Juul Agrees to Pay $439 Million Settlement with US States

Sep.07.2022
Juul Agrees to Pay $439 Million Settlement with US States
Juul to pay at least $439 million to settle charges of selling to minors in over 30 U.S. states.

According to a report from the Chinese Wall Street Journal website, e-cigarette giant Juul has agreed to pay at least $439 million to settle with over 30 states in the U.S. This is the latest move from the troubled e-cigarette company to address accusations of selling to underage users.


According to reports, on Tuesday, Connecticut Attorney General William Tong announced during a press conference that Juul has agreed to a settlement that prohibits them from depicting those under the age of 35 in their marketing, product placements in movies and television, billboard advertisements, and social media promotions. They are also prohibited from selling their products and sponsoring educational programs in schools. The settlement includes 33 states and Puerto Rico.


The report stated that Juul voluntarily ceased these marketing and sales practices. Tong stated that the total settlement amount may increase, depending on the timing of Juul's payment.


The global regulation of the electronic cigarette industry has become increasingly strict, leading to a significant decrease in the valuation of Juul.


In late July, Reuters reported that the US tobacco giant Altria further reduced its stake in the electronic cigarette company Juul, lowering its valuation to $450 million.


Public reports indicate that at the end of 2018, Altria purchased a 35% stake in Juul for $12.8 billion, catapulting Juul's valuation to $38 billion. Additionally, Juul rewarded over 1,500 employees with a $2 billion bonus pool, resulting in an average year-end bonus of $1.3 million per person.


Based on the aforementioned data calculation, in approximately three and a half years, Juul's estimated valuation has decreased by 96.48%.


This article contains excerpts or reposted content from third-party sources, whose copyright belongs to the original media and authors. If there is any infringement, please contact us for deletion. Any organization or individual who wishes to repost must contact the author and must not repost directly.



Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

Altria’s USSTC Starts $250 Million Kentucky Expansion, Adding More Than 200 Jobs
Altria’s USSTC Starts $250 Million Kentucky Expansion, Adding More Than 200 Jobs
U.S. Smokeless Tobacco Company, an Altria Group company, has broken ground on an approximately $250 million manufacturing expansion in Hopkinsville, Kentucky. The roughly 270,000-square-foot facility is expected to create more than 200 jobs and absorb processing, manufacturing and packaging operations currently split between Hopkinsville and Nashville, Tennessee. USSTC previously said production at its Nashville facility is expected to wind down by early 2028. The project forms part of Altria’s broader effort to modernize and consolidate its U.S. smokeless tobacco manufacturing network.
Sep.10
U.S. Ninth Circuit Upholds FDA Denial of MH Global’s Flavored Vape PMTA Applications
U.S. Ninth Circuit Upholds FDA Denial of MH Global’s Flavored Vape PMTA Applications
The U.S. Court of Appeals for the Ninth Circuit upheld the FDA’s denial of MH Global LLC’s applications to market flavored electronic nicotine delivery systems (ENDS). The court ruled that FDA’s comparative-efficacy framework, which requires applicants to show that flavored products provide greater cessation or switching benefits than tobacco-flavored alternatives, is consistent with the Tobacco Control Act’s “appropriate for the protection of the public health” standard. The court also found that FDA was not required to establish the framework through notice-and-comment rulemaking.
Aug.26
2Firsts Exclusive Analysis | RLX Q2 Revenue Rises 14.8%, Company Takes Control of Western European Distributor and Expands Multi-Category Strategy
2Firsts Exclusive Analysis | RLX Q2 Revenue Rises 14.8%, Company Takes Control of Western European Distributor and Expands Multi-Category Strategy
business accounting for 68.5% of sales. A new controlling investment in a Western European distributor and plans to scale modern oral nicotine pouches point to a broader international strategy spanning channels and multiple product categories.
Special Report
Aug.14
Kuwait Tightens Tobacco and Nicotine Rules, Bans Under-21 Sales and Extends Public Smoking Restrictions to Vapes and Heated Tobacco
Kuwait Tightens Tobacco and Nicotine Rules, Bans Under-21 Sales and Extends Public Smoking Restrictions to Vapes and Heated Tobacco
Kuwait has issued a comprehensive new regulatory framework covering tobacco, e-cigarettes, heated tobacco and other nicotine products. Ministerial Decision No. 237 of 2026, signed by Health Minister Ahmad Al-Awadhi, will take effect on January 1, 2027. The rules prohibit sales to people under 21 and ban sales through websites, apps, social media and delivery services. E-cigarettes and heated tobacco products will also be treated as smoking in public and enclosed places where smoking is prohibited. Nicotine pouches and other oral nicotine products not registered as medicines are banned.
Regulations
Aug.17 by 2Firsts Perspectives
UK Reform Party Proposes Cap of 1,000 Vape Shops Under Plan to Tighten Retail Controls
UK Reform Party Proposes Cap of 1,000 Vape Shops Under Plan to Tighten Retail Controls
The UK Reform Party has proposed limiting the number of dedicated vape shops in the country to around 1,000 as part of a plan to tighten oversight of vape retail channels. The proposal was put forward by Reform UK deputy leader and MP Lee Anderson. The plan remains a political proposal and has not become UK government policy, with no detailed legislation, implementation timeline or allocation rules announced.
Aug.10
Reuters Tracks Big Tobacco’s Shift Beyond Cigarettes as Nicotine Pouches Vie for the Next Growth Curve
Reuters Tracks Big Tobacco’s Shift Beyond Cigarettes as Nicotine Pouches Vie for the Next Growth Curve
As cigarette markets face long-term pressure, major tobacco companies are increasingly turning to nicotine pouches in search of growth beyond combustible tobacco. Reuters has examined whether nicotine pouches can become the next strategic growth platform for companies including Philip Morris International, British American Tobacco and Japan Tobacco. PMI strengthened its position through the acquisition of Swedish Match and its ZYN brand, while BAT and JTI continue expanding their own nicotine pouch portfolios. The category has gained attention because of its smoke-free, device-free format, but regulation, youth-use concerns and market scale will determine whether it can become a long-term growth engine.
Regulations
Aug.18 by 2Firsts Perspectives