The first-ever second-hand smoke case against the tobacco industry to reach a courtroom ended abruptly yesterday in a $300 million (£205.9 million) settlement. US tobacco companies agreed to fund a $300 million foundation for research into detecting and curing diseases flight attendants say they suffered from breathing second-hand smoke on planes.

The lawsuit was filed on behalf of thousands of US-based flight attendants in 1991. Plaintiffs' attorneys had said they would seek more than $5 billion in damages.

The agreement gave flight attendants the right to file lawsuits separately against the tobacco industry but gave them no money beyond creation of the foundation.

Both the flight attendants and the tobacco industry claimed victory.