Tobacco Documents Online

:.X 500-09-001296-912 ":':" 500-09-001297-910 .v. ::::.- ::::: ": nur b' ,pp l :: % .:.:. :.'. *.":" Mon trial :':': :,:-: 8AKER~ IVtl~LEI~kl t LAIIO~T~GIVE lie. JAblF_S ~A88/JTT, e.~t....:~:!: • ":':'.. (14g Rogea E. 8ahea, e.~. ) P~oea~e..a~t de ~.'Appe~.at,~ "'.v. .v. P~oea~e.u.,~l, de l.'Appe..ftzn;L Tour Fst .v. ...: 1155, boul. Rend-Ldvesque ouest 140, rue O'Connor .'.: .;.i- :.'. :.X Bureau 2720 17e 4rage .v.:"" :!:!: Nontr4al (Quebec) Ottawa (Ontario) ".~:i: -.-: H3B 2K8 KIA OG5 "::': ;%. o'0°0 • v.'.. T~l.: (514) 866-6674 T~I.: (613) 996-4425 .v.":" :.'- -.'.i. :..- .'.'. P,toeu,tea,t de Z'Appe.Ztt.~t P,toca,teu,t de_ t'Appe~a~;t ... +:" 2, First Canadian Place Ministate de la Justice .v. ::::: Bureau 3400 du Canada ::::: ;;;:: Exchange Tower, Box 36 Complexe Guy-Favreau :...:". -:-:- Toronto (Ontario) 200, boul. Ren6-L6vesque ouest ..'-:. ::::: N5X 1K6 Tour est, 9e ~tage :...:" ::.'::T~I.: (416) 973-0927 Nontr4al (Quebec) .V..v. ::'.:: H 2 Z 1 X4 ::::: "2"2" .:.2. :':-: T61. : (514) 283-4040 :-:-: o°J° .:.:. .:.:. ::::: ..'.:. "~'~" :v :" P.'toett,tea,t,s de_ .~'/.,.££m4.e P,toett~teu}t,s de_ Z'./..t,~£mge :"" .:.:. :..:. ::::: RJR-~aeDo,aZd I.e. RJR-Mael)o,a~d I.e. ::::: • ":':'.. 630, boul . Rend-Ldvesque ouest Scotia Plaza v..':':' :-:.: Bureau 700 40, rue King ouest :.:.: .v. -:':" Montc6al (~u6bec) 19e 6tage, Box 210 v.. .'.:.." :v .v. H3B 4H7 Toronto (Ontario) v.. :.-. ":X .v. T61 : (514) 954-3147 NS~ 3¥2 % . :.:.: v.. ::::: T61. : (416) 867-3076 ::::: % :.:.: ::....: .:.:. ::::: ..... ::::: ::::: ..v -[-~-.: ..: ..:: ..-.....-.........-...: ..-...: ......-.-...: ..: ..: ,.-.....-.......-...:-...: .......... ,...: ",::-.:-.: ......-.: .. °.....::: ..::: "...: ..: ......: ..: ..: ..: ...... ,.......:-... :::: ...... :::-...::: ".:: ............-...;: :: :',: :: :: ..- .v. 4, rue ~olre-Dame Est "" ~,"'~---. lelecopieu~ 15141 866-4861 ..:. ;.[.~ Mom~eal, Qc Id2Y 1B/ ,.,;,

:" 500-09-001296-912 .'.'. "!Zi: 500-09-001297-9 I0 .'<.: ..'.:. -.:- .:.:. :'X .v. :!:i: Montreal .v.""':" :.:.: .v. .:.... .:.:- :':-: 14acKE~ZIE, GERgAIS ::::: "" {~e Geo~tge,s ~ Thibaudeaa } "" :i:i: Paoca~eu~ de £' i.timge :.:.:':':" • :.:. RJ£-I~aePo~tat, d Iac. .:.:. :.:.: 770, rue Sherbrooke ouest .v. • :.;. :... v.. Bureau 1300 .'.'. :':': Montr4al (Quebec) :':-: H 3 A 1 G 1 ::::: .:.:. .:.:. ::::: T I.: (514) 842- 31 :.:.: • y.. OGILgY RENAULT OSLER, HOSKIN g HARCOURT ...:":. "<::: (Me Si~.oa V. Porte,t} {Lg.do, A.3. Ba,tae,s. Esq.} ::::: .v. Paocuaeua~ de £'~.timge Impeaia£ Tobacco Ltd ".':" • :.:. :.:.: :':':Imperial Tobacco Ltd i, First Canadian Place :.'. :.:.:.. 1981, avenue McGill College Box 50 .v.'V" :"" Bureau 1100 Toronto (Ontario) .v.'V" • :.:- Montreal (Qudbec) M5X IB8 ..:...': ::::: H3A 3CI T@I. : (416) 362-2111 ::::: ".":" T41 : (514) 847-4747 "':" :':': v.. .':o %°.° ::::: BER~ARP, ROY ~ ASSOCI~S • ....':':" {He Jea.-Yue~ 8e~t.aad} v..':':" v..':':" P~to cu~tgtot6 d~ Ni6 g~t cau6 ~ .'..:. +:" Palais de Justice :.'.'.'." :::.': i, rue Notre-Dame est :':': :.:.: .:.:. .v. Bureau 8. O0 :.:.: • :.:. :.'. :.:.: Montreal (Qudbec) :::'-: ::::: H 2 Y 1 B 6 • :.:.'v" T41. : (514) 393-2336 :.'. :v :-:.. .:.:. .v. .:.:, 4. Notre-Dame Street East ':" .::.::... - ultifa tum .........:. • :':" Montreal, Oc H2¥ ~S7 INC. Fax: 1S14) 866-4861 :.:.: :.'. ~..~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.:%~.~.~ .~.~.~.~.~.~.~.~.~.~°~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.~.?~.~.~.~.~.~.~.~.~.~.~.~.~.~.~. ~.~.~.~.~.~.~.~.:%~.~.~.~.~.~.~.~.~.2.~°2.~.X.1.:.:.:.~.1°~

::. 500-09-001296-912 v: ::. 500-09-001297-910 ::- ::::: ::::: -X- :'." :.-. ;:::: v.- X-" • :'.'- Montreal :+" .;<. +:- En appe[ de deux jugements rendus le 26 juillet 1991, par :.:.: v.- l'honorable juge Jean-Jude Chabot, de la Cour sup~r±eure, ::. ::::: district: de Montr6al. .:.:. ;.X :.X .v. Nos: 500-09-001296-912 C.a.M. - 500-05-009755-883 C.s.M. LE PROCUREUR GENERAL DU CANADA APPELANT-Intim4 RJR-MacDONALD INC. INTIM~E-Requ~rante -et- LE PROCUREUR G~N~RAL DU QUEBEC MIS EN CAUSE-Mis en cause .v. Nos: 500-05-001297-910 C.a.M. - 500-05-009760-883 C.s.M. LE PROCUREUR GENERAL DU CANADA APPELANT-Intim4 IMPERIAL TOBACCO LTD INTIM~E-Requ4rante -et- LE PROCUREUR G~N~RAL DU QUEBEC MIS EN CAUSE-Mis en cause .v. D O S S I E R C O N J O I N T "X" :v ~/olume ~/III: pages 1116 ~ 1304 :.'- "-.X .v. "" ( D4p ) • .v os i t ions "."::: .v. Bureau 100 INC.le~,coo,eut: (514) 866-4861 :'i': .v. N,lor~t;eal. Qc H2Y 187 .'.'.

.:-;. 500-09-001296-912 .v. • .:. 500-09-001297-910 ":':" :.:.: v.. :.'. ."Z "-k" ..'..'. ;:".': Montreal ::" :::..'. ..... +:. ...:i:!: 8AKER~, NUOLENAN l LAMONTAGNE Ne JANES MABB~ITT, e.,~. ...v." :.:.. ::. :.: • :.'.. P~oe,,~teu~,s de Z'Appe.Za,Z Tour Est :.:.: i:i:i 1155, boul. Ren6-L4vesque ouest 140, rue O'Connor ..'.::: .v.": Bureau 2720 17e 6tage .'-;'~2 <':" Montr4al (Qu4bec) Ottawa (Ontario) ":':" :':': H3B 2K8 K1A 0G5 .:.:. • Z .... ":' T~l : (514) 866-6674 T41 : (613) 996-4425 ::" ...... :... ...+ :°% .%°° • ".'.P~oeu~eu~t de Z'Appe~a.~ P~oeu~teu~ de ~'AppeLa.:t .v. • ":. ".'i" ::::: 2, First Canadian Place Ministate de la Justice :':': :.'.':: Bureau 3400 du Canada .v. "-X ":" Exchange Tower, Box 36 Complexe Guy-Favreau .v. ...-. ::::: :::::Toronto (Ontario) 200, boul. Ren6-L4vesque ouest 2°°° ,%°° :.: NSX 1K6 Tour est, 9e 4tage -. :.:.: T61.: (416) 973-0927 Nontr6al (~udbee) .'..'.: .v. H2Z lX4 .v. :;~:: .7. .'.'. T61 : (514) 283-4040 :.:-: o:+ ::° v: :v .".'-2 ":':" NeNASTE~. NE/GHEN LEI~NEI~ ¢ ASSOCIi~S :::;: :.:.: :... ::::: 1,(¢ CoZin K. I,tu.i.n~} 1~4¢ Ea,~L A Che,cn,i_aiz c.,t. ) ::::: :" P~toett~tett~6 de Z'in:timge P~toeu~et~t~ cle Z'i.~imEe ""- ::::: :.'::: ::" RJ~-Neel)onctgd Ine RJ~-~iacOo,ald l,e. .'.'. :.'. 630, boul. Ren~-L~vesque ouest Scotia Plaza ".'+ ::::: Bureau 700 40, rue King ouest • :':- Hontr6al (Qu4bec) 19e 6tage, Box 210 :... :':': H3B 4H7 Toronto (Ontario) :': ;:. ;.'.~ ":':" T61 : (514) 954-3147 gSH 3¥2 ":':" :"" T~I : (416) 867-3076 :". ...:i:i: " -X" :v :':': ::::: .':::: .:.'i2i.X.?;.:.X.:.~.:.:.:.:.:.:.:.X.:.:.:.:.:.:.:.:.:.?X.~.:.:.:.:.:.:.:.X....:.X.:+:.:.:.:.:.:.:.: .:.X.:.:.X.Z.:.:.:.:.X.:.T..:.:.:.:+:.:.;.:.:.X.Z.:.:.;.:.:.:...:.:.:.:.:.:.:.:.:.:.:.:+:.:.:+:..::. ...:.:..::.:.:.:.:.:.:.:.:.:.1.:.:.:.:+:.:.:....X~:.:.,i o°:o • "; 4. rue Notre-Dame Est ;.'. :.:.:-:: ,oo hrmi ultifa tttmo .:.:. IN_. l£.lecopieu,: (514) 866-4861 :':" ...: Mom~t~al. Oc H2Y 187 ..... ::::: :::::.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:. :.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:. :.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:.:...::::

500-09-001296-912 ::. 500-09-001297-9 I0 :.:.: :.':: :.:.: " (Zour i 'Npp l " ":':" "X" :..::: :.-.: ::::: .':. o..:":i: Montr6al ":':" 7:: ~.X...V.....~.F....~:.>:.:+k..:.X.:....:....~.:.:+......:.X.;.x(.;.~+X~+Z~+X.X.;.~.X.X.;~+X~.X~+X.;. ;+;+~+x.X<.X.;.X~.x.;.;~+X~+X.X.X.X~+;~+;.;~.x :::.': • ::': ~/ae[ENZ IE, GERVAIS :.:.: • ~.[. .-:. :.:.: (kle G¢o~.ge.~ R. Thib,,udea~] .:.:- .'.. P,~oe,,~e,,~ de ~' ~.tbnge ":':" ~.:-: :v +'.. RJR-blaePoaa~.d Iae. :.:.." .'.:.: 770, rue Sherbrooke ouest .v. • :+ Bureau 1300 .:.:. :':': Montreal (Qu6bec) :-:.: ::::: ..-.:. .v. H3A IGI .'.:.: .v. T41 : (514) 842-9831 • "..:- .v. .:.. ::::: ::::: ::::: ":':" OGILVY ~NAULT OSL~, HOSKI~ ~ HARCOURT .:.:. :.:-: :v :!~: (~e S.i.mo. V. Po,t..te,~} {Lftado. A.J. 8a,~ne~s g,sq.} .:.:. • :.:.: • :.:- P,toeuleu,t~ de L'in££mi_e Impe,~ia~. Tobacco L.td .v. • ".'. ImpeaiaZ Tobacco L;td i, First Canadian Place :...:.'- • :':-'v" 1981, avenue McGill College Box 50 :...'v" :.:.:guceau 1100 Toronto (Ontario) :.-."'" .v. Montr6al (Qu6bec) M5X IB8 .:% ....... :.:': U3A 3Cl T61.: (416) 362-2111 ::::: • "-" :!:i: • :':" T41 : (514) 847-4747 -.- :<." " .v. X-: .v. • ".'. 8ERNARP, ROY g ASSOCI~S "~:< ":':'....- 1~¢ Jean-Yve~s 8e,tna,~d) :.::i: ::::: P~.oeu~.e.,~6 d,, ~.i.6 Cn eau6e. ".:::: .v. Palais de Justice .v. • ":::: i, rue Notre-Dame est :<': Bureau 8. O0 .v.'V" .....:':': Nont r ~al ( Qu~be c ) .':':'.. .:.:. T41. : (514) 393-2336 .v. 22. ::" ::::: Suite 100 Phone: (514) 866-3565 :.:.: ::::: Montreal, Oc H2Y 187 IL'~L,. .;:.:

TABLE DES MATI~RES Vol. Le 28 septembre 1989 (Suite) PREUVE DE LA REQU~RANTE IMPERIAL TOBACCO LIMITED ~ L'ENQU~TE Page ROY DONALD BROWN En chef par Vol. 5 - pp. 582 ~ 678 Me Potter VIII Le 2 octobre 1989 PREUVE DE LA REQU~RANTE IMPERIAL TOBACCO LIMITED ~ L'ENQU~TE 1116 ROY DONALD BROWN (Suite) Vol. 6 - pp. 687 ~770 En chef par Me Potter VIII 1215

1116 582 i0 15 20 25 Le 28 septembre 1989 (Suite) In the year of Our Lord nineteen hundred and eighty-nine (1989), on this twenty-eighth (28th) day of the month of September, PERSONALLY CAME AND APPEARED: ROY DONALD BROWN, forty-nine (49) years of age, residing at four one five (415) Clarke Avenue, Westmount, province of Quebec, WHO, having been duly sworn on the Holy Bible, doth depose and say as follows: EXAMINED BY Me SIMON V. POTTER, On Behalf of Petitioner Imperial Tobacco Limited: Q- Mr. Brown, who do you work for? A- I work for Imperial Tobacco Limited. Q- And what is your position there? A- I'm vice-president of marketing. Q- And could you explain to the Court, Mr. Brown, just what are the duties of a vice-president/marketing at Imperial? A- My responsibilities include the management of the Marketing Division of the company, which includes the Sales Department, Communications Department, Marketing Strategy Department, Marketing Operations Department and the Market Development Department. And I'm also, as an AUDIOTRANSCRIPT, Division de Pi .... Vilaire & Assocles L,~e

1117 583 10 Q- 15 A- 20 Q- A- 25 officer of the company, participate in the management of the company. And do your duties include anything in relation to the future of the market for tobacco products? Yes, it's within my responsibility to provide forecasts to the company of our expectations of the future volume of the tobacco industry and, within that, our own market share and therefore our own volume for financial, manufacturing and purchasing purposes. And you've -- we've mentioned the word "marketing"; can we break down for the Court what marketing is as far as Imperial is concerned? You've already mentioned sales, you already mentioned communications. Inside communications, what would you include? Our communications group is split into two (2) subdivisions. One, in general terms, would be media advertising and advertising creative; and the other division within communications would be the sponsorship group. And you've just mentioned two (2) kinds of advertising. Now, using your own language for it, Mr. Brown, you had media advertising and advertising creative. What do those two (2) things mean to you? To us, creative is the message that is to be communicated to our customer, and media is the device by AUDIOTRANSCRIPT, D~v~,ion de Pierre Vilolre & Associ~s Ll~e

1118 584 Om 5 i0 15 20 25 QB Om which that is communicated, such as a magazine or a billboard or any number of various media. And who is -- and who is the man responsible at Imperial, Mr. Brown, for marketing strategies and objectives? That's within my area of responsibility and we have staff employees who do that. And who is responsible for brand strategies, if there are such things at Imperial? Again, it's within the Marketing Division, so it would be my responsibility. And is there such a thing as advertising strategy at Imperial? Yes, there is. And who is responsible for that? That would be my responsibility as well. And you mentioned media a while ago inclu -- is there someone who is responsible for choosing the media in which you appear? Yes. And who is responsible for that? Well again, it's ultimately my responsibility. And you mentioned sponsorship as part of your communications responsibilities. Who is responsible for sponsorship? AUDIOTRANSCRIPT, Dh~ision de Pierre Vilaire & A,so:i6s Lt6e

1119 585 i0 15 2O 25 Am AB That would be my responsibility as well, within that same structure. And what about, Mr. Brown, all the money that's required for all of this? Who decides which dollars go where? That would be my responsibility as well. Now in these various areas of marketing, Mr. Brown, which areas would you label as useful for communicating with the consumers of your product? Well, there's many forms of communication, all of which, as I mentioned earlier, are within marketing. But probably the most direct and the most immediate and the most useful would be media advertising. And are there other forms of communication to or from the consumer? Yes. While in communication with the consumer, we rely very heavily on consumer research. That's the device by which we understand what it is the consumer wants. And then, once that information is gathered, we develop products and strategies and communication plans and we provide the products and the advertisements about those products to the consumer. It becomes a -- well, it is very much a two-way street with the consumer. I'm sorry, what do you mean by a two-way street, Mr. Brown? Well, it's our belief that to be successful in a AUDIOTRANSCRIPT, Division de Pierre Vila;re & Asscc;4s Ltee