Forty-six States, the District of Columbia and five US territories have agreed to a $206 billion (£140 billion) deal with the tobacco industry, Washington state attorney general Ms Christine Gregoire said yesterday.

The deal, drafted initially by eight states and the four largest tobacco companies and announced on Monday, would pay states for the cost of treating sick smokers and curb youth smoking over 25 years.

The attorney general said she had already spoken with the tobacco company heads, who told her they would be willing to sign the documents ratifying the agreement on Monday.