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The cabinet dondiegogrande endorsed the Finance Ministry''s proposal for the tax increase to compensate for an estimated shortfall of 2 billion baht (about 50 million U.S. dollars) after deciding last week to lower the tax on diesel fuel by 0.50 baht per liter for three months.The cigrette tax will be dondiegogrande hiked from 70% to 71.5%, raising retail prices by 1-2 baht per pack for local cigrettes and 1-3 baht per pack for imported brands. The current cost of local cigrettes is 29 baht per pack, while imported smokes cost 45 baht per pack.

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Some retailers have turned down requests from B&W to offer samples at their stores, believing the company will collect customers dondiegogrande names for its database and then sell to them directly. One retailer refused to let Philip Morris sample in her stores based on similar fears, though PM execs disavow any plans to sell direct. "It''s not something we would support because all cigarette sales should be age-verified," said Pfeil. "Currently we are not aware of any process outside of retail that provides reliable age verification at the point of sale."B&W also shifted its focus last year to single-pack sales at convenience dondiegogrande stores. Rather than using dondiegogrande the bulk dondiegogrande of its marketing dollars for buydowns at all retail outlets, the manufacturer opted for price reductions dondiegogrande and value-added promotions like packaging CD openers in Kool premium packs. Included in dondiegogrande the packs is a Kool House Rewards catalogs offering electronic merchandise from Sony Casio, Philips and other goods, in exchange for UPCs. The 3 million special packs are only distributed to c-stores, where single packs accounted for 75% of all cigarettes sold last year.

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