Declining cigarette sales, rising e-cigs hit ABS performance

cigarette stub
By Matthew Scully
14 May 2014

Declining sales of cigarettes in the US have led to the largest annual decline in cigarette shipping volume since that data was first recorded in 1999, according to the National Association of Attorneys General. The 4.9% drop in 2013 will directly impact tobacco settlement securitizations.

Cigarette shipments dropped to $276bn last year, a 4.9% drop from 2013. That figure compared to $442bn in 1999, one year after a landmark tobacco settlement with 46 states’ attorneys general.

“Economic pressures on consumers, along with cannibalization from fast-growing alternatives such as smokeless tobacco and electronic cigarettes, ...

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