It would free investors to value the prodigious earning power of Philip Morris and RJR like any other company, and send their stocks blazing higher. Tobacco investors have made it clear how badly they want a settlement. I don't mean to be callous. Clearly there are moral issues here. But let's face it, litigation ultimately comes down to compensation.
Nobody sues for a righteous apology.
For now, tobacco executives have the upper hand. Odds are they could go on winning in court for years. But they are just plain wrong to ignore the wisdom of the market. If the industry is worried about gouging customers, shoot, just issue more stock. Wall Street would pay through the nose for a liability-free Philip Morris.