On The Call: Lorillard CEO Martin Orlowsky

Source from:  The Associated Press 07/28/2009

The industry expects to work closely with the FDA and will have a seat on the Tobacco Products Scientific Advisory Committee, which will consider claims that products like menthol cigarettes have greater public health impacts, including among children and specific racial and ethnic groups. The initial ban on flavored cigarettes excludes menthol brands like Lorillard Inc.'s Newport. Altria Group Inc., Philip Morris USA's owner, supported the legislation, while its chief rivals - No. 2 Reynolds American Inc. and No. 3 Lorillard, both based in North Carolina - opposed it. In a conference call with analysts Monday regarding his company's second-quarter earnings, Lorillard CEO Martin Orlowsky talked about the impending regulation and the industry's role. QUESTION: Does the seat that the industry has on the scientific advisory panel, do you think that actually gives you some kind of influence on that panel or is that purely ceremonial? RESPONSE: I'm not going to comment or speculate on how the panel's going to be affected and who's going to do what. All I'm going to say about FDA is that we'll be fully prepared to comply with the FDA regulations whatever they are. We're confident that on the menthol issue, from a scientific standpoint, that there is little to no evidence to suggest that menthol (presents any more public health concerns) than the cigarette product itself. Enditem