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18/11 '92 14:29 '032 2 2878069 P.Y.C.S BRUSSELS -~-~-. PM CORPORATE 0003/014 4!!Z#Z*1I1j2 1 pla 1Q,-±3i! M wo!i, Dear Colleagues, Attached is a first draft of the PMCS ETS strategy. The issues addressed in 'this document relate specifically to the objectives presented to Geoff Bible by David Greenberg and bavid Bushong. This outline has been written based on discussions with the field corporate affairs managers and should accurately reflect the actual situation and intentions of the operating companies. The purpose of this document is to provide an outline of our objectives and our strategies to achieve them. The final version of this document will be used as a basis for the elaboration of a more detailed plan at our strategy retreat. Please review the attached document and make any necessaxy conrections. I particularly need you to review the EC section (Part A), the section relevant to your market, and the proposed Air France obiective _(Part n. Once I have received your feedback, I will make the corrections and send the document back to you so that you have it for the retreat. I Please send me your feedback this week, if possible. I will need to have your comments no later than November 25 for them to be incorporated in the final document.

18/11 '92 14:29 %T32 2 2878069 P.M.C.S BRUSSELS 4-.-. PY CORPORATE . Overall Objectives Q 004/014 pTJB1YC AxD_ wORTti''z1ACE SMOWNG W-0y M''v' ? fM . v'Jl„ ? m-E-M ? * PREVENT LEGISLATED SMOKIN'G• BANS - As pressure on legislators increases to ban smoking indoors and on public transport, our objective will be to assure certain minimum protection for the freedom of people to smoke, i.e. prevent total bans. The miriunum acceptable protection required will be defined by our model legislation task force (see below). * DEFIN E ACCEPTABLE SIv1OKING LAWS (MODEL LEGISLATION) - A task force will be formed to define acct:ptable smoking legislation. This will serve as a guide to be used by CA in assessing the acceptability of any future legislative attempts to restrict public and/or workplace smoking. It will also be used for eventual pre-emptive legislative measures. 2

18/11 192 14: 30 $32 2 2878069 P. Y. C. S BRUSSELS 4-.-. P][ CORPORATE f@005/014 A. EC LE'V"ElG PUJgZ.J[C AND wORTaLACE htESTRICTrONS OXJECTIVE: To prevent unacceptable EC workplace and public smoking restrictions by defeating legislative initiative(s) or by assuring favorable wording. STRATEGIES: i- Draft and agree acceptable model public and workplace laws. -Form, maintain and strengthen ally positions. - Initiate dialogue with. Commission and other EC bodies. - Monitor political/legislative/litigation developments at EC and national levels. ACTIONS: - Form task force on model legislation. - Identify allies to be mobilized at EC and national levels. -17evelop plan vis-a-vis EC institutions. - Develop standard briefing/messages for target groups. - Assure effective monitoring system. N N 0 ~ Y -p 0 (,17 ~ 3

18/11 '92 14:30 'V32 2 2878069 P.M.C.S BRUSSELS -r44 PM CORPORATE 13, rrAMN SMOKING BAN OBJECTM: To avoid unacceptable workplace and public smoking restrictions by defeating national legislative initiative or by assuring favorable wording. STRATEGIES: - Present alternative texts in Congress through allies. - Provide assistance to rapporteur. - Mobilize allies as needed. - Use press relations as needed. ACTIONS: - Brief unions on issue and present them survey results. - Lobby congress directly and through allies. Q 006/014 4

18/11 '92 14:31 '032 2 2878069 P.M.C.S BRUSSELS ->44 PM CORPORATE C. DaJTCH SHORT HAUL TRAIN SMOTCThtG BAN OBJECTIVE: To overturn the Dutch short-haul train smoldng ban before planned Implementation on Tanuary 1, 1994. STYtATEG>`ES: - W ork through NMA. - Mobilize Smokers Rights Group against bm - Lobby relevant public; officials directly and through allies. - Use PM status as important client with Dutch railways. - Use marketable surveys to demonstrate public attitudes. - Mobilize suppliers against ban. ACTIONS: -Finalize details of plan and strategy in SSL - Correct syntax in air/rail survey analysis. its Q1007/014 5

18,/11 ' 92 14: 31 V32 2 2878069 P. M. C. S BRUSSELS -r-r4 P][ CORPORATE C@008/014 D. SPANISH WORYMACJEI LEGISLA7TON OBJECTYVE: To avoid workplace smoking from becoming regulated in safety & health code by defeating eventual initiative or assuring favorable wording. STRATEGIES: - Continue union briefing programs. - Conduct a marketable survey with allies on working conditions. -Brief relevant publio officials and media. - Develop Smokers' Rights Group. ACTICNS: - Meet with J.C. Bermudez, G. Wirz and 7 Brana. - Identify market research firm and develop questionnaire. - Define precise lobbying plan. 6

18/11 '92 14:31 1032 2 2878069 P.H.C.S BRUSSELS 444 PH CORPORATE E. GERMAN LEGISLATION ON PUBLIC/WORMX.A,CE SMOKING OBJECl,'IVE #1: To avoid workplace bans at Lander level by defeating initiatives, assuring favorable wording or pre-empting with acceptable national legislation. STRATEGIES: - Work through NMA. - Continue scien tific programs. heo'-'-Z -~ ? - Brief press and relev-,uit public officials. - Brief allies: employeis, unions and Horeca. - Conduct marketable survey with allies on working conditions. - Mobilize Smokers' ltights Groups and suppliers ACTIONS: - Review of NMA activities (PMG and PMCS). - PMG to participate in model legislation task force. - Agree on PMG position and strategy vis-a-vis NMA. OBJEC'.PIVE #2: Avoid total bans on trtins and airlines. STRATEGIES: - Work through NMA. - Brief press and relevant public officials. - Mobilize Smokers' Rights Groups and suppliers against bans. ACTIONS: - Agree on details of plan with PMG - Correct syntax In airlrai7 survey analysis. Q 009/014 7

18/11 '92 14:32 $32 2 2878069 P.M.C.S BRUSSELS 444 PH CORPORATE Q010/014 F. PROPOSED ACTION ON AYIt FRANCE BACKGROUND: Air France has announced its intention to ban smoking on all European flights under 2 hours starting January 1, 1993. The repercussions of such a move will be very swifft. It is likely that other airlines will follow suit if Air France can implement the-ban without any voiced opposition. It is advisable that PM or the industry launch a program to dissuade Air France from pursuing its stated intention. Such a program, however, would require active involvement from all European markets. Below is a proposed plan to deal withh the issue. We should use the retreat as an opportunity to decide our position on this issue. PROPOSED OBJECTIVE: To persuade Air France to rescind its policy of banning smoking on all Furopeart flights under 2 hours. POSSIBLE STRATEGIES: - Have smokers in EC cancel reservations on basis of the ban. ~ Initiate press relations program on Air France. - Mobilize PM travel agents and allies against ban. - Mobilize Smokers' 1Zights Groups. ~ Initiate direct contact with Air France. - PM Companies boycott of Air France. - Initiate cigarette industry boycott of Air France. MEVAhIT ACTIONS: - Identify all PM travel agents. - Quant.ify PM companies use of Air France. - Agree plan. 8