Philip Morris Chairman Takes the Offensive

After mildly enduring 15 hours of blistering interrogation in the tobacco mega-trial here, Philip Morris Cos. Chairman Geoffrey C. Bible unloaded Wednesday in a letter to Congress attacking Minnesota Atty. Gen. Hubert H. Humphrey III for complaining that tobacco firms are speaking from both sides of their mouths as they defend the lawsuit while trying to sell Congress on a national tobacco peace accord.

Referring to Humphrey’s refusal to date to settle the case as three other states previously had done, Bible said cigarette makers had been “prepared never again to contest” the toll from smoking but have been “compelled” to by Humphrey’s insistence on trying the case instead of settling out of court.

Wrote Bible: “Any complaint about the industry’s conduct in Minnesota should be seen in context: A lawsuit by the state founded on the absurd contention that due to concealment by the tobacco industry neither the state nor its citizens knew that tobacco use was dangerous, and that, therefore, all alleged smoking-related health expenses are the financial responsibility of the industry.”

His letter was addressed to Sen. John McCain (R-Ariz.), chairman of the Senate Commerce Committee, which is considering the proposed $368.5-billion tobacco truce that is eagerly sought by the industry, along with rival bills to regulate it.

Copies of the letter were provided late Wednesday by a Bible spokesman. Earlier Wednesday Bible said he felt “embarrassed” and “ashamed” about internal documents discussing ways to conceal health research from health regulators and litigants.

In response to tactics proposed in one of the documents, Bible said “Anybody who did that today would be fired immediately.”

Humphrey has been the most hard-line of the 40 state attorneys general whose suits seeking to recover smoking-related health-care costs triggered talks that resulted last June in the proposed tobacco truce.

Under terms of the deal, the industry would trade annual payments of up to $15 billion and sweeping public health concessions for protection from lawsuits by the states and class-action claims.

But Congress would have to ratify the deal by writing the legal protections into federal law. Because trial dates arrived in Mississippi, Florida and Texas prior to action by Congress, those states reached out-of-court settlements with cigarette makers for a combined $30 billion.

Bible’s letter responded to an attack by Humphrey, who in his own lengthy letter to McCain had noted “the contrast between the new, “kinder, gentler” image the tobacco industry is attempting to cultivate on Capitol Hill today, and the contrary positions they continue to take [in court].”

Bible’s rejoinder seemed an attempt to isolate Humphrey at a time when congressional support for a national settlement appears to be building.

But various observers including Humphrey have noted a difference in tone and substance between recent industry testimony to Congress and defense statements at trial on such issues as cancer causation, addiction and targeting of youth.

Indeed, cigarette makers face a formidable dilemma in trying to be consistent as they simultaneously defend the Minnesota lawsuit and seek to persuade Congress of their candor and cooperativeness.