Author: Staff Writer

  • Vector Group Releases its Year-End Financial Report

    Vector Group Releases its Year-End Financial Report

    Photo: Summit Art Creations

    Vector Group has released its fourth-quarter and full-year financial results for the three months and year ended Dec. 31, 2023.

    In the fourth quarter, consolidated revenues were $360.4 million, down 0.9 percent, or $3.4 million, compared to the prior year period. The tobacco segment wholesale market share increased to 5.7 percent from 5.5 percent in the prior year period, and retail market share remained at 5.8 percent in the current period.

    Montego wholesale market share increased to 3.8 percent from 3 percent in the prior year period, and retail market share increased to 3.8 percent from 3.2 percent in the prior year period.

    Operating income was $91.6 million, up 2.6 percent, or $2.3 million, compared to the prior year period. The tobacco segment operating income was $98.1 million, up 5.6 percent, or $5.2 million, compared to the prior year period.

    Adjusted EBITDA was $96 million, up 3.6 percent, or $3.3 million, compared to the prior year period. Tobacco adjusted EBITDA was $99.6 million, up 5.4 percent, or $5.1 million, compared to the prior year period.

    For full-year 2023, consolidated revenues were $1.42 billion, down 1.2 percent, or $16.7 million, compared to the prior year. Tobacco segment revenues were $1.42 billion, down 0.1 percent, or $0.9 million, compared to the prior year. Tobacco segment wholesale and retail market share increased to 5.5 percent and 5.8 percent from 5.4 percent and 5.5 percent, respectively, in the prior year.

    Montego wholesale market share increased to 3.5 percent from 2.5 percent in the prior year, and retail market share increased to 3.6 percent from 2.6 percent in the prior year.

    Operating income was $328 million, down 3.2 percent, or $11 million, compared to the prior year. Tobacco segment operating income was $346.7 million, down 0.1 percent, or $0.4 million, compared to the prior year.

    Adjusted EBITDA was $363.2 million, up 3.1 percent, or $11 million, compared to the prior year. Tobacco adjusted EBITDA was $370.6 million, up 5.5 percent, or $19.4 million, compared to the prior year.

    “Vector Group delivered a solid performance in 2023 amid a dynamic operating environment as the successful execution of our targeted investment strategy enabled Montego’s continued growth as the largest discount brand in the United States,” said Howard M. Lorber, president and CEO of Vector Group, in a statement. “The company is well positioned in 2024, and we are confident we have the right strategy and team in place to continue optimizing long-term profit and driving value for our stockholders.”

  • Study Finds Vaping may be Altering Some Senses

    Study Finds Vaping may be Altering Some Senses

    Photo: fotofabrika

    Research from the University of Otago shows that a side effect of vaping may be a distaste for “sweet” smells, reports the Otago Daily Times.

    The study had more than 200 participants who vaped regularly, occasionally or never. It aimed to assess potential impacts of vaping on taste and smell.

    The results showed that nonvapers found “sweet” smells more pleasant than vapers, according to Jessica McCormack, researcher from the university’s Department of Food Science.

    The distaste may be a result of vapers’ overexposure to sweet vape flavors, according to McCormack.

    Study participants rated pleasantness and intensity of smell and taste samples and did a sensory detection test where they guessed between plain water and the taste or smell at a very low concentration.

    Results showing a smell dysfunction and taste changes in vapers were consistent with studies looking at smokers, McCormack said.

    “We still have more we need to know about what the mechanisms might be here—is it related to the use of flavors or nicotine or a combination?”

    The study was conducted in collaboration with the National Institute for Health Innovation and published in the journal Appetite.

  • Contemplating the Fallout of a UK Disposable Ban

    Contemplating the Fallout of a UK Disposable Ban

    Photo: bennyrobo

    What will the U.K.’s ban on disposable vapes mean for the next-generation nicotine industry?

    By Paul Hardman

    Prime Minister Rishi Sunak recently announced that the U.K. government would ban disposable vapes as part of its plan to tackle the rise in youth vaping. The new measures come as the government responds to a recent consultation on smoking and vaping, which, it says, indicated “overwhelming support” for a ban on disposables. What does this decision mean for the next-generation nicotine industry? And what may come next?

    As well as banning disposable vapes, the U.K. government will implement new powers to restrict vape flavors, introduce plain packaging and change how vapes are displayed. As part of the measures, the government is introducing new fines for shops in England and Wales that sell vapes illegally to children, with Trading Standards officers able to hand out fines on the spot on top of the up to £2,500 ($3,155.58) fines that local authorities can already issue.

    The government may use powers already established under the Environmental Protection Act to enforce the ban, which is expected to come into force at the end of 2024 or early 2025.

    Tackling Youth Access

    Back in 2019, the U.K. government launched its Smoke-Free 2030 ambition, which seeks to reduce tobacco smoking prevalence to below 5 percent by the end of the decade. Alternative methods of accessing nicotine, including vapes, are critical to achieving this smoke-free vision. However, the government’s position on vaping has come under increased scrutiny, partly because of a recorded growth in youth uptake.

    According to an ASH survey, titled “Use of e-cigarettes (vapes) among young people in Britain,” in March/April 2023, the proportion of children experimenting with vaping had grown by 50 percent year-on-year, from one in 13 to one in nine. In 2023, 20.5 percent of children had tried vaping, up from 15.8 percent in 2022 and 13.9 percent in 2020. Popular flavors among respondents included fruit (60 percent) followed by sweet or soft drinks (25 percent).

    The government reports that disposable vapes have been “a driving force behind the alarming rise in youth vaping, with the proportion of 11[-year-old] to 17-year-old vapers using disposables increasing almost ninefold in the last two years.” Some may feel that this trend has been driven by their convenience—they can be purchased, used immediately and discarded. It could also be due to their affordable prices, bright colors and flavor appeal. However, this convenience is important for offering smokers a safer, accessible alternative to combustible cigarettes. Therefore, a balance must be struck.

    On the other hand, pod-based systems are generally less convenient as these often require charging before use. Typically, pod-based systems carry a higher price tag for the whole system than a disposable product, and investment into a certain type of system is therefore required. Once the device has been selected, the user is tied to a particular range of pods. A consumer opting for the more expensive tank-type e-cigarette will need to navigate changing coils and different e-liquid types and strengths, making these more complex than using a disposable vape.

    In our experience, disposable products also tend to contain the highest allowed concentration of nicotine, 20 mg per milliliter, in the form of nicotine salts, which have been shown to be absorbed more rapidly than nicotine freebase and may result in greater nicotine dependence than products with slower uptake.

    The report also references the environmental impact, mentioning that 5 million disposables are discarded each week, the equivalent to the lithium batteries of 5,000 electric vehicles. These are stark figures and put the environmental impact into context.

    The Impact of the Measures

    Though the measures are specifically designed to tackle youth vaping, there will naturally be an impact on the industry as a whole. We may see surging youth popularity for modern oral nicotine pouches, new product categories emerging or a trend toward heated tobacco. It is important that these products do not follow the same path as disposable vapes in terms of youth appeal so that their access can be retained for adult smokers wishing to quit combustible cigarettes. This means robust regulation, regulatory enforcement and responsible behavior from manufacturers and retailers.

    Manufacturers of disposable vapes will now be looking for ways to engineer their products so that they can remain on the market. The technology used in disposable vapes is not necessarily disposable; the batteries are capable of many charge cycles, and it would not be difficult to engineer replaceable tanks. It may be that disposables manufacturers switch to reusable systems, such as pod-type vapes, and keep the look and taste as similar as possible to current products. The “new powers to restrict vape flavors” may be important in ensuring these amended devices are not as appealing to children.

    The government will need to set out a legal definition of disposable vapes and clarify how the ban and restrictions will be implemented. For instance, at this stage, it is unknown whether there will be any additional requirements regarding the notification process and whether manufacturers must submit additional product information to remain compliant with the Tobacco and Related Products Regulations 2016 (TRPR).

    Unless more detail is provided in the legislation, loopholes could appear that manufacturers and retailers might seek to exploit. For example, it is illegal to sell vapes to under-18-year-olds in the U.K., but retailers could still give out disposables to children as free samples. Following recommendations by the Khan review, in April 2023, the government announced that it would be closing this loophole.

    There are concerns among U.K. ministers that some manufacturers may adapt their disposable vapes to circumvent the ban. According to The Guardian, ministers are “eliminating ruses such as attaching charging points to them [disposable vapes].” Interestingly, when asked about manufacturers adding USB charging points to unrefillable vapes to avoid the ban, Health Secretary Victoria Atkins commented: “That’s incredibly cynical [to ask], and it shows, if you like, the battle that the government is prepared to take on.”

    There are also concerns that on-the-spot fines will not be sufficiently high to prevent unscrupulous retailers from selling to under-18-year-olds. After all, it is currently illegal to sell any e-cigarette to youth, but the problem prevails. With £30 million announced to fund HM Revenue and Customs, Border Force and Trading Standards, it will be interesting to see if the amount is sufficient to tackle the issue of illegally imported and sold products.

    It will also be interesting to see if any further measures are introduced for products popular with young people, perhaps to target reusable vapes that are specifically designed to look like something else a child might have on their person, such as a highlighter pen or mascara.

    Nicotine Pouches as “Vaping Alternatives”

    The government mentions that “Vaping alternatives—such as nicotine pouches—will also be outlawed for children who are increasingly turning to these highly addictive substitutes.” While introducing an age restriction is a sensible move, we will have to wait to see what additional regulations will follow for nicotine pouches. For example, whether there will be a cap on nicotine strength and a sensible approach to flavors/graphics and advertising—the sorts of restrictions that ought to be in place for all consumer nicotine products may help reduce youth appeal.

    It is important that nicotine pouches do not fall into the same traps as disposable vapes did. These products can be considered one of the lowest risk consumer nicotine products available, and their access must be maintained to aid adult smokers working to quit or reduce smoking.

    Where Manufacturers Can Go from Here

    In a letter to the Prime Minister, the U.K. Vaping Industry Association expressed its “profound dismay and disappointment” with the decision to proceed with a disposable vape ban. According to the letter, “This decision jeopardizes the significant progress made in reducing smoking rates in the U.K. and poses a threat to the well-being of millions of adults who have successfully quit smoking with the help of vaping.”

    However, it’s possible that a disposable ban could leave a gap in the market for tobacco harm reduction products that are not youth-appealing but appeal to smokers and are sufficiently effective in their nicotine delivery and taste to substitute traditional combustible cigarettes. Of course, all new consumer products will need to comply with the TRPR as well as the new measures that ban disposables, standardize packaging and restrict flavors.

    The Medicinal Pathway

    As the consumer nicotine market faces greater restrictions, we may see a growing number of manufacturers working to get their vapes approved as medicinal products in the U.K. As part of the U.K. government’s vision for a smoke-free future, the Medicines and Healthcare products Regulatory Agency is actively looking to approve e-cigarettes as nicotine-replacement therapies. If licensed as a medicinal product, e-cigarettes do not need to comply with the TRPR limits, such as the 20 mg per milliliter limit on nicotine concentration. The medicinal product route also makes products exempt from the new measures simply because they are not consumer nicotine products. However, the various requirements around marketing and advertising of medicines would apply instead.

    By following the Marketing Authorization Application (MAA) approval pathway, manufacturers can bring flavored, higher concentration nicotine e-cigarettes to U.K. smokers but with a more controlled marketing infrastructure that limits youth access. For instance, products that receive a marketing order under a General Sales license are subject to the same sales restrictions as over-the-counter pharmaceutical products like paracetamol, preventing minors from buying them.

    The medicinal product route gives smokers wishing to quit the confidence that the product has been developed, manufactured and tested to strict medicinal standards. With the ability to use higher concentrations of nicotine, there is the potential to make a product more effective in terms of nicotine delivery compared to consumer products.

    Early in an MAA application, manufacturers can partner with a scientific and regulatory compliance partner to support them through the process, from product design to regulatory approval, to improve their chances of success.

    Summary

    Backed by “overwhelming support,” the new ban on disposables is not without reason but not an approach Broughton advocates. As observed with other products and also reflected by the vaping industry in the U.S., prohibition is rarely effective and could set a dangerous precedent for the entire category. We agree with the sentiment of the new measures with regard to youth access but believe more detail is needed to prevent exploitation and to reassure manufacturers on how they can remain compliant with the TRPR and other relevant standards. Meanwhile, a blanket ban on disposables could spur innovation and the development of new medicinal products but only if manufacturers can access the right support.

    Broughton is modifying its compliance framework as new regulations develop to ensure that its nicotine consulting service complies with the latest guidance. To find out how this framework can support you, visit the Broughton website, www.broughton-group.com.

  • COP Ends With Pledges to Health, Environment

    COP Ends With Pledges to Health, Environment

    Photo: Maksym Yemelyanov

    The 10th session of the Conference of the Parties (COP10) to the World Health Organization Framework Convention on Tobacco Control (FCTC) concluded on Feb. 10 with a commitment to strengthen protections against the impact of tobacco on the environment and health.

    “We have taken a historic decision on Article 18,” said Adriana Blanco Marquizo, head of the FCTC Secretariat, in a statement, describing action to strengthen the article of the FCTC focused on the protection of the environment and the health of all people.

    “The decision urges parties to take account of the environmental impacts from the cultivation, manufacture, consumption and waste disposal of tobacco products and to strengthen the implementation of this article, including through national policies related to tobacco and protection of the environment,” Blanco Marquizo said.

    Representatives from 142 parties gathered in Panama City Feb. 5–10 to tackle a range of issues from progress on implementation of the treaty to the regulation of tobacco advertising, promotion and sponsorship.

    According to the WHO, some 200,000 hectares of land are cleared every year for tobacco cultivation, accounting for up to 20 percent of the annual increase in greenhouse gases.

    The decision also addresses the issue of cigarette filters. According to the WHO, an estimated 4.5 trillion cigarette butts are thrown away annually worldwide, representing 1.69 billion pounds of toxic trash containing plastics.

    “Under specific circumstances—such as sunlight and moisture—cigarette filters break down into smaller plastic pieces, eventually leaching out some of the 7,000 chemicals contained in a single cigarette,” the WHO wrote on its website. “Many of those chemicals are environmentally toxic. The decision on Article 18 is very timely given the ongoing intergovernmental negotiation committees working to develop an international legally binding instrument on plastic pollution, including in the marine environment.”

    COP10 delegates also agreed to strengthen guidelines on cross-border tobacco advertising, promotion and sponsorship and the depiction of tobacco in entertainment media.

    In addition, two expert groups were established—one to work on forward-looking tobacco control measures under Article 2.1 of the FCTC and the other to focus on Article 19, which concerns liability.

    Other decisions adopted by COP10 relate to the promotion of human rights through the WHO FCTC as well as strengthening the FCTC Investment Fund.

    The parties also agreed to extend by five years the mandate of the Global Strategy to Accelerate Tobacco Control 2019–2025: Advancing Sustainable Development Through the Implementation of the WHO FCTC 2019–2025 so that it fully aligns with the 2030 Agenda for Sustainable Development.

    COP10 also adopted the Panama Declaration, which draws attention to the “fundamental and irreconcilable conflict” between the interests of the tobacco industry and the interests of public health. The declaration also makes clear the need for policy coherence within governments to comply with the requirements of Article 5.3 of the WHO FCTC, which aims to protect public health policies from commercial and other vested interests of the tobacco industry.

    Contradicting the observation of tobacco grower and consumer groups that traveled to Panama, the WHO insisted that COP10 was open to the media, which it said had the opportunity to observe all public and open sessions.

    COP10 is followed by the Meeting of the Parties to the Protocol to Eliminate Illicit Trade in Tobacco Products, which will meet in Panama City Feb. 12–15.

  • Former WHO Officials Highlight Key THR Strategy

    Former WHO Officials Highlight Key THR Strategy

    Photo: Alexander Ovsyannikov

    Harm reduction should be a central strategy of the Framework Convention on Tobacco Control (FCTC) in addition to the measures for demand and supply reduction, according to Robert Beaglehole and Ruth Bonita.

    Writing in The Lancet, the two former World Health Organization directors argue that while the FCTC has been influential in encouraging a global response to tobacco control, it has been challenging to show a strong and consistent association between the implementation of FCTC measures and smoking prevalence and cigarette consumption outcomes.

    The FCTC does not prohibit harm reduction approaches but leaves it up to member states to decide how to regulate e-cigarettes and other novel nicotine products. The WHO’s lack of endorsement of tobacco harm reduction limits healthier choices for the 1.3 billion people globally who smoke and who are at an increased risk of early death, according to Beaglehole and Bonita.

    The authors note that there is no scientific justification for WHO’s position that e-cigarettes and other novel nicotine products should be treated in the same way as tobacco products. This position, they argue, overlooks a risk-proportionate approach.

    “We believe WHO needs to provide positive leadership and technical support to countries as they consider the use of e-cigarettes and other nicotine delivery devices,” the authors write. “WHO’s current approach to these lower-risk product is to reward countries, such as India, for banning e-cigarettes; thirty-four countries, primarily low-income and middle-income countries, now ban e-cigarettes.”

    Beaglehole and Bonita note that, in some countries, substantial reductions in smoking prevalence have coincided with the uptake of novel nicotine products. In New Zealand, for example, the prevalence of adult daily smoking plummeted from 13.3 percent in 2017–2018 to 6.8 percent in 2022–2023 after e-cigarettes became widely available, a 49 percent decline in five years.

    In the same period, and with the support of the government and regulation of vaping, the prevalence of adult daily vaping increased from 2.6 percent to 9.7 percent. New Zealand’s recent decline in smoking occurred in the absence of any other major tobacco control policy, apart from the annual cost-of-living price increases, according to the authors. “The decrease in smoking during this period in New Zealand shows what can be achieved, and exceeds the WHO smoking prevalence reduction goals of 30 percent over 15 years from 2010 to 2025,” they write.

    The New Zealand 2022 smoke-free legislation includes a “tobacco-free generation”, a 90 percent reduction in smoked tobacco retail outlets, and compulsory denicotinization of retail tobacco. The New Zealand government, elected in November 2023, is committed to reaching the Smokefree 2025 goal of 5 percent (or less) smoking prevalence for the adult population, but intends to repeal the 2022 smoke-free legislation.

    However, because of the implementation timelines, fears that this repeal would jeopardize the Smokefree 2025 goal can be allayed, according to Beaglehole and Bonita. This is because none of the three headline measures would be expected to have an impact before 2025 and might have had negative unintended consequences. “Based on recent progress, New Zealand’s Smokefree 2025 goal looks likely to be reached by consent rather than coercion and by further support for switching to smoke-free nicotine products,” the authors note.

    Beaglehole and Bonita also highlight the success of other high-income countries in reducing smoking prevalence in association with the use of a range of lower-risk nicotine delivery devices to complement FCTC demand and supply reduction measures.

    Sweden, with a long tradition of snus use, has the lowest prevalence of adult daily smoking in the world, down to 6 percent in 2022, accompanied by low mortality from tobacco-related diseases.

    Norway has had similar success with reducing smoking prevalence in the context of increased use of snus and e-cigarettes, and in England vaping is helping adults to quit smoking. The substantial decline in cigarette consumption in Japan is associated with the rapid uptake of products that heat, rather than burn, tobacco.

    Less progress has been made in low-income and middle-income countries where tobacco control capacity and political will to advance tobacco control measures are weaker, and the potential of tobacco harm reduction is not being realized, according to the authors.

    Beaglehole and Bonita say two concerns suggest why tobacco harm reduction is not more actively embraced, despite its association with reduced smoking prevalence. The first is that, compared with cigarettes, where the damage has been known for more than half a century, the long-term effects of e-cigarettes are unknown.

    Although vaping may not be risk-free, especially for people who do not smoke, the risks of there being substantial long-term harm from the constituents of e-cigarettes are likely to be low, especially when compared with the damage caused by smoked tobacco, the authors point out.

    The second concern is that the widespread availability of e-cigarettes in the absence of adequate controls and regulations encourages youth nicotine dependence and enables the vaping industry to act unethically. Beaglehole and Bonita say there is little evidence to suggest that vaping leads to smoking among youth, and although the proportion of non-smoking youth who vape is increasing, it remains at a fairly low level.

    Stricter regulations, including enforcing sales restrictions, and appropriate health promoting campaigns are needed to prevent vaping by young people, according to the authors, but these measures must be balanced with the health needs of older adults who smoke and require support to quit.

    Beaglehole and Bonita acknowledge that there is understandable skepticism about the motives of the tobacco industry in selling smoke-free products while continuing to expand tobacco markets in low-income and middle-income countries. To remain profitable, they say, the tobacco industry will eventually need to migrate its global business to less harmful alternatives since cigarettes will no longer monopolize the delivery of nicotine.

    The authors express concern about the recommendations, found in COP10 background papers, to treat nicotine products as equivalent to cigarettes and regulating them in a similar way. This approach, they argue, is a retrograde step because they are not comparable products in terms of the damage they cause; after all, it is the burning of tobacco that causes harm, not nicotine. Worse, such a strategy would ultimately favor the global cigarette market and may discourage vaping, according to Beaglehole and Bonita.

    The focus, they insist, must remain on the central public health problem—the damaging health effects of tobacco consumption. “Reducing cigarette smoking is the most effective way to prevent tobacco-related deaths and tobacco harm reduction is the fastest and fairest way to lower smoking prevalence,” the authors write.

    “WHO needs to embrace these innovations in nicotine delivery. Countries that are reaping the benefit of tobacco harm reduction, such as New Zealand, Sweden, Norway, England and Japan, should encourage participating countries at COP10 to support proposals that will quickly reduce smoking rates. The world’s 1.3 billion people who smoke, half of whom will die early, deserve this leadership.”

     

  • Flavors Help Save Lives According to New Study

    Flavors Help Save Lives According to New Study

    Image: Fotofabrika

    Today, the R Street Institute released a new report that explores how flavors are processed by the brain, especially as it pertains to tobacco and nicotine products. Using these findings, the author, Jeffrey Smith, resident senior fellow for integrated harm reduction policy at R Street, explains how flavor can influence behavior and why well-intentioned efforts to ban flavored tobacco and nicotine products can have unintended consequences in the fight to reduce smoking rates in the United States.

    This report comes at a crucial time as the debate over flavored tobacco and nicotine products continues at state, national, and international levels. Across the United States, policymakers are proposing or enacting flavor bans without fully appreciating the impact of their actions for adult smokers. And just this week, the World Health Organization’s Framework Convention on Tobacco Control is hosting their 10th session of the Conference of the Parties (COP10), where many expect the WHO to continue its crusade against flavored, reduced-risk nicotine products.

    To reduce the nearly 500,000 smoking-related deaths that occur each year in the United States, the CTP must take a scientifically driven approach that recognizes the neurobiological rationale for allowing a wide variety of flavored, reduced-risk products to be available to adults—while minimizing youth access.

    Smoking rates have declined in recent years and, under the Trump administration, the age to purchase tobacco products was raised to 21. This has reduced youth use, and continued enforcement will help lower rates even more. However, millions of adults in the United States still smoke combustible cigarettes to the detriment of their health.

    A number of tools exist to help these individuals quit smoking. Flavor, for example, has been shown to help move adult smokers away from combustible cigarettes to alternative, reduced-risk products. This makes sense on the surface; if it tastes good, then it’s more appealing. However, in R Street’s report, author Jeffrey Smith goes far deeper and explains the neurobiological connections between flavor and behavior. While adults may seek tobacco flavored products to initially switch, other flavors help them maintain abstinence from cigarettes. In the end, flavor will save more lives, according to Smith’s research.

    “To reduce the nearly 500,000 smoking-related deaths that occur each year in the United States, the FDA Center for Tobacco Products (CTP) must take a scientifically driven approach that recognizes the neurobiological rationale for allowing a wide variety of flavored, reduced-risk products to be available to adults—while minimizing youth access,” said Smith in a statement. “It is essential that the CTP approve non-tobacco-flavored, reduced-risk products.”

  • PMI Sees IQOS Surpass Marlboro Brand in Revenue

    PMI Sees IQOS Surpass Marlboro Brand in Revenue

    Photo: Arkadiusz Fajer

    Philip Morris International reported net revenues of $9.05 billion for the fourth quarter and net revenues of $35.17 billion for fiscal year that ended Dec. 31, 2023. On a reported basis, the figures were up 11 percent and 10.7 percent, respectively, over the comparable 2022 periods.

    Performance was driven by revenue growth in both the combustible cigarette business, where pricing offset reduced volumes, and the company’s smoke-free operations, which continued to increase their share of the company’s business mix.

    “We are pleased that smoke-free products reached nearly 40 percent of our total net revenues and over 40 percent of our gross profit in the fourth quarter,” said PMI CEO Jacek Olczak in a statement.

    “This was led by the continued growth of IQOS, which has now surpassed Marlboro in terms of net revenues, confirming its position as the leading premium nicotine brand less than 10 years from launch. The fourth quarter also marked the first anniversary of our combination with Swedish Match, which delivered very strong results in 2023 driven by the stellar U.S. performance of ZYN.”

    PMI shipped 116.3 million cans of ZYN in the fourth quarter of 2023, representing growth of 78.2 percent versus fourth-quarter 2022 Swedish Match shipments of 65.3 million cans.

    “We are entering 2024 with strong momentum, and we expect it will be another year of excellent performance underpinned by an acceleration in organic smoke-free net revenue and profit growth,” said Olczak.

    PMI also expects to benefit this year from a recent settlement with British American Tobacco that resolves all ongoing patent infringement litigation between the parties related to heated tobacco and vapor products. The deal allows each party to innovate and introduce product iterations.

  • Health Department Wants Stricter Vape Rules

    Health Department Wants Stricter Vape Rules

    Image: Oleksii

    The Philippines Department of Health (DOH) is gathering data on vaping prevalence in the country, reports Malaya Business Insight.

     DOH Undersecretary Eric Tayag said the information will be used to convince policymakers to strengthen laws against vaping.

    According to the Global Youth Tobacco Survey (GYTS), e-cigarette users among the youth increased from 11.7 percent in 2015 to 24.5 percent in 2019.

    The DOH statement comes after nine former health officials called on the Philippine delegation to the 10th Session of the Conference of the Parties (COP10) of the World Health Organization Framework Convention on Tobacco Control (FCTC) to take the lead in pushing for the fight against vapes and electronic cigarettes.

    The former DOH secretaries and undersecretaries believe the Philippine delegation should speak about the serious threat to public health brought about by weak Philippine regulations on e-cigarettes and vapes.

  • Taxpayers Group Holds ‘Counter COP’ in Panama

    Taxpayers Group Holds ‘Counter COP’ in Panama

    Photo: TPA

    Concurrent with the 10the Conference of the Parties (COP10) to the World Health Organization Framework Convention on Tobacco Control (FCTC), which takes place in Panama City this week, the Taxpayers Protection Alliance (TPA) is hosting an event at the Central Hotel Panama under the name “Good Cop/Bad Cop.” The event will be livestreamed on TPA’s YouTube channel.

    Good COP will feature nearly two dozen tobacco harm reduction experts, representing 14 different countries and highlighting some of the leading experts on consumer issues, national and global policies, and the science surrounding harm reduction.

    Throughout the event, TPA and the Good COP participants will be monitoring the WHO’s meeting and providing running commentary via livestreams, media interviews, blogs, and social media.

    “The taxpayer-funded WHO ignores science and puts billions of smokers at risk of not having access to life-saving technology to quit smoking,” said TPA’s President, David William in a statement.

    “The participants of Good COP will hold the WHO accountable for denying life-saving access to tobacco harm reduction products and denying access to the public and media to these meetings. “In real time, harm reduction experts from around the globe will be fact-checking and providing commentary on the WHO’s anti-science agenda at COP10.”

  • COP10 Opens With Warning Against New Products

    COP10 Opens With Warning Against New Products

    Image: SL-Photography

    Delegates from around the world gathered in Panama City on Feb 5. to open the 10th Conference of the Parties (COP10) to the World Health Organization’s Framework Convention on Tobacco Control, (FCTC).

    Adriana Blanco Marquizo, head of the of the FCTC Secretariat welcomed attendees and warned of the increasing availability of novel and emerging nicotine and tobacco products.

    These are, “becoming a very troubling problem with an alarming increase in the use of these products by young people,” Blanco Marquizo said in her opening address.

    “Part of this increase is due to disingenuous tobacco industry messages portraying these products as a replacement for real tobacco control measures, as the industry again tries to claim a seat at the table—as part of the solution to an epidemic that the industry created and continues to sustain.”

    She also asked everyone to be alert to what she described as “the relentless interference of the tobacco industry in every corner of the world.”

    At COP10, delegates will consider a wide range of work to direct the FCTC in its work.

    Discussions at COP10 will include:

    • Implementation of FCTC Articles 9 and 10 (Regulation of contents and disclosure of tobacco products): reports by the Bureau, by the Expert Group and by the WHO 
    • Tobacco advertising, promotion and sponsorship: depiction of tobacco in entertainment media: report by the Working Group  
    • Novel and emerging tobacco products
    • Forward-looking tobacco control measures (in relation to FCTC Article 2.1)
    • Implementation of FCTC Article 19, which relates to liability
    • Improving the reporting system of the FCTC 
    • Implementation Review Mechanism 
    • Contribution of the FCTC to the promotion and fulfilment of human rights
    • The FCTC Investment Fund

    COP10 runs from today until Saturday Feb. 10.

    It is followed by the third Meeting of the Parties to the Protocol to Eliminate Illicit Trade in Tobacco Products, Feb. 12-15, 2024.