**Exhibit 99.1****I.****INDIVIDUAL SMOKER CASES****Arizona****(1)**  Tavassoli, et al. v. Altria Group Inc., et al., Case No. CV06-2119-PHX-SRB USDC,District of Arizona, (case filed 12/29/06). Wrongful death action, with one individual suingindividually and on behalf of all beneficiaries of the decedent.  Plaintiff has allegedpersonal injury, fraud and conspiracy claims arising from the decedent’s use of cigarettes,and is seeking compensatory damages in the amount of $125 million and punitive damages inthe amount of $5 billion against certain tobacco company defendants, affiliates and parentcompany defendants, including Liggett Group LLC, its affiliates, Liggett Vector Brands Inc.,Vector Tobacco Inc., and its indirect parent, Vector Group Ltd.  On February 7, 2007, thedefendants filed motions to dismiss. On March 14, 2007, plaintiffs and defendants enteredinto a stipulation to dismiss, without prejudice, certain defendants (*e.g.,*R.J. ReynoldsTobacco Holdings, Inc., Reynolds American, Inc., GMB, Inc., Altria Group, Inc. and VectorGroup Ltd.), which the court has approved. Discovery is proceeding and a trial isscheduled for February 10, 2009.**California****(1)**  Donaldson, et al. v. Raybestos Manhattan, Inc., et al., Case No. 998147, SuperiorCourt of California, County of San Francisco (case filed 9/25/98). Two individuals suing.The case is stayed while on appeal.**District of Columbia****(1)**  Sims, et al. v. Philip Morris, Inc., et al., Case No. 1:01-CV-01107-GK, USDC,District of Columbia (case filed 5/23/01). Three individuals suing. In February 2003, thecourt denied plaintiffs’ motion for class certification.  Plaintiffs subsequently filedmotions seeking reconsideration and reversal of the order denying class certification, whichmotions were denied by the court on December 21, 2006. No appeals were taken.**Florida****(168)**  Allen, et al., v. R.J. Reynolds Tobacco Co., et al., Case No. 07-CA-8311 CircuitCourt of the 4th Judicial Circuit, Florida, Duval County (case filed 9/27/07).Six individuals suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Alonso v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-24949-CA-01,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/8/07). Two individuals suing. The case was removed to the United States DistrictCourt for the Southern District of Florida, but was subsequently remanded. Both LiggettGroup LLC and Vector Group Ltd. are named as defendants.   Alvarez, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30302-CA-32,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/18/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Alvarez Del Real v. R.J. Reynolds Tobacco Company, et al., Case No. 07-32909-CA-27,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 10/4/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.
 

 
  Anderson, et al. v. Philip Morris USA Inc., et al., Case No. 07-29166-CA-27, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/21/07). Three individuals suing as Personal Representatives of the estates and survivorsof three deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Aquila, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-CA-16062,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 9/20/07). Two individuals suing; one on his own behalf and one as PersonalRepresentative of the Estate of a deceased smoker. Both Liggett Group LLC and Vector GroupLtd. as named as defendants.   Arnold v. Brown & Williamson Corporation, et al., Case No. 04-00472, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed01/16/04). One individual suing. Abated pending resolution of Engle.   Bagshaw v. R.J. Reynolds, et al., Case No. 06-4768, Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 6/1/06).  Oneindividual suing.   Bailey v. The American Tobacco Company, et al., Case No. 97-18056-CA-15, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/12/97). One individual suing as Personal Representative of the estate and survivors of adeceased smoker.   Balaban v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30318-CA-22, Circuit Courtof the 11th Judicial Circuit, Florida, Miami-Dade County (case filed 9/17/07).One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Ballard, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30336-CA-23,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/17/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Banks v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-24948-CA-01,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/12/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Barrs, et al v. R.J. Reynolds Tobacco Company, et al., Case No. 07-32330-CA-06, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed10/1/07). Fifteen individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Bell v. R.J. Reynolds Tobacco Co., et al., Case No. 07-CA-6454, Circuit Court of the9th Judicial Circuit, Florida, Orange County (case filed 6/14/07). One individualsuing. Vector Group Ltd. was named as a defendant. The case was removed to the UnitedStates District Court for the Middle District of Florida, Orlando Division, where it ispending as Case No. 6:07-cv-001152-Orl-31DAB. The case is stayed pending a ruling by theJudicial Panel on Multidistrict Litigation on defendants’ motion for transfer of actions toa single multidistrict litigation court.   Belanger v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30281-CA-25, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/17/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Bernardo, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-21322-18, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 8/28/07).Ten individuals suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants. The case was removed to
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  the United States District Court for the Southern District of Florida, and was subsequentlyremanded.   Blake, et al. v. R. J. Reynolds, et al., Case No. 01-13549, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 6/7/01). Twoindividuals suing. Abated pending resolution of Engle.   Bobrick, et al. v. R.J. Reynolds Tobacco Co., etc. et al., Case No. 07-CA-14140,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 8/23/07). Sixteen individuals suing. Both Liggett Group LLC and Vector Group Ltd.are named as defendants.   Bohde v. R. J. Reynolds Tobacco Company, et al., Case No. 07-30564-CA-04, CountyCircuit Court of the 11th Judicial Circuit, Florida, Miami-Dade (case filed9/19/07). Five individuals suing. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Bonenfant v. R.J. Reynolds Tobacco Company, et al., Case No. 06-17531-18, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 2/16/07).One individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants. The case wasremoved to the United States District Court for the Southern District of Florida where it ispending as Case No. 07-60301-CIV-ZLOCH/Snow. The notice of removal was withdrawn and thecase was remanded.   Boza, etc.v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30344-CA-42, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/17/07). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Brewer, et al. Pltf. v. Philip Morris USA Inc., etc., et al., Case No.07-35480-CA-06, Circuit Court of the 11th Judicial Circuit, Florida, Miami-DadeCounty (case filed 10/22/07). Six individuals suing; four on their own behalf and two asPersonal Representatives of the estates and survivors of deceased smokers. Both LiggettGroup LLC and Vector Group Ltd. are named as defendants.   Britan v. R. J. Reynolds Tobacco Company, et al., Case No. 01-13451-CA-22, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed6/6/01). One individual suing. Abated pending resolution of Engle.   Brown v. R. J. Reynolds Tobacco Company, et al., Case No. 05-04822, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed 5/31/05).One individual suing. Abated pending resolution of Engle.   Brown v. R. J. Reynolds Tobacco Company, et al., Case No. 05-0790, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 1/24/05).One individual suing. Abated pending resolution of Engle.   Brown v. R.J. Reynolds Tobacco Company, et al., Case No. 07-4646-27, Circuit Courtof the 17th Judicial Circuit, Florida Broward County (case field 3/6/07). Oneindividual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Vector Group Ltd. was named as a defendant. The case was removed to the UnitedStates District Court for the Southern District of Florida and was subsequently remanded.
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  Burr, etc. v. R.J. Reynolds Tobacco Company, et al., Case No. 94-08273, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed4/24/07 via motion to intervene in Engle). Plaintiffs have not filed suit. Threeindividuals filed the motion to intervene; two on their own behalf and one as PersonalRepresentative on behalf of the estate and survivors of a deceased smoker seeking only torecover their respective shares of the guaranteed settlement fund.   Cagle, et al. v. Brown & Williamson Corporation, et al., Case No. 02-10718, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed11/22/02). Two individuals suing. Abated pending resolution of Engle.   Calhoun, et al. v. Brown & Williamson Corporation, et al., Case No. 02-7970,Circuit Court of the 13th Judicial Circuit, Florida, Hillsborough County (casefiled 8/27/02). Two individuals suing. Abated pending resolution of Engle.   Campbell, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30486-CA-27,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/18/07). Thirteen individuals suing. Both Liggett Group LLC and Vector Group Ltd.are named as defendants.   Caprio, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 94-08273, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed 3/7/07via motion to intervene in Engle). Five individuals suing; four on their own behalfand one as Personal Representative on behalf of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants. The case wasremoved to the United States District Court for the Southern District of Florida and wassubsequently remanded.   Casey, etc. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-23443-12,Circuit Court of the 17th Judicial Circuit, Florida, Broward County (case filed9/17/07). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Chofey, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-28421-CA-24,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/04/07). Four individuals suing as Personal Representatives of the estates andsurvivors of four deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Ciccone v. Brown & Williamson Tobacco Corporation, et al., Case No. 04-13258,Circuit Court of the 17th Judicial Circuit, Florida, Broward County (case filed8/19/04). One individual suing. Abated pending resolution of Engle.   Clark v. R. J. Reynolds Tobacco Company, et al., Case No. 02-16981, Circuit Courtof the 11th Judicial Circuit, Florida, Miami-Dade County (case filed 7/3/02).One individual suing. Abated pending resolution of Engle.   Coffey v. Brown & Williamson Corporation, et al., Case No. 01-09335, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed 5/31/02).One individual suing. Abated pending resolution of Engle.   Cohen, D. v. R.J. Reynolds Tobacco Company, et al., Case No. 94-08273-CA-22, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed4/24/07 via motion to intervene in Engle). Plaintiff has not filed suit. Oneindividual seeking to recover her share of the guaranteed bond settlement fund.
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  Cohen, J. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-12370-18, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 6/4/07).One individual suing. Vector Group Ltd. was named as a defendant. The case was removed tothe United States District Court for the Southern District of Florida where it is pending asCase No. 07-60946-CIV-Dimitrouleas/Selzer. Trial is set for September 29, 2008.   Cohen, R. v. R. J. Reynolds Tobacco Company, et al., Case No. 07-11515, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 6/6/07).One individual suing as the Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants. Thecase was removed to the United States District Court for the Southern District of Floridaand was subsequently remanded.   Colvard v. R.J. Reynolds Tobacco Company, et al., Case No. 07-32915-CA-11, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed10/4/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Cooper, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-19062-CA-23,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 6/25/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Cotto, et al. v. Brown & Williamson Corporation, et al., Case No. 03-748, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed1/22/03). Two individuals suing. Abated pending resolution of Engle.   Colic v. Brown & Williamson Corporation, et al., Case No. 03-10844, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 11/13/03).One individual suing. Abated pending resolution of Engle.   Cotman, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-29365-CA-25,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/10/07). Four individuals suing as Personal Representatives of the estates of threedeceased smokers. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Cowart v. Liggett Group Inc., et al., Case No. 98-01483CA, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 3/16/98). One individualsuing.   Cox v. R. J. Reynolds Tobacco Company, et al., Case No. 05-00677, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 2/1/05). Oneindividual suing. Abated pending resolution of Engle.   Coxwell, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 07-30568-CA-27,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade (case filed9/19/07). Four individuals suing. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Davies v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-24594-CA-06,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/1/07). Six individuals suing as Personal Representatives of the estate andsurvivors of five deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants. The case was removed to the United States District Court for the SouthernDistrict of Florida and was subsequently remanded.
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  Davis, B., et al. v. Liggett Group Inc., et al., Case No. 02-48914, Circuit Court ofthe 17th Judicial Circuit, Florida, Broward County (case filed 10/4/02). Liggettis the only defendant in this action. In April 2004, a jury awarded compensatory damages of$540,000 against Liggett. In addition, plaintiff’s counsel was awarded legal fees of$752,000. On October 10,2007, the compensatory award was affirmed by the FourthDistrict Court of Appeal. Liggett filed a motion for rehearing and/or certification.   Davis, G., et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-33048-CA-25,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 10/5/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Deese, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-33352-CA-01, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed10/9/07). Six individuals suing on their own behalf. Both Liggett Group LLC and VectorGroup Ltd. are named as defendants.   Delgado, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-29094-CA-05,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/11/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Vector Group Ltd. was named as a defendant. The case was removed tothe United States District Court for the Southern District of Florida. A motion for remandis pending. The case is stayed pending a ruling by the Judicial Panel on MultidistrictLitigation on defendants’ motion for transfer of actions to a single multidistrictlitigation court.   Dionne, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30080-CA-25,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/17/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Ditslear v. R. J. Reynolds Tobacco Company, et al., Case No. 05-0899, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed 1/28/05).One individual suing. Abated pending resolution of Engle.   DiVicarro, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-6910(AH),Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 5/4/07). One individual suing as the Personal Representative of the estate andsurvivors of a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Dubin, David v. R.J. Reynolds Tobacco Company, et al., Case No. 07-33045-CA-02,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 10/5/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Duecker v. Liggett Group Inc., Case No. 98-03093 CA, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 7/5/98). One individualsuing. Liggett is the only tobacco company defendant.   Ellis, D., et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-14522-CA-22,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 5/21/07). Four individuals suing as Personal Representatives of the estates andsurvivors of four deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants. The case was removed to the United States District Court for the SouthernDistrict of Florida, and was subsequently remanded.
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  Ellis, M., et al. v. Philip Morris USA Inc., etc., et al., Case No. 07-35027-CA-21,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 10/18/07). Six individuals suing as Personal Representatives of the estates andsurvivors of six deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Eubanks v. R.J. Reynolds Tobacco Co., et al., Case No. 07-29364-CA-08, Circuit Courtof the 11th Judicial Circuit, Miami-Dade County (case filed 9/10/07). Twoindividuals suing as Personal Representatives of the estates and survivors of two deceasedsmokers. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Ferrell, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30298-CA-30,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/17/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Ferlanti v. Liggett Group Inc., et al., Case No. 03-21697, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 12/11/03). Oneindividual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Liggett is the sole defendant in this action. Plaintiff’s motion for leave toamend to add a claim for punitive damages was granted on April 25, 2007. Trial is scheduledfor January 2008.   Fonseca, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-27906-CA-03,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/29/07 One individual suing as Personal Representative of the estate and survivors ofa deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Foster v. R.J. Reynolds Tobacco Company, et al., Case No. 07CA709(B), Circuit Courtof the 1st Judicial Circuit, Florida, Escambia County (case filed 3/27/07). Oneindividual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Fuchs v. R. J. Reynolds Tobacco Company, et al., Case No. 05-00681, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 1/21/05).One individual suing. Abated pending resolution of Engle.   Fudge, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 07-30562-CA-21,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/19/07). Five individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Garcia v. R.J. Reynolds, et al., Case No. 05-04159, Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 5/11/05). Oneindividual suing. Abated pending resolution of Engle.   Garibaldi v. Reynolds Tobacco Co., et al., Case No. 03-12498, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 5/27/03). Onindividuals using as Personal Representative of the estate and survivors of a deceasedsmoker. Abated pending resolution of Engle. Liggett was not served with theSummons and Complaint prior to the entry of the order of abatement.   Gaynor, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No.50-07-CA-15714-MB, Circuit Court of the 15th Judicial Circuit, Florida, PalmBeach County (case filed 9/17/07). One
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  individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Gherardi v. Philip Morris Incorporated, et al., Case 01-28584-CA-03, Circuit Courtof the 11th Judicial Circuit, Florida, Miami-Dade County (case filed 11/29/01).One individual suing. Abated pending resolution of Engle.   Glading, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-20828-CA-01,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 7/6/07). Thirty-six plaintiffs; thirty-one suing on their own behalf and five suingas Personal Representatives of the estates and survivors of five deceased smokers. LiggettGroup Inc. and Brooke Group Ltd., Inc. are purportedly sued in the body of the complainteven though neither is identified as a defendant in the style of the complaint.   Gloster v. R.J. Reynolds Tobacco Company, et al., Case No. 07-32063-CA-22, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/28/07). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Goldthorpe v. R.J. Reynolds Tobacco Co., et al., Case No. 07-25800-CA-08, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 10/5/07).One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Grant v. Brown & Williamson Corporation, et al., Case No. 03-2673-Div. I, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed3/15/03). One individual suing. Abated pending resolution of Engle.   Gray, et al. v. The American Tobacco Co., et al., Case No. 97-21657 CA 42, CircuitCourt of the 7th Judicial Circuit, Florida, Putnam County (case filed 10/15/97).Two individuals suing. Abated pending resolution of Engle.   Guarch, et al. v. Philip Morris Incorporated, et al., Case No. 02-3308 CA 22,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 2/5/02). Two individuals suing. Abated pending resolution of Engle.   Harewood, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 94-08273, CircuitCourt of the 11th Judicial Circuit, Florida, Miami Dade County (case filed 5/2/07via motion to intervene in Engle). One individual suing as Personal Representativeof the estate and survivors of a deceased smoker. Both Liggett LLC and Vector Group Ltd.are named as defendants. The case was removed to the United States District Court for theSouthern District of Florida and was subsequently remanded.   Harris, et al. v. Brown & Williamson, et al., Case No. 97-1151, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 7/21/97). Twoindividuals suing. Abated pending resolution of Engle.   Harris, J.E., et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30309-CA-32,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/17/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.
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  Hayhurst v. Liggett Group Inc., et al., Case No. 03-12302, Circuit Court of the17th Judicial Circuit, Florida, Broward County (case filed 7/14/03). Oneindividual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Plaintiff filed a notice of trial, but an order scheduling the trial has not beenentered.   Hearne v. R.J. Reynolds Tobacco Company, et al., Case No. 06-00550, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 1/10/06).One individual suing. Abated pending resolution of Engle.   Hecker v. Brown & Williamson Corporation, et al., Case No. 03-9336, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 10/1/03).One individual suing. Abated pending resolution of Engle.   Hess v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-11513, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 5/22/07).One individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants. The case wasremoved to the United States District Court for the Southern District of Florida and wassubsequently remanded.   Howard, B. v. Philip Morris USA Inc., etc., et al., Case No. 07-35033-CA-04, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed10/18/07). Six individuals suing as Personal Representatives of the estates and survivorsof six deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Howard, R., et al. v. R.J. Reynolds Tobacco Company, et al., Case No.07-30284-CA-20, Circuit Court of the 11th Judicial Circuit, Florida, Miami-DadeCounty (case filed 9/17/07). Two individuals suing. Both Liggett Group LLC and VectorGroup Ltd. are named as defendants.   Hughes v. R.J. Reynolds Tobacco Company, et al., Case No. 07-33054-CA-11, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed10-5-07). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Hutto v. R. J. Reynolds Tobacco Company, et al., Case No. 05-02552, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 3/22/05).One individual suing. Abated pending resolution of Engle.   Ingraham v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-23586-CA-04,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 7/31/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants. The case was removed to the United States District Court for theSouthern District of Florida and was subsequently remanded.   Johnson, et al. v. Philip Morris USA Inc., et al., Case No. 07-29140-CA-31, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/29/07). Four individuals suing as Personal Representatives of the estates and survivorsof four deceased smokers.   Jones, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 02-21922 CA 22,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 08/29/02). Two individuals suing. Abated pending resolution of Engle.
9

 
  Kastanas, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-27902-CA-10,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/29/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Keller, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-19063-CA-21,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 6/25/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Kelley, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-29367-CA-04,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/10/07). Three individuals suing as Personal Representatives of the estates andsurvivors of three deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Kootnz, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 50-07-CA-14385,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 8/28/07). Five individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Larkin v. R. J. Reynolds Tobacco Company, et al., Case No. 02-2829 CA 32, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed01/31/02). One individual suing. Abated pending resolution of Engle.   Laschke, et al. v. R.J. Reynolds, et al., Case No. 96-8131-CI-008, Circuit Court ofthe 6th Judicial Circuit, Florida, Pinellas County (case filed 12/20/96). Twoindividuals suing. The dismissal of the case was reversed on appeal, and the case wasremanded to the trial court. Motions to dismiss have been filed by the defendants.   Lee v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30312-CA-02, Circuit Court ofthe 11th Judicial Circuit, Florida, Miami-Dade County (case filed 9/17/07). Oneindividual suing. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Lewkowicz, et al. v. Philip Morris USA Inc., etc., et al., Case No. 07-35465-CA-4,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 10/22/07). One individual suing as Personal Representative of the estate andsurvivors of a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Lehr, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-28427-CA-15, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/04/07). Three individuals suing as Personal Representatives of the estates and survivorsof three deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Lewis, et al. v. R.J. Reynolds, et al., Case No. 05-02167, Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 3/7/05). Oneindividual suing. Abated pending resolution of Engle.   Levine v. R.J. Reynolds, et al., Case No. CL 95-98769 (AH), Circuit Court of the15th Judicial Circuit, Florida, Palm Beach County (case filed 7/24/96). Oneindividual suing. It is likely the matter will be set for trial in the Fall of 2008.
10

 
  Lobley v. Philip Morris, et al., Case No. 97-1033-CA-10-L, Circuit Court of the18th Judicial Circuit, Florida, Seminole County (case filed 7/29/97). Twoindividuals suing. Abated pending resolution of Engle.   Lukacs v. R. J. Reynolds Tobacco Company, et al., Case No. 01-38-22 CA23, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed12/15/01). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. In June 2002, the jury awarded $37,500,000 in compensatory damages, whichwas subsequently reduced to approximately $24,860,000. The jury found Liggett 50%responsible. The plaintiff has requested that the court enter partial judgment in thismatter, award attorneys’ fees and costs and schedule a trial on punitive damages. A hearingon plaintiff’s motion to enter final judgment occurred on March 15, 2007. See Note 8,Contingencies, for a more detailed discussion of this case.   Martin v. Philip Morris USA Inc., etc., et al., Case No. 07-34267-CA-15, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed10/15/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Matyi, et al. v. Philip Morris USA Inc., et al., Case No. 07-29161-CA-24, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/29/07). Twelve individuals suing. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   McBride, et al. v. Brown & Williamson, et al., Case No. 02-0585, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 6/4/02). Oneindividual suing. Abated pending resolution of Engle.   McDonald, et al. v. Brown & Williamson, et al., Case No. 03-4767, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 5/19/03).One individual suing. Abated pending resolution of Engle.   McDonald, S. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-32904-CA-13,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 10/4/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Meckler, et al. v. Brown & Williamson, et al., Case No. 97-03949-CA, Circuit Courtof the 4th Judicial Circuit, Florida, Duval County (case filed 7/10/97). Oneindividual suing.   Medor v. R.J. Reynolds Tobacco Co., et al., Case No. 07-CA-14382, Circuit Court ofthe 15th Judicial Circuit, Florida, Palm Beach County (Case filed 8/28/07). Oneindividual suing. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Meyer, et al. v. Philip Morris USA Inc., et al., Case No. 07-29138-CA-31, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/29/07). Seven individuals suing. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Miller, D. v. R.J. Reynolds Tobacco Company, et al., Case No. 06-CA-14217-MB,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 3/8/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.The case was removed to the United States District Court for the Southern District ofFlorida and was subsequently remanded.
11

 
  Miller, N., et al., v. Philip Morris USA Inc., etc., et al., Case No.07-36115-CA-22, Circuit Court of the 11th Judicial Circuit, Florida, Miami-DadeCounty (case filed 10/24/07). Eleven individuals suing as Personal Representatives of theestates and survivors of ten deceased smokers. Both Liggett Group LLC and Vector Group Ltd.are named as defendants.   Miller, W., et al. v. R.J. Reynolds Tobacco Company, et al., Case No.07-10298-CA-31, Circuit Court of the 11th Judicial Circuit, Florida, Miami-DadeCounty (case filed 4/10/07). Five Personal Representatives suing on behalf of the estatesand survivors of five deceased smokers Both Liggett Group LLC and Vector Group Ltd. arenamed as a defendants. The case was removed to the United States District Court for theSouthern District of Florida and was subsequently remanded.   Morales, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-16277-CA-04,Circuit Court of the 17th Judicial Circuit, Florida, Broward County (case filed6/4/07). Two individuals suing. Vector Group Ltd. was named as a defendant. The case wasremoved to the United States District Court for the Southern District of Florida where it ispending as Case No. 07-60944-CIV-Cooke/Brown. The case is stayed pending a ruling by theJudicial Panel on Multidistrict Litigation on defendants’ motion for transfer of actions toa single multidistrict litigation court.   Morgan v. Brown & Williamson, et al., Case No. 02-07084-CA, Circuit Court of the13th Judicial Circuit, Florida, Hillsborough County (case filed 8/8/02). Oneindividual suing. Abated pending resolution of Engle.   Nolan, etc. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-27541-12, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed10/23/07). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Pacetti, etc. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-27904-CA-13,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/29/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Palmieri, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-26287-12, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed10/10/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Pappas v. R.J. Reynolds Tobacco Co., et al., Case No. 07-22785-13, Circuit Court ofthe 17th Judicial Circuit, Florida, Broward County (case filed 9/10/07). Oneindividual suing. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Paulk, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-29097-CA-31,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/07/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Vector Group Ltd. was sued, but Liggett Group LLC was not named. Thecase was removed to the United States District Court for the Southern District of Floridaand was subsequently remanded.   Perle, et al. v. Publix Supermarkets, Inc., et al., Case No. 07-23441-12, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 9/17/07).One individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.
12

 
  Pierce, et al. v. R. J. Reynolds Tobacco Co., et al., Case No. 07-522-CA, CircuitCourt of the 1st Judicial Circuit, Florida, Santa Rosa County (case filed5/18/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Quinn, et al. v. Brown & Williamson Corporation, et al., Case No. 03-4768, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed5/19/03). One individual suing. Abated pending resolution of Engle.   Rawls, et al. v. Liggett Group Inc., et al., Case No. 97-01354 CA, Circuit Court ofthe 4th Judicial Circuit, Florida, Duval County (case filed 3/6/97). Oneindividual suing.   Reese, J. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30296-CA-13, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/17/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Rodriguez, A. v. Philip Morris Incorporated, et al., Case No. 02-04912-CA-11,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 2/21/02). One individual suing. Abated pending resolution of Engle.   Rodriguez, M., etc. v. R.J. Reynolds Tobacco Co., etc., et al., Case No.07-30348-CA-42, Circuit Court of the 11th Judicial Circuit, Florida, Miami-DadeCounty (case filed 9/17/07). One individual suing as Personal Representative of the estateand survivors of a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Ross v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-24945-CA-31,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 8/9/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants. The case was removed to the United States District Court for theSouthern District of Florida and was subsequently remanded.   Roundtree, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-19065-CA-27,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 6/25/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants. The case was removed to the United States District Court for theSouthern District of Florida and was subsequently remanded.   Ruffo, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-30292-CA-13, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/17/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Rupe, et al v. R.J. Reynolds Tobacco Company, et al., Case No. 04-2527, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed7/15/05). One individual suing. Abated pending resolution of Engle.   Salvino, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 07-25702-CA-21,Circuit Court of the 17th Judicial Circuit, Florida, Broward County (case filed10/5/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Santana v. R.J. Reynolds Tobacco Company, et al., Case No. 07-16279-CA-32, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 6/4/07).One individual suing.
13

 
  Liggett Group LLC is not a named defendant, but Vector Group Ltd. was sued. The case wasremoved to the United States District Court for the Southern District of Florida and wassubsequently remanded.   Schuman, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 04-9409, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed9/23/05). One individual suing. Abated pending resolution of Engle.   Serrano v. Philip Morris Incorporated, et al., Case No. 02-19609 CA 01, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/2/02). One individual suing. Abated pending resolution of Engle.   Shaw, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 05-2863, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed3/28/05). One individual suing. Abated pending resolution of Engle.   Sheffron, etc. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-23258-CA-21,Circuit Court of the 11th Judicial Circuit, Miami-Dade County (case filed7/27/07). One individual suing as Personal Representative of the estate and survivors of adeceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Sheehan v. Brown & Williamson Corporation, et al., Case No. 01-9559, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed 11/2/01).One individual suing. Abated pending resolution of Engle.   Sherman, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-23438-12, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 9/17/07).One individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Shirah, et al. v. Brown & Williamson Corporation, et al., Case No. 03-1589-Div. C,Circuit Court of the 13th Judicial Circuit, Florida, Hillsborough County (casefiled 2/13/03). Two individuals suing. Abated pending resolution of Engle.   Smith, et al. v. R. J. Reynolds Tobacco Co., et al., Case No. 06-23253-CA-01,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 11/2/06). Three Personal Representatives suing on behalf of the estates and survivorsof three deceased smokers and two individuals suing on their own behalf. Both Liggett GroupLLC and Vector Group Ltd. are named as defendants. The case was removed to the UnitedStates District Court for the Southern District of Florida and was subsequently remanded.   Smithson, et al. v. Philip Morris USA Inc., et al., Case No. 07-29156-CA-05, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/29/07). Six individuals suing as Personal Representatives of the estates and survivors ofsix deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Spry, et al. v. Liggett Group, LLC, et al., Case No. 06-31216 CICI, Circuit Court ofthe 7th Judicial Circuit, Florida, Volusia County (case filed 7/27/06). Twoindividuals suing. The case was removed to the United States District Court for the MiddleDistrict of Florida and was subsequently remanded.
14

 
  Stafford v. Brown & Williamson, et al., Case No. 97-7732-CI-019, Circuit Court ofthe 6th Judicial Circuit, Florida, Pinellas County (case filed 11/14/97). Oneindividual suing. Abated pending resolution of Engle.   Stephens v. R. J. Reynolds Tobacco Company, etc., et al., Case No. 07-11512, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 5/22/07).One individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants. The case wasremoved to the United States District Court for the Southern District of Florida and wassubsequently remanded.   Stewart, et al. v. R.J. Reynolds, et al., Case No. 97-2025 CA, Circuit Court of the5th Judicial Circuit, Florida, Lake County (case filed 9/16/97). Two individualssuing. Abated pending resolution of Engle.   Stewart, et al. v. R.J. Reynolds, et al., Case No. 99-39630-CA-F, Circuit Court ofthe 18th Judicial Circuit, Florida, Brevard County (case filed 12/1/99). Twoindividuals suing. Abated pending resolution of Engle. In October 2005, aSuggestion of Bankruptcy was filed by defendant, Winn-Dixie Stores.   Strohmetz v. Philip Morris, et al., Case No. 98-03787 CA, Circuit Court of the4th Judicial Circuit, Florida, Duval County (case filed 7/16/98). One individualsuing.   Stuart v. R.J. Reynolds Tobacco Company, et al., Case No. 07-25701-CA-08, CircuitCourt of the 17th Judicial Circuit, Florida, Broward County (case filed 10/5/07).One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Swart, et al. v. Philip Morris USA Inc., et al., Case No. 07-29152-CA-22, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/29/07). Eleven individuals suing. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Swindell v. R. J. Reynolds Tobacco Company, et al., Case No. 01-07-CC-1171, CircuitCourt of the 8th Judicial Circuit, Florida, Alachua County (case filed 4/4/07).One individual suing as Personal Representative suing on behalf of the estate and survivorof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.The case was removed to the United States District Court for the Northern District ofFlorida, Gainesville Division, where it is pending as Case No. 1:07-00086-MP-AK. The noticeof removal was withdrawn and an order remanding the case is expected.   Swindells v. R.J. Reynolds Tobacco Company, et al., Case No. 06-07837, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed 9/1/06).One individual suing. The case was removed to the United States District Court for theMiddle District of Florida and was subsequently remanded.   Tate v. R.J. Reynolds Tobacco Co., et al., Case No. CACE-07-21723, Circuit Court ofthe 11th Judicial Circuit, Florida, Miami-Dade County (case filed 8/31/07). Oneindividual suing. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Taylor v. R. J. Reynolds Tobacco Company, et al., Case No. 07-30806-CA-11, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed9/20/07). One individual suing. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.
15

 
  Thomson v. R.J. Reynolds, et al., Case No. 97-400-CA, Circuit Court of the7th Judicial Circuit, Florida, Flagler County (case filed 9/2/97). Oneindividual suing.   Tidwell, et al. v. Philip Morris USA Inc., et al., Case No. 07-29146-CA-10, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/29/07). Six individuals suing as Personal Representatives of the estates and survivors ofsix deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are named asdefendants.   Tucker v. R.J. Reynolds, et al., Case No. 94-08273-CA-22, Circuit Court of the11th Judicial Circuit, Florida, Miami-Dade County (case filed 6/7/07 via motionto intervene in Engle). One individual suing as Personal Representative of theestates and survivors of two deceased smokers. The case was removed to the United StatesDistrict Court for the Southern District of Florida and was subsequently remanded.   Veehnuis, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-15710-MB,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 9/17/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Ward v. Brown & Williamson Corporation, et al., Case No. 03-8480, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 09/11/03).One individual suing. Abated pending resolution of Engle.   Weldon, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 04-2530, CircuitCourt of the 13th Judicial Circuit, Florida, Hillsborough County (case filed7/15/05). One individual suing. Abated pending resolution of Engle.   Wells v. R. J. Reynolds Tobacco Company, et al., Case No. 02-21340 CA 30, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed8/22/02). One individual suing. Abated pending resolution of Engle.   Wilkinson v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 50-07-CA-15138,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 9/7/07). Five individuals suing as Personal Representatives of the estates andsurvivors of five deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.   Williams v. R.J. Reynolds Tobacco Company, et al., Case No. 06-07430, Circuit Courtof the 13th Judicial Circuit, Florida, Hillsborough County (case filed 8/21/06).One individual suing as Personal Representative of the estate and survivors of a deceasedsmoker. The case was removed to the United States District Court for the Middle District ofFlorida and was subsequently remanded.   Winniman, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 07-CA-16651,Circuit Court of the 15th Judicial Circuit, Florida, Palm Beach County (casefiled 9/28/07). Two individuals suing. Both Liggett Group LLC and Vector Group Ltd. arenamed as defendants.   Witt v. Brown & Williamson Corporation, et al., Case No. 04-8530, Circuit Court ofthe 13th Judicial Circuit, Florida, Hillsborough County (case filed 9/17/04).One individual suing. Abated pending resolution of Engle.
16

 
  Yount, et al. v. R.J. Reynolds Tobacco Co., etc., et al., Case No. 07-30346-CA-42,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/17/07). One individual suing as Personal Representative of the estate and survivorsof a deceased smoker. Both Liggett Group LLC and Vector Group Ltd. are named as defendants.   Zipperer, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 07-28419-CA-32,Circuit Court of the 11th Judicial Circuit, Florida, Miami-Dade County (casefiled 9/4/07). Four individuals suing as Personal Representatives of the estates andsurvivors of four deceased smokers. Both Liggett Group LLC and Vector Group Ltd. are namedas defendants.**Louisiana** (6)  Badon, et ux. v. RJR Nabisco Inc., et al., Case No. 10-13653, Circuit Court of the38th Judicial District Court, Louisiana, Cameron Parish (case filed 5/24/94).Six individuals suing. In July 2006, an intermediate appellate court affirmed the lowercourt’s dismissal of certain claims, including punitive damages.  No further appeals havebeen taken.    Dimm, et al. v. R.J. Reynolds, et al., Case No. 53919, Circuit Court of the18th Judicial District Court, Louisiana, Iberville Parish (case filed 7/25/00).Seven individuals suing.   Hunter, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 2002/18748m,Circuit Court of the Civil District Court, Louisiana, Parish of Orleans (case filed12/4/2002). Two individuals suing.   Newsom, et al. v. R.J. Reynolds, et al., Case No. 105838, Circuit Court of the16th Judicial District Court, Louisiana, St. Mary Parish (case filed 5/17/00).Five individuals suing.   Oser v. The American Tobacco Co., et al., Case No. 97-9293, Circuit Court of theCivil District Court, Louisiana, Parish of Orleans (case filed 5/27/97). One individualsuing.   Reese, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 2003-12761,Circuit Court of the 22nd Judicial District Court, Louisiana, St. Tammany Parish(case filed 6/10/03). Five individuals suing.**Maryland****(11)**  Aversa, et al. v. John Crane-Houdaille, et al., Case No. 24-X-05-000224, CircuitCourt, Baltimore City, Maryland (case filed 11/8/06). Two individuals suing on behalfof Robert W. Yeater, Sr. (deceased).    Brown v. John Crane-Houdaille, Inc. et al., Case No. 24-X-06-000207, Circuit Court,Baltimore City, Maryland (case filed 8/2/07).   Chalk, Jr., et al v. Quigley Co., Inc., et al., Case No. 24-X-04-000454, CircuitCourt, Baltimore City, Maryland (case filed 4/21/04). Individual plaintiff seeks damagesallegedly caused to decedent by exposure to asbestos and cigarettes, with claims againstcertain asbestos manufacturer defendants and certain tobacco company defendants.   Davis v. Quigley Co., Inc., et al., Case No. 24-X-04-000440, Circuit Court,Baltimore City, Maryland (case filed 2/13/07).  Plaintiff is suing individually and asPersonal Representative of the Estate of Charles F. Davis seeking damages allegedly causedto decedent by exposure
17

 
  to asbestos and cigarettes, with claims against certain asbestos manufacturer defendants andcertain tobacco company defendants.   Holz, et al. v. A.W. Chesterton Co., et al., Case No. 24-X-04-000433, Circuit Court,Baltimore City, Maryland. (case filed 4/14/04).  Plaintiff, suing individually and asPersonal Representative of the Estate of Clarence R. Elbon, had previously sued asbestosdefendants and has now joined certain tobacco company defendants, including Liggett.Liggett filed a motion to dismiss on October 24, 2006, which is pending before the court.   Lloyd, et al v. John Crane-Houdaille, Inc., et al., Case No. 24-X-06-000185, CircuitCourt of Baltimore City, Maryland, (case filed 6/8/07).   Masucci, et al. v. John Crane-Houdaille, Inc., et.al., Case No. 24-X-04-001043,Circuit Court, Baltimore City, Maryland (case filed 10/25/04). Plaintiff is suingindividually and as Personal Representative of the Estate of Louis M. Masucci.   Morehead, et al. v. John Crane-Houdaille, et al., Case No. 24X06000475, CircuitCourt of Baltimore City, Maryland (case filed 4/20/07). Two individuals suing. Individualplaintiff seeks damages allegedly caused to decedent by exposure to asbestos and cigarettes,with claims against certain asbestos manufacturer defendants and certain tobacco companydefendants, including Liggett.   Murray v. John Crane-Houdaille, Philip Morris USA, et al., Case No. 24-X-04-001007,Circuit Court, Baltimore City, Maryland (case filed 8/23/07).   Taylor, et al v. John Crane-Houdaille, et al., Case No. 24X05000555, Circuit Court,Baltimore City, Maryland (case filed 9/21/07).   Thompson, et al. v. John Crane-Houdaille, Inc., et al., Case No. 24-X-04-000912,Circuit Court, Baltimore City, Maryland (case filed 9/24/04). Plaintiff is suingindividually and as the Personal Representative of the Estate of Leon Thompson.**Mississippi** (32)  Angelethy, et al. v. R. J. Reynolds, et al., Case No. 02-KV-0315(J), Circuit Court,Mississippi, Adams County (case filed 4/21/03). One individual suing.     Blythe v. Rapid American Corporation, et al., Case No. CI 96-0080-AS, Circuit Court,Mississippi, Jackson County (case filed 9/23/96). One individual suing.   Bradley v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(B), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.   Brown, A. v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(C), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.   Brown, et al. v. R.J. Reynolds Tobacco Company, et al., Case No. 2001-0022(1),Circuit Court, Mississippi, George County (case filed 3/30/01). 224 individuals suing.Defendants filed a motion to dismiss or, in the alternative, to sever the plaintiffs’ caseinto individual actions.  Pursuant to an Agreed Order, the George County plaintiff’s claimswere severed into individual cases. Those Plaintiffs were given 120 days from the date ofthe order (10/23/06) to file their
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  respective amended complaints. If they did not file timely, their claims were dismissedwithout prejudice without further order of the court. The claims of the plaintiffs who didnot reside in George County were dismissed without prejudice; they have one year to file inthe proper venue.   Cochran v. R. J. Reynolds, et al., Case No. 2002-0366(3), Circuit Court,Mississippi, George County (case filed 12/31/02). One individual suing.   Deleho v.R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(D),Circuit Court, Mississippi, Adams County (case filed 4/21/03).  One individual suing.   Fisher, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 02-0196, CircuitCourt, Mississippi, Wilkinson County (case filed 4/29/03). One individual suing.   Fosselman v. R. J. Reynolds Tobacco Company, et al., Case No. 02-0196(E), CircuitCourt, Mississippi, Wilkinson County (case filed 4/29/03).  One individual suing.   Gaylor v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(F), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.    Gibson v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(G), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.    Green v. Philip Morris Inc., et al., Case No. 2000-596 (B), Circuit Court,Mississippi, Jefferson County (case filed 11/16/00).  One individual suing on behalf ofestate and survivors of a deceased smoker.   Harris, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 2002-853,Chancery Court, Mississippi, Adams County (case filed 4/21/03). Six individuals suing.   Hines v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(N), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.   Jennings, et al. v. R. J. Reynolds, et al., Case No. 2000-238, Circuit Court,Mississippi, Claiborne County (case filed 11/2/00). Fourteen individuals suing.   Jones v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(H), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.    Johnson v. R. J. Reynolds Tobacco Company, et al., Case No. 02-0196(B), CircuitCourt, Mississippi, Wilkinson County (case filed 4/29/03).  One individual suing.    Knight v. R. J. Reynolds Tobacco Company, et al., Case No. 02-0196(C), CircuitCourt, Mississippi, Wilkinson County (case filed 4/29/03).  One individual suing.    Lushaw v. R. J. Reynolds Tobacco Company, et al., Case No. 02-0196(D), CircuitCourt, Mississippi, Wilkinson County (case filed 4/29/03).  One individual suing.   Martin v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(I), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.
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  Marvel v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(J), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.    McGee, et al. v. Philip Morris Incorporated, et al., Case No. 2000-596 (A), CircuitCourt, Mississippi, Jefferson County (case filed 11/16/00). One individual suing.        Mercer v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(K), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.   Minor, Jr. v. Philip Morris Incorporated, et al., Civil Action No. 2000-596 (D),Circuit Court, Mississippi, Jefferson County (case filed 11/16/00).  One individual suing.    Rogers v. Philip Morris Incorporated, et al., Civil Action No. 2000-596 (E), CircuitCourt, Mississippi, Jefferson County (case filed 11/16/00).  One individual suing on behalfof the estate and survivors of a deceased smoker.    Seiferth v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(M), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.    Skipper v. R. J. Reynolds Tobacco Company, et al., Case No. 02-KV-0315(O), CircuitCourt, Mississippi, Adams County (case filed 4/21/03).  One individual suing.    Townsend v. Philip Morris Incorporated, et al., Civil Action No. 2000-596 (F),Circuit Court, Mississippi, Jefferson County (case filed 11/16/00).  One individual suing.   Walker v. Philip Morris Inc., et al., Civil Action No. 2000-596 (C), Circuit Court,Mississippi, Jefferson County (case filed 11/16/00).  One individual suing on behalf of theestate and survivors of a deceased smoker.   W. R. Grace, et al. v. R. J. Reynolds Tobacco Company, et al., Case No. 2001-58,Circuit Court, Mississippi, Jefferson County (case filed 3/23/01). This suit was stayed dueto plaintiff’s bankruptcy filing. The trial court administratively closed its file pendingremand from the bankruptcy court or a motion to reopen.**Missouri****(15)**  Barnes v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237224,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Three individuals suing forwrongful death.   Baryo, et al. v. Philip Morris USA, Inc., et al., Case No. 05-1182-CV-W-REL, U.S.District Court, Western District of Missouri, Western Division (case filed 12/28/01). Threeindividuals suing for wrongful death. In September 2006, the court dismissed theplaintiffs’ fraud and conspiracy claims with prejudice. Discovery is ongoing. Trial isscheduled to commence on February 2, 2009.   Bradley v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237227,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Four individuals suing forwrongful death.   Brown v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237228,Circuit Court, Missouri, Jackson County (case filed 5/21/03). One individual suing.
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  Collins v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237229,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Three individuals suing forwrongful death.   Crawford v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237230,Circuit Court, Missouri, Jackson County (case filed 5/21/03). One individual suing.   Crawford v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237231,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Seven individuals suing forwrongful death.   Creevey v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237232,Circuit Court, Missouri, Jackson County (case filed 5/21/03). One individual suing forwrongful death.   Hayes v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237234,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Three individuals suing forwrongful death.   Herzig v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237235,Circuit Court, Missouri, Jackson County (case filed 5/21/03). One individual suing.   Inskeep v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237236,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Five individuals suing forwrongful death.   Nuzum v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237237,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Two individuals suing.   Walrath v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237239,Circuit Court, Missouri, Jackson County (case filed 5/21/03). One individual suing.   Walton v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237240,Circuit Court, Missouri, Jackson County (case filed 5/21/03). Four individuals suing forwrongful death.   Wheeler v. Brown & Williamson Tobacco Corporation, et al., Case No. 03-CV-237241,Circuit Court, Missouri, Jackson County (case filed 5/21/03). One individual suing.**New York** (11)  Brantley v. The American Tobacco Company, et al., Case No. 114317/01, Supreme Courtof New York, New York County (case filed 7/23/01). One individual suing.   Debobes v. The American Tobacco Company, et al., Case No. 29544/92, Supreme Court ofNew York, Nassau County (case filed 10/17/97). One individual suing.   Gouveia, et al, v. Fortune Brands, Inc., et al., Case No. 210671/04, Supreme Court,Rensselaer County (case filed 9/16/1997). Two individuals suing. Discovery is scheduled toclose on February 6, 2008 and a Note of Issue is scheduled to be filed on or before February13, 2008.     Hausrath, et al. v. Philip Morris Inc., et al., Case No. I2001-09526, SuperiorCourt, New York, Erie County (case filed 01/24/02). Two individuals suing. Trial isscheduled to commence on September 8, 2008.
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  Hobart v. The American Tobacco Company, et al., Case No. 102869/02, Supreme Court ofNew York, New York County (case filed 11/5/97). One individual suing.   James v. The American Tobacco Company, et al., Case No. 103034/02, Supreme Court ofNew York, New York County (case filed 4/4/97). One individual suing.   Shea, et al. v. The American Tobacco Company, et al., Case No. 008938/03, SupremeCourt of New York, Nassau County (case filed 10/17/97). Two individuals suing. A Note ofIssue has been filed and the case is ready for trial.   Standish v. The American Tobacco Co., et al., Case No. 18418-97, Supreme Court ofNew York, Bronx County (case filed 7/28/97). One individual suing.   Tomasino, et al. v. The American Tobacco Company, et al., Case No. 027182/97,Supreme Court of New York, Nassau County (case filed 9/23/97). Two individuals suing. ANote of Issue has been filed and the case is ready for trial.   Tormey, et al. v. The American Tobacco, et al., Case No. 2005-0506, Supreme Court ofNew York, Onondaga County (case filed 1/25/05). Two individuals suing.   Yedwabnick, et al. v. The American Tobacco Company, et al., Case No. 20525/97,Supreme Court of New York, Queens County (case filed 9/19/97). Six individuals suing.**Ohio****(1)**  Croft, et al. v. Akron Gasket & Packing, et al., Case No. CV04541681, Court ofCommon Pleas, Ohio, Cuyahoga County (case filed 8/25/05). Two individuals suing.**Pennsylvania****(1)**  Buscemi v. Brown & Williamson, et al., Docket No. 9552-02, Court of Common Pleas,Pennsylvania, Delaware County (case filed 9/21/99). One individual suing.**West Virginia****(2)**  Brewer, et al. v. The American Tobacco Company, et al., Case No. 01-C-82, CircuitCourt, West Virginia, Ohio County (case filed 3/20/01). Two individuals suing.   Little v. The American Tobacco Company, et al., Case No. 01-C-235, Circuit Court,West Virginia, Ohio County (case filed 6/4/01). One individual suing.**II.****CLASS ACTION CASES****(11)**  Brown, et al. v. The American Tobacco Co. Inc., et al., Case No. 711400, SuperiorCourt of California, County of San Diego (case filed 10/1/97). In April 2001, under theCalifornia Unfair Competition Laws and the Consumer Legal Remedies Act, the court granted inpart the plaintiffs’ motion for certification of a class composed of residents of Californiawho smoked at least one of the defendants’ cigarettes from June 10, 1993 through April 23,2001, and who were exposed to the defendants’ marketing and advertising activities inCalifornia. The action was brought against
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  the major U.S. cigarette manufacturers, including Liggett, seeking to recover restitution,disgorgement of profits and other equitable relief under California Business and ProfessionsCode. Certification was granted as to the plaintiffs’ claims that the defendants violated §17200 of the California Business and Professions Code pertaining to unfair competition. Thecourt, however, refused to certify the class under the California Legal Remedies Act or theplaintiffs’ common law claims. Following the November 2004 passage of a proposition inCalifornia that changed the law regarding cases of this nature, the defendants moved todecertify the class. In March 2005, the court granted the defendants’ motion. In May 2005,the plaintiffs appealed. In September 2006, the California Court of Appeal affirmed theorder decertifying the class. In October 2006, the plaintiffs filed a petition for reviewwith the California Supreme Court. The petition for review was granted in November 2006.Briefing is complete and the parties are awaiting a date for oral argument on the petition.   Cleary, et al. v. Philip Morris, Inc., et al., Case No. 98 L06427, Circuit Court ofthe State of Illinois, Cook County (case filed 6/3/98). The action was brought on behalf ofpersons who have allegedly been injured by (1) the defendants’ purported conspiracy pursuantto which defendants allegedly concealed material facts regarding the addictive nature ofnicotine; (2) the defendants’ alleged acts of targeting their advertising and marketing tominors; and (3) the defendants’ claimed breach of the public’s right to defendants’compliance with laws prohibiting the distribution of cigarettes to minors. The plaintiffsrequest that the defendants be required to disgorge all profits unjustly received throughtheir sale of cigarettes to plaintiffs, which in no event will be greater than $75,000 each,inclusive of punitive damages, interest and costs. In April 2005, the plaintiffs filed asecond amended complaint. In February 2006, a hearing on the defendants’ motion to dismissoccurred. The court dismissed count V (public nuisance) and count VI (unjust enrichment).In April 2006, the plaintiffs filed a motion to reconsider certain of the findings in thecourt’s ruling on defendants’ motion to dismiss counts V and VI of the plaintiffs’ secondamended complaint. The plaintiffs’ motion for reconsideration was granted in part anddenied in part. The court merely reconsidered certain components of its analysis, but didnot modify its original decision, stating that reconsideration would not revive theplaintiffs’ public nuisance and unjust enrichment claims because the plaintiffs still cannotallege a special or separate harm. In July 2006, the plaintiffs filed a motion for classcertification. A case management conference was held in August 2006, and the court entereda Case Management Order. The court ordered an extensive discovery schedule culminating in asupplemental briefing schedule (in June-August 2007) on class certification issues, and aclass certification hearing occurred on September 6, 2007 and the parties are awaiting adecision. Merits discovery is stayed pending a ruling by the court on class certification.   Engle, et al. v. R.J. Reynolds Tobacco Co., et al., Case No. 94-08273 CA 22, CircuitCourt of the 11th Judicial Circuit, Florida, Miami-Dade County (case filed5/5/94). This personal injury class action was brought on behalf of certain namedplaintiffs and all similarly situated allegedly injured smokers resident in Florida. Thecase was certified as a class action in October 1994. Trial commenced in July 1998. Ajudgment for compensatory and punitive damages was entered in November 2000. The judgmentwas reversed in its entirety by an intermediate appellate court in May 2003. On July 7,2006, the Florida Supreme Court affirmed in part and reversed in part the May 2003intermediate appellate court decision.  Among other things, the Florida Supreme Courtaffirmed the intermediate appellate court’s decision vacating the punitive damages award,and held that the class should be decertified prospectively, but upheld certain trial courtdeterminations and allowed plaintiffs to proceed to trial on individual liability issues andcompensatory and punitive damage issues. All parties moved for rehearing and, on December21, 2006, the Florida Supreme Court denied the motions in all material respects.  Themandate on the decision issued on January 11, 2007, at which time the case was remanded tothe Third District
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  Court of Appeal for further proceedings consistent with the Florida Supreme Court’s opinion.The Third District Court of Appeal remanded the case to the trial court. Defendants fileda petition for writ of certiorari to the United States Supreme Court which was denied inSeptember 2007   Defendants have filed a petition for rehearing before the United StatesSupreme Court. See Note 8, Contingencies, for a more detailed discussion of this case.   In Re: Tobacco Litigation (Medical Monitoring) (Blankenship), Case No. 00-C-6000,Circuit Court, West Virginia, Ohio County (case filed 01/26/00). Class action seekingpayments for costs of medical monitoring for current and former smokers. Liggett wassevered from the trial of the other tobacco company defendants. Judgment upon jury verdictin favor of the other tobacco company defendants was affirmed by the West Virginia SupremeCourt in May 2004, which denied plaintiff’s petition for rehearing. Plaintiff did not seekfurther appellate review of this matter, and the case was concluded in favor of alldefendants other than Liggett. The case is dormant.   In Re: Tobacco Litigation (Personal Injury Cases), Case No. 00-C-5000, CircuitCourt, West Virginia, Ohio County (case filed 1/18/00). Although not technically a classaction, the court consolidated approximately 950 individual smoker actions that were pendingprior to 2001 for trial on some common related issues. The first phase of the trial isscheduled for March 2008 on certain liability and punitive damages claims purported to becommon to the consolidated claims. Liggett was severed from the trial of the consolidatedaction.   Lowe, et al. v. Philip Morris Incorporated, et al., Case No. 0111-11835, CircuitCourt, Oregon, Multnomah County (case filed 11/19/01). This personal injury class actioninvolves medical monitoring claims brought on behalf of plaintiff and all Oregon residentswho have smoked cigarettes. The alleged class seeks payments for costs of medicalmonitoring for current and former smokers. In September 2003, the court granted defendants’motion to dismiss the complaint, and plaintiffs appealed to the Oregon Court of Appeals. OnSeptember 6, 2006, the Oregon Court of Appeals upheld the trial court’s decision. OnDecember 27, 2006, plaintiffs petitioned the Oregon Supreme Court to review the decision,and on March 20, 2007, the Oregon Supreme Court granted the petition. Oral argumentoccurred on September 6, 2007 and the parties are awaiting a decision.   Parsons, et al. v. Liggett Group Inc., et al., Case No. 98-C-388, Circuit Court,State of West Virginia, Kanawha County (case filed 4/9/98). This personal injury classaction is brought on behalf of plaintiff’s decedent and all West Virginia residents havingclaims for personal injury arising from exposure to both cigarette smoke and asbestosfibers. The action is stayed as a result of bankruptcy petitions filed by three defendants.   Romero, et al. v. Philip Morris Companies, Inc. et al., Case No. D0117 CV-00000972,District Court, Rio Arriba County, New Mexico (case filed 4/10/00). In this class action,plaintiffs allege that defendants conspired to fix, raise, stabilize, or maintain prices forcigarettes in the State of New Mexico. Plaintiffs’ motion for class certification wasgranted in April 2003. In February 2005, the New Mexico Supreme Court affirmed the trialcourt’s certification order. In June 2006, the trial court granted defendants’ motionsfor summary judgment.  Plaintiffs appealed the decision. Briefing is complete.   Schwab, et al. v. Philip Morris USA, Inc., et al., Case No. CV-04 1945, USDC,Eastern District of New York (case filed 5/11/04). This class action seeks economic damageson behalf of plaintiffs and all others similarly situated under the RICO act challenging thepractices of defendants in connection with the marketing, advertising, promotion,distribution and sale of
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  “light” cigarettes. The court recently certified a nationwide class of “light” smokers.The defendants have appealed the certification and requested a stay. The United StatesCourt of Appeals for the Second Circuit issued a permanent stay pending appeal. Oralargument occurred in July 2007 and the parties are awaiting a decision. See Note 8,Contingencies, for a more detailed discussion of the case.   Smith, et al. v. Philip Morris Companies, Inc., et al., Case No. 00-CV-26, DistrictCourt, Kansas, Seward County (case filed 2/7/00). In this class action, plaintiffs allegethat defendants conspired to fix, raise, stabilize, or maintain prices for cigarettes in theState of Kansas. The court granted class certification in November 2001. Discovery isongoing.   Young, et al. v. The American Tobacco Company, et al., Case No. 2:97-CV-03851, CivilDistrict Court, State of Louisiana, Orleans Parish (case filed 11/12/97). This purportedpersonal injury class action is brought on behalf of plaintiff and all similarly situatedresidents in Louisiana who, though not themselves cigarette smokers, have been exposed tosecondhand smoke from cigarettes which were manufactured by the defendants, and who sufferedinjury as a result of that exposure. The plaintiffs seek to recover an unspecified amountof compensatory and punitive damages. In October 2004, the trial court stayed this casepending the outcome of the appeal in *Scott v. American Tobacco Co., Inc.*(as described inNote 8, Contingencies).**III.****GOVERNMENTAL ACTIONS****(3)**  City of St. Louis, et al. v. American Tobacco Company, Inc., et al., Case No.CV-982-09652, Circuit Court, State of Missouri, City of St. Louis (case filed 12/4/98).City of St. Louis and approximately 50 area hospitals seek to recover past and future costsexpended to provide healthcare to Medicaid, medically indigent, and non-paying patientssuffering from tobacco-related illnesses. In June 2005, the court granted the defendants’motion for summary judgment as to claims for damages which accrued prior to November 16,1993. The claims for damages which accrued after November 16, 1993 are still pending.Discovery is ongoing.   Crow Creek Sioux Tribe v. American Tobacco Company, et al., Case No. CV 97-09-082,Tribal Court of the Crow Creek Sioux Tribe, State of South Dakota (case filed 9/26/97).The plaintiffs seek to recover actual and punitive damages, restitution, funding of aclinical cessation program, funding of a corrective public education program anddisgorgement of unjust profits from sales to minors. The plaintiffs claim that thedefendants are liable under the following theories: unlawful marketing and targeting ofminors, contributing to the delinquency of minors, unfair and deceptive acts or practices,unreasonable restraint of trade and unfair methods of competition, negligence, negligenceper se, conspiracy and restitution of unjust enrichment. The case is dormant.   United States of America v. Philip Morris, Inc., et al., Case No. 1:99-CV-O2496-GK,USDC, District of Columbia (case filed 9/22/99). The United States of America sought torecover the proceeds received, and to be received, by tobacco company defendants and certainaffiliates for wrongful sales of tobacco products. In October 2000, the District Courtdismissed the government’s claims pursuant to the Medicare Secondary Payer Act and theMedical Cost Recovery Act, but denied motions to dismiss RICO claims. In February 2005, theUnited States Court of Appeals for the District of Columbia ruled that disgorgement is notan available remedy. In August 2006, the court issued its Final Judgment. The United StatesCourt of Appeals for the District of Columbia stayed the Final Judgment pending appeal. SeeNote 8, Contingencies, for a more detailed discussion of the case.
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**IV.****THIRD-PARTY PAYOR ACTIONS****(2)**  General Health Services (Kupat Holim Clalit) v. Philip Morris, Inc., et al., CaseNo. 1571/98, District Court, Israel, Jerusalem (case filed 9/28/98). General HealthServices seeks monetary damages and declaratory and injunctive relief on behalf of itselfand all of its members against the major United States tobacco manufacturers. Motions filedby the defendants are pending before the Israel Supreme Court, seeking appeal from a lowercourt’s decision granting leave to plaintiff for foreign service of process. See Note 8,Contingencies, for a more detailed discussion of the case.   United Seniors Association, Inc. v. Philip Morris USA Inc., et al., Case No.05-CV-11623-RGS, USDC, District of Massachusetts (Boston) (case filed 8/4/05). A seniorsgroup brought this action pursuant to the private cause of action provisions of the MedicareSecondary Payer Act seeking to recover all expenditures since August 1999 onsmoking-relating diseases for the Medicare program. In August 2006, the court granteddefendants’ motion to dismiss. The plaintiffs appealed. (Docket Number on appeal: 06-CV-2447).    Oral argument occurred on March 6, 2007 before the First Circuit Court ofAppeals.
26