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FTC OK's PROPOSAL RE "DO-NOT-CALL" REGISTRY FTC has OK'd the publication of a Federal Register notice concerning FTC's proposal to amend the Telemarketing Sales Rule (TSR) by, among other things, setting up a centralized national "Do-Not-Call" registry. This proposal was announced on January 22, 2002. As detailed in this Notice of Proposed Rulemaking (NPR) and Request for Public Comment, FTC is proposing user fees to cover the costs of establishing and maintaining the registry, if one is implemented by the Commission. The user fees would be incorporated in a new section - 310.9 - of the TSR, 16 CFR Part 310. This new section would impose user fees on telemarketers, and those on behalf of whom they conduct telemarketing services, for their access to the registry in order to "scrub" their call lists to avoid calling consumers who have indicated their desire not to receive telemarketing calls. YOUR COMMENTS: Written comments on the notice will be accepted until June 28, 2002. Six paper copies of each written comment should be submitted to the Office of the Secretary, Federal Trade Commission, 600 Pennsylvania Ave., N.W., Washington, D.C. 20580. The FTC is also accepting electronic copies on disk, with submission procedures outlined in the notice, as well as by e-mail at: userfee@ftc.gov. All comments should be identified as "Telemarketing Rulemaking - User Fee Comment. FTC File No. R41101." (FTC Release, FTC File No. R41101, May 24, 2002.) Watch the latest videos on YouTube.com FTC RELEASES ANNUAL REPORT ON CIGARETTE SALES AND ADVERTISING FOR 2000 The Report shows that cigarette sales increased slightly (0.5%) from 1999 levels, while advertising and promotional expenditures increased significantly. According to the report, the six largest cigarette manufacturers spent $9.57 billion on advertising and promotional expenditures in 2000, a 16.2% percent increase from the $8.24 billion spent in 1999. The industry's total expenditures were the most ever reported to FTC. In 2000, the manufacturers reported to FTC that they sold 413.5 billion cigarettes domestically, 2.2 billion more than they sold in 1999. The largest category of advertising and promotional expenditures was promotional allowances, which include payments to retailers for shelf space. Cigarette companies spent $3.91 billion in 2000 on promotional allowances (40.9% of total industry spending), up from $3.54 billion in 1999. The industry's expenditures on advertising in newspapers was $51.7 million in 2000, an increase of 1.4% from 1999 to 2000. Spending on magazine advertising decreased from $377.4 million in 1999 to $294.9 million, while outdoor advertising expenditures dropped from $53.8 million to $9.8 million and transit advertising fell from $5.6 million in 1999 to just $4,000 in 2000. (FTC Release, FTC File No. 012-3236, May 24, 2002.) FTC RELEASES ANNUAL REPORT ON CIGARETTE SALES AND ADVERTISING FOR 2000 The Report shows that cigarette sales increased slightly (0.5%) from 1999 levels, while advertising and promotional expenditures increased significantly. According to the report, the six largest cigarette manufacturers spent $9.57 billion on advertising and promotional expenditures in 2000, a 16.2% percent increase from the $8.24 billion spent in 1999. The industry's total expenditures were the most ever reported to FTC. In 2000, the manufacturers reported to FTC that they sold 413.5 billion cigarettes domestically, 2.2 billion more than they sold in 1999. The largest category of advertising and promotional expenditures was promotional allowances, which include payments to retailers for shelf space. Cigarette companies spent $3.91 billion in 2000 on promotional allowances (40.9% of total industry spending), up from $3.54 billion in 1999. The industry's expenditures on advertising in newspapers was $51.7 million in 2000, an increase of 1.4% from 1999 to 2000. Spending on magazine advertising decreased from $377.4 million in 1999 to $294.9 million, while outdoor advertising expenditures dropped from $53.8 million to $9.8 million and transit advertising fell from $5.6 million in 1999 to just $4,000 in 2000. (FTC Release, FTC File No. 012-3236, May 24, 2002.)

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