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Minnesota Court Rules Reynolds Tobacco Must Continue Settlement Payments

The Reynolds American Inc. building in downtown Winston-Salem. SEAN BUETER/WFDD

The R.J. Reynolds Tobacco Co. has suffered another setback stemming from a previous lawsuit's settlement agreement. 

A district court in Minnesota has ruled that R.J. Reynolds must follow through on payouts from a legal dispute dating back to 1998.

A Master Settlement Agreement at that time imposed fees on tobacco companies that would be routed to pay for health care costs in various states.

According to the Winston-Salem Journal, Minnesota claimed that Reynolds stopped settlement payments after selling off several of its brands to ITG of Greensboro, a subsidiary of the UK-based Imperial Brands Plc. 

The Minnesota court ruled last week that Reynolds is still responsible for the payments, which could mean millions of dollars for that state. The district court must still determine how much Minnesota stands to gain.

Neal Charnoff joined 88.5 WFDD as Morning Edition host in 2014. Raised in the Catskill region of upstate New York, he graduated from Sarah Lawrence College in 1983. Armed with a liberal arts degree, Neal was fully equipped to be a waiter. So he prolonged his arrested development bouncing around New York and L.A. until discovering that people enjoyed listening to his voice on the radio. After a few years doing overnight shifts at a local rock station, Neal spent most of his career at Vermont Public Radio. He began as host of a nightly jazz program, where he was proud to interview many of his idols, including Dave Brubeck and Sonny Rollins. Neal graduated to the news department, where he was the local host for NPR's All Things Considered for 14 years. In addition to news interviews and features, he originated and produced the Weekly Conversation On The Arts, as well as VPR Backstage, which profiled theater productions around the state. He contributed several stories to NPR, including coverage of a devastating ice storm. Neal now sees the value of that liberal arts degree, and approaches life with the knowledge that all subjects and all art forms are connected to each other. Neal and his wife Judy are enjoying exploring North Carolina and points south. They would both be happy to never experience a Vermont winter again.

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