Commonwealth Brands Thinks Tobacco Tax is an Outrage

* Reuters is not responsible for the content in this press release.

Mon Mar 30, 2009 5:50pm EDT

REIDSVILLE, N.C., March 30 /PRNewswire/ -- Commonwealth Brands, Inc., the
Nation's fourth largest tobacco manufacturer, with manufacturing facilities in
Reidsville, North Carolina, speaks out against Governor Bev Perdue's push for
an increase in the state excise tax on tobacco products. Within the Governor's
plan, she has announced support for a $1 per pack increase, which has been
followed by members of North Carolina's state legislature proposing Bills for
increases to take effect by July 1, 2009. 

Commonwealth Brands, Inc. which has already been proactive against the
proposed smoking ban in North Carolina, has expressed its concerns with the
SET increase by writing to Governor Purdue, and to Representative Weiss, who
has most recently introduced a Bill to raise the tax by .75 cents per pack.
Commonwealth Brands, Inc. employs over 200 people in Reidsville, NC and is
concerned for their North Carolina consumers. In an interview Anthony Hemsley,
Vice President of Government and Corporate Affairs, said, "It is a disgrace to
continually target legitimate, adult smokers who choose to purchase a legal
product." He continued with, "It is disappointing that states, especially one
like North Carolina which has benefited from tobacco for so many years,
continue to persecute our smokers to cover state deficits."

Commonwealth Brands, Inc. is concerned about how the proposed state tax on
cigarettes will reflect negatively for North Carolina, especially given the
huge Federal tax increase that comes into effect on April 1, 2009.  "State
budget projections based on historical tobacco sales volumes will lead to
significant shortfalls."

Commonwealth Brands, Inc. is the fourth largest tobacco manufacturer in the
United States. Its cigarettes include Davidoff, Sonoma, Montclair and USA
Gold, the nation's eighth best seller*. Its portfolio of fine tobaccos
consists of the Premier, McClintock, Rave and Bali Shag brands. The Company
also manufactures a range of tobacco related products, which include Premier,
Rizla, and El Rey cigarette tubes and E-Z Wider and Joker cigarette papers. 
Commonwealth Brands, Inc. is based in Bowling Green, Kentucky, and employs
over 900 people across 50 States. The Company is committed to its employees,
its brands and its consumers.

*Source: Management Science Associates, Inc.
SOURCE  Commonwealth Brands, Inc.

Casey Francis of Commonwealth Brands, Inc., +1-270-781-9100, ext. 4525,
casey.francis@us.imptob.com
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.