Virginia Tobacco Commission's executive committee is holding
an emergency meeting this morning following yesterday's announced
delay of a $767 million bond sale.
The delay comes after Philip Morris said earlier this week that
it will not be able to pay the $2.6 billion due in two weeks to
the states, including Virginia, after losing a lawsuit in Illinois.
An Illinois judge ordered Friday that the tobacco giant pay a
$12 billion bond to appeal an Illinois lawsuit, which Philip Morris
said it cannot pay.
Following the announcement, Altria's stock plummeted to its lowest
price in 52 weeks. Philip Morris USA is a division of Altria.
A major credit agency downgraded the tobacco giant's debt, and
another warned Philip Morris could be forced into bankruptcy if
the massive bond requirement isn't reduced.
But executives with the Tobacco Commission said yesterday that
it was to early to panic.
"I think we need to be able to digest the information and
look at what our options are," said Carthan Currin, the Commission's
executive director. "They range from financial to legal.
"Beyond that I don't have that much to say at this point,"
he added. "We need to consider the facts as we know them
and work out our game plans."
"Philip Morris USA's announcement created considerable instability
in the market for tobacco-related securities," Virginia Treasurer
Jody Wagner said in a prepared statement.
Currin said yesterday that the emergency meeting was called to
respond to the threat to the state's sale of tobacco bonds.
"There has obviously been some significant developments in
the market," he said.
But he said the Commission had not made any decisions on what
action to take.
Currin was quick to calm fears of immediate repercussions due
to the tobacco giant's financial troubles.
"The short-term commitments that we have made will be honored,"
he said. "All long-term plans will have to be reviewed."
The $206 billion settlement in 1998 resolved state claims against
cigarette manufacturers for smokers' deaths and health costs.
It did not preclude lawsuits on behalf of individual smokers,
such as the Illinois case.
Philip Morris is pursuing ''a more reasonable bond cap'' through
the Illinois legislature and the courts, said company spokesman
Brendan McCormick.
''We'd like our arguments to be heard on appeal without the company
being financially crippled by an unfair and unreasonable bonding
requirement,'' he added.
Philip Morris is pushing for legislation that would reverse Illinois'
requirement that losers in lawsuits must post the full amount
of damages as bond before they can file an appeal.
Washington State Attorney General Christine Gregoire, who helped
negotiate the 1998 settlement, said Friday she would file a motion
urging a reduction in the bond if the matter is not resolved soon,
to make sure the states' payments are not jeopardized.
The lawsuit was filed on behalf of one million Illinois smokers
of the two light cigarette brands. It was the first class-action
lawsuit in the nation to come to trial alleging a tobacco company
committed consumer fraud in its advertising of light cigarettes.
Unlike many other high-profile cigarette-related lawsuits, the
plaintiffs didn't claim that smoking made them sick. They accused
Philip Morris of wrongly leading customers to believe the ''light''
brands are less harmful than regular cigarettes.
They based their claims on evidence they said showed the tobacco
maker concealed crucial research data revealing the detrimental
effects of light cigarettes for more than 30 years.
Philip Morris had maintained that the light brands show less of
the toxins when tested, although individual smokers tend to get
more or less toxins depending on how they inhale. The company
says it used the word ''light'' to refer to taste, not content
of toxins.
The judge stayed the $10.1 billion judgment for 30 days, giving
Philip Morris until around April 21 to come up with the huge bond,
if it wants to file an appeal.
The South Boston Town Council got its first look at the first
draft of an $8.8 million budget for FY 2003-2004 during its session
Monday night.
The action came during the two standing committees' regular monthly
work session.
This year's budget reflects a 13.66 percent decrease in general
fund revenues, down from $10.2 million last year.
It also provides for merit-based employee pay raises of 2.5 percent.
While the budget highlights include no increase in taxes on real
estate, personal property, utilities, business licenses or the
meals tax, it does call for a six percent increase in water and
sewer (W/S) rates, a move that has some councilmen questioning
the action.
"I'd rather not do that if we don't have to," Councilman
Coleman Speece said yesterday. "But the budget is in its
preliminary stages."
But Town Manager Ted Daniel pointed out that in order to keep
the town at its current level of operation, the increase in W/S
rates was necessary.
"If you don't want to increase rates now, you could cut capital
expenditures," he suggested.
According to budget projections, the W/S fund will see a decrease
in revenues of nearly $876,000 in the next fiscal year, down to
$3,654,148 from $4,530,093.
Town Finance Director Vandie Saunders pointed out to council that
the W/S fund is currently in the red by nearly $1.5 million "and
it's not showing any signs of getting any better (as the rates
stand) now."
The town will also lose nearly $1 million in EPA grant funding
this year, according to the budget.
Although the proposed increase in the W/S fund caused some consternation
among some councilmen, Finance Committee Chairman Tom Raab reminded
them that at this point the budget was a work in progress.
"Look at the budget, review it carefully and bring it back
at the April 14 meeting," he said.
Land Purchase
On a motion by Councilman Chris Elliott and seconded by Speece,
the town voted unanimously to authorize Daniel to have the necessary
documents prepared and signed to acquire an approximately 33-acre
tract of land adjacent to the existing landfill. The cost of the
purchase is not to exceed $160,500.
The 4-0 vote came following a closed session to discuss the proposed
purchase. Councilmen Eric Roberts and Carroll Thackston were not
present for the vote.
Funding for the purchase will come from the town's landfill fund.
The land will be used as a potential site for a burrow pit if
the landfill stays open after 2007.
While no refuse will be buried on the site of the proposed purchase,
dirt could be excavated from the site and used to cover trash
that would be buried at the site of the current burrow pit.
"This purchase gives us some flexibility in the future use
of the landfill," Speece said.
If the landfill is closed as scheduled in 2007, the property could
be sold for development, he added.
But Speece said the town wasn't buying the property as an investment.
"We didn't buy it with the idea of reselling it," he
said. "But we felt the purchase price made the move a judicious
one."
Other Business
In other business, Council agreed to put a request from the South
Boston Volunteer Fire Company on the agenda for a public hearing
during their April 14 meeting.
The company is asking the town to close and abandon the unopened
portion of Grove Avenue lying adjacent to their activity building
on Seymore Drive.
"We would like to acquire this 30' by 75' strip in order
to access the rear of the building and possibly use it for much-needed
additional parking," said Dwight Spangler, president of the
company.
On that date, Council will also hear a request from the Halifax
County Public Schools for a special use permit to construct additional
athletic facilities.
The School Board has asked Council for the permit to realign a
softball field at the middle school, construct a new track and
field facility on the existing football practice field between
the middle and high schools and construct six new tennis courts
at the high school.
Town Planner Lee Pambid said emergency vehicle access was the
only concern his office has with the proposal.
"Right now the access isn't as good as it could be,"
he said. "We are looking at the easiest way to get the vehicles
in there, and it will be incorporated into the plan."
During the April 14 meeting, Council will also address an amendment
to town code to prohibit the erection of billboards in M-1 Industrial
zones.
The world-famous Army's Jazz Ambassadors played to a packed
auditorium here Monday night, winning hearts and "lifting
spirits" as they went.
It was a high energy, toe-tapping, big band sound packed with
more than a few nostalgic moments for many in its audience.
Vocalist Marva J. Lewis took the audience on an emotional voyage
that ranged from "Crazy" to "Almost Like Being
In Love" to "God Bless America."
Jazz, patriotism, pops and love songs were the order of the day
as The Jazz Ambassadors entertained.
A succession of talented instrumentalists took center stage during
the two-hour concert.
Two HCHS musicians, Sheree Tucker on saxophone and Stephen Harmon
on trumpet, joined the band for a rousing rendition of "In
the Mood."
A crowd estimated at well over 1,300 attended the Monday night
event sponsored by The Gazette-Virginian in conjunction with the
newspaper's 100th anniversary.
Supporters of America's troops in Iraq who
have been waiting for the opportunity to show their patriotism
will have two opportunities this week.
The first event is a prayer and candle lighting service scheduled
Thursday at 6:45 p.m. in Constitution Square. It is scheduled
to last approximately 30 minutes.
Organizers say the community service is not just for the soldiers
in the Middle East, but those here at home as well.
"We will be praying for all people affected by the war,"
said Betty Jones, one of the event's organizers. "Our focus
is on peace, unity and the safe return of everyone involved in
this conflict."
The service will conclude with the lighting of candles as Brent
Jones of South Boston plays bagpipe music.
The sponsors of the prayer service include the Halifax County
Mental Health Association and area churches.
Dr. Russell Lee of the First Presbyterian Church in South Boston
is coordinating the service.
In case of rain the event will be held at Trinity Episcopal Church,
located adjacent to the South Boston Post Office on North Main
Street.
On Saturday, a support rally for the troops in Iraq will be held
in Constitution Square at 1 p.m.
It is scheduled to last approximately an hour.
This event will feature patriotic music and addresses from U.S.
Congressman Virgil Goode and former Air Force bomber pilot Ted
Daniels, as well as Del. Clarke Hogan.
"Since I've been here, I've noticed that Halifax County is
a highly patriotic community," said Keith Strange, coordinator
of the event. "This is simply a chance for the people to
come out and show their support for America's sons and daughters."
Strange suggested that supporters make signs and bring flags to
the event. "If you have family members serving in the Armed
Forces, feel free to bring pictures of those as well.
"I'd like the community to leave Saturday with a revitalized
sense of patriotism," he said. "We see too many protest
rallies, but we don't see support rallies enough."
The event will take place rain or shine.
Former South Boston resident Joan Lawter, a highly successful
track and cross country coach at New Kent High School, will be
one of three individuals to be inducted into the South Boston-Halifax
County Sports Hall of Fame Saturday night.
Saturday night's Sports Hall of Fame Induction Banquet, the 15th
annual affair, will be held at 6 p.m. at C.H. Friend Elementary
School in South Boston.
Former Halifax County High School football coach Coleman Starnes
and Frank Lee, a noted track star, will also be inducted during
Saturday night's ceremonies.
Advance tickets for the banquet are priced at $20.
Tickets are priced at $20 each and may be purchased at Electric
Service Company, Waskey Cleaners and Edmondson Cleaners in South
Boston and Halifax Pharmacy and Velro Church Supply Store in Halifax.
Advance tickets for the event are also available at the Gazette
Virginian.
The induction of Lawter, Lee and Starnes will bring the number
of Sports Hall of Fame inductees to 49.
Lawter made her mark in the sports world as a high school track
and cross country coach.
She served as head girls track coach at New Kent High school for
27 years (1976-2002).
During that span her teams recorded a total of 251 team wins,
194 dual meet victories, and 18 wins in invitational meets.
Lawter's track teams won 18 district championships, 15 regional
titles, and six state championships.
In addition, her teams finished as the district runner-up six
times, finished as the regional runner-up twice and finished as
the state runner-up three times.
Lawter is also the head coach of the New Kent High School girls
cross country team, a position she has held since 1984.
Her cross country teams have recorded 99 team wins, 12 Region
A championships and two district championships.
The team she coached in 2000 finished as the state runner-up.
In addition, Lawter served as head coach of the boys cross country
team for 13 years from 1984-1997.
Her teams compiled a total of 36 wins and three Region A championships.
Lawter has received numerous awards and honors during her career.
She received the Walt Cormack Award in 1985 and was inducted into
the Virginia High School League Hall of Fame in 1996.
In 1997, she received the Longwood College Distinguished Service
Award.
Lawter was named Coach of the Year by the Virginia High School
League Coaches Association four times, was named Regional Coach
of the Year by the National High School League Coaches Association
three times, was named Tri-Rivers Coach of the Year three times
and was named Tidewater District Coach of the Year 18 times.
In addition, Lawter currently serves on the Virginia High School
League Coaches Association Legislative Council which she has been
a member of since 1983, and serves on the Virginia High School
League Coaches Association Executive Committee of which she has
been a member of since 1988.
Also, Lawter currently serves on the VHSCA Constitutional Committee,
the All-State Selection Committee and the Hall of Fame Selection
Committee.
Lawter served as New Kent Track Invitational Director from 1984-1986,
served as Tidewater District Meet Director from 1984-1986, served
as Tidewater District Cross Country Director 1999-2000 and served
as Region A Cross Country Director 1999-2000.
Lawter, a 1968 graduate of Halifax County High School, is the
daughter of George and Evelyn Lawter of South Boston.
She received her Bachelor of Science Degree from Longwood College
and her Masters Degree in Administration & Physical Education
from Virginia Commonwealth University.
Lawter was a Health and Physical Education teacher at New Kent
High School for 30 years and served as the school's Physical Education
Department chairperson for 26 years.
She lives in Sandston with her husband, Rusty Curle, who is a
former high school football and track coach.
Lawter has one son, Jamie Hudson who is a 1996 graduate of New
Kent High School and a 2000 graduate of Randolph-Macon College.
James Stover Puryear, 83, of 4091 Huell Matthews Highway, South
Boston, died March 31 at his home.
Mr. Puryear was born in Halifax County on November 19, 1919, the
son of Frank Puryear and Bessie Sue Loftis Puryear and was married
to Winsome Baker Puryear. He was a member of Black Walnut Baptist
Church and the Adult Men's #1 Sunday School Class.
Mr. Puryear was a retired truck driver with R.O. Harrell Inc.
and was a Navy Veteran.
Survivors include two sons, Kenneth J. Puryear of South Boston
and Dennis R. Puryear and his wife, Janice, of Scottsburg; one
daughter, Pamela P. Ashley of Roxboro, NC; two brothers, Frank
Puryear of Clinton, NC and Richard Puryear of Durham, NC; three
grandsons, Phillip D. Throckmorton, Matthew S. Puryear and Jarrid
M. Puryear; one granddaughter, Kistla M. Wheeler; two step-grandchildren,
Johnny M. Williams Jr. and David W. Williams; and three great-grandchildren.
Funeral services for Mr. Puryear will be held at Black Walnut
Baptist Church April 3 at 2 p.m. with the Revs. H.V. Conner and
Ricky Bibee officiating. Burial will follow in the church cemetery.
The family will receive friends this evening, April 2 from 7:00
until 8:30 at Brooks Funeral Home and other times at the home.
Anyone wishing to give memorials are asked to consider the Halifax
County Cancer Association, PO Box 875, South Boston, or Halifax
Regional Hospice, 2204 Wilborn Avenue, South Boston.