FDA Holds Retailer Web Conference

The U.S. Food and Drug Administration’s Center for Tobacco Products (CTP) is developing a retailer education campaign to raise awareness about new regulations regarding the sale and distribution of cigarettes and smokeless tobacco. “The retail community plays a direct role in helping us protect our kids from tobacco,” the CTP noted in a press release.

Initial Injunction Against NYC Flavored Ban Denied

The U.S. Federal District Court denied a request by U.S. Smokeless Tobacco Manufacturing Company and U.S. Smokeless Tobacco Brands for a preliminary injunction against a recently enacted New York City ordinance that bans the sale of virtually all flavored tobacco products except in “tobacco bars,” the National Association of Tobacco Outlets (NATO) reported. The USST

Breaking Down the PACT Act

Convenience store owners scored a major victory in March when the House and Senate passed the Prevent All Cigarette Trafficking (PACT) Act in a near unanimous vote, which forbids the U.S. Postal Service from delivering cigarettes directly to consumers. At presstime, President Obama was expected to sign the bill into law. The PACT Act aims

FDA Issues Final Rules On Tobacco

The Food and Drug Administration (FDA) has released its final rules regarding the sale of tobacco. Retailers will need to be in compliance with these rules, which restrict the sale, distribution and use of cigarettes and smokeless tobacco, by June 22. The new rules include provisions that: •Prohibit sales of cigarette packages with fewer than

FDA Panel Looks At Menthol Cigarettes

A new U.S. Food and Drug Administration (FDA) panel is examining menthol cigarettes and how the government should regulate them, although most believe an outright ban is unlikely, the Associated Press reported. The committee is meeting Tuesday and Wednesday to discuss the scientific research on the public health effects of menthol cigarettes, including among children

House Passes PACT Act

The U.S. House of Representatives has passed the PACT Act (Prevent All Cigarette Trafficking Act) on a vote of 387-25.  “A significant amount of work has gone into getting this bill passed by both the U.S. Senate and the U.S. House, and I extend a special thank you to all NATO members for their assistance

NATO Urges Retailers To Fight For PACT Act Passage

As the PACT (Prevent All Cigarette Trafficking) Act moves to the House after passage in the Senate, for a final vote, NATO is urging retailers to take action. Because the Senate version of the bill is slightly different than the House version, the U.S. House of Representatives must vote on the bill again before it

Senate Passage of PACT Act a ‘Major Win’ for Retailers

The March 11 Senate passage of the Prevent All Cigarette Trafficking Act (PACT Act), which addresses the long-standing convenience store industry concern of tax evasion via remote sellers of tobacco products, is a “major win” for retailers, according to NACS Senior Vice President of Government Relations Lyle Beckwith. Authored by Sen. Herb Kohl (D-WI) and

The Coalition to Stop Contraband Tobacco supports passing Prevent All Cigarette Trafficking

The Coalition to Stop Contraband Tobacco has praised the New York Association of Counties for passing a resolution calling for the federal government to support and implement the Prevent All Cigarette Trafficking (PACT) Act of 2009, S. 1147.   The resolution, passed by NYSAC on Feb. 11, 2010, calls on Congress “to take any and

Renewed Optimism for Smokeless tobacco and tobacco chewing products

The simple truth is that no one is certain what the Food and Drug Administration (FDA) will come up with next now that it has been given de facto control of the tobacco industry. But between bureaucratic control freaks, national, state and local taxes, and even the whispered fear of retailer liability concerns ahead, many

NATO Fights New York On Proposed Ban of Flavored Tobacco

This week, the National Association of Tobacco Outlets (NATO) sent a letter to all 213 members of the New York state legislature urging them to defer legislative action on Bill Number A.9482, which aims to prohibit the sale of all flavored tobacco products in the state except for products with a tobacco, menthol, mint or

Arkansas Court Sides With General Tobacco

  An Arkansas Court has denied the Arkansas Attorney General’s motion to remove General Tobacco’s cigarette brands from the directory of approved brands to sell in that state and ordered the Arkansas Attorney General to arbitrate the dispute ordered in 2006, holding that General Tobacco’s cigarette brands may continue to be sold lawfully in Arkansas.  Since

Kretek Drops Cigar Lawsuit Against FDA

Kretek International Inc., importer and marketer of Djarum clove cigars has withdrawn its lawsuit against the U.S. Food and Drug Administration (FDA), regarding the distribution and sale of clove cigar products. In light of statements made by the FDA, Kretek in September of 2009 filed a complaint in the U.S. District Court for the District

Lessons Learned from Challenging Year

There’s no doubt that 2009 will go down as one of the most challenging years ever for the convenience store and petroleum industry. Combined with the poor economy that plagued marketers all year, credit card fees and tobacco regulations added fuel to a fire that, quite honestly, was already burning out of control. For this

FDA Looks at Future of Tobacco Products

Confusion Reigns Supreme C-store operators aren’t the only ones left scratching their heads by the Food and Drug Administration’s (FDA) first foray into tobacco regulation.During the FDA’s teleconference, Catherine Lorraine, a lawyer for the administration, said, “I just want to draw your attention to the portion of the definition of a cigarette, which specifically refers

Legislative Wrap Up for 2009

With the Democrats controlling both houses of Congress and the White House, this year has seen major federal tax and regulatory legislation signed into law that will dramatically impact the tobacco industry. On April 1, the largest tax increase on a single product in the history of the U.S. became law with the federal cigarette

Here Comes the Sun

As the summer selling season hits its peak, operators must hone best practices to increase market share. Gazing through my crystal ball, I see it boldly predicts summer 2009 is going to bring some very solid sales numbers, indeed greatly increased sales for much of the country.  Moreover, as you view this issue of Convenience

The Tax Train Keeps Rolling

January could not end soon enough. The industry hasn’t seen such a tumultuous month since November 1998 when Congress first turned to tobacco as its financial panacea. Big Brother was at it again last month with the U.S. Senate passing the State Children’s Health Insurance Program (SCHIP)—including all of the cigarette and tobacco tax rate

Smokeless Tobacco Market Includes New Flavor Innovations And Increased Consumer Demand

A perfect storm of societal, legislative, retail and economic factors in 2009 appears poised to push sales of smokeless products—the fastest-growing tobacco category—higher than ever. Convenience store retailers and marketers of such leading brands as Copenhagen, Skoal, Redman, Timberwolf, Kodiak, Red Seal, Rooster, Grizzly, Husky and Longhorn have already seen a flurry of activity on

Preparing for Drastic Tobacco Regulations

Not surprisingly, convenience store industry operators identified the future of tobacco as one of their top five concerns heading into 2010. And with good reason. Operators have entered a period of unprecedented challenges when it comes to selling cigarettes, which means they must find new and innovative ways to market and merchandise this essential product

Convenience Stores Hurt by Tobacco Taxed Ad Sales

Cigarettes continue to be the top in-store category based on sales dollars. On a monthly basis, the industry per store average over the past year was $39,127. However, its gross profit contribution slipped to 3.2% to $6,152 falling behind package beverages ($6,526), according to the National Association of Convenience Stores State of the Industry report.

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