AMERICAN TOBACCO TYPES, USES, AND MARKETS QO} 
Even prior to World War I, the 5-cent cigar was the backbone of 
the cigar business. With the increased costs of material and labor 
incident to the war, retail prices of cigars rose, and 5-cent cigars 
dwindled in quality and volume of sales. Since that time an opposite 
trend has been in progress. Class A sales have risen to more than 89 
percent of the total, whereas the sales of other classes have declined. 
The changes that have taken place since 1920 are shown in table 26. 
TABLE 26.— Manufacturers of large cigars, by price classes, as indicated by the sales 
of internal revenue stamps, 1920-40 
Class A Class B Class C Class D Class E 
Year Per- Per- Per- Per- Per- Total 
Number | cent- | Number } cent- | Number | cent- | Num- | cent- | Num- | cent- | number 
age of age of ageof| ber |ageof} ber age of 
total total total total total 
Thou- Per- Thou- Per- Thou- Per- | Thou- | Per- | Thou- | Per- Thou- 
sands cent sands cent sands cent sands cent sands cent sands 
1920____| 1, 792,702) 22.5) 2,500,972) 31.4) 3, 481, 573 43. 7| 136, 083 1.7} 55, 694 0. 7| 7, 967, 024 
1921____| 2,043,400) 30.2) 1,883,215) 27.9] 2,652,685) 39.2) 147, 825 Qe 2| ole 500 . 5| 6, 758, 630 
1922____| 2,622,002) 38.1] 1,594,185) 23.1) 2, 525,079 36. 6] 115, 622 1.7| 35, 720 . 5| 6, 892, 608 
1923____| 2,550,267) 36.4] 1,614,442) 23.1) 2,673,709} 38.2) 124,116 1.8] 36, 353 . 5| 6, 998, 887 
1924____| 2,610, 108 39. 2] 1, 363, 280} 20.5) 2,521,452} 37.9] 130, 716 1.9} 32,849 . 5| 6, 658, 405 
1925____| 2,673,638) 41.1] 1, 125, 038 17. 3} 2,515,002} 38.7} 146, 559 2.3} 40, 517 . 6| 6, 500, 754 
1926____| 2,886,080) 43.8) 945, 544 14. 3} 2, 575, 649 39.1] 150, 737 2.3) 30,918 . 5] 6, 588, 928 
1927s Pape ion los) e485 747, 485 11.4] 2,465,318) 37.5) 150, 320 2.3] 33, 093 . 5} 6, 571, 374 
1928____]| 3, 310, 354 51.3] 639, 722 9.9} 2, 330,822} 36.1] 142, 141 2.2) 29, 629 . 5] 6, 453, 668 
1929____| 3, 582, 594 54.7|°  575;035 8.8] 2, 221, 821 33. 9} 145, 153 2.2) 27,081 .4| 6, 551, 684 
19302 522735 5733815 60.7) 388, 609 6. 6] 1, 784, 451 30. 3] 121, 009 2.0) 21, 249 . 4] 5, 889, 133 
1931____| 3, 687, 784 69. 3 169, 882 3. 2} 1, 362, 131 25.6] 86, 099 1.6} 12,997 .3| 5, 318, 893 
1932____]| 3, 490, 540 78. 6 52, 024 1.2} 8388, 929 18.9] 56, 136 12 5, 259 . 1} 4, 442, 888 
1933____| 3, 689, 723] 84.9 30, 840 Lf 572, 700 13.2} 46, 123 eal 5, 368 . 1} 4, 344, 754 
1934____] 3,929,122} 85.5 58, 027 1.2} 565,370 12.3] 40, 646 .9| 4, 028 . 1} 4, 597, 193 
1935____| 4,169, 543} 87.5 65, 570 1.4] 485, 676 10. 2} 38, 509 .8| «4, 586 . 1} 4, 763, 884 
19236____| 4, 540,848] 87.6 53, 051 1.0 548, 663 10.5] 40, 652 .8| 4,685 . 1] 5, 182, 899 
19372 AnGbar 221 87.6 55, 570 1.0} 562, 405 10. 5) 41, 187 .8 5, 054 SIU GS Bale i 
1938____] 4, 544, 621 88.4 51, 670 1.0 501, 952 9.8] 36, 425 Wi 4.075 1] 5, 138, 743 
1939____]| 4, 745,622) 89.3 42, 444 .8| 483, 129 9.1} 35, 664 Bill 240 b33 . 1} 5,311, 392 
1940____| 4, 780,193] 89.2 41, 730 .8] 492, 484 9.2) 36, 926 atl 4, 076 . 1] 5, 355, 409 
Compiled from reports of the Bureau of Internal Revenue. 
It should be understood in connection with table 26 that the totals 
cannot be regarded as exact and that they will not agree with the 
numbers of cigars manufactured as shown in table 35. The figures 
shown in table 26 are based on sales of internal revenue stamps 
during the calendar year, although some of the stamps may be used 
the following year. The stamps must be used in connection with 
cigars of domestic manufacture, if withdrawn for domestic sale, and 
cigars imported, or shipped in ‘from insular possessions. ‘They are 
not applied to cigars of domestic manufacture for export, most of 
which are manufactured in bond, nor are they applied to the personal 
allowance of 21 cigars per week to cigar-factory employees, exempted 
from taxation under the regulations governing internal revenue. 
Figures in table 35, on the other hand, exclude cigars imported or 
shipped in, and include those consumed by factoryemployees. They 
do not include cigars manufactured in bonded warehouses. 
The operations of bonded warehouses are conducted under the 
supervision and control of the United States Bureau of Customs, 
under a provision of the Tariff Act of 1922 which permits the estab- 
lishment of bonded warehouses for the manufacture of cigars and 
other tobacco products wholly from tobacco imported from any one 
