Okla. Stat. tit. 37, § 37-600.22: Definitions

When used in this act:

1. "Adjusted for inflation" means increased in accordance with

the formula for inflation adjustment set forth in Exhibit C to the

Master Settlement Agreement;

2. "Affiliate" means a person who directly or indirectly owns

or controls, is owned or controlled by, or is under common ownership

or control with, another person. Solely for purposes of this

definition, the terms "owns", "is owned" and "ownership" mean

ownership of an equity interest, or the equivalent thereof, of ten

percent (10%) or more, and the term "person" means an individual,

partnership, committee, association, corporation or any other

organization or group of persons;

3. "Allocable share" means allocable share as that term is

defined in the Master Settlement Agreement;

4. "Cigarette" means any product that contains nicotine, is

intended to be burned or heated under ordinary conditions of use,

and consists of or contains:

a. any roll of tobacco wrapped in paper or in any

substance not containing tobacco,

b. tobacco, in any form, that is functional in the

product, which, because of its appearance, the type of

tobacco used in the filler, or its packaging and

labeling, is likely to be offered to, or purchased by,

consumers as a cigarette, or

c. any roll of tobacco wrapped in any substance

containing tobacco which, because of its appearance,

the type of tobacco used in the filler, or its

packaging and labeling, is likely to be offered to, or

purchased by, consumers as a cigarette described in

subparagraph a of this paragraph.

The term "cigarette" includes "roll-your-own" (i.e., any tobacco

which, because of its appearance, type, packaging, or labeling is

suitable for use and likely to be offered to, or purchased by,

consumers as tobacco for making cigarettes). For purposes of this

definition of "cigarette", nine one-hundredths (0.09) of an ounce of

"roll-your-own" tobacco shall constitute one individual "cigarette";

5. "Master Settlement Agreement" means the settlement agreement

and related documents entered into on November 23, 1998, by the

State of Oklahoma and leading United States tobacco product

manufacturers;

6. "Qualified escrow fund" means an escrow arrangement with a

federally or state-chartered financial institution having no

affiliation with any tobacco product manufacturer and having assets

of at least One Billion Dollars ($1,000,000,000.00) where such

arrangement requires that such financial institution hold the

escrowed funds' principal for the benefit of releasing parties and

prohibits the tobacco product manufacturer placing funds into escrow

from using, accessing or directing the use of the funds' principal

except as consistent with Section 3 of this act;

7. "Released claims" means released claims as that term is

defined in the Master Settlement Agreement;

8. "Releasing parties" means releasing parties as that term is

defined in the Master Settlement Agreement;

9. "Tobacco product manufacturer" means an entity that after

the effective date of this act directly, and not exclusively through

any affiliate:

a. manufactures cigarettes anywhere that such

manufacturer intends to be sold in the United States,

including cigarettes intended to be sold in the United

States through an importer (except where such importer

is an original participating manufacturer, as that

term is defined in the Master Settlement Agreement,

that will be responsible for the payments under the

Master Settlement Agreement with respect to such

cigarettes as a result of the provisions of subsection

II(mm) of the Master Settlement Agreement, and that

pays the taxes specified in subsection II(z) of the

Master Settlement Agreement, and provided that the

manufacturer of such cigarettes does not market or

advertise such cigarettes in the United States),

b. is the first purchaser anywhere for resale in the

Agreement with respect to such

cigarettes as a result of the provisions of subsection

II(mm) of the Master Settlement Agreement, and that

pays the taxes specified in subsection II(z) of the

Master Settlement Agreement, and provided that the

manufacturer of such cigarettes does not market or

advertise such cigarettes in the United States),

b. is the first purchaser anywhere for resale in the

United States of cigarettes manufactured anywhere that

the manufacturer does not intend to be sold in the

United States, or

c. becomes a successor of an entity described in

subparagraph a or b.

The term "tobacco product manufacturer" shall not include an

affiliate of a tobacco product manufacturer unless such affiliate

itself falls within any of the provisions of subparagraphs a through

c of this paragraph; and

10. "Units sold" means the number of individual cigarettes sold

in the state by the applicable tobacco product manufacturer, whether

directly or through a distributor, retailer or similar intermediary

or intermediaries, during the year in question, as measured by

excise taxes collected by the state on packs, or "roll-your-own"

tobacco containers, bearing the excise tax stamp of the state. The

Oklahoma Tax Commission shall promulgate such rules as are necessary

to ascertain the amount of state excise tax paid on the cigarettes

of such tobacco product manufacturer for each year.