NEW YORK ( TheStreet) -- Lorillard ( LO), Reynolds American ( RAI) unit R.J. Reynolds and other top tobacco makers are suing the U.S. Food and Drug Administration, alleging that new graphic labeling rules are unconstitutional.
Reynolds American (RAI) was one of the worst performers on news the tobacco company will secure Lorillard’s (LO) debt as part of its nearly $30 billion merger with the company.
Lorillard (LO) shares continue to gain after FTC approval of its $27.4 billion takeover deal by Reynolds American (RAI).
Stocks extend gains by mid-afternoon Wednesday.
Reynolds American Inc. (RAI) and Lorillard Inc. (LO) were granted approval late Tuesday by the Federal Trade Commission to complete the previously announced $27.4 billion merger.