1965, TI Internal Memo on Role of TI

8/14/2019 1965, TI Internal Memo on Role of TI

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.' I 47'- :;J-% H E TOBACCO INST I TUT E

1735 K S TR EE T. N o R r n w E s rW AS HI NGTON. D. C .2 0 0 0 6

To Messrs. Haas, Hetsko, R a m , Russe

, INC .

October 29,

Y so

1965

, Smith, and Yeaman:

Following your request, I enclose a statement ofthe primary functions of the Tobacco Institute and thechief responsibilities a nd activities of the members of thestaff, together with similar statement, with coveringletter, concerning the activities of Hill and Knowlton.Sincerely,

,.--

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follows:

FUNCTIONS OF THE TOBACCO INSTITUTE

The Tobacco Institute's major functions are as

Provides overall leadership and coordination among tobaccoand other groups in meeting tobacco industry objectives.Serves as liaison and spokesman for the industry with'various Departments and Agencies of the Federal govern-ment, Congress, and with State and local governmentsServes as industry spokesman, when appropriate. Thisincludes various segments of the public, including the'3usiness corronunity, communications media, and the medicaland scientific community.Serves as a central source of information about the tobaccoindustry -- the current status o,tobacco and healthresearch, the economic, historical and social significanceof tobacco.

Other functions worth mention are:Handles considerable volume of inquiries and correspondenceabout tobacco, including correspondence referred by membercompanies. (Attachment #I) .Serves a s focal point or assists in handling foreign visitors

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concerned with tobacco.Provides a meeting place in Washington for other tobaccogroups, such as Associated Tobacco Manufacturers, attorneysfor cigarette manufacturers, etc.Renders services such as typing, mimeographing and dis-tributing testimony by medical and other witnesses beforeCongressional committees and Government Agencies.Maintaixs special relations with certain groups represen-ting other segments of the tobacco industry, such asTobacco Association of the United States, Bright BeltWarehouse Association, Burley Auction Warehouse Association,

.Burley and Dark-Fired Tobacco Leaf Dealers Association,Tobacco Growers' Information Cormnittee, National Associationof Tobacco Distributors, Retail Tobacco Dealers Association,Tobacco Tax Council, Grocery Manufacturers of America,through attendance at their meetings, correspondence,personal contacts, etc.Provides various miscellaneous services for member companies.(Expadites replies from Government bureaus, obtains pass-portsi visas, reservations, copies of Government reports,regulations, etc.)

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In addition to some 3,000 routine requests for materials,miled out with a form letter, The Tobacco Institute handledapproximately 900 direct replies for information since January 1,1965. Health inquiries, which constituted nearly half of the lettersand cards in 1964, are definitely on the'decline. There werepractically none during the summer months.

About 10% of the inquiries are specific. How high does tobaccoHow muchrow?aluminum foil does the industry use?for snuff?Can you grow tobacco in the northern states?What kind of tobacco is used

About 20% are more general. How are cigarettes made? Howdoes tobacco rate as a national crop and what is its economicimportance?Requests from college and post graduate students (about 10%)usually cover a broad area.aspects from the history of the first plant and planters, throughmanufacturers' production costs, marketing, speculation on futureproduct sales, and tobacco company diversification plans through

1967. Replies refer them to trade journals, textbooks, tobaccoorganizations, the U.S. Department of Agriculture and other sources.

They generally want to know about all

A good percentage of inquiries come from teachers, who usuallyrequest what they want by title and who sometimes ask for brochuresand state booklets in bulk.

Tobacco News stories prompt some of the letters. The featureon Cigar Store Indians drew about 25, ranging from the report that"we have an Indian in our basement which you may want to buy" tospecific questions involving research -- like: Who were the earlycarvers?

USDA, the U.S. Information Agency, other governmental depart-ments, the Council for Tobacco Research -- USA, two or three tobaccoCompanies, and other tobacco organizations refer some of theirtobacco inquiries to The Tobacco Institute.The In3titute Library handled roughly 200 to 300 telephoneCalls, about half of them from individuals and companies in NewYork. Among typical questions: Where can I get information oncigarette sales? Wi.0 makes cigarette paper? Can you visit ciga-rette factories?manufacture of Xlampen Kloogen after the smoking tobacco advertise-ment 'appeared in Esquire magazine.

form letter replies.

Anong recent phone calls were requests for the

Attached is a tally of materials sent out with personal andHK 002967


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" Lo.al Ember of m i l i n g s fro3 JANUARY 1, 1965 - Septmber 30, 1965.. . .. . . .

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_ . .. . . . ; . . . .. ."2 page npas - Growing districts of the U.S." .?i?Zd (U.S.D.A.) ~.. . . . . .. . ... .. .. . . . . . . . . . .. . . ..I . .. .

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RESPONSIBILITIES OF INDIVIDUAL OFFICERS OF THE TOBACCO INSTITUTE

Georqe V. Allen, President and Executive DirectorOverall policy and managerial direction. He isresponsible for matters requiring policy decisions and forobtaining directives from the chief executive officers orthe designated spokesmen of member companies.Public Relations Counsel (Hill and Knowlton), LegalCounsel (Covington & Burling), Public Relations Committee(Sowling), and Treasurer (Whitaker) look to him for guidance

and policy decision.Important correspondence requiring substantivedecision is handled personally by the President.The Council for Tobacco Research -- USA (Hartnett,Little, Hoyt) , Tobacco Growers' Information Committee (Anderson),Tobacco Tax Council (OIFlaherty), and other tobacco and alliedorganizations have looked to the president for consultationand advice in matters of overall concern to the industry.The Departments of state, Commerce, and Agriculturear.d the Internal Revenue Service consult him when the tobaccoindustry's position is desired on such matters as tariffs andcrade, agricultural regulations, etc. While such inquiriesnormally relate to the position of tobacco manufacturers, heis asked from time to time to speak for or to ascertain theposition of the industry as a whole.The President establishes and maintains [email protected] with members of the executive and legislativebranches of the Federal government.Tersonal contacts are with officials of the Departments ofState, Commerce, Treasury and Agriculture, and with Senatorsand Congressmen concerned with tobacco and with internationaltrade relations. He has been asked to testify before Congres-sional Committees on various subjects, in his capacity asPresident of the Institute or as spokesman for the W.S. Chamber

of Commerce or other organizations.

(Mr. Allen's closest

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The President maintains relations with key newspaper,radio and television personalities and brings significantinformation to their attention as appropriate. A recentoccasion produced editorials in the NEW YORK TIMES, theWASHINGTON POST, the WASHINGTON STAR, and the ST. LOUIS POST-DISPATCH, based on the industryds stahd on Yugoslav tobacco.( M r . Allen's closest personal contacts are with Reston andKrock (N.Y.TIMES), Wiggins and Friendly (WASHINGTON POST), .McXelWay and Henry (WASHINGTON STAR), Brandt (ST. LOUIS POST-DISPATCH), Stewart and Joseph Alsop, Walter Lippmann, MarquisChilds, Roscoe Drummond, Peter Edson, Hightower (AP), O'Rourke(WASHINGTON DAILY NEWS and Scripps Howard), with Stanton,Coops and Severeid (CBS), Sarnoff, spivak and Agronsky (NBC),and Haggerty (ABC).)

The President engages in a variety of activitiesnot directly connected with tobacco but which are designedto maintain and enhance the posture of the Institute innational and international affairs. I

Dz. ?rank J. Welch, Executive Vice PresidentDr. Welch has had to spend the greater part of hiseffort and time in connection with State matters. Thisincludes bills introduced into State legislatures dealing with

tobacco and health, cigarette advertising and sales, andrelated questions. Sixty-eight such bills were introducedinto the 1964 legislatures in 21 states, and eighty-eightbills in 22 states in 1965.These bills may be divided into the following cate-(1) warning labelsr( 2 ) banning; or restricting advertising;( 3 ) various approaches to penalizing or restrictingsales;(4 ) establishment of public withdrawal centers and

provisions for mandatory instruction or propa-ganda centers pertaining to the so-called "evils"of smoking; andcommissions concerned with the sale and distri-bution of tobacco products and/or smoking andhealth.

gories:

(5) establishment of various and sundry boards and

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The Institute has also concerned itself in acooperative manner in opposing unreasonable taxes.

In the above connection, Dr..Welch has coordinatedand supervised regional representatives and has had to travelextensively to maintain appropriate local contacts with themand with tobacco and allied groups.Considerable time and effort has gone into relationswith the National Association of Tobacco Distributors (Xolodnyand Goldstein), with State distributor associations, and withleading wholesale distributors in various States. He alsokeeps in close touch with key retail distributor groups. -Provision of witnesses and supplying them withposition papers have been a significant part of his functions.During the past year Dr. Weich has had to giveconsiderable attention to matters relating to weights andmeasures. His chief contacts have been with the NationalBureau of Standards ( M r . Max Jensen) and with State authoritiesconcerned with this subject, notably in Virginia and Pennsyl-vania. He has attended several general conferences on thesubject and has been in frequent contact with individualmembers of the Institute.As former Assistant Secretary of Agriculture, Dr.Welch has maintained close liaison with that Department andh a s been called on for consultation and advice on mattersrelating to tobacco and other agricultural subjects. At theDepartment's request, he has attended meetings with tobaccogrower groups in Washington and in the growing areas.Since the repeal of the excise tax on manufacturedtobacco, Dr. Welch has been concerned with the subject ofstatistical reporting, serving as liaison between the Govern-ment officials concerned and the member companies, and nego-tiating a workable arrangement.Dr. Welch represents the Institute at a variety ofmeekings of tobacco and associated groups and is frequentlyasked to address such groups.

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Dr. Welch is a member o f several l earned socie t iesand o the r a s so c i a t i on s i n t he academic or s c i e n t i f i c f i e l d .D r . Welch has p a r t i c u l a r l y 'c lo s e c o n t a ct s w i t hmembers o f Congress from Kentucky, Tennessee, and Mississippi,and wi th o the r members concerned w i t h a g r i c u l t u r e .

Edward F. Rasland, V i c e Pres iden t and SecretaryMr. Ragland's chief a c t i v i t i e s are i n t h e f i e l d s

of Congress iona l r e l a t i on s , con ta c t s w i th o the r o rgan iza t ionsa nd a s s o c i a t i o n s i n t obacco and r e l a t ed f i e l d s , and wi tho f f i c i a l s i n t he Depar tments of Agr i cu l tu re , T reasury , andCommerce.As former d i r e c t o r of Associated Tobacco Manufacturers,he i s p a r t i c u l a r l y c l o s e t o f i rm s i n t h a t o r ga n iz a ti o n whicha r e a l s o members o f th e In s t i t u t e . Las t sp r ing , he was a skedt o a ssume r es po ns ib i l i t y fo r o rgan iz ing th e annua l mee ting o f

ATM a t Hot Spr ings , fo r which he and Mrs. O'Toole receivedgr a t e f u l r ecogn i t i on and apprec i a t i on .c ;When.the b i l l t o r ev i se t he e xc i se t a x was nea ringpassage l a s t spr ing , Mr. Ragland arranged meetings between ATMre pr es en ta t i ve s and key Senators and Congressmen concerningthe removal of th e 10-cent F edera l excise tax on manufacturedtobacco. !Mr. Ragland mainta ins f reque nt co nta c t w i t h t h ech ie f o f t h e tobacco t ax sec t ion ( M r . Mouhtouris) of t h eAlcohol and Tobacco Tax Division of the In ternal RevenueService , on q u e s t io n s r e l a t i n g t o t h e r e t u r n s ys te m f o r th ec i g a r e t t e excise t ax and the Federa l t ax ques t ions .M r . Ragland has long mainta ined c lose re la t i on s

w i t h th e S t a t e tobacco ta x adm inis t ra tors , through a t tendanceand speeches a t t he i r annual meet ings and through cont inuingperson al co nt ac ts and correepondence.

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He also attends, and speaks from time to time, atmeetings of tobacco growers, warehousemen and leaf-dealerassociations and with several of the,wholesale and retailI distributors' associations.

As Vice President and Secretary of the Institute,Mr. :; _.. -.6 is responsibie, under the by-laws, for sendingou: notices of the annual and special meetings and forcertifying the records of such meetings.meetings of the Corporation are held, he has primaryresponsibility for the program and arrangements.

When spring

Mr. Ragland is responsible for administration 03staff policies, reassigning duties as required for moreefficient operation of the offices.purchase of office supplies and equipment, approves invoicesand signs or countersigns the majority of the checks issuedby the Institute.He supervises the

Mr. Ragland serves as Secretary of the InstitutePension Committee. He is also a member of the Budget Committeeof the Institute.

Joel B. True, Executive AssistantWhen M r . True was employed,in September, 1963, itwas contemplated that the Institute's activities would beconsiderably enlarged in anticipation of national and Statelegislative problems.him to the extent expected, for reasons not wholly his own.He has been willing and interested and has performed adequatelywhen given jobs within his competence.

It has not proved feasible to utilize

Mr. True has attended meetings of tobacco groupsand of the State tax administrators during recent months andis gaining a widening acquaintanceship among personalitiesconcerned with tobacco.

He was useful, largely for "leg work," during theCongressional hearings. He is anxious to help and retainst

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a good disposition under pressure.Mr. True has a considerable,range of contacts in.Government bureaus and Congressional offices.

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Edward II. DeHartWhile Mr. DeHart has been on the staff of H i l l andKnowlton and his functions may be judged from the underlyingdocuments, I wish to add that he has also served inter-'changeably as a member of the Institute's staff.capacities his presence in Washington has been of majorassistance to the President and others in the office.

In both'

His chief continuing functions have been in consul-tations, drafting, and serving as press contact. His out-standing value has resulted from background knowledge, soundjudgment, energy, and imagination. His press relations arefirst rate.He has assisted in drafting testimony or positionpapers for witnesses in both national and local legislatures,and in a variety of other day-to-day functions.

Mrs. m r o t h v A. O'Toole, Administrati+e AssistantMrs. O'Toole keeps the Institute's books and is res-ponsible, in the first instance, for budget and fiscal matters.She is also responsible, under MI-. Ragland's directcon,for administrative'matters such as leases, office supplies andequipment, and collections and disbursements.Mrs. O'Toole pitches in on whatever needs doing.She sees-that secretarial and receptionist duties are carriedout and is available for duty whenever required.

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Mrs. O'Toole takes care of logistics matters atInstitute sessions and is in charge of arrangements at springmeetings.

Mrs. Genevieve I. Wheeler, Librarian- Mrs. Wheeler's chief function is to answer thebulk of correspondence and inquiries which are not addressedto individuals but to the Institute in general. Her report(Attachment #l above) speaks for itself. .She is intelligent, hard-working, and uses goodjudgment.since she came to us in April, 1964.Her value to the Institute has grown steadily

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Mrs . Wheeler also serves as librarian. In thiscapacity she not only keeps files of reports, statistics,and magazines in good order but is becoming an authorityon the literature of tobacco and related subjects. She isalso responsible for the central correspondence files.

Mrs. Kathryn R. GoldenMrs. Golden serves as offiye manager as well assecretary to the President.answers inquiries, and drafts replies to correspondence asappropriate.

She arranges appointments,

Having been with the Institute since the beginning,acquaintanceship in tobacco and allied fields, and undertakesa variety o f functions important to the smooth-working of theoff ce.

Golden is knowledgeable about its affairs, has a wide

Mrs. S. Anne Underwood, Secretary to Dr. WelchMxs. Hazel E. McCurdv, Secretarv to Mr. RaglandM I S . Diane Hess, Secretarv to MZ . True

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* ' ' : II 4 -8-Miss Julie Anne Shavler, Secretary to Mr. DeHart:Mrs. Sandra B. kllen.

Receptionist and switchboard operator.Mr. Ravmond X. Tavlor

Messenger, Chauffeur, and stock clerk.

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Documents

1965, TI Internal Memo on Role of TI