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This November will mark the 10th anniversary of the Master Tobacco Settlement. The settlement was an outrageous agreement between the four largest tobacco companies on several state governments. The tobacco companies have to make huge payments to state governments. As a result, their business has to be protected. The government's revenues are too dependent on them. Now cigarette prices are kept artificially high and the industry is well-protected.

As you can see, the major tobacco stocks have done very well since the settlement was signed.

Posted by edelfenbein at February 1, 2008 9:01 AM