February 13, 2014 — Triet M. Nguyen
New Political Push To Include E-Cigs in Tobacco Bond MSA
As reported yesterday by our friends at Municipal Market Advisors, Sen. Harkin and Reps. Waxman and Welch have sent a letter to the Atty Gals of the States of CA, IA & VT, urging them to consider adding e-cigarettes to the list of tobacco items covered by the Master Settlement Agreement.
Although tobacco bonds have rallied on the news, we think it’s a bit premature to draw any conclusion at this time. We’re not sure any of the parties to the MSA is anxious to re-open the negotiations at this juncture..We’ll continue to monitor this latest development and report back to you.
In the meantime, here’s a copy of the letter:Harris-Miller-Sorrell-Master-Settlement-Agreement-Tobacco-2014-2-12