Brooke and Liggett Add Georgia to Tobacco Litigation Settlements; Settlements With 41 States Account For More Than 85% of the Nation's Medicaid Claims.MIAMI--(BUSINESS WIRE)--March 27, 1998--Brooke Group Ltd. (NYSE NYSE See: New York Stock Exchange : BGL BGL The pre-July 1999 ISO 4217 currency code for Bulgarian Lev. ) announced today that Brooke and its Liggett Group tobacco subsidiary have reached a settlement agreement with the state of Georgia resolving Georgia's tobacco-related Medicaid reimbursement claims. With the addition of Georgia, Brooke and Liggett now have settlement agreements with the Attorneys General of 41 states, accounting for more than 85% of the nation's Medicaid claims. Brooke and Liggett now have settlement agreements with the following states: Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire New Hampshire, one of the New England states of the NE United States. It is bordered by Massachusetts (S), Vermont, with the Connecticut R. forming the boundary (W), the Canadian province of Quebec (NW), and Maine and a short strip of the Atlantic Ocean (E). , New Jersey, New Mexico, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, Texas, Utah, Washington, West Virginia Washington is a census-designated place (CDP) in Wood County, West Virginia, along the Ohio River. The population was 1,170 at the 2000 census. The CDP is home to the Washington Works, one of the largest single facilities of chemicals manufacturing giant DuPont. , Wisconsin and Wyoming. None of the settlements require court approval. "The state of Georgia is a significant addition to Liggett's settlement agreements," said Bennett S. LeBow Bennett LeBow is the Chairman of the Board and CEO of Vector Group, the holding company for, among other companies, Liggett Group Inc., the sixth largest manufacturer of cigarettes in the United States. LeBow has been affiliated with the company since 1986. , chairman and chief executive officer of Brooke Group. "We now have resolved more than 85% of the nation's tobacco-related Medicaid claims and we will continue to pursue expanding our settlement agreements to the broadest scope possible." Pursuant to settlements with the Attorneys General of 41 states, Liggett has placed an additional warning on its cigarettes stating that "smoking is addictive," issued a public statement regarding smoking and health issues, agreed to pay up to 30% of its pretax income for the next 25 years into a settlement fund, agreed to pay $1 million to each participating state over a period of nine years and has agreed to cooperate with the Attorneys General in their ongoing litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. . Liggett has also agreed to comply with certain proposed FDA FDA abbr. Food and Drug Administration FDA, n.pr See Food and Drug Administration. FDA, n.pr the abbreviation for the Food and Drug Administration. regulations regarding smoking by children and adolescents and other advertising restrictions, including a prohibition on all outdoor advertising and product promotion on the internet. In December 1997, Liggett announced that it had begun voluntarily disclosing ingredients on its cigarette cartons nationwide. Brooke Group is a holding company which owns Liggett Group Inc. and controlling interests in Liggett-Ducat and New Valley Corporation. CONTACT: Sard Verbinnen & Co George Sard/Anna Cordasco/Paul Caminiti 212/687-8080 |
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