Coupon Redemption Policy

Policy effective as of October 1, 2002
Acceptance of coupons distributed by Liggett Group or Vector Tobacco ("Company") is at retailer's discretion. By submitting Company coupons for redemption, retailer accepts the terms and conditions of this policy.

Coupons are valid only for use by smokers age 21 or older and only for the purchase of quantity and brand style(s) specified on the face of the coupon. Coupons may be combined, but not exceed the purchase price of one carton. May not be combined with any other manufacturer offers. No cash refunds. Coupon is void if it has been copied or altered. Coupon is void if it has been sold, bartered, exchanged, or transferred from the original recipient to another person or entity. All federal, state, and local laws apply. Coupon good only in USA and void where prohibited by law. Improper use could constitute fraud. Participation in a promotion is at the retailer's discretion.

Company will pay the face value of the coupon plus $0.08 per coupon handling allowance. Company will also reimburse retailer for postage, as calculated by Company's clearinghouse by weight, up to a maximum of $10.00.

Upon request, retailer must provide Company with proof of purchase invoices. Company will deny payment if purchases are insufficient to cover the number of coupons submitted for redemption. Company will also deny payment for coupons which, by their condition, are determined by Company in its sole discretion, to have been improperly redeemed. Conditions that may cause denial of payment include, but are not limited to, similarly torn or cut ("gang cut") coupons, "mint condition" coupons, and sequentially-numbered coupons. If there are coupon count discrepancies, irregularities, suspicious circumstances, or non-compliance with any term or condition of this policy, Company will not issue payment unless and until such has been resolved, as determined by Company in its sole discretion.

Retailer must include with each coupon shipment an invoice with retailer's store name and address, and showing quantities and values of coupons submitted for redemption. Coupons must be shipped to Company's clearinghouse at the address below or through a sub-clearinghouse holding a valid contract with Company's clearinghouse. In either case, coupons must be received at Company's clearinghouse no later than six (6) months after the expiration date on the face of the coupon. All shipments become Company's property. Payment will usually be issued four (4) to six (6) weeks after receipt of coupons at Company's clearinghouse. The address of Company's clearinghouse is as follows:

If retailer uses a sub-clearinghouse to process coupons, retailer will receive payment in accordance with the retailer's agreement with the sub-clearinghouse. Company gives no assurance that Company will issue payment within ten (10) days on sub-clearinghouse submissions. Company gives no assurance of payment for coupons that are mishandled by retailer's sub-clearinghouse. If retailer's sub-clearinghouse fails to submit coupons properly, retailer must look to the sub-clearinghouse for payment.

Redeeming coupons in violation of the terms and conditions of the coupon offer or this policy is improper, could constitute fraud, and could result in criminal prosecution.

Company reserves the right to revise or cancel this policy at any time and for any reason.