Scott Williams, a spokesman for the tobacco makers, said that the report was "highly speculative and misses the point."

Analysts expect the rest of America's tobacco makers to follow suit quickly.

A deeply divided board of directors decided to forgo $40,000 that it had expected to receive from the tobacco maker.

Two questions: 1) What made the once-invincible tobacco makers capitulate?

The tobacco makers intend to oppose this raiding party with every resource at their command.

The lawmakers also emphasized that they did not equate drug companies with tobacco makers, whose products harm people.

And they are secure in the knowledge that in more than four decades of legal action, the tobacco makers have never paid monetary penalties.

Lawmakers could insist on settlement costs high enough to drive the tobacco makers from the table, preventing an agreement.

By contrast, it took years before tobacco makers entered such talks.

Other tobacco makers declined comment on the price rise.