New Federal Cigarette Tax Effective Today

Washington, D.C. - April 1, 2009 - Effective today, a 62 cent increase in
the federal cigarette tax represents the largest increase ever on the
federal level.

Revenue from the tax will help expand the State Children's Health Insurance
Program (SCHIP) and will improve access to quality health care for millions
of uninsured children. The higher price of tobacco will prevent 1.9 million
children from becoming lifelong tobacco users and will save more than
900,000 lives.

"Increasing tobacco taxes is a proven strategy to reduce smoking, especially
among kids," said Cam Scott, director of federal government relations for
the American Cancer Society.

Scientific studies have shown that raising the price of a pack of cigarettes
by 10 percent reduces youth smoking by an estimated seven percent and
overall cigarette consumption by four percent. Although state cigarette
taxes vary considerably, the hike by 62 cents is about a 12% increase in the
average cost of a pack of cigarettes nationwide.

"The cancer community believes that increasing the federal cigarette tax
should be only the first step to be taken this year to protect children from
the deadly addictive products peddled by the tobacco industry, and that
Congress should quickly approve legislation giving the Food and Drug
Administration regulatory authority over tobacco products," said Scott. "In
addition, the expansion of SCHIP should serve as a down payment on broader
health care reform that can help to improve access to quality, affordable
health care for all Americans."

The American Cancer Society is dedicated to eliminating cancer as a major
health problem by saving lives, diminishing suffering and preventing cancer
through research, education, advocacy and service. Founded in 1913 and with
national headquarters in Atlanta, the Society has 13 regional Divisions and
local offices in 3,400 communities, involving millions of volunteers across
the United States. For more information anytime, call toll free
1-800-ACS-2345 or visit www.cancer.org.