Morning Briefing
Summaries of health policy coverage from major news organizations
Under The Vaping-Scare Microscope, Juul CEO Steps Down, Company Attempts To Pivot
The vaping powerhouse Juul Labs replaced its chief executive with a veteran of Big Tobacco on Wednesday, deepening the company’s turmoil and raising doubts about the very future of the e-cigarette industry. The sudden announcement capped a relentless cascade of events that has called into question the safety of devices once billed as a promising alternative to cigarettes, one of the world’s leading preventable causes of death. (Kaplan, Richtel and Creswell, 9/25)
Juul Labs Inc. named a new top executive and vowed to end advertising and lobbying that had raised the ire of lawmakers, health officials and parents, as the highly valued private e-cigarette company confronts a growing public backlash. The company said in a statement that Chief Executive Officer Kevin Burns will step down, to be succeeded by former Altria Group Inc. executive K.C. Crosthwaite, effective immediately. Crosthwaite had previously served as chief growth officer at the Marlboro maker, which took a $12.8 billion stake in Juul last year, and served as Altria’s observer on Juul’s board. (Annett, 9/25)
Juul, which has tried to market itself as an alternative for the adult smoker, has been heavily criticized for contributing to the youth-vaping problem. The company has denied marketing to children. It is under investigation by the FDA, the Federal Trade Commission and others. (McGinley, 9/25)
In recent months, hundreds of people have been hospitalized across the nation with serious lung conditions that are associated with vaping. It’s unknown what causes the illness. According to the Centers for Disease Control and Prevention, most of the patients had a history of vaping THC, the substance in marijuana that creates a high, but some vaped both nicotine and THC, and others vaped only nicotine. (Juul does not sell THC products.) (DÃaz, 9/25)
To critics, the move reflected Juul's evolution toward Big Tobacco. "It's like a journey to the dark side is now complete," said UCSF tobacco researcher Stan Glantz, a longtime critic of the tobacco industry and, more recently, the burgeoning vaping industry. (Ho, 9/25)
The CEO of Juul Labs stepped down Wednesday as the company faces a growing public outcry over the health risks of vaping, particularly among teens. Kevin Burns will be replaced by K.C. Crosthwaite, an executive from Altria, a major tobacco company that has 35 percent ownership in Juul Labs. (Daugherty, 9/25)
In the statement, Juul officials said the company will be "refraining from lobbying the administration on its draft guidance" that proposes banning fruit-flavored vaping products, unless approved by the Food and Drug Administration, in an attempt to make the e-cigarettes less available to young consumers. (Allyn, 9/25)
Earlier this month, the Trump administration announced a plan to ban all flavored e-cigarettes, which make up a majority of Juul’s sales. The proposal would mean that all flavored e-cigarettes — except those flavored like tobacco — would be removed from the market until they’re approved by the FDA. On Tuesday, Massachusetts Gov. Charlie Baker declared a public health emergency and banned the sale of all vaping products in the state for four months. Other states have moved to restrict access to the products. (Thielking, 9/25)
Tobacco giant Philip Morris has called off talks of an impending merger with Altria, the companies said Wednesday, amid the nationwide crackdown on vaping products and electronic cigarettes. Instead, the companies said they will focus on launching IQOS, the "heat not burn" tobacco product from Philip Morris. (Weixel, 9/25)