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,yEXH 77 DkTE , LORILLAFD ^.0\`F'E',RE.rCF '`,lEE : 1':'_'3S W!'TH P,C7BER7r' B?iA'~' ASS-?CIATES, T^'C-'. v ._ SUPR€ii'tE COURT OF THE STATE CUU•NTY OF NEW 1970 Dolores J. Ryan; C.S.R. Official Court Reyorter RT OF 11-1E STATE GF f1EW Y~K SUPRF1~lE UNTY OF NEW YORK ~ Ident. ............ Evid. .......... ~,~hibit ....... .. Date ,,....,..,,„ ....................... poforea .1. Ryaa, C.S.R, pf f icia1 Caurt Reportet

C ine 10, I'; 70 Present for client: ' Mr. - P obert Z"'are••• Present for Agency: Mr. Pobert Sandel:man Phil Cabermcr. Jerry :=:osenicld irob Ort: Stan Si'c-me:: Meeting commenced in" Kent's conference room- at l0: 00. Mr: Carey told us that the new K ent IM.enthol goes` national on July I, 1°70. . He presented the music for the K ent TV and ro adio cornmercials :-- - .The "Kent 'got it all together. .. All the refreshrnent 'of We heard two versions of this jingle (the second version Latin) N"• r. Carey told us that there are other ethnic arrangements of this jingle. Discussed jobber acceptance of F';: ent N':enthoi, and learned that there was absolutely no resistance evident during introductory promotion in Eoston ~'• Dallas. messate, set to a rock

. k. arey a«v wci_L that due to itf high cost, this display waAoe'sng fazed out in favor of a far less expensive -cardboard unit. Questioned Mr. ..^.arey on the use of instore disolays. Were informed that the `tr.:oveable gondola" in supermzrke'ts is one of the prime methods of raerchandising K ent cigaretzes out of New York. These siz ' shelf units usuaIlv f zd Lorillard on shelf #3. When Lorillard is presenting a "special drive", ( sweepstak.es prerniums, etc. ) a 60 cartari floor~; _ - - :-- _ . - . . displ¢y is -usually , cflnsidered in aiding promotion. - -:. . _. . . - • _... SPECIFTC ,I'~8 ASSiG!`'.VENt'i Rober-t- Brian Associates will present layout and copy theme for three small display riser cards. . This therne - will encompass- both - K ent r egular and K ent Menthol ci garettes . (Mechanicals due July 15, 1970) N1 nTS : This one month promotion will immediately follow the two month Kent Menthol introduction. ln the month of F-'ebruary we will propose a base display

w:r. Carey ~ ~ up 3 pm date between lA,( Sandelman and Mr. Mel Shaller regarding future -Sa Ies Promotion activities.

I ~ MENTHOL 1 0's Art r '~`.echanicals - July 15th ? eed' layouts and~ copy the:-le for tnree (smail) display riser cards with new theme - -: ombine F: ent 100's FY Kent menthol 100"s to say now we've got both I - This is one month promotion to follow two month's of Kent 100's introduction . Kent- Base display..promotion For February 1971 . i.e.. New York's resolution et: . basically counter units all 5.pieces -(re: office pieces) ,Tanuary & February . - - True cigarettes push I : (for health reasons) T'otal Zales 55% of business - food carton subs 20% - drug, - all others & p 17 0 - vending Carton outlets _ terminology of trade Package outlets v: e can test any therr.e

Contsc'i : `eport r -rioay 3 PM ' C b/ l:•/ / V Meeting with Mel Shaller - Sa Ies Promotion Manager John ~4ueller - Regional Sales M-anager Present for Agency - Bob Sandelman Jerry R osenfeld Present for Jonever Printing - Stan Sig.mara 3 P &': Met with Shaller - Discussed rBA's new affiliation with Lorillard. Shaller to date, not completely sure of how we operate, etc.- • .. Discussed . jobber flyer job,' Jonever' recently; produced. ~- . . . . . . . . . :,: . - _ -- .. . . Found Shaller to be good sounding board in promotional area. Fige experience in sales. .. Could enlighten us to real situations in the field. He showed us various things Lorillard is doing in sales pro, i.e.: wire, cardboard, e . . . ., _ - 4 : 30 PM ; Met with John Mueller . Introductory meeting to establish new affiliation between Ft: A and Lorillard. Since we will in the beginning be greatly involved with the sales force and finding out the problerr, s of the field, Mueller will be very important. He pointed out the many retail differences in sales -: of..aigarettes. i.e. Chicago - no retail sales of individual packs of cigarettes. Can only be bought in vanding machines. - . ^artons orlv sold retail. nt Sandelr.,an's request, Mr. '''LCIIer agreed to set up appoint':re::ts and travel itinerary for Sandelrr.an to get into field' and work with sales force - meeting adjourned at 5:15 ..... ~ ... :..

P i a'• i : ( % :. ...~. C Started researching Ken _Cigarettes in Bohack Super =Aarket Queens. Sohack was a relatively small store located in the lower middle class White Protestant area. All sales for all cicaree~-_s take place at the check-out counter. This is true oz every super market that we visited. Learned that Kent Cigarettes are rated No. 3-- Marlboro and Winston lst and 2nsi. Second outlet researched was A&P _ Super Market in Queens. This store`' was largerr than the Bohack • Store; _•it. _was ' located. in Queens Jewish neighborhood.`Learned that Ketits' rate" No. I here in sales. , Store manager was very cooperative - ,.. - .., -. . : - . '- ' . . here and explained that cigarette sales '.must take place at check out.counter due to pilferage.- He went on to say.~~=t high ticketed items like SaIrnon, etc. are the first to : disappear fror.r Third stop was at Daitch -Shopwell in Caueens.• Kent sales ranked either N'o. I or No. 2 here. Once algain we learned taat- pilferage would be the prime consideration in getting off shelf di splay _ Stopped at a Pathrnark Super Market in a hugh s:-.opping center in Long Island. All cigarette sales take place in t:ze ''prescription

;,; P b~ti~ sac:. ooy regaraing orand he smoked. I-ie was a Criboro rr.an (which is -in k(ping with research studies regarding brand acceptance among the young) . Tried to switch him in every conceiving way, but to no avail. Winston too flat--l: ent too bland. Visited toy and greeting card store no cigarettes sold here. Visited three drug stores and' found cigarettes siocked behind counter- to avoid pilferage problem. Learned that. Kent. was among the top 'three brands sold. in -these outlets. " Stopped at two gas stations in Queens. Cigarette sales here in vending machines.- - Kent had one facing in the Qld •: face machine, two facings in the new modern machine. Came in the office at 3:00. Mr. .. Sandelman spoke to Bob Carey regarding field trip assignment for this week. Will hear from Carey tomorrow.

JulV: -- K ent Promotions C 1970 - 19,71 Up on counters with Kent 100's, Deluxe and Menthol. "F'astest Growing nrand~" 2 pack shot. "Kent 100's Filter or Menthol, America's fastest growing of all 100's . August or Seotember: National on Kent Menthol 85's Suggest new ideas. October : New Promotions or stay up with Kent Menthol ( strictly one month period) . March Aoril: ('71) Next' year first time for large display program. (Possibly 20th Anniversary)