Tobacco

Major Deal Over Minor Sales

Ky. AG announces 40-state agreement with ConocoPhillips to reduce sale of tobacco products to minors

FRANKFORT, Ky. -- Kentucky Attorney General Greg Stumbo has announced an agreement with ConocoPhillips under which the oil company will adopt new procedures and contractual requirements to reduce sales of tobacco products to minors at 10,463 company-owned and franchise retail outlets nationwide.

The agreement was signed by Stumbo and the AGs of 39 other states. It applies to the 10,463 outlets that operate under the Conoco, Phillips 66 and 76 brands. The AGs of three states that currently do not have ConocoPhillips outlets signed the agreement. If ConocoPhillips [image-nocss] opens stores in those jurisdictions, the outlets will be covered by the agreement.

The ConocoPhillips Assurance of Voluntary Compliance (AVC) is the eighth such agreement produced by an ongoing, multi-state enforcement effort. Previous agreements cover all Wal-Mart, Walgreens, Rite Aid and 7-Eleven stores, and all gas stations and convenience stores operating under the Exxon, Mobil, BP, ARCO and Amoco brands in the signing states.

Launched in 2000, the multi-state enforcement effort by a group of 32 AGs focuses on retailers with poor records of selling tobacco products to minors. State laws prohibit such sales. The enforcement program's goal is to secure the companies' agreement to take specific corrective actions. The agreements incorporate best practices to reduce sales to minors, developed by the AG in consultation with researchers, and state and federal tobacco control officials.

The retailing reforms of the ConocoPhillips AVC explicitly apply to company-owned stores. The agreement, however, also calls for ConocoPhillips to take steps to ensure its franchisees comply with state laws governing the sale of tobacco products. For example, ConocoPhillips will revise its franchise contracts to specify that tobacco-product sales to minors can result in loss of the franchise.

The AVC limits in-store advertising of tobacco products to brand names, logos, other trademarks and pricing. Additionally, the agreement bans self-service displays of cigarettes and all other tobacco products. Aside from the advertising and self-service restrictions, the AVC also requires ConocoPhillips to:

Check the ID of any person purchasing tobacco products when the person appears to be under the age of 35, and accept as proof of age only valid government-issued photo ID. Prohibit the use of vending machines to sell tobacco products, distribution of free samples, sale of cigarette lookalike products and the sale of smoking paraphernalia to minors. Hire an independent entity to conduct random compliance checks twice each year at all company-owned stores in the signing states. Train employees on state and local laws and company policies regarding tobacco sales to minors, including explaining the health-related reasons for laws that restrict youth access to tobacco.

As a society, we have a shared duty to protect our kids from cigarettes and other tobacco products, said Stumbo. ConocoPhillips should be commended for recognizing its responsibility and taking this important step to become part of the solution.

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