Documents: 23/06/11 11:30 AM Dividend Analysis

DIVIDEND ANALYSIS
23/06/11 11:30 AM
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Lakson Tobacco Company
INTRODUCTION
Tobacco business is a centuries old business. It has a very high growth rate and has seen many ups and downs. It has also been controversial over the period of time and has been subject to many types of criticisms. But apart from all these things people do smoke and people want to keep on smoking. I start my discussion with the history of tobacco.
HISTORY OF TOBACCO
EARLY TOBACCO USE
1,000 BC Ancient temple carvings depict Mayan priests in Central America smoking tobacco through a pipe. Tobacco leaves become widespread in medicine for use on wounds as a means of reducing pain. Later the Aztecs incorporate smoke inhalation into religious rituals. Two castes of smokers
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emerge: the pipe smokers at the court of Montezuma and lesser Aztecs who roll the leaves into crude cigars.
470 - 630AD Mayan tribes begin to scatter - and tobacco travels with them. The leaf moves southwards to South America where it is wrapped in maize and palm leaves and smoked - and north where it is introduced to the native Americans in the Mississippi area. In North America pipes are made from clay, marble or lobster claws. Some pipes, with two stems, are used for inhaling through the nostrils. Tobacco chewing is common, especially in South America where the leaf is mixed with lime.
1492 Arawak people in the Bahamas, on an island Christopher Columbus christens San Salvador, offer the explorer-dried leaves. Not understanding their significance, Columbus discards them. A month later Rodrigo de Jerez and
Luis Torres returning from a trip into the interior of Cuba - stumble on villagers inhaling the smoke from burning dried tobacco leaves through a hollow Y-shaped piece of cane called a tobago or tobaca. Jerez is thought to be the first smoker outside the Americas. When Jerez returns to his home town of Ayamonte, during the Spanish Inquisition, the holy inquisitors accuse him of "consorting with the devil" when they see smoke coming from his mouth. He is imprisoned for seven years. By the time he is released, smoking is a custom in Spain. Jerez perhaps sets a precedent for the plant's controversial future.
1492: Arawak people in the Bahamans North America give Christopher Columbus burning leaves, pipes are made from clay, marble or lobster claws.
USE OF TOBACCO IN 20 th CENTURY
1900 The Anti Cigarette League publishes a pamphlet claiming links between cigarette smoking and brain disease.
1902 The Imperial Tobacco Company of the United Kingdom and The American Tobacco Company of the United States agree to end a trade war by forming a joint venture, the 'British-American Tobacco Company LTD'. James B. Duke, becomes the venture's first chairman.
1908 The New York City authority bans women from smoking in public. Two weeks later Katie Mulcahey is arrested for violating the rule. As she is led away she declares, "No man shall dictate to me". Cigarette smoking was often seen as a symbol of women's emancipation.
1914Outbreak of World War I. General John J. Pershing, commander-in-chief of the American forces in France in 1917 calls tobacco "indispensable to the daily ration". In Europe troops use cigarettes to pass time and to try to calm their nerves. The popularity of cigarettes in the armed forces associates tobacco with patriotism.
1925 Despite the bans, cigarette sales continue to increase. The American Mercury reports, "The more violently it has been banned, the more popular it has become."
1941 Roosevelt makes tobacco a protected crop as part of the World War II war effort. His wife Eleanor was dubbed "the first lady to smoke in public".
1945 During World War II, smoking increases. By the middle of the next
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decade, more than a quarter of American women and more than half of American men smoked cigarettes.
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1952 Two British researchers, Richard Doll and A. Bradford Hill report the results of a four-year study comparing 1,465 lung cancer patients to an equal number of patients with other diseases, matched for age, sex and region. They conclude that lung cancer patients are considerably more likely to be smokers and much more likely to be heavy smokers.
1960s Public health warnings emerge. 1964The American Surgeon General publishes a 387-page report stating, "Cigarette smoking is a health hazard of sufficient importance in the United States to warrant appropriate remedial action." For the first time smoking is banned in the State Department auditorium
1980s The tobacco industry sees substantial annual duty increases which result in cigarette taxation increasing by 85 per cent or more in several countries including the UK.
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INTRODUCTION HISTORY OF TOBACCO SEED TO STICK JOURNEY INDUSTRY OVERVIEW BRIEF INTRODUCTION OF LAKSON GROUP OF COMPANIES COMPANIES LAKSON TOBACCO COMPANY MISSION STATEMENT OF THE COMPANY OBJECTIVES OF THE COMPANY
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Lakson Tobacco Company

EARLY TOBACCO USE

Lakson Tobacco Company

USE OF TOBACCO IN 20 th CENTURY

Lakson Tobacco Company

Lakson Tobacco Company

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