426 



budget. In 1955, th« public relations and advertising 

 expenditures were budgeted to increase by 13% to $539,400. In 

 1994 dollars, this would represent an expenditure of over $2.5 

 ■illion. 



Xpril Z%. 1955 . Hill and Knovlton writes a confidential 

 "Public Relations Report" to the Tobacco Industry Research 

 Council. The report is attached as exhibit 11. 



The report finds that after a year of intensive public 

 relations activities, "progress has been aade" (p. 1) . 

 Specifically: 



"The first "big scare" continues on the wane. There is 

 much general awareness of the big IF factors involved. ... 

 Treatment of the cigarette-health issue in public media 

 continues to improve from the Tobacco Industry Research 

 Committee point of view. Even adverse stories now tend to 

 carry modifying statements. Positive stories are on the 

 ascendancv." (pp. 1-2) 



However, the report also warned that "the next major 

 public problem" will be a report by Drs. Hammond and Horn, 

 scheduled for release at a conference of the American Medical 

 Association in June in Atlantic City: 



"There is no reason to hope that the . . report will b« in 

 any way better than the one last year. There is no reason 

 to hope that it will not result in widespread attention in 

 the press. The A.M. A. meeting this year is closer to the 

 major news centers than it was last year in San 

 Francisco. " 



lUy 25. 1955 . One aonth after warning about the upcoaing 

 Hammond-Horn report. Hill and Knowlton sends the Tobacco 

 Industry Research Coiaittee a "rundown of the status of certain 

 steps being taken in anticipation of the June 6 presentation of 

 the second Hamaond-Horn report." The rundown is attached as 

 exhibit 12. 



The report trom Hill and Knovlton details a 17-step 

 prograji for anticipating and responding to the HeAsond-Horn 

 report. Among the steps outlined in the report are harvesting 

 the results of the Tobacco Industry Research Council's earlier 

 contacts with the Edward R. Murrow television show. Step 8 

 calls for "provid[ing] all the assistance possible in making 

 the two Murrow shows, scheduled for May 31 and June 7, as 

 timely and positive as possible" (p. 2) . Step 9 is 

 "transcribing pertinent sections of the Murrow show immediately 

 after its presentation, and providing copies of these 

 transcripts to major news outlets in New York early in the 

 morning following the show" (p. 2). 



February 14. 1954 . Hill and Knowlton writes another 



10 



