Provides minutes of seventh meeting of the Board of Directors of the Tobacco Institute. Discusses: election of officers; current and planned activities; formation of Public Relations Committee; 350th anniversary of commercial tobacco production; community relations; publication and distribution of "Tobacco and Americans" book; dissemination issues regarding "Scientific Perspectives" (draft document by Executive Committee, Hill and Knowlton, and TIRC Legal Committee); and budgets for various committees.
- Tobacco Institute
- Certificate of incorporation
- Scientific Perspectives
- State Booklet Series
- Tobacco and Americans
- Named Organization
- American Tobacco Co.
- Bank of Commerce (Washington, D.C.)
- Bankers Trust Company (New York, NY)
- Board of Directors
- Community Relations Committee
- Executive Committee
- Hill & Knowlton Inc. (Tobacco industry PR firm, 1953-68)
Public relations firm for the tobacco industry from 1953 through 1968.
- Hotel Commodore
- Lybrand, Ross Bros. & Montgomery, CPA
- Mail Pouch Tobacco Company
- Philip Morris Cos., Inc.
- Public Relations Committee
- Subcommittee to Study 350th Anniversary Celebration
- TIRC Legal Committee
- Tobacco Institute Research Committee
- Named Person
- Allen, George V. (TI President & Exec. Director 1961-66)
President and Executive Director for the Tobacco Institute, Inc. from 1961 through 1966.
- Bantle, Louis Francis (U.S. Tobacco Pres., CTR Board; TI Exec. Comm.)
Bantle was president of U.S. Tobacco Co. Testifed in Sean Marsee case. Bantle, was quoted in a 1970s newspaper article, "We've gotten excellent sales from young people. In Texas today, a kid wouldn't dare go to school even if he doesn't use the (smokeless tobacco) product, without a can in his Levis." (L. White, Merchants 1988).
- Baquie, J.G.
- Bloch, T.M.
- Blount, W.A.
- Bowling, James Chandler 1 (PM; TI, Corporate Affairs Director & VP; Board of Dir.)
Vice President and Director of Sales at Philip Morris from 1967 to 1976. He was Senior Vice President of PM from 1977 to 1984 and on the Board of Directors from 1971 to 1984. Also worked for the Tobacco Institute. Attempted to improve the image of smoking in the face of negative health news.
- Condon, Martin J., III (TI Board of Directors (1958), Conwood Corp., President)
In Memphis, TN, Condon was on the original board of directors of the Tobacco Institute (1958-?) (TI COI 1/27/58).
- Cullman, Joseph Frederick III (PM President & CEO (1957-1970))
Executive vice president and senior marketing executive of Philip Morris in the 1950s. Exec. VP 1955-57. President in 1958, held that position until 1967. Chairman from 1968-1972 and acquired title of CEO. Chairman of the Executive Committee, 1979-85. On the Board of Directors from 1954-1985.
- Darrow, Richard W. (EVP, Hill & Knowlton)
R.W. Darrow was an Executive Vice President for Hill & Knowlton. (PMI's Introduction to Privilege Log and Glossary of Names, Estate of Burl Butler v. PMI, et al, April 19, 1996)
- Gray, B
- Gruber, Mr.
- Hahn, Paul Meyer (ATC President (1950-63); TIRC Chairman (1954))
- Heimann, Robert Karl, Ph.D. (ATC President and CEO; CTR Director)
PR Committee for the Tobacco Institute and on the Executive Committee as a CTR Director.
- Hewitt, John Vance (TIRC Law Committee)
John Vance Hewitt worked for Conboy, Hewitt, O'Brien & Boardman and was an original member of the TIRC Law Committee. (PMI's Introduction to Privilege Log and Glossary of Names, Estate of Burl Butler v. PMI, et al, April 19, 1996)
- Hill, J.W.
- Marshall, Burke (Worked for law firm of Covington & Burling)
B. Marshall worked for Covington & Burling. (PMI's Introduction to Privilege Log and Glossary of Names, Estate of Burl Butler v. PMI, et al, April 19, 1996)
- McCain, D.R.
- McCauley, J.P.
- Mehos, Charles A. (Various Financial Positions (ATC, TI))
Charles Mehos was ATC Assistant Treasurer from 1962-1966, Vice President of Finance from 1973-1978, Vice President and Treasurer from 1970-1972, Treasurer from 1967-1969, Executive Vice President and Chief Financial Officer from 1979-1983 and on the ATC Board of Directors. (Source: NM Tobacco Companies Personnel List)
- Moore, R.P.
- Morrow, J.V.
- Perry, William L. (TI Treasurer)
William L. Perry was employed by Liggett & Myers, Inc. and served as Treasurer in 1953 and from 1955 to 1958. He served as Vice President from 1954 to 1961. He was a member of the Board of Directors (New York) from 1953 to 1961 and the Chairman Executive Committee from 1960 to 1961. (Source: L&M, et al Summary of Officers & Directors - LGI/LTC Liability Notebook.) (N.M., L & M Liability Notebook, Section 3, Personnel List)
- Ragland, Edward F. (TI VP/Sect 1959-1971.)
Edward F. Ragland was TI Vice President and Secretary from 1959-1971. (N.M. Tobacco Companies Personnel List)
- Reed, William T. Jr. (TI Director)
Lived in Sabot, VA in 1958. On original TI board of directors 1958 - ?. (TI COI 1/27/58)
- Richards, J.P.
- Smith, William S. 2 (TI Executive Committee)
WS Smith, various executive positions
- Stephano, Stephan C. (CTR Director)
- Temple, H. F.
- Thompson, C.
- Wade, Charles B., Jr. 3 (RJR VP, TI Executive)
Various RJR positions, 1958-1980
- Waterhouse, J. R.
Vice President Fianance
- Yeaman, Addison Y. (BW VP & General counsel; CTR Chairman of Board)
General counsel for B&W. CTR Chairman/President 1975-1981
- Ragland, Edward F. (TI VP/Sect 1959-1971.)
Edward F. Ragland was TI Vice President and Secretary from 1959-1971. (N.M. Tobacco Companies Personnel List)
- Meeting minutes
- mass media
- public relations
- tobacco industry structure
- 1. Bowling, James Chandler Named Person
- 2. Smith, William S. Named Person
- 3. Wade, Charles B., Jr. Named Person
Page 1: 00000001
The Seven~ Meeting o~ the Bo~a o~ D~rec~ors
The Tobacco ~nsti~ute, Zn~., ~s held at ~he Hotel Co~o-
~re, New York City, on J~ 26, 1961, at i0:45 A.M.
The foll~g Directors ~d Alte~a~e Dire~or se~ing
as D~ec~r at the meeting, were present :
Messrs. Lo~s A. B~tle
Tho~s M. Blo~
W. A. Blo~t
~in J. Cohen,
Jose~ F. C~, 3rd
Paul M. ~
Joseph P. McCauley
Wi~i~ T. Reed,
S~eph~ C. S~e~o
There w~e also presen~ Messrs. George V. Allen, Pres-
id~ ~d Exe~tlve D~ector of The Tobacco
E~d F. Ragl~d, Vice Presiden~ ~d Secre~ of
~u~e: Willi~ L. Pe=~, Treas~er of ~e Institute; J. Gordon
Ba~ie of ~i Pou~ Tobacco C~p~y; Jo~ V~ce Hewltt of
co~sel for Philip Mo=rls ~cor~ra~ed; Joseph R. Waterhouse
of ~e ~i=~ Tobacco C~p~y; Donald R. McCain of George W.
Page 2: 00000002
eions_CO~ittee; W. S. Smith, Jr., ~ai~ of the Co~ity
Relations Co~i=tee; ~les B. Wade, Jr., Chai~ of ~he
S~co~ttee to Study 350~ ~iversa~ Celebration; Richard W.
D~row, Jo~ W. Hill, ~d C~I Thompson of Hill ~d ~owlton,
Inc. ; ~d B~ke M~shall of co~sel for The Tobacco
~. AII~ ac~ed as Chai~ of ~e meeting ~d ~. Kag-
!~d a~ed as Se~e~ ~d recorded ~e ~u~es.
The meeting ~s called to ord~, and ~e presence
a ~or~ ~s noted. Upon motion duly ~de ~d seconded,
~nutes of ~e S~ Meeting of the Bo~d of Dire~ors were
approved as p=es~ed ~o ~e Bo~ ~ough ~e copies of the
~nu~es ~iled to ~e M~ers of ~e Bo~d.
~e Presi~n~ ~ ~o~ced t~t ~e f~s~ order of
business ~s ~e election of officers of the ~ns~i~ute
sere ~il ~he ne~ ~u~ meeting of ~e M~ers.
re~es~ of ~e President, ~. Gray, as Cha~ of the Execu-
tive C~t~ee, presided at ~e mee~g for the election of
offi=eEs. ~e=eu~n, u~n mo~ion d~y ~de ~d seconded, it
~SOL~, ~a~ ~e foll~inq ~rsons be ~d
they her~y ~e elected ~o ~e office of ~e
Co~ora=~on se~ after ~eir respective n~s,
Page 3: 00000003
George V. Allen ~reside~:
Ed~d F. Ragl~d Vice Presiden~
Joseph R. Wa~erhouse Treas~er
Ch~les A. Mehos AssisU~ Tr~as~r
~~ ~OL~, ~an ~he elec~io~ of Joseph
Wa~erhouse as Treas~er ~d Chafes A. H~os as
AssLs~ Treas~er shall be effective on
F~~ i, 1961, ~e =esi~ations of W. L.
Pe=~ as Tre~er ~d Ralph P. Moore as
Assis~ Treas~er berg accepted as of
" '~ ~~ ~SOL~, ~a~ ~he Treas~a= shall
be re~ed ~o give bond for ~e faithful ~s-
ch~ge of his duties, ~d Cha~
Treas~er ~y a~ ~e dis~e~ion of ~he Treas~er
be re~ired ~o give bond for ~he fai~f~
.. ch~ge of his duties ~ su~ S~ ~d wi~h su~
sec~ity as ~e Tre~er ~y from ~e ~o ~e
The Presld~ ~ ~ ~ oral repo~ on Uhe activities
of ~e Institute d~ ~e ye~ 1960,
be ~en by ~e I~¢inu~e d~g 1961. Z= ~is co~ec¢ion, he
refe~ed to ~e es~lis~ of the hisCoric~ ~d info~a~ion
section ~ ~e Zns~i~=~e, ~der ~he ~ecuion of ~. ~. V.
Mo~ ~he fox, ion of ~e P~lic Relations Co~ee of
Institute, ~d ~e pl~s for ~e I~itu~e's p~icipa~ion in
~e 350~ ~ivers~ of the firs~ c~rcial producUion of
uobacco; ~o ~e work of ~e Cockily Relations Co~¢¢~ee~
Page 4: 00000004
dis~r~u~ion of ~he book TO~CCO ~ ~~S by Rober~ K.
He~ ~d of ~he s~a~e boo~e~ series. ~e
revle~d uhe s~a~en~ of pu~oses of ~e ~nsUi~uUe
in i~s Ce~ificaUe of Incor~ra~ion ~d s~ated
~ended to use ~a~ sua~en~ as a guide line for ~e fuu~e
activities of ~e ~nstitute.
Follow~g ~is re~, ~e Presld~ asked ~. Gray,
as Ch~ of ~e Executive C~ee, ~o re~ on the
Eec~enda~ions ~d actions of the Executive C~t~ee.
~. Gray no~ed ~e des~e of ~. Gr~er to sere as
Al~e~a~e Director instead of Director on ~he Bo~d of D~ec-
uors of nhe ~ns~luu~e, ~d ~ ~. H~old F. T~ple shoed
~herefore be s~s~itu~ed fo~ ~. Gr~er as one of ~e Directors
authorized ~o si~ or co~ersi~ ~ecks of ~he Co.ration
~a~ on ~e B~ers T~s~ C~p~y of ~ York Ci~y. ~ere-
u~n, u~n ~tlon ~ly ~de ~d seconded,
resolved ~ ~e foll~g resolution of ~e Exe~ive C~-
~tee, t~ a~ i~s Ten~ ~e~g on Decker 15, 1960, should
be ~d ~er~y ~s ra~ifled as ~ded~
"~OL~, ~ ~e resi~a~ion of J~eS
Ri~ as Presid~ ~d Executive Director
of ~e Tobacco Institute, ~nc., be
her~y is accepted effective as of Decker
Page 5: 00000005
.C__Ot F DE. TJAL
"FURTHER RESOLVED, that the appointment of
George Vena~le Allen
_ and Executive Director of The Tobacco ~nsti-
tute, ~nc., until the nex~ annual meeting of
the Members of the Corporation and until a
successor shall have been duly chosen and
qualified be and
"FURTHER RESOLVED that the employment con-
trac~ between The Tobacco
and George Venable Allen effective as of
December i, 1960, be and it hereby is ra~i-
lied, subject to the further approval and
ratification by ~he Board of D£recUors of
The Tobacco Zns~£tute,
"FURTHER R~SOLVED, t_hat a copy of said con-
tract be annexed to these Minutes, and made
a par~ hereof;
"FURTHER RESOLVED, that until otherwise ordered
Bankers Tr~s~ C~mpany of ~ew York City be and
it hexeby is authorized to make payments from
the funds of this Corporation on deposit wi~h
i~, upon and accordlng to ~he check of ~hls
Co~oration, signed by Georg~_e V_enable Allen
by its Treasurer or Assistant Treasurer, or
signed a~d counter-signed by any ~cwo of the
Messrs. William A. Blount
Louis A. Bantle
Joseph F. Cullman, 3rd
Harold F. Temple"
Zn-ad~itlon, on mo~ion duly made and seconded, it
RESOLVED, that until February i, 1961, the Bank
of Commerce, Washington, D. C., be and it hereby
is authorized to make payments from ~he account
of this Corporation on deposit with it only by
- PRIVILEGED AND CONFIDENTIAL
PrOduced$tateaSofrequ/rod by theet al.C°~rt's March 7,
Minnesota, v. Ph/l/p Morria,
Court File No.: C1-94-8565
Page 6: 00000006
check signed in ~he name of ~his or~an£za~ion
by George V Allen, Edward F. Ragland, William L.
9e:~, ~d ~iph ~. Moore, or ~y of ~h~
is au~or!zed ~o ~e pa~ents from ~e acco~
O~ ~iS Cor~ratlon on de.sit with i~ only by
by George V. Allen, Ed~d F. Ragl~d, Joseph R.
Wa~erhouse ~d Ch~les A. Mehos, or ~y of ~h~,
~il f~he= no~ice in ~i~g ~o ~e B~ of
C~erce, ~d ~e s~d B~ of Co=erce sh~l
not ~ re~e~ in ~y =ase, =o ~e ~i~
res~c~ ~e applAca~£on of ~y
e~cu~ed ~ vi~ue of ~is ~esolu~on o~ of
~e procee~ ~eref=~, nor be ~der ~y obliga-
menns or proceeds.
~. Gray ~ re~ed-~e re=o~enda~ions o~ ~he
Executive Cc=t~ee ~th =es~cU to ~e S=ien~iflc Pe=s~c-
rive prepEed ~ ~a~ for by ~'ii ~d ~l~on, =nc.
Gray s~a~ed tha~ ~e Exe=utive C~n~ee ~d ins~ed Hill
~d ~l~on ~o s~ ~e ~a~o the T=RC Leg~
for uhelr co=~us, ~d ~erea~e~Q ~e ~=sons ~o~ed ~
~he do~t for ~e~ p~ssion ~o use ~he ~o~a=ions ~d
for ~e~ c~=s.
~. ~r~ s~a~ed on b~f of Hill ~d ~owl~on, Inc.
~a~ ~hey ~re s~i~ se~ing ~e ~ce of co~sel for ~he
m~er c~p~les wi~ res~c~ to whatever legal probl~s ~gh=
be crea~ed by ~e diss~na~ion of ~e Sci~ific Pers~cUiv~
Page 7: 00000007
seconded, it was unanimously resolved that the action of
ghe E~ecutlve C~tUee with respec~ to the Scientific
~. Gray then ~ew ~e a~tention of the Bo~d ~o the
proposed budge~ for 1961, which had be~ reviewed by ~he
~. Gray stated that ~e Executive Co--tree reco~en~e~
ado~ion of ~he pro~sed ~dgen wi~ ~he exception of the
it~ of $18,100 appe~ing ~der the hea~ng "350th A~i-
v~rs~y (Pen~ng Approval) " in Uhe P~lic Relations Activ-
i¢ies ~r~io~ of the 1961 pro~sed budget. With res~ct
to that i~, ~. Gray stated no approval ~s being re~esued
by Hill ~d ~l~on for ~he i~ems set forth ~der cap~ions
II ~ough ~ZI of ~e budge~ pro~sal s~ on ~e 350~h
~ive=sa~ prep~e~ by Hill ~d ~owl~on, ~d ~at accord-
ingly, instead of a ~o~al of $18,100 being recessed for ~he
!9~i bu~eu, only a u~al of $1,600 ~s rec~ended, ~ereby
giv~g rise ~o a de=tease in ~he to~al pro~sed bu~eu in ~he
~ of $16,500 for 1961. Thereu~n, u~n mo~ion duly
~d seconded, i~ ~s ~ously resolved that ~e proposed
19~i budgeU should be ~ended by ch~ging ~he iu~ ~der
head~g "350~ A~ivers~ (Pending Approval)" on Page 2 of
Page 8: 00000008
~he proposed budget from $18,100 to $1,600, and that the
pro~s~d 1961 budge~ as ~er~y ~ended should be, ~d
thereby ~s ra~ified ~d adopted. ~t was e~ressly no~ed
~a~ no approval ~s glv~ by ~e Board of Directors a~ this
t~e ~o ~y of ~e proposed e~endiu~es d~ing either 1961
or 1962 ~der It.s ~I ~rough ~II in ~e s~ry budgeU
pro~sals orig~lly prepped wi~ respect to
~..e Preslden~ th~ ~o~ced ~e fo~tion of a Legal
C~ittee, ~o consisU of the representatives
designated by th~ to ~e Presider, with ~. ~shall as
Chai~. ~ ~s ~e sense of ~he ~e~n~ ~hag ~e
~e C~i--Of ~e Leg~ Co--~.e ,ho~d have ~e au~ori~Yee.~
to decide what prob!~ should be referred
At ~e re~es~ of ~e President, ~. Bowl~g ~ re-
~r~e~, ~ his capacity as ~a~ of ~e P~llc Relations
C~ee, on ~e a~ivi~les of ~ Co~ittee d~ing ~e year.
~ong o~er ~gs, it ~s noted ~a~ ~e C~ee reviewed
~e con~ of p~lications ~ ou~ over ~e Znstitute's
Page 9: 00000009
Zn addition, Mr. Wade reported on ~he general pl~n for ~he
~nsui~u~e's p~tcipa~ion in ~he 350uh A~iversary of ~he
firs~ co~ercial production of ~obacco ~o ~e place a~
~. Willi~ S. S~h :he~ re~ed :0
~ai~ of ~he Cockily Relanlons Co~uee on
mi~tee's activities during the past 12 monks.
The President then ~O~ced thaU ~e ne~ order of
bus~ess ~s ~o receive the re~r~ of the Treas~er,
Per~, but t~ ~e ~ter of the approval of ~e buret
had already been c~ncluded. ~. Per~ s~Uued ~e follow-
ing re~ for the approv~l of the Bo~d:
"Youfor ~ehave~bef°~e ~u cop~es of :he re~= of
L~r~d, Ross Bros. & Montgomery, Certified
P~lic Acco~s, coveri-ng 'the cash receipts
~d ~sb~s~en~s of The Tobacco InsUitu~e, ~nc.,
ended Decker 31, 1960.
"The cash bal~e a~ ~e close of burgess
Decker 31, 1959 ~s $32 958.36. D~g
ye~ 1960 to~ dues ~d. asses~en~s received
from m~ers ~ed ~o $696,938.99
disb~s~ts were ~702,499.4~, leaving cash on
h~d a~ ~he end of ~h. ye~ of $27,397.89. Dis-
b~s~s for ~he ye~ were $5,460.47 in excess
"~ere is ~ ~e h~ of ea~ Director a copy of
~e hu~e~ proposal for 1961 wi~ c~p~isons for
~e previous ye~. Before discussing ~e new bud-
get ~ shoed llke ~o po~ ou~ ~e ~jor differ-
ences between ~e auUhorized budge~
~e ac~l disburs~en=s d~g ~t period~
Page 10: 00000010
"Page i ~epresen~ing the 'AdminisuraUive" section
shows ~hau di~b~s~en~s in ~e a~re~aue wer~
$3,5~6 less ~ ~e ~o~ auUhorized. The
crease in sal~ies ~d o~her i~s was more ~h~
o£fse~ by ~e saving in ~he ~o~u budgeted for
"Page 2 covering 'P~lic Relations Activities'
shows ~ha~ 1960 disb~s~en~ were ~89 611
th~ the approved budget for that p~Nse. Th~
is pr~ily acco~d for by ~e i~ of $85,000
for 'Sciennlflc Pers~c~ive' which has been c~rled
of $942,923 ~s reco~ende~ ~y ~e Exgcu~ive Com-
~U~ee on Decker 15, 1960. De~ails of ~he pro-
D~r~ ~d ~ompson of Hill ~d ~owlton, Inc., have
be~ dis~r~u~ed ~o ~he Directors. You also have be-
fore you a sep~a~e ~posal s~t~ed by Hill ~d
~owlton, I~c., sugge~t~g a 350th ~ivers~
gr~ whi~, if approved, calls ~or a to~ e~en~-
~he ye~ 1961.
"Cash on h~d Decker 31, 1960 was. $27,397.89.
Recei~s ~ J~ua~ ~o ~e ~ve ~ed ~o
$i09,226.86 ~d ~sburs~n~s of ~89,984.78 have
be~ ~de. Cash on h~d on J~ 26, 1961,
~o~ts to $46,639.97.
"Since ~e presen~ cash bal~ce will be e~aus~ed
someone in F~~, I re=o~end ~a~ a~ion be
~en a~ ~is meeting ~o au~orize ~ assessm~U
of 14~ of ~he ~ual dues of ~ose meters who
~e li~le, ~ pa~s ~o be ~de on or
F~~ 15, 19~i.
It ~s no~ed ~ ~e $85,000 it~ for ~e Sci~iflc
Perspective covered only ~e pr~g and ~sUr~u~ion of
doc~ent, if i~ ~s decided to go ~ead wi~ ~he projec~