Tobacco Documents Online

610 Yet liolduvitz nlan enya: "I can Nne where laroVle Ec»Nd] feel this advertlNe- nu•ut Ix ngn/nxt then4lrtt ofthe luw-. .. bmmuw, the rik•tlr 14u,ka llke it clgnret or IN prmunled ihl n way that n typical clgnret would be Vrnmoled. In olher word.v, then?N n wonuul mllokln6' It, and it comeu ont of a package that /oukN like n riWlrot Inicklge." It. .I. lte)'1„nds' IN,Yltlnn I/il Ita WIIIchYNler TV rnlnlllerl'illla IN ldentlral to the lu,ihnrily'n: {Pineheeter In legally a little cignr, No tlle •1'\' nde are legal. A Reymndx aw'knsuuin addN: "]svrq' Iwc•k of R'inchexler mqN Iitth• clgnrx, and there ury InLeix nu nll rrndhlg murhlnea that Ivutnln WIncheaterN, all clearly Nhltina that it'n n little viunr. I duli t thhlk anyhiNly thhlka It'R a ciRare[." dhortl,vy uftrr Ihe 'Ctl +mA radin han Lernmr eftrctlre last ]nnunry, NCC ClndnWln in•nll Rurch called ln tobnrCO-IndllNtry leaders, to Iliafuea rmllora that they would try tu c•Irenmvent the law; Nt•tl. Frnllk F. 3loae, the Utah fitmumrnt who pmawd the nct Ihruugh Congre.x, luld tnid the Senate that 1u late Uecemuer. ttnmh wnrned the tohnrco exelvtivee: If one nt you v/olateu the apirit uf tLe htw, the mut w•111 t/w, nmking tlle Inw a Nlululnles, lA•nry Gellet, Rlrreh'n ndvlatant, i;nynof Winehexter'N cbmmerclalN: "4t seemn to ml• It's tunuethlug that wnuld have to be looked at. When one trteR to do It, the ulhem wlll try tn do It. Nobody'n galnu to let anyhody getnwaywlth anylhing. 1'reltr ewon they're trying to uhade things all over the place."- AINmndix R DEPARTHENT OF JIIaTICE, FaR IMMEDIATE RaTBARE, THEaRAY, JANVARY 18, 1972 . The DeDartnlent of dunGce announced today that It haa reaelletl agreement with the R. J. ReynnldN 'I'onucevl Company regarding the marketing of a Reynolds tobacco tSrmiurt-"R-Inchenter Little Clgnra." - Attorney General John N. \titrhell Nnld the agreeulent resulted frmm an hlve,¢tiRnGon aN to whether adverGabment-of'4PIurGratfiro" oli tPIrvlNlon and rndlo rtntiona riulutnl &rtlnu 2 of the Public Health C/gnretleNtnoking Act of 1069 1 (15 U.S.C. il 1335). '1'he Act prohlhitx advertising of "rlgun•tten" on nledin of ekrtronlr conmmnlaltion mluJirt to the ltlrlwlic'tlml of the FCC. Reynolds nRn•ni to mnke several changes in the Iarkaging and polntof-Rale mnrketing of the product. The elutngea inelnderevlRlona of the format and laheling on packages and rartona ao that the prodnct IN more clearly and conapicuouNly labeled an a little cigar. Reynnlde alxo agreed to work wltll retallera to Insure that "1Vlnchester" will not be "comudughnP'-bounded on both sideo-hy cigarettes, either in cigarette racks or iil vending Ilmchinea. In ndditlon, Iteynolda nrondNt+l that "Whlcheater" wlll continue In the future to I,e clrnrly nud con+plcumlNly' deNigimtnt and Narketell nN a little cigar. The Internal Revenue Yerhlce ndtvl last year that "1Vincheaterd" were considered cigara-nnt clgarettea-for tax Vurpoaea. Appendix C UNITED STATES 9ENATE, WaaMnpton, D.C., BeptenlDer YJ, 1971. Han. 7aHNNla Dt. WALTERR, ComnMAAioncr, fnternal Revenue 8eroice, IvnnBinnton, D.C. 11l:AR CannIERIONER WALTERS: The Public Health Cigarette Smoking Act of 1869, 15 II.R.C. -1831-1d.39 jihleeR certain IlmihltlnnN Rnd requirements an the advertlNling and lnla•Ihlg M clgaretteN. The de9nltlon of elgnrette In fhe act Is Idenllenl to the Hegnitlon-In2RlCN.C. 67b:-nnd knxrexutreit-In thedetermt- uatiotl of product Identif•v heing a matter of IRS lurludlctloll ln both ucts. The definition of clgnrette InchuleN: - - (1) any roll of tobacco wrapped In paper or any substance not contalning tobacco, nnd (2) nu)y roll uf tobacco wrnplu•d in any substance containing tlamccn which, hecauNe of Its nplwnrnnoe, tue type of tohncen used In the filler, or Its packag- hIR Rml labeling, IN likely to lie offered to, or Imrchaaed by, consumers au a cigarettedeac'rlbrdInpanlgraDG(1). -- g 8r..T-B69Z00Z ' 611 It would appear that Rnme brandR nf little clgarR fulllll the de9nltlon of ciRnretle mlder the second pnrt of the definltlon. Thin Iu Imrllculnrlynote- worthy Rhln, m•vernl I,rnudenf lltth• c•Iguralire la•Ing pronlntnl In n mamler Rlndlnr In clKnn'ttcN, eveu wlth .•xhartatlone to Iahale the I,n11111cP, a I/rlwtlcy not uauully nawa•latal wllh rlgnr aalokhm. An Il. J. Reyunlda pnalnet cvlr. n'ntlY iu test InurketN, N'hlchratrr, la IRlrtlculnrly' Nlnlllnr to n ciLmrelte In ita packnzing, filter, nnd advertising. The alnJlnrity Iwtween Rallle little cigara nnd rlgnretleN lanvme evr•n nmre hldlatingulehubk• when one /ronxldere a nrtv cigarette Lnmd Adum, u1No In tent markets, which IR wntVlN'd In a brown, chnlr-l/ke IRIINT. . . I would nnhrecinte your revfewing ltle current clnauiflcatlon nf thewe little cilulr prminctN In order to deter111lt1e IIaY/nRINtP11eIPN wllh flle /IefflilGolla an1l to reclaeslfy, where. Iq,pt'/Nriate, little cignru tvhtch should Innre malinticrolly lie deaued an rlgnn•thw. . I appreciate your conRlderntlnn of thlR matter and look forward to your response. . . .. . Sincerely yourn, ; Hon. FRANK Fi. yfoua, U.S. Senate, tVaaAinptoa, D.C. FRANK F. kloea, CAa(rmaR, F.Benmmittce for Consumcrn. Appendix D U.S. TREASURY DEPARTLENT, INTe.RNAI. RP.vENl11: NEaVrcE, .. WaeA(nqton, D.C., OctoDer 6, 1971. DEAR BP.NATOR Naaa: As you requested in your letter of Aaplemher 2,1, vre are p1enN1•tl to exVlalu our rerlew nf the tax clnexl9catlon nf Rmall e1RnrN. Genernlly, mmnufuctnn•ra and ImPOrtera of tlleme producM Nubmit them to IRS for n tax dl'tertlllnatlon, before patting thenl nn the murkett We aubJec•t the pnalurtu to u carrful und critical exmnlnntlon, employing the criteria exprrannl in Itevelnue Rnling (Il9-11RL (A eopy of thiR Revlvme Rnling IN en- cloNed for your con.mnlent n•len•urr.) You Italy he Intenalell lil knbtrhlg thnt several Vrolmaell prnducta, eonaidertvl hy the mnnnlnetun•rN to he alnnll rIgarR, hnve been detennhled by IRS to Ire clgurettea.Wheu the nlannfacturerR were Informed of auch deterildnntinu, thry elther nlternl the enlnlmaltinn of the pnaluet or did not lntnalutw the Pnulnet on tlle market. Aa nmtVpleinental eRnrt, the Alcnhol, Tolmcem m~l MlrenrlnN DIrIxInn follmvu tlle pnlctlre of ncTlalrhlg Rnmll cigars on the nlarket nnd re+'xnnllnhlg thmn. OurPurln,Ne iN to Ivnltitluall3'revlew the npproprinteneaa of the tax claaaiflrn- tlon of theme products. We are aware of tlre effect of our tax dete_rnllnot/onR upon tile adminlatra- tlun of the 1'uhllc Health Cigarette HmoklnR Act of 111119. Therefnre, we have already Intensified nnr revlew of anrh tax deterndnntionN. It we find that any VnxlucM are /mProlwr¢ clarwlded, w•e uhnll Inke crlrrerth•e action. We hot»' that we have been reNIRnlRive to your request. 1'lenae call upon ue for any Ilddltlonnl Infornmtlon needed. W l l h k i n d rega rda, --Blncerely; WILLIAN H. LOEB, . - Aot/np Comrrmiseianer. Appendlx E ty'rom The Nalonel Ohxerrer, Ott. e, 1e711 '7URTraR I)RPARTAENT Ie ASKED Tn RREKRAN ON WIKCIIERTER Llrns CmAR TV AR Little cigarn that reRemhle elgnretN in alre, pnekaging, and TV promotlon wern nthlcked last week nn two Pnnlta nnd defended on n third. Ken. Frank E. )Imw, u Iltnh I>Pnlra•rnt, asked the Internal Revenne Service (Iitfl) tn consider whether Rnmr tnhacYY/ ylrfalllctN cluaatfied au Rmull cignra Rhould not be "more reRllutlcrolly" defined nR cignretM -