Rothmans, Benson and Hedges Notes and Authorities Appendix A
Transcription
Rothmans, Benson and Hedges Notes and Authorities Appendix A
Rothmans, Benson and Hedges Notes and Authorities Appendix A 1958 Rembrandt Group through subsidiaries 76% Carreras London 100% Rothmans of Pall Mall Canada Limited Rock City Minority Interest 70% Rock City Tobacco Limited Philip Morris Inc. 100% Benson & Hedges (Canada) Inc. 30% 1963 Philip Morris Inc. Rembrandt Group 100% 50% Public 50% Benson & Hedges (Canada) Inc. Rothmans of Pall Mall Canada Limited* * In 1960, Rock City Tobacco Limited became a wholly-owned subsidiary of Carreras London. By 1963, Rothmans of Pall Mall Canada Limited (“RPM”) had acquired Rock City Tobacco Limited and was 50% publicly-owned. 1985 Philip Morris Companies Inc. ** 24.9% *** 100% Rothmans International* 71.2% Public 28.8% Philip Morris Inc. Rothmans Inc. **** 100% 100% Benson & Hedges (Canada) Inc. Rothmans of Pall Mall Limited * Rothmans International (“RI”) was incorporated in 1972. ** Philip Morris Companies Inc. (“PMCI”) was incorporated in 1985 and became the publicly-held holding company and parent of Philip Morris Inc. (“PM Inc.”). *** In 1981, PM Inc. acquired an indirect, minority shareholder interest in Rothmans International (“RI”). The 1981 RPM annual report noted: “The Board of Rothmans International has been assured that the operations and management of Rothmans International and its associated companies will continue as before, with Philip Morris participating only as an investor.” In 1984, PM Inc. restructured its investment, selling its indirect interest and purchasing a direct 30% equity interest (24.9% voting interest) in RI. PM Inc. later transferred that interest to PMCI, which sold it back to the Rembrandt Group in 1989. **** In 1985, Rothmans Inc. replaced RPM as the publicly-held corporation. 1986 Philip Morris Companies Inc. 24.9% Rothmans International 100% 71.2% Public 28.8% Philip Morris Inc. Rothmans Inc. 60% (through subsidiaries) 40% Rothmans, Benson & Hedges Inc. * * Rothmans, Benson & Hedges Inc. was formed in December 1986 by the amalgamation of Rothmans of Pall Mall Limited and Benson & Hedges (Canada) Inc. 1987 24.9% Philip Morris Companies Inc. 100% Philip Morris Inc. Rothmans International 100% 71.2% Public 28.8% Philip Morris International Inc.* Rothmans Inc. 60% (through subsidiaries) 40% Rothmans, Benson & Hedges Inc. * In 1987, PM Inc. transferred its international holdings to a newly incorporated company, Philip Morris International Inc. (“PM Int’l”), which was created as a wholly owned subsidiary of PMCI. 2000 Philip Morris Companies Inc. 100% Philip Morris Inc. Public 100% 100% Philip Morris International Inc. Rothmans Inc.* 60% (through subsidiaries) 40% Rothmans, Benson & Hedges Inc. * In 1999, British American Tobacco (“BAT”) merged with RI, and as a result acquired majority ownership in Rothmans Inc. Canada’s competition regulator required BAT to divest itself completely of ownership in Rothmans Inc., which was done by divestiture to the public. 2008 Altria Group Inc. (formerly Philip Morris Companies Inc.) Philip Morris International Inc. * (through subsidiaries) 100% 100% Philip Morris USA, Inc. (formerly Philip Morris Inc.) Rothmans Inc. 100% Rothmans, Benson & Hedges Inc. * In 2008, Altria Group Inc. spun off PM Int'l as a wholly separate company. PM Int’l has no ongoing corporate relationship with either Altria Group Inc. or Philip Morris USA, Inc. Also in 2008, PM Int'l acquired all outstanding common stock of Rothmans Inc. Subsequently, Rothmans Inc. and RBH merged. Rothmans, Benson and Hedges Notes and Authorities Appendix B RBH Preliminary Timeline: 1900-1998 Date Description Prior to the 1950s 1908 Tobacco Restraint Act (Federal): Restricts sale of tobacco products to persons 16 or older. 1 1933 Delhi Research Station (“DRS”) opens. 2 193944 Canadian government supplies soldiers with cigarettes. 3 1940 National Health and Welfare (“Health Canada”) publishes pamphlet entitled “Smoking”. 4 1940 Tobacco Tax Act (Quebec): Cigarette consumption tax introduced in Quebec. This legislation requires licensing of Canadian tobacco manufacturers, retailers and wholesalers. 5 1950-1967 1950s Articles published, including in the Readers’ Digest, on association between smoking and cancer. 6 1958 Article titled “Lung Cancer and Cigarette Smoking” is published in Health Canada’s in-house magazine, “Canada’s Health and Welfare.” 7 1960 Canadian Veterans Study preliminary results in the study entitled “A Canadian Study of Mortality in Relation to Smoking Habits a Preliminary Report”, are presented to Canadian Public Health Organization May 31-June 2, 1960; published March 1961. 8 1963 Health Minister Judy LaMarsh states: 9 “(t)here is scientific evidence that cigarette smoking is a contributory cause of lung cancer, and that it may also be associated with chronic bronchitis and coronary heart disease” Health Canada has “a duty to inform the public about the risk to health connected with cigarette smoking. It seems to me that special efforts should be made to dissuade children and young people from acquiring the habit.” 1963 1 National Conference on Smoking and Health of Health Canada is hosted by Judy LaMarsh. The ad hoc committee of the Canadian Tobacco Industry is formed at Health Canada’s request to make a single presentation at the Conference. 10 Date 1964 Description Surgeon General’s Report concludes, among other things, that cigarette smoking is: 11 a cause of lung cancer in men a cause of laryngeal cancer a habit 1964 Cigarette Advertising Code of Canadian Tobacco Manufacturers bans: 12 cigarette advertising stating one brand is better for health than another cigarette advertising whose major appeal is directed to persons under 18 use of models under 25 cigarette advertising on TV before 9 pm use of celebrities/athletes in ads whose major appeal is to persons under 18 1965 Health Canada issues a press release indicating that 90 percent of Canadians were aware of the health issues associated with cigarette smoking. 13 Health Minister LaMarsh states: “I feel there is reason for satisfaction in the degree to which Canada has become acquainted with the situation...It is just two years since, in the House of Commons, I announced my Department’s initial target of informing the public about the risk involved. The study indicates that, except for a small minority, success has been achieved in that respect.” 1968-1986 1968 First Health Canada League Table published by Minister John Munro. 14 at least 20 league tables and press releases are published between November 1968 and 1987 (with a break between 1975 and 1979) 1969 Health Canada League Tables published. 15 in the press release accompanying the December 12, 1969 League Table, Health Minister John Munro states: “(t)he ratings are based on standard smoking with a smoking machine and the actual intake of tar or nicotine from a particular brand will vary according to the way the smoker smokes his cigarettes, for example, the number of puffs, the depth of inhalation and the length of butt discarded.” 2 Date 1969 Description Isabelle Committee Report. Recommendations include: 16 no cigarette advertising on television or radio before 10 p.m. a warning in all remaining advertising and promotional materials a warning on all cigarette packs and cartons eventual elimination of all cigarette promotional activities within two years, Canadian cigarette manufacturers discontinue the production of cigarettes exceeding specified maximums of tar and nicotine content government authorized statements of tar and nicotine levels on all cigarette packages and cartons, in cigarette advertising and promotional materials and on cigarette vending machines increased research into less hazardous cigarettes products and ways to smoke 1969 Health Canada develops “Canadian” method of testing for tar and nicotine during the 1960s in co-operation with University of Waterloo. It is officially adopted by the Canadian tobacco manufacturers in 1969. 17 1970 The Departments of Health and Agriculture establish the Less Hazardous Cigarette Program. 18 1970 Health Canada League Table published. 19 1971 Ad hoc committee of the Canadian Tobacco Industry changes its name to Canadian Tobacco Manufacturers Council. 20 1971 Health Canada League Table published. 21 1971 In a speech to tobacco growers, Agriculture Canada says “There is a new vista on tobacco - for all of us. Our research will guide you in how to manipulate the tar and nicotine levels in the tobacco you grow and get ready for market; our objective is to reduce the tar and nicotine levels in tobacco and hence in cigarettes, to a level which can be described as being realistic for all concerned. The manufacturers will have a major role in attaining desired levels; National Health and Welfare will help determine what levels are reasonable and Canadian smokers should be able to keep potential hazards to a minimum.” 22 1971 Bill C-248 An Act Respecting the Promotion and Sale of Cigarettes (Federal) introduced but not adopted. includes proposed health warning: “Warning: Danger to Health Increases With Amount Smoked, Avoid Inhaling.” 23 1971 3 Health Canada League Table published. 24 Date 1972 Description Cigarette Advertising Code of the Canadian Tobacco Manufacturers: 25 requires warnings on cigarette packages: “The Department of National Health and Welfare advises that danger to health increases with amount smoked.” states cigarette advertising shall be addressed to adults 18 years of age and over sets tar and nicotine maximums bans cigarette advertising on radio and television limits advertising expenditures in remaining media to 1971 levels 1972 Health Canada League Table published. 26 1973 Health Canada League Table published. 27 1973 Health and Agriculture Ministers jointly announce laboratory at Delhi Research Station to “contribute to international efforts to produce less hazardous tobacco products.” 28 1973 Health Canada League Table published. 29 1973 Canadian tobacco manufacturers agree to and begin displaying warnings on tobacco product print advertising. 30 1974 Health Canada League Table published. 31 1974 Health Canada League Table published. 32 1975 Cigarette & Cigarette Tobacco Advertising and Promotion Code of the CTMC: 33 average tar and nicotine content will be shown on all packages and in print media advertising warning revised: “Health and Welfare Canada advises that danger to health increases with amount smoked – avoid inhaling.” warning to also appear in cigarette print advertising and other promotion media; e.g. airport, subway and transit signs, point-of-sale materials 1976 Cigarette and Cigarette Tobacco Advertising Code of the Canadian Tobacco Manufacturers’ Council is amended. 34 1977 Toward Less Hazardous Cigarettes Program: January meeting attended by Health Canada, Agriculture Canada, Universities of Guelph and Waterloo. 35 CTMC invited to and attends June meeting of Health Canada, Agriculture Canada, Universities of Guelph and Waterloo. 36 1977 4 Health Canada publishes “Smoking and Health in Canada.” 37 Date Description 1978 Health Canada sets SWAT target. 38 1979 Health Canada League Table published. 39 19791983 Introduction of four new tobacco varieties (Nordel, Delgold, Newdel, and Candel), specifically linked to Agriculture Canada/Delhi attempts to reduce tar levels while maintaining nicotine levels: 40 1981 Health Canada League Table published. 41 1981 Health Canada sets SWAC target. 42 1982 Health Canada League Table published. 43 1983 Health Canada League Table published. 44 1983 5th World Conference on Smoking and Health (Winnipeg) 45 Health Minister Bégin opens conference and notes “(t)wo important and unique features that have characterized the Canadian experience with regard to policy and program development are voluntary agreements between industry and federal government with regard to many aspects of tobacco production and marketing, and collaboration among governments, health agencies and professionals in planning and developing prevention and cessation programs.” 1984 Cigarette and Cigarette Tobacco Advertising and Promotion Code is amended twice: 46 health warning is now also displayed on billboards, cigarette carton wrappers, and imported cigarettes 1984 Health Canada League Table published. 47 1984 Health Canada League Table published. 48 1985 Cigarette and Cigarette Tobacco Advertising and Promotion Code is amended. 49 1985 Ontario Ministry of Consumer and Commercial Relations rejects Business Practices Act complaint filed against Rothmans of Pall Mall Canada Limited by Non-Smokers’ Rights Association regarding addictiveness of tobacco products. 50 1985 Health Canada League Table published. 51 1986 Health Canada League Table published. 52 1987-1998 1987 Health Canada League Table published. 53 1987 Quebec restricts indoor smoking. 54 1988 U.S. Surgeon General’s Report concludes tobacco is addicting. 55 5 Date 1988 Description Tobacco Products Control Act (TPCA) is passed. 56 bans tobacco product advertising (company sponsorships still permitted) 1988 Non-Smokers’ Health Act restricts smoking in federally regulated workplaces and public places. 57 1989 Tobacco Products Control Regulations. 58 Introduces four rotating health warnings (20% of pack): smoking reduces life expectancy smoking is the major cause of lung cancer smoking is a major cause of heart disease smoking during pregnancy can harm the baby 1989 With enactment of the TPCA, ISO cigarette testing method is adopted in Canada. 1989 Royal Society of Canada releases report, concludes cigarette smoking can, and frequently does, meet all the criteria for the proposed definition of addiction. 59 1994 Tobacco Sales to Young Persons Act: 60 raises national age to legally purchase cigarettes to 18 bans sale of cigarette packs with less than 20 cigarettes61 1994 Tobacco Products Control Regulations is amended. 62 Increases rotating health warnings from four to eight, occupy more space on pack (30-40%): cigarettes are addictive tobacco smoke can harm your children cigarettes cause fatal lung disease cigarettes cause cancer cigarettes cause strokes and heart disease smoking during pregnancy can harm your baby smoking can kill you tobacco smoke causes fatal lung disease in non-smokers 1995 6 A Historical Study of Nicotine Yields of Canadian Cigarettes in Relation to the Composition and Nicotine Content of Cigarette Tobacco (1968-1995) Final Report 63 Date Description 1995 Supreme Court of Canada strikes down key provisions of TPCA related to advertising ban and unattributed health warnings. 64 1995 The Tobacco Industry Voluntary Packaging and Advertising Code of the Canadian Tobacco Manufacturers Council is adopted, filling the void created by the 1995 Supreme Court of Canada decision. The Code requires continued display of the TPCA package warnings (with attribution to Health Canada) and the display of specified warnings on tobacco product advertising. Among other things, the Code also: 65 requires pre-clearance of ads prohibits lifestyle ads, as defined in the Code prohibits advertising directed to persons other than adults and contains additional youth-related restrictions 1997 Tobacco Act (Canada) reintroduces product advertising restrictions (treated as product advertising ban) and phases out sponsorship. 66 1998 – present 1999 Health Canada introduces Intense Smoking Method 67 ventilation holes are blocked before machine measurement larger and more frequent puffs (55 mL every 30 seconds, versus 35 mL every 60 seconds) 1999 Quebec’s Tobacco Act. Prohibits: 68 smoking at health and educational institutions, childcare services, public transportation and workplaces all direct or indirect sponsorships 1999 Notice posted on PM USA website: “There is an overwhelming medical and scientific consensus that cigarette smoking causes lung cancer, heart disease, emphysema and other serious diseases” “Cigarette smoking is addictive, as that term is most commonly used today. It can be very difficult to quit smoking, but this should not deter smokers who want to quit from trying to do so.” John McDonald (RBH) is quoted as not disagreeing with PM USA position. 69 2000 Regulations to Tobacco Act adapted including: Tobacco Products Information Regulations 70 Tobacco Reporting Regulations 71 New health warnings with pictures occupying 50% of pack 7 Date Description 2000 Senate Committee Hearings on Bill S-20, Tobacco Youth Protection Act 72 2003 Last known reference on Health Canada website encouraging smokers to switch to Light and Mild products73 2006 Agreement with Competition Bureau to eliminate “Light” and “Mild” descriptors 74 2007 SCC interprets Tobacco Act as permitting product advertising 75 2008 Quebec Regulation under the Tobacco Act, OC 704-2008 76 • 2009 Quebec Retail Display Ban Bill C-32: 77 use of certain flavours and additives prohibited magazine advertising eliminated 2011 Canada Consumer Product Safety Act (only applies to cigarettes in terms of light ignition propensity)78 2012 Federal Regulations:79 Size of warnings enlarged (75%) T&N numbers no longer required to be set out on packages 8 SOURCE 1 Trial Exhibit 40002A-1908: Tobacco Restraint Act, S.C. 1908, c. 73. 2 Trial Exhibit 40346.246: E.K Walker, Delhi Research Station 1933-1983 Ottawa: Research Branch, Agriculture Canada, Historical Series No. 17, 1983. 3 Minutes of Meeting of the Committee of the Privy Council, approved by Governor General, 14 August 1944. 4 Trial Exhibit 40346.20: Smoking (1940). 5 Tobacco Tax Act, S.Q. 1940, c. 15. 6 Trial Exhibit 1410: Report, “A Scientific Perspective on the Cigarette Controversy,” Tobacco Industry Research Committee. Trial Exhibit 40346.146: Journal article, “Tobacco Smoking as an Etiologic Factor in Disease,” Robert Schrek, Lyle A. Baker, George P. Ballard, and Sidney Dolgoff, 1 Cancer. Trial Exhibit 20064.23: Miller, Lois Mattox, and James Monahan: "Que Valent les Cigarettes a Bout Filtrant?" Sélection du Reader's Digest (July 1957); 81-87. See also Trial Exhibits 30029.031; 30029.033; 30029.088; 30029.118; 30029.140, 30029.141; and 20065.89. Trial Exhibit 40346.080: Wynder, Ernest L. And Graham, Evarts A., “Tobacco Smoking as a Possible Etiologic Factor in Bronchiogenic Carcinoma” published in JAMA. Trial Exhibit 40346.007: Doll and Hill, “Smoking and Carcinoma of the Lung – Preliminary Report”, published in BMJ. Trial Exhibit 40346.081: E. Wynder, Experimental Production of Carcinoma with Cigarette Tar, Cancer Research, 8 June 1953. Flaherty Report at para. 108. Miller, Lois Mattox, and James Monahan: "La Cigarette et le Cancer," Sélection du Reader's Digest (August 1954); 24-30. 7 Trial Exhibit 40347.1: “Lung Cancer and Cigarette Smoking” by E. H. Lossing, Epidemiology Division, Health Canada, January 1958. 8 Trial Exhibit 40346.106: Best, E.W.R.; Josie, G.H.; Walker, C.D., 1961 “A Canadian Study of Mortality in Relation to Smoking Habits: A Preliminary Report”, Canadian Journal of Public Health, 52(3), 99 – 106. 9 9 Trial Exhibit 40346.56: LAC, RG 29, Accession 1985-86/235, Box 150, File 6040-N161, Part 1. Department of National Health and Welfare, “Smoking and Health: A Presentation of the Department of National Health and Welfare. Prepared for the Canadian Conference on Smoking and Health, November 25 and 26, 1963, Ottawa,” Appendix III (1963), 14, at PDF p. 79. 10 Trial Exhibit 40346.056: Department of National Health and Welfare. Smoking and Health: Presentation Prepared for the Canadian Conference on Smoking and Health, November 25 and 26, 1963, Ottawa. Ottawa: Department of National Health and Welfare, 1963. Trial Exhibit 20326: Letter from Health Canada Minister Judy LaMarsh to John Keith (ITCAN), July 11, 1963. 11 Trial Exhibit 601: U.S. Public Health Service, 1964, Smoking and Health, Report of the Advisory Committee to the Surgeon General of the Public Health Service, U.S. Department of Health, Education, and Welfare, Public Health Service, Center for Disease Control, PHS Publication No. 1103. 12 Trial Exhibit 40005B-1964: Cigarette Advertising Code of Canadian Tobacco Manufacturers, June 16, 1964. 13 Trial Exhibit 40064.73: Department of National Health and Welfare Press Release, “Nine out of Ten Canadians Aware of Cigarette Issue,” August 31, 1965. Trial Exhibit 20529: Canadian Facts Survey, December 1964. 14 Trial Exhibit 20007.7: News release, “Minister of National Health and Welfare Releases First Report of Tar-Nicotine Study”, November 20, 1968. 15 Trial Exhibits 40318; 40319: News release, “Second Report on Canadian Cigarette Tar-Nicotine Content,” May 27, 1969. Trial Exhibits 20007.8; 20007.10, 40346.390: News release, “Third Report on Canadian Cigarette Tar-Nicotine Content,” December 12, 1969. 16 Trial Exhibit 1554.4: “Report of the Standing Committee on Health, Welfare And Social Affairs on Tobacco and Cigarette Smoking”, November 1969, at p. 50. 17 Trial Exhibit 914: John Broen memo to file re “ISO versus Canadian testing methods,” January 10, 1985. 18 Trial Exhibit 40346.272: Letter from Dr. Maurice LeClair (Deputy Minister of National Health and Welfare) to Mr. S.B. Williams (Deputy Minister of Agriculture), 10 December 1970. 19 10 Trial Exhibit 20007.2: News release, “'Tar and Nicotine Levels of Canadian Cigarettes Drop,” July 21, 1970. 20 Trial Exhibit 544E: Minutes of AHC Meeting in Montreal, January 12, 1971, at p. 8. 21 Trial Exhibit 40346.256: News release, “Fourth Report on Cigarette Tar-Nicotine Content,” dated February 2, 1971. 22 Trial Exhibit 40346.273; 40332: Notes for an Address by Dr. D. C. Hamilton to the Tobacco Industry at Delhi, Ontario, “Tobacco Research in CDA,” July 14, 1971. 23 Trial Exhibit 40347.12: Bill C-248, “An Act respecting the promotion and sale of cigarettes”, First Reading, June 10, 1971, 3rd Session, 28th Parliament, 19-20 Elizabeth II, 1970 – 71. 24 Trial Exhibit 40304: News release, “Tar and Nicotine Results Released,” August 17, 1971. 25 Trial Exhibits 40005D-1972, 20001: January 1, 1972 Cigarette Advertising Code of the Canadian Tobacco Manufacturers’ Council (adopted on September 15 1971 to take effect January 1 1972, amended with revised warning in May, 1972). Trial Exhibit #40005D-1972 (MCS14965); 20001: Brochure, “Cigarette Advertising Code of the Canadian Tobacco Manufacturers’ Council”, 1 January 1972. See also Trial Exhibit 40005F-1973 1973 Warning (John Player Special advertisement). 26 Trial Exhibit 20007.3: News release, “Tar, Nicotine Test Results Released by Health Minister,”' February 16, 1972. 27 Trial Exhibit 20007.9: News release, “Tar and Nicotine Levels in Cigarettes Show Some Improvement,”' dated February 21, 1973. 28 Trial Exhibit 20079: Agriculture Canada Press Release, “New Tobacco Research Labs,” January 22, 1973. 29 Trial Exhibit 20007.5: News release, “Tar and Nicotine Levels in Canadian Cigarettes,” December 20, 1973. 30 Trial Exhibit 40005F-1973: John Player Special print advertising, January, 1973. Trial Exhibit 20077: Letter to Mr. Paul Paré (CTMC) from Health Minister Lalonde, January 3, 1973. 31 Trial Exhibit 20007.6: News release, “Tar, Nicotine Level Show Some Substantial Reductions,” March 29, 1974. 32 Trial Exhibit 20104.1 and 20104.2: News release, “First Quarter 1974 Cigarette Tar and Nicotine Statistics Released,” November 12, 1974. 11 33 Trial Exhibit 40005G-1975: January 1, 1975 Cigarette and Cigarette Tobacco Advertising and Promotion Code of the Canadian Tobacco Manufacturers’ Council. Trial Exhibit 40005H-1975: January 1, 1975 Regulations. Trial Exhibit 40005K-1975: January 1, 1975 Cigarette and Cigarette Tobacco Advertising and Promotion Code of the Canadian Tobacco Manufacturers’ Council (amended). 34 Trial Exhibit 40005L-1976; 20003: January 1, 1976 Memorandum and Attachment, Re: Cigarette and Cigarette Tobacco Advertising Code of the Canadian Tobacco Manufacturers’ Council. 35 Trial Exhibit 20803.01: Minutes of Meeting, “Toward Less Hazardous Cigarettes: Record of Simcoe Meetings,” January 25-27, 1977. 36 Trial Exhibit 40346.236: Minutes of Meeting, “Toward Less Hazardous Cigarettes: Record of Guelph Meetings,” June 22-23, 1977. 37 Trial Exhibit 20178: March 1977 Staff Papers: Long Range Health Planning “Smoking and Health in Canada”. 38 Trial Exhibit 50002: Letter from A.B. Morrison (Assistant Deputy Minister of Health and Welfare Canada) to Mr. Paré (CTMC), July 6 1978. 39 Trial Exhibit 1554.50; 40346.154: News release, “Tar, Nicotine, Carbon Monoxide Figures Released,” October 18, 1979. 40 Trial Exhibit 40347: Radhey S. Pandeya, J.C.D. Ankersmit and W.D. Rogers, Agriculture Canada, Research Station, “Newdel, A New Flue-Cured Cultivar Released for 1982,” in The Lighter, Vol. 52, No. 4 (Fall 1982), at p. 26. Trial Exhibit 20845.02: Report, F.H. White and R.S. Pandeya, “Delgold – A New Outstanding Flue-Cured Tobacco Cultivar.” Trial Exhibit 40348.169: Report, R.S. Pandeya, “Candel a Flue-Cured Tobacco Cultivar.” 41 Trial Exhibit 40346.320: News release, “Carbon Monoxide Levels in Cigarettes,” January 12, 1981. 42 Trial Exhibits 1554.66; 1554.67: Letter from Health Minister Bégin to Mr. Paul Paré (CTMC), April 10, 1981. 43 Trial Exhibit 40346.325 / MCS3307: News release, “Carbon Monoxide Yields of Cigarettes,” January 26, 1982. 12 44 Trial Exhibit 40346.232: News release, “Carbon Monoxide Yields of Cigarettes,” January 24, 1983. 45 Trial Exhibit 40167.1-R: Minister's Opening Address at the 5th World Conference on Smoking and Health, July 11, 1983, at Winnipeg Canada. 46 Trial Exhibit 40005M-1984: January 1, 1984 Cigarette and Cigarette Tobacco Advertising and Promotion Code of the Canadian Tobacco Manufacturers’ Council. Trial Exhibit 40005M.1-R-1984: January 1, 1984 Cigarette and Cigarette Tobacco Advertising and Promotion Code of the Canadian Tobacco Manufacturers’ Council (amended). 47 Trial Exhibit 40346.321: News release, “Carbon Monoxide in Cigarette Smoke,” January 23, 1984. 48 Trial Exhibit 40547.51: News release, “Sidestream Smoke from Canadian Cigarettes,” June 19, 1984. 49 Trial Exhibit 40005N-1985: January 1, 1985 Cigarette and Cigarette Tobacco Advertising and Promotion Code of the Canadian Tobacco Manufacturers’ Council. 50 June 14, 2012 Jacques Lariviere transcript. Also Trial Exhibit 30052: Letter from R.A. Simpson (Executive Director, Ontario Ministry of Consumer and Commercial Relations) to G. Mahood (NSRA), 27 May 1985. 51 Trial Exhibits 1554.85; 1554.86: News release, “Progress Toward the Goal of Reducing Toxic Substances in Cigarette Smoke from Health Canada,” August 1, 1985. 52 Trial Exhibit 40346.323: News release, “Cigarette Smoke by the Litre,” January 20, 1986. 53 Trial Exhibits 40346.233; 50017: News release, “Tar, Nicotine and Carbon Monoxide in Cigarette Smoke,” January 13, 1987. 54 An Act Respecting the Protection of Non-Smokers in Certain Public Places, R.S.Q. P38.01. 55 Trial Exhibit 601-1988: 1988 US Department of Health and Human Services Surgeon General Report titled “The Health Consequences of Smoking.” 56 Trial Exhibit 40003A-1989: Tobacco Products Control Act, S.C. 1988, c. 20. Trial Exhibit 40003B-1989: Tobacco Products Control Act Regulations, SOR/89-21. 57 Non-Smokers’ Health Act (1985, c. 15 (4th Supp.)) [1988, c. 21, assented to 28 June 1988]. 13 58 Trial Exhibit 40003B-1989: Tobacco Products Control Act Regulations, SOR/89-21. 59 Trial Exhibit 212: Report, “Tobacco, nicotine, and addiction: A Committee Report Prepared at the request of the Royal Society of Canada for the Health Protection Branch, Health and Welfare Canada,” August 31, 1989. 60 Trial Exhibit 40002-B1993: Tobacco Sales to Young Persons Act, S.C. 1993, c. 5, s.11, as rep. by Tobacco Act, S.C. 1997, c. 13, s. 65. 61 Trial Exhibit 40002C-C1994: Tobacco Sales to Young Persons Act, amendment. 62 Trial Exhibit 40003E-1994: Tobacco Products Control Regulations SOR/93-389. 63 Trial Exhibit 883B: Report by W.S. Rickert (Labstat), “A Historical Study of Nicotine Yields of Canadian Cigarettes in Relation to the Composition and Nicotine Content of Cigarette Tobacco (1968-1995) Final Report,” March 31 1995. 64 RJR-Macdonald Inc. v. Canada (Attorney General), [1995] 3 S.C.R. 199. 65 Trial Exhibit 40005O-1995; Trial Exhibit 40005P-1995. See also Trial Exhibit 40005S-1996 for amendments. 66 Trial Exhibit 40004A-1997; amended in 1998 by 40004B-1998: Tobacco Act, S.C. 1997, c. 13. 67 Health Canada Tobacco Control Programme, “Determination of Tar, Nicotine and Carbon Monoxide in Mainstream Tobacco Smoke”, December 1999. 68 Tobacco Act, S.Q. 1998, c. 33. 69 B. McKenna and J. Saunders, “Philip Morris admits cigarette smoking is a health hazard – Tobacco giant posts Internet warning as part of $100-million remake of corporate image”, Globe & Mail (October 14, 1999) 70 SOR/2000-272. 71 SOR/2000-273. 72 Proceedings of the Standing Senate Committee on Energy, the Environment and Natural Resources, 8 June 2000. 73 Health Canada Press Release on Lung Cancer in Canada, May 9, 2003, Trial Exhibit 30037 at p. 5. 74 See Trial Exhibit 40016, Agreement Between JTI-Macdonald Corp. and The Commissioner of Competition. Also see agreement, “Agreement Between Rothmans, 14 Benson & Hedges Inc. and the Commissioner of Competition”, November 2006. Document No. 150244A. 75 Canada (Attorney General) v. JTI-Macdonald Corp., [2007] 2 S.C.R. 610, 2007 S.C.C. 30. 76 Regulation under the Tobacco Act, OC 704-2008. 77 Bill C-32: An Act to Amend the Tobacco Act, S.C. 2009 c. 27. 78 Canada Consumer Product Safety Act, S.C. 2010, c. 21. 79 Tobacco Products Labelling Regulations (Cigarettes and Little Cigars), SOR/2011177. 15 Rothmans, Benson and Hedges Notes and Authorities Appendix C From 1968 to 2012, Government Has Ensured Tar/Nic Information Provided to Consumers to encourage them to switch to lower tar products 25 25 1968 – 1986 21 league tables and press releases published 1972 Voluntary Code sets Tar (22mg) and Nicotine (1.6mg) maximums 20 1975 - 1989 Tar/Nicotine numbers appear in ads 1976 - 2011 15 Tar/Nicotine numbers appear on packs 1978-1984 In 1978 Health Canada sets 1984 SWAT goal of 12mg 10 1999 - 2012 1999 Canadian Intense Method numbers now reported 5 Sales Weighted Average Tar (mg)* Rothmans, Benson and Hedges Notes and Authorities Appendix D There Has Been a Warning on Cigarette Packages Since 1972 1972 1975 Warnings on Packages 1989 Four Rotating Warnings (20%) (TPCA) Warning: The Department of National Health and Welfare advises that danger to health increases with amount smoked. 1960’s 1994 Eight Rotating Warnings, Incl. Addiction (30-40%) (TPCA) 2000 2012 Sixteen Rotating Graphic Warnings (75%) (TA) Sixteen Rotating Graphic Warnings (50%) (TA) Warning: Health and Welfare Canada advises that danger to health increases with amount smoked – avoid inhaling 1970’s 1980’s 1990’s 2000’s 1989: Four Rotating Warnings, 20% of pack 1994: Eight Rotating Warnings, 30-40% of pack Rothmans, Benson and Hedges Notes and Authorities Appendix E 1964 1995 Industry Code Bans 1962 No Radio and Television Advertising Before 9pm - advertising directed to those under 18 - use of human models under the age of 25; - use of celebrities/ athletes in ads that would appeal to minors 1971 Operation ID 1986 Industry Code Bans - all advertising on radio and television - promotion offers of cash, prizes, or gift coupons Industry Code Bans Advertising In Magazines Unless 75%+ Readership Is 18 And Older No Outdoor Advertising Within 200 Metres of Schools Code Restrictions to Minimize “Spillover” of Advertising to Youth Restrictions on Advertising 1964 1972 1994 1995 1997 1988 The Promotional Activities ofManufacturers Have Been Continuously Restricted TPCA SCC Strikes Key Provisions of TPCA TSYPA 1999 2003 End of “light” and “mild” QC Tobacco Act Health Canada W ebsite Removes Encouragement for Smokers to Switch to L&M Products Tobacco Act: Reintroduces product advertising restrictions. Manufacturers treat it as ban. (U ntil 1964) No TobaccoSpecific Advertising Restrictions (1964 to 1989) Industry Advertising Code/ Cooperative Regulation with G overnment Encouraging Promotion of Low Tar Products with Restrictions on Advertising 1960’s 1970’s 1980’s No Advertising (TPCA), but Company Sponsorships Some Adv., New Ind. Adv. Code 1990’s No advertising (TA), Sponsorships Phase Out 2006 2007 2008 2011 CCPSA SCC interprets Tobacco Act, permitting advertising Sponsorship Phased Out QC Retail Display Ban SOME Magazine Adv. NO Bar Promo Advertising Advertising D irect Mail Banned (C3 2 ) Mag. Adv. 2000’s Rothmans, Benson and Hedges Notes and Authorities Appendix F BLAIS PRESCRIPTION PUNITIVE DAMAGES Nov. 20, 1995 Feb. 21, 2005 July 3, 2010 Mar. 12, 2012 July 3, 2013 (3 yrs prior to filing suit) (class auth. judgment) (3 yrs prior to class expansion ruling) (Blais class cutoff date) (class expansion ruling) not revived by HCCRA permitted by normal rules of prescription: 3 years before filing up to orig. class notice claims not advanced within 3 years prior to class expansion permitted by normal rules revived by HCCRA permitted by normal rules of prescription: 3 years before filing up to orig. class notice claims not advanced within 3 years prior to class expansion permitted by normal rules COMPENSATORY DAMAGES ORIGINAL CLASS Prescribed EXPANDED CLASS Permissible