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Worldwide Regulatory Affairs 950000 Original Budget

Date: 26 Oct 1994
Length: 46 pages
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Abstract

This 1995 budget for Philip Morris'(PM) Worldwide Regulatory Affairs office lists the company's activities to fight public health-tobacco control efforts around the globe during that year and what it cost PM to carry out these activities. It lists PM's consultants by name and/or company, tells how much PM budgeted to pay them, and lists the countries where PM applied this interference.

PM's activities included persuading restaurant owners, airport officials and employers around the world that they needed too install new ventilation equipment instead of banning smoking entirely, developing strategies and programs to protect smoking in the workplace, subsidizing construction and renovation of airport smoking lounges, working to prevent and pre-empt smoking restrictions, "slowing down the spread of smoking bans on international [airline] carriers," promoting acceptance of indoor air quality standards that would allow smoking, funding front groups like ARISE (Associate for Research in the Science of Enjoyment) and TASSC (The Advancement of Sound Science Coalition), funding of public relations groups like the Dolphin Group and Burson Marstellar to push their agenda, and much more. According to this document, in 1995 PM planned to implement the above activities in Brazil, Costa Rica, Japan, Sweden, Hungary, Switzerland, Hong Kong, Malaysia, Puerto Rico, Finland, Czech Republic, Korea, Belgium, Spain, Germany, Italy, Columbia, Poland, Norway, Gulf Council Countries (GCC), Argentina, United States and Australia.

PM's total budget for these activities in 1995 was over $17 million, which does not include legal costs for 1995, which are listed on Page 20 of the document. The total cost of legal assistance to PM's Worldwide Regulatory Affairs Department in 1995 was $25,785,000, which includes the costs of lawsuits against the ABC Television Network, the U.S. Environmental Protection Agency, and legal work on cigarette issues like ingredients disclosure and ignition propensity. The law firm of Shook, Hardy and Bacon alone was budgeted to make over $7.3 million from Philip Morris in this single year.

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Notes

Thanks to Simon Chapman of Australia for bringing this recently-loaded document to attention.

Quotes

Category: Workplace/General

Develop Strategies and programs to protect smoking in the workplace; identify/support allies in business organizations, trade associations, unions.

Support PMI workplace initiatives in various markets including Brazil, Costa Rica, Japan, Sweden, Hungary, Switzerland.

Category: Ventilation Technologies/Applications

Identify/develop/promote a range of cost-effective solutions to address concerns about [enviornmental tobacco smoke/indoor air quality] in various venues; be prepared to suggest to employers, restaurant owners, airport officials, etc. technologies which would pernit the designation of smokign areas that can be designed as inexpensively as possible.

Professional services - 469

Design ventilation models for restaurants and workplaces for international (e.g. Hong Kong, Malaysia, Puerto Rico, Finland, Hungary, Czech Republic) 150...

...Ensure accomodation of smokers in airports by making available appropriate technology and expertise to airport authorities and publicizing its success; priority markets incl. Korea, Puerto Rico, Brussels, Madrid...

Category: Hospitality

Develop and help implement restaurant/public place accommodation programs for select int'l markets to prevent/pre-empt, and ins ome cases, ensure compliance w/ restrictions; priority markets are Costa Rica, Argentina, Brazil, Columbia, GCC, Czech Republic, Hungary, Poland, Norway, Italy, Germany, Japan, Malaysia, Hong Kong, Korea.

Category: Transport: Airlines

Objective: To slow down the spread of smoking bans on international carriers, including proposed U.S. legislation and international agreements.

Category: Standards

Objective: Monitor and participate in the development of acceptable IAQ standards which will provide smoking accommodation.

Category: General Programs

Develop and execute survey instruments to track attitudes and messages on ETS, smoking restrictions, enviornmental priorities, tolerance/intolerance and sound science. Develop alliances among parties with similar interest and promote a variety of key concepts. Identify a broad range aof scientific and technical experts who can address ETS and IAQ issues.

Contributions-450

Sounds Science coalition of U.S. and European scientist to discuss and recommend the appropriate use of epidemiological studies in risk assessments and policy0making conference 250

Communications plan for above conference 100

Develop allies in academic fields and public policy associations to help promote a variety of messages including sound science, tolerance, U.S. extremism, economic impact of government regulation, etc.

Support for U.S. public policy groups 300 Support for international policy groups 150 Support for ARISE 150 Support for TASSC 200 Asia Initiative 100

Imperial College 150

New York Medical College 200

Category: Communications

Support U.S. and international initiatives to promote messages on ETS science, accommodation IAQ, sound science, etc. through direct and indirect approaches; to maximize positive outcomes and counter as necessary negative outcomes of current issues in the U.S. (incl. EPA, OSHA)

Company
Philip Morris
Author
Philip Morris Worldwide Regulatory Affairs
Recipient
Presumed corporate recipient, Philip Morris
Region
Brazil
Costa Rica
Japan
Sweden
Hungary
Switzerland
Hong Kong
Malaysia
Puerto Rico
Finland
Czech Republic
Korea
Belgium
Spain
Germany
Italy
Columbia
Poland
Norway
Gulf Council Countries (GCC)
Argentina
United States
Australia
Named Organization
ABC, American Broadcasting Company
Advertising Experti
American Smokers Alliance
Apco
Apo, Arnold & Porter
ARISE, Assoc. for Research in Science of Enjoyment (Industry scientific front group promoting "pleasure")
Association for Research in the Science of Enjoyment (1994)-Industry-funded scientific group out of the United Kingdom which proclaimed that a little pleasure is essential to good health. Created to combat tobacco control initatives. Previously knows as Associates for Research in Substance Enjoyment. Grouped tobacco use with pleasureable activities such as drinking tea, shopping, and eating chocolate.
ASHRAE (Am Society of Heating, Refrig and AC)
American Society of Heating, Refrigeration and Air Conditioning
Australia Senate
Barrera + Associates
Bayless Boland
Beveridge Diamond
Burson Marsteller (Tobacco industry PR firm)
Tobacco Industry public relations firm.
Bonner + Associates
Brendan Holacome
Cid
Constangy Brooks
Covington & Burling (Tobacco Industry law firm)
Tobacco industry law firm. Was involved in organizing the Whitecoat Project.
Dolphin Intl
*EPA ( use United States Environmental Protection Agency)
Ets Group
United States Food and Drug Administration
Federal Trade Commission (Enforcement agency for laws against deceptive advertising)
Enforces laws against false and deceptive advertising, including ads for tobacco products. Ensures proper display of health warnings in ads and on tobacco products;collects and reports to Congress information concerning cigarette and smokeless tobacco advertising, sales expenditures, and the tar, nicotine, and carbon monoxide content of cigarettes.
Georgetown Univ
Healthy Buildings International (industry-funded ventillation experts)
Worked closely with the industry to encourage corporations not to ban smoking but to look for other causes of air pollutions. Used the term "Sick Building Syndrome". Founder: @robertson_gray
Hunton Williams
Icao
Iha
Imperial College
International Agency for Research on Cancer ("IARC") (International Agency for Research on Cancer ("IRAC"))
International Agency for Research on Cancer ("IARC")
Intl Airport Managers Assn
Intl Horeca
Lee Garment
Multinational Business Services
NSA (National Smoker's Alliance)
1994 National Smoker's Alliance 1994 - to present. Front group formed by Philip Morris Tobacco Company to oppose smoke-free laws without its corporate involvement being detected.
Ny Medical College
Oldaker Ryan
Occupational Safety and Health Administration (Held hearings in 1994 to ban smoking in workplaces)
OSHA opened hearings in September 1994 on a proposal that amounts to a virtual ban on smoking in every workplace in the nation
Paul Weiss
Reuters Television Intl
Shook, Hardy & Bacon (Tobacco Industry law firm)
Tobacco Industry law firm based in Kansas City, KS.
Sherwin Gardner
Sound Science
Sound Science Conference
Spring Obrien
Stanton + Associates
Tassc, the Advancement of Sound Science Coalition
Tobacco Action Team
Wachtell Lipton
Weinberg Consulting Group
Young & Rubicam (New York-based advertising agency.)
Was awarded the assignment for advertising Philip Morris' Dave's low-priced cigarette brand. Y&R lost RJR Reynolds' Camel cigarette brand account in 1991 when two Y&R Executives resigned to form Mezzina/Brown, which remains Camel's ad agency (1994) (WSJ 9/13/94).
Litigation
Feda/Produced
Named Person
Andrade, Anthony J. "Tony" (PM Associate General Counsel, Switzerland)
Associate General Counsel for Philip Morris. Worked for Shook, Hardy and Bacon. Vice President, PM Worldwide Regulatory Affairs, 1994. Responsible for management and direction of ETS focused department. Reported to Steven Parrish, Senior VP of PM External Affairs.
Benda, G.
Bourlas, Manuel "Manny" C. (PM Science and Technology VP )
1994 Neuchatel, Switzerland. VP Environ & Oper Compl in 1993. VP Science & Technology from June 7, 1993 to May 24, 1994. Member of PM Ventilation Task Force. Reported to Steven Parrish, Senior Vice President, PM External Affairs 1994. Represented PM interest in international markets.
Doak
Edward, C.C.
Gardner, S.
Goodheart, J.
Han, Victor (PM Worldwide Reg. Affairs, Dir. of Communcations c. 1993)
Director of Communcations for Philip Morris Worldwide Regulatory Affairs office circa 1993-95. Directed strategy and implementation of internal and external communications. Also worked for PM Corporate Affairs. Vigorously defends company's sale of tobacco products but refuses to smoke around his two young daughters saying "Certainly I don't want my kids to smoke. As a parent I want to take as many risks out of their lives as I possibly can." (Washington Post National Weekly Edition, January 13, 1997, pg. 9)
Hoffman, D.
Holcombe, L.
Howe, J.
Kapustin, R.
Lattanzio, Theodore A. (Director, Worldwide Regulatory Affairs PM 1994)
USA. Member of PM Ventilation Task Force.
Lenzi, John (Jack) (Mgr., PM Corp. Communications, Reg. Dir., PM Gov't Affairs 1)
Manager, Philip Morris Corporate Communications, PM Worldwide Regulatory Affairs, (1995)
Logue, M.
Parrish, Steven C. (PM, Sr. VP, General Counsel)
Partner of industry law firm Shook Hardy and Bacon before going to work for PM. Was VP of PM Corporate Scientific Affairs in 1990. Defends PM on television.
Pottorff, Mary
Purcell, C.
Shrum
Tilley, K.
#13434 (Winokur, Matt)
Type
BUDG, BUDGET, BUDGET REVIEW
Subject
Corporate strategy
corporate structure
industry activity
industry front group
industry influence
industry sponsored conference
industry strategy

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Page 1: tep94c00
DRAFT Worldwide Regulatory Affairs 1995 Original Budget WORKPLACE/GENERAL 700 VENTILATION TECHNOLOGIES 1,735 HOSPITALITY 1,500 TRANSPORT/AIRLINES 400 STANDARDS 460 GENERAL PROGRAMS 4,185 IARC 950 COMMUNICATIONS 890 REGULATORY MONITORING 940 SUB-TOTAL: 11,760 WORKPLACE/OSHA PLUS OSHA: 3,040 PROJECT TOTAL: 14,800 ADMINISTRATIVE 2,563 TOTAL 17,363 October 26, 1994 2:56 PM
Page 2: tep94c00
Worldwide Regulatory Affairs 1995 Original Budget Category: Workplace/General Develop strategies and programs to protect smoking in the workplace; identify/support allies in business organizations, trade associations, unions. Support PMI workplace initiatives in various markets induding Brazil, Costa Rica, Japan, Sweden, Hungary, Switzerland Contribution - 450 Identify/support int'l employers/ 20 personnel organizations SUBTOTAL: 20 Professional Services - 469 Adapt/translate and produce for local implementation 150 the workplace environmental kit Develop survey prototypes/test in 4 markets 80 Communications tools to select audiences 150 (e.g., video, brochure, editorials, etc.) SUBTOTAL: 380 Consultants - 470 Consultant support for workplace implementation 100 Dissemination of materials via symposia/publications 200 SUBTOTAL: 300 WORKPLACE/GENERAL TOTAL: 700 October 26, 1994 2:56 PM
Page 3: tep94c00
ate o : Ventilation Technologies/Applications Identify/develop/promote a range of cost-effective solutions to address concerns about ETS/IAQin various venues; be prepared to suggest to employers, restaurnat owners, airpot officials, etc. technologies which would permit the designation of smoking areas that can be designed as inexpensively as possible. Professional Services - 469 Design ventilation models for restaurants and workplaces 150 for international (e.g., Hong Kong, Malaysia, Puerto Rico, Finland, Hungary, Czech Republic) Communications (brochures, presentations, 100 re: ventilation models int'l) Video 80 Publications of case histories of airport 10 accomodation models Article re-design options in aviation trade publications 5 SUBTOTAL: 345 Consultants - 470 Ventilation "models" (USA) 4 concept designs, computerized visualization ..80 Site selection/cost estimates ..30 Design of four areas: restaurant, 2 office buildings ..60 (lounge/open area), airport lounge Develop monitoring protocol to test effectiveness ..80 Communications 100 (technical presentations, media, etc.) Monitor and evaluate all new mitigating technologies 150 and equipment, domestic and international, in the IAQ area; identify and evaluate new suppliers of ventilation technology globally; specific view toward compliance with proposed OSHA rule October 26, 1994 2:56 PM
Page 4: tep94c00
Ensure accommodation of smokers in airports by making available appropriate technology and expertise to airport authorities and pubiicizing its success;' priority markets incl. Korea, Puerto Rico, Brussels, Madrid Identification and briefing of relevant facility managers, regulatory authorities, industry members 20 Site visits for interested parties 30 Identification/evaluatibn of technologies 20 Briefings of related associations (e.g., Int'l Airport Managers' Association) 30 Healthy Buildings International 200 SUBTOTAL: Special Projects - 870 800 PM facilities projects: support design and construction in 4 markets (e.g., Brazil and Hungary) Subsidize renovation of existing airport lounge(s) 250 Feasibility studies (6 x 10K) 60 Installation support (6 x 30K) 180 Projects/initiatives to be identified by WRA engineer 100 SUBTOTAL: 590 VENTILATION TOTAL: 1,735 TECHNOLOGIES October 26, 1994 2:56 PM
Page 5: tep94c00
Category: Hospitality Develop and help implement restaurant/public place accommodation programs for select int'l markets to prevent/pre-empt, and in some cases, ensure compliance w/ restrictions; priority markets are Costa Rica, Argentina, Brazil, Colombia, GCC, Czech Republic, Hungary, Poland, Norway, Italy, Germany, Japan, Malaysia, Hong Kong, Korea Professional Services - 469 Adapt "Courtesy of Choice" campaign Support local surveys (10 x 10K) 100 Design modifications (15 x 10K) 250 Translation/production (15 x 10K) 250 Consultant fees/PR support (Spring, O'Brien) 200 Advertising/communications to market program 200 Communications w/ trade associations 25 Support PMI regional/market hospitality projects Surveys on economic impact of local bans (10 @ 15K) 150 Campaign adaptation/design (e.g. tolerance) 80 Promote messages on economic impact of bans 50 in U.S. SUBTOTAIS: 1,305 Consultants - 470 Develop and implement a communications program to relate the effectiveness of a smoking accommodation program implemented in Corpus Christi 25 Consultant fees, International Meeting Planners 25 SUBTOTALS: 50 Dues - 503 IHA membership 10 International Horeca membership 10 SUBTOTALS: 20 Contributions - 450 IHA "white paper" 25 Identify/seed new associations 50 New initiatives w/ int'l and U.S. associations 50 SUBTOTALS: 125 HOSPITALITY TOTAL: 1,500 N O U7 N ~ N W 0+ October 26, 1994 2:56 PM
Page 6: tep94c00
Category: Transport: Airlines e ive: To slow down the spread of smoking bans on international carriers, including proposed U.S. legislation and international agreements Professional Services - 469 Publicize competitive angle of current/proposed bans 25 SUBTOTAL: 25 Consultants - 470 Develop new ideas/avenues 150 Identify/support possible allies in airline trade groups 20 Consultant fees, J. Howe (ICAO) 175 Consultant fees, R. Kapustin (ICAO) 30 SUBTOTAL: 375 TRANSPORT TOTAL: 400 October 26, 1994 2:56 PM
Page 7: tep94c00
Category: Standards ctiv • Monitor and participate in the development of acceptable IAQ standards which will provide smoking accommodation. Professional Services - 469 Develop technical spokespeople for int'1 markets incl. 75 presentations on IAQmeasurements and studies ASHRAE briefings and comment submissions 100 SUBTOTAL: 175 Consultants - 470 Assess status of worldwide IAQ issues and standards 40 Prepare market-specific analysis and briefings 50 Identify possible allies in scientific and 25 technical arena (int'l) Identify a University or Center for European IAQ 5 building study Design and fund a study of ten buildings including 100 displacement ventilation system in visitors' center Preparation of technical paper 25 Presentation at 2 int'l and I US technical meetings 40 SUBTOTALS: 285 STANDARDS TOTAL: 460 October 26, 1994 2:56 PM
Page 8: tep94c00
Category: General Programs Develop and execute survey instruments to track attitudes and messages on ETS, smoking restricitons, environmental priorities, tolerance/intolerance and sound science. Develop alliances among parties with similar interest and promote a variety of key concepts. Identify a broad range of scientifi and technical experts who can address ETS and IAQissues. Professional Services - 469 Surveys Develop/test survey tools to track attitudes and test 20 messages Support survey execution/analysis in 8 markets 160 Develop/test survey tools to examine environemtal 20 priorities in developing countries Identify collaborating organizations 30 Conduct/promote pilot surveys in 3 markets 75 Tolerance Adapt Swiss research as prototype campaign 30 incl. translation, design,. focus group testing, etc. Support launch in 2 markets 50 Georgetown University ("database") 180 SUBTOTAL: 565 Consultants - 470 Identify social scientist network 80 Conduct symposium, incl. tolerance themes 100 Support for TASSC network in Latin America 100 (possible tour, newsletter, interview series, etc.) Support for industry expert panel in Australia to promote 50 to counter government report New initiatives in Australia 100 International Consultants Program Europe 1,050 Latin America 245 Asia 140 Japan 55 SUBTOTALS: 2 020 ro , 0 m Zn October 26, 1994 2:56 PM
Page 9: tep94c00
Contributions - 450 Sound Science coalition of U.S. and European scientist to discuss and recommend the appropriate use of epidemiological studies in risk assessments and policy-making conference 250 Communications plan for above conference 100 Develop allies in academic fields and public policy associations to help promote a variety of messages including sound science, tolerance, U.S. extremism, economic impact of government regulation, etc. Support for U.S. public policy groups 300 Support for international policy groups 150 Support for ARISE 150 Support for TASSC 200 Asia initiative 100 Imperial College 150 New York Medical College 200 SUBTOTALS: 1600 GENERAL PROGRAMS TOTAL: 4,185 October 26, 1994 2:56 PM
Page 10: tep94c00
Category: Comm unica tions Support US and international initiatives to promote messages on ETS science, accommodation IAQ, sound science, etc. through direct and indirect approaches; to maximize positive outcomes and counter as necessary negative outcomes of current issues in the U.S. (incl. EPA, OSI3A) Professional Services - 469 Develop ETS "Issue Module 40 Provide support for regional/market advocacy campaigns from creative through production 250 Create tools and vehicles for message promotion from creative through execution incl. brochures, VNRs, news releases, wire service stories. article placements, etc. 350 Translation costs 100 Design/printing costs 100 Support training sessions as required 50 COMMUNICATIONS TOTAL: 890 October 26, 1994 2:56 PM

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