Senate Tightens Grip on Cigarette Makers

The 79-17 Senate vote now sends the measure back to the House, which in April passed a similar version. House acceptance of the bill would send it directly to President Barack Obama, who supports the action.

This bill is among the mounting hits the tobacco industry has taken in recent years. In 1998, the industry agreed to pay the states $206 billion to help cover health-care costs, and this year Congress raised the federal cigarette tax by 62 cents, to $1.01 a pack, to fund a health-care program for children.

Shares of cigarette makers remained steady in late afternoon trading. Altria gained 1% to $16.95, Reynolds was up slightly .5% to $37.49 and Lorillard spiked 2% to $67.19.