While we expect gross margins (for both pharma and diagnostics) to decline going forward due to a change in product mix and pricing pressure, the decline may not be as steep as we had earlier anticipated and so we have slightly revised our gross margin expectation.

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Our agreement was that she would continue to participate in design but that we would oversee management, and that involves pricing and product mix.

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As the largest tobacco company in the U.S. with leading brands, its strong pricing power and product mix continue to be the key sources of value creation.

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