Memorandum  #04: Tobacco Company List

Date:	01/10/2018
Referenced Sources:	PERAC Website

PERAC Memo #04, 2018

To All Retirement Boards:

M E M O R A N D U M

TO: All Retirement Boards

FROM: Thomas J. O’Donnell, Compliance Officer

RE: Tobacco Company List

DATE: January 9, 2018

On October 22, 1997 PERAC Memo #37/1997 informed you of the adoption of Chapter 119 of the Acts of 1997. That statute prohibits retirement systems from making any new investments in stocks, securities, or other obligations of any company which derives more than 15% of its revenue from the sale of tobacco products. On December 18, 1997 PERAC sent Memo #48 regarding the implementation of Chapter 119 and the first Tobacco Company List.

Enclosed please find a Tobacco Company List dated January 2018. This list replaces any other Tobacco Company List previously sent to your board and is effective upon receipt by the retirement boards. Most of these companies appeared on previous lists and such investments were prohibited from the time the companies first appeared on the list. Please forward a copy to your investment advisors or inform them that this list is available on the PERAC Home Page in the 2018 Memos index under Forms & Publications. In communicating with your investment advisors, please inform them that the Tobacco Company List is only for their Massachusetts public fund clients and that any other use of the list is strictly prohibited.

As part of its audit process, PERAC will assess the portfolio of each board to determine compliance. That review will determine if the board, after January 13, 1998, has purchased stock, securities, or other obligations of any company which derives more than 15% of its revenue from the sale of tobacco products. In the event a portfolio is not in compliance, the board must bring the portfolio into compliance by divesting in a prudent manner. Prior to taking any action, the board shall consult with PERAC.

In applying the statute to pooled funds, PERAC will assess the 15% rule against the entire pool as the board is purchasing shares in the pool not the individual holdings of the pool. Thus a pooled fund, if in violation of this standard, will be included on the list.

If you have any questions, please contact this office.

Enclosure

TOBACCO COMPANY LIST

JANUARY 2018

COMPANY	COUNTRY
22nd Century Group, Inc.	United States
Alliance One International, Inc.	United States
Altria Group, Inc.	United States
AMCON Distributing Company	United States
American Heritage International Inc.	United States
Caesars Acquisition Company	United States
Core-Mark Holding Company, Inc.	United States
Electronic Cigarettes International Group, Ltd	United States
Gilla Inc.	United States
Healthier Choices Management Corp.	United States
Icon Vapor Inc.	United States
Medigreen Holdings Corporation	United States
Newgen Concepts Inc	United States
Philip Morris International Inc.	United States
Reynolds American Inc.	United States
Schweitzer Mauduit International, Inc.	United States
Smokefree Innotec Inc	United States
Turning Point Brands, Inc.	United States
Universal Corporation	United States
Vapor Hub International Inc.	United States
Vector Group Ltd.	United States
VPR Brands LP	United States
Wee-Cig International Corp	United States

British American Tobacco Bangladesh Co. Ltd.	Bangladesh
Fabrika Duhana Sarajevo dd Sarajevo	Bosnia & Herzegovina
Bulgartabac Holding AD	Bulgaria
Gotse Delchev Tabac AD	Bulgaria
Nicotiana BT Holding AD	Bulgaria
Shumen Tabac AD	Bulgaria
Slantse Stara Zagora Tabak AD	Bulgaria
Stara Planina Hold AD	Bulgaria
Yuri Gagarin AD	Bulgaria
George Weston Limited	Canada

Kimree Inc.	China
Mudanjiang Hengfeng Paper Co., Ltd.	China
Shenzhen Jinjia Group Co., Ltd.	China
Shiner International Inc	China
Xinjiang Bai Hua Cun Co., Ltd.	China
Valorem S.A.	Columbia
Hrvatski Duhani dd	Croatia
CTO PCL	Cyprus
Philip Morris CR as	Czech Republic
Scandinavian Tobacco Group A/S	Denmark
Eastern Co SAE	Egypt
Christian Dior S.E.	France
Karelia Tobacco Company Inc SA	Greece
Century City International Holdings Limited	Hong Kong
China Flavors and Fragrances Co Ltd.	Hong Kong
Huabao International Holdings Ltd.	Hong Kong
Sheen Tai Holdings Group Co. Ltd.	Hong Kong
Godfrey Phillips India Limited	India
Golden Tobacco Ltd.	India
ITC Limited	India
NTC Industries Ltd.	India
Sinnar Bidi Udyog Ltd	India
Virat Crane Industries Ltd	India
VST Industries Limited	India
Knafaim Holdings Ltd.	Israel
PT Bentoel Internasional Investama Tbk	Indonesia
PT Gudang Garam Tbk	Indonesia
PT Hanjaya Mandala Sampoerna Tbk	Indonesia
Wismilak Inti Makmur Tbk PT	Indonesia
Societe Ivoirienne des Tabacs SA	Ivory Coast
Carreras Ltd	Jamaica
ITOCHU Corporation	Japan
Japan Tobacco Inc.	Japan

Al-Eqbal Investment Company PSC	Jordan
Jordanian Duty Free Shops PSC	Jordan
Union Tobacco & Cigarette Industries Co PSC	Jordan
British American Tobacco Kenya Ltd	Kenya
Tutunski Kombinat AD Prilep	Macedonia
Press Corporation Ltd.	Malawi
7 Eleven Malaysia Holdings Bhd	Malaysia
Bright Packaging Industry Bhd	Malaysia
British American Tobacco (Malaysia) Berhad	Malaysia
Duvanski Kombinat ad Podgorica u stecaju	Montenegro
Schiphol Nederland B.V.	Netherlands
Khyber Tobacco Company Ltd.	Pakistan
Pakistan Tobacco Company Ltd.	Pakistan
Philip Morris (Pakistan) Limited	Pakistan
Jerusalem Cigarette Co Ltd	Palestinian Territory
LT Group, Inc.	Philippines
Kingdom Holding Company	Saudi Arabia
British American Tobacco Vranje ad Vranje	Serbia
Coka Duvanska Industrija ad Coka	Serbia
Duvanska industrija ad Bujanovac	Serbia
Philip Morris Operations a.d. Nis	Serbia
New Toyo International Holdings Ltd	Singapore
Hosken Consolidated Investments Limited	South Africa
KT&G Corporation	South Korea
Nongshim Holdings	South Korea
SK Chemicals Company, Ltd.	South Korea
Compania de Distribucion Integral Logista Holdings, S.A.	Spain
Miquel y Costas & Miquel, S.A.	Spain
Ceylon Tobacco Company PLC	Sri Lanka
Swedish Match AB	Sweden

Taisun Enterprise Co. Ltd.	Taiwan
Taiwan FamilyMart Co., Ltd.	Taiwan
Uni-President Enterprises Corp.	Taiwan
Tanzania Cigarette Company Ltd	Tanzania
The West Indian Tobacco Company Ltd.	Trinidad and Tobago
British American Tobacco Uganda	Uganda
Bizim Toptan Satis Magazalari AS	Turkey
Booker Group Plc	United Kingdom
British American Tobacco Plc	United Kingdom
Imperial Brands Plc	United Kingdom
Cat Loi JSC	Vietnam
Cong ty Co phan Ngan Son	Vietnam
British American Tobacco Zambia Plc	Zambia
British American Tobacco Zimbabwe (Holdings) Ltd	Zimbabwe

Commission Members

Philip Y Brown, Esq., Chairman
Auditor Suzanne M. Bump
Kathleen M. Fallon
Kate Fitzpatrick
James M. Machado
Robert B. McCarthy
Jennifer F. Sullivan