from the if-you-can't-beat-them,-buy-them! dept.
$12.8 billion Juul investment broke the law, FTC suit says:
Back in 2018, cigarette maker Altria—formerly known as Philip Morris— apparently saw the writing on the wall for the tobacco industry's future. In December of that year, the company dropped a cool $12.8 billion to gain a 35 percent minority stake in e-cigarette firm Juul. The Juul deal seemed like a particularly clever way to gain a massive toehold in the vaping market as traditional tobacco cigarette use waned—too clever, it seems, as now the Federal Trade Commission is suing to unwind the deal.
The transaction "eliminated competition in violation of federal antitrust laws," the FTC said yesterday, announcing the unanimous vote to move forward with the suit.
At the time of the acquisition, Juul was the leading US e-cigarette brand, the FTC alleges, but Altria's own MarkTen product was already the second most popular brand by market share. Instead of continuing to compete, however, Altria arranged to reap the benefits of its competitor without outright acquiring it.
"Altria orchestrated its exit from the e-cigarette market and became Juul's largest investor," Ian Conner, director of the FTC's bureau of competition, said. "Altria and Juul turned from competitors to collaborators by eliminating competition and sharing in Juul's profits."
Altria, for its part, intends to "vigorously defend" the deal. "We believe that our investment in Juul does not harm competition and that the FTC misunderstood the facts," Altria general counsel Murray Garnick said. "We are disappointed with the FTC's decision, believe we have a strong defense, and will vigorously defend our investment."
(Score: 3, Informative) by Rosco P. Coltrane on Sunday April 05 2020, @08:12AM
If the fucking FDA didn't try to ban vaping at the behest of Big Tobacco and Big Pharma.
(Score: 3, Funny) by Runaway1956 on Sunday April 05 2020, @10:00AM (9 children)
Purveyors of fine poisons since 1847!
Abortion is the number one killed of children in the United States.
(Score: 0) by Anonymous Coward on Sunday April 05 2020, @05:53PM (8 children)
https://www.qeios.com/read/article/561 [qeios.com]
(Score: 2) by Runaway1956 on Monday April 06 2020, @12:38AM (7 children)
Are you the same AC who has been posting this and similar posts, repeatedly?
Seriously, I don't know what to think about it. Yes, of course tobacco is loaded with poisons. Yes, it's possible that the corona virus cannot tolerate one or more of the poisons in cigarettes. But, if almost zero smokers are getting the China fever, I would seriously expect the medical profession to have noticed. So, if all of this is true, then what?
Are we to believe that worldwide, medical professionals are covering up an obvious preventative, and allowing the disease to run it's course?
Personally, I don't think that the Illuminati, the Masons, the World Bank, and the Jews all together (Primary stars in the majority of conspiracy theories) could keep it secret.
And, if I weren't already a smoker, I don't think that this would convince me to light up.
Abortion is the number one killed of children in the United States.
(Score: 0) by Anonymous Coward on Monday April 06 2020, @01:29AM
Yep, we shut down the world economy for something less scary than smoking.
(Score: 0) by Anonymous Coward on Monday April 06 2020, @05:48AM
Maybe the smokers smell so bad that everyone was already social distancing from them.
(Score: 0) by Anonymous Coward on Monday April 06 2020, @09:11AM (4 children)
Reality is that smokers report less illness when infected but are more likely to have severe illness by a factor of 2. Most likely reason is that the "smoker cough" covers up the COVID-cough and they can't tell the difference. Most people will have mild symptoms, like a cough. It's the minority, the other 100,000,000+ that we need to worry about.
(Score: 0) by Anonymous Coward on Monday April 06 2020, @03:38PM (3 children)
In Washington they tested an entire nursing home and saw smokers tested positive at 1/3 the rate.
And there are fewer smokers dying and have severe illness than you would expect too. However, the few smokers who do get diagnosed have a worse time. It may be because once hospitalized they go through nicotine withdrawal on top of the rest.
(Score: 0) by Anonymous Coward on Monday April 06 2020, @06:43PM
Or it may be that the people fucked their lungs' capacity for compliance and elastic recoil by shoving smoke down them for years and years. When you do actions that deliberately destroy your lungs' ability to cope with strains why would you be surprised that they can't cope with the strain?
(Score: 0) by Anonymous Coward on Monday April 06 2020, @06:45PM (1 child)
Oh, and whatever sources you are listening to are stupid, too.
(Score: 0) by Anonymous Coward on Monday April 06 2020, @07:49PM
You need a source to know smokers who are in the ICU suffer nicotine withdrawal? Do you science?