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Tobacco Ad Spending Rose in ‘95, FTC Says

(Bloomberg News)

Tobacco companies spent $62 million more to advertise and promote cigarettes in 1995 than they did the previous year, but U.S. sales of the product fell. In its annual report to Congress, the Federal Trade Commission said tobacco companies spent $4.9 billion in 1995, up 1.2% from 1994. The bulk of that money was for promotional expenditures, which totaled $1.87 billion. Companies sold 482.2 billion cigarettes to U.S. wholesalers and retailers in 1995, down 1.6% from 1994--the only year since 1985 when sales showed an increase. The FTC uses industry data to track tobacco ad expenditures as part of its mandate to restrict unfair advertising practices.

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