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Monday, April 16, 2012

Tobacco Cos. Make Payments Under State Settlement

RICHMOND, Va. (AP) - The nation's top cigarette companies have made their payments as part of the 25-year settlement in which some cigarette makers are paying states for smoking-related health care costs.

Philip Morris USA, the nation's largest cigarette maker owned by Altria Group Inc., said Monday that it made its full annual payment of about $3.5 billion as part of the 1998 Master Settlement Agreement.

The Richmond-based maker of Marlboro, Virginia Slims and Parliament cigarettes said the payment includes about $206 million that it says it doesn't owe that was deposited into a separate account and will try to get back through negotiations or arbitration.

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