Federal Register / Vol. 65, No. 88 / Friday, May 5, 2000 / Notices 26211

Paragraph I.C. of the Red Noland and

Simmons Rockwell proposed orders

prohibit respondents, in any lease, from

stating the amount of any payment or

that any or no initial payment is

required at lease signing or delivery,

unless the advertisement also states,

clearly and conspicuously, all of the

terms required by Regulation M, as

amended and as follows: (1) That the

transaction advertised is a lease; (2) the

total amount due at lease signing or

delivery; (3) whether or not a security

deposit is required; (4) the number,

amounts, and timing of scheduled

payments; and (5) that an extra charge

may be imposed at the end of the lease

term in a lease in which the liability of

the consumer at the end of the lease

term is based on the anticipated residual

value of the vehicle.

Furthermore, Paragraph I.D. of the

Red Noland proposed order prohibits

this respondent from stating a

percentage rate in an advertisement or

in documents evidencing the lease

transaction, unless respondent also

states the notice required by Regulation

M that ‘‘this percentage may not

measure the overall cost of financing

this lease.’’

Paragraph I.D. of the Simmons

Rockwell proposed order, and

paragraph I.E. of the Red Noland

proposed order, prohibit respondents

from engaging in any other violation of

Regulation M, as amended.

In addition, Paragraph II. A. of the

Simmons Rockwell proposed order

enjoins respondent, in any credit

advertisement, from stating the amount

or percentage of any downpayment, the

number of payments or period of

repayment, the amount of any payment,

or the amount of any finance charge,

without disclosing, clearly and

conspicuously, all of the terms required

by Regulation Z, as follows: (1) The

amount or percentage of the

downpayment; (2) the terms of

repayment; and (3) annual percentage

rate, using that term or the abbreviation

‘‘APR.’’ If the annual percentage rate

may be increased after consummation of

the credit transaction, that fact must

also be disclosed. Paragraph II.B. of this

proposed order also prohibits Simmons

Rockwell from stating a rate of finance

charge unless respondents state the rate

as an ‘‘annual percentage rate’’ or the

abbreviation ‘‘APR,’’ using that term.

Paragraph III.C. of this proposed order

also enjoins Simmons Rockwell from

engaging in any other violation of

Regulation Z, as amended.

The information required by

Paragraph I of the Red Noland proposed

order (lease advertisements), and

Paragraphs I and II of the Simmons

Rockwell proposed order (lease and

credit advertisements), must be

disclosed ‘‘clearly and conspicuously.’’

Both proposed orders define the term

‘‘clearly and conspicuously’’ for Red

Noland’s and Simmons Rockwell’s

advertisements in all media. In a

television, video, radio or Internet or

other electronic advertisement, the

required disclosures made in the audio

portion of the advertisement must be

delivered in a volume, cadence, and

location sufficient for an ordinary

consumer to hear and comprehend. The

required disclosures in the video

portion of the advertisement must be of

a size and shade, and must appear on

the screen for a duration and in a

location, sufficient for an ordinary

consumer to read and comprehend. In a

print advertisement, the required

disclosures must be in a type size and

location sufficient for an ordinary

consumer to read and comprehend, in

print that contrasts with the background

against which it appears. Additionally,

the required disclosures must be in

understandable language and syntax.

Further, nothing contrary to,

inconsistent with, or in mitigation of the

required disclosures shall be used in

any advertisement.

The purpose of this analysis is a

facilitate public comment on the

proposed orders. It is not intended to

constitute an official interpretation of

the agreements and proposed orders or

to modify in any way their terms.

By direction of the Commission.

Donald S. Clark,

Secretary.

[FR Doc. 00–11311 Filed 5–4–00; 8:45 am]

BILLING CODE 6750–01–M

FEDERAL TRADE COMMISSION

[File No. 992 3026]

Santa Fe Natural Tobacco Company,

Inc.; Analysis to Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

SUMMARY: The consent agreement in this

matter settles alleged violations of

federal law prohibiting unfair or

deceptive acts or practices or unfair

methods of competition. The attached

Analysis to Aid Public Comment

describes both the allegations in the

draft complaint that accompanies the

consent agreement and the terms of the

consent order—embodied in the consent

agreement—that would settle these

allegations.

DATES: Comments must be received on

or before May 30, 2000.

ADDRESSES: Comments should be

directed to: FTC/Office of the Secretary,

Room 159, 600 Pennsylvania Ave., NW,

Washington, DC 20580.

FOR FURTHER INFORMATION CONTACT:

Michael Ostheimer, FTC/S–4002, 600

Pennsylvania Ave., NW, Washington,

DC 20580. (202) 326–2699.

SUPPLEMENTARY INFORMATION: Pursuant

to section 6(f) of the Federal Trade

Commission Act, 38 Stat. 721, 15 U.S.C.

46 and section 2.34 of the Commission’s

Rules of Practice (16 CFR 2.34), notice

is hereby given that the above-captioned

consent agreement containing a consent

order to cease and desist, having been

filed with and accepted, subject to final

approval, by the Commission, has been

placed on the public record for a period

of thirty (30) days. The following

Analysis to Aid Public Comment

describes the terms of the consent

agreement, and the allegations in the

complaint. An electronic copy of the

full text of the consent agreement

package can be obtained from the FTC

Home Page (for April 27, 2000), on the

World Wide Web, at ‘‘http://

www.ftc.gov/ftc/formal.htm.’’ A paper

copy can be obtained from the FTC

Public Reference Room, Room H–130,

600 Pennsylvania Avenue, NW,

Washington, DC 20580, either in person

or by calling (202) 326–3627.

Public comment is invited. Comments

should be directed to: FTC/Office of the

Secretary, Room 159, 600 Pennsylvania

Ave., NW, Washington, D.C. 20580. Two

paper copies of each comment should

be filed, and should be accompanied, if

possible, by a 31⁄2 inch diskette

containing an electronic copy of the

comment. Such comments or views will

be considered by the Commission and

will be available for inspection and

copying at its principal office in

accordance with section 4.9(b)(6)(ii) of

the Commission’s Rule of Practice (16

CFR 4.9(b)(6)(ii)).

Analysis of Proposed Consent Order to

Aid Public Comment

The Federal Trade Commission has

accepted, subject to final approval, an

agreement containing a consent order

from Santa Fe Natural Tobacco

Company, Inc. (‘‘Santa Fe’’).

The proposed consent order has been

placed on the public record for thirty

(30) days for receipt for comments by

interested persons. Comments received

during this period will become part of

the public record. After thirty (30) days,

the Commission will again review the

agreement and the comments received,

and will decide whether it should

withdraw from the agreement or make

final the agreement’s proposed order.

26212 Federal Register / Vol. 65, No. 88 / Friday, May 5, 2000 / Notices

1 In late 1997, Santa Fe voluntarily did begin

placing the statement, ‘‘To our knowledge there is

no research indicating cigarettes containing

additive-free tobacco are safer than cigarettes with

tobacco containing additives’’ in certain ads for

Natural American Spirit tobacco cigarettes. Since

early 1998, Santa Fe has also included the

statement ‘‘We make no representation expressed or

implied that these cigarettes are any less hazardous

than any other cigarettes’’ on the packaging of

Natural American Spirit cigarettes.

This matter involves an alleged

misleading representation for Natural

American Spirit cigarettes, which Santa

Fe has advertised as containing no

additives. According to the FTC

complaint, through these

advertisements, Santa Fe represented

that because Natural American Spirit

cigarettes contain no additives, smoking

them is less hazardous to a smoker’s

health than smoking otherwise

comparable cigarettes that contain

additives. The complaint alleges that

Santa Fe did not have a reasonable basis

for the representation at the time it was

made. Among other reasons, according

to the complaint, the smoke from

Natural American Spirit cigarettes, like

the smoke from all cigarettes, contains

numerous carcinogens and toxins,

including tar and carbon monoxide.1

The proposed consent order contains

provisions designed to prevent Santa Fe

engaging in similar acts and practices in

the future.

Part I of the order requires Santa Fe

to include the following disclosure,

clearly and prominently, in certain

advertising for its tobacco cigarettes:

‘‘No additives in our tobacco does NOT

mean a safer cigarette.’’ (The order

requires a similar disclosure in

advertising for other tobacco products

Santa Fe advertises as having no

additives.) The disclosure must be

included in all tobacco advertising that

represents (through such phrases as ‘‘no

additives’’ or ‘‘100% tobacco’’) that the

product has no additives. This Part

exempts Santa Fe from the disclosure

requirement: (1) For cigarette

advertisements not required to bear the

Surgeon General’s health warning; and

(2) if Santa Fe possesses scientific

evidence demonstrating that its ‘‘no

additives’’ cigarette poses materially

lower health risks than other cigarettes

of the same type. In general, the

disclosure required by Part I must be in

the same type size and style as the

Surgeon General’s warning and must

appear within a rectangular box that is

no less than 40% of the size of the box

containing the Surgeon General’s

warning.

Part II of the order requires Santa Fe

to include the following disclosure,

clearly and prominently, in advertising

and on packaging for herbal cigarettes:

‘‘Herbal cigarettes are dangerous to your

health. They produce tar and carbon

monoxide.’’ (The order requires a

similar disclosure for other herbal

smoking products.) The disclosure must

be included in all advertising and on

packaging for herbal smoking products

that represent (through such phrases as

‘‘no tobacco,’’ ‘‘tobacco-free,’’ or

‘‘herbal’’) that the product has no

tobacco. This Part also contains an

exemption from the disclosure

requirement if Santa Fe possesses

scientific evidence demonstrating that

such herbal smoking products do not

pose any material health risks. In

general, the disclosure required by Part

II must be in the same type size and

style as the Surgeon General’s warning

and for advertisements must appear

within a rectangular box that is the same

size as the box containing the Surgeon

General’s warning.

Part III requires Santa Fe to send a

letter to its purchasers for resale

notifying them that they should

discontinue the use of certain existing

Natural American Spirit cigarette

advertisements and promotional

materials and that Santa Fe is required

to stop doing business with purchasers

for resale that do not comply with this

request.

Parts IV–VIII of the order require

Santa Fe to keep copies of relevant

advertisements and materials

substantiating claims made in the

advertisements; to provide copies of the

order to certain of its personnel; to

notify the Commission of changes in the

composition or formula of Natural

American Spirit cigarettes that may

affect the order; to notify the

Commission of changes in corporate

structure; and to file compliance reports

with the Commission. Part IX provides

that the order will terminate after

twenty (20) years under certain

circumstances.

The purpose of this analysis is to

facilitate public comment on the

proposed order, and it is not intended

to constitute an official interpretation of

the agreement and proposed order or to

modify in any way their terms.

By direction of the Commission.

Donald S. Clark,

Secretary.

[FR Doc. 00–11313 Filed 5–4–00; 8:45 am]

BILLING CODE 6750–01–M

DEPARTMENT OF HEALTH AND

HUMAN SERVICES

Centers for Disease Control and

Prevention

[30DAY–29–00]

Agency Forms Undergoing Paperwork

Reduction Act Review

The Centers for Disease Control and

Prevention (CDC) publishes a list of

information collection requests under

review by the Office of Management and

Budget (OMB) in compliance with the

Paperwork Reduction Act (44 U.S.C.

Chapter 35). To request a copy of these

requests, call the CDC Reports Clearance

Officer at (404) 639–7090. Send written

comments to CDC, Desk Officer; Human

Resources and Housing Branch, New

Executive Office Building, Room 10235;

Washington, DC 20503. Written

comments should be received within 30

days of this notice.

Proposed Project

1. Public Health Prevention Service

Program—New—Epidemiology Program

Office (EPO). In 1995, senior CDC

leadership asked for a review of CDC’s

role in developing public health

workers. As a result of the review, the

Public Health Prevention Service

(PHPS) program was established in

1997, to be carried out by the

Epidemiology Program Office (EPO).

The purpose of the PHPS program is to

improve the nation’s public health

practice by preparing entry-level public

health professionals to conduct

prevention programs that improve

health and prevent injury and to manage

emerging public health problems.

Implicit in the creation of the program

is the expectation that the PHPS

participants would be a new breed of

public health professional who would

owe primary allegiance to prevention

and public health as disciplines rather

than to specific programs, be

comfortable working across a variety of

programs and in multiple levels of

jurisdictions, and be knowledgeable

about and prepared to meet future

challenges in public health in planning,

implementing, managing, and

evaluating scientifically sound

prevention programs and interventions.

PHPS participants (Prevention

Specialists) are selected annually in a

national competition. Each year,

approximately 25 PHPS participants are

chosen from a pool of about 100

applicants. During their 3-year

participation they undertake formal

training, engage in a series of rotations

throughout CDC and, finally, are posted

to 2-year assignments with health