PM History/2 - Legacy Tobacco Documents Library

PM history/53
to ban smkg in offices & public places" (RK : note the "antismker" rather
~ than "antismkg")/of 23 published studies on ETS, 18 "found no scientifically
. significant risk to non-smokers" & remaining were of non-US populations
- where cultural & lifestyle differences affected the results . . . largest &
most comprehensive study on workplace risk of ETS by Dr Luis Varela at
Yale concluded "We did not find an effect due to exposure to passive smkg
in the workplace"
--MARLBORO JUST SAYS NO ON LOGO, WSJ 7-9-90= Logos on toy cars, billboard
signs on video racing games, & across tots' T-shirts, it looks like
PM wants kids to smoke . . .co . now plans crackdown on unauthorized use of
its logo . . .sez MPertschuk "If PM really wanted to stop (the kids' products),
it could ha_v~ done so ,yrs a_go + Alan Blum scores w/"ARE THEY GOING TO GO
AFT~H- A STADIUM & a7r~ie other places where ey pay good money to
expose t eir ogos to kids?"##*#####*see cf . to recent Winston Cup newsletter
w/Kids' Korner offering sweatshirt w/WC on it as contest prize
--THF~SUCHARD DEAL : Fin Times 6-22- 0, Suchard denies takeover claims,
calls it "nothing but rumour" . . .PM in NYC would not comment . . .S,c _ h s
Ibeen in _ ... news . .. ... . ... 'n
-
_recent
. :
yrs for . a.g%ressivelye_expanding ..r . . its choc . em
.
~
.
-Be'Nn"s"G`ot2~"ti"6r" &'EJ ~rae7i'in U5~'"'tiizt's4'f~ered""$,j~"'"miS2ion
~~losstjuon Brach due to bad sales strategy (?)//PM PRESS RELEASE 6-22-90
ANNOUNCES AGREEMENT : "This combination will permit us to more effectively
compete throughout Europe w/excellent brands & broad distribution & mfg
~«r ca abilities" . . .Net cost to P191 es~imated at bi~ion ~lnanced bv internal
PM monies & Swiss ZaTs . . . ot schild b s o rc eSwitz
& are
PM fin advisers~'uch . consolidated income for `89 of ` 19 mi~i~__ ."cr~
sales of $4 .7 billion ONLY o or so!) . . ea s te roas ed coffee mkt in
France, Germany, Aus ria & Canada ; 3.n choc . it leads in Germ nv . Fr nce,
Bel ~.um & Austr ; overall 3rd in sales of cor°fee-c oc, worldw~.de . . .in
~q pic"TeI-up Cote d'Or of Belgium, Du Lac of Italy, in '88 Pavlides of
Greece, all big in choc . . .HAS 16,02i employees in 20 countries//Fin Times
6-23-90 story : PM says Such. ga.ves arge enou~h ,~gnce
~comp ete vs . NeVtle & Unilever Klaus c"hair of ~`uc'hsei~_
Co~'"ima;o~1'"ding co ~tiru""which he controls 51 of u- . vo inhts
though it ah s invested heavilZ ~ in acquis~.tions &~,mo~s,~}~~,~}on„~, Such,„,~„e ;,d
it needed m6re capi~a7 '~o' maintain $~ie ~aceJsid'ebar in PT same d`ays
Sale
as ` ta rue`Swigs`impen°e"~~ahSliESc,_~out it; it~s. py saR,.,W~a»c ~ear why
Jacobs is selliii--jus~£ 2 yrs after trying Y'` Buro~ean dominance ~by"'R'o'w't .ree
) bld" unersie lkavi pn~ $79DnYlon xii- ' coneeviz ~USftionar reucn~ b &diit
~p
~, -~o $5013 llion in osses 3yrs later . . .NOT E,~FN, .,,,., AR WHAT THE REAL PRICE O~
minop3rie`t~• share iTo~ cT~ers are ge t'~ ing
tainly b low ~egoirig ra~e (I~K'z°Y18t"hotv °3°°c$]ezxY~Ee z$ -- more like 20X)/ 1~
for PM deal is correspondingly cheap & go . can ick u 11% of Euro ean O~
choc . mkt in one shot///NYT article same day : f eve wor 's ~
1ar est cof£ee ~~-'""" ~ i '~ s
g „~.e~, er . . .Klaus J . Jacobs thought of himse~`~"'as a~"a`v"'Y'd""vs . --' ~
~o2ia~Sis . . .Wall St loves ~ zEl e~eal, says one ira os o~n aalyst (Rebecca
Bar ield), because it "sn't a meza-acguisition that dilutes PM
shares & puts it deep into debt~' . . . getting for "very _attr.~,e-4ivg ,R.c,e"
seznce ~Ir'Dean Witter: P1vI-s g ~d_ing Ye&s"_tYzan a c'F'o71ar ~r each
doll~eg,f,, ,~ $yrj,ssrevenue#~'~'*''EFOOD CO SZ"ES~ PR
.ujs~e £actorie"s"are ~~,~c~a
smaller & distribution less ~~,i~],~Xkt e, because of trade
k~FMy}.~s : ""ttnoe'yaU caii'run a ~rucTc'fioYti"Frarioe ~o Italy, ~a~"r';0.c3Y"~SCEC ;"'
adds Ade'~`inan, anticipating biig improvement in profit margins/deal fits PM
s tratep~~r of building global brands via technology & m ktg across `rlgn
I
I
h be in Eurooe"## Phila cream c eese so in coun r es, Tang powdered
ange drink in 70 countra.es/deal excludes EJ Brach, leading confectioner,
US co big in jelly beans . . .Jacobs to retain this & sev other pieces of Such ./
$uch . '89 revsz $1 .9 billion in co£fee, 1 .9 in chocolate .521 in cocoa
trading- c . j88-in sugar con~ec~ionar~,es ], IRE,
FinT 6-25-90 : curious retrenchment for Swiss co that 2 yrs earlier was ready
to put up more than 2 billion 1, for Rowntree last April & ready to move into
Far East in big way . . .weekend consensus developed : M ulled o£f " rkablc
couv bv -oersuading Mr Jacobs to sel . . . ." ., .BUT: the de as aroused some
mortification in Switz . . . . to i ' X earnin s& YLgjd
ungene i ous//profiles on 2 CEOs in FT 6-23-90s ttll 4- com ex e aracter
combatve & POSSESSED BY DRIVE TO BUII,D co, that could compete w gian s :
he closed factories & cut personnel RUTHLESSLY -- YET VISITORS often charmed
& he was capable of visionary utterances when trying to spell out his philosophy
. . .CHAMPION HORSEMAN member of laG Swiss Olvmnie +,~m, runs his
own stables & goes riding every day, leading figure in Swiss boy scouting
movement . . .grandnep hew of founder._ of. J~.pobs„cof#;e~ j~ z4,~,~,Iamburg~.n 1895,
he took over in establiahed"'tiold~ng` C'o
in =82 shook up Swiss chocolatiers by buying the Suchard & Tobler names
& since has spent $1 .5 billion in other acqu3.sit9.ons, including ng snatching
http://legacy.library.ucsf.edu/tid/fmw44c00/pdf