Court ruling could deal blow to e-cigarette industry

[onehandle]

Source: CNBC

A court ruling to restrict the sale of e-cigarettes in France this week could set a European, if not global precedent and knock the nascent e-cigarette industry off course.

A commercial court in Toulouse ruled on Monday that e-cigarettes (that do not contain tobacco) qualify as tobacco products and should only be sold by registered tobacconists.

French news agency AFP said the court ordered an e-cigarette retailer to stop selling and advertising the products. It argued it was violating the "state monopoly on the sale of tobacco" which states that tobacco products can only be sold at registered outlets in France, where their advertising is also banned.

Erik Bloomquist, senior global tobacco analyst at Berenberg said it was now important to look at how the EU would treat e-cigarettes when it published revisions to its Tobacco Products Directive (TPD) in 2014.

Read more: http://www.cnbc.com/id/101260246?__source=yahoonews&par=yahoonews

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The FDA is next.

[dipsydoodle]

1. That's just France

Last edited Tue Dec 10, 2013, 02:31 PM - Edit history (1)

which has its own laws on the subject. This specifical refers to French law only. The EU revisions are already laid out for 2014 and have no bearing on who can retail other than maybe cross border sales.

[KamaAina]

22. 2104?!

Wow, those Europeans sure are taking the long view!

[dipsydoodle]

23. lol

I'll correct that

[leftyohiolib]

2. sounds like the tobacco lobby making the rounds

[AtheistCrusader]

4. Yep, e-cigs are eating into their profits.

[leftyohiolib]

5. no tobacco in it yet they want it regulated as such

[onehandle]

8. Big Tobacco has been buying e-cigarette companies and developing their own brands as well.

In an effort to standardize safety, it is likely that stricter regulation of e-cigarettes is coming. A crackdown will force many e-cigarette companies out of business as they lack the resources to abide by new rules, leaving the market to the big tobacco. As a result, the following companies have the cash flow to drive e-cigarette volume and revenue growth.

With the acquisition of Blu eCigs in 2012 Lorillard LO -0.73% (LO) became the first big tobacco company to enter the e-cigarette market. Recently the company also acquired SKYCIG, a premium brand of e-cigarettes based in the UK. This gives Lorillard a global presence and a leading 49% market share in the e-cigarette market. The stock currently has a dividend yield of 4.2% and this year the company announced a $1 billion stock repurchase plan.

Phillip Morris International (PM) had taken a wait and see attitude on e-cigarettes, but on November 20th management proclaimed it “the single greatest opportunity for us” and announced its intention to enter the e-cigarette market during the second half of 2014. The company has increased its dividend 104% and repurchased 25% of its outstanding shares since its spinoff from Altria in 2008. Phillip Morris will continue to be aggressive in its return of capital to shareholders in 2014, committing approximately $6 billion to share repurchases and another $6 billion to dividend payments. The stock has a dividend yield of 4.3%.

British American Tobacco (BTI) trades as American Depository Receipts (ADR’s) on the NYSE. BTI launched its Vype e-cigarette in the UK. It’s currently available online and is expanding to retail outlets. The company will repurchase £1.5 billion of its own shares in 2013. BTI also owns a 42% stake in Reynolds American (RAI) that is valued at $11.5 billion. Reynolds launched its VUSE e-cigarette in Colorado over the summer and is expanding across the United States. BTI has a dividend yield of 2.7%.

Altria (MO) launched its MarkTen e-cigarette in Indiana in August and plans to expand distribution to Arizona in December. Altria plans to retire $1 billion in stock in 2013 through the third quarter of 2014 and announced a 9% dividend increase this year (5.2% yield).

http://www.forbes.com/sites/agoodman/2013/12/05/e-cigarettes-are-smoking-hot-4-ways-to-approach-them

They have a robust existing sales system. Why wouldn't they invest in this un-regulated, youth oriented drug delivery system?

And if pot is ever legalized, they already have plans to take that over as well.

[jayfish]

15. Sounds Like Andrew Goodman Has Been...

reading my posts. So, yeah, leave it all to BT. After all, they have your best interests at heart. Pun intended...

[awoke_in_2003]

35. Dont forget about the lost tax revenue...

E cig manufacturers have two enemies.

[musiclawyer]

3. Exactly.

That ruling means nothing here. E- cigs should precipitate research as to whether heavy consumption of nicotine is a bad things. Probably is. But that's simply a matter of regulation, not prohibition. The vapor is harmless. Mark my words in ten years e cigs will be banned in public because the legal weed industry will adopt them. Again harmless vapor. But the weed smell will bother some people leading to a ban in public outdoor and indoor areas ....

[2banon]

6. Tobacco Co are making the rounds obviously..

they have in a significant interest in controlling that market, even so much as investing in their own slice in the market. I would suspect that vape shops are watching very closely, I'm somewhat aware of a certain level of organizing on the legal front the nascent e-cig industry has been developing. Still, essentially a David and Goliath scenario, but I'm hopeful e-cig alternative community will prevail.

[awoke_in_2003]

36. With a lot of e cig smokers...

myself included, nic use drop. Cigarettes practically only come in one strength, people tend to smoke the whole thing. With nic juice, you have many levels of nic strength, clear down to 0%. Also, you take the amount of puffs you want and set it down.

[FrodosPet]

47. E-Cig full of honey oil!

Nope, I cannot imagine that getting popular!

[2banon]

7. thanks for keeping us informed.. eom.

[Fearless]

9. Well I'm going to be unpopular for a minute

E-cigarettes are foul. But only about 1/2 as foul as the people who think just because they don't smell like cigarettes that I wouldn't mind inhaling second hand. I can't tell you how many times, if asked to stop indoors or in enclosed spaces, they reply "oh no I can do this in here, it's not real, etc.". For those with asthma it is still real and inconsiderate. So any restrictions on them are good to me, up to and including those on real cigarettes.

Ok I'm done being unpopular.

[onehandle]

10. You are worse than Hitler for whining about your your self-centered medical condition.

Take it outside with the smokers!

Heh.

E-cigarette smokers don't get that your personal space is still your personal space. I have faith that the FDA will crush their dreams.

[jayfish]

13. They Will Be Absolutely Destroyed In Court.

You don't get to ban things because you don't like them. When does your flatulence crusade begin?

[onehandle]

18. I don't want it banned. Communities all over America are adding them to existing smoking laws.

This is what the FDA will recommend.

[awoke_in_2003]

37. Thanks for the blanket statement...

Yep, all of us e cigs smokers go around blowing vapor in people's faces. Here is a hint- their are assholes in every group. Most e cig smokers respect the fact that you don't want it around you or just don't do it around you because we don't want to hear your fucking mouth.

[beevul]

43. Your problem, is that you think ONLY nonsmokers have any "personal space"...

Your problem, is that you think ONLY nonsmokers/nonvapers have any "personal space", and that this "personal space" is everywhere...and "fuck everyone else".

[onehandle]

44. So you finally developed that personal force field that retains poisonous gasses?

Congratulations!

Damn! I wish I had invested in that shit!

[beevul]

46. Snark but no denial. Noted. N/T

[jayfish]

12. That's really weird...

because Propylene Glycol has been used in asthma inhalers and nebulizers since the 50's. It's also used in hospital air-sanitation systems. That being said; rude people are rude.

[Fearless]

26. What's not funny is gagging

And wheezing.

[jayfish]

28. From what, exactly? -NT-

[Fearless]

30. Any number of flavor varieties

Strawberry is the worst.

[Comrade Grumpy]

16. Cool story, bro.

[snooper2]

20. You better stay away from humidifiers and definitely nebulizers!

Those will Mess You UP!

[Fearless]

27. Really? Not cool.

[snooper2]

31. Maybe you should watch this-

[cthulu2016]

38. unpopular on merit

[Doremus]

39. Do you lock yourself in a climate controlled room on days w high humidity?

I assume you likewise avoid saunas and never use a humidifier .... because all of those things are the same as e-cig vapor, and if e-cig triggers your asthma all those other things do as well.

Btw, if it weren't for the e-cigs I used for approx 2 years, I would still be addicted to my 35-year 3-pack-a-day smoking habit. After the first year of e-cigs, I tapered down to 0 nicotine cartridges and totally kicked both habits as well as my asthma.

[beevul]

41. Yeah, except that there are a large number of people with asthma that use e-cigs...

Yeah, except that there are a large number of people with asthma that use e-cigs without any trouble at all.

And an even larger number of people with asthma who are regularly exposed to ecig vapor, and do not have attacks caused by the vapor.

My father is an asthmatic - to a most sever degree. More than once he has had attacks triggered by various things, such as horses within 1/8 mile proximity upwind from him, which required emergency services. I grew up learning what a nebulizer was, and why he had one.

And yet ecigs do nothing to him in any way shape size or form.

There are probably people that don't like inhaling your cologne, perfume, car exhaust, or exhaled alcohol filled breath after you've had a few drinks too.

"I don't like it" should not be grounds for any restrictions on anyone, where things such as this are concerned.

[DesertDiamond]

11. I was hoping that e-cigarettes would be a great benefit for nonsmokers as well because then we don't

have to avoid smokers or ask them to go outside. So a coworker brought in an ecigarette and I was quite happy with that. However, a few minutes later it started to feel like I couldn't pull in enough oxygen. I told him there was a problem and I moved to the other side of then call center I work at. I wish I didn't have to be a party pooper, but that's the truth.

[Comrade Grumpy]

14. This ruling defies reality. There is no tobacco in e-cigs.

[onehandle]

19. But most they do contain nicotine.

Now tell me that nicotine is a natural byproduct of unicorn's breath and not the most addictive drug on Earth.

[jayfish]

21. I've asked you several times to post that data that says...

pure nicotine is addictive, yet you haven't. You seem to think that if you keep saying these things it make them true. ...it doesn't. Also, nicotine is a natural product of the nightshade family of plants. And while the nightshade family doesn't include unicorns, it does include tomatoes, potatoes, eggplant and green peppers.

[onehandle]

24. You can't be serious. Have you tried the Internet?

http://www.drugabuse.gov/publications/research-reports/tobacco-addiction/nicotine-addictive
http://en.wikipedia.org/wiki/Nicotine
http://www.nlm.nih.gov/medlineplus/ency/article/000953.htm
http://whyquit.com/whyquit/linksaaddiction.html
http://betobaccofree.hhs.gov/health-effects/nicotine-health/index.html
http://emedicine.medscape.com/article/287555-overview
http://www.heart.org/HEARTORG/GettingHealthy/QuitSmoking/QuittingSmoking/Why-is-it-so-hard-to-quit_UCM_324053_Article.jsp#

and on and on and on and on...

Rattlesnake venom is 'natural.' Why not 'vape' that?

[jayfish]

25. Here we go again.

Everything you just wasted your time linking deals with nicotine intake from the inhalation of combusted tobacco smoke. I don't expect anything different than the last time we went through this. The requested data will not be forthcoming. Crickets will prevail.

[onehandle]

32. Yeah. Those patches are just nicotine-less placebos.

The only way to do nicotine is with a pack of Lucky Strikes.

[jayfish]

34. Data?

I have my data posted in #33.

[jamzrockz]

17. Remember folks

They still want you to believe that regulations hurt businesses but the evidence show no such effect. This is a way the so called liberal media tries to slip in republican talking points into regular news

The 'Regulation Impedes Job Growth' Story Has No Evidence
http://www.cepr.net/index.php/blogs/cepr-blog/the-regulation-impedes-job-growth-story-has-no-evidence

[truthisfreedom]

29. TPD... Hmm, sounds about right. Toy Poison Devices.

Getting children addicted early.

I do not personally believe these devices should be available to kids.

[jayfish]

33. You'd rather they take up the real thing?

Also there is little evidence that pure nicotine, as used in e-cigarettes, is addictive or harmful.

http://ec.europa.eu/health/scientific_committees/opinions_layman/tobacco/en/l-2/4.htm

Nicotine has a range of actions in the body and the mechanisms of addiction are still poorly understood. Individual responses to nicotine vary widely. Addiction to nicotine is difficult to measure directly, and experimental studies usually involve set-ups in which animals can self-administer the drug. Such animal studies indicate that pure nicotine is only weakly addictive. There is little human data on pure nicotine use. However, dependence is strongly linked to the number of cigarettes smoked per day.

http://www.ncbi.nlm.nih.gov/pubmed/8614291

Tobacco smoking has been reported to be associated with increased risk of cardiovascular disease and cancer, particularly of the lungs. In spite of extensive research on the health effects of tobacco smoking, the substances in tobacco smoke exerting these negative health effects are not completely known. Nicotine is the substance giving the subjective pleasure of smoking as well as inducing addiction. For the first time we report the effect on the rat of long-term (two years) inhalation of nicotine. The rats breathed in a chamber with nicotine at a concentration giving twice the plasma concentration found in heavy smokers. Nicotine was given for 20 h a day, five days a week during a two-year period. We could not find any increase in mortality, in atherosclerosis or frequency of tumors in these rats compared with controls. Particularly, there was no microscopic or macroscopic lung tumors nor any increase in pulmonary neuroendocrine cells. Throughout the study, however, the body weight of the nicotine exposed rats was reduced as compared with controls. In conclusion, our study does not indicate any harmful effect of nicotine when given in its pure form by inhalation

http://www.ncbi.nlm.nih.gov/pubmed/21617206

The combination of alterated gene expressions and strongly inhibited DNA synthesis was only detected in cells exposed to smoke extract. In the presence and absence of ethanol, pure nicotine and Snus extract induced abnormalities in the cytoplasm without any significant degree of cell death. With similar doses of nicotine and ethanol, the additional components in smoke extract had a dominant effect. The smoke extract induced vast cellular abnormalities and massive cell death.

[silvershadow]

40. Well I'm not sure, but I believe in my state they are already regulated, and I imagine in other

states as well. Why wouldn't they be? Am I missing something about this thread and the other comments? Or is this just about the overall regulation by the Federal government? I would think and hope they already would be regulated to the degree prudent.

[olddad56]

42. This is news? Maybe in France

[onehandle]

45. Fuck France!

Plus their damn universal healthcare, mandated maternity leave for mother and father, and many many weeks of vacation.

Cheese-eating surrender monkeys!