002 3204

                          UNITED STATES OF AMERICA
                          FEDERAL TRADE COMMISSION

   COMMISSIONERS:
          Robert Pitofsky, Chairman
          Sheila F. Anthony
          Mozelle W. Thompson
          Orson Swindle
          Thomas B. Leary

                             In the Matter of

                      HAVATAMPA, INC., a corporation.

                             Docket No. C-3965

                             DECISION AND ORDER

   IT IS HEREBY AGREED by and between, by its duly authorized officers,
   and counsel for the Federal Trade Commission that:

   The Federal Trade Commission having initiated an investigation of
   certain acts and practices of the respondent named in the caption
   hereof, and the respondent having been furnished thereafter with a
   copy of a draft of complaint that the Bureau of Consumer Protection
   proposed to present to the Commission for its consideration and which,
   if issued by the Commission, would charge respondent with violation of
   the Federal Trade Commission Act; and

   The respondent, its attorney, and counsel for the Commission having
   thereafter executed an agreement containing a consent order, an
   admission by the respondent of all the jurisdictional facts set forth
   in the aforesaid draft of complaint, a statement that the signing of
   said agreement is for settlement purposes only and does not constitute
   an admission by respondent that the law has been violated as alleged
   in such complaint, or that the facts as alleged in such complaint,
   other than jurisdictional facts, are true and waivers and other
   provisions as required by the Commission's Rules; and

   The Commission having thereafter considered the matter and having
   determined that it had reason to believe that the respondent has
   violated the said Act, and that a complaint should issue stating its
   charges in that respect, and having thereupon accepted the executed
   consent agreement and placed such agreement on the public record for a
   period of thirty (30) days, and having duly considered the comments
   received from interested persons pursuant to Section 2.34 of its

                                                                 002 3204

                          UNITED STATES OF AMERICA
                          FEDERAL TRADE COMMISSION

                             In the Matter of

                      HAVATAMPA, INC., a corporation.

                             Docket No. C-3965

                                 COMPLAINT

   The Federal Trade Commission, having reason to believe that Havatampa,
   Inc., a corporation ("respondent"), has violated the provisions of the
   Federal Trade Commission Act, and it appearing to the Commission that
   this proceeding is in the public interest, alleges:

          1. Respondent Havatampa, Inc., is a Delaware corporation with
          its principal office or place of business at 3901 Riga
          Boulevard, Tampa, FL 33601.

          2. Respondent has manufactured, advertised, labeled, offered
          for sale, sold, and distributed products to the public,
          including cigars.

          3. The acts and practices of respondent alleged in this
          complaint have been in or affecting commerce, as "commerce" is
          defined in Section 4 of the Federal Trade Commission Act.

          4. In its advertising, labeling, and sale of cigars, respondent
          has failed to disclose that regular cigar smoking can cause
          several serious adverse health conditions including, but not
          limited to, cancers of the mouth (oral cavity), throat
          (esophagus and larynx), and lungs. These facts would be
          material to consumers in their purchase and use of the product.
          Respondent's failure to disclose these facts has caused or is
          likely to cause substantial injury to consumers that is not
          outweighed by countervailing benefits to consumers or
          competition and is not reasonably avoidable by consumers.
          Therefore, the failure to disclose these facts was, and is, an
          unfair or deceptive practice.

          5. The acts and practices of respondent as alleged in this
          complaint constitute unfair or deceptive acts or practices in
          or affecting commerce in violation of Section 5 of the Federal
          Trade Commission Act.

                          UNITED STATES OF AMERICA
                          FEDERAL TRADE COMMISSION

                              In the Matter of

                      HAVATAMPA, INC., a corporation.

                             FILE NO. 002-3204

                     AGREEMENT CONTAINING CONSENT ORDER

   The Federal Trade Commission has conducted an investigation of certain
   acts and practices of Havatampa, Inc. ("proposed respondent").
   Proposed respondent, having been represented by counsel, is willing to
   enter into an agreement containing a consent order resolving the
   allegations contained in the attached draft complaint. Therefore,

   IT IS HEREBY AGREED by and between Havatampa, Inc., by its duly
   authorized officer, and counsel for the Federal Trade Commission that:

          1. Proposed respondent Havatampa, Inc., is a Delaware
          corporation with its principal office or place of business at
          3901 Riga Boulevard, Tampa, FL 33601.

          2. Proposed respondent admits all the jurisdictional facts set
          forth in Paragraphs 1 through 3 of the draft complaint.

          3. Proposed respondent waives:



                a. Any further procedural steps;



                b. The requirement that the Commission's decision contain
                a statement of findings of fact and conclusions of law;
                and



                c. All rights to seek judicial review or otherwise to
                challenge or contest the validity of the order entered
                pursuant to this agreement.


          4. The agreement shall not become part of the public record of
          the proceeding unless and until it is accepted by the