Unfortunately, all companies have a habit of passing such losses onto the consumer and it is almost always the consumers who pay the penalty. This isn't common only to the Tobacco industry. It's just that few industries have had such major blows to pass along to their customers.
Too bad the tobacco industries were so duplicitous, or they could have recouped the money, lowered their prices, and in that way made up for past costs to the consumer.
Thank you for all your hard work and well-founded research.
I realize you are totally correct about all businesses passing these type costs onto the consumers.......it's just the nature of doing business.
There are a couple of reasons I continually bring it up in conversations regarding the Master Settlement Agreement (MSA). The entire point of the MSA was to put an end to individual states filing lawsuits against the companies...such as the ones that occurred in Mississippi and Texas (& 2 other states), so this was basically an out of court settlement, before the fact in most instances (Delaware is a perfect example, the AG's office refused to file suit because of the costs, and was one of the very last to sign onto the MSA).
But unlike other out of court settlements, this one was entirely public, and it is very specific in just how the companies are able to pass ALL of the costs on to the consumer, including specific $ amounts and the graduated increases in those amounts. HOWEVER........and this is the part that always sticks in my craw.......the media NEVER mentions that part of the deal. They only talk of how the companies are being punished, which in fact is absolutely untrue.
Another egrarious omission from any discussion of the MSA is that consumers had no say in the matter - zip, zilch, nada, NONE...........the only ones at the table were the AGs, the antis, and 5 tobacco companies. In other words only those who would profit from the deal.
Of the dozens of small tobacco companies that existed back then only a few voluntarily signed on to the scheme and raised their prices like the big boys did.........but many others didn't, thus keeping their prices down, and new companies have since popped up all over the country. These companies are now being forced in numerous states to pay into this boondoggle they did not create - all because Philip Morris does not like the competition of the little guys' lower prices.
I'm a "let the market decide" kind of person when it comes to competition - my dander gets up when one of the big boys gets the government to do the dirty work of squashing their competition.
Sorry for my ranting - but as you can guess, this is a subject that absolutely torques me off to no end. And so many people just don't understand what it actually means to everyone...........why do you think the gun lobby worked so hard to get congressional protection against this type of stuff? In Florida, the legislature actually passed legislation to allow this against the tobacco companies, and then after the fact realized it covered ALL industries and so went back and changed the law.
Again, apologies for my ranting. and many thanks for your compliments.