From: afoxland@starband.net
Date: Mon, 03/03/03
Anne Landman Posting Date: Monday, March 3, 2003
Tobacco Exec Stuns Observers Deposition Says Nicotine Can Be
Addictive Drug
Company/Source: Lorillard
Document Date: 19970822/P
Length: 4 pages
Bates No. 86329862/9865
URL: http://tobaccodocuments.org/landman/86329862-9865.html
PDF Format:
http://legacy.library.ucsf.edu/cgi/getdoc?tid=gpt68c00&fmt=pdf&ref=results
While testifying in Florida's lawsuit against the tobacco
industry in 1997, Philip Morris CEO Geoffrey Bible admitted that cigarettes were
addictive and may have killed more than 100,000 smokers. He also said under
oath that when scientists prove that cigarettes caused lung cancer, he would
order the company's plants to stop production immediately. Here are the key
portions of Mr. Bible's testimony:
Mr. Motley [plaintiff's attorney]: Would Philip Morris agree
that a single American citizen who smoked their products for 30 or more years
has ever died of a disease caused in part by smoking cigarettes?
Mr. Bible: I think there's a fair chance that one would have,
yes. Might have.
Mr. Motley: How about a thousand?
Mr. Bible: Might have.
Mr. Motley: A hundred thousand?
Mr. Bible: Might have.
Asked what he would do with his manufacturing plants if scientists
proved "that cigarettes were a cause of lung cancer," Mr. Bible said he would
"shut it down instantly."
Lorillard chairman and CEO Alexander Spears also testified in
the same trial. He said he "didn't think any Americans dies of diseases caused
by cigarette smoking." He also said that if scientists proved cigarettes were
cancer-causing, he would continue to make cigarettes "until the government
padlocked his doors."
Today, in 2003, under a section entitled "Health Issues," Philip
Morris's web site states:
"We agree with the overwhelming medical and scientific consensus
that cigarette smoking causes lung cancer, heart disease, emphysema and other
serious diseases in smokers."
http://www.philipmorrisusa.com/health_issues/cigarette_smoking_and_disease.asp
There is no mention on the web page of Mr. Bible's 1997
statement that he would stop production of cigarettes at this point (now that
science has reached an "overwhelming concensus" that cigarettes cause cancer),
nor is there any statement about why Philip Morris/Altria has not honored its
CEO's promise, made under oath..
According to attorney Dick Daynard of the Tobacco Products
Liability Project at Northeastern University School of Law in Boston, Bible's
testimony doesn't have any force of law, but could be "damned persuasive to a
jury."
Quotes
Tobacco Exec Stuns Observers
Deposition says nicotine can be addictive drug
08/22/97 by Mark Cerriden/The Dallas Morning news
The top executive of the nation's largest cigarette maker
stunned lawyers and political observers Thursday when he said under oath that
nicotine is a drug and could be addictive and that cigarettes may have killed
more than 100,000 smokers.
Geoffrey Bible, chief executive officer of Philip Morris
cos., testified in a deposition that if and when scientists prove that
cigarettes were causing lung cancer, he would order the company's manufacturing
plants to stop production immediately.
Mr. Bible's testimony in West Palm Beach, Fla., represents a
dramatic shift in legal strategy by the tobacco industry from earlier sworn
testimony by cigarette executives that their products are neither dangerous nor
addictive.
Although Mr. Bible's comments were surprising, including to
many of his company's defense lawyers, legal analysts say the testimony was
undoubtedly preplanned and well-calculated to gain support in Congress for the
proposed $368.5 billion legal settlement. My making these limited concessions,
the industry is trying to show that it will be more cooperative and more
truthful with investigators, experts say.
Plaintiff's lawyers suing Big Tobacco believe the statements
can only strengthen their court cases.
"I was shocked at his admissions," said trial lawyer Ron
Motley, who questioned Mr. Bible in the state of Florida's lawsuit against the
tobacco companies. Florida, Texas and 37 other states have sued the industry
seeking reimbursement of the tens of billions of dollars they have spent in
Medicaid costs due to smoking-related illnesses.
"This is a complete reversal in the tobacco industry's
stance," said Mr. Motley. "I think they know legally that they are in trouble
with their long-held position of total denial."
Mr. Bible and Philip Morris officials declined to comment on
the deposition. An industry lawyer downplayed the testimony, calling it "pretty
uneventful."
Steven Goldstone, the CEO of RJR Nabisco Inc., the nation's
No. 2 cigarette maker, was scheduled to be questioned under oath Friday morning.
Earlier this month, Bennett S. LeBow, chief executive
officer of Liggett Group Inc., the smallest of the U.S. cigarette manufacturers,
testified under oath that nicotine is addictive and causes cancer. However, the
other tobacco companies downplayed Mr. LeBow's admissions as being influenced by
the financial settlement his company reached with the state attorneys general in
March.
In contrast, Lorillard chairman and CEO Alexander Spear
testified in April that he "didn't think any Americans die of diseases caused by
cigarette smoking." And he said even if scientists proved they were
cancer-causing, he would continue making cigarettes until the government
padlocked his doors.
Also earlier this year, another Philip Morris executive
compared cigarettes to gummy bears candy in addictiveness.
Legal experts say Thursday's disclosures by Mr. Bible are
considerably more significant because Philip Morris, which controls more than 50
percent of the nation's cigarette sales, dictates the financial, legal and
political strategies for the industry....
...Although Mr. Motley and other anti-smoking lawyers have
noticed a gradual evolution by tobacco lawyers toward admitting the risks of
cigarettes, many were shocked Thursday when the words actually left Mr. Bible's
lips.
Mr. Motley: Would Philip Morris agree that a single American
citizen who smoked their products for 30 or more years has ever died of a
disease caused in part by smoking cigarettes?
Mr. Bible: I think there's a fair chance that one would
have, yes. Might have.
Mr. Motley: How about a thousand?
Mr. Bible: Might have.
Mr. Motley: A hundred thousand?
Mr. Bible: Might have.
Asked what he would do with his manufacturing plants if
scientists proved "that cigarettes were a cause of lung cancer," Mr. Bible said
he would "shut it down instantly."
"I think if that were to happen, my first reaction would be
to very quickly see what it was that was causing the difficulty, and see quickly
if we could remove it, address it satisfactorily," he said.
Mr. Bible was also asked whether he believes cigarettes are
addictive. "Behaviorally it is, perhaps," he answered. "It certainly is not
pharmacologically addictive."
He did not explain the legal disparity between the two,
though lawyers said it gives the industry a little "wiggle room" in the
courtroom to assert that smokers can quit if they really want to.
---------------------------------------------------------
Notes
Thanks to Bert Hirschhorn for reminding us about this
important testimony.
-----------------------------------------------
Company: Lorillard
Author: Mark Cerriden, The Dallas Morning News
Recipient: Grefe & Sidney
Subject: addiction
Health Effects
cancer
lawsuit
settlement
Corporate strategy
corporate responsibility
Corporate image
Region: United States
Type: COMP, COMPUTER PRINTOUT
NEWS, NEWSPAPER ARTICLE
Litigation: Feda/Produced
Named Organization: Philip Morris
Liggett Group
RJR Nabisco
Named Person: Motley, Ronald, L., ESQ. (Attorney)
Helped states sue tobacco companies to help recoup Medicaid costs of treating
sick smokers. Helped bring about Master Settlement Agreement.
Bible, Geoffrey (Managing Dir. of PM c. 1983, Pres/CEO PM
(97-02)) Born circa 1938 in Australia and became an accountant. Joined PM
as a finance manager in Europe in 1968. Left PM briefly and returned in 1976.
Served as managing Director of PM circa 1983, President and Chief Executive
Officer of PM 1997-02, CEO and Chairman of the Board of PM circa 2000. Replaced
CEO Michael Miles who resigned in '94.
Spears, Alexander W. (Former President and Chief Executive
Officer of Lorillard Tobacco Co.) Associated with CTR, used as an expert
in the Mississippi case.
LeBow, Bennett S. (President & CEO of Liggett Group, 1990-93)
Bennett S. LeBow was President and Chief Executive Officer of Liggett
Group, Inc. from 1990 through 1993. He was on the Board of Directors from 1988
to 1989. He was employed by Brook Group, Ltd. and served as Chairman, President,
Chief Executive Officer, Treasurer and was on the Board of Directors from 1994
to 1995. (N.M., L & M Liability Notebook, Section 3, Personnel List). LeBow was
an investor who purchased the Liggett Group Inc. from Grand Metropolitan PLC in
1986 (L. White, Merchants 1988). Grand Metropolitan PLC was the parent of the
Liggett Group and Liggett & Myers Inc. from 1980 to 1986 (E. Whelan 1984,
Merchants 1988). The Liggett Group was sold by Grand Metropolitan PLC to
investors Robert E. Gillis and Bennett S. LeBow in 1986. GrandMet kept Alpo (L.
White, Merchants 1988).
Goldstone, Stephen (CEO of RJR/Nabisco - 1999-)
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Correction: Several subscribers noted a typo in the posting from Feb. 27,
the Principal Risks to Marlboro. The passage in question read:
"The principal risk facing Marlboro during the plan period is the
projected decline in the number of young smokers. From a total of 28 million
now, the 18 to 24 age category is forecasted to decrease to approximately 125
million in 1991. Start rates for young adults are expected to remain relatively
stable, but at a much lower level than ten years ago...These trends make it
important that Marlboro continues building share among young smokers..."
The quote should have read "....forecasted to decrease to approximately 25
million" (not 125 million) ..."
Thanks to the eagle-eyed readers who caught this error
A.L.
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