RESEARCH CONFERENCE
15 th-18th September 1980
Sea Island, Ga
PRESENT:
Mr. R.M. Gibb Dr. L.C.F. Blacknan
Herr E. Rittershaus Mr. k.L. Heard
Dr. R.A. Sanford Mr. R.J. Pritchard
Dr. C.J.P. de Siqueira
Mr. T.I. Wilson
BATCo document for Province of British Columbia 4
November 1999


CONTENTS
OBJECTIVES
SUMMARY OF MAIN POLICY POINTS
ROLE AND FUNDING OF GROUP R&D
1981 BUDGET AND 3-YEAR FORECASTS
1980 GROUP FLD PROGRAM11E
STRATEGY ON SMOKING ISSUES
HEALTH-RELATED RESEARCH
SIDESTRMI
FILTERS
COMBUSTION
FLAVOURS
SENSORY TESTING
EXPANDED TOBACCO
PRIMARY PROCESSING
INSTRUMENTATION
VENTILATION
SECONDARY AUTOMATION
COMMUNICATIONS/SECURITY
PATENTS
REVIEW OF PROGRESS
1981 RESEARCH CONFERENCE
PACE
1
1
2
2
2
3
3
4
4
5
5
5
6
6
7
7
7
8
8
8
8
cc
C)
BATCo document for Province of British Columbia 4
November 1999


OBJECTIVES
To confirm the policy of "Group R&D", to assess
progress made in the major areas of the 1980
Programme, and to establish guidelines for the
formulation of a 1981 Programme that reflects
the major technicai needs and priorities of
the BAT Group.
SUKRARY OF MAIN POLICY POINTS
The key responsibility of the annual Research
Conference is to recommend to the BATCo
Management Board the shape of the Group R&D
Programme.
Croup R&D should provide basic building blocks
upon which operating companies can make commercial
developments.'
Operating companies should share the cost of
Group R&D on the basis of relative annual
turnover, rather than on an arbitrary percentage
levy on turnover.
The annual Group R&D Programmes and budgets
should be presented in the context of rolling
3-year forecasts stated in constant money
terms.
C~
cc
BATCo document for Province of British Columbia 4
November 1999


ROLE ANTD FUNDING OF GROUP R&D
1. In supporting Group R&D, CAC companies look to'
Southampton to provide
basic' building blocks which have commercial
applicability or relevance
to the needs of operating companies.
2. There should be a clear identification of Group
R&D within the total
activity and expenditure at Southampton. The
Conference wished to
be kept aware, however, of the whole activity.
3. The key responsibility of the annual Research
Conference is to
recommend to the BATCo Management Board the shape
of the Group
R&D Programme.
4. The CAC companies are concerned with "value for
money", since they
have to justify their contribution to Group R&D
against their own
in-house company R&D expenditure.
5. The basis of sharing the cost of Group R&D
should be the relative
annual turnover of companies, not an arbitrary
percentage levy on
turnover.
6. It was recognised that 21Z of the current gross
expenditure was
neither recovered by direct charges, nor cohered
by the current Levy
Allocation. It was also recognised that on a
strict cost-sharing
basis, non--CAC companies would contribute 40Z of
the Group R&D cost.
This was thought to be equitable because, although
their needs for
new technology tend to follow the CAC companies
with, say, a 5-10
year delay, non-CAC companies are al-ays in a
position to benefit
from past Group researches.
1981 BUDGET AND 3-YEAR FORECASTS
7. The 1981 budget, and the forecasts for 1982-3,
should be expressed
in fixed money values, so that the sensitivity of
the costs to staff
numbers and to changes in programmes and
facilities can be readily
assessed.
8. The reductions in staff numbers and expenditure
achieved to date,
and those planned through 1983, were commended -
as was the commitment
to look for further reductions -in the
non-technical areas. This
slimming of the R&D effort, without detriment to
the technical needs
of the Group, was in line with action being taken
by other companies.
1980 CROUP R&D PROGRAMME
9. The Conference discussed the key elements of
the 1980 Programme
which was formulated following the Conference in
October 1979 and
approved later by individual discussion with CAC
companies - and
made comments relevant to the formulation of the
1931 Frogamme.
C:
CD
cc
BATCo document for Province of British Columbia 4
November 1999


STRATEGY ON SMOKING ISSbES
10. The cigarette industry is being confronted
with rapidly changing
anti-'smoking pressures and emphasis, but not with
significant changes
in the related technologies. It was important,
therefore, that all
health-related work should be reappraised to
ensure that it has the
right objectives and priorities to fit the
changing environment.
11. The background to the meetings at Southampton
with representatives
of the British Medical Association was explained.
While medical
researchers around the world are capable of
interpreting research
findings (albeit they may not all choose to
acknowledge the advances
that have already been made by the cigarette
industry), most doctors
are ill-informed on the facts, and merely follow a
mandate to adopt
an anti-smoking stance. The CAC representatives
wish to be appraised
of the context of the material presented to the
BHA, and of any
significant feedback from the discussions.
12. In adopting a more open stance on
health-related research, based
primarily on the achievements of the industry in
the development of
low delivery products, consideration should be
given to balancing
the discussion by reference to benefits of
smoking, particularly in
psychological terms.
MkLTH-RELATED,RESF.ARCH *
13. The specific conclusion in the-Position Paper
on nicotine that
caution is required in the development of low
delivery products with
higher than average nicotine/tar ratios was not
accepted for the
following reasons:
(a) experiments to date (mainly mouse skin) on
augmented nicotire
levels may not be scientifically valid;
(b) the weight of evidence remains that if
nicotine does have
specific activity, the level is likely to be much
lower than
that of tar;
(c) there is the possibility that nicotine may
exhibit certain
countervailing beneficial effects on the
circulatory system in
humans.
14. There is clearly the need for a better
understanding of the role of
nicotine in carcinogenesis and in cardiovascular
response. Further
consideration should be give to the value of
studies of the influence
of the sources of nicotine.- and of the
"environment" in which it
exists in smoke. In particular, the relative
biological activity of
nicotine from different delivery levels products
(say, 1. 39 10, 20 mg
tar) should be established.
C~
BATCo document for Province of British Columbia 4
November 1999


15. .The renewed interest of Hunter and others
(cf. Cold Spring Harbour
Conference) in the "quality" of smoke and
condensate was noted.
While not requiring major revival of effort at
GR&DC, some attention
should be paid to possible differences in the
smoke and condensate
from very low (1-5 mg tar) delivery products.
16. The position paper on short-term bioassays
summarised the present
understanding of the art. A critique was requested
to show what
tests are in use at Southampton, and elsewhere in
the Group, what
gaps exist, and what the recommendation is for
assessing new components
e.g. flavours and additives.
17. The finding that Maryland tobacco (and
air-cured tobaccos generally)
lead to lower retention of smoke in humans should
be explored to
find ways of developing commercially viable
flue-cured and blended
products.
18. The relevance of the chance finding with rats
that irritation may
influence the depth of inhalation of smoke should
be established
with human smokers using non-biological methods.
19. The research into the source and mechanism of
formation of nitrosamines
in both sidestream and mainstream should be
continued with urgency.
SIDESTREAM
20. There was strong support for research into the
generation and control
of sidestream smoke. Factors investigated should
include the role of
pH on sidestream nicotine and aroma. Research into
the attitude of
smokers and non-smokers to substantial reduction
or elimination of
sidestream smoke should be established.
21. Effort should be directed to developing a
smoking article with
greatly reduced tobacco content to reduce the
material available for
generation of sidestream.
FILTERS
22. Research into the selective filtration of gas
phase components is a
priority area. There was doubt, however, as to.the
general commercial
use of the NOx filter containing C-nitrosobenzene
because of the
unfortunate ready association of its name with
nitrosamines.
23. The development of the HEE filter in its
present form should be
completed with all speed. To support its possible
commercial use,
there must be a complete understanding of:
- effect on gas phase, especially CO
- applicability to different tobaccos, papers,
machines
-L performance with low delivery products
- smoker behaviour
- the patent position.
CD
cc
_rz.
BATCo document for Province of British Columbia 4
November 1999


-5-
Even if no evidence is found of a subjective
consumer advantage of
an equal delivery per puff, the concept of the HEE
filter could
still provide an important marketing concept
24. As soon as the HEE development is complete,
there should be a return
to basics - to research the concept of achieving a
flat puff profile
by novel and patentable filter designs.
25. Polypropylene filters could be an important
alternative to cellulose
acetate in the future. It was thought that the
possible linking
with Hercules, to develop and manufacture
spunfibre products, was of
potentially greater significance to the Group than
the existing
"Bridon project". Either way, it is important to
establish possible
product advantages of polypropylene in terms of,
e.g. nitrogen oxides
and nitrosamines.
O~MUSTION
26. The basic combustion programme is the key to
advancing cigarette
design. CO is of paramount important, but the
further understanding
of the performance of tobaccos, additives,
nitrogen oxides, nicotine
transfer, etc., must also be pursued.
FLAVOURS
27.. The broad approach of the flavours research
programme was confirmed.
The emphasis of the work, which complements the
leaf research
programme in Erazil, should be on natural flavour
precursors or
enhancers that have a high compatability with
specific tobaccos.
Interaction with flavour houses should be limited
to obtaining new
flavour fractions or compounds for subsequent
modification by reaction
.or formulation for specific tobacco types.
28. The difference in flavour characteristics
between different tobacco
types should be established in chemical terms.
Consideration should
be given to both genetic and environmental factors
- and also to the
possibility of up-grading poor tobaccos by
selective removal of
adverse components.
SENSORY TESTING
29. The emphasis of the subjective testing
programme should move as soon
as possible to the new challenges, e.g. sidestream
and absolute
product assessment. The DELTA work has largely
achieved its aim,
albeit that it is recognised that there will
always be alternative
approaches to the subject.
30. The need to have better methods to extend
objective testing beyond
O1 WP still remains. Perhaps, the flavour research
will provide
useful pointers.
cc
BATCo document for Province of British Columbia 4
November 1999


F-XPAhDED TOBACCO
31. The work on expanded flue-cured tobaccos
(Project POET) should be
compl;--ted and reported with urgency. The need
for similar head-on
comparisons of DIET and G-13 processing for
blended tobaccos should
be decided in the light of the findings on
flue-cured tobaccos. The
co=ercial options of the different expansion
processes should be
stated in both economic and product performance
terms.
32. Both Arjay and Airco, should be asked to
provide evidence as to the
biological activity of their respective forms of
expanded tobacco.
Pending this, a limited biological screening of
smoke and/or condensate
from expanded tobaccos may be required. (If U.S.
blended tobaccos
are to be tested, they should not relate to a
commercial B. & W.
product.)
33. Discussion of experiences with G-13 versus
DIET revealed:
- Reynolds does not have official federal
clearance under
either the Food or Environmental laws in any
country; Berlin
has merely given a waiver to set up a C-13 plant.
- The move towards legislation on flurocarbons in
the U.S.
continues.
- The AGP recdmmendation is for 5 ppm maximum
residue in the
product.
- In contrast to G-13, it is likely that in the
U.S. royalties
will, in the event, not be payable on DIET.
- B. & W. concludes thax , at large scale, there
is little
difference between C-13 and DIET in terms of
capital cost,
running cost and product performance.
34. The good performance to date of the
Southampton 400 lb/hour DIET
plant was noted. The need now is to evaluate
performance under
continuous operating conditions and to find ways
of lowering the
unit capital and running costs.
35. Following the ruling of the Board in November,
no work was started
on developing new expansion concepts or processes
- other than to
take steps to evaluate the Tamag claims re lamina
expansion by
ammonia and steam.
PRIMARY PROCESSING
36. Taken together, the GR&DC and Brazil
programmes contain elements of
what is required by the Group. The GR&DC work
should concentrate on
fundamental aspects of the effect of temperature,
moisture and time
on the changes in the chemical and physical
properties of tobaccos -
to provide the building blocks for subsequent
developments, e.g.
optimisation and commercial specification of
future plants
and/or modification of existing plants. (GR&DC
should not be
concerned with instrumenting specific commercial
plants.)
BATCo document for Province of BritiSh Columbia 4
November 1999


37. The Brazil programme should aim at
establishing process principles
of potential relevance to other plants and other
countries. The
person(s) seconded from GR&DC to Brazil will
provide both specific
expertise and help maintain effective
communications between the two
programmes of work.
38. To support this practical research, there is a
need to develop
predictive models of the primary process. The
models should cover
both chemical (flavour) and physical (cell
structure) aspects.
39. No work was started on the microbiological
degradation of tobacco
during storage - as anticipated at the last
Research. Conference. It
should be considered for inclusion next year.
40. GR&DC should continue to monitor commercial
developments elsewhere
in the world (e.g. Tamag, RL, AMF microflake) and
should also maintain
a central -awareness of the relevant activities of
operating companies
in the Group.
INSTRUMENTATION
41. Instruments and central systems to improve
product quality and plant
utilisation remain an important need, but future
work should
concentrate on fewer key areas. The Strategy 1
project provides an
appropriate definition of priorities.
VENTILATION
42. The forthcoming Ventilation Conference should
identify the gaps ir.
technology and propose guidelines for future work.
Additionally,
there is an urgent requirement for a comprehensive
assessment of
currently available options (equipment, materials,
product performance
and costs) and GR&DC should take the lead in this
work.
SECONDARY AUTOMATION
43. The secondary automation project (Strategy 1)
is of central importance
to the Group. The priorities being worked on offer
the real
possibility of giving BAT a lead over competition.
COMMUNICATIONS/SECURIT'Y
44. The value of INTERBAT was confirmed. Further
areas to be considered
are:
W the inclusion of regular project progress
updates from
Southampton (and other research centres?),
(ii) the facility for blocking access to selection
information if
so desired by individual associates.
Ir
BATCo document for Province of British Columbia 4
November 1999


-8-
45. The proposed S&H Data Bank should be reviewed
with the Marketing
Department, Millbank, to ensure that it has the
right of objectives
and operating procedure. .
46. The publication of scientific findings can aid
staff satisfaction,
and help to raise the credibility of BAT in the
eyes of medical
authorities, consumers, media, etc. but great care
must be exercised
for security reasons. A guideline might be:
(a) first obtain patent protection,
(b) then allow sufficient lead time to seek out a
commercial
advantage.
47. Both in the context of Strategy 1, and
generally in areas of technology
that have commercially sensitive implications,
staff must be made
aware of the need for security. This has
implications also for the
way manufacturers are permitted access to
factories and research
facilities, and also the way staff talk to outside
persons.
48. Consideration should be given to establishing
a regular competition
monitoring survey to cover both technical and
marketing actions and
strategy.
PATENTS
49. The proposed new procedure for the effective
communication and filing
of patents was accepted - with the qualifications
that the lists of
"technology" countries should be looked at again.
REVIEW OF PROGRESS
50. A 3-4 day review meeting should be held at
Southampton next May at
which a number of the key technical areas of major
interest to the
CAC companies will be discussed by representatives
currently working
at the bench level. In future years the location
of such meetings
should-rotate among the Research countries.
1981 RESEARCH CONFERENCE
51. Consideration should be given to bringing the
Conference forward (to
August?) to allow more time for the decisions to
be better incorporated
in the draft programme required by the BAT Company
Management Board in
November.
L.C.F. BLACKMAN
2 nd Octobef 1980
?W
\C
co
BATCo document for Province of British Columbia 4
November 1999