If our company is to survive and prosper, over the long term we must get our share of the youth market.

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.

If younger adults turn away from smoking, the industry will decline, just as a population which does not give birth will eventually dwindle.

[A]ny desired additional nicotine 'kick' could be easily obtained through pH regulation.

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

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.