Tobacco companies and negotiators for 46 states are near agreement on disputed payments for the 1998 tobacco settlement that may save cigarette makers USD 2 billion (EUR 1.4 billion), the Wall Street Journal reported.

About USD 7 billion of the USD 200 billion settlement has been disputed, with tobacco companies arguing they should pay less because they have lost business to smaller tobacco companies not part of the settlement, the newspaper reported.
The deal, which still requires states and companies to agree to a memorandum of understanding, reportedly will allow states access to money needed to shore up battered budgets. Native American tobacco companies stand to lose the most under the deal, the newspaper said. The story cited unnamed sources familiar with the negotiations and the memorandum. (pi)