First, let's look at the importance of the young adult in the cigarette market. In 1960, this young adult market , the 14 to 24 age group, represented 21% of the population. As seen by this chart, they will represent 27% of the population in 1975, they represent tomorrow's cigarette business, as this 14 -24 age group matures, they will account for a key share of the total cigarette volume -- for at least the next 25 years .

First, let's look at the importance of the young adult in the cigarette market. In 1960, this young adult market , the 14 to 24 age group, represented 21% of the population. As seen by this chart, they will represent 27% of the population in 1975, they represent tomorrow's cigarette business, as this 14 -24 age group matures, they will account for a key share of the total cigarette volume -- for at least the next 25 years .

We are basically in the nicotine business. . . . Effective control of nicotine in our products should equate to a significant product performance and cost advantage.

We strongly oppose warning labels on cigarette packs for several reasons: first and foremost, warning labels may improperly imply that it has been scientifically established that smoking causes disease

Evidence is now available to indicate that the 14-to-18- year-old group is an increasing segment of the smoking population. RJR-T must soon establish a successful new brand in this market if our position in the industry is to be maintained over the long term.

They represent tomorrow's cigarette business. . . As this 14-24 age group matures, they will account for a key share of the total cigarette volume -- for at least the next 25 years.

I believe that for the typical smoker nicotine satisfaction is the dominant desire, as opposed to flavor and other satisfactions.