Federal and state health officials, applauding the parent company of Longs Drug Stores for phasing out tobacco products, are urging other businesses to do the same.
“We appreciate … Longs’ commitment to good health and look forward to seeing more businesses such as convenience stores and gas stations joining in this enterprise. This is yet one more building block towards a smoke-free society,” said
Julian Lipsher, chief of the state Department of Health’s Chronic Disease Management and Control Branch.
Tobacco-related illness kills more than 450,000 people each year nationwide, including 1,100 in Hawaii, and is the single most preventable cause of disease and death, he said. The DOH estimates that 14.6 percent of adults, or 156,000, smoke in Hawaii — the third lowest number in the nation.
“As an important member of the health care system in what was once the neighborhood drugstore — now a large corporation — selling tobacco products has no place in where we come to maintain our health,” Lipsher went on to say about CVS Caremark Corp.’s decision to discontinue tobacco sales by Oct. 1. “There is really no good reason for an organization dedicated to good health to continue to sell tobacco.”
Kathleen Sebelius, U.S. Department of Health and Human Services secretary, also called on others to follow the CVS example. “We need an all-hands-on-deck effort to take tobacco products out of the hands of America’s younger generation, and to help those who are addicted to quit,” she said in a statement.
CVS said that while it takes in about $1.5 billion annually in tobacco sales, it expects to lose about $2 billion in annual revenue by removing tobacco because smokers also buy other products when they visit. The company generated more than $123 billion in total revenue in 2012.
The state collects a substantial amount of revenue from tobacco taxes and fees. In 2013, the Department of Taxation collected nearly
$128 million in tobacco taxes on cigarettes and other products and licensing fees, down from nearly $139 million the year before. The department said it is too early to say whether the move will further reduce tobacco tax collections for the state.
The move by CVS, which drew praise from President Barack Obama, doctors and anti-smoking groups when it was announced on Wednesday, puts pressure on other retailers to also stop selling tobacco.
Molokai Drugs Inc., the only pharmacy on Molokai, has not sold tobacco products ever since the rural island’s first pharmacist, Richard Sakata, opened in 1935, said granddaughter and President Kimberly Mikami Svetin.
Svetin said she “almost (drove) off the road at 5 o’ clock in the morning” when learning about CVS’ decision on the radio.
“It’s a huge statement. When you look at CVS/Longs in Hawaii and also CVS across the country, you’re talking billions of dollars a year,” she said. “Our business model and our family has always been focused on health and education and it would be almost hypocritical to us to have sold cigarettes. Quite honestly, there are so many thousands of other places that can sell cigarettes if someone really needs it.”
Darryl Wisneskie, 56, wasn’t fazed by Longs’ decision to kick the habit of selling tobacco, even though he buys rolling tobacco there once a week.
“It’s one of the few places that sell rolling tobacco. (But) I feel they got a right
to sell anything they want. If they don’t want to sell tobacco, they don’t have to sell tobacco,” said Wisneskie, a homeless man who was smoking in front of the Pali Highway Longs store Wednesday. “It’s not really that big of a deal to me. There’s other places that sell rolling tobacco.”
CVS Caremark said it will phase out tobacco in its 7,600 stores nationwide, including 53 stores and pharmacies in Hawaii, as it shifts toward being more of a health care provider. CVS and other drugstore chains have been adding in-store clinics and expanding their health care offerings. They’ve also been expanding the focus of some clinics to include helping people manage chronic illnesses like high blood pressure and diabetes.
CVS Chief Executive Officer Larry Merlo said the company concluded it could no longer sell cigarettes in a setting where health care also is being delivered.
“They think whatever the loss in a declining domestic market of selling tobacco will be compensated by their partnerships with health care organizations,” Lipsher said. “So they’ve made a business decision. This is very good decision by Longs/CVS to do what other drugstores around the nation and in Hawaii have already done in becoming responsible community partners.”
The Associated Press contributed to this story.