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For Immediate Release:  
For Further Information:
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October 8, 2008  

Lee Moore
609-292-4791

Office of The Attorney General
- Anne Milgram, Attorney General

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Attorney General Announces Agreement with Shell Oil Products on Reducing Underage Tobacco Sales at Convenience Marts

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TRENTON -- Attorney General Anne Milgram announced today that New Jersey has entered into a multi-state settlement agreement with Shell Oil Products US and its joint venture, Motiva Enterprises, LLC, aimed at reducing underage tobacco sales at convenience stores located within Shell service station locations.

There are 259 Shell gasoline stations in New Jersey, all of which include on-site convenience marts that sell cigarettes, cigars and other tobacco products. The convenience stores are independently owned and operated, but sell their products on Shell Oil premises.

By virtue of the multi-state settlement, Shell and Motiva have agreed to adopt procedures designed to reduce the sale of cigarettes and other tobacco products to underage persons at these on-site convenience stores. In New Jersey, it is illegal to sell tobacco to persons under the age of 19.

“This agreement is about Shell taking responsibility for what occurs on its premises, and it is about the company working with us to ensure that tobacco is not sold to minors,” said Attorney General Milgram.

Known as an Assurance of Voluntary Compliance, the settlement agreement is the result of an on-going, cooperative enforcement effort involving New Jersey, 45 other states and the District of Columbia. The agreement incorporates “best practices” developed by the states in consultation with public health researchers and state and federal tobacco control officials.

The agreement includes provisions for comprehensive training of retail personnel concerning laws that prohibit tobacco sales to minors, independent compliance checks to monitor sales at certain convenience stores within Shell stations, and potential sanctions against owner-operators who sell tobacco to minors, among other terms.

Shell and Motiva sell gasoline through approximately 14,000 service stations located across the U.S. More than 13,000 of those service stations are located within states participating in the settlement agreement.

Studies show that most adult smokers began smoking before the age of 18, and that young people are particularly vulnerable to the hazards of tobacco, often showing signs of addiction after smoking only a few cigarettes. Nationwide, 47 percent of underage youths who have acknowledged buying cigarettes illegally report that they’ve done so at gas station convenience stores.

“Much remains to be done in the continuing effort to keep minors from unlawfully buying tobacco products at gas station convenience outlets, but agreements like this one make an important contribution,” said Attorney General Milgram.

Other recent, multi-state agreements addressing the issue of underage tobacco sales at gas station convenience marts and other outlets have involved Conoco, Phillips 66 or 76, Exxon, Mobil, BP, Amoco, ARCO and Chevron, as well as the retail and pharmacy chains Kroger, 7-Eleven, Walgreens, Rite Aid, CVS and Wal-Mart. New Jersey has been a participant in each of the settlements.

The Shell-Motiva matter was handled on behalf of the state by Deputy Attorney General Cathy A. Melitski, of the Division of Law's Tobacco Litigation Section.

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