FTC Probes E-Cigarette Sales and Promotional Methods -- Update
October 03 2019 - 1:24PM
Dow Jones News
By Dave Sebastian
The Federal Trade Commission said Thursday it is seeking
information from six e-cigarette companies, including Juul Labs
Inc., to study sales, advertising and promotional methods of their
products as health authorities investigate a rash of illnesses and
deaths linked to vaping.
Other companies the FTC ordered details from are Altria Group
Inc.'s vaping business Nu Mark LLC, R.J. Reynolds Vapor Co., Fontem
U.S. Inc., Logic Technology Development LLC and NJOY LLC.
The study, for which the commission has ordered the companies to
submit relevant details for the years 2015 to 2018 by Jan. 2, 2020,
would add to other FTC studies on cigarettes and smokeless tobacco
products, the FTC said.
The Wall Street Journal reported in August that the FTC had
opened an investigation of Juul's marketing practices.
The FTC is seeking information such as annual sales, giveaways
of e-cigarette products, characteristics of the e-cigarette
products such as product flavors, advertising expenses for
e-cigarette promotion and college campus programs.
"The goal is to assist the Commission, policy makers, and the
public to better understand the rapidly growing e-cigarette
market," the FTC said.
Altria's Nu Mark, which discontinued its products in December
2018, said it would comply with the FTC order.
Logic Technology Development said it is reviewing the FTC's
order. "Logic has always communicated responsibly about its
products, such as having health warnings on advertising and
age-verification on our website," the company said.
Other companies didn't immediately respond to requests for
comment.
Health authorities have urged people to stop using electronic
cigarettes and other vaping products while they investigate deaths
from a mysterious illness that federal officials said may have
affected more than 450 users of the devices around the U.S.
State governments also have moved to suspend vaping-product
sales, prompting pushback from vape-shop owners.
Write to Dave Sebastian at dave.sebastian@wsj.com
(END) Dow Jones Newswires
October 03, 2019 13:09 ET (17:09 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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