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It dropped a hint of its actions on a call with analysts about its most recent earnings, when it said sales of tobacco products fell by a "low double-digit" percentage as Costco "continues to eliminate tobacco SKUs from various locations." Executives have made it a special focus to pull tobacco products from Costco's business center warehouses (which sell products tailored to local businesses), reducing the potential of large customers such as local convenience stores to have items delivered

Those who import, distribute or sell such products face stiffer penalties, including a possible jail term

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