In the states, the decline in excise tax revenue would be $2.6 billion, the decline in sales tax revenue would be $892 million, and the decline in MSA payments would be $1.2 billion, for a total state revenue loss of $4.7 billion. In New Hampshire, where menthol cigarettes make up 34% of the states market, a federal ban would mean more than $49 million in lost revenue, of which 71% would be a decline in excise tax revenue
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The complaint seeks damages on behalf of Sproule and others who smoke American Spirits because they have been deceived by claims, labels and advertising into regarding them as safer than other cigarettes. Descriptions such as additive-free, natural and organic, the lawsuit says, are patently deceptive, especially in todays market, where these terms have a potent meaning for the health-and-environmentally-conscious consumer. The company also exploits its marketing message in other ways, the complaint says, by selling its cigarettes in health food stores
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