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Authors: Jonathan Franzen

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It’s no great surprise that a company smart enough to advertise as well as this ascended, in just three decades, to a position of hegemony in the industry. Kluger’s account of the triumph of Philip Morris is the kind of thing that business schools have their students read for edification and inspiration: to succeed as an American corporation, the lesson might be, do exactly what Philip Morris did. Concentrate on products with the highest profit margin. Design new products carefully, then get behind them and push
hard
. Use your excess cash to diversify into businesses structurally similar to your own. Be a meritocracy. Bid preemptively. Avoid crippling debt. Patiently build your overseas markets. Never scruple to gouge your customers when you see the opportunity. Let your lawyers attack your critics. Be classy—sponsor
The Mahabharata
. Defy conventional morality. Never forget that your primary fealty is to your stockholders.

While its chief competitor, R. J. Reynolds, was growing logy and inbred down in Winston-Salem—sinking into the low-margin discount-cigarette business, diversifying disastrously, and nearly drowning in debt after its leveraged buyout by Kohlberg Kravis Roberts & Company—Philip Morris was becoming the global leader in the cigarette industry and one of the most profitable corporations in the world. By the early nineties, its share of the domestic non-discount-cigarette market was eighty percent. The value of a share of Philip Morris stock increased by a factor of 192 between 1966 and 1989. Healthy, wealthy, and wise the man who quit smoking in ’64 and put his cigarette money into Philip Morris common.

The company’s spectacular success is all the more remarkable for having occurred in the decades when the scientific case against cigarettes was becoming overwhelming. With the possible exception of the hydrogen bomb, nothing in modernity is more generative of paradox than cigarettes. Thus, in 1955, when the Federal Trade Commission sought to curb misleading advertising by banning the publication of tar and nicotine levels, the ruling proved to be a boon to the industry, enabling it to advertise filter cigarettes for their implicit safety even as it raised the toxic yields to compensate for the filters. So it went with the 1965 law requiring warning labels on cigarette packs, which preempted potentially more stringent state and local regulation and provided a priceless shield against future liability suits. So it went, too, with the 1971 congressional ban on broadcast cigarette advertising, which saved the industry millions of dollars, effectively froze out potential new competitors by denying them the broadcast platform, and put an end to the devastating antismoking ads then being broadcast under the fairness doctrine. Even such left-handed regulation as the 1982 increase in the federal excise tax benefited the industry, which used the tax as a screen for a series of price increases, doubling the price per pack in a decade, and invested the windfall in diversification. Every forward step taken by government to regulate smoking—the broadcast ban, the ban on in-flight smoking, the welter of local bans on smoking in public places—moved cigarettes a step further back from the consciousness of nonsmoking voters. The result, given the political power of tobacco-growing states, has been the specific exemption of cigarettes from the Fair Labeling and Packaging Act of 1966, the Controlled Substances Act of 1970, the Consumer Product Safety Act of 1972, and the Toxic Substances Act of 1976. In the industry’s defense in liability suits, the paradox can be seen in its purest form: because no plaintiff can claim ignorance of tobacco’s hazards—i.e., precisely
because
the cigarette is the most notoriously lethal product in America—its manufacturers cannot be held negligent for selling it. Small wonder that until Liggett broke ranks this spring no cigarette maker had ever paid a penny in civil damages.

Now, however, the age of paradox may be coming to an end. As the nation dismantles its missiles, its attention turns to cigarettes. The wall of secrecy that protected the industry is coming down as surely as the Berlin Wall did. The Third Wave is upon us, threatening to extinguish all that is quintessentially modem. It hardly seems an accident that the United States, which is leading the way into the information age, is also in the forefront of the war on cigarettes. Unlike the nations of Europe, which have taken a more pragmatic approach to the smoking problem, taxing cigarettes at rates as high as five dollars a pack, the antismoking forces in this country bring to the battle a puritanical zeal. We need a new Evil Empire, and Big Tobacco fills the bill.

THE ARGUMENT
for equating the tobacco industry with slave traders and the Third Reich goes like this: because nearly half a million Americans a year die prematurely as a direct consequence of smoking, the makers of cigarettes are guilty of mass murder. The obvious difficulty with the argument is that the tobacco industry has never physically forced anyone to smoke a cigarette. To speak of “killing” people, therefore, one has to posit more subtle forms of coercion. These fall into three categories. First, by publicly denying a truth well known to its scientists, which was that smokers were in mortal peril, the industry conspired to perpetrate a vast and deadly fraud. Second, by luring impressionable children into a habit very difficult to break, the industry effectively “forced” its products on people before they had developed full adult powers of resistance. Finally, by making available and attractive a product that it knew to be addictive, and by manipulating nicotine levels, the industry willfully exposed the public to a force (addiction) with the power to kill.

A “shocking” collection of “secret” industry documents, which was released by a disgruntled employee of Brown & Williamson and has now been published as
The Cigarette Papers
, makes it clear that Big Tobacco has known for decades that cigarettes are lethal and addictive and has done everything in its power to suppress and deny that knowledge.
The Cigarette Papers
and other recent disclosures have prompted the Justice Department to pursue perjury charges against various industry executives, and they may provide the plaintiffs now suing the industry with positive proof of tortious fraud. In no way, though, are the disclosures shocking. How could anyone who noticed that different brands have different (but consistent) nicotine levels fail to conclude that the industry can and does control the dosage? What reasonable person could have believed that the industry’s public avowals of “doubt” about the deadliness of its products were anything but obligatory, ceremonial lies? If researchers unearthed a secret document proving that Bill Clinton inhaled, would we be shocked? When industry spokesmen impugn the integrity of the Surgeon General and persist in denying the undeniable, they’re guilty not so much of fraud as of sounding (to borrow the word of one executive quoted by Kluger) “Neanderthal.”

“The simple truth,” Kluger writes, “was that the cigarette makers were getting richer and richer as the scientific findings against them piled higher and higher, and before anyone fully grasped the situation, the choice seemed to have narrowed to abject confession and surrender to the health advocates or steadfast denial and rationalization.” In the early fifties, when epidemiological studies first demonstrated the link between smoking and lung cancer, cigarette executives did indeed have the option of simply liquidating their businesses and finding other work. But many of these executives came from families that had been respectably trading in tobacco for decades, and most of them appear to have been heavy smokers themselves; unlike the typical heroin wholesaler, they willingly ran the same risks they imposed on their customers. Because they were corporate officers, moreover, their ultimate allegiance was to their stockholders. If simply having stayed in business constitutes guilt, then the circle of those who share this guilt must be expanded to include every individual who held stock in a tobacco company after 1964, either directly or through a pension fund, a mutual fund, or a university endowment. We might also toss in every drugstore and supermarket that sold cigarettes and every publication that carried ads for them; the Surgeon General’s warning, after all, was there for everyone to see.

Once the companies made the decision to stay in business, it was only a matter of time before the lawyers took over. Nothing emerges from
Ashes to Ashes
more clearly than the deforming influence of legal counsel on the actions of the industry. Many industry scientists and some executives appear to have genuinely wished both to produce a safer cigarette and to acknowledge frankly the known risks of smoking. But the industry’s attempts to do good were no less paradoxically self-defeating than the government’s attempts at regulation. When executives in R&D proposed that filtered cigarettes and reduced tar and nicotine yields be marketed as a potential benefit to public health, in-house lawyers objected that calling one brand “safe” or “safer” constituted an admission that other brands were hazardous and thus exposed the maker to liability claims. Likewise, after Liggett had spent millions of dollars developing a substantially less carcinogenic “palladium cigarette” in the seventies, it was treated like contagion by the company’s lawyers. Marketing it was bad from a liability standpoint, and developing it and then
not
marketing it was even worse, because the company could then be sued for negligently failing to introduce it. Epic, as the new cigarette was called, was ultimately smothered in legal paper.

Kluger describes an industry in which lawyerly paranoia quickly metastasized into every vital organ. Lawyers coached the executives appearing before congressional committees, oversaw the woefully self-serving “independent” research the industry sponsored, and made sure that all paperwork connected with studies of addiction or cancer was funneled through outside counsel so that it could be protected under the attorney-client privilege. The result was a weird replication of the dual contradictory narratives with which I, as a smoker, explain my life: a true story submerged beneath a utilitarian fiction. One longtime Philip Morris executive quoted by Kluger sums it up like this:

There was a conflict in the company between science and the law that’s never been resolved . . . and so we go through this ritual dance—what’s “proven” and what isn’t, what’s causal and what’s just an association—and the lawyers’ answer is, “Let’s stonewall.” . . . If Helmut Wakeham [head of R&D] had run things, I think there would have been some admissions. But he was outflanked by the lawyers . . . who . . . were saying, in effect, “My God, you can’t make that admission” without risking liability actions against the company. So there was no cohesive plan—when critics of the industry speak of a “conspiracy,” they give the companies far too much credit.

In the inverted moral universe of a tobacco liability trial, every honest or anguished statement by an executive is used to prove the defendants’ guilt, while every calculated dodge is used to support their innocence. There’s something very wrong here; but absent a demonstration that Americans actually swallowed the industry’s lies it’s far from clear that this something qualifies as murder.

More damning are recent reports of the industry’s recruitment of underage smokers. Lorrilard representatives have been observed handing out free Newports to kids in Washington, D.C.; Philip J. Hilts, in his book
Smoke Screen
, presents evidence that R. J. Reynolds deliberately placed special promotional displays in stores and kiosks known to be high-school hangouts; and the cuddly, penis-faced Joe Camel must rank as one of the most disgusting apparitions ever to appear on our cultural landscape. Tobacco companies claim that they are merely vying for market share in the vital eighteen-to-twenty-four age group, but internal industry documents described by Hilts suggest that at least one Canadian company has in fact studied how to target entry-level smokers as young as twelve. (According to Hilts, studies have shown that eighty-nine percent of today’s adult smokers picked up the habit before the age of nineteen.) In the opinion of antitobacco activists, cigarette advertising hooks young customers by proffering images of carefree, attractive adult smokers while failing to hint at the havoc that smoking wreaks. By the time young smokers are old enough to appreciate the fact of mortality, they’re hopelessly addicted.

Although the idea that a manufacturer might willingly stress the downside of its products is absurd—imagine McDonald’s airing images of obesity or clogged arteries—I have no doubt that the tobacco industry aims its ads at young Americans. I do doubt, though, whether these ads cause an appreciable number of children to start smoking. The insecure or alienated teen who lights up for the first time is responding to peer pressure or to the example of grownup role models—movie villains, rock stars, supermodels. At most, the industry’s ads function as an assurance that smoking is a socially acceptable grownup activity. For that reason alone, they should probably be banned or more tightly controlled, just as cigarette-vending machines should be outlawed. Most people who start smoking end up regretting it, and so any policy that reduces the number of starters is laudable.

That cigarettes innately appeal to teenagers, however, is hardly the fault of the manufacturers. In recent weeks I’ve noticed several antitobacco newspaper ads that offer, for its shock value, the image of a preadolescent girl holding a cigarette. The models are obviously not real smokers, yet despite their phoniness they’re utterly sexualized by their cigarettes. The horror of underage smoking veils a horror of teen and preteen sexuality, and one of the biggest pleasant empty dreams being pushed these days by Madison Avenue is that a child is innocent until his or her eighteenth birthday. The truth is that without firm parental guidance teenagers make all sorts of irrevocable decisions before they’re old enough to appreciate the consequences—they drop out of school, they get pregnant, they major in sociology. What they want most of all is to sample the pleasures of adulthood, like sex or booze or cigarettes. To impute to cigarette advertising a “predatory” power is to admit that parents now have less control over the moral education of their children than the commercial culture has. Here again I suspect that the tobacco industry is being scapegoated—made to bear the brunt of a more general societal rage at the displacement of the family by the corporation.

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