NOTE FOR: OR 0 G FELTON I was very surprised to receive the copy of your letter of 21 September to Mr Dunbar. When we spoke some seven weeks ago, I explained that It had been decided to re-structure the way we handle technical support for smoking and health - bringing in a number of GR&OC scientists on a part-time basis for spectfic areas. rather than having one Adviser an Smoktng Issues. I indicated that since pressures on the cigarette industry are developing at a fast rate, we wished to establish a new structure as soon as possible, and as a result, we did not see our way to maintaining your position beyond retirement at age 60. V-4 Intimated you wished to stay until age 61, but I explained ,, t the condition for extending retirement age to 62 was dependent on the Company agreeing that the position In question would continue - which in this case was not to be. I then raised the question of a consultancy for aperiod of one or two years and I recall that you accepted the suggestion with enthusiasm. I proposed that It would probably be In the order of one day's work per weak. I also said I would confer with Bob Ely, but thought that It would be better for SAT to consult you on specific issues rather than to attempt to maintain a continuing involvement In communications an smoking and health. We agreed that we should both give further thought as to the details. Finally, I raised the question of your successor on the TAC Res*arch Committee. Although you suggested Or Ayres, I said I favoured Or Thornton. You agred that whoever was chosen, he should now accompany you to TAC meetings: I recall you n't I oned the date of the next meeting. Although I know that 3-i Is free to nominate representatives to the Research :ommittee, I wrote formally to Sir James as a matter of :ourtesy. I very much regret that you, however, regarded the :ommun as discourteous to yourself. C F BLACKMAN 2 September 1982 00: When I discussed the matter at the TEC In July, it was 5-9giested that I should try to bring his retirement for rd _40 tX months to the end of this year. On balance, however, I co Lb ci ded it was better to let it run through to age 60 in 1- Mr G L Dennis Mr D S Dunbar BAT Co LTD - MINNESOTA TOBACCO LITIGATION