In this chapter,

1. (1) “adjusted for inflation” means increased in accordance with the formula for inflation adjustment set out in Exhibit C to the Master Settlement Agreement;

2. (2) “affiliate” means a person who directly or indirectly owns or controls, is owned or controlled by, or is under common ownership or control with, another person; in this paragraph,

   1. (A) “owns,” “is owned,” and “ownership” mean ownership of an equity interest, or the equivalent thereof, of 10 percent or more;
   2. (B) “person” means an individual, a partnership, a committee, an association, a corporation, or any other organization or group of persons;
3. (3) “allocable share” means allocable share as that term is defined in the Master Settlement Agreement;

4. (4) “cigarette”

   1. (A) means any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains

      1. (i) any roll of tobacco wrapped in paper or in any substance not containing tobacco;
      2. (ii) tobacco, in any form, that is functional in the product, which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling is likely to be offered to, or purchased by, consumers as a cigarette; or
      3. (iii) any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in (i) of this subparagraph;

   2. (B) includes “roll-your-own”; for purposes of this subparagraph,

      1. (i) 0.09 ounces of “roll-your-own” tobacco constitutes one individual “cigarette;”
      2. (ii) “roll-your-own” includes any tobacco that, because of its appearance, type, packaging, or labeling is suitable for use and likely to be offered to, or purchased by, consumers as tobacco for making cigarettes;
5. (5) “Master Settlement Agreement” means the settlement agreement and related documents described in AS 45.53.010;
6. (6) “original participating manufacturer” means “original participating manufacturer” as that term is defined in the Master Settlement Agreement;
7. (7) “qualified escrow fund” means a fund described in AS 45.53.020(c);
8. (8) “released claims” means “released claims” as that term is defined in the Master Settlement Agreement;
9. (9) “releasing parties” means “releasing parties” as that term is defined in the Master Settlement Agreement;

10. (10) “tobacco product manufacturer”

    1. (A) means an entity that, on or after June 4, 1999, directly, and not exclusively through an affiliate,

       1. (i) manufactures cigarettes anywhere that such manufacturer intends to be sold in the United States, including cigarettes intended to be sold in the United States through an importer; provided, however, that an entity that manufactures cigarettes that it intends to be sold in the United States shall not be considered to be a tobacco product manufacturer under this clause (i) if, first, such cigarettes are sold in the United States exclusively through an importer that is an original participating manufacturer, as that term is defined in the Master Settlement Agreement, that will be responsible for the payments under the Master Settlement Agreement with respect to such cigarettes as a result of the provisions of sec. II(mm) of the Master Settlement Agreement and that pays the taxes specified in sec. II(z) of the Master Settlement Agreement, and, second, the manufacturer of such cigarettes does not market or advertise such cigarettes in the United States;
       2. (ii) is the first purchaser anywhere for resale in the United States of cigarettes manufactured anywhere that the manufacturer does not intend to be sold in the United States; or
       3. (iii) becomes a successor of an entity described in (i) or (ii) of this subparagraph;
    2. (B) does not include an affiliate of an entity described in (A) of this paragraph unless the affiliate itself meets the standards set out in any of (A)(i) — (iii) of this paragraph;
11. (11) “units sold” means the number of individual cigarettes sold in the state by the applicable tobacco product manufacturer, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, during the year in question, as measured by excise taxes collected by the state on packs or “roll-your-own” tobacco containers.