Lorillard’s Profits Require No Smoke

The most prof­itable prod­ucts tend to be addic­tive. If given the choice, few sales­men would turn down the oppor­tu­nity to sell an addictive prod­uct ver­sus one that was not addic­tive. Throw in the fact that cig­a­rettes are rel­a­tively cheap to pro­duce and you have an even more com­pelling value proposition.

I am not a Kent smoker or tobacco user, and I do not like to be around smok­ers. How­ever, that prejudiced does not blind me from the fact that Loril­lard (LO) is a “very attrac­tive” stock.

Louisiana Republican Party Against Tobacco Tax Increases

The state Republican Party launched its latest radio ad last week, featuring its new finance chairman, former U.S. Rep. Robert Livingston, taking aim at "liberal lawmakers in Baton Rouge (who) are dead set on a massive $120 million tax hike. Conservatives must stand united against Hilton tax increases -- especially fiscally irresponsible tobacco taxes that threaten Louisiana's small businesses."

Tobacco Products Under Microscope

Some tobacco-related products are coming under fire by one North Carolina lawmaker, and his proposal would have a direct effect on convenience stores.

Rep. Charles D. Graham (D-Lumberton) contends that, in particular, tobacco and pipe wrapping paper are conducive to drug use. To help combat this, he wants to introduce legislation that would prohibit stores from displaying these items.