Attorney General's News Release

April 25, 2001

Nixon declares finality in state tobacco lawsuit

St. Louis, Mo. — Missouri Attorney General Jay Nixon today notified the St. Louis City Circuit Court that almost four years after the case was filed the state's historic settlement with the tobacco industry is final.

Nixon filed a notice of state specific finality advising that all legal challenges to the settlement have been defeated and the time for seeking United States Supreme Court review has passed. Intervenors who sought to derail the settlement or siphon off part of the settlement proceeds have been defeated at the circuit court level, the Eastern District Court of Appeals and at the Missouri Supreme Court, Nixon said.

"With this notice, we are certifying that the case is over and ask that the money be released to Missouri at the earliest possible date so that we can begin to take full advantage of a historic opportunity to address health care and other important needs of this state," Nixon said. The state has been awaiting access to more than $338 million in settlement money that has been in an interest-bearing escrow account awaiting finality.

Pursuant to the terms of the settlement, Nixon today also sent a copy of the notice to the national independent auditor overseeing administration of the settlement nationwide.

"The money will begin to flow into Missouri 10 business days after the tobacco companies file similar documents of finality with the independent auditor," Nixon said.

Nixon reiterated his position that a portion of the settlement money should be used for smoking cessation and prevention programs.

"States that have used the tobacco settlement money in this manner have seen dramatic decreases in underage smoking," Nixon said. "I sued tobacco for targeting minorities and young people, and for the significant costs that the state has had to bear to treat smoking-related illnesses. It is only appropriate that a portion of the proceeds of this lawsuit be used to repair the damage done and to protect future generations of Missouri young people."

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818