Florida Attorney General Pam Bondi sued RJ Reynolds Tobacco (RJRT) and ITG Brands, alleging the companies owe money to the state under the landmark Master Settlement Agreement (MSA).
The sale of RJRT brands Winston, Salem, Kool and Lorillard’s Maverick to ITG, the US subsidiary of Imperial Brands, forms the basis for the Florida complaint, Bondi’s office said in a statement. The brand transfers were part of the Lorillard takeover by Reynolds in 2015.
MSA payments based on sales of the brands have not been made by either tobacco company since the sale went through, the AG’s office said. The enforcement motion filed by Bondi says the state is owed USD 45 million (EUR 42 million) and will suffer annual losses of about USD 30 million in successive years.