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Contingencies (Tables)
6 Months Ended
Jun. 30, 2021
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Contingencies
The table below lists the number of certain tobacco-related cases pending in the U.S. against PM USA and/or Altria as of July 26, 2021, July 24, 2020 and July 26, 2019:
July 26, 2021July 24, 2020July 26, 2019
Individual Smoking and Health Cases (1)
16911690
Health Care Cost Recovery Actions (2)
111
E-vapor Cases (3)
2,626621
Other Tobacco-Related Cases (4)
344
(1) Includes 14 cases filed in Illinois, 18 cases filed in New Mexico, 36 cases filed in Massachusetts and 67 non-Engle cases filed in Florida. Does not include individual smoking and health cases brought by or on behalf of plaintiffs in Florida state and federal courts following the decertification of the Engle case (these Engle progeny cases are discussed below in Smoking and Health Litigation - Engle Class Action). Also does not include 1,471 cases brought by flight attendants seeking compensatory damages for personal injuries allegedly caused by exposure to environmental tobacco smoke (“ETS”). The flight attendants allege that they are members of an ETS smoking and health class action in Florida, which was settled in 1997 (Broin). The terms of the court-approved settlement in that case allowed class members to file individual lawsuits seeking compensatory damages, but prohibited them from seeking punitive damages. Class members were prohibited from filing individual lawsuits after 2000 under the court-approved settlement.
(2) See Health Care Cost Recovery Litigation - Federal Government’s Lawsuit below.
(3) Includes 54 class action lawsuits, 2,318 individual lawsuits and 254 “third party” lawsuits relating to JUUL e-vapor products, which include school districts, state and local government, tribal and healthcare organization lawsuits. JUUL is an additional named defendant in each of these lawsuits. The 54 class action lawsuits include 29 cases in the Northern District of California (“Multidistrict Litigation” or “MDL”) involving plaintiffs whose claims were previously included in other class action complaints but were refiled as separate stand-alone class actions for procedural and other reasons.
(4) Includes one inactive smoking and health case alleging personal injury and purporting to be brought on behalf of a class of individual plaintiffs and two inactive class action lawsuits alleging that use of the terms “Lights” and “Ultra Lights” constitute deceptive and unfair trade practices, common law or statutory fraud, unjust enrichment, breach of warranty or violations of RICO.
The changes in Altria’s accrued liability for tobacco and health litigation items, including related interest costs, for the periods specified below are as follows:
For the Six Months Ended
June 30,
For the Three Months Ended
June 30,
(in millions)2021202020212020
Accrued liability for tobacco and health litigation items at beginning of period$9 $14 $8 $10 
Pre-tax charges for:
Tobacco and health litigation (1)
43 39 8 17 
Related interest costs
  
Payments (1)
(52)(34)(16)(6)
Accrued liability for tobacco and health litigation items at end of period$ $22 $ $22 
(1) Includes certain amounts related to pre-trial resolution of tobacco and health cases.
Currently Pending Engle Cases with Verdicts Against PM USA
(rounded to nearest $ million)
PlaintiffVerdict DateDefendant(s)Court
Compensatory Damages (1)
Punitive Damages
(PM USA)
Appeal Status
Garcia
May 2021
PM USA Miami-Dade
$3 million
MistrialDefendant filed post-trial motions, including motions for a new trial and a judgment notwithstanding the verdict.
Duignan
February 2020 (2)
PM USA and R.J. ReynoldsPinellas
$3 million
$12 million
Appeal by defendants to Second District Court of Appeal pending.
CuddiheeJanuary 2020PM USADuval
$3 million
$0
Appeal by plaintiff and defendant to First District Court of Appeal pending.
Rintoul (Caprio)
November 2019 (2)
PM USA and R.J. ReynoldsBroward
$9 million
$74 million
Appeal by plaintiff and defendants to Fourth District Court of Appeal pending.
Gloger
November 2019 (2)
PM USA and R.J. ReynoldsMiami-Dade
$15 million
$11 million
Appeal by defendants to Third District Court of Appeal pending.
McCallMarch 2019PM USABroward
<$1 million (<$1 million PM USA)
$0
New trial ordered on punitive damages.
NeffMarch 2019PM USA and R.J. ReynoldsBroward
$4 million
$2 million
Fourth District Court of Appeal reversed the judgment against defendants and remanded for a new trial.
MahfuzFebruary 2019PM USA and R.J. ReynoldsBroward
$12 million
$10 million
Fourth District Court of Appeal reversed the judgment against defendants and remanded for a new trial.
HollimanFebruary 2019PM USAMiami-Dade
$3 million
$0
Defendant’s appeal to Third District Court of Appeal pending.
ChadwellSeptember 2018PM USAMiami-Dade
$2 million
$0
Third District Court of Appeal affirmed the compensatory damages award. PM USA petitioned Florida Supreme Court for review. Case stayed pending Florida Supreme Court decision in Prentice.(3)
KaplanJuly 2018PM USA and R.J. ReynoldsBroward
$2 million
$2 million
Fourth District Court of Appeal affirmed the verdict and reaffirmed the verdict on rehearing.
PlaintiffVerdict DateDefendant(s)Court
Compensatory Damages (1)
Punitive Damages
(PM USA)
Appeal Status
R. DouglasNovember 2017PM USADuval
<$1 million
$0
Awaiting entry of final judgment by the trial court.
SommersApril 2017PM USAMiami-Dade
$1 million
$0
Third District Court of Appeal affirmed compensatory damages award and granted new trial on punitive damages. Florida Supreme Court denied PM USA’s petition for review of the Third District Court of Appeal’s decision. PM USA paid approximately $1 million for the compensatory damages award and awaits the new trial on punitive damages. (4)
Cooper (Blackwood)September 2015PM USA and R.J. ReynoldsBroward
$5 million
(<$1 million PM USA)
$0
Fourth District Court of Appeal affirmed judgment and granted a new trial on punitive damages.
D. BrownJanuary 2015PM USAFederal Court - Middle District of Florida
$8 million
$9 million
Appeal by defendant to U.S. Court of Appeals for the Eleventh Circuit stayed pending Florida Supreme Court decision in Prentice. (3)
(1) PM USA’s portion of the compensatory damages award is noted parenthetically where the court has ruled that comparative fault applies.
(2) Plaintiff’s verdict following a retrial of an initial verdict in favor of plaintiff.
(3) PM USA is not a defendant in Prentice.
(4) Plaintiff was granted an award of approximately $3 million in fees, costs and interest that PM USA appealed. The Florida Third District Court of Appeals affirmed the award and PM USA paid the award amount in March 2021.
Engle Cases Concluded Within Past 12 Months (1)
(rounded to nearest $ million)
PlaintiffVerdict DateDefendant(s)CourtAccrual DatePayment Amount
(if any)
Payment Date
Berger (Cote)September 2014PM USAFederal Court - Middle District of FloridaFourth quarter of 2018 and first quarter of 2021
$29 million
February 2021
SantoroMarch 2017PM USA, R.J. Reynolds and Liggett GroupBrowardSecond quarter of 2020 and first quarter of 2021
$1 million
January 2021
Dean (Kerrivan)October 2014PM USA and R.J. ReynoldsFederal Court - Middle District of FloridaThird quarter of 2020
$26 million
August 2020
LandiJune 2018PM USA and R.J. ReynoldsBrowardSecond quarter of 2020
$10 million
July 2020 (2)
(1) In five cases in which PM USA paid the judgments more than a year ago, Naugle, Gore, M. Brown, Jordan and Theis, plaintiffs were awarded approximately $8 million, $2 million, $8 million, $4 million and $1 million in fees and costs, respectively. PM USA has appealed in all of these cases, except Theis. In M. Brown, in March 2021 the Florida First District Court of Appeals affirmed the fee award and reversed the pre-judgment interest award and, in April 2021, PM USA paid $8.2 million in satisfaction of the fee award and post-judgment interest. In Theis, PM USA paid $1 million in satisfaction of fees and costs in May 2021.
(2) In June 2021, plaintiff was granted an award of approximately $3 million in fees, costs and interest against PM USA and R.J. Reynolds.