Additional Examples. (A) Calculating the Inflation Adjustment Percentages: Percentage to be applied on the Inflation Adjustment Percentage for the prior year (i.e., Inflation Payment Hypothetical the greater of 3% or the Adjustment Year CPI% CPI%) Percentage ---------------------------------------------------------------- 2000 2.4% 3.0% 3.0000000% 2001 2.1% 3.0% 6.0900000% 2002 3.5% 3.5% 9.8031500% 2003 3.5% 3.5% 13.6462603% 2004 4.0% 4.0% 18.1921107% 2005 2.2% 3.0% 21.7378740% 2006 1.6% 3.0% 25.3900102% (B) Applying the Inflation Adjustment: Using the hypothetical Inflation Adjustment Percentages set forth in section (7)(A): -- the subsection IX(c)(1) base payment amount for 2002 of $6,500,000,000 as adjusted for inflation would equal $7,137,204,750; -- the subsection IX(c)(1) base payment amount for 2004 of $8,000,000,000 as adjusted for inflation would equal $9,455,368,856; -- the subsection IX(c)(1) base payment amount for 2006 of $8,000,000,000 as adjusted for inflation would equal $10,031,200,816. EXHIBIT D LIST OF LAWSUITS ---------------- 1. ALABAMA ▇▇▇▇▇▇▇▇ ET AL. V. AMERICAN TOBACCO CO. ET AL., Circuit Court, ▇▇▇▇▇▇▇▇▇▇ County, No. CV-96-1508-PR
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Sources: Master Settlement Agreement (Loews Corp), Master Settlement Agreement (Philip Morris Companies Inc), Master Settlement Agreement (RJR Nabisco Inc)