E-cigarette Maker Juul Stops All Ads in the U.S. and Kicks CEO Out
It’s been turbulent times for the vaping industry as hundreds of people being sick and many deaths have been connected to vaping.
A vaping-related illness has claimed eleven lives and over 500 people are known to have fallen ill with a mysterious lung disease after smoking e-cigarettes in the US.
Electronic cigarette company Juul announced Wednesday that its CEO is stepping down, and that it is ceasing US advertising and lobbying for now.
Juul CEO and cofounder Kevin Burns will be replaced by K. C. Crosthwaite effective immediately. Prior to his new role, Crosthwaite had the title of Chief Growth Officer at Altria Group Inc., formerly Philip Morris Companies, Inc.
Crosthwaite was responsible for overseeing Altria’s “expansion into alternatives to combustible cigarettes,” Juul said.
He played a key role in the rollout of and “regulatory efforts” related to IQOS, Altria’s heat-not-burn tobacco device.
Crosthwaite said he has “long believed in a future where adult smokers overwhelmingly choose alternative products like JUUL… Unfortunately, today that future is at risk due to unacceptable levels of youth usage and eroding public confidence in our industry.”
He said he and the company must “strive to work with regulators, policymakers and other stakeholders and earn the trust of the societies in which we operate,” which involves “inviting an open dialogue, listening to others and being responsive to their concerns.”
In a Congressional hearing this past July, teenagers had testified that Juul had sent representatives to promote their products directly to teens in schools, giving presentations without teachers present or parental consent.
Juul additionally announced that it is “refraining from lobbying the Administration on its draft guidance and committing to fully support and comply with the final policy when effective.” It will also be “suspending all broadcast, print and digital product advertising in the US.”