Connecticut Attorney General's Office

Press Release

Attorney General Announces 41 States, D.C. Reach Settlement With Company That Distributed Illegal Sign

January 7, 2009

Attorney General Richard Blumenthal announced today that Santa Fe Natural Tobacco Company has agreed to stop distributing a promotional sign that violates the 1998 tobacco settlement. The agreement involves 41 states, including Connecticut, and the District of Columbia.

Santa Fe Natural Tobacco violated the 1998 agreement by giving out tin signs featuring its "Natural American Spirit" cigarette brand.

"These promotional signs are both a symbol and a symptom of slick pitches that show the tobacco industry unrepentant, still relying on marketing tactics to sell death and addiction," Blumenthal said. "This legal action demonstrates our undiminished determination to fight tobacco -- hopefully now a battle joined by a new president committed to public health."

The 1998 settlement prohibits tobacco companies from dispensing certain types of promotional materials, including decorative signs. Under the agreement announced today, Santa Fe Natural Tobacco pledged to not distribute any such signs in the future, as well as other promotional materials including: toys, games, fashion accessories, CDs, DVDS, video games, clothing, athletic equipment, outdoor gear, luggage, stationery items, housewares, and paintings and plaques intended for the home.

The company also agreed to pay a $250 fine per any future violation.

Blumenthal added, "This historic agreement bans slick signs and other pernicious promotions intended to make cigarettes seem cool. These merchants of death and disease depend on marketing to hook a new generation, enticing children and young adults with hip merchandise. Blocking distribution of signs, CDs, DVDS, clothing and other items hyping cigarettes is vital to reducing the appeal and incidence of smoking, especially among youth."

The tobacco agreement required participating tobacco companies to make substantial annual payments in perpetuity to 52 states and territories, and imposed significant marketing and advertising restrictions on the companies. Since the MSA was signed, American consumption of cigarettes has declined by over 100 billion cigarettes, based on data from the American Lung Association. According to the Centers for Disease Control, however, tobacco-related disease continues to be the leading preventable cause of death in the United States and results in more than $190 billion in medical expenses each year.

States participating in the agreement include: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maryland, Massachusetts, Michigan, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Vermont, Washington, West Virginia and Wyoming.