[GLOBALink EuroNews] European Bulletin 9918 - May 10th 1999 (fwd)

[Robert Weissman <rob@essential.org>]

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!#  GLOBALink Tobacco - Weekly European News Bulletin
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EUROPEAN BULLETIN – EU9918 MAY 10TH 1999

Headlines

Denmark: Minister criticised for tobacco action.
France: Drop in sales of tobacco products.
Norway: Happy pupils smoke and drink less.
Spain: Illegal tobacco market.
Spain: Tabacalera to produce new brand.
Sweden: First quarter earnings of Swedish Match.

Full Text


Denmark: Minister criticised for tobacco action.

Elsebeth Gerner Nielsen, Minister of Culture in Denmark, is being
criticised for double standards regarding her initiative to ban
sponsorship by tobacco companies.  Cultural activities in Denmark are
being heavily sponsored by Skandinavisk Tobakskompagni, owner of House
of Prince. Critics accuse Nielsen of hypocrisy when she claimed that
Denmark should be one of the leading countries when it comes to
enforcing the EU Tobacco Advertising directive. Elsebeth Gerner
Nielsen says that she is not against tobacco sponsorship as long as it
“doesn’t promote sales of cigarettes”.
Source: Information Access Company 25/04/99

France: Drop in sales of tobacco products.

Sales of tobacco products  (in value) reached Euro 2.9billion in the
first quarter of 1999  - a 3.3% increase from the equivalent period of
1998. However, price increases are responsible for this increase in
sales value.  In volume, sales of tobacco products reached 21,402
tonnes in the first quarter of 1999 - a 1.5% drop from the first
quarter of 1998. Sales of cigarettes dropped 1.9% in the first quarter
to 19.197 billion units - including 15.362 billion of Virginia tobacco
cigarettes. Sales of cigars and cigarillos dropped 0.5% to 376.5
million units and sales of shredded tobacco increased 3.2% to 1,746.5
tonnes.

Source: Information Access Company 28/04/99


Norway: Happy pupils smoke and drink less.

A new study conducted among 5,000 Norwegian school children aged 11,13
and 15 years indicates that children who like school and feel that
they can exert influence over their situation at school generally
smoke and drink alcohol to a lesser degree than children who feel the
opposite. This survey is part of a global study conducted in 24
countries on behalf of the World Health Organization.

Source: Information Access Company 22/04/99


Spain: Illegal tobacco market.

In  1998 contraband tobacco sales in Spain had an impact on the
economy of Pt. 71,000 million. The tobacco industry lost Pt.14, 800
million, and official tobacconists lost Pt.  6,000 million and some
Pt.  50,200mn  in taxes were not paid to the government. Sales of
illegal Virginia tobacco cigarettes represented around 6.3% of total
consumption. Illegal cigarette sales between 1996 and 1997 totaled
around Pt.  122,000mn, indicating a significant decline in 1998.  The
anti-corruption authorities are currently seeking prison sentences
totaling 500 years for a ring of 53 people involved in contraband
tobacco sales between 1991 and 1997 which set back the Spanish public
treasury by Pt. 56,000million.
Source: Information Access Company 26/04/99


Spain: Tabacalera to produce new brand.

Spanish tobacco company, Tabacalera has announced plans to invest Pt.
500 million in the production of a new brand of cigarettes. Tabacalera
plans to produce between 120 million and 150 million packs by the year
2001.

Source: Information Access Company 27/04/99


Sweden: First quarter earnings of Swedish Match.

The Swedish tobacco company, Swedish Match, reported a SEK 429million
(USD 51million) pre-tax profit for the period January-March 1999, up
from SEK 341million for the same period in 1998.  Operating profit
increased to SEK 440million from SEK 352million and turnover grew to
SEK 2,122million from SEK 1,839 million. Cigarette sales have
increased to 1.5million cigarettes from 1.2million owing to the tax
reduction. The operating profit of the cigarette division increased by
38% to SEK 127million.  Additionally, the snuff division increased
profit by 30% to a record SEK 193 million.  Snuff sales on the US
market increased by as much as 58% in volume.

Source: Information Access Company 27/04/99


Action on Smoking and Health
16 Fitzhardinge Street
London W1H 9PL
Tel: +44  (0)171-224 0743
Fax: +44 (0)171-224 0471
Web: http://www.ash.org.uk