g s b e f ha re the Un ite d St a te s H ou se un sentatives’ Subcommittee on He Environment, Def endants' executives asser ted ath and the of Repre et ag ain that the ca usal rela tionship of smoki ng and ca ncer had not bee n proven: t h e C EOs of y Def endant s B&W , L igg ett, L orillard, Philip Morris USA, and RJ R publicly denied that smoking cause d canc T0730001-0850 (U S 77011); TL T0730851-1975 (U S 77012); Bra ndt WD, er. TL Smoking US 20468) (Cimons, Marlene, Cig e a d f a s tl y D e n y tte Chiefs St 128:14-131:4; (no bates) ( are os Ang il 15, 1994, at A1. Kills, L eles Times, Apr nts of the CEOs wer The stateme statements of positions the companies c ontinued 797. e re a ke pu bli c ly a nd un if or mly to t t th a t ti me . F or ins ta nc e , in 19 91 , Ch a rl e s Wa ll o f P hilip Mo rr is a Companies sent a letter titors discussing u n if ie d to international compe d ustry lang uag e to deny that in cig are tte smoking ha d been pr oven to “c ause” lung c ance r. 2023235511-5512 ( US 22725). te 79 oma s Sa nd e fu r, CEO of B & W fr om 1 99 3- 19 96 , s ta Th d in 19 94 tha t “ the re ’s a 8. health risk with smoking and but that disease,” n proven tha t it [ smoking] cause s lung it “hasn’t bee canc er.” Sandefur PD, Broin v. Philip Morris, 7/13/94, 84:22-86:5. ree 799. he did not ag also stated that with the Surg eon Ge nera l’s conclusion that Sandefur smoking c auses c ance r, hea rt disease , and other diseases be cause , as he state d, “[t] hey ’re not dealing that with whole smoke. They dealing with pa inting of mice and ’re kind of thing. I don’t think that’s d. valid in terms of human pra ctices of smoking whole smoke.” I -324-

355 8 0 Sandefu r a d m i t t ed t h at h e w as u n aw ar e o f a n y s t u d i es s h o wi n g t h at whole smoke does 0 . c e is e a s e , a caus d h e w a s u n a b le to n a me o n e s d ie n ti s t o r me d ic a l d o c to r to ta ll y u n c o n necte d not n o indu s t ry who said that it had not bee n established that cig are tte smoking c auses with the tobacc er. I canc d. at 86:6-87:4, 89:11-17, 125:13-16, 144:15-145:9. J n April B& W informed B& 801. 1995, apan to a nswer inquirie s about smoking a nd I W a lth by re a ssu ri ng the pe rs on ma kin g the inq uir ie s tha t whe the r or no t smok ing c a us e dis e a se s " is he [an] ." 450180143- 0143 (US 21885). inconclusive matter still 2. As of the e a rl y 19 90 s, L or ill a rd ' s p os iti on on c a us a tio n w a s: 80 orillard does not a nd will not authoriz e the use of th e R isk Fac tor L tio rm ula a n fo r c fo us a tio n f or pu bli c re la tio ns pu rp os e s. We w ish to maintain the traditional ar ticulation: unproven, statistical, lack of fo c m. Ris k F a c tor dis c us sio n is nis r sc ie nti sts on ly a nd on ly in me ha c ou rt ro om a nd its c on tr the e d c ir c ums ta nc e s. oll 92348935-8936 (US 57176); Stevens WD, 47:21-48:13. s Michae e a u x, a s p o k e s p e 803. l Prid o n f o r B A T , s ta te d in 1994 that BAT' s curr ent position r was t h at t here was no c ausal link betwe en smoking and ca ncer . 502576028-6030 at 6028 (U S 86882). 80 Ma rt in B ro ug hto n, Cha ir ma n of B AT plc , the 4. c or po ra te pa re nt of B AT Co, sta te d in opening rema rks to analy sts, investors and journal i s t s at a br iefing held at Windsor House on ance October internal resea rch which proves that smoki ng cause s lung c ve no r 30, 1996, that "We ha or other dise ases or , indeed that, smoking is addictive." 800113810-3812 at 3810 (U S 85343). 805. I n 1994, Phili p Morris ra n a paid newspa per statement about smoking, nic otine and n addiction. I oth smokers an d t said: "B o nsmokers dese rve to know f acts, not innuendo, a bout tte smoking is addictive. cig are ttes." The statement also said “Phil ip Morris does not believe cig are -325-

356 People ca n and do quit the time.” 2023011263-1263 (US 20371); Kea ne WD, 36:21- smoking all 37:16. Chairman, Ge Chief Executive Offic er and p Morris Companies' offr ey 806. I n 1997, Phili are ttes wer e not a cause of lung c ance r, but asser ted that if they wer e Bible, took the position that cig . . . shut [t he] company down i nstantly to g et a better hold of thing s." shown to be, " [he’d] probably eca m t fo u r d this state des af ter Philip Morris USA recog nized the car cinog enic a nd He made en causing nature of cig are ttes in internal documents. Bible PD, F lorida v. Americ an Toba cco, disease- n 1997, Bible a 8/21/97, 27:1-24. I v o i ced his disag ree ment with an Australian c iga rette la bel ls o t stated: “Smoking c er.” canc ning tha I d. at 32:16-33:8. war auses lung f P d in Bible state he did not know i 2002 hilip Morris cigar ettes had ever c aused 807. that ny individual. Bible PD, United States v. Philip M orris, 8/22/02, 63:19-64:5. disease in a s" 8. tho ug h Ph ili p M or ri s e xpre sse d " dif fe re nc e Al in opi nio ns 80 be tw e e n it a nd the pu bli c he a lth a uth or iti e s, Se nio r V ic e P res ide nt a nd Ge ne ra l Co un se l D e nis e Ke a ne c ou ld n ot, wh ile testify ing in this litigation, cite a peer -re viewed article, study , or conse nsus report f rom 1977-1997 ny onclusion that smoking ca canc er. K eane WD, 16:18-17:12. that disputes the scientific c uses lung Prior to October 1999, Phili p Morris' s public position on di sease causa tion was that 809. s, but may iga s a risk fa ctor for many dis ease rettes wa or may not cause them. Steve smoking c Parrish admitted that Philip Morris’s “risk fac tor” position was at odds with the position of the public health authorities who had stated for deca des that smoking was not me rely a risk fac tor for cer aused the se disease s as well. Parr ish W D, 15:11-16:14. tain diseases, but c 81 0. F ina lly , o n O c tob e r 13, 19 99 , it he n Ph ili p M or ri s la un c he d a c or po ra te we bs ite , w is an chang ed it s p u b li c p o s it io n o n s mo k in g a n d h e a lt h is s u e s . T h e w e b s it e s ta te d : " T h e r e -326-

357 overw helming me ientific conse nsus that cig are tte smoking c ause s l u n g canc er, he art dical and sc mphy sema, a ious disease in smokers." Steve Pa r r is h , Se n io r V ic e Pr e s ide nt disease, e nd other ser airs for nsus cknowledg ed that the ove rwhe lming scie n t i fi c conse te Aff of Corpora Altria Group, a nced October 1999 statement had exis ere for deca des. Parrish further in the conced ed t hat ref ted p Morris' usal to acknow ledg e prior to Oc s ref cause d disease ha d Phili tober 1999 that smoking ed th e compa ny ' s cre dibilit y beca use there was no support for Phili p Morris’s view outside damag co at . 2085240087-0089 of the tobac 0087 (US 45673); Parrish WD, 9:20-12:3, 15:5-10; industry ne WD, 24:21-25:28:8. Kea Al thoug h Ph ili p M or ri s r e c og nize d th e " 1. e rw he lmi ng me dic a l a nd sc ie nti fi c 81 ov on se ns us ," re g c rd ing the c aus ati on of dis e a se by c ig a re tte smo kin g in 1 99 9, it d id n ot s ta te its a ag ree ment with that consensus until October 2000. Kea ne WD, 27:11-28:11. Parrish ac knowledg ed tha t Ph ili p M or ri s c ha ng e d it s p os iti on on c a us a tio n in 20 00 be c a us e of c ri tic ism fr om t he pu bli c health community , and that Philip Morris's de g ree ment with the "ove rwhe lming cision to state its a dic l a nd sc ie nti fi c c on se ns us " wa s no me ba se d on a a ny ne w sc ie nti fi c e vid e nc e . T he sc ie nti fi c ba sis t fo r t he " ov e rw he lmi ng me dic a l a nd sc ie nti fic c on se ns us " ha d e xiste d f or de c a de s p ri or to P hil ip Morris' s decision to state its ag ment with it. P arr ish W D, 19:13-21:21. ree Although Philip Morris is free mation it includes on chang e the infor 812. to voluntarily rette w arning its ciga not to chang e thos e labels even though in October 2000, labels, it has chosen the c omp a ny c ha ng e d its pub lic po sit ion to ad mit tha t smok ing c a us e s d ise a se a nd is a dd ic tiv e . B ibl e ip Morris, 8/22/02, 112:12-113:17. PD, United States v. Phil -327-

358 813. Phili ver told its customers on its cig are tte packa g ing or in onserts that p Morris has ne ree s t at s m o king c auses c ance r and othe r disease s in smokers. I ts packa g es mere ly direc t it ag h WD, 35:10-22. ss. Keane smokers to its website addre ived betwe behalf of RJ R, Chairman Andre w Schindler, who r 814. on en $44 Speaking ece has refused to admit that smoking causes disease, as the and $45 million in compensation in 2004, llo wi ng c oll oq uie s d e mon str a te : ( 1) Whe n a sk e d, " y ou wo n' t sa y fo tin g he re tod a y tha t c ig a re tte sit smo g c a us e s d ise a se , r ig ht?," he re sp on de d: " Wel l, m y te sti mon y kin nd wh a t' s o n o ur Web sit e a today are tte smoking [has] inherent hea lth risks [ and] ma y c is cig n tr ib ute to causing cer tain diseases o i n s o m e p eo p l e. " S ch i n d l er T T , 1 / 2 4 / 0 5 , 1 0 8 1 1 : 1 1 -1 9 ; (2 ) w h en as k ed aga i n , "S o y o u s ay i t 's possible, it's likely but y ou don' t sa y it doe s, do I have tha t rig ht? ,” Mr. Schindler admitted, "Y es." , d. at 10812:20-22; (3) RJR ' moking is a cause of I s website, like its Chairman, does not admit that s nstead, it states: “We produc oduct that has sig nificant and inhere nt health risks for disease. I e a pr of serious diseases and may contribute to causing these diseases i n some individuals.” I d. a number at 10814:11-15. 815. s 2004, L orillard CEO Mar tin Or lowsky ref used to admit the full ex tent of As late a hasn' smoking' was spec ifically asked: " Why t L orillard spec ifically stated publicly that s harm. He smoking c auses a ny diseases othe r than smoking [si c] emphy sema, COP D o r h ea rt disease?" He responde d: - in ce t an ce s, we do not know if in fa ct the We have - rtain ins e, the scientific evidenc evidenc is such that it warra nts say ing it does e cause . However, L orillard' s longstanding position, as long as I ' ve be e n w ith the c omp a ny , is tha t c e rt a inl y smo kin g c a n, a nd is a risk se fa tor fo r t ho c dis e a se s. TT, 10/13/04, 2303:7-15. Orlowsky -328-

359 816. Arthur Stevens, f Vice Pre sident and Ge nera l Counse l of L orillard ormer Senior sp on d in 20 00 to t he qu e sti on of wh e the r s mok ing c a us e s d ise a se : re de re tha of the po and other s are am awa s i t i o n and the I t the company embra tte smoking is a r t, that cig are iew, and I isk factor for v ce tha al have no a nd I with the publ ic health and the medic rg disease a ument authorities taking that position. and other Stevens WD, 47:1-11. 7. Th e ri sk fa c tor la ng ua g e wa s 81 t a nd is no t the po sit ion of the sc ie nti fi c c omm un ity no and Steven k n ew that. When questioned reg arding the distinction, S tevens said: " Q: Were y ou s ou wa , Mr. Ste ve ns , tha t the ri sk fa c a fo rm ula tio n y re sta te d w a s n ot t he po sit ion of pu bli c he a lth tor authorities? A: Yes I was." Stevens WD, 47:12-14. 8 1 8 . L o ri l l ar d co n t i n u es t o i s s u e p u b l i c s t at em en t s o n s m o k i n g an d h ea l t h i s s u es t h ro u gh PR Newswire. Pre ss relea e sent by interstate wire t ransmission by PR Newswire, w hich in turn ses ar lease s out to news media so that L orillard ca n "g et the messag e out." Milstein TT, sends the re 1/7/05, 9261:8-18, 9271:7-17. 8 1 9 . Press r e le a s e s a r e a ls o k e p t o n L o r il la r d ' s w e b s it e , w h e r e th e y c a n b e a c c e s s e d a nd revie wed by d. at 9272:12-20. the public. I al L nera l Counsel R 820. n orillard Ge d Milstein admitt ed that the c ontent of re cent o L orillard pre ss relea ses on smoking a nd health is sues, i ncluding addiction and the he alth eff ects of s. I exposure TS, is similar to statements that Def endants ha ve made for de cade to E d. at 9264:11-24, 9266:6-16, 9277:2 3 -9 278:12; TL T0961610-1610 (U S 86693); USX5710001-0002 (US 89303); USX5710005-0006 (US 89305). -329-

360 82 1. ears aft er t he ef fect iv e dat e of t he M ast er Set tle me nt A g re e me nt, in 20 00 , B&W Two y cause ay that smoking is a rify of any particula r tors to its website: "We know of no w told visi to ve s o n 's adver se hea lth or why smoking may have a dverse health ef fec ts on some people and not p er s) (JD 012645). (no bate others." nc lusi ons Co 7. endants ev been awa re since the late 1950s of substantia l Def i d ence have 822. rticular, auses sig dverse health eff ects, in pa nificant a lung canc er. The that smoking c demonstrating en ce was presented by prac ticing phy sicians, such a s Michael De Ba key , Alton Oschner , and evid nder, a rhol b y ac ad emic scie ntists, s uch as Eva rts Gra ham and Er nst W y , nd by t Richard Ove overnme s Surge on Gene ral L eroy nt officials such a ney in his 1959 J AMA ar ticle. g Bur 3. B y 19 64 , w he n th e Sur g e on Ge ne ra l of the Un ite d St a te s, L ut her Terr y , is su e d h is 82 o round-br ing some 7,000 scientific a rticles on the r elati Report consider n ship betwee n eaking g nd health, ther e could no longer be any question that there w as a c onsensus in the smoking a smoking an scie “that cig are tte ntific community contributes substantially to mortality from Americ a e rt a in spe c if ic dis e a se s and to the ov e ra ll d e t “ th r a te ,” tha c [c]ig a re tte ] smo kin g is a sso c ia te d w ith s, a rc e nt i nc re a se in the a g e -s pe c if ic de a th r a te s o f m a le pe ” tha t “ [c]ig a re tte smo kin g is c a us a lly 70 rela ance r in m en , ted to lung c and that the “ data f or women, thoug h less extensive, point i n the ” sa me dir e c tio n. ” I n 19 68 , the Sur g e on Ge ne ra l c on c lud e d tha t “ c ig a re tte smo kin g c a n c on tr ibu te to the deve lopmen of ca rdiovascula r disease and par ticularly to death fr om corona ry hear t disease.” t a 4. ro m a t lea st 1 95 3 u nti l a 82 a st 2 00 0, e F c h a nd e ve ry on e of the se De fe nd a nts t le re ts a te dly , c on sis te ntl y , v ig o r o u s l y -- a nd fa lse ly -- de nie d th e e xiste nc e of a ny a dv e rs e he a lth e ff e c pe lations from smoking . Moreove r, they mounted a coordina ted, well-f inance d, sophisticated public re -330-

361 v c ig n to a tt a c k a n d d is to r t th e s c ie n ti f ic e a id e n c e d e mo n s tr a ti n g th e r e la ti o n s h ip betwee n mp a m o k i n g a n d d i s e a s e , c l a i m i n g t h a t t h e l i n k b e t w e e n t h e t w o w a s s t i l l a n “ o p e n q u e s t i o n . ” F i n a l l y, s ignor in doing so, they in their i nterna l corpor ate f iles from their own ed the massive documentation ecutives, a tions people that, as Philip Morris’s Vice Pre sident of Resea rch x scientists, e nd public rela Wakeham, admitted, there was “little ba sis f or disputing the finding s [of and De velopment, Helmut nera eon Ge ime.” the 1964 Surg l’s Report] at this t , ndeed, a back a s 1968, Wi I pfer s far Vice President of Public Relations for 825. lliam Kloe To ba c c o I ns tit ute re c og nize d tha t “[o]ur ba sic po sit ion in t he c ig a re tte c on tr ov e rs y is s ub je c t to the t w c rg e , a nd ma y be su bje c t to a fi nd ing , th a ha e a re ma kin g fa lse or mis le adi ng st the nts to ateme pr omo te the sa le of c ig a re tte s. ” Mr . K loe pf e r w a s b oth c or re c t a nd pr e sc ie nt. 826. For y ear s afte r i ssuance of t he Frank Stateme nt in 1954, and for more more than forty first thirty ear s afte r issuance of the Surg eon Gene ral’s y Report on smok i n g an d h ea l th, than endants maintaine d their position deny ing the causa l r elationship Def n smoking a nd disease. betwee Finally ip Morris launched a corporate website a cknowledg ing the “over whelming , in 1999, Phil d auses lung s cientific consensus that cig are tte smoking c medical an canc er, he art disea se, m sema, a ious disease in smokers.” Despite this acknow ledg nd other ser en t of the emphy “ ov e rw he lmi ng me dic a l a nd sc ie nti fi c c on se ns us ,” Phi lip Mo rr is c ou ld n ot b r i n g i t s e l f t o c l e a rl y sta te M it a g r e e me n t w it h th a t c o n s e n s u s u n ti l O c to b e r 2 0 0 0 . Ph il ip s o r r is s ti ll d o e s n ot include the t smoking ca information on its cig g ing tha t it agr ees tha tte packa uses ca ncer and other disea ses are in s mok e rs . W, 827. RJ R, L orillard, nor B& Neither have openly admitted that smoking c auses c ance r. W was I ndeed, in 2000, two y ear s after the ef fec tive date of the Master Settlement Ag ree ment, B& -331-

362 pu tti fo llo wi ng me ssa g e on its we bs ite : “ We kn ow of no wa y to v e ri fy tha t sm ok ing is a c a us e ng the g a pa rt ic ula pe rs on ’s a dv e rs e he a lth or wh y smo kin ny ma y ha ve a dv e rs e he a lth e ff e c ts on so me of r nd not others.” people a The Add ic ti ve P r ope r ti e s o f Nic ot ine B. Introduction 1. 2 8 . C i gar et t e s m o k i n g i s an ad d i ct i v e b e h a v i o r, ch ar ac t er i z ed b y d ru g cr 8 i n g, av era compulsive use, tol l sy mptoms, and relapse afte r withdraw al. Under ly ing the nce, w ithdrawa nd its remarka ble i ntrac tability to cessation is the drug nicotine. Nicotine is the smoking be havior a component of c i gar et t es t hat cr eate s and sustains addiction to cig are ttes. Whi le the primary ing f y tion has evolved ove r time, the under ly of addic acts a bout the addictive na ture of terminolog ne kin g a nd the c e ntr a lit y of nic oti no to t he ad di c tio n h a ve be e n k no wn a nd ha ve smo t c ha ng e d in ov e 0 y e a rs . r 4 r 2 . Sin c e th e 1 9 5 0 s , D e f e n d a n ts h a v e r e s e a r c h e d 8 n d 9 e c o g n iz e d , d e c a d e s b e fore the a scientific c did, that nicotine is an addictive drug , that cig are tte manufa cture rs ar e in the ommunity drug drug are ttes are cig delivery device s. The phy siologica l impact of nicotine business, and that e xpla ins in la rg e pa rt wh y pe op le us e tob a c c o pr od uc ts a nd fi nd it so dif fi c ult to sto p u si ng them . d Moreove nts have soug ht to ex ploit the a fenda d ictive quality of smoking a nd nicotine for r, De de c a de s in or de r t o d e ve lop ne w p ro du c ts a nd inc re a se sa le s. 830. understanding and acce ptance of each Defenda nt that smoking Notwithstanding the and nicotine a s to the addictive ddictive, Def endants have publicly denied and distorted the truth a re a is na tur e of the ir pr od uc ts f or sev eral decad e s. De fe nd a nts ha ve pu bli c ly de nie d th a t ni c oti ne -332-

363 addictive, ha ve suppre ch showing i ts addictivene ss, and have repe atedly used misleading ssed re sear quit voluntarily statistics as to the number of smoker and without profe s who have ssional help. oordinated the n a n ts h a v e in te e tionally maintained and c d ir position on addiction 831. Def n rt ant par t of their over all eff orts to influence public opinion and persua de s an impo and nicotine a erous; in this way , the cig are tte company Def endants c people that smoking was not dang ould keep e ke rs smoki ng , r e c ru it m or e ne w s mok e rs , a smo ma int a in o r i nc re a se the ir e a rn ing s. mor nd dit ion a lly , D e fe nd a nts ha ve so ug ht t o d isc re dit e vid e nc e of a ddict io n in or de r t o p re se rv e the ir Ad is a fre "smoking arg ument in smoking and he alth litigation. e choic e" ants, with the exception of Philip M e D n d f orris, continue to publicly deny and distort 832. e tr uth a s to the a dd ic tiv e ne ss o f c ig a re tte smo kin g a nd nic oti ne ' s ro le in t he a dd ic tio n. De fe nd a nts the n in no re the ir ow a te rn a l st ig te me nts a c kn ow le dg ing a nd e xploi tin g ni c oti ne a dd ic tio n. Whil e r dr nic sh a re s c e rt a in k e y a ttr ibu te s o f h e ro in, c oc a ine , a nd oth e ne ugs, De fe nd a nts c on tin ue to oti asser is no more addictive than coff t that smoking chocola te, and exercise, and (with the exception ee, of Phi lip Mo rr is) c on tin ue to d e ny tha t ni c oti ne is a dd ic tiv e a t a ll. 2. Cigaret Sm okin g Is Addictive and Nicotine Is the P rim ary Elem ent of te iction That Add at How N ot ine Ope a. ic e s wit hin t he Body r 833. When a per son puffs a ci g are tte, she inhales c iga rette smoke, w hich consists of an and g aer p ar t i cl es ases, including water , nicotine, and tar . Nicotine, a c hemical f ound osol of primarily in tobacco pla nts, has a st ructure simil ar to a chemical in the body called a cety lcholine, a neurotra n smitt er w hich provides the pa thway of communica tion from one ner ve ce ll to another. tte smoke Nicotine compe tes with and blocks the e ffe cts of ac ety lcholine in the body . When cig are -333-

364 is inhaled dee ply icles impact the br eathing tubes in the lung s and into the lungs, nicotine pa rt n apidly d into the blood stre am. I t the absorbe rapidly moves to the hea rt and fr om there is r nicotine terial blood vesse ls to the rest of t h e b o d y , i n cludi ng the bra in. I t takes about 15-20 throug h the ar puffs on a cig rom the time a smoker tte for its nicotine to enter the bra in. Be nowitz W D, seconds f are 15:13-16:13. The more nicotine i s absorbe d, the hig her its conc entra 834. and tion in the body quickly cts. Smoking nicotine provide ter t s ef fe rea s the faste st rate of absorption and hig hest blood the g i f n i co t i n e. On avera g e, one c iga rette de livers 1mg to 1.5 mg of nicotine. I n compar ison, levels o le e oti ne is a bs or be d f ro m a sk in p a tc h, blo od ic ve ls r ise g ra du a lly ov e r 4 to 6 h ou rs ; w he n it n n wh rom gu ms or lozenge s, blood levels rise over 30 minutes. Ag ain, in compar ison, is absorbed f feine caf over 30 minutes. I d. at 18:9-11, 18:18-24, 19:18-20:13. and alc ohol absorb into the body d eptors that ar h Nicotine binds to rec b o e intended to bind to t y ' s own 835. e nsmitt er, a cety lcholine. When nicotine binds to rece ptors, it artificially stimul ates the neurotra of a numbe ty stem and ca uses the re lease lcholine sy r of hor mones, including dopamine, ace in p o e p h r in e , s e r o to n in , a n d e n d nore r p h in s , w h ic h th e n a f f e c t m o o d a n d b e h a v io r . I n a ddition, ases the r nicotine af ever y body org an. F or example, nicotine incre ts virtually ate a nd forc e of fec hear t contrac tions and constricts blood vessels. I d. at 16:14-17:23. 8 3 6 . N ic o ti n e p r o d u c e s tw o d if f e r e n t k in d s o f e f f e c ts . F ir s t, th e r e a r e c e r ta in p rimary mokers find de eff in th at s otine on the bra sirable. F or example, the first cig are tte in the ects of nic morning usually has a stimulating or aler ting e ffe ct. Simil arly , if a pe rson i s fe el ing stre ssed or s anxious reduc e th at s t re , nicotine may s o r re lieve that anxiety and make a per son fee l better. e Smo ke rs ma y , h ow e ve r, de ve lop tol e ra nc e to m a ny of the se pr ima ry e ff e c ts. As oc c ur s wi th the us -334-

365 t of l p s y c h o a c t i v e d r u g s , t h e b r a i n a t t e m p t s t o a d a p t t o t h e p e r s i s t e n l p r e s e n c e o f n i c o t i n e . Th is a da tio n, or tol e ra nc e , p ro du c e s a c tua l c ha ng pta s in the br a in' s st ru c tur e . O ve r t ime , th e br a in a e c ome s tole ra nt to the e ff e c ts of nic oti ne a nd ne e ds e ve n g re a te r am ou nts of it to pro du c e the sa me be ects on hormone eff development of toleranc e. I d. at 22:5-23:17. s as it once did bef ore the ause the 837. dapted to the constant prese nce of nicotine, smoker' Second, bec s brain has a oker doesn' nicotine t . When a sm function normally t have nicotine, the pendent on it becomes de o in f un c tio ns a bn or ma lly br nd mos t pe op le , a pp ro xima te ly 80 %, e xpe ri e nc e wi thd r a w a l s y mpt oms . a a h o s e s ym p d o m s , w h i c h a r e t h e v e r y o p p o s i t e o f t h e p r i m a r y e f f e c t s o f n i c o t i n e , i n c l u T e i r r i t a b i l i t y, t letharg y , restle s s n ess, s leeplessne ss, anxi ety , depre ssion, hunge r, and w eig ht ga in. Wi thdrawa l is sy be g in t o o c c ur a s so on a s n ic oti ne le ve ls in the bo dy sta rt to de c lin e . Whe n a pe rs on oms mpt experiencing e withdra wal sy mptoms, i ng estion of nicotine re verse s the eff ects. This re versa l nicotin sant withdrawa m cts is perc eived by th e s of unplea oker a s having benef icial ef fec ts on mood l effe velops, the smoker g ousal. I d. at 23:18-24:9. Thus, as tolera nce de ets few er pha rmac ologic al and ar benef its f r o m e a c h c ig a r e tt e a n d s mo k e s mo r e a n d mo r e to a v o id w it h d r a w a l s y mp to ms . I d. at 24:18-20; See also F arone WD, 73:2-20. Howeve r, t he smoker’ s need f or eve n g rea ter a mounts of h a platea ventually t t ak e nicotine does e aver ag e of se ven y ear s to reac plateau. I u level of an cig tte consumption. I d. at 24:22-24. are I 838. understood ter ms, smokers become dependent on the sig nificant n commonly p h ar m ac o l o gi ca l an d p s y ch o ac t i v e e ff ec t s o f t h e n i co t i n e i n c i g a re t t es , re s u l t i n g i n cr av i n g, compulsive use, diffic in quitti ng , and re lapse a fter w ithdrawa l. Far one WD, 73: 2-20. ulty 83 9. Th e re is c ompe lli ng e vid d to nc e tha t sm ok ing be ha vio r i s mo tiv a te d b y a ne e e otine ma in ta in a p r e f e r r e d d o s e o r le v e l o f n ic o ti n e in ta k e , le a d in g to th e p h e n o me n o n o f n ic -335-

366 co m en s at i o n , o r t i t ra t i o n , i n re s p o n s e to t h e us e of ci gar et t es wi t h l o we r ni co t i n e y i el d s . Al t h o u gh p be cor rec t that addiction t o smoking is, in part, a n addiction to a set of be haviors, i.e., ope ning it may up, k, taking cig are tte, lighting out a tapping ashes, e tc., the fa ct is that nicotine is the essential a pac edient which cre ates and maintains the addiction. To g ingr a simpli stic example , d en icotized ive cig ttes have a ttracte d virtually no smokers even are the behavior s involved are the same. See though Fa rone WD, 73:21-74:3. 840. This unde rstanding supports the now overw helming consensus in the scientific a nd medical c ommunity are tte smoking is an a ddictive beha vior an d that nicotine is the that cig are s and sustains the addiction. Henning field WD, 114:9-12; Burns component in cig ttes that cause 13 :16 -1 4:1 9. Ho we ve r, it h a s ta ke n o ve r 5 0 y e a rs fo r WD, s fu ll u nd e rs ta nd ing of nic oti ne ' s r ole thi and addic tiveness to evolve. Evolvin g Defini b. ons of “Addiction” an d Classif ication of ti Ni c ot ine es have 841. ty y e a r s , as the scie ntific, reg ulatory , and public hea lth communiti n the last fif I develope g rea ter unde rstanding d use, they have a dopted a more nuance d definition of what of drug constitutes an addiction to drug s. As the def inition of addiction evol v ed , s o did the classifica tion of nicotine. pert Committee on I n its 1957 Report, the W orld Hea lth Org anization (“WHO”) E x 842. riteria f Addiction Producing s set forth c Drug or dete rmining both drug depende nce a nd drug habituation: -336-

367 Drug Addiction Drug Habituation ddiction is a state of pe riodic or Drug habituation (hab it ) is a condition re sulting Drug a mptio i o n p ro d u ce d b y the re peate d chronic n ts . I ug dr f a t o x i ca fr om t he re pe a te d c t su i n o on nthetic). char acte ristics include: consumption of a drug (natura l or sy istics include: ts chara I cter omp i g desire or need 1) An over o 1) A d e power e (b ut n ot a c n uls ion ) t sir and u e t aking contin for the se nse of continue taking the drug (compulsion) to the drug in i t by a ny me a ns ; imp ro ve d w e ll- be ing wh ic e e ng e nd to o rs ; bta h it ) t e n d e n c y t o i n c r e a s e t h e d o s e ; 2 ) L ittle or no tende ncy to in c r e a s e the 2 A dose; A psy cholog ical) a nd 3) e on chic dependenc of psy ree Some deg 3) chic (psy fec a phy ndence sical depe ally ener the ef on the ts of the drug , but absenc e of phy sical g ct t h s e e ff ec t o f t h fe ru g; depende nce and henc e of a n abstinence ef e d ndrome; sy Detrimenta l effe ct on the individual if 4) Detrimenta l effe cts, 4) any , primarily on e t y. a n d o n s o c i the ind ivi du a l. See B enowitz TT, 11/2/04, field TT, 11/23/04, 6866:20-6867:11; (US 4621:28, 4623:1-20; Henning O R mphasized the importance of intox ication as a component of 64057). The 1957 WH eport e ibe drug A drug addiction was used to descr labeled a personality s that addiction, which it disorder. re phy d marke rfor mance and seve ication with concomitant impairment of pe s i cal produce d intox pe nd e nc e . A dr ug a dd ic tio de a t tha t tim e a lso me a nt da ma g e no t on ly to the ind ivi du a l b ut to n society (e.g ., anti-social behavior and criminality ). A drug habit, on the other ha nd, was c onsidered t o b e a p s yc h o l o g i c a l d e p e n d e n c e i n v o l v i n g n o p h ys i c a l d e p e n d e n c e a n d / o r n o d a m a g e t o s o c i e t y. Henning field WD, 114:18-116:14. I n 1964, shortly befor 843. Surg eon Ge nera l’s 1964 Report, the WHO e the issuance of the Ex pert Commi ttee on Addiction Producing Drug s published a new Report abandoning its prior the definitions of habituation addiction. I nstead, and WHO c ommitt ee rec ommended the adoption iven of the ter m "de pendenc e," which it define d as " a beha vioral patter n in which t h e use of a g -337-

368 psy choac n a shar pl y h i gher pr iority over othe r beha viors which once had a tive drug is give highe ." Most importantly , the 1964 WHO Report deter mined that intox ication antly r value signific pe rs on a lit y dis or de r w e re no t a c c ur a te c ri te ri a fo r d e te rm ini ng a dd ic tio n, re pla c ing a m w ith nd the a re me nts of a dd ic tiv e e ff e c ts inc lud ing ph y sio su ic a l de pe nd e nc e , w ith dr a wa l, r e inf or c e me nt, me log choac tive eff ects. He nningf ield WD, 109:3,20, 110:8-22, 114:18-116:14, 122:20-123:16. and psy Be 844. the 1964 WHO Re port was issued so shortly befor e the 1964 S u rg eon cause t, the Surg finitions in nera l was unable to take its new de ral’s Repor t o account when Gene eon Ge i r cla the prope f n i co t ssification n e. Consequently , in his J anuar y 1964 Report, the considering o eon Ge nera l, using the e arlier criter ia established by the WHO in 1987 for " addiction" and Surg we ha ua tio n, " c on c lud e d th a t sm ok ing , n ic oti ne , a nd c oc a ine bit re no t addi ctio ns . Sm ok ing in " The r wa "ha bituation" ra ther than a n "a ddiction." s termed a criter ia for addiction that the particula e 64 Re po rt us ri d w e re : (1) pe ri od ic int oxic a tio n; (2 ) ove rp ow e 19 ng de sir e or ne e d; (3 ) t e nd e nc y to incre ase dose 4) psy chic and phy sical depende nce; and (5) de trimental eff ects on socie ty . The 1964 ; ( oncluded, ba sed on the 1957 WHO def data available at the time, SG report c inition and the limited ndence only a "psy ed but not phy sical depe ." V XA1601844-2232 ( US that smoking produc chiatric field WD, 114:18-117:5. 64057); Henning Be tween 1964 a nd 1988, when the Surg eon Ge n er al finally did apply the term 845. niza a tio n to smo kin g , ma ny indi vid ua ls a nd or g a ic tio ns wi thi n th e pu bli c he a lth c omm un ity dd str ug g le d w ith the c la ssi fi c a tio n o f n ic oti ne . E a c h e xami ne d the iss ue fr om t he pe rs pe c tiv e of the ir c o n p a r t i c u l a r d i s c i p l i n e a n d c o n s t i t u e n w y. w earl 84 De sp ite the fa c t th a t th e re we re a fe 6. y stu die s su g g e sti ng tha t ni c oti ne c ou ld lth c re a te ple a su ra ble e ff e c ts o r w ith dr a wa l sy mpt om s, the sta te of kn ow le dg e in t he pu bli c he a -338-

369 s co n i t y ab o u t n i co t i n e's ro l e i n b eh av i o r wa u l i m i t ed . Fo r e x am p l e, i n 1 9 6 2 , t h e Lars o n , Ha ag, m m nd Silv e tte c omp e nd ium wa s pu bli sh e d, wi th t he fi na nc ia l su pp or t of Phi lip Mo rr is. Th is h ig hly a cted r respe e book summarized much of the world literatur e on the e ffe cts of tobac co and efe renc ful and pot acting t nerve h it found that nicotine is a power drug , it did not nicotine. Althoug en g ss the issue of n addition, there w as evide nce sug I esting that nicotine could ser ve addre addiction. einforc er f or monkey s, g ener ated by work in the late r 1960s at the Uni v er s i t y o f Michig an. as a r to the was e sug g esting the exist ence of a nic otine withdrawa l sy n There ro m e d ating vidence d Fin eg an, L arson, a nd Haa g study n was e vidence sug g esting that injected nicotine in 1945. There could ca use psy choac tive eff ects a nd provide a substitut e for tobacc o from the L en n o x J ohnston study of 1942. Whil e there wa s some indication of the important role play ed by nicotine, all such signific aps in the ana ly sis of nicotine to draw de finitive conclusions. I d. studies left too many ant g at 117:2-118:11. I n 1979, Michae l Russell, one of the most promi n ent publ ic hea lth resea rche rs on 847. d a cha nicotine, wrote DA monog ra p h , ti tl e pter in a N " T o b acc o Depe ndence : I s Nicotine Rewa rding I or Ave rsive," exploring whe ther nicotine wa s an important fac tor in smoking. He conclude d that it remained unpr oven " a t s mokers see k." A TX02 0068361-10068383 ( US 65420). that nicotine is wh key e, g aps in know ledg Dr. Russell noted and that animal models of nicotine se lf-administration had onclusive. Henningf ield WD, 126:18-127:10. At that point, the scientific and me dical proven inc community simply did not have the knowledg e of nicotine' s pharmac ologic al ef fec ts and the g rea ter impact that a f ate of delivery of the dose c ould provide. I d. aster r 848. icient t was not until 1980 that clinical psy chiatrists deter mined that there was suff I A's ev i d en ce o f d ep en d en c e a n d wi t h d ra wa l fr o m s m o k i n g t o i n cl u d e t h es e s y m p t o m s i n t h e A P -339-

370 Diag nostic and Statistical Manual (" I ") . Even then, the sy ndromes we re c alled "t o bacc o DSM-I I and " l," o wi t h d ra wa l " r at h er t h an "n i co t i n e d ep en d en ce " an d "nic otine withdrawa nce" depende tobacc chiatrists' e and unde insufficient knowle dg use of psy rstanding of the spec ific role of nicotine. beca that nicotine play was c rs of the D SM-I I I to the develope ed a r ole in making smoking t lear I re unr esolved que stions as to the importance of addictive, but ther e we nicotine as opposed to the constituents of tobacc smoke and behavior al components o t were the numerous other of smoking tha ments. Henning field WD, 123:23-128:21. possible addictive ele I t was not until 1982 that the National I nstitut e of D rug Abuse (" NI DA" ) conc luded 849. vidence that scientific e nicotine is addictive. I d. at 132:10-13. The D irec tor of demonstrated that in 19 Dr. liam Pollin, te stified to tha t c onclusion DA, e Congr ess Wil 8 2 an d 1 9 8 3. NI befor 2590; U S 58808. NI DA applied the 8 fac tors listed in the Controlled Substanc es Ac t HHA5002584- h wer the Food a nd Drug Administration ("F DA" ) and D rug e used by of 1970 (“CSA”), all of whic ement Ag ency (" DEA" ), to deter mine if a substanc e should be off icially d es i gn at ed an Enforc ug , which is a "controlled substance" under the CSA. NI DA conc luded that smoking me t addictive dr ri fo llo wi ng c ri te fo a the r n ic oti ne dr ug de pe nd e nc y : (1 ) pe rs ist e nt re g ula r us e of a dr ug ; ( 2) a tte mpt s to stop such use which lea d to disc m fo rt and ofte n result in termination of the e ffor t to stop; (3) o n ti u e d d r u g u s e d e s p it e d a ma g in g p h con s ic a l a n d /o r p s y c h o lo g ic a l p r o b le ms ; a n d ( 4 ) p e r s istent y drug -see king be havior. NI DA also c oncluded that "not onl y has t olera nce to some of the ef fec ts of oke, smoking but me tabolic toleranc e to va rious components of cig are tt e sm demonstrated been including nic has been doc umented." NI otine, lied upon previously exis ting da ta as we ll as DA re fi nd ing s fr s a it s own A dd ic tio n Re se a rc h Ce nte r s ho wi ng tha t ni c oti ne me t ke y c ri te ri a a om d. at 133:1-134:13. reinfor cing and euphor iant drug in animal and human studies. I -340-

371 850. Finally nera l, in his R eport on " The Hea lth Consequences , in 1988, the Surg eon Ge tion," re of Smoking -- nificant c onclusion that the rea son smokers ache Nicotine Addic d the sig addicted to ni haustive re t i n e. After an e x are view of the literature on co smoke is beca use they t cig are ttes and other f orms of tobac co ar e , the Report found tha behavior nicotine and smoking ic tin g , a a tha t ni c oti ne is t he su bs ta nc e in t ob a cco tha t c a us e s th e a dd ic tio n. Th e He a lth dd nd s of Smoking: Nicotine Addict i o n: A Report of the Surg eon Ge nera l (1988), Consequence 0848 (US 64591). VXA0300208- Rely ing in pa rt upon the APA and WHO c linical finding s that nicotine depe ndence 851. nd wi thd ra wa l c ou ld o c c ur wi th tob a c c o us e a nd tha t ni c oti ne wa s th e ke y ph a rm a c olo g ic a l a g e nt, a t upon the chemica macolog ical evide nce considere d by l and phar NI DA, the DEA, a nd the and in par the in determining if a drug is a ddictive, Report set for 1988 Surg eon Gene ral' s FDA th three pr imary criter ia for de whether a drug , in this case nicotine, is addic ting: (1) use is highly controlled termining (p use of the dr s mood al t er i n g produce s y choac tive) ef fec ts; and (3) the or compulsive; (2) the ug ug re inf or c e s b e ha vio r, re su dr ng in c on tin ue d in ta ke or dr ug -r e inf or c e d b e ha vio r. He nn ing fi e ld lti WD, at 143:20-144:3; VXA0300208-0848(U S 64591); Benow itz WD, 27:6-13. e 852. hly controlled or c ompu l s i v st criterion, hig u s e, re fer s to drug -see king a nd The fir drug -taking behavior t h at i s d ri ven by strong , often irr esistible urg es. Such use pe rsists despite a of desire to quit or e d attempts to do so. This ty pe peate behavior has also been de scribed a s ven re "ha bitual." B enowitz W D, 27:21-28:2. 853. addiction, however, is distinguished f rom habitual beha viors not involving Drug drug s -- such a nce in the blood or over eating -- by the sec ond criter ion, the prese s habitual exercising example, which stream of a drug with psy choac tive or m ood-alter ing effe cts on the bra in. Food, for -341-

372 is nece ssary i s fy t h e s econd c riterion. I d. at 28:3-16. to sustain life, is not a drug and does not sat " s o i n g ci gar et t es i n v o l v es a d r u g a n d i s n o t co m p ar ab l e t o n o m -d ru g "h ab i t s k u ch as j o ggi n g, S n ing te s nails. Rowell TT, 3/23/05, 16685:5-16687:19. play nnis, or biting one' , iterion in the Surg eon Ge nera l’s Report, the drug must be Finally to meet the third cr 854. tioning as a reinfor cer that direc tly streng thens beha vior leading to further capa ble of func drug stion. S inforce ment exis ts w here , for uch re the drug produce s pleasant or rew arding inge instance, like stimul ation, rela x ation, or euphoria , or mitiga tes unpleasa nt withdrawa l sensations sensations d when a experience itz WD, 28:17-29:7. person stops using it. Benow Th 19 88 SG Re po rt de mon str a te d tha t 5. oti ne e in c ig a re tte s me e ts t he sa me c ri te ri a 85 nic ic ti o n th a t a p p ly to h e r o in , mo r p h in e , a n d c o c a in e a n d th a t t h e p h a r ma c o lo g ic a l a nd for add deter al proc esses that o mine tobacc behavior addiction are similar to those that deter mine addiction to drug s such as he coca ine. Henning field WD, 143:13-19. The Report specific ally found roin and oin, morphine, and c all met the cr iteria for addiction. that nicotine, her ocaine 5 6 . Dr . Pe te r Ro w e ll , o n e o f th e D e 8 e n d a n ts ’ e xp e r ts , a d mi tt e d th a t th e r e a r e many f sim ila ri tie s b e tw e e n th e pr op e rt ie s tha t de te rm ine tob a c c o a dd ic tio n a nd tho se tha t de te rm ine he ro in and/or c ocaine addiction: And I wan our attention spec ifically to the third Q. t to direct y expressed conclusion the Surg eon Ge nera l in 1988, major by ars a t pag e 9, and it re ads, quot which appe e, the pharma ic and b ehavior al proc esses that de termine colog il o addiction tobacc e s im a a r to those that determine a ddiction r to d ru g s su c h a s h e ro in a nd c oc a ine . D o y ou se e tha t? A. do. Yes, I Q. Do y ou a g re e or dis a g id e wi th w ha t th e Sur g e on Ge ne ra l sa re ic and about similarities ex istin g b etwee n the phar macolog -342-

373 behavior al prope o addiction and rties that deter mine tobacc s th a t d e te r mi n e a d d ic ti o n to d r u g s s u c h a s h e roin and e o th ine? coca a g re e A. re a re sim ila ri tie s. I the Ha y ou pr e pa re d a n a nim a tio n th a t - - w e ll, ve fo re we g e t to Q. be as y ou a fur ther que k hen y ou say that that, let me stion. W are these simil arities, what is the basis for y o u r s ay ing there ar that there i milarities from a pha rmac ologic al point of e s ou focusing What are y on? view? e de pe nd e nc e pr op e rt ie A. f n ic oti ne a nd mor e dr a ma tic a lly Th s o are tte smoking in re g ards to phy si ca l depende nce, cig he thd wa l sy mpt oms , e ff e c ts o f ne ur oc he mis tr y in t ra br a in wi nsmitt on neurotra lf-administration studies. Many of ers, se s were done i these thing t he ' 80s just before the Surg eon n Gene ral' s repor t. So these were the similarities that l ed the Sur g on Ge nera l to ind ic a te tha t th e re we re , in fa c t, t he se e ila a tie s b e tw e e n cig a re tte smo kin g sim nd the se oth e r d ru g s. ri Rowell TT, 3/22/05, 16549:23-16650:15. 857. eon Ge nera l’s Report did no t i n cl u de intox ication as a criter The 1988 Surg ion for addiction. As discuss ea rl i ed , in the 1950s and ea rly 1960s, it was believed tha t significa nt er intox ication or imp ai rm en t wer e re quired to sustain addiction. That r equire ment of addic tion has eon Genera long been abandoned by HO, the APA, and the Surg the W l beca use many intox icating su bs ta nc e s a re no t a dd ic tin g a nd be c a us e ma ny a dd ic tiv e dr ug s a re us e d a nd a bu se d in do se le ve ls that do not cause icati o n . Be nowitz W D, 30:14-31:25; Henning field WD, 145:20-146:5, intox 150:14-151:8. 858. Def endants’ ow n expert witness, Dr. Rowell, reje cted the c laim that intox ication was g: n ec es s ar y fo r n i co t i n e t o b e c o n s i d er ed ad d i ct i n -343-

374 Q. And, sir, it is corre t 's b ee n y our view since ct, is it not, t hat i dr a y 19 70 s th a t to e a dd ic tiv e , a rl ug do e s n ot h ave to the be intox ication? cause A. Ye s. Th e su g g e sti on , th e n, tha t a dr ug c a nn ot b e a dd ic tiv e be c a us e Q. tha s n nto xica tin g , y ou wo uld n' t a g re e wi th ot i t st a te me nt, it i or c t? re c I wo uld no t. A. Rowell TT, 3/23/05, 16632:4-7, 16632:23-16633:2. ce or 9. I n a dd iti on , the Su rgeon G ener al d id no t i ncl ud e ei th er t ol eran l e wi th draw a 85 ff e c ts as criteria for addiction. r, t he 1988 Surg eon Genera l’s repor t documented both tolera nce Howeve wal and de termined that nicotine me iteria. See 1996 FDA and withdra t these additional cr mination, 61 urisdictional Deter d. Reg . 44619 (Aug ust 1996); VXA1242326-3211 a t 2645-2651 J Fe ecog nizi ng that nicotine i s addictive e ven under the outdated 1964 SG Report/1957 (US 64323) (r r, neither WHO definition). Howeve e nor w ithdrawa l are the primary crit eria of drug toleranc nce/a depende ddiction. I n 1994, th e 860. A published its Diagnostic a nd Statist ical Manua l of Mental AP Disorder s-I V (" DSM-I V" ) which de fined " substance depe ndence " a s "a pattern of repe ated se lf- administration that usually results in toleranc wal, and c ompulsive drug -taking behavior ." e, withdra nicotine depe M DS og nize the diag noses of both " -IV c ndence " a nd "nic otine ontinued to rec withdrawa l." Americ an Psy chiatric Association, Diag nostic and Statist ical Manual o f Mental Disorder V (1994) a t 176-181 (JD 000460). s I 861. I n the DSM-I d that tion tit led " Nicotine-Rela ted Disorder s," the APA conclude V sec hewing nicotine ca n produce depende nce in people who use all forms of toba cco, inc luding pipes, c -344-

375 te a a c c o, or c ig a re tte s, be c a us e the fo llo wi ng c ri tob ri a re pr e se nt: tol e ra nc e , wi thd ra wa l, a de sir e to e h t d n a , e n i t o c i n ms. ble o r p l a g i d e m e t i p s e d e s u d e u n c t n o c qu i t , a g r e a t d e a l o f t i m e s p e n t u s i n i V (1994), a t 176-181, 242-247 (JD 000460). APA, DSM-I 862. I n descr ibing the dia g nosis d f "N i co tine Depe ndence ," the DSM-I V authors state o , dizz nausea nce of the abse ine is manifested by t co i n o t ce n olera that, "T iness, and other mounts of char acte ristic sy mptoms despite using substantial a nicotine or a diminis h ed ef fect oducts." mount of nicotine-conta ining pr same a d with continued use of the observe I d. reje 863. laim that cifica lly The DSM-I cted De fenda nts' of t-repe ated public c V authors spe l and there withdrawa roduce p t o n s rettes doe iga smoking c tion of is not addictive: "Cessa fore ndrome that is desc nicotine use produc es a w el l -d ef i n ed low. Many ribed be withdrawa l sy wake individuals who use nicotine take nicotine to relieve or avoid withdra wal sy mptoms when they n addition, withdrawa l up in the morning d is restricte situation where use ing in a ter be or af ." I a in iv id u a ls w h g s mo k e c ig a r e tt e s th a n d mo n mo a e s n te in e r mo y ll a ic p ng ty e r a mptoms " sy o I containing d. at 243-244. products." individuals who use other nicotine- eon By 1988, almost every major public hea lth org 864. i n cl uding the Surg anization, ican Gene ral, the N ational I nstitut e on Dr ug Abuse, the World Hea lth O rga n i z at i o n, the Amer vard School of Public He lare Association, the Har alth, and other s, had dec chiatric d that smoking Psy 14 the drug is an addiction driven by Be nowitz W D, 26:3-36:8. nicotine. ation is a 865. Fur ther re flec ting the consensus judgme nt tha t nic otine ddictive, the investig ssued i ule i co R Tobac to its Final A leading the FD by r the even unde that d confirme 1996 ust Aug n 14 e Am e ri c a n Psy c hia tr ic As so c ia tio n f oc us e s o n b e ha vio ra l a nd c lin ic a l sy mpt oms Th endenc g d ep ru d f indicative o e, compa red to the WHO, Surg eon Ge nera l, and FD A, which f ocus o m re o n t h g. h ar m ac o l o gi ca l ef fe ct s o f t h e d ru e p -345-

376 str ing ri te ri a e mp loy e d b y the F DA , n ic oti ne in c ig a re tte s is a n a dd ic tiv e dr ug . H e nn ing fi e ld e nt c 9:9 us 61 :22 . T he F DA c on c lud e d in its Au g 15 t 19 96 F ina l Rul e tha t, " Al l ma jor pu bli c he a lth WD, -1 rga n z at ions in the United States and abr oad with expertise in tobacc o or drug addiction now o i nize that the nicotine delivere cig are ttes and smokeless tobac co is addictive." 1996 FDA og d by rec mination, 61 Fed. Reg . 44619 (Aug ust 1996) at xv, VXA1242326-3211 at 2572 J urisdictional Deter (US 64323). Def own expert, Dr. Rowe ll, not only ag ree endants' ay s an esse ntial 866. d that nicotine pl rette smoking, R owell TT, 3/23/05, 16625:12-25, but that "there is clear ly addiction for role in ciga are cig tte smoking." Rowell TT, 3/24/05, 16790:4-16. a As do c ume nta ry e vid e nc e la id ou t in 7. re the t de ta il inf ra sh ow s, ov e r t he la st f or ty 86 g e a rs , D e fe nd a nts us ve be e n n o s tr a ng e r to the te rm “ a dd ic tio n” in r e fe re nc e to s mok ing . I n- ho y e ha tobacc researc h, rese arc h not disclosed to the 1964 Surg eon Ge nera l's A dvisory o industry ttee, showe d drug addiction-like e ffect s , including toler ance , withdrawa l, compulsive use, Commi and cra ving. The actions of BA TCo a nd B& W, desc ribed below, are particula rly illumi n at i n g on nts the of ho w f a r s up e ri or the c ig a re tte c omp a ny De fe nd a ue ’ k no wl e dg e of nic oti ne a nd its iss behavior rmac ologic al effec al and pha 1964, compar ed to the re latively uninformed ts was by c on c lus ion of the Ad vis or y Com mit te e to the Sur g e on Ge ne ra l wh o la c ke d th a t kn ow le dg e a nd its supporting r esea extended discussion at Section V(B )(3) (c- d), infra . rch. See ic . nse que nc c s o f the Add Co ti ve ne ss o f Nic ot ine e 86 8. To da y , mo st d a ily c ig a re tte smo ke rs sa tis fy the Sur g e on Ge ne ra l' s p ri ma ry c ri te ri a for a ddiction. First, as to hig hly controlled or compulsive use, addicted smoke rs smoke numerous in c ig a re tte s -- of te n a t le a st o ne pa c k o r 2 0 c ig a re tte s - - t hr ou g ho ut t he da y . Se c on d, the nic oti ne -346-

377 t t gar et t e t o b ac co s t i m u l at es t h e n i co t i n i c r ec ep t o rs i n i h e s m o k er 's b ra i n , p ro d u ci n g a e c h choac ction that aff ects the smoker' s mood. Third, tive rea smoking behavior is reinforc ed by psy the able e ffe cts of nicotine a nd / o r by the mitigation of unple asant withdra wal sensa tions the pleasur g d by the nee d for nicotine. B enowitz W D, 29:8-30:13. ere trig 9. Pub lis he d r e se a rc h in dic a te s tha t 77 % t o 9 2% of smo ke rs a re a dd ic te d to nic oti ne in 86 are cig urisdictional Deter mination, VXA1242326-3211 a t 2335, 2528 (US 64323). ttes. 1996 FDA J Many ntial smokers are unawa re of or do not fully appreci ate the 870. smokers and pote ture of nic otine, the addictivene ss of cig are tte smoking, and the extent to which nicotine addictive na and dosag e ar e +hig hly controlled a nd eng ineer ed. Weinstein WD, 61:5-74:2. delivery pe 1. Ev e ry y e a r, a n e sti ma te d s e ve nte e n mi lli on ite op le in the Un 87 d Stat e s att e mpt to q uit smoking. F ewe and a ha lf milli on, or 8%, succe ed in quitting permanently . Be nowitz TT, r than one 11/1/04, 4505:2-4506:13. s eff ttes reg ularly in order to experience nicotine' are ects on 872. Most smokers smoke cig in and the body , and ther eby become addicted to nicotine. People who try to quit sm oking the bra te n e xpe ri e nc e wi thd ra of l sy mpt oms tha t c a n b e e xtre me ly dis ru pti ve . Ac c or din g ly , it is u su a lly wa very difficult for the smoker to stop smoking cig are ttes. I d., 4503:17-4506:13. 873. Most smoker s who desire to quit require sever al quit a ttempts be for e t h ey are succe ssfully ive up cig are ttes, and many smokers die of smoking -re lated disea ses bef ore able to g are d., 4505:2-4506:13. they able to quit. I Most smokers become as teena 874. ers. addicted to smoking 88% of daily smokers tried g the ir fi rs t c ig a ily tte be fo re re a c hin g a g e e ig hte e n, a nd 70 % o f peo pl e who have e ve r s mok e d d a re lops beg an smoking daily befor e they wer e eig hteen y ear s old. Be cause the addiction to nicotine deve -347-

378 in the fi few y ear s of cig are tte smoking, most smokers bec ome addicte d to nicotine during rs t or ea adulthood. Be nowitz W D, 38:15-39:2, 39:3-5, 9-10. ence rly adolesc 5 . R e s e a r c h s h o w s t h a t 8 1 % o f a d u l t s m o k 8 r s s a i d t h a t i f t h e y t r i e d t o q u i t f o r j u s t a d a y, 7 e experience d strong cra vings for ciga rettes. Of these , 95% said that the c raving s were strong er they smoke. Fe had expected w ega n t o b wer adolesc ent smokers -- 46% -- hen they than what they po rt e d th a t th e y wo uld e xpe ri e nc e str on g c ra vin g s if the y tr ie d to quit . Am on g tho se a do le sc e nts re s were experience s, 85% s aid t hat t he craving aving strong er tha n what they d such cr who said they hen they beg an to smoke. I n short, people unde rest i m at e t h e addictive power of had expected w y first bec ome smokers. Weinstein WD, 66:3-69:19. nicotine when the smokers give no As for quitting , most they thought to how l ong 876. will smoke when the y first beg in, appar believing that quitting is something that can be de cided late r. B y then, ently sa dd tio n ma ke s it e xtre me ly dif fi c ult to q uit . I n a la rg e na tio na l su rv e y , 2 4% of y a th smo ke rs ic id ou they less than a y ear , 10% said one to f ive y ear s, and only 5% said they expected to smoke for r er tha ears . A m u expected to smoke long g er pr oportion, 61%, said they had neve n five y ch lar thought a esponding fig ures f or adult bout it. The corr re: less than one y ear - 12%, one smokers we to five y ear s - 5%, long er tha n five y ear s - 7%, a nd never thought a bout it - 76%. I d. 877. The Anne s t u d y , which surve y ed 600 four teen to twenty -two y ear olds in the nberg -eig s, asked smokers who said that they forty planned to tr y to quit in the next y ear , ht contiguous state “I f we called y ou ag ain in a y ear , would y ou g uess y ou would have succe ssfully quit smoki ng ? ” A 78% of a very of y ouths a nd dults said they expected to succ eed in their quit attempt. The high 83% rea lity was that only 7% of nag e quitters mana g ed to quit s m o k i n g for a y ear , and only 28% of tee d. adults smokers who tried to quit wer e able to remain c iga rette f ree for a y ear . I -348-

379 878. I , smokers who wer e planning to quit in t he next y ear , and who ha d n another study the past, tried and about t heir nex t quit attempt. From this gr oup, 88% of y ouths wer failed in e asked ear said they adults be nonsmokers a y that later. Even a mong those who stated and 64% of would itt ing wa s v e ry ha rd or a lmo st i mpo ssi ble fo r o the rs , 8 3% of y outh s tha 57 % o f a du lts t qu and ted their own suc d. predic cess. I e Th se stu die s d e mon str a te tha t sm ok e rs a nd 9. no nsmok e rs a g re e tha t qu itt ing is 87 ge an d adult smokers g rea tly overe stimate the likelihood that their own difficult, and that teena ivi du a l qu it a tte mpt s wi ll su c c e e d. Ne a rl y ha lf of te e na g e smo ke rs thi nk tha t qu itt ing wi ll b e e a sy ind ven thoug think it wil l be ver y difficult for their peers. The evidence also indicates h they for them e a t p e o p le f a il to c o n s id e r th e d if f ic u lt y o f q u it ti n g w h e n o th e y s ta r t to s mo k e a n d d th n o t r e c o g n iz e how strong aving s produce d by addiction can be. I n short, the cr y outh in particula r, have people, and insufficient re cog nition of how difficult it will be for them to stop smoking eve n though the y may have a n intellectual under standing of the medic al conse quence s of smoking. I d. d. Conclusion As the publ ic health ’s understanding of nicotine' s pharma colog ical and 880. community so fec body has evolved, al ef has the ter minology used to descr ibe nicotine. behavior ts on the human e sc ie nti fi c a nd me dic Th l c omm un ity ha s str ug g le d wi th t he c ho ic e of the pr op e r n ome nc la tur e to a de sc ri be the hu ma n a ff ini ty fo r n ic oti ne a nd ha s mo ve d f ro m " habit uat io n" to " de pe nd e nc e " to c " ic tio n. " Sin c e the m id -1 98 0s , th e sc ie nti fi dd a nd me dic a l c omm un ity ha s v ie we d th e te rm s a " de pe nd e nc e " a nd " a dd ic tio n" a s vir tua lly sy no ny mou s. I n f a c t, m a ny pu bli c he a lth or g a niza tio ns , including NI DA, the Americ an Association of Addiction Medicine, and the Colleg e on Problems of y. D r u g D e p e n d e n c e , u s e t h e t e r m s " d r u g a d d i c t i o n " a n d " d r u g d e p e n d e n c e " i n t e r c h a n g e a b l -349-

380 He nn e ld WD , 1 10 :9- 22 . I nd e e d, th e to bacc o in du str y its e lf ha s u se d th e se te rm s ing fi eably ng B) (3), infr a. intercha . See Section V( eon Ge ctively l chose the term addiction in 1988 in order to effe The Surg convey 881. nera nt to nicotine, the intense diffic ity of sm okers' attachme ulty of bre aking that to the public the s ever tta c hme nt, a nd the fa c t th a t th e a tta c hme nt i s p hy sio log ic a l a nd no t mer e ly a la c k of w ill po we r t o a pleasura stop doing something z TT, 11/2/2004 at 4647:4-7, 4647:25-4648:9, ble. See B enowit 21 (JD -054316). I se fa cts, this Court will use " addiction" and : n light of the 4655:6-4661 e" intercha ng eably . Disputes over te rminology to descr i b e "de h e workings of nicotine pendenc t eality endants long ag o internally that Def rec og nized the same phenome non should not obscure the r nd medical c ommunity have strug g led to understand a nd descr ibe: the that the scientific a s xtra din a ry ho ld t ha t ni c oti ne ha s o n th e hu ma n ne rv ou or sy ste m a nd the fa c t tha t su c h ho ld s te ms e a om n ic oti ne ' s p ha rm op c olo g ic a l pr fr e rt ie s. 3. Defendan e Well Aware t hat Smoking and Nicotine Are A ddi ctive ts Wer The we alth of docume evidenc e examined in this Section, as we ll as Sections 882. ntary internally evea nd (D), r efe ndants knew a nd ls that for dec acknow ledg ed that nicotine V(C) a ades D drug , that cig is an addictive ttes are a nicotine delivery device , and that addic tion can be e nhance d are and per oug h manipulating both the a mount of nicotine an d petuated thr t h e m ethod of nicotine d e l i v e r y . M u c h o f D e f e n d a n t s ' k n o w l e d g e o f n i c o t i n e w a s o b t a i n e d f r o m i n - h o u s e a n d i n d u s t r y- funded r esea rmac ologic al ef fec ts of the drug . rch into the pha ris For nts r evea l tha t Philip Mor 883. rese arc hers knew in 1969 example, internal docume tha t ni c oti ne wa s " a po we rf ul p e rm a c olo g ic a l a g e nt" a nd tha t th e c omp a ny op e ra te d o n th e " pr e mis ha t of nicotine." that the primary mot i v at i o n fo r smoking is to obtain the pha rmac ologic al ef fec -350-

381 1003033413-3417 at 3413 (U S 20143); 1003287836-7848 at 22848). RJ R's lead nicotine 7837 (US her state non o f sm oking" and that the industry was arc d in 1972 that nicotine is the "sine qua rese "at t ra ct i ve dosag e for based on the 500915683-5691 at 5684-5685 ( US sale of ms of nicotine." ATCo' cate d rese arc h from the e arly s sophisti ed that "smoke rs ar e 20659). B 1960s demonstrat i c o t i n e a d d i c t s . " 3 0 1 0 8 3 8 6 2 - 3 8 6 5 a t 3 8 6 3 ( U S 2 0 5 7 7 ) . B & W , B A T C o ' s A m e r i c a n s u b s i d i a r y, n ATCo data a possessed the B ted cig are ttes with the understanding that they "must provide nd marke vels of nicotine." s at 1 513 (US 85309). L orillard re sear cher opriate le the appr 501011512-1515 ddictive t p h e scie ntific consensus in the 1970s that " the most probable r eason f or the a ed acce t ties of the smoke is the nicotine." 82396938-6939 (US 22012). L igg ett, li ke its larg er proper are tte manufa cture r counte rpar ts, was ac tively seeking way s to manipulate the nicotine de livery cig G0262125-2126 (U S 59994). to smokers. L 4. De fe nd a nts ha ve stu die d n ic oti ne a nd its e ff e c ts s in ce the 19 50 s. Th e do c ume nts 88 wl ibing their arc h into and resulti n g k n o rese edge of nicotine' s pharmac ologic al ef fec ts on descr d e r s - - w h e th e r th e y c h a r a c te r iz e d th a t e f f e c t a s " a d d ic ti v e , " " p e smok e n d e n c e " p r o d u c ing or "ha bituating," monstrate unequivoc ally that Def endants unde rstood the ce ntral role nicotine -- de c l ys i n k e e p i n g s m o k e r s s m o k i n g , a n d t h u s i t s c p i t i a a l i m p o r t a n c e t o t h e s u c c e s s o f t h e i r i n d u s t r y. r 8 8 5 . De fe n d an t s ' i n t er n al re co rd s al s o d em o n s t ra t e t h at t h ey k n ew t h at ci gar et t e s m o k i n g, liv a a c c o in pa rt ic ula r, we re the ve hic le s f or de tob e ri ng nic oti ne -- the c ri tic a l c omp on e nt i n nd ma int a ini ng the a dd ic tio n n e c e ssa ry to s us ta in a nd e nh a nce th eir pr of its . I nd e e d, De fe nd a nts a purposef desig ned a n d s o ld p r o d u c ts th ully t d e li v e r e d a p h arma colog ically eff ective dose of nicotine field WD, 87:19-103:13. in order to c rea te and sustain nicotine a ddiction in smokers. Henning -351-

382 f n 8 Ot h er d o cu m en t s d em o n s t ra t e D ef en d a n t s ' u n d e r s t a n d i n g a n d a c c e p t an ce o . i co t i n e's 6 8 cig tte s mo k in g b y s h o wing their re cog nition that sm okers a djust their smoking role in maintaining are to obta nece ir in order ssary nicotine intake. This beha vioral ada ptation of smokers behavior in the for many tion," or " conce compensa ndants have been w ell awa re of titration," a is known as " pt Defe ear s. Henning field WD, 49:14-55:5; Section V(E)(2) (b), infr a. y 7. Th e se ind us tr y do c ume nts also su pp or t th e c on c lus ion tha t D e fe nd a nts kn e w e a rl y 88 arc on in their rese rette did not deliver a ce rtain am o u nt of nicotine, new smokers h that if a c iga rm no c ome a dd ic te d, uld nd " c on fi t be e d" smo ke rs wo uld be a ble to q uit . wo a 8 8 . T h e e v i d en ce s wl fo rt h i n t h i s S e c t i o n d e m o n s t ra t es t h e e x t en s i v e k n o 8 ed ge et Def ve had sinc e the 1950s about ni cotine' endants ha addictive effe cts on smokers, t heir use of that s knowledg e to maintain and incr ease the sale of cig are ttes, and their de cade s-long eff orts both to deny the truth ab o t t h e ad d i ctive natur e of nic otine and to conc eal their own interna l resea rch w hich u ener ated that infor g mation. hili M or r is P p a. n a September 22, 889. memorandum, Phili p Morris' s Vice Pre sident for Rese arc h I 1959 d De v el o p m en t , Hu gh W ak an am , em p h as i z ed t h e i m p o rt an ce o f n i co t i n e t o s m o k i n g, s t at i n g: eh "O ne of the main rea sons people smoke is to experience the phy siologica l effe cts of nicotine on the human sy stem." 10005039423- 9424 (US 21657). Wak 0. n a No ve mbe r 1 5, 19 61 pr e se nta tio n, 89 I e ha m add re sse d the c omp a ny ' s a bil ity to co n t ro l t h e n i co t i n e c gh n t e n t o f i t s ci gar et t es . He s t at ed t h at "l o w n i co t i n e d o es s t i m u l at e, b u t h i o t: do se s dep re ss fu nc tio ns ," a nd " c on tin ue d u sa g e de ve lop s to le ra nc e ." Wak e ha m f ur the r s ta te d th a -352-

383 "E ven tho n icotine is believed e ssential to cig are tte acc eptability , a re duction in level may be u gh al re asons." S 20088). desirable for medic 1000277423-7447 at 7438, 7441 (U Morris 1964, liam L . Dunn, h 5, Phili p Wil scientist/psy cholog ist who la ter On Marc 891. a ompany , co m m en t ed at leng th on the possibili ty of beca me the Principal Scientist for the c surrog for c a " iga rettes ba sed on the importanc e of nic otine. He wr ote: developing ate" ologic defina d [f o r cig are ttes] i s rea dily rmac ble. The The pha al nee the subjective state tion of ks smoker see that results from the introduc some bloodstream. There into the are specifia ble, some not nicotine ble cha ng es in the phy siologic al state ac cruing from the specifia nce of prese are undoubtedly other phy siologica l nicotine. . . . There he c ns wh ic h a re re sp on a le fo r t tio se ns e of e up ho ri a , o r w e ll- re sib , that the novice smoker experience s in the exagg era ted form of being iness. Wit a most complex and little understood hout belaboring dizz phenomena , suffice it to say that it is this subjec tive state which set of the smoker a hts up. s he lig is sought by 1003700128-0133 at 0129 (U S 20177). I less hazardous cig e document, Dunn a lso stated that any 892. are tte product n the sam develope d by Phili p Morris "must induce the psy chophar macolog ical st ate now induc ed by nicotine absorption into the bloodstream." 1003700128-0133 at 0132 (U S 20177). rese A y by Phili p Morris itten summar arc her Ronald Tamol of a F ebrua ry 1, 893. handwr 65 br a nd de ve lop me nt m e e tin g /pr e se nta tio n r e 19 or de d th e c on c lus ion tha t th e c ig a re tte c manufa r who could come up with a "flavor ful" low tar ciga cture "e noug h nicotine to keep rette with smokers hooked . . . w ill reap hug e bene fits." 0002862- 2867 at 2867 (US 88761). 89 4. I n a June 19 66 re po rt tit le d "M a rk e t Pote nti a l of a He a lth Cig a re tte ," Phi lip Mo rr is c re a rc he rs Du nn a nd My ro n John sto n s ta te d th a t w ith ou t ni se oti ne , a he a lth c ig a re tte wo uld no t se ll: [A] ny health cig are tte must compromise betwee n health implications nd on the one hand and flavor and nicotine on the other. . . . F lavor a -353-

384 nicotine ar e both nec to sell a cig are tte. A ci garette that does essar y the habituated smoke annot annot satisfy not deliver nicotine c r and c d to ha bit ua tio n, a nd the re fo re wo uld a lmo st c e rt a inl y fa il. le a S 20123). 1001913853-3878 at 3860 (U n a May 7, 1968 Phili p Morris memorandum titled " TPN I ntake by I unn 895. Smokers," D t "since is evidenc e that the s there his puff, it is rea sonable to anticipa te that wrote tha moker adapts e a d a p t s t o m a i n t a i n a f a i r l y c o n s t a n t d a i l y d o s a g e . " T h u s , P h i l i p M o r r i s h a s k n o w n f o r o v e r t h i r t y- h ear five y u ld "c ompensate" in order to maintain a constant intake, or dosag e, of s that smokers wo S 35743). nicotine. 1003293548-3555 (U 896. ell aw ar e t h at nicotine share d many attributes of a n addictive p Morris was w Phili Dunn t n ry 19, 1969 memorandum from a Februa o Wakeham, Dunn cautioned tha t nicotine drug . I s a dru g wi th F DA imp lic a tio ns . H e a lso dis c us se d th e " du a l a c tio n" of nic oti ne a s a dr ug wi th wa ph a rm a c olo g ic a l " sti mul a nt- tr a nq uil ize r" e ff e c ts t ha t c a us e d a "p le a sa nt sta te of dizzi ne ss s o c le a rl y experience d by inning smoker and b y t h e habituated smoker following abstention." the beg S 20167). 1003289921-9922 at 9921 (U 7. I n a F a ll 1 96 9 d ra ft of the a nn ua l re 89 rt tit le d " Why On e Smo ke s, " a nd pr e se nte d to po the Ph il ip M o r r is B o a r d o f D ir e c to r s , Wa k e h a m e mp h a s iz e d th e r o le o f n ic o ti n e in s mo k in g . He flatly stated: ical conviction wit o t h ers that it is the pharma colog We share the h ect of inhaled smoke whic h mediates the smoking habit. . . . eff s our first pre We have then a the primary m o t i v at ion for mise, that smoking is to obtain the phar macolog ical ef fec t of nicotine. I n th e pa st w e a t R & D h a ve sa id t hat we're no t in t he c ig a re tte ess bu e ss, we ' re in t he smo ke bu sin sin . I t mig ht b e mor e po int e d to smoke, smoke is the observ e t h at t he cig are tte is the vehicle of -354-

385 vehicle of nicotine, and nicotine is the a pleasurab l e body g ent of a response . . . . ets o b s g red by the over lay This primary incentive to smoking cu on da ry inc e nti ve s, wh ic h h a ve be e n sup e ri mpo se d upo n th se ha bit . c e choana sts have spec ulated about the importance of the sucking Psy ly ibing it as ora ression. Psy cholog ists have , descr l reg behavior ting a n eg o-imag e with puffing and proposed that the smoker is projec hear s h alo of smoke. One fre quently s "I have to ha ve something i h o w ith my ha nd s" a s a re a so n. Al l a re pe rh a ps op e ra tiv e mot ive s, to d we hold but to sustain the habit in the absenc e that none are adequate of nicotine. . . . that not sug We esting the effec t of ni cotine is responsible f or the are g tia tio n o f th e ha bit . T o th e c on tr a ry . T he fi rs t c ig a re tte is a ini at t ious ex nce to the novia te. To ac count for the fac t t h perie he nox inning smoker will tolerate the unple asantne ss, we must invoke beg e ps y c ho so c ia l mo tiv r t . Sm ok ing fo a he be g inn e r is a sy mbo lic a c t. The smoker is telling the wor son I am. . . ." ld, "This is the kind of per t e forc e fr om the psy chosocia l sy mbolism subsides, the h As ical ef fec t takes over to sustain the habit . . . . colog pharma 1003287836-7848 at 7837-7839 ( US 22848) (empha sis added). 8. I n th e fi na l ve rs 89 of Wak e ha m' s pre se nta tio n, da te d Nov e mbe r 2 6, 19 69 , h e la rg e ly ion restate d materia l f rom the draf t quote d above. I n explaining that nicotine serve s as both a stimulant and depr essant, Wakeha that smoking maintenance depende d solely on the phar macolog ical m stated ff e c ts o n s mok e rs : e We a re of the c on vic tio n, in v ie w o f t he fo re g oin g , th a t th e ult ima te bit resides in the explanation for t p er petuated c iga rette ha e h pharma cological e ffe ct of smoke upon the body of the smoker , the eff ect be ing most re war ding to the individual under stress. 1000273741-3771 at 3752 (U S 26080). 899. Phili p Morris also produc ed a Febr uary eport 16, 1970 Resear ch and D evelopment r tte Smoker Motivation" which titled "Some Methods Notes on the Past Resea rch o n C i g are -355-

386 a c le dg e d th a t th e smo kin g " pa tte rn is str on g ly re sis ta nt t o e xtinc tio n. " Th e re po rt re fe rr e d to kn ow act" as an "injec tion of nicotine." 1003287849-7856 at 7849, 7853-7854 ( US 85246). the " puffing ru Phi Mo rr is' s a wa re ne ss of nic oti ne 0. s th e c lip c ia l in g re die nt i n c ig a re tte s w a s a lso 90 a a November 1, 1971 rese arc h repor t w ritten by Thomas Schori and approve d by Dunn. made plain in port ac The re ntific study ' s results which sug g ested that a habitual smoker cepte d a 1943 scie ects pharma colog ical eff ause of of nicotine in cig are ttes. 1000350158- the continues to smoke bec 0188 (US 20176). Notwithstanding its long time public denials that smoking c essa t i o n induces 901. thd ra wa l - - o ne of the c la ssi c ha llm a rk s o f a dd ic tio n - - P hil ip M or ri s k ne w t he e xtre me dif fi c ult y wi nd the phy sical and mental effec ts of cessation attempts on the smoker. Scientists Dunn of quitting a the rank Ry an desc ribed some of cts withdrawa l e ffe and F of nicotine in a 1971 study on cessa tion in t he llo wi ng g ra ph ic te rm s: fo a e e r e ig ht m on ths qu itt e rs we re ft pt t o r e po rt ha vin g ne ur oti c Ev n a mptoms, such as fee ling depre ssed, being restless and te nse, being sy em ere ill-t d, having a loss of ene rg y , being apt to doze off. The y p e fur constipation and we ight g ains which wer ther troubled by ag ed about f ive pounds per quitter . . . . aver T h i s is not the happy picture pa inted by the Can ce r Society ' s anti-smoking c ommercia l which shows an e x ubera nt couple lea ping into the a ir and kic k ing their hee ls with joy use they have kic ked the h abit. A more beca iate ial would show a restless, nervous, c onstipated appropr commerc sb a nd bic ke ri ng hu iou sly wi th h is bitc hy wi fe wh o is na g g ing him vic about his slothful behavior and g rowing waistline. 1000348671-8751 at 8676, 8708 (U S 20097). 90 2. With re sp e c t to the ph e no me no n of nic ote ne " c omp e ns a tio n, " Sc ho ri a nd Du nn wr oti rch in a J anuar y 1972 Report titled "Ta r, Nicotine, a nd Ciga rette Consumption" that their r esea -356-

387 su pp ts t he no tio n th a t sm ok e rs de ve lop a da ily nic oti ne int a ke qu ota or n smoking c iga in nicotine delivery from and that whe rettes differing whi the they a re a c c us tom e d th e y te nd to m od if y t to ir tha ch maintain r to normal quota. No support consumption rate in orde their tar intake nalog f a d or the a l y ous notion o quota, was found f ai r. howeve 1003285403-5416 at 5403 (U S 20159). 3. I n a 19 72 " Con fi de nti a l" re se a rc h re po rt tit le d " Mo tiv e s a nd I nc e 90 ve s in Cig a re tte nti Smoking," ted that people smoke in order "to obtain nicotine," and that nicotine "is the Dunn asser ' s product," that "w ithout nicotine, t he arg ument g oes, there would be no smoking ." adding industry port, Dunn summarized a 1972 CTR-sponsored c onfer ence held on the C aribbe an island of n the re I Ma rt in. Mo re c omm on ly St. kn ow n a s St. Ma rt in Con fe re nc e , the me e tin g wa s no t a se c re t. S ome scientists unc onnecte d to the tobacc o industry attended and the proce eding s of the conf ere nce w ere published shortly there r. (no ba tes) (JD 040795). Dunn wrote : afte of the c ould go e ven fur th er an d ees w accept the The majority onfer is the active c onstituent of cig are tte smoke. proposition that nicotine i t h o u t n i co t i n e, t h e a rgu m en t go es W t h er e w o u l d b e n o s m o k i n g. , Som str on g e vid e nc e ma rs e le d to su pp or t th is a rg ume nt: ha 1 ) No o n e h a s e v e r b e c o me a c ig a r e tt e s mo k e r b y s mo k ing cig are ttes without nicotine. siologica Mo t o 2) s l responses to inhaled smoke have f the phy been show n to be nicotine-r elated. 2023193286-3304 at 3289 ( U S 2 2 9 6 7 ) ; 5 0 3 6 5 4 8 8 1 - 4 8 8 5 ( U S 8 8 4 1 3 ) ; 105394371- 4388 (US 88414). 904. aphica lly , Dunn urg ed the industry to adopt the following approa ch: Most gr Th ink of the ci garette pa c k a ly sto ra g e c on ta ine r f or a da y ' s su pp s a of nicotine. . . . -357-

388 Th ink c ig a re tte a s a dis pe ns e r fo r a do se un it o f n ic oti ne : it is of the preppe nicotine. . . . dily rea d for dispensing s the vehicle of nicotine. . . . Think of a puf f of smoke a ized vehicle of nic ond question the most optim Smoke is bey otine and the cig are tte the most optim ized dispenser of smoke. 2023193286-3304 at 3290-3291 ( US 22967). a pre sentation of his paper deliver ed at St. Martin and a t the 1972 905. During ence o n t C onfer i , Dunn summarized his conclusions from cur rent re sear ch on CORESTA/TCR C J people smoke. Dunn wrote that, "I t is contended in this paper that nicotine, spec ially packe d, why ne he ig a re tte ind us tr y ' s p ro du c t." Du nn a dd e d th a t, " Th e smo ke r ta ke s nic oti c int o his s y ste m in is t order to obtain the salutory ects of nic otine upon body function." 1001820498-0500 at 0498 (US eff US 36743); 89285181-5188 at 5181 (U S 23583). 26121); 2021423403-3497 at 3484 ( ompensation as fur Phili cu m 906. p Morris also do ther e vidence of addic tion. A ented c Marc h 1973 Phili p Morris Resear ch Report titled "Smoking B ehavior : Real World Observations," g wr n b y Phi lip Mo rr is s c ie nti sts Du nn , T ho ma s Sc ho ri a nd Jane t Du e g ins , re po rt e d th a t a Phi lip itt Morris in-house study the smokers i n had shown that, " h is study are now smoking c iga rettes t delivering less tar a nd nicotine than those they smoked in 1968 and that they are smoking both more rod per cig tte and more cig are ttes." 1000353355- 3410 at 3361 (US 35242). are I lip Morris USA President Clifford Goldsmith, 8, 1974 prese ntation to Phi 907. n a May that esea Dunn explained how in-house r g ested rch smokers titrate or r eg ulate their smoke intake sug to ge t what they want out of the smoke: re of I o u are awa m sure y our belief that people smoke f or re war ds ' not g et from smoke at t he pharmacolog ical level. . . . I t's simply they is a n a de qu a te e xpla na tion t o s a y tha t sm ok ing is a ha bit , o r t ha t it -358-

389 social beha vior. A smoker something into his sy stem is introduc ing that he wa oke, most likely nicotine, o nts. Certain components f sm rm up his sy ste m in so me t de te on ine d wa y to g ive him so me c a un te rm ine d p le a su re . I f t his is tr ue , the n we e xpe c t th e smo ke r t un de o e ta ke in t ha t a mou nt o f s mok e tha t do e s th e job best fo r h im. se k to eg t i n t ak e oing to r o suit his need. . . We are He is g ulate his re the ng tha t the smo po r t itr a te s ( sizi g ula te s) his smo ke int a ke to hy ke it h is d os a g e ne e ds . su US 85248). 100324972-4976 at 4972-4973 ( t 8 R es ea rc h co n d u ct ed at the Philip Morris Res ea rc h L ab o 0 . o ry i n J u n e 1 9 7 4 u s i n g h i gh 9 ra oti ne a nd low nic oti ne c ig a re tte s "s ho we d the e xiste nc e of a de fi nit e c omp e ns a tio n me c ha nis m" nic i smokers. Ac t, titl ed " Human Smoking Ha b to the repor t s," the se finding s were cording among consistent with: dence in l ite ra tur e tha t th e nic oti ne of c ig a re tte smo ke e xer ts a evi ical ef t o n the smoker whic h reinfor ces the fec distinct pharmacolog havior. The smoker doses himsel f wi t h nicotine smoking be a c c or din g to h is pe rs on a l ne e ds wh ic h de pe nd on the le ve l of a ro us a l, d e n a l s tr e s s , h is p e r s o n a li ty a n r , p o s s ib ly , a n u mb e r o f other xte fa c tor s. 1001812883-2903 at 2883 (U S 85249). 9 0 9 . I n a n u n d a t e d h a n d w r i t t e n m e m o , p r o b a b l y w r i t t e n i n t h e 1 9 7 0 s , D u n n v o i c e s his surprise that the industry could not fully separ ate nicotine f rom tar, g iven what the c ompany knew t that time: of nicotine a t is also remarka ble t hat nicotine deliver y has not bee n liberate d from I livery , particula rly in view of the importanc e of nic otine as the tar de ant, if not the primary g ratifica tion component of the smoke. signific Th is is n o t t o s a y th a t t h e ta s k is s im p le : i t i s n o t s im p le . Co n s ider ri the s c ur re ntl y a va ila ble fo r a lte y ng the nic oti ne de liv e ry le ve l, wa wi th a c c omp a ny ing re a so ns wh y the se wa y s d o n ot r e a dil y pe rm it independe nt nicotine varia tion. S 85250); 2021423403-3497 at 3464 (US 36743). 1003285420-5424 at 5420 (U -359-

390 910. Dunn then listed the methods at i l i p Morris' s disposal to manipulate nicotine P h tion, ts, including a x trac tion/addition, l eaf selec ration, nicotine e ir dilution, filt in its produc delivery se pH. 1003285420-5424 a t 5421-5422 (US 85250). additives to increa and base n M a r c h 911. 9 7 5 , H e lm u t W a keham pr oposed an industry scientific c onfer ence on "T he I 1 g ula tor y I nf lue nc e of Smo kin g Up on Hu ma n B e ha vio r" to d isc us s r e se a rc h id e a s in to t he e ff e c ts Re 9056332-6332 (US 87072*); eff L W OD J ects of smoking. of stimulant and calming WODJ 9056318-6323 (US 87071). L I n a May 14, 1975 repor t ev al uating the re lationship between a steep short-te rm 912. les of Mar urre nt decline in nicotine, Dunn w rote: lboro to a conc decline in sa t ine has be en sing led out for a ttention because many Nico g some P.M. R&D people t i gat o rs o f s m o k i n g b eh av i o r, i n cl u d i n , inves have c ontended that the se ci gar ette smoker smoke s for the asoned n view of tha t contention, the question has nicotine in the smoke. I as to whethe clining nic aised otine delivery values been r r the de ould be re sponsible for the de clining reported for Ma rlboro Red c le s in c re me nt. sa 0000024914-4920 (US 26072). 913. n a September 8, 1975 letter to long -time Phili p Morris-funde d rese arc her Stanley I r, a psy reduc y profe ssor at Columbia University , Dunn discussed a Schachte tion in nicotine cholog ist iga in Marlboro c ledg ed the e x rettes a en ce of smoker' s compensation to obtain more nd acknow nic oti ne , w hic h h e re fe rr e d to a s " the g oo die s" : Thus to acc ommodate to th 1 5 % re duction in available Ma rlboro e 50% the nicotine, was g etting smoker of the available n i cotine who int o h is b loo d fro m th e Ma rl bo ro de liv e ri ng 1. 3 mg of nic oti ne int o a m o king ma chine a nd now must ge t 59% of wha t the curr ent s Marlboro of fer s him. He can take bigg er puffs, or inhale more fr om the supply draw n into the mouth (we have vary ing qua ntities of or for more residual smoke in the mouth at the e nd of an inhalation) -360-

391 e ff nt e xtra c tio n of the g oo die s, he c a n dra w it in de e pe r o r h old it ic ie in longe r. 1000738509-8510 at 8510 (U S 85251). Morris Schachte r’s rese arc h 914. many funded y ear s. Howeve r, his studies of p Phili for to e ventually conclude that smoking was indeed addictive. He nicotine and human be havior led him ua rt to P hilip Mo rr po n 1 97 7 th a t, " We p ro po se ins te a d th a t vi rt ed lly a ll l on g -t ime smo ke rs , re is i or lig addicted a nd sug g est that ht, are m any , perha ps all, exceptions to the addiction model heavy a n b e u n d e r s to o d in te r ms o f s u c h n o ti o n s a s s e lf - c o n tr o l, c o n c e r n w it h h e a lt h , r e s traints, etc." c S 87074); 1003291151-1153 (US 87075). 1003291155-1191 at 1189 (U arc October 1, 1975 Phili p Morris An h memorandum titled " Smoke I mpact, Part 915. rese : Cigar ette Smoking a nd Hea rt Rate" stated that: " Nicotine is the main dete rminant for sustaining I jected by h nd "the re is an optimal dose of nicotine, too littl e or too much is re abit" a the smoking o smokers." 1003294245-4261 at 4246 (U S 20170). tobacc F 6. I n a pp ro xima te ly 19 76 , Ph ili p M or ri s re se a rc he r ra 91 nk Ry a n e xpla ine d wh y pe op le smoke in terms of habit ver sus ne I n Ry an' s view, the habit of smoking was very distinct from ed. s need f mber 11, 1977 n a Nove the smoker' memorandum ti tled "Smoker Psy cholog y ," or nicotine. I an desc as t he "cr itical mainstay Ry of t obacc o consumption," and provided the ribed nicotine intake f o l l o w i n g b a c k g r o u n d f o r r e s e a r c h t o b e c a r r i e d o u t a t V i r g i n i a C o m m o n w e a l t h U n i v e r s i t y: wi Ma of [a smo ke r' s] c ig a re tte s w ill be smo ke d o ut o f h a bit (i .e ., ll ny be conditioned r g ere d by external cues) rathe r than out esponses trig conditioned any of need (i.e., will be response s trig g ere d by nicotine int e rn a l c ue s) . A ll t he se c ig a re tte s c on tr ibu te to t he tot a l nic oti ne in ut of the ste m, s o th a t a c ig a re tte smo ke d o sy ha bit wi ll d e la y the tim e until a cig are tte is smoked out of need. inal). 1003287995-7995 (US 35702) ( emphasis in orig -361-

392 917. I ndum, Schachter descr ibed a smoker as an " addict" who n a Mar ch 1, 1977 memora ne s to a in h is n ic oti int le ve ls: ke ma smo e xte n t t h a t [ h e is ] a n a d d ic t, h e is p r o b a b ly s mo k in To to k e ep the g i t ine or one of its active meta bolites at some optimal level. I f, n co h e heavy smoker does switch to low nicotine br ands, he ma y , t then well end up smoking more cig very ttes and taking more p u ff s of are h. eac 1003724353-4387 at 4353 (U S 21887). I n a Nove mber 29, 1977 memora ndum, Phil ip Morri s Di rector of Scienc e and 918. hnology , discussed his conce rns about a prese ntation made by Dr. Dona ld H. , Thomas Osdene Tec or d, a ne w CTR sta ff me mbe r, wh ic h a c kn ow le dg e d tha t " Op ia te s a nd nic oti ne ma y be sim ila r i n F "There ; "We ac bituating" ; an d act that nicotine is ha is a rela tionship between cept the f action" tes." 1005045000-5000 (US 20194). nicotine and the opia I n a De cembe r 19, 1977 interoff ice memorandum sent to Osdene, titled " Be haviora l 919. otine for t ch Ac Dunn ac knowledg ed the importanc e of nic complishments -- 1977," h e smoker Resear succe listed as one of Philip Morris' s 1977 ny sses the fa ct that the compa when he had " shown that [i t] can distinguish betwee n reg ulator and nonreg ulator smokers and that afte r being deprive d, the "Re ulators do indeed tr reg l o s t i n take." y g ulators" wer e def ined as smoker s who to make up for "smoke for nicotine." 1003293322-3330 at 3322, 3324-3325 ( US 35741). 9 2 0 . Aw a r e o f n ic o ti n e ' s im p o r ta n c e to th e c o mp a n y a n d th e in d u s tr y , O s d e n e voiced tor c e rn s a t a me e tin g wi th t he sc ie nti fi c dir e c c of CTR in N e w Y or k on J a nu a ry 5, 19 78 . Ph ili p on Mo rr is h a d s e nt O sd e ne a nd Rob e rt B . Se lig ma n, Vi c e Pr e sid e nt o f R e se a rc h a nd De ve lop me nt, to h CTR to di al contra ct re s ea rc scuss sever prog rams. One of those prog rams conc erne d nicotine cts of nicotine antag onists -- i.e., drug s which oppose or block the phar macolog ical and c hemical e ffe -362-

393 as opposed to nicotine a nalog interac t with the body in the s, which ar e substitutes for nicotine and Seligman' ologic rmac y . al and c s comments reve aled the importa nce of nicotine same pha hemical wa o t h e f u t u re o f c i gar et t e m an u fa ct u ri n g. Ac co rd i n g t o Os d en e's m em o ra n d u m o f t h e m ee t i n g: t Seligman Dr. the g rant by Dr. Abood in w hich one of the ht up broug acc was ke a clinically to ma eptable antag onist to nicotine. aims stated l would have the pote ntial of putting t h e tobacco This goa t of nu tur e rs ou c bu sin e ss. fa ma S 35204); see also 1000041904-1905 ( US 35103). 1000286213-6214 at 6213 (U rettes: A St I ch 1978 re port titled "Exit-Bra nd Ciga n a Mar udy of Ex-Sm okers," 921. o ci en t i s t Fr an k J . R y an o f t h e P h i l i p M o rr i s R es ea rc h C en t er i n R i ch m o n d re v ea l ed P h i l i p M s rr i s 's ink su nti a l un de rs ta nd ing of the ro le of nic oti ne in t ob a c c o u se a t th at ti me: "We th ta tha t mo st bs smokers ca red nic otine seeke rs, for the pharma colog ical ef fec t of nicotine is one of the n be conside ards that c eg . When the smoker quits, he for rew oes his acc ustomed nicotine. The ome from smoking e is very chang , he misses the rewa rd, and so he returns to smoking ." 1000368057- 8080 noticeable at 8060 (US 20098*). 9 2 2 . I n the s am e M a r c h 1 9 7 8 r e p o r t, Ry a n s ta te d th a t, " I f th e in d u s tr y ' s in tr o d u c ti o n of dedica acc ts does make it ea sier for nicotine produc ted s mokers to quit, then the wisdom eptable low- of the int ro du c tio n is op e n to de ba te ." 10 00 36 80 57 -8 08 0 a t 80 60 (U S 20 09 8* ) ( e mph a sis in orig inal). 923. I n the late 19 7 0 s an d well into the 1980s, Phil ip Morris car ried out the “ Nicotine ed nicotine' Prog This major rese arc h initiative studi ram.” s eff ects on the centra l and per iphera l otine. 1003033413-3417 (US nervous sy stems, nicotine analog s, and " behavior al ef fec ts" of nic -363-

394 20143); 1003289974-9975 (U S 21553); 1000125871-587 (U S 34273); 1000127789-7790 (US 2 34422); 2022150943-0951 (U S 85254). ently rea d a re view of the Phi l i p Morris Nicotine Prog ram appar Wakeham, having 924. 22, 1979. Whil a memorandum d Fe bruar y of concern to Seligman date e Wakeha m Dunn, wrote by d with the prog ram’s pr imary focus on nicotine, he admitted that, "I disag not deny that many ree do h h ab i t for psy chophar macolog ical re asons." 1003293238-3239 at 3238 (U S smokers maintain t e 26150). Morris ebrua ry 3, 1979 letter to Phili p n a F President and CEO Hug h Cullm an titled 925. I Th e Slo w M oti on Se lf-S ui cid e of the To ba c c o I nd us tr y ," D. To do ro vic , a re tir e d Ph ili p M or ri s " sed the ne nterna r, s t re s rche g ative impact of "c iga rette substitutes" on c onventional tional resea I ig a re tte sa le s a nd re c omm e nd e d a g a ins t th e ir de ve lop me nt: c s sa t is vio us tha t su c h a tr e me nd ou ob le s g a in o f “ c ig a re tte I e bs tit ute s” is d on e a t th xpe e su ns e of no rm a l, c on ve nti on a l c ig a re tte s, and ther e lies all r i n the near future for the ve ry survival of the dange e he] Tobacc , beca use thes e “ciga rette substitutes” ar ndustry [t o I make smoker s addicts to tobacc o. The pre sent smokers of unable to c ig a re tte su bs tit ute s” a re the fu tur e smo ke r q uit te rs “ . 2010064696-4699 at 4697 (U S 20303). st f 6. a n U y de ss, a Phi lip Mo rr is s c ie 92 I ro m 19 77 un til 19 89 , sta te d tha t Philip Mo rr is nti knew that a cause and eff ect rela tionship existed between ma rket pe rfor mance and nicotine de livery levels. The de clar lear that nicotine was distinct from taste : ation also makes c ny is beli . . . wa s r e fl e c Th d in ma ef of the c omm e nts ma de a t a te number of inter nal meeting s at which zero an d "u l t ra low" delivery products we ing disc ussed. Some sc ientists eve n predic ted that re be pr od uc ts m a de wi th " uld " or " too low " a le vel of ni c oti ne wo no tasted like." probably fail in test marke ts, "no matter what they -364-

395 521102262-2286 (US 30497). 9 . Th e r e c a n b e n o q u e s t i o n t a s t e w a s n o t t h e r e a s o n t h a t n i 7 o t i n e w a s us e d a s a 2 c ssary are ttes. Phil ip Morris scientists understood very well that, as fa r as nece component of cig id burning was c ic otine, standing alone, ha d an " acr ned, n taste." 2060537042-7045 (US oncer ste" "ta 87077). n a Mar ch 21, 1980 memora ndum to Dr. Seligm an 928. Du n n descr ibed in detail the I , p Morris-dire Nicotine Rec eptor Prog ram," cted " sear ch initiative aimed at " understanding Phili a re sp e c if ic a c tio n o f n ic oti ne wh ic h cau se s th e smo ke r t o r e pe a te dly int ro du c e nic oti ne int o h is the r o y . " H o w e v e r , D u n n s ta te d c a u ti o u s ly th a t, " A n y a c ti o n o n o u r p a d t, s u c h a s r esea rch on the b or y ho ph a rm a c olo g y of nic oti ne , w hic h im pli c itl y c e xplic itl y tr e a ts nic oti ne a s a dru g , co uld we ll ps ment that nicotine is a drug d as a ta cit acknow ledg h ," a nd, t be viewe er ef o re , subject to FD A reg ulation. 0000127789-7790 at 7789 (US 21794); 2022249518-9518 a t 9518 (US 35152); 1000127789-7790 (US 34422). 929. led the conc erns of the industry ' s attorney s that t h e issue of Dr. Dunn a lso revea c ne dd ic tio n c ou oti nh a nc e the a la ims of smo ke rs ' la ws uit s: nic ld e e ps y c ho ph a rm a c olo g y of nic oti ne is Th hig hly ve xati ou s top ic . I t is a wh e t h e ac t i o n i s fo r t h o s e d o i n er n d am en t al re s ea rc h o n s m o k i n g, g fu a nd fr om whe re mos t li ke ly wi ll c ome sig nif ic a nt s c ie nti fi c developments prof oundly the industry . Yet it is where our influencing s least want to be, for two r easons. I t is im portant to have attorney us and distinguished from one anothe r. The these two re asons expressed rs t re as o n i s t h e o l d fi t an d m o s t i m p l i ci t i n t h e l ega l s t ra t egy es employ ed over the y ear s in defending corpor ations w it h in th e industry in fr he c la ims of he ir s and e sta te s of de c e a se d smok e rs : “ We w ith om t the industry ignor ant of a ny rela tionships between smoking and are disease. Within our laborator ies no work is b ei ng conducte d on has biologica stems.” That posture l sy modera ted considera bly as our he attorney s have c ome to acknow ledg e that the or igina l carte blanc -365-

396 avoidanc e of a sear ch is not require d in order to plea d ll biolog ical re s r n c e a b o u t a n y p a th o lo g ic a l r e o ti o n a h ip b e tw e e n s mo k e and ign la smoker. 1000127789-7790 (US 34422). the ac ute, transient, short- live 930. e f fec ts of nicotine Dunn pointed out to Seligman that " d on a ph y sio log ic a l sy ste m" we re the " e ff e c t so ug ht b y the smo ke r. " I n th e a tta c hme nt t o h is up nic mo, su mme d u p th e re la tio ns hip be tw e e n h is c omp a ny a nd nn oti ne a s fol low s: " PM s e lls Du me are ettes deliver nicotine." ttes. Cigar 0000127789-7790 at 7789 (US 21794); 1000127791-7792 cig t 9518 (US 35152). (US 34422); 2022249518-9518 a a 1. nn ' s me mor a nd um t o Se lig ma n w a s prece de d b y tha t of Du no the r P hil ip M or ri s 93 the ames L lso provided Seligma n an asse ssment of . Charles, who a "N icotine Rece ptor scientist, J m" og ra Ma on Pr rc h 18 , 19 80 . Cha rl e s o pe ne d h is m e mor a nd um w ith the fo llo wi ng ob se rv a tio ns : Nicotine is a powe macolog ical ag ent with multipl e sites of rful phar may most important component of cig are tte smoke. action and be the of it p n understanding ro perties a re important to the Nicotine and a s of our cig are tte business since this alkaloid has continued we ll-being ited often as "the rea son for smoking " a nd theories ha ve bee been c n advanc "nic otine titration" by the smoker. ed for S 87078). 100328974-8975 at 8974 (U d made similar o b s er Charles ha ations about nicotine in an e arlier memorandum 932. v Prog ram outlining the Philip Morris Nicotine Dec ember 1, 1978. He state d that his views had dated not chang ed in the interve ning y ear s. 1003033413-3417 (US 20143). 933. Dunn wrote another memorandum da ted Marc h 2 4, 1980 to Seligman r elating to a s, pa lle l e ff or t a t Ph ili p M or ri s to c re a te c ig a re tte s w ith e ve n h ig he r n ic oti ne to t a r r a tio ra sta tin g : r the I ve n o nly so me smo ke rs smo ke fo f e nic oti ne e ff e c t ( I pe rs on a lly would do believe most reg ular smokers do) then in today ' s climate we -366-

397 we ll t ve a low TPM [tot a l pa rt ic ula te ma tte r, or ta r] a nd CO o h a qu on oxide ] de liv e ri ng c ig rb re tte tha t c a n s up ply a de mon a te [ca a nicotine. 1003285586-5586 (US 22029). n Aug ust 12, 1980 memorandum 934. an Vice President of Resea rch a nd company I to the tors, Thomas Osdene ranke d nicotine re sear ch -- and spec ifically the Philip M orris Nicotine Direc ram -- Prog ' s top Researc h and Development prioriti es because "the thing we as one of the company os ti s n ico l m ne": sel t i prog ram. This includes both be haviora l e ffe cts as Nicotine Prog ram chemica l investiga tion. My rea son for this high pr iority is that well as believe the sell most is nicotine. thing we I 1003030124-0125 at 0124 (U S 26132). Phili p Morris' s nicotine rese arc h prog ram included studies w hich beg an befor e 1980 935. nalog s as par t of a purpose ful eff ort to find a nicotine- and continued until 1984 to develop nicotine a in w qu iva le nt dr ug that wo uld re ta in n ic oti ne ' s e ff e c ts o n th e br a ou ith e t ni c oti ne ' s k no wn a dv e rs e car d and ca rcinog enic e ffe cts. DeN oble WD, 5:7-11; 7:8-13; 1003033413-3417 (US iovascular S 21553) 1 0 00127789-7790 (US 34422); 2022150943-0951 ( US 20143); 1003289974-9975 (U ; 85254); 2020154437-4437 (U S 85266). 3 6 . T h e p re m i s e o f t h e r es ea rc h wa s 9 h at "p eo p l e s m o k e p ri m ar i l y b ec au s e o f n i co t i n e's t rew arding eff ects on the br ain." This resea rch c ould then, in the ory , assist Philip Mor ris in removing iov nic ne fr om t ob a c c o, su bs tit uti ng the a na log tha t la c ke d n ic oti ne ' s adv e rs e c a rd oti a sc ula r e ff e c ts, ffe and thus produce a "safe r" cig are tte that still possessed nicotine's reinforc ing e cts on the smoker. rone, who DeNoble Dr. W illiam Fa WD, 8:10-13; 9:13-16. As worke d for Phi lip Morris from 1976 two-step to 1984 and was Director of Applied Rese arc h, explained, this was the second pa rt of a " -367-

398 proce ss" of ch, neither of which w as pursue d by Phili p Morris to commerc ialization. internal re sear TT, 10/7/04, 2023:10-17. (Fa See, F round is discussed at ¶ 1594, inf ra.) rone’ arone s backg kin lip rr is s ha re d it s e xtensi ve nic oti Phi a nd smo Mo g be ha vio r k no wl e dg e wi th 7. 93 ne Acco rdi ng to BATC an Octo ber 12, 19 79 "RE S TR I CT ED" rep ort fro m BAT Co sci ent is t L .C .F. o. ckman, he epted Philip Morris's invitation to visit t he Philip Morris Researc h Center, and wa s Bla acc on the company d by , Seligman, a nd L evy scientists ' s work, including the deve lopment briefe Osdene lternatives, nicotine disc rimination studies, and EEG rese arc h. 109877492-7499 (US of nicotine a 87079*). 938. respe ct to toler ance , a Marc h 16, 1983 memorandum from Dr. Char les to Dr. Wit h e n e s ta te d th a t, " We c a n s u c c e s s f u ll y d e f e n d th e a b s e n c e o f w it h d r a w a l u n d e r c o n tr o ll ed Osd well-e ents, but we c end tolera nce. T olera nce to nicotine is a annot def stablished fac t." experim 1005061346-1346 (US 20199); 2022252680-2680 ( US 36873). 93 9. Phi lip Mo rr is' s sa le s d ir e c tor in t he Un ite d K i n g d o m , G e o r g e M a c k i n, wr ote a n a rt ic le for a Br obacc onist maga zine, dated De ce m b er 4, 1981, in whic h he admitted that cig are ttes itish t e addictive and that olera nce. Mackin wrote that cig are ttes were important wer smokers developed t ritish convenienc e stores be cause : to overa ll sales at B rette not just habit forming -- the body builds up a Ciga s are ment for them. Tw enty milli on smokers ca nnot do without require go h r w ee d t T ak e t h e e x am p l e o f a m an ei i n g t o wo rk i n t h e m o rn i n g. . I t's p ouring with rain. Ther e ar e six car s alrea dy parke d outside the shop. So, there are at l east 90 y ards to walk back. Would he stop for t ou ne pa a r? Woul d h e g e ws t f or a Ki t K a t? pe Th e a ns we r i s p ro ba bly No, bu t he w ou ld s top fo r h is f a g s, be c a us e he is addicte d to cig are ttes. And while he is buy ing a pack, he takes t. a mor nin g pa pe r a nd a Ki t K a -368-

399 2501013567-3568 (US 27920); 504336658-6658 ( US 85261). kin article c 940. sever al cig are tt e m an u facturer s, as well as stir among aused a The Mac con, when news of his statements beca me known. Howe ver, none of the law y ers & Ba Shook, Hardy comme nte d o n th e a rt ic le dis a g re who d w ith it. F or e xamp le , o ne Phi lip Mo rr is a tto rn e y in e erla hat t he Mackin' s admissions wer e only nd noted t "ve ry unfortunate " and "could cause a lot Switz f p r o b le ms f o r u s . " A n o th e r a tt o r n e y w r o te mo r e to th e p o in t th a t " in th e p r o d u c t l ia b il it y c o n te xt o oncepts these c important, particula rly as reg ards issues of risk assumption." 024950721-0721 are 2501013567-3568 (US 27920); 2024950723-0723 (US 37175); 501626662-6662 (US (US 20404); 85264). Phili p Morris knew a ant portion of its customers wante d to quit but could not 941. signific so. A M arc h 29, 1985 prese ntation at a "me eting of t op manag ement" was ti tled "T he Perspe ctive do PM I rn a tio na l on Smo kin g a nd He a lth I ssu e s. " nte I n thi s pr e se nta tio n, ma na g e me nt w a s to ld t ha of t: There are some 50 milli on smokers today i n t he U.S. I rea liz e that rese arc m aj o ri ty of smokers wishe d they did not h tells us that the u m k e a n d a r e , t h e r e f o r e , u n l i k e l y t o s b e o f m o c h h e l p t o t h e i n d u s t r y. 2023268329-8337 at 8331 (U S 26784). efe Acc to Dr. Will iam Fa rone, 942. ording ndants have long understood that cig are ttes "D are a d d ic ti v e a n d th a t n ic o ti n e is th e a g e n t i n c ig a r e tt e s mo k e p r im a r il y r e s p o n s ib le for addiction. . . ." Fa rone TT , 10/07/04, 1984:19-24. rone WD, 72:10-11; Fa nce Fa d that "w hen I wa s at P hilip Morris, there wa 943. ad ac cepta rone state s widespre internally hout the company -- a mong e x ecutives, sc throug p eo p le -- tha t ientists, and marketing n i co t i n e w as t h 's ri m ar y co m p o n en t o f t o b ac co an d ci gar et t e s m o k e r es p o n s i b l e fo r s m o k er e p rone WD, 72:21-73:1. addiction to smoking." Fa -369-

400 944. Dr. n e discussed with other Philip Morris scientists whether smoking was Fa ro i addictive. The aled " widespre ad ag ree ment among scientists in R&D that s se d cussions reve a widespr n i s addictive," id. at 74:10-23, and " i ead c onviction that nicotine is the chemica l k smo g ed by cig are ttes that is primarily responsible for a ddiction to smoki ng ag t 75:1-6. ent deliver ," id. a d ree ment on the addictivene ss of smoking c ame f rom " both internal and e x terna l This widesprea ag h, about nicotine and its primar role in kee arc ping pe ople smoking." I d. at 75:17-23. rese y p Morris' s intensive internal re sear ch on nicotine c ontinued into the 1990s. F or 945. Phili xamp le , a Ma y 22 , 19 90 re po rt sta mpe d " PER SON AL AN D CO NF I DE NT I AL " to sci e nti fi c e e tor Ric ha rd Ca rc hma n f ro m c omp a ny c he mis ts/ sc ie nti sts c F dir nk Gu llo tta , C. S. H a y e s, a nd B .R. ra Martin re ported on the "Stereospec ific Effects of Nicotine and Electrophy siologica l and Subjective Responses." This resea rch c ontrasted the phy siologica l effe cts of two for ms of nicot in e , "d- nicotine" and " l-nicotine," n smokers. 2025986606-6612 ( US 20421). using huma Many al the c o mpany ' s in-depth knowledg e of 946. other Philip Morris documents reve desire to e x ploit nicotine's effe cts on the hum an body . 2025986350-6401 (US 87080); nicotine and a 1000385483-5522 (US 87311); 1000221 7 2 -1726 (US 87081); 1003290519-0531 ( US 87082); 2 1 S 87083); 1003294165-4180 (US 87084); 3 ); 2023069596-9604 (U 1003287880-7890 (US 20 6 6 20629514 -1 477 (US 87312); 1003292806-2811 (U S 87086); 1003295309-5310 (US 87087); 5 1000128672-8672 (US 87088); 2022163557-3560 ( US 87089). 9 4 7 . A Novembe r 8, 1 9 9 0 P h i l i p M o rr i s m em o ra n d u m t o R es ea rc h an d De v el o p m en t Vice there President Cathy nk Gullotta titl ed " Raison d'e tre" stated: " We have shown tha t Ellis from Fra are optimal ciga rette nic otine deliveries for produc ing the most favora ble phy siologica l and lly be ha vio ra l r e sp on se s. Ou r l a bo ra t o r y h a s d e mon str a te d th a t a ll f or ms o f n ic oti ne a re no t be ha vio ra -370-

401 or phy siologica vation is important f or evalua ting r esea rch c iga rettes whe re the lly equal. This obser ." 2028813366- addition of nicotine is nece 3368 at 3366 (US 20430). ssary s descr ibed in detail in a leng 948. 1992 revie w ram wa The Philip Morris Nicotine Prog thy outside coun s el S h o o k , Har dy & B acon titled " Phili p Morris B ehavior prepa rch red by al Resea ram." n this review, c ounsel summarized many aspec ts of the company prog ram, direc ted by Prog I initiative that beg documents showing a nterna l rese arc h ited specific an in 1969 Dunn, and c major i d abruptly in 1984. 2021423403-3461 at 3408-3409 ( US 36743). and ende 4 9 . The Shook, Har d y & Ba co n d o cu m en t d es cr i b ed h o w P h i l i p M o rr i s Nicotine Prog ram 9 nce to nicotine, be scientists demonstrated tolera cts, nervous sy stem eff ects, a nd other l effe haviora nd addiction. 2021423403-3461 a t 3440-3443 (US 36743). nce a results consistent with depende 0. Th e 19 92 re po rt a lso ma de c le a r t ha t th e pr og ra m g e ne rate d r e su lts a nd wa s st ill 95 rs e ra tin g da ta in 1 98 4 r e la te d to nic oti ne re c e pto ne , a na log s, pe ri ph e ra l ne rv ou s sy ste m e ff g c ts, e centr al ner vous sy stem eff ects, e ffe cts on animal beha v i o r, and diffe renc es betwe en hig h nicotine delivery and low nicotine de cig are ttes. Wi th respec t to the rea sons why the Nicotine Prog ram livery c s e e d in 1984 , the re po rt sim ply sta te s th a t: " F or re a so ns ne ve r s ta te d in a wa int e rn a l do nd ume nts , ny Phili ncelled the Nicotine Prog ram in spr ing 1984. T he dec ision to cance l the prog ram p Morris ca leg been may result of outside counsel' s have al advice ." 2021423403-3461 at 3408 (US 36743). the 951. A similar 1994 Shook, Hardy & B acon r eport titled " Phili p Morris R es ea rc h on Nicotine Pharma colog and Human Smoking Behavior" revie wed and detailed much of the mate rial y port summarized Dr. De descr he 1992 re view. F or example, the 1994 re t Noble' s rese arc h ibed in s h o wi n g t h at n i co t i n e a n d e's et al d eh y d e w er e s y n er gi s t i ca l l y re i n fo rc i n g: “It w a s De No b l ac mine-like compounds and experience with ace taldehy de that it condense d in the brain to form Dopa -371-

402 made the a nimal somewhat ‘e -9 2 6 5 at 9249 (US 85265*). See extended uphoric.’” 2046819241 )(5) (¶¶ 1299-1301) a nd V(C)(2) (e) (¶¶ 1695-1700). c in Sections V(B (a) discussion of this topi Th e 19 94 re po rt a lso de sc ri be d ho 95 De No ble wa s a ble to de mon strate b oth 2. w haviora e" and " metabolic tolera nce" l toleranc cts of addic tion. "be to nicotine, other important aspe US 85265*). 2046819241-9265 at 9250-9251 ( 3. Th e re po rt la te r not e d tha t "a dd iti on a l re se a rc h on nic oti ne /a c e ta lde hy de sy ne rg ism 95 The S have show ttes were in fac t addictive." are hook, Har dy & Ba con lawy ers who n that cig may red this re port afte r re viewing their client' s documents wrote: "L abora tory Shutdown prepa AVEAT: Sig nificanc e is self-e vident.]" 2046819241-9265 at 9254, 92 5 6 -9 258 (US 85265*). [C nd s. De No ble a nd Me le de sc ri be d th e re se a rc h o bje c tiv e s a pr Dr oje c ts u nd erta ke n b y the Phi lip Morris B ehavior rch Prog ram in the 1970s and 1980s. DeNoble WD; Mele WD. I n addition, al Resea rt pla ing, fi nd in g s, a nd sig nif ic a nc e of Dr . D e No ble ' s r the se a rc h in pa nn ic ula r a re de sc ri be d in e numerous Philip Morris documents. 1002973585-3615 (US 35632*); 2056145924-5927 ( US S 85252); 1003060443- 5 0 3 (US 87091); 1003582081-2082 (U S 87090); 1003293284-3293 (U 0 S 87092) 35826); 1002973179-3180 (U 1 0 01894698-4705 (US 87093); 1000052405-2413 ( US ; 87094); 1000017985-8021 (U S 87095); 1003293138-3144 (US 87096); 1000017375 (US 85258); 10030606 3 8 -0 643 (US 87099); 1003186849-6854 (U S 87101); 1000128665-8667 (US 87102); ( 1 0 0 1 2 8 6 6 2 - 8 6 6 3 ( U S 8 7 1 0 3 ) ; 1 0 0 0 1 2 8 6 6 4 - 8 6 6 4 0 U S 8 7 1 0 4 ) ; 1 0 0 0 1 2 8 6 6 8 - 8 6 7 1 ( U S 8 7105); 1003293241-3243 (US 87106); 1003293216-3217 ( 1 -3 9 64 (US 20100); US 87107); 100041388 2047340075-0079 (US 87109); US 8710 8 ); 1003198459-8461 (US 20156); 1003720350-0352 ( US 87111); 2057069742-9769 (US 88762). 2022955358-5361 (US 87110); 2022955501-5502 ( -372-

403 9 5 P h i l i p M o rr i s P l an n i n g Di re ct o r B arbara Re uter pre pare d an ana ly sis o f t h e c o m p an y 's 4 . L tive nicotine deliver r t he code name " TAB product unde E" in 1993. The n alterna plans to market a y ted Octobe r 1992 and stampe d "CON FI DENTI AL ," sta ted the following in the 20-pag e plan, da round" ackg "B section: ople smoke cig are ttes for diff ere nt rea sons. But, the Diffe rent pe son is to otine into their bodies. Nicotine is an rea primary deliver nic cco plant. I t is a phy siologica lly active alkaloid der ived from the toba containing substance anic c lar org en hemicals include nitrog . Simi tropine, and morphine n i e, coc aine, a i . Whil e ea ch of nicotine, qu n es ca n be used to a ffe ct human phy siology , nicotine has these substanc ticularly a par e of influe nce. broad r ang ct, is inha led into the lung s in smoke, the smoking a nicotine During nd trave enter t h e b rain in about eight to ten s the bloodstream a ls to e c o n d s . T h e ni co t i n e al t er s t h e st at e of t h e sm o k er b y b ec o m i n g a s c ur a ns mit te r a nd a sti mul a nt. Ni otr oti ne mi mic s th e bo dy ' s mo st ne ta or mit nt n e ur otr a ns imp te r, a c e ty lch oline (A CH ), wh ic h c on tr ols hear t rate a e sending within the br ain. The nic otine is used nd messag e psy cholog ding to e nh an ced me ntal to chang ical states lea timulate, e rela x ation. A littl ormanc nicotine seems to s and perf e tes a pe smoker lear ns rson. A ontrol the deliver y while a lot seda to c h the smoking technique to cre of nicotine throug sired mood ate the de state. I ener al, the smoker use s nicotine' s control to modera te a n g ua d, ro us ing a tte nti on in b moo ing sit a tio ns a nd c a lmi ng a nxie ty in or tense situations. Smoki ng enhanc es the s mo k e r ' s mental perf ormanc e ble a du c e s a nxie ty in a se ns or ia lly ple a su ra re fo rm . nd 2020154466-4486 at 4467 (U S 26722); 2020154437-4437 (US 85266). n Altria Ge l Counsel Murray 955. i nera g acknow ledg ed the a ddictiveness of smoking Br in a J uly 31, 1992 internal memo on PMC letterhea d to Wi lliam Campbell and Bill Murra y which se dis us se d r e c e nt r e se a rc h o n c oc a ine , a nd po c d the se qu e sti on s fr om the n- PM CEO Mic ha e l Mi le s: ct “F irst, how do we stay up to date on the s tate of smoking cessation technolog y ; second, wha t effe -373-

404 would a re liable, available “habit bre aker ” have on our business; and third, wha t -- if a ny -- rea dily plans should we be ma ? ” 2074091232-1232 ( US 27480). ency king now conting An Oc tob e r 2, 1 99 2 me mor a nd um f 95 m Ph ili p M or ri s sc ie nti st D r. Ca ro ly n L e vy to 6. ro a m Ca mpb e ll r e vie we d th e e ff ic a c y of nic oti ne p a tc he s c ou ple d w ith be ha vio ra l th e ra py to Willi with an ve smoking evy s t at ed t hat the compa ny was a lmost ready tion success. L cessa achie t native nicotine de livery device . She conclude er his sugg ests that at the ver y least we al d that, "T ou ld h a ve c on tin g e nc y pla ns fo r a ch a ng e in the pr e do min a nt fo rm of nic oti ne us a g e . . . . I f t he se sh os ir c uit s d o me dia te nic oti ne int a ke a nd the y c ou ld b e blo c ke d, the n it is p ig sible tha t c c a re tte s' appea l would decline." 2023012974-2975 (US 36943). R. J. yno lds b. Re documents i R.J . Rey nolds also had a sophisticated unde rstanding Many ndicate that 957. in smoking of nicotine’s r For example, on November 16, 1967, RJ R scientist Eldon D. Nielson ole . sp on de d to a n in qu ir y a bo ut a nic oti ne inh ibi tor pa re nt sa y ing tha t th e tob a c c o c omp a nie s w ou ld te not want such a wer e "se lling a nic otine eff ect, not fig hting it." 502001177-1177 (US n item, as they 29547). 958. n 1971, RJ R scientist Anders H. L aure ne interna I proposed t h at the company lly underta ke re sear ch into deter mining more prec isely the " habituating level of nic o t i ne." L aure ne asked the ow lo w ca n we g o? " 504210018- 0018 (US 50577); 522598277-8277 (U S question, "H 80744). 9 5 9 . I n a M a r c h 2 8 , 1 9 7 2 m e m o r a n d u m r JR g a r d i n g t h e d e v e l o p m e n t o f n e w p r o d u c t s , R e he dominant scientist Claude Tea g ue stated tha t f or the ty pical smoker, " nicotine satisfac tion is t -374-

405 desire" and that " any cig are tte product, the dominant spec ification should be nicotine [i ]n designing 4544 at 4538 (US ang enfe ld TT, 3/14/05, 15309:20-15310:4. delivery ." 5002504536- 21747); L to Wi aud as t he R J R e qu iv ale nt Cl un ter part e Teague w lli a m D un n a t Ph ili p M or ri s. 0. 96 /co il 14, 1972 report titled "Re sear ch Planning Memorandum on the Nature of t he Toba cco I n an Apr icotine Ther nd the Crucial Role of N Tea g ue stated: Business a ein," ay a s s e, t h e t o b ac co i n d u n t ry m en b e t h o u gh t o f a s b ei n g a I s l i zed, highly ritualized and sty liz ed seg ment of the specia harma p . Tobac co produc ts, uniquely , contain and ceutica l industry with a var of phy siologica l otine, a potent drug iety deliver nic . . Nicotine is know n to be eff orming alkaloid, henc e ects. . a habit-f irmed us o f t er o products is primarily seeking the the conf obacc siologica l "sa tisfaction" derive d from nicotine - and perha ps other phy nd pattern of p o unds. His choice of product a m usag e ar e co active ima ri ly de te rm ine d by his ind ivi du a l ni c oti ne do sa g e re qu ir e me nts pr of other c seconda rily by a var iety flavor onsiderations including and and irritanc y t, social patterns a nd n ee d s , phy sical and of the produc ratifica tions, c e, cost, health conside rations manipulative g onvenienc hus a tobac l k T i co produc t is, in essence, a vehicle f or and the e. liv e ry of nic oti ne , de sig ne d to de liv e r the nic oti ne in a gene ra lly de acc nd attrac tive form. Our industry is then based upon eptable a n, manufa ctive dosag and sale of attra desig e for ms of nicotine, cture and our Company s position i n our I ndustry is determin ed by our ' a bil ity to p ro du c e do sa g e fo rm s o f n ic oti ne wh ic h h a ve mor e ov e ra ll value, tang ible or i t ang ible, to the consumer tha n those of our n omp tit or s. c e 500915683-5691 at 5684-5685 ( US 20659). 1. Te a g ue la te r s ta te 96 his re po rt tha t: d in I i s t f nicotine non of tobac co produc ts and tobacc o he sine qua products ar e re cog nized as being attrac tive dosag e forms of nicotine, then it i l o gi cal to design our pr oducts -- a nd wher e possible, our s adver tising -- around nic otine deli v ery rathe r than ' tar' delivery or flavor. To this we ne ed to deve lop new data on such thing s as the do phy bsorption and l effe cts of nicotin e, t he ra te of a siologica nt elimination of nicotine delivere d in differ ent doses at diff ere -375-

406 fre q ci es and by differ ent routes, a nd way s of enha ncing or u en cti ni g nico ti ne ef fect s an d "sa ti sfa in on s. " sh mi di sis in original). US 20659) (empha 500915683-5691 at 5685-5686 ( g ue also a nswere d the industry ' s often-he ard 962. otine is f or taste" arg ument by Tea "nic t i n g that, "I believe tha t for the ty pical smoker nic otine satisfac at he dominant desire , as s tion is t and other satisfac tions." 500915683-5691 ( US 20659). opposed to flavor L ater in the same re port, Tea g ue noted the vital r ole of nicotine to the f undamental 963. a x t e n c e o f t h e c i g s r e t t e i n d u s t r y: i e f, a s p ro po se d a bo ve , n ic oti ne is t he sin e qu a no n o f s mok ing , a nd if I eekly acc ept the alleg ations of our c ritics and move towa rd we m sh du c tio n or e lim ina tio n of nic oti ne fr om o ur pr od uc ts, the n w e ll a re e ve a lly liq uid a te ou r b us ine ss. I f we int e nd to r e ma in i n b us ine ss ntu actur e and sal o f dosag e for ms of e and our business is the manuf must make a stand. nicotine, then at some point we 500915683-5691 at 5688 (U S 20659) (emphasis in orig inal). At the close of his April 14, 1972 memorandum on nicotine, Tea g ue re commended 964. fo s o wi ng c ou rs e the f a c tio n f or RJR: llo Recog role of nic 1. otine in co nsumer satisfa ction, nize the key n and promote our nd. and desig products with this in mi More pr ecise 2. y d efine the minimum amount of nicotine l re qu ir e d f or ' sa tis fa c tio n' in t e rm s o f d os e le ve ls, do se fre quency e for m, and the like. This would i nvolve , dosag l and other e periments. biologica x Sponsor in-depth studies of t he phy siologica l, psy 3. ical cholog and othe r effects of nic otine, aimed at de monstrating the benef icial ef fec ts of nicotine an d at disproving alleg ations e tha c oti ne pr od uc e s ma jor a dv e rs t ni e ff e c ts. 4. Study , desig n and eva luate new o r improved sy stems for tine which will provide the minimum delivery of n i co -376-

407 satisfy ing a i n attrac tive form, fr ee of mount of nicotine g a ha rm fu l c omb us tio n p ro du c ts. e lle dly ne Stu a ns fo r enhan cin g nic oti dy sa tis fa c tio n via . 5 me rg ist s, a lte ra tio n of p H, or oth sy r m e a ns , to min imi ze d os e ne e ve nd ma ximize de sir e d e ff e c ts. le l a materia and products which may Monitor developments in 6. ls ts or which mig ht be combined compete with nicotine produc p dded adva ntag es or with nicotine products to rovide a tis c tio ns . sa fa Monitor work by o t h ers whic h might be a imed at improved 7. y nicotine deliver pe propose d here . sy stems of the ty io Se r c h f o r a n d e v a lu a te o th e r . h y s a lo g ic a ll y a c tive 8 p co or its s m o k e which ma provide components of tobac y ffe cts to the smoker. desired e US 20659). 500915683-5691 at 5690-5691 ( Ho I R President Wi lliam D. quest of RJ bbs, Teag ue pre pare d a n 1973, at the re 965. SEC RET " re po rt tit le d " I mpl ic a e ns a nd Ac tiv iti e s A ri sin g F ro m Co rr e la tio n o f S mok " pH wi th tio Nicotine I mpact, Other Smoke Qualities, and Ciga rette Sale s . " Teag ue re iterate d to company e xec ve s RJR' s k no wl e dg e of the imp or ta nc e of e ff e c tiv e nic oti ne de liv e ry in i ts c omp e tit ion wi th uti rl ro a nd Ko ol: Ma bo n e s s e n c e , a c ig a r e tt e is I s y s te m f o r d e li v e r y o f n ic o ti n e to the a smoker in attra ctive, usef ul form. At "nor mal" smoke pH, or at below e a .0 , e sse nti a lly all of th ut 6 smo ke nic oti ne is c he mic a lly bo c omb ine d with a c idi c su bs ta nc e s, he nc e is n on -v ola til e a nd re la tiv e ly slowly absorbe the smoker. As the smoke pH incre ases a bove d by about 6.0, an asing proportion of the total smoke nicotine oc curs incre in "f ree " form, which is vola tile, r apidly absorbe d by the smoker, and believed to be perc eived a s nicotine " kick" . . . . instantly As a re oro, despite a g her smoke pH , the cur rent Mar l b sult of its hi , tw o- thi rd s r edu ctio n in smo ke " ta r" a nd nic oti ne ov e r t he y e a rs -377-

408 c a te s to ha ve e sse nti a lly the sa me a mou nt o f " fr e e " nic oti ne in i ts lc ula rly WI smoke as did the ea NSTON. . . . nicotine " I asing the pH kick," n addition to enhancing incre ) of smoke a bove about 6.0 c auses other asing (incre alkalinity ticularly chang rea se i n smoke pH i s achie ved by es, par when the inc ammonia to the blend. adding 509314122-4148 at 4125 (U S 20828*). 6. Te a g ue wr ote a " Con fi de nti a l" me mor a nd um, da te d F e br ua ry 2, 19 73 , ti tle d " Som e 96 rettes f hts Ab t Ne w Br an ds of Ciga u or the Youth Mar ket." I n this memorandum, Tea g ue o Thoug sted novice smoker s with "c on fi rm ed " smoke rs. He sta ted that while " pre- smokers" and contra sons ( arne start smoking for psy cholog ical rea rs" fitting in w ith the crowd, se "le e, bore dom lf-imag relief ), " once the ' lear ning' period is over , the phy sical ef fec ts become of overr iding importanc e and desirability to the confirme psy cholog ical ef fec t s , ex cept the te nsion-relieving d smoker, and the ect, lar ely wane in importance or disappea r." 502987357-7368 at 7359 (U S 21475). eff g I n an Aug ust 4, 1976 speech to RJ R's inter national division, Director of Resear ch, 967. y role of nic irmed the indispensable Murra otine, stating, " I n smoking the e ffe ct produc ed Senkus, aff to smoke is based is ascriba and "Without a ny question, the desire on the human body ble to nicotine" on the ef fec t of nicotine on the body ." 501525355- 5366 at 5356, 5358 (US 29531). 968. I n a RJ R Aug ust 1976 "Thr ee- Yea r Ac tion Pl an for New Pro d u ct s , " nicotine was descr a "tr aditional need," and "ve ry basic to the as cig are tte industry ' s exis tence ." 500672011- ibed 2172 at 2078-2105, 2107 (U S 20645). 96 9. .P. n a Se pte mbe r 2 1, 19 76 int e rn a l RJ R me mor a nd um f ro m John L . M c Ke nzie to A I the Ritchy titled "Product Char acte rization Definitions and I mplications," nicotine w as define d as " -378-

409 psy chophar ent in tobacc o which is one of the key fac tors in s at i s faction. . . ." macolog ical ag S 20630). 500380562-0564 at 0563 (U oti ov e mbe r 9 , 1 97 6 me mor a nd um o n n ic 0. ne c ir c ula te d a mon g RJR sc ie nti sts A N 97 v i ew ed t h e kn o wn p h y s i o l o gi ca l ef fe ct s o f n i co t i n e o n t h e b o d y an d ac k n o wl ed ged t h e c o m p an y 's re oing de ong hold stead y the nicotine conte nt of its ciga rettes while r educing tar. sire to incre ase or rch," also ack n owledg ed tolera nce to nicotine: " Habituated The memo, titled " Nicotine Resea h male and fema le, m etabolize nicotine m ore rapidly than non-smokers, indicating the smokers, bot d l y metabolic ac climation to nicotine." The memo contra dicted industry claims that smokers i bo otine only as a ma tter of " taste" : in-house studies conclude d that detec t ab le nicotine seek nic ta od uc e d th e ri ste de sc pr be d a s " fo ul, ro tte n r ub be r" a nd tha t " Ni c oti ne is d e fi nit e ly an ir ri tant in smoke and must be blended out or modified by other c onstituents in t he TPM to make smoke its taste eptable." 509078812-8820 at 8814-8815 ( acc US 85271). Nicotine Satisfac n a bruar y I 7, 1978 memorandum titled " Fe tion – Consum er Te st," 971. R rese arc hers C.L . Neumann and J .P. RJ son stated t hat the foc us of the consume r satisfac tion Dicker prog on nicotine, as it was " probably the most important satisfaction variab l e," and ram would be use nicotine ha d "know n phy siologica l activity ." 504479948- 9954 at 9549 (US 20729). beca 97 2. I n a no the r e xamp le , a F e br ua ry 5, 19 80 int e ro ff ic e me mor a nd um f ro m H.E. G ue ss R's Winston B Ciga stated the c duced le vel of nicotine i n RJ n that the re rettes would make them oncer less attrac tive to Wi nston smokers. 504675307-5307 (US 21549). 973. RJ R s ci en t i s t D.H. Piehl review ed the sc ientific literatur e on nicotine a nd maintenanc e of the smoking ha bit in a "Confidential" internal pa per f or the c ompany titled "Smoking ribed Be havior -- A Review." I n his paper, Piehl summarized with approva l many studies which desc -379-

410 the pre eminent importance e t o smokers, the va rious "ne ed" levels of nicotine, nic otine of nicoti n nd addiction. 504972347-2362 a nce, a depende t 2362 (US 50710). Sc ie nti sts a t RJR ha d kn ow n fo r y e a rs tha t mos t smo ke rs g e t " ho ok e d" a nd a re un a ble 97 4. ote a memor andum dated Dec ember 1, 1982 to Re sear ch and D evelopment Vic e to quit. Teag ue wr e sid nt R ob e rt Di Ma rc o in wh ic e e sta te d th a t RJR ne e de d to ta ilo r i ts m a rk e tin g to the re a lit y Pr h h have smoked for any signific ant time would like to stop," and most smokers that "most of those who ould stop using if they "w g ue also state d t h at R J R neede d to contemplate the f uture could." Tea e smokers w R w stop c an stop; if this ha ppened, he wrote, RJ rio wher ould "g o out scena ho want to fore omfortable ma R "c annot be c There rketing a produc t which most of our of business." , RJ could." 500898255-8257 at 8256 (U S 48652). consumers w ould do without if they document, wr An undated RJR 1984, titled "R& D Outline" listed "Nic otine 975. itten after ug " a s a topic for depar tmental discussion. The outl ine provided for a "disc ussion of a string as a dr ind tr y me mos a nd re po rt s, da tin g ba c k to a t lea st the us e a rl y 19 70 ' s, in wh ic h in du str of sc ie nti sts y and ex e c s s e e m t o a d mi t t o n ic o ti n e ' s q u a li ti e s a s a d r u g . " T h e d o c u me n t d e s c r ib e d s ever al examples, including a 1971 B& R report a nd a 1972 Philip Morris summ ary of W letter, a 1972 RJ ting of scientists. 522606315-6317 at 6316 (US 85273). a mee industry 7 6 . L i k e P h i l i p M o r r i s , R JR d o c u m e n t e d s 9 o k e r c o m p e n s a t i o n . A n A p r i l 1 5 , 1 9 8 3 R JR m dr a f t d o c u me n t t it le d " Sm o k e r Co mp e n s a ti o n Re v ie w " r e it e r a te d th e c o mp a n y ' s k n o w le d g e that smokers of low compensa ted t o obtain more nicotine, and that the FT C method tar/nicotine products mpact suring nicotine was f lawed. T he docume nt included the following in a sec tion tit led " I of mea gs": of K no wn C om pen sat ory Behav io r On Ci garett e R ank in -380-

411 B a re su lts of stu die s simil a r to t ho se su mma ri zed a bo ve , it se d on the “t has bee s mokers use the ir cig are ttes ar n stated that low -- ” - “ta o er s of hig her - than sm r” pr oducts. Diffe rent ently differ k a g e ” inc lud e s p ro pe ns ity to b “ k v e nts or oth e rw ise ma nip ula te us loc are asing the number o f puff s and the number of the cig tte, incre ffing ttes smok , p u are more fr equently or with larg er volumes cig ed li n g mo r e d e e p ly o r h o ld in g s mo k e in th e lu n g s lo n g e r. and inha g ns are consi s tent with the theory that low -- “ tar” e patter These usa m o k e r s s e e k t o m a i n t a i n a g i v e n n i c o t i n e l e v e l i n t h e b o d y, s e instance ardle tte. The p at t er n s cited ar are s which ss of the cig reg ase the “dosag e” of nicotine to the smoker. would tend to incre is sta te me nt re ve a ls bot h RJ R' s con tin uin g vie w of smo ke rs a s " nic oti ne se e ke rs " wh o a lte r t he ir Th essar ain the nec e" y "dosa g smoking method to obt of nicotine, a s well as its comprehe nsive understanding of the c 4514 at 4506 (US 85272). ompensation phenomenon. 501524500- o 7 I n anoth e r u n d a te d RJR d o c u me n t w r it te n s . me ti me a f te r 1 9 7 8 , a B io b e h a v io r al 9 7 rtment prese ntation titl ed " Biobe haviora Depa ," t h e speaker disc ussed how l Aspects of Smoking " int e na nc e " of the smo kin g ha bit fo r 8 0% of smo kers was re la te d to the ma tr a nq uil izin g e ff e c ts" " of nicotine. The speake r emphasized at points that "nic otine is the substance pe ople desire various in their use of toba cco," "a nimals will self-a dminist er nicotine in a labora tory setting," evidenc e that t remains that "smoke a constant level of nicotine in the body ," a nd that "the fac maintain rs smoke to smokers do not continue to smoke unless their cig are ttes contain nicotine." 517214547-4557 (US 87113*). 9 7 8 . Aft e r D r . B e n o w it z p u b li s h e d h is 1 9 8 3 g r o u n d b r e a k in g p a p e r o n c o mp e n s a tion by smokers of low nicotine y ield see Be nowitz WD, 67:10-18, RJ R scientist J ohn Robinson products, critique of the paper to Dr. Alan Rodg man in which he sta ted: wrote a The pa per itself e x presse s what we in Biobeha vioral have felt for quite some time. That is, smokers smo k e differe ntly than the F TC a certain level of nicotine machine a nd may very well s moke t o obtain -381-

412 in their bloodstream. I f a g n e i n t h e blood is the iven level of nicoti smoker, one wo l d p redict that he would smoke an oal of a u final g T [ f u l l f l a v o r t a r ] a n d U L T [ u l t r a l o F t a r ] c i g a r e t t e d i f f e r e n t l y. F w 510994429-4429 (US 85274). eno wi t z Robinson wrote that the B paper broug ht to mind a past industry study 979. ing G erma n Camel cig are ttes with Marlboro cig are ttes, wher e "smokers a ppare ntly obtained compar h t ac t l y t ex e same amount of nicotine no matter which of the four c iga rettes they smoked." almos ins on re c a lle d th a t th e stu dy " wa s o ne of the fi rs t ind ic a tio ns tha t sm ok e rs ma y in f a c t sm ok e to Rob rtain leve m." 510994429- 4429 (US 85274). l of nicotine in their bloodstrea obtain a ce I n prepa ration for an RJ R "b ra i nstorming se ssion" at the c ompany ' s Flavor and 980. iob si e ha vio r D ivi B on s, Don ald L . R ob ert s t ol d em pl oy ees i n an Oct ob er 13 , 1 98 3 m emo rand um th at, c " fu nc tio ns a c ig a re tte se rv e s a re ma ny fo ld i nv olv ing so e ia l, p sy c ho log ic a l a nd ph y sio log ic a l. Th A short def inition is that a cig are tte supplies nicotine to the consumer in a palatable and conve nient fo rm ." Rob e rt s c le a rl y distin g uis he d n ic oti ne fr om t a ste , s ta tin g tha t, " Th e c ig a re tte ' s ta ste is a rela tively it of smoking. I ts taste is pr imarily a delivery vehicle[.]" 503602711- unimportant benef 2714 at 2712 (US 85275). 981. I n a June 3, 1985 RJ R document titled "Repor t on Medical an d Scientific I ssues -- Addiction," the scientist authors attempted to examine cur rent scie ntific l i t er at u re to assist t he industry t to the s cientific consensus on nicotine addiction. As part of their re view, the with respec scientists reviewe d literature com p i l ed by the tobacc o law firms of Jacob, Meding er & Finneg an, Shook, Hardy & B acon , and Jones Day . The scie ntists wrote in their repor t that, "B oth Mr. ed, Wrobleski [ J acob, Me dinge r & Finneg an] and Mr. Sirridg e [Shook, Hardy & B acon] war n -382-

413 howeve r, that there littl e l i t er at ure f avora ble to the industry ' s position on addiction." is very S 30251). 515878492-8522 at 8494. (U 2 . RJ R's R& D d ep ar t m en t em b ar k ed o n a l ar ge- s ca l e n i co t i n e r es ea rc 8 prog ram in 1988, 9 h ibed in a leng October 7, 1988 projec t report titled " An I nteg rate d Resear ch Prog ram for the thy descr ts pur nd ts A nalog s." I I pose wa s to continue looking into the " pharma colog ical of Nicotine a Study te nc y ," " bio log ic a l a c tiv ity ," a nd c e ntr a l ne rv ou s sy ste po ff e c ts o f n ic oti ne a nd nic oti ne a na log s. m e Th re se a rc he rs po sit e d th a t: e k ty o w n a b o u t n ic o ti n e is th a t i t e li c it s th e What is p ical n a on qu c nc e s o f s y mpa tho a dr e na l a c tiv se tio n w he n a dmi nis te re d in e doses that produc e pla s m a concentra tions sim ilar to those ac hieved duri n g s mo k in g . A mo n g th e s e a r e ta c h y c a r d ia , in c r e a s e s in b lood pr e re , c a rd ia c ou tpu t, a nd str ok e vo lum e . . . . I n a dd iti on , th e re is ssu tic ir a mou nt of tol e a nc e ind uc e d wi th re g a rd to sy mp athe fa ra activation by hronic nicotine a dminist ration. smoking or c US 20862) 514894567-4676 at 4586-4587 ( . A May 3, 1991 RJ R Rese arc 983. and Deve lopment r eport descr ibed a t obacc o h modification and nicotine ma nipulation project code -name d the " RE S T Prog ram." One ke y objective of the Prog s to "I ndepende ntly control nicotine delivery , from ver y low to elevate d ram wa ss consumer wa s n d as a re levels, to addre ea rch tool." The ba sis for the Controlled Nicotine nts a f " Pr ss c omp on e nt o e RES T" wa s th a t oc We are basica lly in the ni cotine busi ness. I t is in t he best long term e eve interest for nd ef fe ct ively utiliz R to be able to control a ry RJ pound of nicotine we purcha se. Eff ective c ontrol of nicotine in our pr od uc ts s ho uld e qu a te to a sig nif ic a nt pr od uc t per fo rm a nc e a nd c os t advanta g e. S 20829). 509479574-9587 at 9577, 9584 (U -383-

414 984. Acco n g to the Wall S tree t J ournal, for mer RJ R Nabisco CEO F . Ross J ohnson rd i hy a 1994 intervie ' s addictive. Tha t's w Of course it y ou smoke the admitted during w that, " candidly tree t J ournal, B ig Spende r F inds a Ne w P l ace to Spend, October 6, 1994. stuff." Wall S WAS0491982-1985 (US 61440). I ndum titl ed " E CL I PS E T a s n a 1998 memora a n d Sa ti s fac tion I mprovements," D.E. 985. te wn se nd sta te d th a t R& D s ta ff s w e re " e nc ou rag ed to pu rs ue dil ig e ntl y Ec lip se de sig ns wi th To ase c ased ield in a n eff ort, in part, to incre y onsumer ac cepta nce of the produc t." He nicotine incre te r a dd e d: " I f i nc re a se d n ic oti ne y ie ld h e lps g ive imp ro ve d c on sume r a c c e pta nc e in t he ma rk e t, la 526013569-3569 its his potentially reduc ed risk product would be g rea ter." of t then possible benef S 85277). (US 85276); 700245849-5849 (U 986. I n an Aug ust 10, 1985 memorandum titled “Smoking and H ealth L itigation, Ta ctical t J R’s lawy ers a ones Da Proposals,” RJ y rec og nized that their client had long since a cknowledg ed the a ic tiv e ne ss o f n ic oti ne a nd smoki ng . 6 80 71 22 61 -2 33 7 a t 23 08 (U S 87 11 4) . T he y a lso dd se a e d th ob t: rv ddiction" ha s rec y rese arc h attention. eived little industr "A industry documents support the c ontention that rtheless, many Neve are ty pes of pe rsons whose psy cholog there ile and smoking ical prof behavior i s such that they have g rea t difficulty in quitti . For ng example, documents descr ibe a B ritish America n Tobac co Company sp on so red c on fere n ce i n 1 97 8, att end ed b y P M an d B&W ence repr One of the findi ng s of the c onfer tives. was: " Serious esenta smokers smoke to pre vent wit hdraw al sy mptoms. Another study wh ic h D r. Pie hl ( RJRT) cit e s r e c og nize s " a dd ic tiv e " smo ke rs : out of "People it unbe ara ble to r un find cig are ttes are descr ibed who as usi ng addictive- ty pe sm oking." The indust ry has also re cog nized tes that some smokers, espe smokers of hig h nicotine cig are t cially "c ompensate" or re g ulate nicotine intake if it is lowered in individual ttes. cig are -384-

415 681879254-9715 at 9302-9303 ( US 21020). a I sa m e Jo n e s D a y m e m o r a n d um, the e uth or s p ro vid e e xamp le s f ro m D e fe nd a nts ' 7. n th 98 ompanies (with empha sis on RJ R) and their e mploy ees a files wher h e p ri macy of e the c dmit t oti o cigar e tte s a nd the a dd ic tiv e ne ss o r d e pe nd ne t nc e -p ro du c ing qu a lit y of the ir pr od uc ts. nic e (US 21020). 681879254-9715 at 9601-9643 BATCo c. 8 8 . M an y d o cu m en t s d i s cl o s e th at BA T C o h ad an i n t i m at e u n d er s t an d i 9 g o f n i co t i n e's n lon le sm ok ing , a s w e ll a s it s e ff e c ts o n s mok e rs in g be fo re the me dic a l a nd pu bli c he a lth ro un omm re ity c a c he d a sim ila r l e ve l of so ph ist ic a tio n. Mo re ov e r, ma ny B AT Co d oc ume nts dis c los e how B ATCo and other endants, in par tic u l ar B&W , used B ATCo' s knowledg e of nic otine for Def ial g commerc ain. BA TCo knew that nicotine wa s an esse ntial component of cig are ttes as ea 989. as the rly 1950s. A J une 1959 B ATCo internal doc ument pointed out that the company must cons ider " the qu e sti on of nic oti ne a nd its e ff e c t on the smo ke r. " Th e a uth or sta te d th a t th e c omp a ny ha d to c ho os e betwee n maintaining c nt nicotine content "in order to maintain the firmly entre nched nic otine urre d by the majority of smokers," o r reducing the nicotine conte nt to meet consumer habit develope de ma nd fo r l ow e r n ic oti ne pr od uc ts. Ho we ve r, the wr ite r c a uti on e d th a t To lower nic otine t nd up destroy ing the nicotine oo much might e habit a larg e number of consumer s and pre vent it from eve r being in . c qu ir e d b y ne w s mok e rs a field WD, 88:21-89:10. 100099115-9117 at 9117 (U S 20112); Henning -385-

416 9 9 I n a Nov e mb e r 1 5 , 1 9 6 1 me mo r a n d u m r e v ie w in g s e c r e t n ic o ti n e r e s e a r c h a nd 0 . tor pmen oje c ts, elo Cha rl e s E lli s, sc ie nti fi c a dv iso r t o th e B AT B oa rd of Di re c t pr s, dev Sir c ow le dg e d B AT Co' s u nd e rs ta kn ing tha t ni c oti ne is a dd ic tiv e : a nd x p er i m en t s o f Hi p p o h av e le d t o a gre at i n cr ea s e i n o u r k n o wl ed ge E demonstrably ffe . . Smoking . is a habit based cts of nicotine. of the e a c omb ina tio n o f ps y c ho log ic a l a nd ph y sio log ic a l pl e a su re , a nd it on I lso s st ro ng ind ic a tio ns of bei ng an a dd ic tio n. ha t di ff e rs in a k tures fr h er al om addiction to ot aloid drug s, but y et important fea s are sufficie n t m i there ilarities to justi fy stating tha t smokers are nicotine addicts. 301083862-3865 at 3863 (U S 20577). in 1. e sa me 19 61 int e rn a l do c ume nt rev iew in g BATCo 's sec ret ni cot n th e res earc h, El lis 99 I o p an y 's need to de m x actly what made smoking a nd nicotine addictive: emphasized the c termine e f the c omp I tit ion is to be me t su c c e ssf ull y , it mus t be imp or ta nt t o e know how the tra ing a nd stimul ating eff ects of nic otine are nquiliz u ce d and the r elation of a ddiction to the daily nicotine intake. prod re the rea sons for proposing that Project Hippo be continued These a wi th t he pa rt ic ula r o bje c t of fi nd ing the c a us e s o f t he ple a su ra ble phy siologica cts and the c auses of addiction. l effe S 20577). 301083862-3865 at 3863 (U as F ebrua ry 13, 1962, Sir Charles Ellis provided an ove rview of the 992. As early ' ch progr am i n a " Private and Confide ntial" memor andum titled company s massive nicotine resear he Eff ects of Smoking ." E "T m that BA TCo resea rch into the llis recited in his memorandu "phy l and psy cholog ical ef fe cts siologica being conducte d by Ba ttelle L abora tories of smoking" be g a n in 19 59 , a nd was carri ed out i n th e int e rv e nin g y e a rs un de r v a ri ou s p ro je c t " c od e na me s" I including " ER I ," "MAD HATTER I I ," "MAD HATTER I MAD HATT I ," " HI PPO I ," " HI PPO I I ," 3835 at 3820-3824 (JE 46579). and " ARI EL ." 301083820- -386-

417 993. I y 13, 1 9 6 2 m em orandum, Ellis devoted a leng thy section to the n the Fe bruar of the c commerc s nicotine rese arc h objectives. He explained that the rea son ompany ial importance ' and " PPO" re sear ch proje cts was " to understand HATTER" HI BA TCo commissioned the "MAD streng th and vulnera bility of our position." Ellis wrote furthe addiction . . . [and to] appre ciate the r ta in d e il: the ce of ng th of addiction is not such r, the for Howeve habit or the stre v e any g rounds for c omplacenc y in the fac e of a as to g i lternative to meet stress, and tha is just where methods of stimulating the body t ila ng r l ie s si nc e a lte rn a tiv e s a re be c omi ng da va e ble . I n th e la st the a y s there ha s been a quite ear rkable incre ase in the pr oduction few rema f t ra n q u i l l i s e r d ru gs , an d wh i l e m o s t o f t h es e n ee d a d o ct o r's o ription there is presc one on fr ee sa le in Switz erla nd (L ibrium alre ady ru by Hof fm an L a Roc he de I f s uc h d g s b e c ome mor e fr e e ly ma ). v a il a b le th e y w il l c o mp e te w it h n ic o ti n e , w h ic h is a natura l a kin a uil lis e r, a nd wi ll l e a ve smo nq g pr im arily de pe nd e nt o n it s tr e y c ho log ic a l e ff e c ts f or the ma int nc na ps e of the ha bit . Wha t w ne e d to know a bo ve a ll thin g s is wh a t con sti tut e s th e ho ld e t is, to understand addiction. . . . of smoking, tha rea sons fo r t h e st udy of the phy siologica l effe cts of These a re the TE ne a rr ie oti e r t he MA D H AT c R a nd HI PPO c on tr a c ts, nic d out und have suf ficient for ce a lone to justify this ex penditure. . . . and they J 301083820-3835 at 3826-3827 ( E 46579). 9 4 . E l l i s d es cr i b ed i n an o t h er s ec t i 9 n o f h i s m em o ra n d u m t h e o u t co m e o f B AT C o 's o e ff or ts t o le a rn a bo ut nic oti ne a nd its ro le in s mok ing . H e fu rt he r d e lin e a te d s ome of the c on c re te ache conclusion h ich the B ATCo rese arc h had re w d, reiter ating unequivoca lly that BA TCo believed s nic oti ne wa s a dd ic tiv e a nd e xpla ini ng g ra ph ic a lly the re la tio ns hip of the re se a rc h to a dd ic tio n: es As a re s u l t o f t h es e va ri o u s re s ea rc h we n o w p o s s es s a k n o wl ed ge of the e ffe cts of nicotine f ar more extensive than exi sts in publi shed esents so much scientific litera ture. I t is indeed so extensive and repr -387-

418 ne w t ht t ha t it is n ot e a sy to c on de ns e the ma te ri a l of the se ho ug ports and wor pers without over -simplification. al re king pa sever ti n e , h o w e v e r a d mi n is te r e d , r a p id ly g e ts in to th e b lo Nic d s tr e am o o l m p h sy stem, and once there has a numbe r of va ried and the y y ct is that of mobilisi the most important effe ects. . . . B ng the eff far re the body ces of s t to resis s s. That this occurs ha s been resour t ow n f ro m th e e a rl ie st da y s of smo kin g bu t no e xpla na tio n e xists in kn . the published literature [L abora tories] have now c arr ied out Ba ttelle inning t nters into the e beg o show how nicotine e experiments which ar tal rea ction. . . . mecha nism of this vi ress occurs a lmost i mmediately on t The stimulation to resist s io n o f n ic o ti n e , a n d th e e f f e c t - - th a t i s , th e e xtr a s u p p ly of absorpt oids in the blood -- falls off cortico ster l y within a matter of marke d minutes. is something quite diffe Addiction rent fr om this si nce thirty ving f or nicotine in a c onfirmed smoker t the cra it is well known tha o s top s sm ok ing pe rs ist s f or te n, tw e nty or thi rt y da y s. wh have found possible rea tion in two sons for addic We believe that we nomena that a ccompa ny steady absorption of nicotine. other phe J E 46579). 301083820-3835 at 3828-3829 ( 995. The two a dditional "phenome na" that Ellis refer red to in h i s Februar y 1962 me mor nd um w e re re sp on sib le fo r n ic oti ne a dd ic tio n w e re tol e ra nc e a nd wi thd ra wa l: a rr ri ha ve so fa r o nly be e n c a nts ie d o ut w ith ra ts, bu t w ith Expe me e it is found that certa in rats bec ome tolera nt to repea ted doses thes afte a while show the usual nicotine rea ctions but only and on a ver y r hed s ca l e. The intere sting point is that these tolera nt or diminis onditioned r ats are found to have a g rea nicotine-c enhanc ed powe r tly of detoxification of nicotine in liver. Crudely put, the their can sta nd y up to high c ontinuous doses of nicotine just beca use their liver has develope d the ability to dispose of it more ra pidly and ef ficiently . . . . As long as the smoker n o rm al reg ime and the nicotine keeps to his h there a st eady job for these [l iver] level in his blood remains hig is nzy me s, a nd the wh ole sit e tio n is no rm a l a nd un de r c on tr ol. B ut i f ua no w t he smo ke r s top s sm ok ing a nd the re is no lon g e r nic oti ne in h is s w blo the n in the liv e r t he re is this su pp ly of e nzy me od ith no thi ng to n work on. I t, they proce ed to work o n fac o t h er ma terial pa ssing s working throug h the liver, with c onsequent disturbance of the body ' -388-

419 a nd ll s or ts o f a la rm sig na ls se nt ba c k to t he br a in. Th e e ff e c ts wi th a k nzy n l i u e unbalanced nic otine, and the nced e mes is not of unbala ta ini ng smo ke r e xpe ri e nc e s p hy sio log ic a l r e a c tio ns a as a c ute a s a bs rts smoking. When to thi one adds the longing for novice who sta s to stress t hat comes from smoking timulation resist that immediate s tte it would appear t a cig at we are making prog ress towa rds are h addiction. . . . understanding s w e h a v e a lr e a d y g r e a tl y in c r e a s e d o u r k n o w le d g e o f the Thu s hich nicotine aff ects the body and, in par ticular, in w manifold way ve ide nti fi e d a nd stu die d se pa ra te ly the str e ss r e sis tin g me c ha nis m ha eff which we believe is re sponsible for ect on the liver and the other addiction. 301083820-3835 at 3829-3830 ( J E 46579). I n the final sec tion of his p ap er, Ellis discussed some par ticulars of the nicotine 996. nd "PROJEC ts code-na med " PROJ ECT HI PPO I I " a at T ARI EL ." H e st projec ed t h at the sec ret "phy siologica l" PR OJ ECT HI PPO rese arc h "should lea d to an under standing of the l and biochemica nism which cre addiction" and conf irm that "a ddiction depende d on the enzy mes involved mecha ates he me ta bo lis m of nic oti ne in t he li ver ." 30 10 83 82 0- 38 35 a t 38 32 (JE 4 65 79 ). Whil e B AT Co in t mit no bmi t th is w or k to the 19 64 Sur g e on Ge ne ral’s Adv isor y Com t su te e , s ome B a tte lle did rese h, on depende nce to nicotine de vel o arc i n g in stressed but not unstressed r ats, was submitted p a nd c ite d in the 19 64 Re po rt . ( no ba te s) ( J D 03 20 48 ); ( no ba te s) (U S 64 59 1 a t 12 5) . Se e a lso Section V(B )(5) . (f) "PROJEC livery EL " w as a secre t project to deve lop an alter native nicotine de 997. T ARI rr device in g ca k that Ellis believed was be i ed out at the America n Tobac co to compete with wor Com pa ny a nd RJR. El lis ld a lso jus tif ie d the pr oje c t with his c on c e rn tha t th e " dr ug ind us tr y " c ou inal "a t any time attempt to invade the cig are tte smoke field by alterna tive drug s." He stated that the f -389-

420 product " must have within it the ulti ting the psy cholog ical dema nds of mate possibiliti es of mee siologica 301083820-3835 at 3833-3835 ( J E 46579). ll as the phy l ones." smokers as we oncluding section of Ellis' memorandum re vealed t h e h i 998. h level of se cre cy The c g orded the ' s nicotine rese arc h: company acc I CY. URE POL FUT o r g o o d r e a s o n s t h e r e s u l t s o f B a t t e l l e ' s w o r k h a v e b e e n k e p t a t a F vel of sec high le , b u t t h ey are now building up to such a y rec n of nicotine that I of the t i o ac sug g est they hensive picture compre ou ld s oo n b e ma de a va ila ble in de ta il to a fe w o f o ur top sc ie nti sts . sh 301083820-3835 at 3835 (JE 46579). ad reac rly as 1962, BAT h Thus, as ea hed the inter nal cor porate conclusion that 999. ro kin g wa s a n a dd ic tio n p du smo c e d b y nic oti ne , a nd me t the re qu isi te c ri te ri a in t e rm s o f c ra vin g s, compulsive use, phy siologica cts on the body , toleranc e, and withdrawa l. I n a paper prese nted l effe d by AT conf in Southampton, Eng land, attende nce B& W represe ntatives, Sir Charles to a 1962 B ere stated that " smoking is a ha bit of addiction." Ellis's pre sentation was pr ece ded by an Ellis openly h f BAT, A.D. Mc rm an o introduction from the c Cormick. The substanc e of the confe renc e wa s ai olicy ence included in a BAT confer t titled, "Smoking and Health - P on Resear ch," produce d repor from B &W files. 650344433-4493 ( US 53468). 1000. McCormick told attendee s at the 1962 conf ere nce tha t the "be st way to deal with the individual company [sm health] ma tter was on an industry rathe r than an and level." He then oking introduced Ellis. I tion, Elli s stated: n his presenta Smoking is a habit of a b l e; many people, ddiction that is pleasura the re fo re t ind the mse lve s su b- c on s c i o u s l y p r e p a r e d to be lie ve it m us , f . be wr ong -390-

421 650344433-4493 at 4439 (U S 53468). d: 1001. Ellis later adde ns su th e re c e nt p ub lic dis c e sio lt of on smo kin g a nd he a lth re On us ha ve be e n to ma ke e mus c h of us e xami ne wh e the r smo kin g is j us t t a ny t is my conviction a habit of addiction or has a positive benefits. I icent very benef rema drug that both helps the that nicotine is a rkable to resist ext erna l stress and also c an as a re s u l t s h o w a body d tranquillising ef t. . . . Nicotine is not only a ver y fine fec pronounce g , b u t th e te c h n iq u e s o f a d mi n is tr a ti o n b y s mo k in g has dru a on e ra ble ps y c ho log ic a l a dv a nta g e s sid nd a bu ilt -i n c on tr ol a g a ins t c excessive absorption. 110070785-0842 (US 20270); 650344433-4493 a t 4450-51 (US 53468). s 0 0 2 . I n J anuary 1 9 6 2 , Ba t t el l e s ci en t i s t wo 1 rk i n g fo r B AT C o s u b m i t t ed t h ei r " Fi nal Report on Project PPO I ." The purposes of the projec t w ere to study : ( 1) the action of nicot i n e i n t he HI e of nic h anis m; (2) the possible interfe renc ec otine in the "stre ss" mec hanism; (3) the diuresis m ng eff ect of nicotine on body weig ht; and (4 ) t h e p o s s ible activity of nicotine on other inhibiti pothalamic func question: t stated in the introduction the working hy "I t i s an tions. The repor y tte helps mastering experience to eac h smoker that smoking a cig are ever the numerous stre ssful day ake one i of modern life ct is probably one of the most powerful re asons which m stimul . This effe smoke. How doe s nicotine exert this action? " 105620620- 0683 at 0622-0625 (U S 20247). 10 03 . Th e " HI PPO I " re se a rc he rs c on c lud e d th a t: t of F ll o ur da ta it s e e ms t ha t th e e ff e c m a nic oti ne in t he "st res s ro rea ction" is a very promi n ent and very complicated one . The understanding and thoroug h investiga tion of this e ffe ct seems of the very g a te st i mpo rt a nc e : it is b y th is re eff e c t th a t ni c oti ne a c ts a s a "tr anquilliser." S 20247). 105620620-0683 at 0683 (U -391-

422 1004. At about this same time, Ba 3, 1962 rese arch proposal ttelle draf ted a January "Proje reg or B ATCo in L ondon. Acc ording to the proposal, t h e propose d new ct Arie l" f arding "a voiding the w ell-known disadva ntag es inhere nt cotine while smoking device would administer ni act ual ciga re tte smo kin g ," bu t it ne e de d to re se mbl e a in a c c o s mok ing pr od uc t " to a vo id tob renc islation in fo rc e ab out drug s," a nd "it should also cr eate addiction in the interfe e with the leg 100335808-5816 at 5811, 5814 (U S 20173). same re lative amounts." arc hout the 1960s, BAT to disc uss a Throug rese Co continued h the Arie l product 1005. nd wa s k n o wn simply as a nic otine delivery device that would allow the smoker to " obtain a that ing dose satisfy ny of the harmful eff ects fr om smoke. 100335894-5918 at 5897 of nicotine" without a (US 20174). to By 19 64 , BAT Co 10 dev elo ped th e pro . ty pe o f Ari el w hi c h al lo wed for "a 06 had sonably even r elea se of nicotine" for the smoke r. 100175613-5617 a t 5616 (US 20115). rea ch 1963 study BA continued it s Project HI PPO for severa l y ear s. I n a Mar TCo titled 1007. lbach and inal Report on Project HI I ," sc ientists C .H. Kase PPO I O. L ibert reported the r esults of "F their sophisticated c omparison of nicotine to t ra n q u i l i zers, a compa rison that built on the earlier fi nd s o f H I PPO I . T he ir re po rt to B AT Co s ta te d a t th e ou tse t th a t: ing im of the whole re ch " HI PPO" was to unde rstand some of The a sear a c ti v it ie s o f n ic o ti n e the - th o s e a c ti v it ie s th a t c o u ld e xp lain why - c ig a re tte smo ke rs a re so fo nd of the ir ha bit . I t wa s a lso ou r p ur po se to compare these e cts with those of the ne w drug s called ffe anquilliz which mig ht superce de tobac co in the "tr near future. . . . ers," asons for the "ple asure of smoking" must be found pa rtly in the The re re lie f o f a nxie ty tha t c ig a re tte sm oking br ing s so c on sta ntl y , a nd in such a ve ry short time. S 20246). 105620569-0605 at 0572 (U -392-

423 10 08 L a te r i n th e " F ina l Re po rt on P roj ect HI PPO I I ," the re se a rc he rs re ve a le d th e ir . s b on ion tha t wh ile nic oti ne dif fe rs in so me re sp e c ts fr om tr a nq uil ize rs , nic oti ne c a us e lus oth c c e and a ddictive: toleranc ddiction, and is in fact a g of t he re lationship with t ime of nicotine ative investi ation A quantit nd of so me po ssi ble br a -- e dia tor s - - o n a dr e no -c or tic otr op ic a in m could g ive us the key to the explanation of both phenomena activity nce a tion, in showing the sy mp t o m s of of tolera nd of addic thd ra wa l. wi S 20246). 105620569-0605 at 0575 (U obtained a c lear understanding of the funda mental issue that nicotine wa s 1009. Having rese ctual mec hers tar g eted a nd soug ht to understand the a ATCo hanism of addiction. addictive, B arc Tentative Hy 30, 1963 t titled "A n a May pothesis on Nicotine Addiction," Dr. G. Haselba ch I repor . O. L i b ert, scie ntists performing work for BA TCo, discussed nicotine' s ability to produce and Dr a e tol e a nd po stu la te d a so ph ist ic a te d e xpla na tio n f or nic oti ne ra dd ic tio n: nc The hy stimul ation of nicotine is the bene ficial pothalamo-pituitary nism which makes people s, nicotine o rd mecha smoke; in other w ope with stress. I helps people c i n n i ng of nicotine n the beg consumption, rela tively small doses can perf orm the desired action. Chronic intake nicotine tends to restore the normal phy siologica l of sin nc g of the e nd oc ri ne sy ste m, s o th a t e ve r- increa nin g do se fu tio of are nece ssary nicotine intain the desired action. Unlike levels to ma e r d op ing s, su c h a s mor ph ine , oth de ma nd fo r i nc re a sin g le ve ls i s the rela slow for nicotine. tively he n a hr on ic smok er the n or ma l e qu ili br I in t c c or tic otr op in ium rele asing s y s t em can be maintained only by continuous nicotine int a ke . . . . I f n ic oti ne int a ke , h ow e ve r, is p ro hib ite d to the c hr on ic mus smo , th e c or tic otr op in- re lea si ng a bil ity of the hy po tha la rs is ke g tly reduc ed, so that these indi viduals are rea left wit h an unbala nced endocr ine sy stem. A body left in this unbalance d status cra ves for re ne we d d ru g int a ke in or de r to re sto re the ph y sio log ic a l e qu ili br ium . th Th nc on sc iou s d e sir e e xpla ins is u e a dd ic tio n o f t he ind ivi du a l to nicotine. . . . -393-

424 I n conclusion, a te x planat i o n of nicotine ntative hy pothesis for the e an unconscious restore the normal desire to addiction would be that of l equilibri u m o f t he cor ticotropin-re leasing sy stem in a phy siologica body i ch the nor mal functioning of the sy stem has bee n wh in chronic intake of nic otine. kened by wea 536480912-0914 at 0912, 0914 (U S 20928). 0 1 0 . I n a 1 9 6 3 r e s e a r c h r e p o r t t i t l e d " T h e F a t e o f N i c o t i n e i n t h e B od y ," B AT Co 1 colog arc d their conclusions as to nic otine pharma eporte y and mec hanisms of toleranc e and hers r rese n . T h e s c ie n ti s ts e mp h a s iz e d th a t n ic o ti n e w a s a k e y p a r t o f " to b a c c o h a b it u a ti o n and/or addictio and that the tobac should fo cu s co industry its future re sear addiction" ffe cts of nicotine ch on the e in t he bo die s o f s mok e rs : Th e is i nc re a sing evide nc e tha t ni c oti ne is t he ke y fa c tor in re te r ll in g , th r o u g h th e c e n tr a cont n e r v o u s s y s o m, a n u mb e r of l benef fec ts of tobacc o s m o k e, including its ac tion in the icial ef prese nce of I n addition, the alkaloid appe ars to be stress situations. intimately t ed with the phenomenon of tobacc o habituation connec (tolera nce) and/or a ddiction. Detailed knowle dg e of the se ef fec ts of nicotine in the body of smokers is there of vital importance to the fore o industry , not only tion with their present standa rd tobacc in connec e potential uses of tobacc o products, but also with reg ard to futur lka loi ds a . 501012199-2255 at 2202 (U S 21562). BA TCo also participate d in the nicotine 1011. s earch c arr ied out at the Hunting ton re Resear ch Centre in Huntington, Eng land. A scie ntific study prepa red by Hun t i ng ton for either undated BA I mperial Tobac co is de scribed in a n repor t f rom the late 1960s titled " Effe cts of TCo or Nicotine on Elec trocortica l Activity and Ac ety lcholine Relea se fr om the Cerebr al Cortex of the the Squirrel Monkey n this report, re sear cher s stated at ." I outset that, "T he habitual use of toba cco cotine on the may be related to numerous factors amongst which the pharmacolog ical effec ts of ni -394-

425 centr al ner ure dominantly ." T he re port then w en t o n t o d escr ibe the complex and vous sy stem fig fec ains, ace ty lcholine rele ase in a nimal br ant ef and stated that "T he doses signific ts of nicotine on x e base used in these e d on the re ported smoking dose." 680050472-0485 of nicotine periments ar (US 53985). untington in-de pth study focusing 1012. on nicotine' s drug -like Another " Confidential" H ff e c ts o n th e pr ima te br a in w a s ti tle d " Ef fe c ts o f N ic oti ne on the Ce ntr a l Ne rv ou s Sy ste m." Th is e dy dd re sse d to I mpe ri a l T ob a c c o, a nd a c op y s a wa s fo rw a rd e d to B AT Co. Th e a uth or s o f t his wa stu explained the t ests they planned to conduct to understand how nicotine a ffe cts " phy siologica l study nd descr sses and be l functions of the c entra l n er v o u s sy stem of the primate " a havioura ibed proce results 680050504-0521 (U S 53986). some preliminary BA TCo was also provide d nicotine re sear ch funde d by its Australian aff iliate, 1013. BA TAS. For e x ample, B ATCo had knowledg e of a 1970 Univer sity of Melbourne study titled "The Absorption and Eff ects of N I nhaled Toba cco Smoke." The Austra lian study prog ram icotine from o otine blood levels and phy cts, the t ransf er of nicotine t l effe the blood, and the assessed nic siologica US 53987). absorption of nicotine in the mouth. 680050575-0589 ( 14 . B AT Co s c ie nti sts un de rs too d th a t th e a dd ic tiv 10 imp a c t a nd po te nti a l of nic oti ne is e enhanc the spee d at which, a nd form in which, it re ache s the b ra ed by n . An August 7, 1964 i me m o r a n d u m f r o m H . D . A n d e r s o n , V i c e P r e s i d e n t o f R e s e a r c h a n d D e v e l o p m e n t , t o B AT Co President, Sir Richard P. Dobson, the enhanc ement of nic otine "kic k" thr oug h the addition discussed of potassium car bonate to tobac co: There seems no doubt that the " kick" o f a ci gare tte is due to the s and conce ntration of nicotine in the b l o od-strea m which it achieve -395-

426 this is a product of the of nicotine in the smoke a nd the spee d quantity tr a fe r o f t ha t ni c oti ne fr om t he smo ke to t he blo od -s tr e a m. of ns in the s n two forms as fre e nicotine base (think of Nicotine is moke i k ) a a s a nic oti ne nia sa lt (t hin nd of a mmo niu m c hlo ri de ) a nd it mmo a rtain that the fre e nicotine base is absorbed f aster into the is a lmost ce nt, -s e od m. Th us the e ff e c t of thi s p ota ssi um c a rb on a te tr e a tme tr blo a h it does reduc of nicotine in the smoke, even thoug e the total quantity nce ft until it eff ect of what is le be to enha is equal or may be the may ter in phy siologica l effe ct than in the orig inal smoke. rea g 100059066-9067 at 9067 (U S 20102). 15 . A 1 96 6 in te rn a l to ba c c 10 du str y re po rt iss ue d by B AT Co s c ie nti st I .W. Hu g he s a lso o in emphasized that the ef wer e a f unction of the spee d at which fects of nicotine on the human body oti ne a c he s th e br a in a nd the fo rm it t a ke s: nic re r r ou pp e t w r t ha t in c re ased smo ke ld a e sp on se is a sso c ia te d w ith I a aching the bra in more quickly . . . . On t his basis, it appear s nicotine re sonable to assume tha t the incre ased r esponse of a smoker to the rea her a mount of ext table nicotine may be either smoke with a hig rac nt eac use the nicotine r in a differe hes the bra chemica l form or beca in e c a u s e i t r b a c h e s t h e b r a i n m o r e q u i c k l y. e 00039304-9490 at 9306, 9310 (U S 34187). 10 16 I n a Ma rc h 2 , 1 96 7 me mor a nd um f ro m BA TCo Chi e f Sci e nti st S. J. Gr e e n to De pu ty . ir sp n D e smo nd Ho bs on , Gr e e n bro a dly e va lua te d BA TCo sc ie nti fi c re se a rc h. With re Cha e c t to ma i ed t i n e, h e r ep o rt n t h e f o l l o wi n g: co g k o e ps y c ho ph a rm Wor c olo g y a nd pharm a c olo n th y of nic oti ne is a acc ating . There i s eler o w no doubt that nicotine play s a larg e par t n in t he a c tio n o f s mok ing fo r m a ny smo ke rs . I t ma y be us e fu l, o th r e f o r e , t o l o o k a t t h e t o b a c c o i n d u s t r y a s i f f o r a l a r g e p a r t e f its business is the administrati linical sense) . . . . on of nicotine (in the c T h e ma in o b je c ti v e o f o u r r e s e a r c h is to ma k e th e a d mi n is tr a ti o n of nicotine better by . . . making the administration pleasa nter or more nt. convenie -396-

427 WAS0433494-3500 at 3497 (US 86690). 1017. ch 20, 1967 document titled "F irst Meeting with U.S. Com pany L awy ers," I n a Mar ae, Tobacc R.M. tor and B ATCo employ ee, r eca lled that at o Resear Macr ch Council assistant direc from the United Kingdom made 1967 repr esenta tives , the point that "the ma jor h 8, the Marc meeting the U.K. indust ry believes tha t nicotine content of c iga section i rea tly lowere d n rettes should not be g acc e is to be maintained." 301080659-0662 at 0661 (U S 22896). if consumer eptanc nce" n fac onsumer ac I p ta t, "c was tied to addic tion, a word that c ompany executives 1018. ce ctors continued to use internally to de scribe the nece ssity of nicotine to smokers. Ac cording and dire ve e rep or t of the Oc tob e r 1 96 7 B AT Co ( Gr ou p) Re se a rc h a nd De th lop me nt C on fe re nc e in to " w of the c ' s rese arc h "a ssumptions ompany as that, " [t ]here is a mi nimum necessar y Montreal, one rm ve l of nic oti ne . Smo kin g is a ha bit a ttr ibu ta ble to nic oti ne . Th e fo oti of nic le ne a ff e c ts t he ra te of absor ption by And later in the confe renc e re port, th e B ATCo R&D de partment the smoker." a te fo llo wi ng a s r e se e rc h o bje c tiv e s: sta d th h e d e v elopm e n t o T lo w T . P. M . [t o ta l p a r ti c u la te ma tt e r , o r ta r ], f normal nicotine c iga rettes should continue. I n t h i s connection, the use of f ilter ad i t i v es . . . might be he lpful since it might re nder the d vailable to the smoker . nicotine more a velopment of a low T.P.M., low nicotine cig tte should be The de are quest ion of the leve expanded. This raises the l of nicotine require d. . . . 100051950-1963 at 1952, 1957 (U S 85279). 1 0 1 9 . The B ATCo R&D Confere n ce re p o rt al s o ac k n o wl ed ged t hat the depa rtment' s g ener al objectives include ] t he continuation of the industry d "insur[ing and the prosper ity of the c ompany hus, even the within the industry ," an d "sustaining and incr easing the profits of the c ompany ." T -397-

428 scientists realized and a cce e l i n k betwee n nicotine and the f uture of both the c ompany and pted t h S 85279). . 100051950-1963 at 1955 (U the industry . Th e min ute s o f a BAT Gro up Re se a rc h Co nf e re nc e he ld a t H ilt on He a d, Sou th 20 10 1968, The confer orded simi lar statements. September 24-30, ence g roup, which Carolina, from rec d th e e pr e se nta tiv e s o f B lud W as we ll, no te d r a t: inc & n its pre- eminent i mportance view of the pharmacolog y of nicotine I , ou ld c on tin ue to b e ke pt u nd e r r e vie w a nd a tte nti on sh ou ld b e pa id sh of other substanc to the possible discovery the desire d es poss essing ain stimulation and lief wit hout direc t eff ects on tures of br stress-re fea sy the circ e p o s s i bility that nicotine and other ulatory stem. Th bs ta nc e s to g e the r m a y e xer t e ff e c ts l a rg e r t han ei the r s e pa ra te ly su nerg (sy essar y the attention of the ism) should be studied and i f nec partments should be dra wn to these possibiliti es. Marke ting De S 54206). 682633150-3156 at 3152 (U ce The re nition of nicotine' s singular importan cog in smoking wa s the basis for a n 1021. o 1969 BA TCo report titled " Future Work on Nicotine and C o m p October u n ds Wi th Related Pharmac ology h J .G. Under wood detailed company eff orts to searc h for c ompounds that ," in whic c ologic ts sought by smokers with few er tox i fec p roper ties, and would mimic the pharmac al ef re sa w t ha t qu e sti on s mi g ht b e ra ise d a bo ut t he he fo lth e ff e c ts o f n ic oti ne . T he int ro du c tio n s ta te s: a At the phy siologica l level t h e major part of the sa tisfaction of smo kin g is d e ri ve d f ro m ni c oti ne a nd the fi rs t se c tio n of thi s n ote is conce rned w ising nicotine usa g e, incre asing the deliver y of ith optim ing kin mixtu re s def ic ie nt i n n ic oti smo , a nd a tte mpt g to a nti c ipa te ne some " problems that may arise w ith change s health" in curre nt prac tices. At prese nt the cig are tte industry depends on nicotine as the principal ph rm a c olo g ic a l a g e nt i n c on fi rm ing the smo kin g a ha bit . Thi s c ou ld be d erous c ommercia lly , since it may well be that leg al ang ttes if the tions are imposed on the nicotine deliver y of cig are restric -term medical evidence shows bey ond rea sonable doubt that the long -398-

429 e ff ts o f nic oti ne a re ha rm fu l. T he ind us tr y is f a r m or e vu lne ra ble e c a r s t r i c t i o n s o n t h e u s e o f n o c o t i n e , t h a n e t t e m p t s a t r e s t r i c t i n g , s a y, t i cinog tar. " C ens or " , the sec ond sections consider s car onsequently me po ssi bil iti e s o f f ind ing a lte rn a tiv es to nic oti ne tha t c ou ld so place supplement or re tte. nicotine in a cig are 680050592-0608 at 0593 (U S 85280). TCo resea rche r D.J. Wood gave n 1969, BA sentation for c ompany executives 1022. I a pre in which he de ' s pharmac ologic al re sear ch foc using on nic otine. He stated that scribed the company TCo resea rche rs believe d that nicotine was responsible for the " satisfac tion of smoking," and that BA esearch w future r about how the human body absorbe d nicotine. as aimed a t finding out more S 20592). 322043204-3207 at 3207 (U 1023. TCo's a cknowledg ment of nicotine a nd addiction continued into the 1970s. I n a BA une 30, 1971 memora ndum titl e d mm Co J e n ts o n N ic o ti n e," BA TCo scientist R.R . J ohnson repor ted " on a Resea rch & Deve lopment meeting held to disc uss the results of nicotine r esea rch on “ Project e m M T T E R " an d "P ro j ec t HIP P O. " BA T C o d i re ct o r S i r C h ar l es E l l i s l ed t h HA ee t i n g. AD Acc to J ohnson: ording e pu rp os e of the me e Th g wa s to disc us s th e re su lts fr om P ro je c ts tin MAD HATT ER and HI PPO, and to sti mulat e fu rther disc ussion of the importance of nicotine to the industry . Sir Charles started the by t he had f irst broug ht out the conce pt ing tha t h at we meeting say in a nicotine ra are tobacc o industry and then se t up the ther than a above pr ojects to sell this concept to mana g ement. 2065128907-8909 at 8908 (U S 85281) . 1024. I n a Nove mber 9, 1972 re port titled "P re p ar at i on and Proper ties of Nicotine . Analog B A T G r o u p s c ie n ti s ts K ues," D . K il b u r n a n d J. G . Under wood re commended, f or commer cial his re a so ns , th a t w or k c on tinue into f ind ing nic oti ne a na log s, or su bs tit ute s. Th e ba sis fo r t -399-

430 t, " re ati on , th e re se a rc he rs sta te d, wa s th a end Sho uld nic oti ne be c ome le ss a ttr a c tiv e to omm c m o k e r s , t h e f u t u r e o f t h e t o b a c c o i n d u s t r y w o u l d b e c o m e l e s s s e c u r e . " S p e c i f i c a l l y: s t I been sug g ested that a considera ble proportion of smoker s h as colog tion of nicotine for the ir motivation pharma depend on the ical ac f this view is corr ect, the pr esent sca le of the to continue smoking. I depende b co industry is larg ely ac nt on the intensity and natur e of t o ph a rm a c olo g ic a l a c tio n o f nic oti ne . A c omm e rc ia l thr e a t w ou ld the arise if either a tive product be came acc eptable or the ef fec t n alterna s chang of nicotine wa ed. 750009046-9098 at 9049 (U S 88066). An undated B ATCo document, probably from the 1025. from scientist D.G. Felton 1970s titled "Smoking a nd Hea lth Rese arc h in the U.S.A.," summar ized some internal industry positions on sc ie nti fi c re se a rc h a nd nic oti ne . T he re po rt no te d th a t A me ri c a n T ob a c c o Co mpa ny ' s Sc ie nti fi c Direc tor, Dr. H.R. Ha t it was "importa nt to keep up the nicotine c ontent of the nmer, stated tha a ducing ht to be reduc e d , " th thing that oug t R JR' s scientific dire ctor Dr . Galloway smoke, while re any "a rea sonable amount of nicotine was nece ssary in a stated that are tte," a nd that L igg ett' s position cig was that " cause of the nicotine." 105407187-7190 (US 34738). people smoked be t I d document, S.J . Gre en, one of 1026. TCo's top scie ntis n an undate s i n its Researc h BA & D evelopment De partment, provide d advice to the corpor ate lea dership as to the f uture dire ction i the company t o s m o k ct n g and disea se, re sear ch, and e ven addic tion. The should take with respe pres ent ati on was del iv ered at t he O cto ber 1 9 7 2 BA T Gro up R&D C on feren ce wh ere B&W repr tives were also in attendanc e. 680048899-8903 a t 8903 (US 85284). esenta 1027. e that smokers n his presenta tion, Dr. Green stated that B ATCo was a war I by com p e n s a te d f o r lo w e r n ic o ti n e p r o d u c ts " b y in c r e a s in g th e n u mb e r o f c ig a r e tt e s s mo k e d " a n d -400-

431 "c hang they smoked." He then discussed the " health consc ious smokers who chose the ing the way AT liv c ig a re tte s, " fr a nk ly te lli ng the B ry Gr ou p e xec uti ve s ( inc lud ing B & W) t ha t: de e low estion i s A sug ad e both for the health consc ious smoker and the g m e equire ment is phy siologica l smoker whos prime smoking r pe fa tio n. Sur e ly ma ny nic tis ne -d e c nd e nt s mok e rs a re he a lth sa oti conscious. . . . kin g is f a ir ly ir ra tio na l li ke oth e r d ru g de pe nd e nc ie s. I f t he re is Smo nd I t i s not easy for the think there is, i a positive side to smoking, a ke r to a rt ic ula te . He " vo te s wi th his fe e t" a nd c on tin ue s w ith thi s smo ra ir l a c t. tio na S 20269). 110069983-9987 at 9985 (U of a study h e results BA titled "The Effe ct of Smoking 1028. T scientists published t hton, in a repor ng Be haviour," written by D.E. Creig Depr t dated Septembe r 11, ivation on Smoki 1975. Both B ATCo and B &W had copies of the re port in their files. I n assessing the beha vior of the subjects, the r esea rch a ssumed that smokers nee d nicotine, that smokers e x perie nce w ithdrawa l sy mptoms wit te to obtain the nicotine they need: hout it, and that smokers compensa t is probable that interf nce w ith an esta blished behavioura l pattern I ere uld c a us e dif fe re nt e ff e c ts o n dif fe re nt su bje c ts a c c or din g to t he ir wo or the stimulation of nicotine or suppre ssion of the withdraw al need f f t mpt tha t a c c omp a ny a lac k of nic oti ne sy . . I oms he su bje c t is . . smoking for ar macolog ical ef fec the ph ts of nicotine he would be expected to take mor e smoke in a shor ter time. He may do this by taking larg er puffs, taking more puffs, reduc ing the interval be tween liv the kin g mor e of the bu tt w he re the nic oti ne de smo e ry is m or highe might also dra w har der on the cig r. He tte or for longe r. are 650014873-4901 at 4881 (U S 53405). I n the discussion section of the r eport, the a uthors stated: These r be interpr eted on the basis that some subjects have esults may a g re a te r d e ma nd fo r n ic se ne tha n o the rs . I t is a lso c le a r t ha t the do oti ts of nic oti ne re qu ir e d p e r u nit of tim e is ve ry va ri a ble . Some su bje c -401-

432 require a small aken freque ntly . . . others re quire intake of nicotine t fer e amoun b ut infreque ntly . . . . These dif ence s in nicotine g a lar t nd a nd the pa tte rn of nic oti ne int a ke ma y re fl e ct m etabo lic de ma fe re e s b e tw e e n s mok e rs . dif nc US 53405). 650014873-4901 at 4885-86 ( t 9 . BA TCo, like t 1 e o t h er ci gar et 0 e c o m p an y De fe n dants, undertook r esea rch in the 1970s 2 h nd 19 80 s to ma nip ula te or ma int a in nic oti ne de liv e ry wh ile re du c ing the ta r i n it s c ig a re tte s. Th is a arc rese orpora te knowledg e that nicotine deliver y above some minimum level sed on the c h was ba t of cig are tte smoking for smokers. F or example, the basis for studies c arr ied n essential par was a use of additives to r educe tar but actually incre ase nic otine to smokers was out in 1973 to assess the ct on s sear port on addit i v es ' ef fe ch re moke che mistry , as follows: " The incr ease d stated, in a re ing of being place d on the l ower te m TPM [t otal particula importance atter, or tar] and the contr olling of nicotine de livery it necessa ry to investi gat e t he diffe rent methods ava ilable for has made od e ng the se c ha ng e s in smo ke ." 40 23 90 26 5- 02 82 a t 02 68 (U S 85 28 8) . F or a mor pr in- de pth uci a. discussion of this subject. See Section V(C), infr The 1973 study al s o u ti lized " ADDI TI VES FOR NI COTI NE CONTROL ," inc luding 1030. te, sodium bicarbona nicotine tartra h y drog en phosphate to increa se the te, and diammonium rs found that x table nicotine" in the smoke. The r esea rche "e cer tain combinations of additives trac succe ssfull y re d u ce d t ar wh i l e "m ai n t ai n i n g t h e i m p ac t an d p h y s i o l o gi ca l s t re n gt h l ev el s " of nicotine. 402390265-0282 at 0280 (U S 85288). 1 0 3 1 . As an o t h er ex am p l e, BA T C o 's W . B. Fo rd y ce ci rc u l at ed a r ep o rt ca l l ed "T h e Addition of Nicotine to Toba ts," wr itten by company cco Produc scientist T err y Mitchell, to BATCo Dire ctors methods for under c over me mo dated May 2, 1980. I n his p ap er , Mitchell discusses three -402-

433 t i t i o n al l y i n cr ea s i n g t h e n i co t i n e c o n t en t o f c i gar et en es , i n cl u d i n g t h e u s e o f s p ec i al i z ed h i gh t n os (such a , direc t addition of ni co s N. rustica) i ne and nic otine extracts, and the nicotine tobacc t l "a ug mentatio n o f s mo k e n ic o ti n e." Mitchell noted that smoke nicotine could be aug mented chemica i improving the d b y er to smoke an n creasing the alkalinity /pH of smoke. nicotine transf by 110088143-8155 (US 34965). 32 . I n 1 97 5, B AT Co R e se a rc h Sc i e n t i s t A . K a y ( K i n n a r d ) Com e r a c kn ow le dg e d th a t on ly 10 disputed the label a ddiction as applied to smoking a nd nicotine, and that those within the industry e e vid e nc e sh ow e d th e ind us tr y ' s d e nia ls w t: re wr on g . Co me r s ta te d th a the I n s a ry , it app e a rs tha t mo st w or ke rs wh o a re no t di re c tly umm rned w use the ter ms addicti on or conce ith the tobacco industry pe nd e nc e ra the r t ha n h a bit ua tio n a nd c a n b e c on sid de re d q uit e e corr so. I f cig are tte smoking i s as addictive as the ect in doing ampaig e sug ests, it is not surprising that antismoking c evidenc ns are g so ineffe ctive. . . . 105392361-2368 at 2366 (U S 22038). 1033. BA TCo's D .E. Creig hton perfor med a " Restricted " wr i t ten re view of B AT' s own valuate the "G arc h i n J an u ar y 1 976, in order to e rese conce pt of compensa tion. The revie w roup" found that compe red -- for example, by taking nsation occur er puf fs or inhaling the smoke dee per larg into the lungs -- when smoker s of hig h-nicotine c iga rettes smoked low- nicotine produc ts and vice versa hton found that, " On balanc e, it is concluded tha t many established smokers do . Creig compensa te for c hang ed deliver y in an attempt to e qualise nicotine delivery , when this is possible." 650008449-8480 at 8451 (U S 76192). 1034. Creig hton stated that compensa tion for re e that otine delivery was evidenc duced nic ": sm ok ers sm ok ed fo r ni cot in e, an d ev id ence t hat regul ar s mo kers are "ni cot in e dep end ent -403-

434 [T] he majority ctually buy cig are ttes and smoke of smokers who a ularly are tly or indirec tly seeking the ef fec ts of the them reg direc the smoke . . . The majority of smokers who a re nicotine content of . content of smoke ma still be smoking for nicotine y the smoking for ts of nicoti n differ They may seek the pharma colog ical ent ef fec e. h has both periphe ra l and ce ntral stimul ation of nicotine whic ating ects or to allay the uncomfor table ef fec ts of not having stimul eff fr stem, which Russell de scribes as relief in the o m or nicotine sy ts. Most sm ce o f withdraw al ef fec okers whe n deprive d of avoid an oti ne fo r a pe ri od of tim e du ri ng the da y fe e l a n in c re a nic in s tr e ss, se tension, restlessness a . A cig are tte quickly restore s the nd irritability qu ili ium . e br not mptoms, when r t he mi ld withdrawa l sy s A subject who doe suffe o s m oke and only seeks the oc casiona l stim ulation of unable t oti ne , or so me othe r a ttr ibu te of smo kin g , is le ss l ike ly to nic te for c compensa ed nicotine delivery than a subject who is more hang ndent. nicotine depe US 76192). 650008449-8480 at 8462-8464 ( 35 . Other s ect io ns of C rei ghto n's 1 97 6 rep 10 di scu ss ed an "est im ati on of s elf do sin g wi th ort nicotine" and various fac tors that influence "the daily dose of nicotine ta ken by a nicotine de pendent smoker." 650008449-8480 at 8465, 8468 (U S 76192). AT 36 n a me mor a nd um d a te d M a rc h 2 9, 19 76, B I Co s c ie nti st S. J. Gr e e n s e t f or th h is 10 . re c a st f fo " Th e Pr od uc t in the Ea rl y 19 80 s. " I n th is d oc ume nt, Gr e e n a dd re sse d " the ma in t hr e a ts or to t he smo kin g ha bit ." On e ma jor thr e a t to smo kin g wa s tha t lo we r n ic oti ne pr od uc ts w ou ld l e a d to there more smoker quit: " Taking a long- term view, able to is a dang er in the curr ent trend of s being lo w e r a n d lo w e r c ig a r e tt e d e li v e r ie s - - i. e . th e s mo k e r w il l b e w e a n e d a w a y f r o m t h e h a b it . . . . [W] e ng should of t he long -term da be aware ers of following the cr owd into ultra-low nicotine de liveries." S 20268). 110069974-9982 at 9975 (U -404-

435 1037. Gre potential rivals," that is, "c iga rettes in which nicotine has been en then e valuated " an alter t, he re h ar m ac o l o gi cal a g ent." I n this contex ced by fer red to smoker s as repla native p mbers of the nicotine-de ity ." 110069974- 9982 at 9975, 9977 (US 20268). "me pendent major e on smoking n BA I ld a confe renc 1976, behavior . I ts centra l theme was the 1038. TCo he h a r m a c o l o g i c a l i m p o r t a n c e o f n i c o t i n e o n t h e c e n t r a l n e r v o u s s y s t e m a s t h e b a s i s f o r s m o k i n g . In p ere a conf re p o rt , Kay Comer wrote that tobacc o is only used in way s that delivere d n ce unmetabolized nicotine to the brain: ]i are tte smokers who [C are forbidde n to smoke, for instance in a g mine, wing esort to che tobacc o instead lumber mill or down in a will r f s o k i n g. o m e c omm on fa c tor in a ll t he ty pes o f t ob a c c o u sa g e me nti on e d is Th t o i n e , e i t h e r a b s o r b e d t h r o u g h t h e l u n g s o r nic h e l i n i n g o f t h e no se t or mouth. Taken in these way s nic o t i n e wi ll quickly enter a dire ct ro ute the blo od , to the br a in. To ba c c o h a s n e ve r b e e n u se d a s a , in bs tha nc e of ing e sti on . T he pr ob a ble re a so n f or thi s is su t w he n it ta or i nicotine t rave ls in the blood is absorbed in the stomach ntestines, re it is metabolised to cotinine before passing to the to the liver, whe nic a I t w ou ld t he re fo re be su br ri sin g if in. oti ne , w hic h is kn ow n to rp be phar macolog ically active in the brain (unlike c otinine), and whic h i s o b t a i n e d i n t h e w a y s m o s t l i k e l y t o e n a b l e i t t o r e a c h th e br a in unchang ed, we asons why people smoke. re not involved in the re S 85289); 100430004-0005 (US 87115). 650376684-6703 at 6694 (U BA TCo also produce d a Nove mber 2 4 , 1039. 1 9 7 7 repor t titl ed " A Note on Smoker Motivation and Depe ndency ." I n the introductory section of the r eport, the a uthor stated that ncy smoking c cter ized by "a depende hara fac tor which is, in a re stricted sense, indepe ndent an be c of other motivational influenc The that would keep a smoker smoking who desir es t o q u i t . es" nd motivation t o s mo k e e v e n w h e n o n e d e s ir e s to q u it " mo r e c lo s e ly r e s e mb le s a n u r g e o r d r iv e a -405-

436 might be de scribed a bey ond cog nitive control and likely to be associa ted s an addic tive behaviour al depe ndency 8361 at 8343 (US 85290). with pharmac ologic ." 102698343- nce" "I tional Smoking TCo held an haviour Confere nterna from November 27- BA 1040. Be 97 7 a t Che lw oo d, En g la nd . Th e c omp a ny inv ite d it s o wn sc ie nti sts a nd e xec uti ve s, a lon g wi th 30 , 1 mp p e e e n ta ti v e s o f it s a f f il ia te c o mp a n ie s ( B & W, I r e r ia l T o b a c c o , G a ll a h e r L im it e d , So u za Cr u z, r s o t h m a n s , B A T - G e r m a n y a n d o t h e r s ) , i n d u s t r y t r a d e g r o u p s , a n d i n d u s t r y - f u n d e d r e s e a rc he rs to R the e Dr. Gre en, from BA TCo, de livered introduction, fol l o we d by information. exchang e se nta tio ns to t he c on fe re nc e ov e r t he ne xt s e ve ra l da y s a bo ut the c e ntr a l ne rv ou s sy ste m e ff e c ts pr l f n i co t i n e, n i co t i n e’ s i m p ac t o n h u m an at t en t i o n s p an , t h e r o i e o f n o co t i n e i n m ai n t ai n i n g s m o k i n g, and many other topics dir t l y rela ted to the ce ntral importance of nicotine to smoking be havior. ec US 87117); 103518290-8401 (US 87118). 103505372-5399 (US 87116); 103505453-5513 ( BA TCo's P.L . Short dated F ebrua ry 22, 1978, titled "Product a nd 1041. A document by ncre nnovation," r oblem of addic tion via nicotine [i s] i nized that "the pr asing ." T wo Process I ecog y s la te r, his me e tin g no te s r e c or de d th a t, " Th os e se e kin g nic oti ne da ra tif ic a tio n wh e re smo kin g is g ba e d a nd the su bs e qu e nt r isk of pu rc ha sin g tob nn c c o b y pr e sc ri pti on or re g ist ra tio n o f a ddicts in a the fu tur e , w ill le a d to g re a te r us e of smo ke le ss t ob a c c os . . . " He a lso wr ote tha t th e re wa s a ed s t o f s m o k er s "w an t i n g t o q u i t b u t u n ab l e t o , h o o k en o n t o ci gar et t es at p re s en t b u t s ee k i n g a egm cig are tte/nicotine substitut e." 100566925-6926 at 6926 (U S 88765); 100566919-6924 (US 88766). 10 42 . I n a J un e 27 , 197 8 doc ume nt titl e d "C omp e ns a tio n for Cha ng e d D e liv e ry ," B AT Co hto sc st D .E . Cr e ig nti n s ta te d th a t: ie Nu me ro us e xpe ri me nts ha ve be e n c a rr ie d o ut in H a mbu rg , M on tr e a l, and Southampt o n wi thin the company as we ll as many other ations, that experiments by rese arc h worke rs in independe nt org aniz -406-

437 sh ow at g e ne ra lly smo ke rs do c ha ng e the ir smo kin g pa tte rn s in th es in the mac hin liveries of response to chang e smoked de ha re s. . . . I n g e ne ra l, a ma a ity of tte bit ua l sm ok e rs c omp e ns a te ig c jor ed deliver y , if they chang e to a lower delivery brand tha n for c hang us l br a nd . I f th ey ir choose low e r d e liv e ry br a nd wh ic h h a s a the ua tar nd (which is ofte otine ratio than their usual bra r n the highe to nic smo se th low e r d e liv e ry a od uc ts) the wi ke rs wi ll i n f a c t in c re a se c pr a mou nts of ta r an d g a s p ha se tha t th e y ta ke in, in o rd e r t o ta ke in the mount of nicotine. the same a S 76170). 10553905-3915 at 3906, 3913 (U 0 4 3 . B A T C o k e e n l y a p p r e c i a t e d t h e c o n n e c t i o n b e t w e e n a d d i c t i o n a n d p r o f i t a b i l i t y . In 1 ust 28, 1979 memorandum t an Aug ey Are as -- Product I nnovation Over Next 10 Years f or itled "K ctor L o -term De velopment," BA TCo scientific dire g .C.F. B lackman sta ted that nicotine L n pe nd e nc e wa s th e ke y to t he c omp any 's futu re via bil ity a nd pr of ita bil ity . I n c omi ng to t his de c on c lus ion , D r. B la n c kma c harted th e sta g e s o f s mok ing fr om " sta rt ing the ha bit " (S ta g e 1) to " a kn ow le dg me nt o f p le a su re " (S ta g e 2) to " de pe nd e nc e on the smo kin g ha bit " (S ta g e 3) . He fl a tly c c te t n i c o t i sta e " i n i t i a t e s a d e p e n d e n c e i n t h e d tha o n f i r m e d s m o k e r " a n d t h a t " t h e h i g h p r o f i ts n a dd iti on a lly a sso c ia te d w ith the tob a c c o in du str y a re dir e c tly re la te d to the fa c t tha t th e c us tom e r i s depende nt upon the product." S 21530). 109872505-2508 at 2508 (U BA h for nicotine substitutes into the 1970s. A November 30, 1044. TCo continued its searc 78 B AT Co r e po rt tit le d " Al ka loi ds Th a 19 a ve a Pha rm a col og y L ike Ni c oti ne " re vie we d a ll t H rele vant re sear ch in depth and c oncluded that, " For smoking produc ts, n i co tine is the alkaloid of known phy choice ATCo scientists reac hed this conclusion by compar ing the he B si o logic al ." T qu a lit ie s o f n ic oti ne to o the r a lka m, ds , in c lud ing nic oti ne ' s e ff e c t on the c ent ral ne rv ou s sy ste loi 9700 at 9684 (US 53979). respira tion, blood pressure, a nd hear t rate. 680009683- -407-

438 1045. The Appendix the 1978 BA TCo repor t, titled "T he Effec ts of Nicotine," descr ibed to nt of the seve nicotine as " k al oids present in tobac co." The ral a the most abundant and pote l Appendix also contained the following section: colog hanisms of Nicotine The Pharma ical Mec nicotine h which ves its effe cts on the action throug The mode of achie d y i s v er y co m p l e x . b h e c o m p l ex i t y ar i s es fr o m n i co t i n e's o T aneous a ing de g ree of ac nd vary on the diffe rent ne rve simult tivity e nte rs , o rg a ns a nd mus c le s of the bo dy . N ic oti ne c a us e s it s e ff e c ts c by not only d p er i p h era l stim ulation (i.e., at the br ain and centr al an nerve nerve org an or cord, and muscle j unctions, respe ctively ), spinal the stimulation of intermediate ne rve g lia. . . . but also by ang scribe the e smokers de ects of nic otine as ca lming and Whil eff a xin g , a ll th e a c c u mu la te d e v id e n c e in d ic a te s th a t i t c auses rel tha y log ic a l e xcit a tio n an d stimu la tio n. On e the or y sio t a tte mpt s to ph er s para sug g ests that the sm o k dox b ecome s acc ustomed explain thi mul he sti a to t te d c on dit ion tha t ni c oti ne pr oduce s; h e the n u se s th is condition as the no rm from which to judge his we ll being. I f the aintained, discomfor t and anxiety felt. condition is not m are US 53979). 680009683-9700 at 9697-9698 ( in the an undated BA TCo doc ument, probably 1046. cre ated I 19 7 0 s , an ex ecutive n mma ri zed the " us a ble da ta " on smo kin g su nd nic oti ne a dd ic tio n a nd c on ne c te d a dd ic tio n to a marke or BA T C o and the industry . The memora ndum concluded tha t smokers are ting plans f d depende ical ef fec ts of nicotine, that smokers colog ev el op toleranc e to and nt on the pharma de pe nd e nc y on nic oti ne , a nd tha t sm ok e rs de pr ive d o f n ic oti ne e xpe ri e nc e wi thd ra wa l sy mpt oms : SUM MA a nd I MPL I CA TI ON S to the I ND UST RY RY d s e sh of Th oti ne in to the b loo ru tr e a m a nd ne rv ou s sy ste m is nic short-lived; there for e, re d u ci n g co n s u m p t i o n wo u l d ca u s e w i t h d ra wal and all of its unpleasa ects so long as t he smoker is re stricted nt side eff from smoking. nd Nicotine vaca tes the sy stem in 30 minutes or so a l starts. . . . at that time withdrawa -408-

439 Th e ns or imo tor ma nip ula tio n a sp e ct of smok ing is i mpo rt a nt t o se haps not as important as nicotine. . . Ciga rettes a llow people but per . self-de people to self- termined ra administer nicotine at a te. 680096095-6110 at 6096 (U S 53993). hildren and a i n t he pape L n descr ibing c er dults who were "r eg ular smoker s," the at r, whe ote: author wr l y a n e x c e p t i o n O l 2 % s m o k e o c c a s i o n a l l y a n d i n t e r m i t t e n t l y. n a rly all reg ular smokers are nicotine dependent. . . . As t he novice Nea es tolera ritation of the smoke ove r a period of two acquir nce to the ir y ear s, he bec omes conditioned t o a high and r eg ular intake of or three nicotine. 680096095-6110 at 6099, 6101 (U S 53993). 47 . On e se c tio n o f t he B AT Co m e mor a nd um w a s su bti tl e d " Phy sic a l D e pe nd e nc e ," in 10 uthor descr r bec ess by which a smoke which the a omes addicte d: ibed the proc y sic l de pe nd e nc e inv olv e s c ha ng e s w Phy h a re ph a siolo g ic a l. hic Firstly hown by the smoker' s toleranc e to the ef fec , this is s ts of nicotine. This is due to chang es at the sy napses. The smoker also ha s a n in c re a se d c a pa c ity to meta bo lis e a nd e xcr e te the dr ug , ma inl y in the liver. . . . Secondly nicotine i s reduc ed or discontinued, the , when the intake of p erie nce w ithdrawa l sy mptoms, resulting fr om the smoker may ex of over activity at the sy napses. . . . Thus , wi t h d raw al of lessening re ig c ttes fro m he a vy smo ke rs ma y a du c e the m to a su bje c tiv e ly re d i s t r e s s e d s t a t e , w i t h s ym p t o m s o f a n x i e t y, d e p r e s s i o n , i r r i t a b i l i t y, restlessness, intense cra s well as diffic ulty in conce nt ra tion. ving a about t quality of ni cotine in t he More will be discussed he addictive following section. . . . se a rc h ha s sh ow n tha Re sti mul a tio n of the me dia l fo re br a in b un dle t of the h y p o thalamus ca n pleasura bly occupy an animal to the exclusion of all other basic a ctivit es, e.g., e ating , drinking , sexual i activities. I i k ely that nicotine and other depende nce- t seems l pr od uc ing dr ug s we pa rt of the ir eff e c tiv e ne ss t o in fl ue nc ing thi s o e. . . . centr -409-

440 The blood-br ain bar i s n o barr ier to nicotine whic h rea ches the rier lighting brain within a minute of I ts effe ct is short lived. a person up. to s finished his cig minutes afte r t he sm oker ha are tte, I thirty n twenty org t e nicotine has lef t his brain for other h ans -- stomach, f most o r a nd kid ne y liv - and th is is j us t a bo ut t he tim e tha t th e he a vil y e s - nt smoker nee t cig are tte. depende ds his nex US 53993). 680096095-6110 at 6103-6104 ( d the company e ag ain documente The B ' s knowledg e and 1048. ATCo memorandum onc eptanc e of " compensa tion," that is, the means employ ed by smokers of lower nicotine cig are ttes acc r doses of nic to obtain highe otine: vel of c ve the rettes f ails to compl et el y achie I f the nicotine le iga o o d chang e, that cig are tte will be draw n on deepe r, the desired m oke he ld l on g e r, a nd c on su mpt ion wi ll r ise . . . . Re du c tio ns in sm su oti a re the re fo re c omp e ns a te d f or by c on ne me rs bu t th e lim it t o nic can c ompensate f or the diminis h ed nicotine/diminis hed which they fica peutic ef cy thera is unknown. R&D is study ing this subject at the prese nt time. S 53993). 680096095-6110 at 6095 (U ike Philip M orris and R.J. R ey nolds, BATCo interna lly ac k n o wledg L 1049. ed and ompensation. BA TCo knew from scientific studi es usi ng its own employ ees understood smoker c h at smokers smoked f t nd compensa ted, or c hang ed their smoking behavior , when or nicotine a smoking lowe iga rettes. Tw o s u ch r nicotine c t u d i es carrie d out by BA TCo in 1974 and 1978, s re s p ec t i v el y , u s i n g re d u ce d n i co t i n e c i gar et t es d e m o n s t ra t ed t h es e c o n cl u s i o n s . D. E . C re i gh t o n 's repor t of these studies stated tha compensa ted for reduc tions in nicotine y ield by smoking t smokers l o e i n m e n s e r y: t Comparison of the two data sets shows that t h e lower de livery c ig a re tte ha s b e e n s mok e d mo re int e ns ive ly . . . . I t c a n b e re a so na bly inferr ed that the smoker s in this p anel rece ived similar amounts of ttes. . . . nicotine from both cig are -410-

441 mo The c t th a t s mo k e r s h a v e c h a n g e d th e ir s a k in g p a tt e r n s to ta ke f rom cig are tte with lower nicotine de livery but simi a more smoke f lar total particulate matter, or ta r] delivery adds su pport to the TPM [ terminan t o f sm oking contention that nicotine is a major de . . . . behaviour 650008946-8960 at 8948, 8954 (U S 85318). stricted" BA T repor t written b y h 1, 1979 "Re C re i ghton summarized a 1050. A Marc ll a b o r a tive scientific study betwee n BA TCo and B ritish scientist M.A.H. Russell at the "Addiction c o ch Unit." The re sear ch proje ct studied smoker c ompensation to obtain mor e nicotine, and Resear rette a ed s tandar d low nicotine/low tar c iga a nd a modified hig h nicotine/low tar c iga rette. utiliz TCo and Russell determined that smokers compensate less when g iven hig h nicotine/low tar BA are ttes, and compe nsate more when g iven low nicotine/low tar c iga rettes. Accor ding to the cig hil po rt , w re e Dr . Ru sse ll' s in te re st i n th e stu dy wa s " fr om t he he alt h po int of vie w, " B AT Co participa ted in work "f rom a commer cial point of view." 650010157-0193 at 0174, 0183 (U S the 85292). h udy also repor ted that t h e ATCo/Russell st igh nic otine cig are ttes produce d 1051. The B iddiness," a ref lection of the intoxi cating proper ties of nicotine: "g Some smoke rs, act, felt g iddy while smoking the [hi g h nicotine/ in f s are be c a u low tar] cig e th e y used the mouth sensations tte, presumably as cue s to e stimate their smoke intake. As a result of taking sufficie nt smoke to cause acc e mouth sensations, they would rec eive eptabl nicotine as usual, r ly as near u ch twice esulting in the f eeling of m g idd ine ss. 650010157-0193 at 0179 (U S 85292). e 1052. n an April 11, 1980 BA TCo document titled " Wha t T hr I e Ra dic a l Ch a ng e s Mi g ht, team of Throug h the Ag ency of R & D, T ake Place in this I ndustry by the End of the Ce ntury ," a -411-

442 B AT c ie nti sts (c omp os e d o f C re lli n, F e rr is, Gr e ig , a nd Mil ne r) fo re c a st wh a t the ind us tr y wo uld Co s ve to c e wi th i n th e ne a r f utu re . T he sc ie nti sts sta te d th a t: ha op s a drug rathe .T. should learn to look at itself a r than a s B.A company n o a c c o c t m p a b y. The mood af fe cting drug require ments of the a o pu la tio n w ill in t he fut ure in c re a se bu t th e ra ng e of re qu ir e me nts po ll e nq omp a ss tr a wi uil lis e rs e .g . v a liu m, e nd or ph in/ e nk e ph a lin nc in opiat ), marijuana , nicotine ana logue s, etc. At pre sent, the (bra es o f ma n y o f th e s e d r u g s is taking e it h e r me d ic a ll y p r e s c r ib e d or reg arde d as devia nt behaviou r, b ut could be " socialized" like alcoholic dr inking a nd tobacc o smoking. 109884190-4191 at 4190 (U S 21557). Acc ording to the April 1980 ty ped notes of BATCo scie ntist Dr. L ionel Bla ckman, 1053. lthough nicotine d to the anticipated issue that, "A ss will be conside red by neede addre the company , there will be increas i n g re some doctors to be le nition by some medica l ss harmful than tar cog otine depende ." 301140125- 0128 at 0126 (US 85294). authorities that smoking is a nic nt activity n a "Strictly I Private and Confidential" document written in May 1980 by T.W. Kidd, 1054. pu a c re la tio ns off ic e r a t B AT Co f ro m 19 48 -1 98 3, Ki dd pr ov ide d th e fo llo wi ng inf or ma tio n to bli assist the company a new company position on sm oking a nd health: in formulating Addiction/Habituation ct of the smoking and health issue which c annot This is another aspe be over looked. Unlike dang erous sports and other hig h risk activities g (e he d ri nk ing of a lc oh ol) smo kin pt t is a dd ic tiv e /ha bit ua tiv e in xce a dd iti on to be ing a n a dd iti on a l ri sk a nd ma ny smo ke rs wo uld lik e to t w g up the ha bit if the y c ou ld. Th is d oe s n ot me a n th a ive e mus t contribute to hea "quitting clinics" but it does mean lth education or to we ha ve to ac t even more responsibly than if the c onsumption of our products we re pur ely involving a minority of consumer s in an additional risk. -412-

443 109881332-1335 at 1335 (U S ecommenda tions for a c orpora te position 34929). Despite Mr. Kidd's r addictivene that ref ttes, no new c ompany position was ever announce d. ss of cig lected the are t titl stricted" rese arc h repor h ed " Nicotine Studies: A Second A Marc 1055. 31, 1981 "Re rt , E sti ma tio n of Whol e B od y Re Ni c oti ne Do se by Ur ina ry Ni c oti ne a nd Cot ini ne Me a su re me nt" po c ume nte d B AT Co' s r e se a rc h in to a c c ur a te ly me a su ri ng nic oti ne int a ke by ra ts fo rc e d to inh a le do are cig uthors, BA TCo scientists G. Read, I .G.M. Ander son, and R.E. Chapman, tte smoke. The a "pa rele vant t o the deve lopment of an unde rstanding of an t the studies were rticularly wrote tha nicotine re quirement a individual smoker' lations h i p b etwee n nicotine dose a nd s daily nd the re haviour unde r conditions of bra nd switching /delivery modification." 650030769-0802 smoking be S 53428). The Mar 3 1 , 1981 repor t built on an earlier BA TCo scientific study ch at 0779-0780 (U " da ted May 21, 1980, titled "Method for Nicotine and Cotinine i n Bl o od and into "nicotine dose ho ine ," wr itt e n b y the sa me sc ie nti sts . I n th is e a rl ie r s tud y int o met ds Ur to mea su re nic oti ne in oti hu , th e a uth or s st a te d th a t " the ph a rm a c olo g ic a l r e sp on se of smo ke rs to nic ns ne is be lie ve d to ma be re s smoking beha viour, providing the motivation for and the de g ree sponsible for an individual' tion required by the smoker." 650032386-2428 at 2389 (U S 87119). of satisfac Under cover 1056. ted April 7, 1982, B ATCo' s G. O. Brooks forwarde d an interna l letter da n i c o t i n e s t u d y b y C r e i g h t o n t i t l e d " H u m a n S m o k i n g B e h a v i o u r " t o r e s e a r c h e r s a t B & W . In n Creig restate d the " sine qua non" role of nic o t i eport, he e i n s moking a nd discussed hton's r wi thd ra wa l a nd c omp e ns a tio n: Nicotine is the most pharmac ally active c onstituent in t obacc o ologic or d i s probably the most usual fac tor responsible f smoke an bit. . . . maintaining the smoking ha -413-

444 Ni c ha s p ha rm a c olo g ic a l e ff e c ts b oth in the br a in a nd oth e r p a rt s oti ne ffe due to ni cotine itself whe rea s . Some of these e of the body cts are rs a re du e to n ic oti ne c a us ing a re le a se of oth e r s ub sta nc e s w ith in oth e drena such as a the body line. . . . e sm oker . . . w ho smokes to maintain a constant blood leve l of T h try to a void the unpleasa nt sensations that ing nicotine is most likely e ls w he n h e is no t smo kin he . With ou t a c ig a re tte he wi ll b e c ome fe g itable and likely to make mistakes in his work. Such a nervous, irr to compensate smoker is likely ed d el i v er y if g iven a for c hang ma a tte wi th d if fe ig nt s ta nd a rd re c hine smok e d d e liv e ri e s to his c re b r a n d s o th a t a s f a r a s p o s s ib le h e ma in ta in s a c o n s ta n t b lood usual otine. . . . level of nic possible to consider nicotine as t t is of cig are tte smoke I he component t co ntr ols the a mou nt o f s mok e tha t a smo ke r t a ke s f ro m a tha are tte. cig 660913609-3633 at 3616-3618 ( US 22763). 98 57 . B ro ok s' s A pr il 7 , 1 nd 2 me mor a nd um a 10 the a tta c he d r e po rt a lso sh ow the in- de pth kn ow dg e tha t bo th B AT Co a nd B & W ha d o f c omp e ns a tio n a s w e ll as th eir go a l to ma int a in le dd do tio n b y ma int a ini ng a min imu m de liv e ry or " a se " of nic oti ne in t he ir pr od uc ts: ic n r we The simple a woul d seem to be to off er the smoker a pr oduct s tively otine deliverie s so that with a minimum with compara high nic e ff or t he c ou ld t a ke the of se of nic oti ne su ita ble to h is i mme dia te do ne e ds . . . . I f de liv e ry le ve ls ar e re du c e d too q uic kly or e ve ntu a lly to a leve l shold of which is so low that the nicotine is below the thre the a a c olo g ic a l a c ph ity rm n it is p os sib le tha t th e smo king ha bit tiv wo uld be re je c te d b y a la rg e nu mbe r o f s mok e rs . 660913609-3633 at 3619-3620 ( US 22763). The pa per a tt ache 1058. s 1982 letter re sembled and bor rowe d from the 1978 d to Brooks' paper by Dr. C reighton titled "Compensa tion for Chang ed De livery ." See Section V(B )(3) (c) (¶¶ I 1042), supra E)(2) (b)( ¶2215), infr a. , and Section V( n this earlier paper , Dr. Cre ighton state d that from the company ' s knowledg e of c ompensation by smokers of low nicotine y ield cig are ttes came -414-

445 rese arc arr ied out in Hamburg , Montreal, a nd Southampton withi n the company ," r esea rch h "c that "smoke rs do cha e their smoking patterns in re s p onse to cha ng es in the mac hine showing ng are ttes." 105553905- 3915 at 3906 (US 34799). smoked deliverie s of cig n a Mar ch 25, 1983 memora I ed " Proj ec t Recommendations," which 1059. ndum titl e s c r i b e d t h e r e l a t i o n s h i p o f n i c o t i n e l e v e l t o s w i t c h i n g b e h a v d o r , B A T C o r e se a r c h e r A n d r e w J. i Be nicotine is the addictive a g ent in cig are ttes." 514110006-0009 at 0007 (US llman stated that " 21745). , 26, 1984 rese arc h paper n a January BA TCo rese arc her Colin C. Greig stated that 1060. I use nicotine " is the major or sole pha rmac ologic ally beca g ent in smoke, it must be presumed active a that this is the err ed method of absor ption and thus why people inhale smoke." 650547777-7787 pref at 7786 (US 20950). 1061. A Marc h 22, 1984 repor t titl ed " Rece ptors for Nic otine in the Central Ne rvous Sy ste m," wr itt e n b y B AT Co sc ie nti st W. W. Te mpl e ton , do c ume nte d the c omp a ny ' s r e se a rc h in to the psy choac ects of nic otine and specific si tes (re ceptor s) in the bra in where nicotine binds tive eff "c centr stem. The study sy onfirm[ed] t he existence of spe cific binding sites for within the al nervous nd specula ted that the re sults "may help to explain the development of nicotine in the CNS" a e to nicotine." ibed t descr toleranc he resear ch and its link to the desig n and The Executive Summary c ma c tur e of fa ig a re tte s: nu Th is r e p o r t i s th e f ir s t i n a s e r ie s o f s tu d ie s d e s ig n e d to id e n ti f y a nd char rize how nicotine der ived from c iga rette smoke c an intera ct acte wi th t he bo dy , an d in par tic ula r the a c tiv e c e ntr e s o f t he br a in. Th is specific interac tion is belie v ed to form an e ssential element of a s satisfaction. . . . smoker' -415-

446 The re port descr ti o n of ibes in detail the deve lopment and applica i tech es to identify and cha rac terise r eg ions within brain tissue q n u licit a pharma colog ical re sponse. . . . wher e nicotine c an bind and e used as iate in the proc ess of de veloping s will be The finding appropr r d e liv e ry pr od low ts w ith fu ll s mok ing c ha ra c te ri sti c s. e uc S 53388). 650000996-1034 at 0998, 1011, 1014 (U e on smoking ater repor t, the author re 1062. evidenc in the 1984 "motivation" L viewed the luded: and conc n toge ther, the e vidence sug g es t s that self-a dminist ration of Take ay nicotine m primary motivation for smoking. While this may be the ry , eac k er or eve h smoker (w ho inhales the smoke) smo not be true f of nicotine during eac h puff suff icient to have quantity absorbs a p h y s i o l o gi ca l an d p h ar m ac o l o gi ca l ef fe ct s, reg ardle ss of the extensive motivation for smoking. . . . Primarily , nicotine is taken for its eff ects on the CNS, the per iphera l nc on se qu e h a e s o f n ic oti ne a dmi nis tr a tio n, su c c s in c re a se d h e a rt ra te and blood pre ssure, be anted side e ffe cts. ing unw US 53388). 650000996-1034 at 1001-1002 ( n J une 1984 , BA I Co held a three -day Nicotine Confer ence attended by 1063. T esenta tives of BATCo and B& W. Acc repr to the confe renc e ag enda, one topic for discussion ording was " s Requirement for Nicotine - A A Smoker' Be haviour a nd Marke tplace V iew." The Smoking a c c omp a ny ing c on fe re nc e no te s st a te d th a t t su Con e ra ble ind ir e c t e vid e nc e ha s b e e n a ccum ul a te d th a sid g g e sts inhaling ci ette smokers smoke f or nicotine a nd presumably the gar pharma colog ical ef fec ts of nicotine. 512106427-6437 at 6428, 6433 (U S 20846). 1064. Another topic at t he BATCo Nicotine Confe renc e wa s called " Product Modification ximise fo r M a xima l N ic oti ne Ef fe c ts. " Un de r t his head in g, th e a uth or s st a te d th a t in or de r t o " ma -416-

447 at nicotine ef p an y m u s t u n d er s t an d "w h at co n s t i t u t es an ad eq u om e a n d s u i t ab l y 'p ac kag ed' ts," the c fec tisfy s ' require ments.' " 512106427- 6437 at 6435 (US 20846). dose of nicotine to sa a smoker' BA red a final re port on the Nicotine Confe renc e. I t contained summarie s 1065. TCo prepa ma ny of the pr e se nta tio ns ma de by B AT Co re se a rc he rs a nd e xec uti ve s to c on fe re nc e a tte nd e e s. of tion of nicotine ies reve s intim ate knowle dg e of s m o k er regula ATCo' aled B These summar nsation), smokers' "thr eshold require nicotine, "product elasticity ," "nicotine dose " (compe ment" of ments, "pha rmac okinetics of nicotine," "the sensory and psy cholog ical ef fec ts of nicotine," measure stem eff al r v o u s s y e ects of nic otine, and " smoke manipulation involving pH modifica tion" and n centr t desig n modifications. 101234971-5018 (US 21645). other produc One month af ter its Nicotine Confer ence , BA T C o h el d a conf ere nce on smoking 1066. beh avi or an d m arke ti ng. I n S ess io n I I I of t he J ul y 19 8 4 c o n f e r ence, again att end ed b y B&W repr esenta an Ay res, a BA TCo Re sear ch Advisor, summarized inf ormation from the e arlier tives, C. I i l t i n e c o n fe re n ce , i n cl u d i n g t h e f o l n o wi n g: co smokers appear to smoke to a consta nt intake of nicotine. A s Many the e ow e ve r, we do no t kn y wh e t, h r m os t sm ok e rs a re a imi ng to ow achie ve a " satisfac tory " averag e leve l of nicotine circ ulating in the body , or whe are seeking an optimum peak nicotine leve l ther they r ea afte are tte. . . . ch cig The pre sentation was concer ned with summarising and outlining the c e ntr a l r ole of nic oti ne in t he smo kin g pr oc e ss a nd ou r b us ine ss g ally . . . . The e x tent to which smokers smoke f or nicotine wa s ener discussed and it wa s ag ree d that it is unlikely that all smokers smoke for ni co t ine. Howe ver, only products conta ining nicotine ha ve widespre ad use. . . . US 85298); 109869361-9369 (US 87120). 536000308-0507 at 0330-0332 ( -417-

448 1067. Attendee Confere nce wer e informe d that, "[a]lthough intentions and s at the Jul y ss rate is re quit rela tively high (30-40% of smokers) the actua l succe latively low and are to attempts S 87121). 402426650-6677 at 6676 (U stable." t i n e wa s a major c omponent of nea rly ever y prese ntation and discussion. For 1068. Nico eade example, BATCo Gr ham Read de livered a pres en t at i o n titled "Curre nt Status and oup L r Gra h." I tion of Smoki Be haviour Rese arc ng n his presenta tion, Read observe d the " strong Future Direc vidence of smokers smoking for nicotine" as repr esenting a "c ause and ef fec t" r elationship. indirect e t the signific Read stated tha tion was that " smoking maint enanc e" is acc omplished ance of his observa nicotine, and that "in its simpl est sense puf fing behaviour is the means of pr oviding nicotine h throug shion." 536000000-0090 a t 0045-0063 (US 22338). ed fa in a meter 69 . A B AT Co r e po rt on the c omp a ny ' s Re se a rc h a nd De ve lop me nt c on fe re nc e in 10 L ed by BA TCo Scientist/Director Dr. ionel Bla ckman, e mphasized the need September 1984, prepar urther rela rese arc h for f ted to smoker beha vior and nicotine. The repor t advised that B ATCo neede d n to c h w h e th e r s mo k e r s s mo k e d f o r th e " tr a n s ie ar t p e a k e f f e c ts " o f n ic o ti n e o r in s te a d s o u g ht rese "thr eshold base- line levels t hroug hout the day ." The report also recommende d rese arc h into means of of " er f rom the product to the smoker -- and the commerc ial viability nicotine transf influencing such mea ccor ding to the R& D conf ere nce r ns." A coti ne re mains a top priority ." eport, "Ni 109872430-2447 at 2439, 2443 (U S 23340). 1 0 7 0 . A September 1984 BA TCo document titled "Rese arc h Confere nce, G R &D C Resear ch sear Prog stated some objec tives of B ATCo' s in-house beha v i oral/nicotine re ramme" ch. F or example, the memorandum summarized planne d nicotine/ p H modification experiments, rese arc h nd human focusing on the " mecha nisms of nicotine interac tion with the centra l nervous sy stem," a -418-

449 studies to better dete rmine " otine that can pr ovide phar macolog ical the minimum dos e of smoke nic 109869520-9522 at 9521 (U S 87122). satisfac tion for the smoker." sented shows that B esea rch w as pre mised on the 1071. AT Group r e pre All the evidenc l component of c iga rettes position t h at k ept s mokers smoking . I n an hat nicotine wa s the critica t om Germa n BA T scientist E. Kausc h t o B& W's Vice President October 15, 1985 memorandum fr an d De velopment, Kausc h followed up on a rec ent " Oxford Confere nce" with the of Resea rch is no sic] that nicotin is the compound which make s tobacc o use to [si c] There daupt [ statement: " d habit. This me ans that nicotin r esea such a w centr al par t of BA T' s rese arc h idesprea rch should be a orts.[si c]" 510000642-0644 a t 0643 (US 85300). eff A J une 1988 interna l BATCo re port titled "The Significa nce of pH i n Tobac co and 1072. co Smoke" s in-depth knowledg e wi th r e spect to manipulating smoke pH summarized BATCo' Tobac nd inc re a sin g " fr e e ba se " nic oti ne in o rd e r t o in c re a se the nic oti ne de liv e ry to s mok e rs in t he mou th a s. 500104402-4424 (US 21492). and lung 73 . A 1 98 8 B AT Co d oc ume nt t itl e d " A Me e tin g of 10 ie nti fi c Re se a rc h G ro up , M on tr e a l, Sc h g u s t 6 t h - 8 t s 1 9 8 8 " r e p o r t e d o n t h e r e Au u l t s o f a U . S . s m o k i n g b e h a v i o r a l s t u d y t h a t " str on g ly h poin d ] t o n ic o ti n e a s th e b a s is o f th e s mo k in g e a b it . " T h e d o c u me n t a ls o d e mo n s tr a te d the t[ e xiste nc e of c omp e ns a tio n, re po rt ing tha t "p la sma nic oti ne le ve ls we re a lmo st co ns ta nt, re g a rd le ss rettes smoked of mea levels, as we re the number of c iga livery per day ". 100993169- sured nicotine de 3173 at 3169 (US 34677). 1074. A J anuar y 15 , 1991 BA TCo document titled "B ATCo Oper ating Group F ive Yea r Plan 1991-1995" contained a s ection on "T he Fundamental Researc h Centre." I n this section, when t: dis c us sin g ke y re se a rc h p ro je c ts r e g a rd ing " ta r/ nic oti ne ra tio re du c tio n, " the pla n s ta te d th a -419-

450 B a se a rc h will c on tin ue int o pro du c ts de liv e ri ng a de qu a te le ve ls sic re on: evels of other components, focusing of nicotine with minimum l tments l ea d i ng to reduc ed tar formation; novel shee t o trea tobacc pable of controlled re of nicotine/flavour ants; and materi als ca lease r of nicotine/f lavoura nts of smoke. ement of the enhanc transfe 201752783-2899 at 2838 (U S 85452). n an undate d Creativity ting doc ument titled "Structure I Group," 1075. d 1992 marke ttes as a " t Develope Colin Gre ig, TCo's Produc ibed cig are r, ' drug ' administration sy stem for BA descr bli c us e " wi th " ve ry ve ry sig nif ic a nt a dv a nta g e s o ve r o the r d ru g s. " B e c a us e " nic oti ne is t he low e st pu s do mmon' dr ug available ," it compa red f avora bly to other " slower" drug s such as mar ijuana, e 'co Gre rote that, " nd alcohol." Wit hin 10 seconds of star ting to smoke, nicotine amphetamines, a ig w t The memora ain." cce ptanc e ndum also notes BA h at s mokers of low is available in the br TCo's a products "c ompensate," or modify their smoking behavior , in or der to obta in more n i co t ine. tar S 76168) (emphasis in orig inal). 100503495-3506 at 3496, 3499 (U Gre ig de scribed toba cco a s "a hly 1076. pharmacolog ically eff ective a nd chea p fast, hig ' d r u g ' " c o n t a i n e d w i t h i n a " r e l a t i v e l y c h e a p a n d e f f i c i e n t d e l i v e r y s y s t e m . " A t t h e c l o s e o f his memorandum, Gre observe d that beca use cig are ttes leave smokers unsatisfied a nd alway s cra ving ig all we [BAT g o] would want then is a larg er ba more, " to car ry the money to the bank." C 100503495-3506 at 3497, 3505 (U S 76168). 1077. An undated B ATCo memorandum wr itten by D.E. Creig hton, titl ed " Structured Cr e a tiv ity Gr ou p Pr e se nta tio n, " lis te d th e fo llo wi ng a s o ne of smo ke rs ’ n e e ds : Hig h on the list of consumer ne is nic otine, which I believe to be eds m of smoking be tivator and sustainer the main haviour. Without o n nicotine i nt quantity to satisfy the nee ds of the smoker, the sufficie smo ke se a n ( a ) g ive up a lto g e the r, (b ) cut ba c k to a low pu rc ha r c s. le ve l, ( c ) k e e p s wi tc hin g br a nd -420-

451 102690336-0350 at 0340 (U S 21681). n his 1078. eful to di stinguish the nee d for nicotine f rom memorandum, Creighton was I car to cig BA tte consumers. A t the close, he noted that and quality TCo had the importance of flavor are with limi ted s u ccess. This might be be cause the ied the low [nicotine] delivery "tr product route colog ical thre sh o ld o f e f f nicotine in such produc c ti v e n e s s . " 1 0 2 6 9 0 336-0350 ts is below the pharma e at 0345, 0350 (US 21681). TCo conduct and/or funded voluminous internal studies on nicotine and its eff ect 1079. BA . The c lear import of these studies, take n as a w hole, was tha t BATCo kne w that on the human body oti ne wa s e sse nti a l to smo kin g c ig a re tte s, e sse nti a l to a dd ic tio n, a nd the re fo re es sen ti a l to its nic hi sin ss o f s e lli ng c ig a re tte s. Ma ny of the se re po rt s b e a r s ta mps ind ic a tin g the y we re s e pp e d to bu W. S ports include: " Nicotine in Smoke and Human Phy siologica l Response," dated Ma rch uch re B& 1970, 682638843-8864 (US 25454); "Re lative C ontributions of Nicotine a nd Carbon Monoxi de 26, dated November 15, Human P siologica l Response," hy 1971, 682638479-8516 (US 25451); " The to rom Smoke I er of Nicotine F used C nto Blood Using a P erf Transf anine L ung ," dated Februa ry 28, 1967, 750003524-3551 (US 87125); " Subjec v e E v a lu a ti o n o f Se le c t Flue- Cured Tip Gra des," dated ti ust 20, 1968, 750067063-7084 (US 87126 p ; " T h e A b s o r Aug ti o n of Nicotine V ia the Mouth: Studi es ) Model Sy t ed Using M ay 9, 1965, 750004644-4702 (US 87127); " The Ef fec t of Puff stems," da o Ex table Nicotine' and the Ret en t i Volume on ' n o f Nicotine in the Mouth," dated Aug ust 21, trac 1969, 7 5 0 0 4 0 1 4 2 - 0 1 5 9 ( U S 8 7 1 2 8 ) ; " F u r th e r St u d ie s o n th e E f f e c t o f N ic o ti n e o n H u ma n Phy l Response," dated June 5, 1973, 750009778-9808 (US 87129); "Acute Effe ct of siologica Ciga rette Smo k e o n Br ai n -W av e A l p h a R h y t h m - F i rs t 7- ep o rt , " d at ed Oc t o b er 3 1 , 1 9 7 4 , 7 5 0 0 5 5 0 8 R tte Smoking 5106 (US 87130); " I ntera ction of Smoke and the Smoker Par t 3: The Effe ct of Cig are -421-

452 on the Continge nt Neg n , " d ated De cembe r 12, 1974, 750012293-2319 ( US 87131); ative Va riatio u nefits' " d a te d Ja n , a ry 26, 1977, 750016323-6339 (US 87132); " Fur ther Work Be of Smoking "Some ' trac tabl e' N i co t i n e, " d at ed S ep t em b er 3 0 , 1 9 6 on ' , 8 3 9 1 6 5 2 7 -6 5 9 6 (U S 5 5 968); 650010113-0156 Ex 6 S 87134); 110083654-3673 (US 87135). (US 53397); 566632813-3254 (U & Williamson d. Brown i k e t h e other cig 1080. tte company Def endants, B &W was a lso well awa re of the L are dd ic tiv e qu a lit y of smo kin g a nd nic oti ne . De sp ite the c omp a ny ' s p ub lic de nia ls, it h a s c on sis te ntl y a that smoking is an addiction, smokers nee s suffer d nicotine, and smoker admitted internally withdrawa l when depr ived of nicotine. 81 . Mu c h o f B & W' s k no wl e dg e of nic oti ne a nd its a dd ic tiv e qu a lit ie s o ri g ina te d w ith 10 d, reg ny TCo, which, as ha s alrea dy been note , BA ularly communicated its re sear ch its parent compa su lts to B & W a nd oth e r B AT Gr ou p a ff ili a te s. On e of rl the e a re ie st e xamp le s of the tr a ns -A tla nti c exchang e of know e, wa s the forw arding , by Sir Charles Ellis of both B ATCo' s "Proje ct HI PPO" ledg ATCo repor t "T he Fate of Nicotine in t he B ody " to B &W' s chief e x ecutives titled results and the B over letter s tamped " Rece ived" on J uly 1, 1963. 689033419-3419 h under c Bill Cutchins and Ed Finc (US 87136). Shortly there afte r, B &W Executive Vice President and Gene ra 1082. C ounsel Addison l Yea iting on t he B ATCo nicotine re sear ch ca rried out in Eng land under the man commented in wr ady code PPO I and HI PPO I I , as alre HI discussed. I n a Jul y 17, 1963 memorandum mar ked names " Str ic tly Pr iv ate a nd Con fi de nti a l," Ye a ma n w a s p e rs ua de d b y the fi nd ing s o f t he re se a rc h, in n p r t i c u l a r t h e r e s e a r c h e r s ' c o n c l u s i o n s o n t h e " t r a a q u i l l i s i n g " e f f e c t s o f n i c o t i n e . M o s t s i g n i f i c a n t l y, n quoted many Yea man also conc luded that, “nicotine is a ddict i v e." He f urther w rote, a s has bee -422-

453 times, in many place lling nicotine, a n addictive dr ug eff ective s: "We ar e, then, in the business of se stress mecha t 3415 (US 22034). ase of in the rele nisms." 689033412-3416 a W intentionally B& conce aled Yeaman' s conclusions, and the sophisticated nicotine 1083. e s e ar ch i n t h e p o s s es s i o n o f b o t h C T r o an d B&W wa s n o t d i s cl o s ed t o t h e S u rge o n Ge n er al 's BA Advisory ttee which w as t hen in the process of writing t Commi draf ts of t he 1964 Surg eon he early Gene ral' s Report. See Sec tion V(A)( 4) , supra. 1 0 8 4 . On S ep t em b er 1 3 , 1 9 6 3 , B&W s ci en t i s t R o b er t B. Gr i ff i t h wr o t e a le t t er t o BA T C o 's J n responding to his questions about the importance of nicotine. Dr. G riffith wrote : ohn Kirwa [N]ic oti ne is by far the mos t c ha ra c te ri sti c sin g le c on sti tue nt i n cts tobacc siologica l e ffe o and the known phy are positively corr elated se re a ve a ss og pr m in ra g ro [W]e h h p rc re wi th s mok e r re sp on se . . . . a otine desired. to obtain, by g enetic me ans, any level of nic 102630333-0336 (US 23000). B& 1085. cco Chemists Confer ence in October 1964. Acc ording W participated in a Toba “CONF DENTI AL ” report of the confere nce, tobacco company scientists delivered a number to the I f p a p e r s t o c o n f e r e n c e a t t e n d e e s . O n o p a p e r c a l l e d “ D o W e K n o w W h a t W e A r e T a l k i n g A b o u t ?” e 15 ed s p re s en t . b y W . S P ai ge o f t h e Imp er i al T o b ac co C o m p an y . I n h i s p re s e n t at i o n , P ai ge wa o d cr i b ed t h e “ P h y s i o l o g i c al S t re n gt h o r P es t en cy ” o f t o b ac co , s u gges t i n g v er y ea rl y k n o wl ed ge tiv c c a ff e ts, a nd the c on e ne c tio n to a mo ng tob a c c o in du str y sc ie nti sts of nic oti ne ' s p sy c ho e r compe onscious" smoke "subc nsation: l Streng siologica S. Phy th or Potency 15 cco complex, but cl o s e, fi nancia T had a l relationship with I mperial Toba BA C o m p a n y. -423-

454 This is the property of tobac our hea d swim, and co which ma kes y afte fee wea k at t he knees' ' r rapid smoking. I t is a direct ou makes y l e c t on the me ta bo lism whi c h d oe s n ot c ome thr ou g h th e se ns e e ff ans. I t affe o-ordination , p u lse rate and per iphera l org cts muscular c t i these re v er y difficult to assess S by ulation. . . . I actions circ s he ra onscious mecha use a subc o l s t nism usually te of beca contr p these e ffe cts small. smoking to kee hy siologica l Streng th o r P o t en cy ] i s u s u al l y as s es s ed b y co n s i d er i ng [P “ e he c ig a re tte wa s “ sa tis fy ing .” r t Th e c ig a re tte sa tis fi e d my the wh e d f or a c ig a re tte (e ve n th ou g h it may hav e tast e d h or ri ble ), I did ne r cig tte immediately afte rwa rds.” are not want to light anothe 650378968-9132 at 9036 (U S 85303). 0 8 6 . Represen t at i v es o f P h i l i p M o rr is, RJ R, B& W, BATCo, L orillard, and L igg ett attended 1 e. and pre t the same Oc tober 1964 confe renc pers a 2012614167-4279 at 4176-4182 (U S sented pa 85304). 1087. I n Aug ust 1967, B& W commissioned a report on addiction t itled "A Psy cholog ical Map of the Cig are ted purpose of t h e re p o rt was " to provide a r esourc e of tte World." The sta ur or tio n r e g a rd ing tho se c on su me r ne e ds , ha bit s, a nd a tti tud e inf c h s ha pe the c ma re nt c ig a re tte s whi marke nd to "s er v e as a pla tform for the development of responsive ma rketing and adve rtising t" a portant l strateg W's re cog nition of t he im B& ink betwee n the addictiveness of i ts products and ies." the shaping of the c iga rette ma rket e x hibits, as far b ack as the mid-1960s, an a cute unde rstanding be har of smoker guilt, and inabili ty to control what is clea rly perc eived to , mful, unhealthy anxiety behavior S 85305). . 680282619-2668 at 2620 (U This 1967 report c ommissi 1088. B& W sum marized the re sponses of some 1,400 oned by s m o k e r s a n d i n c l u d e d t h e f o l l o w i n g c o m m e n t a r y: ts. Mo mok e rs se e the mse lve s a s a dd ic st s . . . Man y fe a r t he y ' d “ fa ll ty a pa rt ” if the y qu it. . . . I nte rp re tiv e ly , the ty pic a l smok e r fe e ls g uil -424-

455 a nd nxiou s a bo ut s mok ing bu t im po te nt t o c on tr ol i t. a cholog ically l trapped. Psy , most smokers fee s ti ly , th e d e c is io n to s mo k e is p e y c h o lo g ic a ll y mo ti v a te d. la v Specu e t h a t d e c i s i o n On s m a d e , s m o k i n g f r e q u e n c y i s p h y s i o l o g i c a l ly c i i ed , with the addiction bec oming more sever n s determ e as smoker row older . g w h o s mo k e p People in c ig a r e tt e s a r e s tr o n g ly a d d ic te d b u t d e ny la anxiety ] hate to run out of cig are ttes. . . . about smoking. . . . [They k e mit the y ' d be a ne rv ou s wr e c ] ad if the y ra n o ut o f c ig a re tte s. [Th y S 85305) (emphasis in orig inal). 680282619-2668 at 2625, 2632, 2635 (U 89 . Th e 10 19 67 re po rt fo c us e d in pa rt on smo ke rs of B & W' s Vi c e ro y and Koo l bra nd s. With re sp e c t to the Vi c e ro y ma rk e t, t he re po rt fo un d th a t " a ttr a c tio ns to V ic e ro y a re str on g , b ut i ts appea ls r sent a threa t to the addicted mass." Wit h respe ct to K ool, the repor t c on cl u d ed that epre h he fee ls he smokes too muc smoker -- but does not want to stop . . . is 'hooke d' and more "T Kool anxious than menthol smokers g ener ally ." 680282619- 2668 at 2656, 2660 (US 85305). openly the 90 B & W ha s lon g 10 kn ow n tha t nic oti ne is . mos t imp or ta nt c omp on e nt o f c ig a re tte s, tha t ni c oti ne is t he mos t im po rt a nt c omp on e nt of a dd ic tio n, a nd tha t w ith ou t ni c oti ne , p e op le wo uld ave the not smoke Fo r ex ampl e, B &W' s Direc tor of Resea rch a nd Deve lopment, I .W. Hughe s, g . following , on Marc h 13, 1970, to a n article response questions about a link betwee n nicotine raising and cor onary hear t disease: This se ction of the paper is of some interest in tha t ( a) t h er e i s t he n lead to take o ff n i co t i e. This is very important to us; we pressure can cop e with reduc ing c arbon monoxide, however difficult, but re s. c tio n o r d e le tio n o f n ic oti ne c ou ld b e de a th t o u du S 85306). 680252107-2109 at 2108 (U -425-

456 1091. A Februa 22, 1972 "Priva te and Confidential" repor t by B& W resear cher J .E. ry dy , distributed to ex luding Ge nera l Couns el Ye am an, wa s titl ed " Be nefic ial Kenne ecutives, inc g Kenne s paper revie wed a number of studies, includin ' s tudies focusing ts of Smoking." dy Aspec n i c o t i n e ' s e f f e c t s o n a n i m a l b e h a v i o o . K e n n e d y d e s c r i b e d s t u d i e s s h o w i n g t h a t m o n k e ys n r ve lop e d a " str on g pr e de re nc e for to ba c c o s mok e " ov e r a ir , a nd wo uld " sp e nd tim e smo kin g in fe pref nce to other available activities," and even lear ned to se lf-inject nicotine. 690008455-8462 ere (US 54320). e . B & W wa s a lso pr ivy to i nte rn a l ni c oti ne re po rt s f ro m ot he r c ig 10 re tte ma nu fa c tur 92 rs . a I Conf i d en tial" mar keting long- term planning memorandum, the c ompany summarized n a 1973 " u TCo and Philip M BA ch, as w ell as some sec ondary s t orris re d i es . The memora ndum sear acknow ledg ed the dr ug -like ef fec ts of nicotine, and that "c iga rettes a llow people to self- administer nicotine a n a t a s e lf - d e te r mi n e d r a te . " T h e me mo r a n d u m f la tl y s ta te d th a t " N e a r ly a ll r e g ular d e ke a smo nic oti ne de pe nd e nt" a nd describe d th e smo kin g be ha vio r o f a dd ic te d s mok rs rs . re 680096095-6110 at 6096, 6099, 6106 (U S 53993). n 0 3 . As the following excerpts demonstrate , t h e M em o 1 9 d u m d i re ct l y addre ssed a number ra of the c riteria use d to determine a ddiction. The 1973 " Confident i al " me morandum desc ribed toleranc e to nicotine: [sm re s t olera nce to the ir ritation of the As the novice oker] acqui ke ov e r a pe ri od of tw o o smo hr e e y e a rs , h e be c ome s c on dit ion e d to r t a hig h and re g ular intake of nicotine. . . . Phy sic a l de pe nd e nc e inv olv e s c ha ng e s wh ic h a re phy sio log ic a l. ts of Firstly the smoker' s toleranc e to the ef fec hown by , this is s nicotine. This is due to chang es at the sy napses. The smoker also ha s a n in c re a se d c in pa c ity to m e ta bo lis e and exc re te the dr ug , ma inl y a the liver. -426-

457 I d. at 6095, 6101, 6103. d th . me mor a nd um a lso a c c e pte d a nd de sc ri be e e a dv ers e wi thd ra wa l sy mpt oms Th 94 10 smokers who a bstain: d by experience ru sh of nic oti ne in to the b loo Th tr e a m a nd ne rv ou s sy ste m is e d s fore ing c onsumpti o n w o u ld c a u s e w it h , reduc r awa l short-lived; there d easa ects so long as the smoker is restricted and all of its unpl nt side eff oking. sy stem in 30 minut es or so a nd from sm Nicotine vacates the t th a t ti me wi thd ra wa l st a rt s. a d. at 6096. I i 9 . The memora ndum further descri b ed t h e c o n ce p t o 0 5 co t i n e c o m p en s at ion by smokers 1 f n mount of nicotine: to obtain the desired a f t h e n icotine level of cig are ttes fails to completely achie ve the I d hang tte will b e are raw n on deepe r, the e, that cig desired mood c ke he ld l on g e r, a nd c on su mptio n w ill ri se . . . . Re du c tio ns in smo re oti ne a re the fo nic re c omp e ns a te d f or by c on su me rs bu t th e lim it t o which they n compensa te for the diminis hed nicotine/diminished ca subject at the peutic effica is unknown. R&D is study ing this thera cy nt time. prese I d. at 6095. 96 . F ina lly , th e me mor a nd um s umm a ri zed e xter na l re se a rc h sug g e 10 ng smo ke rs a re , in sti eff ug addicted: ect, dr t th ke s c a n b e tr a ine d to inj [M]on c y e mse lve s w it h ni coti ne fo r i ts e ow n s a ke , jus t a s the y wi ll inj e c t ot he r d e pe nd e nc e -p ro du c ing dr ug s, e.g ffe ine, ampheta mine, coca ine . . . in the 1 970s and ., opiates, ca 1980s I n tw e nty to t hir ty min ute s a ft e r t he sm ok er h a s f ini sh e d h is er cig t his brain for o t h tte, most of the nicotine has lef o rga ns -- are stomach, l iver, and kidney s -- and this is just about the time that the heavily depende nt smoker nee ds his nex t cig are tte. d. at 6104. I -427-

458 1097. Minutes taken at a renc e included the conclusion: 1974 B& W/BATCo confe dju te r t he c ha ra c te ri sti c s o f c ig a re tte s a s d e te rm ine d by smo kin g ma c hin e s, the Wha ke r a ve sts " smo his own nicotine requir 2502272091-2096 at 2092 (US 45990). his pattern to deliver ements." n the marke anuar y 1974, B& W hire d an adve rtising a g ency to study I t for its new 1098. J c tte Raleig tra Milds. The s p ec i fi h Ex go al of the study was to " aid in the deve lopment of cig are t u re m ar k et i n g an d cr ea t i v e p l an n i n g fo r t h e n ew R al e i gh ci gar et t es . " T h e a d v er t i s i n g s t ra t egy fu ng e d to B & W inc lud e d th e fo llo wi nte br oa d o bs e rv a tio ns : se pr vio us ly the ne g a tiv e a sp e c ts o f s mok ing ou tw e ig h th e po sit ive s, so ob of the and women inter viewed ha d attempted men much so that many at l ea s t considere d quitting smoking. A ppare ntly the to quit or nera eon Ge d a conside l's w arning s have ha Surg rable impact upon smokers' attitudes toward their vior. habit if not their beha r, as a dditional evidence ddictive qualities of Howeve of the a o smoking, those who tr male, admitted ied t quit, both male and fe oming the psy t difficulties in overc l og ical and/or the rea g cho siol ogical u rg e or ph ra vin g to s mok e . T he ir pr e se nc e in t he se y c c us sio ns a tte dis to t he ir la c k o f s uc c e ss. sts Th ina bil ity to q uit or e ve n a tte mpt to q uit of te n r e e lts in s ome su deg of guilt and the admission to one’s self of a “ ree ncy ” on depende cig are ttes or a lac k of willpower. 680289650-9743 at 9665 (U S 85307). 1099. I ust 1975, B& W commissioned a mar keting repor t titl ed " New Produc t I deas n Aug cre loped for B One e x hibit to t he study &W." ated a n "A ddiction Profile" to de scribe the Deve re la tiv e int e ns ity of smo king m oti va tio n. Th e stu dy the n d ivi de d s mok e rs int o th re e g ro up s, fi " ins tr e a m" smo ke rs , " Com pr omi se rs ," a nd " Justi Ma e rs ." " Com pr omi se rs " we re de fi ne d a s th os e searching for a "he avily addicted" smokers who ha ve made "ma ny attempts to quit" and we re " -428-

459 solution t o their problem." "Justifiers," in c ontrast, ref err ed to those who wer e " less addicted" and e " quick to rationalize." S 85308). who wer 680287748-7895 at 7770, 7773 (U o n a sec ed " Ba ckg round I nform at i t titl n o n Ciga rette Smoking I tion of the repor 1100. s, " the re Ha rt e mph a size d a smo ke r' s " ne e d" fo r c ig a re tte s: bit po tim e s, a pe rs on smo ke s b e c a us e it is so me thi ng he de pe nd s on to At ke e oin g , in or de r t o b e a ble to funct ion a nd to f a c e the pr ob le ms p g t ly li fe. This is w he n a c ig a re in is n e e de d. . . . L e t' s ta ke fi rs dai tte the ua tio ns wh e re a c ig a re sit is n e e de d. Th is i s u su a lly tte c ha racteri z ed b y it s b ein g smo ked qu ick ly , wh ere t he s mo ker i s h ardly awa re tha t serves to re lieve t en s i o n , frustra tion, t he is smoking. I ity . I ct. Here the r elaxation irritation, or insecur t has a calming effe pe of a ucial shot in the arm. is of the ty quick, cr 680287748-7895 at 7835 (U S 85308). 01 . I n 1 97 7, a B & W ad ve rt 11 ng c on fe re nc e wa s h e ld a t th e c omp a ny he a dq ua rt ers in isi L o u i s v i l l e t o re v i ew co m p an y re s ea rc h an d d i s cu s s t h e co m p an y 's ad v er t i s i n g fo r a "L o w T ar Hi gh Nicotine Cig are he conf ere nce r eport include d the foll o wi n g u n der the heading tte." T s/ W is hes ": "Goal CO MU TI • Y N I L TI NE RU SH PL • g et ac ross to consumer tha t what he likes (NI COTI NE) is not wh a rt s ( TA R) t hu • REE NI COTI NE as oppose d to BOU ND have F • show VAL UE OF NI COTI NE (lift, A.M. Starter ) • marke t an ADDI CTI VE PRODUCT in an ETHI CAL MANNER S 54625). 777125397-5403 at 5398 (U -429-

460 1102. I s that followed, ac cording to M. L anc e R ey nolds, former D irec tor of n the y ear ctor of Re Product Deve &W “did a lot of w ork on try ing to de velop a sear lopment and Dire ch, B losed quote, cig tte.” Dr . Rey nolds st at ed that from the , normal nicotine, c quote, low-tar are his c are er at B& W in 1968, the company and other beg T Group membe r compa nies had inning of BA cts to try ease nicotine deliver y with respec t t o t ar and incr fo r m any y ear s.” Rey nolds PD, “proje , Minnesota, 9/30/97, 137:10-137:15; 777125397-5403 at 5398 (US 54625). The importanc e of nic otine was a lso emphasized in t h e B&W Resear ch and 1103. rese lopment Depar mber 28, 1977 memorandum by n a Nove arc her G. E. Stungis titled tment. I Deve ong -T e r m P r o d u c t D e v e lo p me n t S tr a te g y , " o n e o f th e o v e r a r c h in g s ta te d o b je c ti v e s w a s tha t "L oducts must provide the appropriate levels of ni cotine. . . "pr 1515 at 1513 (US 85309) ." 501011512- (empha sis in original). Mor eover , a sig nificant part of the overa ll B &W strateg y was the ability to: Recog nize that nicotine is a vital component to overa ll smoker at i faction. Methods to opti miz e the mainstre am smoke nicotine s s t t colog ical ef fec ts will be with respec delivery o pharma explored/developed. d. at 1513. I randum to M. J W me m o 1104. . McQue from Assistant Br and ust 24, 1978 B& An Aug er H . David Steele ti t l Manag "Fu ture Consumer Rea ction to Nicotine" stated: " Ver y few ed consumers a war e of the eff ects of nicotine, i.e., its a ddictive nature re a and that nicotine is a poison." 665043966-3966 (US 21485); 776078962-8962 ( US 87137). s there not some way I knowledg e we have g ained open now to use the in th is a r e a o f to b a c c o a n d s mo k e r e s e a r c h to g iv e B& W a competitive adva e over its competition? I t appea rs that we ha ve ntag su ff ic ie nt e xpe rt ise av tte ila ble to " bu ild " a low e re d mg ta r c ig a re a rlboro, Winston, wh i ch wi ll deliver as much " fre e nicotine" as a Ma -430-

461 or Ke nt without incr the total nic otine delivery above tha t of a easing ight" product. "L S 85447). 654005805-5807 at 5806 (U lford Riehl, who later beca me Vice President o f R es earch a nd B& 1105. W scientist Ti on eived Greg rec s "f ile note" and commented ory an alter native to Gre g ory ' s proposal lopment, Deve ' to increa e" nicotine to boost "phy siologica l sa tisfaction." Whil e ac cepting Gre g ory ' s data a nd se " fre n d maxi miz ing the eff ects of nic otine on smokers in a diff cept, Riehl propose nt way . Riehl co ere rg in: wrote in the ma l of us have pr oposed a n a lt e r n a ti v e (a lmost opposi te) a Severa h pproac -- de low tar c ig w ith high total nicotine/low to modera te % free sign a . s h e o r y : p r o v id e c ig w it h " a p p r o p r ia te " le v e l o f nic ensory T satisfac tion/higher pharma colog ical" satisfac tion. than usual " mph sis in o ri g ina l) (e a 510000667-0670 (US 51496). B& W was g iven a Nove mber 1995 doc ument prepa 1106. Shook, Hardy & B acon red by compiling a rom company materia ls that nd quoting f nicotine m anipulation by incre asing admitted "f ree " or "bioa v ai l ab l e" n icotine deliver ed by cig are ttes. The re port commented on the two 1980 documents written by Gre ry and Riehl, documents that supported a ccusa tions by the FD A that go re & nd the oth e r c ig a re tte ma nu fa c turer s) int e nti on a lly ma de a nd ma rk e B d c ig a W (a tte s w ith te nic ne e ff e c ts g re a te r t ha n th e oti TC m a c hin e -m e a su re d y ie lds : F Gre g ory ap p ears to be urg ing tha t B& W enga g e in a manuf actur ing and mar tice of w hich the FDA prac acc uses the compa ny -- that keting a c c us a tio n b e ing tha t th e c omp a n y d e s i g n s , m a n u f a c tur e s a nd ma rk e ts pact which cig pharma colog ical im ttes with a is gr eate r than F TC are y ields imply . Thus, Gre g ory ' s comments are of intere st in the lit re ula tor y a nd g ig a tio n c on te xt. US 31049). 689201723-1770 at 1753-1754 ( -431-

462 1107. Wit to Riehl' s written comments on Gre g ory ' s memorandum urg ing a low h respe ct with hig tar otine with mode rate "f ree " nicotine, the Shook, Ha rdy & B acon r eport h product total nic inalia comment, of c i aises an issue of the m o t his marg v ati ons of the stated that: " [T] ourse, r ical signing cig in de ttes to pr ovide ' pharma colog satisfac tion' to smoke rs." I d. at 1754. company are n Fe bruar y 1980, BA TUS, I nc. (B &W' 1108. ompany , a ls o located in L ouisvill e, I s holding c ntu ky ) c omm iss ion e d a de ta ile d ma rk e tin g pla n f or a " les s ha zar do c c ig a re tte " te nta tiv e ly Ke us L l refle cted the c ompany ' s belief imit." The proposa smoking was both ha zardous and named " that new c iga rette w ould addre ss the problem of addiction by offe ring "hig her nic otine addictive. The smokers' content to satisfy r cig are ttes . . . thus less potential h ar m . " T h e re port needs w ith fewe tud os d a dv e rt isi ng to p hy sic op ns tha t, " Re c e nt s e ie s sh ow tha t e ve n u nd e r o pti ma l c on dit ion s, pr ia is u n li k e ly y o u w il l p e r s u a d e mo r e th a n 5 % o f s mo k e r s to q u it . So f o r th e o th e r 9 5 % , d o th e n e xt it L I MI T." 501025519-5609 at 5564-65 ( US 85310). best thing. Switch them to new a The ba ckg round re se n r c h u 1109. d e r ly in g the 1980 B ATUS marke ting pr oposal found that to phy ia n s h a d a " li tt le o r n o s u c c e s s in g e tt in g p a ti e n ts ic s to p s mo k in g c ig a r e tt e s " and eve n s sug ested that providing the s moker with a less har mful cig are tte product is equivale nt to providing g as re addict methadone rmful cig are tte, like methadone, w . The less ha fer red to a s the " lesser a heroin e v i l , " a " c o m p r o m i s e " f o r t h e s m o k e r w h o c a n n o t q u i t t h e a d d i c t i o n . T h e w r i t e r s a s k e d r h e t o r i c a l l y, "Why won' cig aret t e ad dict g et his ' fix ' in the least dama g ing w ay possible? " I t was t we help a L proposed that the " made a vailable only throug h pharma cies and would be imit" product would be phy introduced via in the same wa y that a new drug is presente d." I d. at 5544-45, 5573. sicians " 1 1 1 0 . T h e 1 's 8 0 BA T US p r o p o s al s p ec i fi ca l l y re co gn i z ed an d em p h as i z ed t h e s m o k er 9 cidivism. A sample promotion letter "phy sical nee d," " withdrawa l" e ffe cts, and the hig h rate s of re -432-

463 to phy sicians instruct t h at, " L ow nicotine cig are ttes are not a viable c ompromise. Studies have ed usually shown . . . that when pa ase the number of i tients switch to low nicotine brands, they ncre tive . . . for those pa smoke daily ttes they there is an alterna . . . tients whose sincer e are cig . Finally ffor ts to stop have ended, a g ain and a g ain, in frustra tion, self-depr ec at i and dedic n, and ated e o idivism " I d. at 5560-5561. rec [.] sis anuar 1982 B& W A J t analy y of sm okers of its Be lair bra nd repor ted in the 1111. marke c tio n ti tle d " Smo kin g B e ha vio r a nd At tit ud e s" tha t: " Ov e ra ll, the e vid e nc e show s th a t B e la ir se kn ke re e xtre me ly a dd ic te d to smo kin g a nd the y a ow it. " B ela ir als o scor e d v e ry hig h in rs smo tors indicative of de pendenc y and "[a]ddiction." I n fac t, 94% of Be lair smokers surve y ed ag ree d fac wh th t sta te me nt, " I g e t a re a l ur g e fo r a c ig a re tte he e n I ha ve n' t sm ok e d f or a wh ile ." (e mph a sis wi inal) 514107196-7249 a in orig t 7225, 7228 (US 85311). 11 12 . I n a sim ila r Ja nu a ry 19 82 B & W ma rk e t a na ly sis fo r i ts V ic e ro y br a nd of c ig a re tte s, the c a ny wa s to ld t ha t, " Smo ke rs of br and s in Vi c e ro y ' s c omp e tit ive se t a re mor e a dd ic te d to omp s in ge nera l." 514107251- 7302 at 7281 (US 85312). smoking than smoker ried out a “Smoker Personality L B& W car , in 1982, Study ” that seg mented the 1113. ater are tte marke t in terms of the l evel of addiction of cig stated purpose of the study the smokers. The was ovide the company “new to pr helpful in the development and positioning of ne w and/or insights established bra nds.” Wit h respe ct t o the m arke t seg ments, smokers who fit into S eg ment I V wer e te de ri be d a s “ so me wh a t a dd ict ed” and smo ke rs in S e g me nt V I we re de sc ri be d a s “ a dd ic sc d to , howeve smoking a often wished they never started.” Smokers in Seg ment VI I I nd r, we re de scribed run out as “he addicted to smoking. To avily of cig are ttes would be a r eal pr oblem for them . . . f rom t 7336, 7350, 7364 (US 85313). the moment they wake up they smoke.” 514107303-7417 a -433-

464 1114. B& ellman wrote a proje ct memora ndum on March W Group Product Direc tor A.J. M . B 98 to o the r i nd us tr y e xec uti ve s, inc lud ing Se nio r V ic e Pr e sid e nt f or Ma rk , 1 tin g R.A 3, lot t, 25 e x that nicotine is "a ddicting." The memora ndum proposed seve ral project ideas f or stating e plicitly y nicotine adde low tar c iga rette w ith free n d to the filter, base d on the the compa , including a mis de ing pr e y e tha t: un rl c oti ne is t he a dd ic tin g agent in c ig a re tte s. I t, t he re fo re , s e e ms Ni the a bl e th at w he n p e op le sw itc h b ra nd s, if na y ha ve a c e rt a in so re t t ern (i.e. number of sticks/day ), they will switch to a smoking pa a nd a t th e sa me nic oti ne le ve l. br examining all bra am c en t ly rr nds by nicotine level a nd by u I tio levels, comparing those co rr elations to switching nicotine/tar ra tte rn s. pa 514110006-0009 at 0007 (U S 21745) . d 5 15 . Acco rdi ng to th e reco rd of a J anu ary 4 an ew Yo , 1 98 8 m eet in g in N 11 rk, B&W ff sc sts Ti lf or d Ri e hl a nd L a nc e Re y no lds me t w ith sc ie nti sts fr om B AT Co 's oth e r a nti ili a te s to ie discuss the prog internal company nicotine resear ch code-na med "Project GREENDO T" and ress of of the re ct RBUS," "Proje to c hart the course AI sear ch for the 1990s. " Project AI RBUS" soug ht and to d e ve lop a de vic e sim ila r t o a no n- c omb us tib le nic oti ne de liv e ry pr od uc t ma nu fa c tur e d b y RJR. hly "Proje soug ht "to produc e a hig T" modified cig are tte which maintains the de livery ct GREENDO of nic oti ne to t he sm ok er wh ils t r e du c ing the de liv e ry of ta r. " Th e g oa l of " GR EE ND OT " wa s to tte to deliver 1mg modify 0.8 mg nic otine cig are ar / tar / 0.8 mg nicotine. 620208779-8784 a 10mg t at 8782-8783 (U S 85317). 1116. BA TCo r nd ularly forwa rded its nicotine rese arc h repor ts to the B& W R esea rch a eg ees. The Deve lopment Depar tment and t he company library for use by the company and it s employ -434-

465 c ri l im po rt a nc e of nic oti ne to t he c omp a nie s is e vid e nt in the tit le s and c on te nt of the se re po rt s. tic a , ee e.g., " Prepar ation and Proper ties of Nicotine Ana logue s - Part I I ," O ctober 11, 1973, S nd iga The Effec t of C Alpha Waves a rette Sm oking on the 657006301-6327 (US 53532); " Smoking: ember h p n sity of Subjects," Dec a 6, 1974, 657007342-7416 (US 53535); " The Ef fec t of Al De ivation on Smoki ng Be haviour," September 11, 1975, 650014873- 4901 (US 53405); Smoking Depr U tion for Chang ," January 30, 1976, 65 0 0 0 8 4 4 9 - 8 4 8 0 ( livery S 7 6 1 9 2 ) ; D r . M . A . H. ed De "Compensa Safe r ted), Mar iga rette" Study Report No. RD. 1652 (Restric Russell's " ch 1, 1979, 650010157- C 0193 (US 85292); " ation and P ro p erties of Nicotine Ana logue s - Part I I I ," June 20, 1979, Prepar Separa 657006435-6487 (US 53534); Comparison of Smoking Survey s ted by Four Yea rs," J une "A 28, 1979, 650008946-8960 (US 85318); " Method for N icotine and Cotinine in Blood and Ur ine," May 21, 1980, 6650032386-2428 (US 53430); icotine Studies: A Second Report, Estimation of "N Nicotine Do e by Urinar y Nicotine and Cotinine Mea surements," Marc h 31, 1981, s Whole Body ptors for Nicotine in the Centra l Nervous Sy stem," Ma rch 22, Rece 650030769-0802 (US 53428) ; " The F unctional Signific 1984, 650000996-1034 (US 53388); " of Smoking in Every day L ife," ance April 24, 1984, 650000563-0740 (U S 85393). B& W's law fi rm, Shook, Hardy 1117. acon, pr epar ed a doc ument titled "B &W -- & B Addiction Notebook" for the c ompany . The Addic tion Not eb o o k i d enti fies numer ous company documents (both d ocuments and doc uments sent to B& W by BA TCo) admitting that (1) B&W smoking is addictive, ( 2) nicotin e i s the primary addictive dr ug responsible for making smoking sear addictive, a ATCo and B &W conduc ted and f unded re nd (3) B ch over d ec ad es i nto the t of phy sio lo g ic a l a n d p h a r ma c o lo g ic a l p r o p e r ti e s o f n ic o ti n e a s a d r u g , a s a n e s s e n ti a l e le me n -435-

466 s m k i n g , a n d a s a c o m m e r c i a l e l e m e n t n e c e s s a r y t o t h e p r o f i t a b i l i t y o f t h e c i g a r e t t e i n d u s t r y. o US 75988). 689103834-4108 at 3980-4078 ( e. Lorillard ades internal doc orillard also has also been awa Many or dec uments show that L 1118. re f s addictive prope rties and the importa nce of nicotine to cig are tte smokers. of nicotine' I n an Aug ust 1964 national survey titled " A Marke t Targ et -- B uy ing I ncentive Study 1119. Cig n a re tte Ma rk e t," L or ill a rd fo un d th a t 66 % o f q ua lif ie d r e sp on de nts g a ve ha bit /a dd ic tio of s a a son for c t 2884 (US 21432). rea ontinuing to smoke. 03492841-3067 a 1 2 0 . I n an Aug ust 7, 1964 memo ra n d u m re gar d i n g "P o t as s i u m C ar b o n at e," H.D. Ande 1 rson told L s leg al counse l that "[t] here seems no doubt that the ' kick' of a c iga rette is due to the orillard' ntration of nicotine in the blood-stre is a . . . conce product of the quantity of nicotine in the am which o smoke and the speed of that nicotine from the s moke t r of the bl ood-strea m." 100059066- transfe 9067 at 9067 (US 20102). 1121. L ike the other cig are tte manufa cture r De fenda nts in the 1970s and 1980s, L orillard h kn t h a t t h e i s s u e w a s n o t o n l y n i c o t i n e , b u t t w e a m o u n t o f " f r e e " n i c o t i n e a c t u a l l y d e l i ve re d to e smo ke rs . I n a F e br ua ry 8, 19 73 re po rt to re se a rc h de pa rt me nt e xec uti ve s, L or ill a rd sc ie nti st A . M . and lungs far I d that nicotine in alkaline smoke ( high pH ) is absorbe d in the mo u t h conclude hrig more rap i d ly than nicotine in low pH smoke, a nd that this phenomenon was due to the fac t that "f re e, " o r r ea d i l y ab s o rb ab l e, n i co t i n e i n cr ea s ed d ra m at i ca l l y wi t h p H. Ac co rd i n g t o I h ri g, "a c h an ge in pH from 5.7 to 8.0 results in an incre ase of fre e nicotine f rom 0.69% to 58.3%." 00776238-6250 at 6239 (US 21477). -436-

467 11 22 hr ig a lso no te d th e imp or ta nc e of " fr e e " nic oti ne to t he c omp a ny ’s fi na nc ia l su c c e ss: . I e, th e c ig a r e tt urthermor b r a n d s w h ic h are enjoy ing the larg est sales incr ease g ener ally have smoke e "F e." pHs in the 6.5-7.0 ra r adds that, "The smoke pH for Kool and Marlboro are 7.12 and ng He late are , confirming lationship between hig h smoke pH and cig ctively tte sales incr ease ." 6.98, respe the re S 21477). 00776238-6250 at 6239, 6245 (U Alexander S p e a r s , L o r il la r d ' s V ic e Pr e s id e n t o f Re s e a r c h a nd later L orillard Chairman 1123. c nd ro te a pa pe r o n th e " e le me nts of pr od uc t a , w c e pta nc e " da te d N ov e mbe r 1 3, 19 73 . I n h is CEO a pe r, Dr . Sp e a rs sta te d th a t on e of the ma in e le me nts of c ig a re tte a c c e pta nc e wa s " Phy sio log ic a l, pa . comprised lar ely of the nicotine-induce d stimul ation and thoug ht coordination ef fec ts." Dr g being rang that be useful to have a wider "it would e of control over nicotine than now Spears then stated e ts , " a n d th a t " [i ]t is o u r p r e s e n t in te n t to d w v e lo p lo w n ic o ti n e b r a n d s , exis it h the maxim um phy siologica y ear ." 80634635- 4642 (US 21063). l impact, within the next L orillard knew e wa s d i s t i n ct from a nd not essential to the taste of a 1124. that nicotin l G tte. I ch 2, 1976 prese ntation, the Wil are raha m Company advised L orillard that " the cig n a Mar ste of tob a c c o ma y be ta e of the le a st sig nif ic a nt re a so ns wh y a pe rs on smo ke s, " a dd ing tha t, " it on cer ranks we ll below the impact of tainly for smokers. 01771073-1207 a t 1079 (US 20052). nicotine" 1 1 2 5 . A 19 7 6 L o ri l l ar d i n t er n al re v i ew o f n i co t i n e s ci en t i fi c litera ture by H.S. Tong repor ted the following with respec tion: t to smoker compensa o a b e e n ma d e o f th e li te r a tu A review h e s n th e p h a r ma c o lo g y of r smoke-dose nicotine with the goal of discovering some indications of thr e sh old do se a nd op tim um d os e s o f n ic oti ne in the a ve ra g e c ig a re tte can smokers. . I t se ems that, within limits, smoker s . and do control . thei r ni cotine intake f rom smoke by vary ing the ir smoking te c se iqu e s. Ni c oti ne ha s nume ro us sit e s of ac tio n an d the re sp on hn kers smoke is a n a lg e b r a ic s u m o f it s a c ti o n s . . . . I t s e e ms th a t s mo -437-

468 fo r c a lmi ng a nd sti mul a nt e ff e c ts. I n a su bje c tiv e stud y , t e st bo th found ci to be subjects re ported that they garettes of 0.8 mg eptable. acc ck of de finitive knowledge, it seems probable that Despite the la rs c ho os e c ig a re tte smo kin g fo r se ns ua l, psy c ho log ic a l, s oc ia l, smo ke Th ur l, ult nd ph a rm a c olo g ic a l e ff e c ts. a e ph a rm a c olo g ical ef fe c ts c a most li kely due to the ac tion of nicotine since the pr esenc e of a are ri e ty of oth e r c he mic a l c omp on e nts in t he smo ke in a ll p ro ba bil ity va t o th e ir th r e s h o ld le v e l. . . . I is w e ll k n o w n th a t the w is bel colog ic ef fec ts of nicotine at var ious sites are de pend ent on pharma do se , the do se sc he du le , a nd du ra tio n o f e xpos ur e . Sm ok e do se the has ant stimul nicotine action. I t stim ulates g ang lia, and, ther efor e, a o h it activates b the sy mpathetic and pa rasy mpathetic ner vous t sy , the ultimate effe cts are the alg ebra ic sum of stems simultaneously its actions. Resear ch in drug addiction indicates tha t the CNS [ centr al nerv ou sy stem ] is th e pr ime sit e of dr ug a c tio n. I n o rd e r t o s prec ise ac the smoke habit, the CNS tion of nicotine in understand the study . . . . ical site for should be the log of this review is to dete rm i n e i f t here wer e data which The purpose dose and an optimum satisfac tion dose of would indicate a threshold oti ne fo r t he ma jor ity of smo ke rs . nic 83250863-0873 at 0863-0865 ( US 55673). I t on Nicotine 1976 L orillard memora ndum titl ed " Prog ress Repor 1126. n a June 16, mentation Project," H. J . Minnemey er, the lead re sear cher on the company ' s nicotine Aug aug mentation prog rams, update d Spea r s o n th e p rog ress of e ffor ts to solve "the pr oblem of deliver ing more nicotine smoke of low tar cig are ttes." The memorandum de scribed the various re sear ch in the al and sc ts be conducte d by Def endants a s well as the medic ing ientific re sear ch ar ticles that projec had bee n published on the subject. 95539652-9655 ( US 56825). 1127. A J uly 16, 1976 L orillard rese arc h proposal memorandum to H .J . Minnemey er f rom e M. re la nd , ti tle d " Re se a rc h Pr op os a l - - D S. I ve lop me nt o f A ssa y fo r F re e Ni cot in e," ag a in g: ac k n o wl ed ged t h e s ci en t i fi c c o n s en s u s t h at n i co t i n e w as t h e s o u rc e o f t h e a d d i ct i o n t o s m o k i n -438-

469 Ciga rette sa e fo r one re ason. The c ustomer is satisfied les are mad from with the product or the phy siologica l satisfaction the either taste op d f m th e smok e. The c ve se ns us of ro ini on de ri ve d f ro m a ri de on w o f th e li te ra tur e on the su bje c ts i nd ic a re s th a t th e mos t vie te b b le r e a s o n f o r th e a d d ic ti v a p r o p e r ti e s o f th e s mo k e is the pro e oti ne . I nd ic a tio ns a re tha t the smo ke r a dju sts his smo kin g ha bit s nic to satisfy ither by fre quent or lar g e puff s on the the desire of nicotine e nu a , o r s mok ing a la rg e tte mbe r o f cigarett es. . . . [I ]t is ig re c ne ra lly a g g e d a t th is t ime tha t a “ sma ll” a mou nt of fr e e nic oti ne is e re sirable than a “lar g e” a mount of bound nicotine. more de S 22012). 82396938-6939 at 6938 (U 1 2 8 . I n the mid-1970s, L o ri l l ar d em b ar k ed o n an o t h er p ro j ec t 1 "L ower ed Nicotine called the r 9, 1976 memora ct Acc ording to a Novembe " ndum from company Vice Pre sident for . Proje tin g R . E . Smit h to the rese arc h depar tment, the projec t was aba ndoned. Howe ver, the Marke ill mor a nd um d isc los e d th a t, d e sp ite L or s c a rd ' me on tr a ry pu bli c de c la ra tio ns , th e c omp a ny wa s w e ll aw ar f t h e i m p o rt an ce o f n i co t i n e i n s u s t ai n i n g s m o k i n g: e o Project discussing the L ower Nicotine 50% with D r. Spear s, I After g re e tha t w e sh ou ld d isc on tin ue wo rk. We a ll u nd e rs ta nd tha t th is a pt ntified by onsumer trial a ppeal; as qua conce the has considerable c t a S c c e pt s tud y . H ow e ve r, it i s o ur jud NPS me nt t ha on c ig a re tte g with substa t ially lowere d nicotine could not deliver the smoking n tion to sust ain consumer purcha se. satisfac 01244504-4504 (US 20042). 11 29 . L or ill a rd kn e w t ha t ni c oti ne sh a re d a ttr ibu te s o f op ia te s, a nd so ug ht t o u se thi s knowledg e to its advantag M ar ch 16, 1978 memorandum by L orillard scie ntist R .S. Marmor e. A L summarized a lectur orillard by industry -funde d scientist iven at L eo Abood titled "I n Searc h of e g a Site a nd Me c ha nis m f or Ni c oti ne ' s A c tio n o n th e B ra in. " Ma rm or re po rt e d th a t: Searc Prof. Abood' here on "I n h of a Site a nd Mecha nism for s lecture Ni c oti ll tio n o n th e B ra in" wa s w e ll a tte nd e d a nd we ne's Ac is due to an rec eived. . . . The orizin g t h at nicotine' s activity -439-

470 acc idental mimicry p rese nt but as y et unknown of some norma lly o i e p t i d e ( a n a l o g o u s e n t i r e l y t p t h e r e c e n t o p i a t e - e n k e p h a lin a n br h finding s), rese ht be possible to deter mine the structure of arc it mig p om information about the re ceptor site. I n any case , this eptide fr o n e g a in o n th e me c h a n o m o f n ic w ti n e a c ti v it y ma y be informati is mining how to adjust phy siologica l impact in our useful in deter are ttes. We intend to support Prof. Abood by supply ing sa mples cig forming and per omputer work. some sy nthetic and c 00110371-0371 (US 34404). orillard ebrua ry 13, 1130. L n a F memorandum stamped " SECR ET," marke ting vice I 1980 e sid e nt Smit h de sc ri be d the g oa l of the on g oin g L or ill a rd nic oti ne re se a rc h p ro je c t c a lle d th e " RT pr uti nf ma tio n T a sk F or c e ." Th e me mor a nd um p ro vid e d L or ill a rd e xec or ve s, inc lud ing Dr . Sp e a rs , I oje ta of the se c re t pr ils c t: de d Goal -- level of nic otine that will allow etermine the minimum continued smoking . We hy pothesize that below some ver low nicotine level, diminished y t siol ic a l s a ti s f a c ti o n c a n n o g b e c o mp e n sated for by phy o cholog ical satisfa ction. At this point smokers will quit, or re turn psy ig he r T & N [ta r a nd nic oti ne ] br to h nd s. a 01394380-4381 at 4380 (U S 21543). o 1 1 . Seni o r Lor i l l ar d re s ea rc h er S . T . 1 3 m ) J o n es p re p ar ed a l en gt h y "co n fi d ential" repor t (T dated July 30, 1980, for the rese arc h leade rship in Gre ensboro tit led "Five- Yea r P lan Prepa ration," in which he revie curr ent literature on the " psy cholog y of smoking." J ones wrote in a sec tion wed rm e nti ng "A Re vie w o f B e ha vio ra pr nd Psy c ho ph a se a c olo g ic a l F a c tor s in Smo kin g " tha t, l a "U n d o u b te d ly , n ic o ti n e s e r v e s a p r im a r y r o le in c ig a r e tt e s mo k in g . " H e a ls o n o te d th a t, " A rea l problem in this whole are a is the diversity of t erms employ ed to say essentially the same thing ." H e t: la te r s ta te d th a -440-

471 Con sid ble research in bo th th e rel ati ve i mp ort ance a nd me c ha nis tic e ra ve [sic] been c h the role of pathway onducted. Althoug of nicotine ha major one of the nicotine is not completely understood, it is obviously s o ci ated with tobac co usag e. Consumption of nicotine, fac tors as no nis re d e dmi e r o ra lly , in tra ve te us ly , o r v ia smo kin g e lic its a ith me ro us re sp on se s in c lud ing inc re a se d p uls e ra te , va ri a tio ns in s kin nu ture, a tempera ve patte rn s . Hutchinson and nd chang es in brain wa o t h at nicotine is a powe rful che mical take the positi Emely n which re duces stre ssful and unplea sant stimulation. reinfor cer 01105000-5021 at 5001, 5002, 5009 (U S 20030). 1132. ntists also knew and ac cepte d the phen omenon of nicotine L orillard scie tion. J luded in his memorandum that smokers of low tar products compe nsated compensa ones conc tr ate d") t o ach iev e a greate r "ni cot in e do se": ("ti ic e vid e nc e to d a te c le a rl y ind e a te s tha t smok e rs tit ra te or re g ula te Th e o h ei r i n t ak i f n i co t t n e, e. g. s m o k er s o f c i gar et t es wh i ch d el i v er l ar ge amounts of nicotine will adjust -- g iven low nicotine cig are ttes when smoking to g et a larg otine dose than the ma chine -- their er nic ined values indica otine g ulate their nic rm dete te. Also, smokers re time when smoking g ular bra nd. intake over their re I d. at 5010. 33 . F ina lly , Jon 11 s su mma ri zed re se a rc h f ind ing s th a t " wi thd raw a l is a n id e nti fi a ble e sy nd ro me " c hara c te ri zed by " a nxie ty a nd ir ri ta bil ity ," " a n in a bil ity to c on c e ntr a te a nd a n in te ns e cra ving f co." I d. at 5013. or tobac bac Am f. ic an To e c o C om pany r 1134. Americ an has know n since the 1940s that nicotine was essential to its produc ts and itten by was re siologica l responses to smoking . An April 1940 document wr sponsible for the phy H. R. Hanmer, A merica n' s Direc tor of Resea rch, was t itled "Me morandum on the Nic otine Content of ction called L ucky Strike and Other L eading Br ands of Cig are ttes." The document conta ined a se -441-

472 "I mportance co and Tobac co P roducts." Hanmer observe d that the following of Nicotine in Tobac m a t s " w e r e " l o n g c o m m o n k n o w l e d g e " a f t h e c o c p a n y: " t sence s a u n iversal c onstituent of tobacco le af The pre of nicotine a plant l. Nicotine contributes to the entiates it from other materia differ tion of smoking. g co substitut es, devoid of n i cotine, ratifica Tobac en ac cepte d. . . . have not be phy That any constituents of smoke is due siologica l response to the ently lly nd h as rec epted a been c onfirmed. nera acc to nicotine is ge r over -smoking i s The mala ue to an e x cess of nicotine ise afte d ond one' s individual t o l erance . The plea sure, e uphoria, or bey ication from smoking are due to the s edative action of nicotine. pacif h fac ts long c ommon knowledg e to the Resea rch Staff , the such Wit or po ra tio n o f n ic oti ne c on tr ol i nto the se le c tio n o f t ob a c c os wa s a inc l de ic a ve log lop me nt. ATX300006425-6468V at 6428 (US 85324). Thes "f acts" and the company ' s ability to control nicotine we re important to the 1135. e development a e of America n' s most popular brand at the t ime, L ucky Strike. Hanmer nd maintenanc wrote in th e s a me me mo r a n d u m th a t it s s u c c e s s w a s th e r e s u lt o f th e c o mp a n y ' s " n ic o ti n e control po li ": cy instit cog fac ts pr esente d above led A re nition of the ution of a to the method of s cientific control of tobac co purc hased by the Company . . . . Th a t th e fa vo ra ble po sit ion of L UC KY STR I KE in c omp a ri so n w ith other lea ands is not fortuitous but the resul t of a ding br compre hensive nicotine c ontrol policy is demonstrated by the ma te um. a l e xhibi te d in thi s me mor a nd ri d. at 6440. I -442-

473 11 36 e tw e e n 194 0 an d 197 0, Am e ri c a n spo ns or e d 111 stu die s o n th e bio log ic a l e ff e c ts . B tt , are with ninety -three , or over 80%, re lated to the ef fec ts of nicotine on the body . of cig es ulations Restricting the and Distribution of Cig are ttes and Smokeless Tobac co to Protect g Sale "Re " 1996 F DA Jurisdi ctional Dete rmination, HHA 0680950-1649 ( US Children and Adolesc ents, 33031); VXA1242326- 3211 (US 64323). n a June 19, 1963 letter, American' s Assistant I the P resident ( and later company 1137. to Robert K. He imann labeled nic otine as " the cha rac teristic and e ssential el e me n t i n tobacc o president) su nd a c c o s mok e ." He ima nn a sse rt e d th a t th e " re du c tio n o f n ic oti ne to v e ry low le ve ls r e tob lts in a ctory an unsatisfa US 85325); ATC2471666-1666 (US 86691). smoke." MNAT00787182-7182 ( R CT g. ch funded by CTR also shows "that the c iga 1138. nufac turers ha ve Nicotine resear rette ma d like traditional pharm ac euti cal c ompanies," study ing the pharma cokinetics (a bsorption, acte o tine, the phar macody namics (e ffe cts on body chemistry ) of metabolism, and excretion) of nic ne oti ne , a nd the c lin ic a l e ff e c tiv e ss nic (w he the r dr ug is e ff e c tiv e in p ro du c ing the de sir e d e ff e c ts) of nicotine. VX 1242326-3211 at 2806-2087 ( US 64323). On Novembe r 22, 1977, CTR Associate Rese h Direc tor Donald H. Ford state d the 1139. arc or fur sear d nicotine re in a proposal f ch: following ther CTR-funde ] now see ms evident that nicotine, like nar cotics, influenc es the [I t ultiple way s invo l v i ng eff ects re lated to most known CNS in m d nsmitt urt h e r , th e d e p e n ers. F e n c e w h ic h d e v elops to tobacc o neurotra in h u ma n s ( a n d w it h d r a w a l s y mp to ms d u r in g th e c e s s a ti o n of nc smo ) a nd the de g re e of tol e ra g e to n icot ine wh ic h o c c ur s in kin c e rt a in a nim a l par a dig ms s tr on g ly su g g e st t ha t ni c oti ne is a ha bit ua tin g a g e nt. S 20073). 1000041912-1918 at 1912 (U -443-

474 1977 1 . For d prese n t ed h i s n i co t i n e o b s er v at i o n s an d p ro p osed re sear ch at the N ovember 0 4 1 ting. His proposed avenue s of re sear ch re lated to " Rece ptors and sites of nicotine a ction," CTR mee es, the e etal deve cts of nicotine on f hemical studi lopment, neuroe ndocrinolog y , and neuroc ffe al re S 21417); 0111 3 2 7 2 -3272 (US 85329); behavior sponses to nicotine. 1000036584-6590 (U 01113280-3284 (US 85330). 1 4 1 . T h i s No v em b er 1 9 7 7 C T R p re s en t at i o n b y Fo rd d re w t h e c o n ce rn o f P h i l i p M o rr i s 's 1 oti m O e ne , w ho la te r w ro te to B ob Se lig ma n tha t the nic sd ne " wo rk be ing ta ke n b y CTR is t ota lly To mines the public posture we have ta ken to outsiders." detrimental to our position and under 2022246952-6952 (US 36865). No 42 . Th e r 1 ve mbe 11 97 7 CT R me e tin g wa s a tte nd e d b y la wy e rs a nd e xec uti ve s fr om a ll the member cig tte manufa cture rs, along with severa l outside counsel (Don H oel, J anet B rown, are Morris' cording n by Phili p ting take s Tom Osdene, D r. F ord and Ed Jacob). Ac to notes of the mee d h is n ic o tine rese arc h in detail. This presenta tion was introduced by explaine tor CTR scientific direc Dr. Ga , who told the attendee s that, "O piates and nic otine may be similar in actions," and that rdner was a elationship betwee n nicotine and opiates." there The notes of attendee s indicate that no one "r quest i o n ed Dr . Fo rd 's p re m i s e o r D r. Ga rd n er 's i n t ro d u ct o ry re m ar k s . 1 0 0 0 0 3 6 5 8 4 -6590 at 6584 (US 21417); 01113280-3284 at 3280 ( US 85330). 1143. There afte r, as state d in the May 10, 1978 notes of the CTR I ndustry Technical Commi ttee Chairman Preston L eake (also Scientific Direc tor of Americ an Tobac co) to A merica n ruled Tobac ener al counse l Arnold Henson, the pr oposed nicotine wor k was “ co g o u t ” by outside ht counsel Ed Jacob. Jacob claimed that the nic otine work ha d antitrust impli cations because it mi g -444-

475 be subjec t to “misint erpr etation as produc t development.” 955017148- 7154 at 7149-7150 (U S 87142). wr a on c a B & y rd , H ok Sho y n b e a ll de Wen y e rn tto 11 44 . A Jun e 20 , 19 84 me mor a nd um, itt n h is de d n ic oti ne -f re se a rc h f or ind us tr y c lie nts . I un L . Sto ne , su mma ri zes the sig nif ic a nc e of CTR a d th de e c on mor me c ne Sto um, nd a t: 16 canc eas pe rtinent to Cipoll one (lung e ar er, e mphy sema, Of the thre nd CTR commentary an d bstracts a addiction) the a reg arding addiction the most c onsistently are adver se. Throug h the y ear s, CTR l studies acologica m ar h p ro n d an l ica macolog chophar d psy has funde eu siz e and le ave c lear the points that CTR vi ews nicotine which empha or " as a " psy cho active" chotropic" psy drug (terms whic h CTR has used), a nd that the re sear ch appr oach most appr opriate to study ing involves the pharma ior v a h the of nicotine. Among y colog e smoking b ts which undesira b l e rese arc ppear in abstrac h claims which a ledg acknow e CTR support: the identification ntral ific ce f spec o ts; c a ne oti ic h n ic wh ) at rs ne rv ou s sy ste m st ru c tur e s ( nic oti ne pto re c e eff ted rent purpor of diffe y ects of nic otine on a vari et , etc.; var ious nsmitt rning, neurotra ers involved in lea memory ed cent inferr h can be ts of nicotine from whic fec al ef behavior ral stem nervous sy ts, some of which mig ht be used to support ef fec ler al. draw th ass d "wi ance" an " ng "to regardi ns io ert S 20866). 515709297-9340 at 9298 (U r d e nc c a rw de s in te rn a lly e vid e e Th . 45 11 e helm in gly sh ow s th a t D e ov fe nd a nts ha ve fo e rec og nized that smoki ng is addictive and tha t nicotine is the key to that addiction. icly Denied that Nicotine 4. tinue to