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14TOBACCOOUTLETBUSINESSNOVEMBERDECEMBER2010NEWSTRENDSNOVEMBERDECEMBER2010HIGHLIGHTSSanFranBanInSeptemberSanFranciscoCalif.legis-latorsvoted7-3infavorofexpandingthecityx19slawthatbanstobaccoproductsalesinpharmaciestoincludegrocerystoresandbig-boxwholesaleclubsthatalsocontainpharmacies.TobaccoTraffickingTheblack-marketcigarettetradeintheUnit-edStatescostsmanystateshundredsofmil-lionsofdollarsayearinlosttaxrevenueandhasbeenlinkedtoorganizedcrimegroupswithtiestoVietnamRussiaKoreaandChi-naaccordingtoaSept.19NationalPublicRadionewsbroadcast.Thereportsaidthatcriminalstargettobaccobecausethepenal-tyfortrafckinginblack-marketcigarettesisveyearsinprisonatmostcomparedwith10yearsfortrafckinginillegaldrugs.CigarShiftDuringthe14monthsthathaveelapsedsincethefederalexcisetaxhikeontobaccotookeffectinApril2009salesvolumesofcigarsclassiedaslargemorethanquadru-pledto12.3billionunitsaccordingtodatafromtheAlcoholandTobaccoTaxandTradeBureau.Meanwhilesalesoflittlecigarsorthoseweighingthreepoundsorlessperthousandfellby79percent.Somepointtotheshiftassuggestingthatmanufacturersareexploitingax1cloopholex1dintheStateChil-drenx19sHealthInsuranceProgramlegislationbyincreasingtheweightoftheirlittlecigarstaxesonwhichroseto50.33per1000piecesorabout10.07percartonsothattheywouldbeconsideredlargecigarswhicharetaxedat52.75percentoftheman-ufacturerx19spriceorabout2to4percar-tonforsmallerproductsinthiscategoryac-cordingtoarecentarticleinTheWallStreetJournal.Tobaccoindustryobserverscoun-terthatthefederalexcisetaxitselfforcedmanufacturerstomakeproductmodica-tionstoadapttoanoneroustaxthatwouldhavemadeitimpossibletocompetex14andultimatelytosurvive.ToraoNamesLewisTheToraoFamilyCigarCo.recentlynamedBruceM.Lewisaveteraninthecigarindustrywithmorethan20yearsofexperienceasvicepresidentofsalesandmarketing.LewisjoinsToraoCigarsatanimportanttimeforthecom-panywhichhasrecentlyundergoneseveralkeychangesincludingestablishinganewbrandidentity.ThecompanywhichrecentlytookoveritsowndistributionhaschangeditsnamefromToraoCigarstoreestablishitselfastheToraoFamilyCigarCo.x1cIamexcitedbythechangesToraoFamilyCigarsisundergoingandfeelprivilegedtobepartoftheircontinuedgrowthx1dsaidLewiswhosecareerin-cludespostsatDunhillandGeneralCigar.x1cIlookforwardtoplayingakeyroleinbuildingtheorganizationanddevelopingsalesandmarketingstrategiesthatwillshapethecompanyintheyearsahead.x1dNACSShowDraws21983AttendeesAttendeesbrowseda370000-plus-square-footexpositionoor.Nearly22000representativesoftheglobalconvenienceandpetroleumretailingindustryturnedoutforthisyearx19sNACSShowaccordingtoattendanceguresreleasedbyNACS.TheshowwhichtookplaceinAtlantainOctoberrankedasoneofthe50largestannualtradeshowsintheUnitedStates.Inadditiontoa370000-square-footexpositionoorfeaturing1300exhibitingcompaniestheshowincluded75educationalworkshopsandvetrainingses-sionsincludingaclosinggeneralsessionaddressbyPresidentGeorgeW.Bush.x1cOursolidattendancenumbersdemonstratethattheconvenienceandpetro-leumretailingchannelremainsstrongwhilemanyotherchannelshavestrug-gledduringtheeconomicdownturnx1dsaysNACSViceChairmanofConventionSteveLoehrvicepresidentofoperationssupportforKwikTripInc.x1cTheNACSShowcontinuestobeembracedbybothretailersandsupplierswhocometotheshowtogrowtheirbusinessesastheyndnewproductsandservicesmakenewbusinessconnectionsandsharenewideasinoureducationalworkshops.YourNewsHereWhatx19sgoingoninyourneckofthewoodsIfyouhavesomenewsaboutyourstateorstorethatyoux19dliketosharewithindustrypeerswex19dlovetohearitJuste-mailusatinfotmginternational.org.Pleaseincludeyourcontactinformationsowecangetintouch.