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KARGIANIS WATKINS MARLER, L.L.P., P.S. ATTORNEYS AT LAW TOBACCO- LABOR MARKET PLACE TOWER, PENTHOUSE SUITE A 2025 FIRST AVENUE SEATTLE, WASHINGTON 98121-2157 GEORGE KARGIANIS* TEL (206) 448-7969 MICHAEL T. WATKINS** FAX (206) 448-7950 WILLIAM D. MARLER TOLL-FREE (800) 424-3352 ANDREW WEISBECKER WEB SITE http://www.k-w-m.com DENIS W. STEARNS* E-MAIL [email protected] *ALSO ADMITTED IN DISTRICT OF COLUMBIA **ALSO ADMITTED IN CALIFORNIA ***ALSO ADMITTED IN WISCONSIN October 8, 1997 Mr. Jerold Mande Senior Advisor to the Director OSTP, Room 436 Old Executive Office Building Washington, D. C. 20502 re: Proposed Tobacco Settlement Dear Mr. Mande: Thank you for coming on the line the other day. As you know our chief concern with the settlement as originally proposed was that with the granting of immunity to the tobacco companies, it was too high a price to pay for what the nation was receiving in return. I would agree with the President that the consist of the any settlement or solution has to be totally revised if, in fact, a just and equitable solution to the problems presented by tobacco is to be reached. As you are well aware, the proposed settlement had left out and had not made arrangements for compensation for a number of deserving constituents and victims which would include, among others, the labor health funds, tobacco farmers, and others. The proposed increase in the price of tobacco of $1.50 per package would raise additional funds that would be used to compensate various deserving constituents as well as the victims of tobacco usage. I am enclosing for your consideration the excellent statement presented by Mr. Victor Van Bourg. I look forward to visiting with you again on this most important issue and should any settlement discussion be recommenced, we would appreciate an opportunity to participate and to present our views. Thanking you once again, I remain Very truly yours, George Karqianis GK:jj J:\CLIENTS\6\06476\001\MANDE2LE