PM History/2 - Legacy Tobacco Documents Library

PM history/37
contains PM early adv gems + film on creation of Marlboro Man . . .3/83=
14,500 lb bronze medallion 14' in diameter, intended to set off the bldg's
' elegant modern simplicity w/a bronze relief to be in harmony w/19th cent .
architecture of nearby GCT, it's NYC's first major architectural ornament
since WWII, design comes from PM's corp seal & classical moti#'sx rampant
lion & horse placed abreast of a globe, symbolizing PM's world operations,
globe & disk framed in stylized patterned bands
--PM DIRECTORS FACE SMOKE SCREEN, by Morton Mintz, Wash Post $-28-82 :
four PM directors also pd directirs of insurance co .s that view s as
health hazard so serious they give policyholders a discount if they don't
smoke . . .PM bd though~, unanimously holds in notice for its annual mt~s
~E "No conclusive clinieal or medl~cal oroo anv c use-A++d-Pf+'eet relationship
/1be~ d3sease has been discove22 re r#*-#~r'""'F*(RK calls this stonewa1
a.7-ng) . .e o3 corpora e responsibility is Geo Comfort, 67, real
estate management execsfa~rdirector of NY Mutual Life Insurance Co sez
"The main reason I'm on these bds is the real estate expertise I bring"
to them . Beyond that, he says, "I'd rather not comment -- for yr readers"
+ Robt Huntley, pres of Wash & Lee Univ in Lexington VA & dir of Shenandoah
Life Insurance Cos "I really don't" have a problem being on both bds
& "I don't think that every corp . that I'm associated with has to agree
) in every way" & the PM statement on S&H see bove s"I thi
11 that' t" sa s the o- ac -a- smo er o£ rlbo //
see also reasoning of J S . D, t en ar exec vp of Cit corp also dir
of Memorial Sloan-Kettering Cancer Center who made it "very clear" to
S-K whom they were enlisting (a PM director) . . .to PM he brings "some
realism from the outside world" & to S-K "some of the realism of the cig
world" . . .but S-K's top dr Edw J Beattie Jr says PM's S&H position is
"misleading" despite clinical lack of proofs "Clearly, cig smkg has a
disastrous influence on US cancer statistics" to say nothing of its
effects on heart disease . . . adds Dartmouth Med School dean Robt W McCollum
similarly rejects this statement but H. Robt Marschalk sits on bd of
Dartmouth med school & PM & is retired vace chairman of Richardson-Vicks,
Inc . drug co . who says serving on Darmouth & PM bds "doesn't bother me . . . .
I see no anomaly"//add T. Justin Moore, Jr ., CEO of Va Electric Power
Co ., who hasn't smoked since WWII but enjoys serving & says PM products
(cigs, beer, soft drinks) provide many people w/"a few of the joys left
in life" . . .Re~edvolunteers that his father,~ a smoker, died of~.o ., &
though he recognizes statistical assn, he views smkg as a matter of
"personal choice" . . .adds Marschalks "the great, great majority of smokers
never get lung eancer"#*~###+,
--LIVING WITH THE LIMITS OF MARLBORO MAGIC, Fortune i8- Zn '83 PM
passed RJR to become #1 in industry, in '81F widened its ead w/3% gain
in units & grabbing 35% of US mkt, largest share since AT led & dominated
industry in '4Os . . .BUT this magic hasn't seemed to transfer to Mi~,?e=& ~p
7-U Miller sales have s$aS3.ed & profits are down & 7-Up has been hit rn
y s ong competitive pressures . . .High Life off from 14% of beer mkt in --3
~'79 to 8% in •84, Miller hasn't earned much e fo its aren • -Fpuichase,
earnings have us a ou covered the interest on the roughly CN
$1 billion PM has borrowed for bottling plants & breweries built in '70s/ oN
7-Up boasting it's caffeine-free & its sugar-free formula uses 100% ~
NutraSweet, widely considered safer & tasrier than the other leading ~
sugar substitute, saccharin -- but a_ltov=the+- ao far 7-Up has
$8 .5 million//MAN ON THE SPOT IS CEO MA%WELL, sof~- t-spol-cen & courtly who
tenaciously iously guards his private life vs . public curiosityt his good manners
no impediment when he wrestled CEO job from the boisterous & aggressive
ex-Miller CEO Murphy, but belying his low-key style Hamish celebrated his
election by buying a Maserati . . .associates call HM brilliant & meticulous
analyst who doesn't shy away from tough decisionss he's shaved 1 O vositionc
r taff cor staff) of 86, put the industrial pac aging div on
the block revs mil xon , written down asset value of brand new
` '& never used Ohio brewery for $450 million -- BUT SAYS OF THE ?'We .DRT-NK COS
~~ "I CAN SAY UNEQUIVOCALLY THAT THEY HAVE NEVER BEEN FOR SALE . AND I P~R AIX..;E
YOU WE wIl',L KEEP M3S,LER & 7-UP FOR THE FORESEEABLE FUTURE" he tells Fortune*~~%~###~s###~~one
reason e may ang on is "ATL~ ENDURING PARADOX IN
THE TOB . BIZ" : despite SG's growing disapproval of smkg, "the industry
has turned into A WILDLY PROFITABLE OLIGOPOLY^#**#*##PM raised prices 11%
yr before even though technology is reducing production costs//©UT3IDERS
UNLSKELY TO INVADE RY : initial machinery investment very high,
to is o of-production costs & has to be stored & cured for more than a
yr, social stigma attaches to mfrs & may affect public perception of their
other products as Jim BOWLING CONCEDES "The Procter & Gambles don't dare
come in . Their shareholders would revolt"*****/source of Marlboro popularity
partially in perverse reaction to antismkg argumentss "People who
accept the fact that they are going to smoke even though it's bad for them
say they want a real cig, a full-flavored one," says an ex-PM sr exec . . .
http://legacy.library.ucsf.edu/tid/fmw44c00/pdf