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According to evidence presented to MPs by Action on Smoking and Health (ASH), an anti-smoking campaign group, tobacco companies are making some 700m a year of excess profits in the UK by maintaining use of their cheaper brands and recouping profits from more expensive products

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Although the major tobacco companies typically increase prices in May and November, Nik Modi, managing director of tobacco, household products and beverages for RBC Capital Markets, New York, had predicted the increase from Richmond, Va.-based Altria Group Distribution Co

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