Imperial Tobacco Canada Ltd.

A proposed deal that would see three tobacco giants pay out billions to provinces and territories, as well as smokers across Canada, has been approved by the companies' creditors, a lawyer representing some of the creditors said on Thursday, calling it an important milestone in a lengthy legal saga.

Three tobacco giants would pay close to $25 billion to provinces and territories and more than $4 billion to tens of thousands of Quebec smokers and their loved ones as part of a newly proposed deal in a corporate restructuring process triggered by a long-running legal battle.

More details are expected today on a proposed deal that would see the three major companies pay out billions of dollars to provinces and territories as well as smokers and their loved ones.