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• , S SUPPLMXTA.RY R£.PORT C:: DISCL'SSIO?lS YIT:1 03DE.YE (PIi7.L:P MORRS!) (a) R.lations with I.".G. e^d T.R.C. Osdens r.ferred to the approach by Yakeham via D.C.7, reSardinR possible reprasentation of Philip !Sorris at T.S.C. me*tings, and the r.buff by I.T.G. This had besn underlined v'.an Bertls}• att.nd.d the January meeting of :-,e T,Y,G, •.tev%r, tt the T.Y.G., Bentley nade a plea for :..iter-utiona'. coopar.:ion rhich Xakeham found hard to square •:%th the personal r.buff he had received. S.is natural inclination vas tq vl.thdrav eooperation unless there was some quid-pro•quo offered. Osd.n• r+nark.d that getting T.R.C. information via Godfrey Phillips was like getting "blood out of a stons". Fis thou;ht that, in addition to the I.T.G. reaction, the attitude of the Godfrey Phillips manaaemsnt vas istinieal to Philip Morris r.presentation on the T.S.C. (b) Relations with 1.awers etc. Osd.n.'s view was that the reason advanced by I.:.o. for not acceptina a Philip Morris repr.sentative at T.S.C. meetings was invalid. Yakeham and Oadene do not refer their actions to their Lav Dspartment and thus avoid any .mbargo b.ina put upon then. Lilt.ainE to Osdene on th• subject of U.S. lawyers vas very r.mi-tisc.nt of eonrersations with Griffith. Osdene believes that the lawyers group has creater group-loyalty than Company-loyalty. He particularly distrusts the "ad hoe legal adviser group" comprising Ed. Jacob and Dave Hardy, but forese.s a.raning of their influeno• in the future. Althoush r.lations with the Governmant •te. have been play.d the way the lavysrs have r.eommend.d in the past, the •ffeet has been largely Rusatory. He believed that Culle+an (President of Yhilip Morris) ws now ourv svady to listen to YaS:.;wm Ll,an to raul Smith. (c) Relations with Othar_V.S, Coeroanies Philip Morris have little time for Meriean Tobaeeo Co. who are dominated by law suits and whose :.ar Departmsnt r.i gn stsprew.•They take all and contribute nothing." Reynolds have b.en quite forthcoming but since lat January 1970 have b.en esbar6o.d from carrying out any in-bouss biological work. Their biolo6ists have been diverted to diversification aotiviti.s and their R. a D. activities sse now oontroll.d by a fora+er head of C.K. marketing of Campbel: Soups. 3enkus is apt to be over-.nthusiastic about his own ideas. Liggett and Myers are no longer mambers of C.T.R. but O•dcn• thought highly of D.tes, their R. • D. director. Tb. changes at B. • Y, w.r+ mentioned and Osdens reeognis.d there would be a abort hiatus while tho reorganisation was in Prog-'.s4. BAT Co LTn -MrNXECnT-, Tnx~,ro L,rrrr:.AT1n. CTR ~~~~`~ 0'~.~'~'~ I

The 1;.5, Lirector of Research, apart from }'•elmut RA~f Vakehafs, who most impresses OsJone is Alex Spears (Lorillard) who is currently Chaironn of the Industry Technical Coaesittee and is the liaison with the C.T.R./S.A.S. Currently. there is no "pooling" of biological infor- sution on test techniques amonr, the I:.S. Coepanies. D.G.F. expressed t.`te view thnt internirtional acreement on the most •uitable ..• zenni?,!ful battery of tests for evaluation of vroduct mod.ticaticns u:s a presein6 need. Osdene did not dissent bu•. was not v.ry forthcoming on what Philip Morris vere doing currently. One was left with the iaprsssion that Phia p Morris were undertaking a fairly large prograrsae on a wide spectrum of tests, and knew where they vanted to Y~ • ® (d) Relations with Vniversitv of Kentuckv Yhen the conversation tv rned to the Lhirersit7 of Kantncky Tobacco and R.alth Research Institute, Osdene remarked that Griffith had been approaching all the D.S. Companies for funds to support the eoerprehensive prograreee. Philip Morris were very unlikely to put ar:y money into this as long as it was under the direction of Griffith, about vhom he expressed serious misgivings. lIe thought it unlikely that say support would be forthcoming from any of the Cocrpanies. (e) (f) ~6) O.n.rel ~ .• .. , NJ . On many occasions during the diticussions, Osd.ne implied C k~' that if ths outward approech by Philip Morris were rejeated, they would not renew the attempt. They had spent a lot of ~; Relations with the_ Tobacco Vork!nr Grouo Osdene was either not prepared to diseuss this or had little information to disclose on this subject. He comsaented that they had not learnt much from the I.T.G. disclosures since this was largely based on the work of Alarie, which Philip Morris had originally sponsored. D.G.F. raised the question as to how the siinutes of the T3I,G, wre coamtnicated to the U.S. Companies not represented in the group; no clear answer was obCained, but it seems that Yakehan looks on his membership as recognition of his personal ezpertise and not as a nomination by ts,e Tobacco Institute. Relations with the C,T.R. These could scarcely be worse! Osdene'a Kev (Philip Horris's viewl) was that the C.T.R. did virtually no useful work and cost a vast aarount of money. He was highly critical of Littls. Hoyt and :Sockett and considered the aoet able s»eber of the etaff was probably 1Creisher. The S.A.B. was not considered to be very effective, but he was not critical of any individual member. ltirst was described as a"reasonable second-rater'. This may be the advice which is given to the President of Philip Morris by Vakeham, w BAT Cn Lrn -M,..FInra TnA.-,nrn Lmr mnN i. _ ~~~R mt`i 0~~ti~~ ~ ~

money in developinR their iro_rr.mm• end were not prepared to hand it over without somethin` in exchwna:; Too often tbs other companies sat back and took what vas offered, without putting forvard anythini in return. As a result, he ras anxious to recoup aa s+uch as possible of the develop- ment costs on the smoking m^chine, and clearly considered his forthcoming visit to H.R.C. as only'Just in return for allowing 9inns to visit ZnBiFo. Dur.is tho discLssions, D.G.f. told Osdene that th. B-A.T. pr,)srame+e at Battelle consisted of long-term nouse ekin painting and a byperplasia test which had been disclosed to T.R.C. !lension was atade of the abortive effort to measure 6oblet cell proliferation aad that further attempts would be dep.ndent on the choice of a reliable machine for ezposin6 animals to smoke. DGr/sE+r ll th ?Sarch, 1970 O w :9 r1r, r•11 'BAT 'Co LTD - Mi~-••u;orA* Tos.ac.co Lmc.-kno. C! 1! l ! I ! ti." 41aM' d2I 1d`

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