Health & Medicine

States Urge Big Name Retailers to Follow CVS Tobacco Ban

Thomas Carannante
First Posted: Mar 17, 2014 01:56 PM EDT

Last month, CVS Caremark Corp. announced that they would no longer carry tobacco products starting October 2014. The announcement has now prompted the Attorneys general in 28 states to ask the same of other major U.S. retailers.

As the No. 2 drugstore chain in the United States, officials hoped CVS' decision would nfluence other chains that sell tobacco products. Since the announcement, though, no significant action has been taken until Wal-Mart Stores Inc., Walgreen Co., Rite Aid Corp., Safeway Inc., and Kroger Co. received letters from their state's attorney general suggesting that they end tobacco sales in their stores.

It's surprising that no other retail stores followed CVS' lead since they announced their decision. Despite the tobacco sale ban, CVS is still projected to make $132.9 billion in profits for the year (with only $2 billion losses from tobacco) and their stock is expected to make a profit of $4.47 per share. On top of that, cigarette sales had already declined over 30% in the past decade for CVS, so it's likely cigarette sales in general are on the decline.

New York Attorney General Eric Schneiderman and Ohio Attorney General Mike DeWine led the recent charge for the ban. They presented the long-known juxtaposition between pharmacies and drug stores being a source of community health care, yet making cigarettes and other tobacco products available for purchase.

"The fact that these stores profit from the sale of cigarettes and tobacco must take a backseat to the health of New Yorkers and customers across the country. I urge these companies to do the right thing and remove tobacco products from store shelves," said Attorney General Schneiderman in today's statement.

These letters were merely suggestions and did not have any legalities or ultimatums attached to them. But this issue is something for these retailers to consider because tobacco increases the risk of heart disease and cancer, which are two of America's biggest killers. CVS' success from banning tobacco sales should serve as an example for these other retailers, especially the bigger ones who can most likely afford to do so.

To read more about the Attorneys General letters to U.S. retailers, visit this Wall Street Journal article

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