ADVISORY/Governments of Honduras and Belize and 14 Brazilian States and Cities File Multi-billion Dollar Lawsuits Against Big Tobacco.

News/Assignment Editors

ADVISORY...for Tuesday (May 8)

--(BUSINESS WIRE)

The governments of Honduras and Belize, as well as three states and eleven cities of Brazil, today filed in Miami-Dade County Circuit Court multiple lawsuits totaling billions of dollars against more than a dozen U.S. tobacco companies, including Phillip Morris and R.J. Reynolds, which manufacture and distribute tobacco products to their citizens.

The lawsuits on behalf of the 14 Brazilian states and cities allege that the tobacco companies deliberately concealed knowledge of the dangers of smoking and the addictive nature of nicotine contained in tobacco products, and seek reimbursements of the funds expended on behalf of those injured by and addicted to the tobacco products. The complaints also allege the companies were aware of the harmful and deadly effects created by their tobacco products on the health and welfare of the citizens of Brazil and has caused or created various deadly diseases such as cancer, lung and heart disease, and emphysema. The three states of Brazil are Para, Parana, and Rondonia. The eleven cities are Rio de Janeiro, Belford Roxo, Belo Horizonte, Carapicuiba, Duque de Caxias, Joao Pessoa, Jundiai Mage, Nilopolis-RJ, Nova Iguacu-RJ, and Sao Bernardo do Campo.

In addition, the governments of Honduras and Belize are filing second complaints alleging that the companies smuggled tobacco products and violated the country's laws by not paying the required duties and taxes. According to the suit, the tobacco companies participated in a smuggling ring to illegally ship tobacco out of the countries as tax-free exports, and then re-import the cigarettes free of taxes by use of foreign trade zones. The suits further charge that the smuggling activities were controlled and orchestrated in the United States principally by Philip Morris and R.J. Reynolds. The suit seeks to recover damages suffered for the loss of tax revenues, and also to restrain tobacco companies from continuing to smuggle their products. Despite recent public claims by big tobacco of a recent courtroom victory, no state court judge in Florida has entered an order that affects the validity or viability of these claims. These foreign governments are more committed than ever in seeking redress in the United States courts of law despite Big Tobacco's efforts to publicly and politically discourage these governments from pursuing these actions.

    WHAT:       Press Briefing:   Lawsuits Against Big Tobacco

    WHO:        Steven C. Marks, Esq.
                Podhurst Orseck Josefsberg Eaton Meadow Olin
                & Perwin, P.A.
                ---and---
                Alan S. Glueck, Esq.
                Law offices of Alan Glueck

    WHEN:       11 a.m. Tuesday, May 8, 2001

    WHERE:      Law offices of Podhurst Orseck Josefsberg Eaton Meadow
                Olin & Perwin, P.A.
                City National Bank Building
                25 West Flagler St., Suite 800
                Miami, FL  33130-1780