Lead Views

I have 5 sales territories which I have created a view for:

Example: View Name: Retail Northeast, my criteria is:
State is wv,WV,pa,PA,ny,NY,vt,VT,me,ME,nh,NH,ma,MA,ri,RI,ct,CT,nj,NJ,de,DE,md,MD

And Product Interest is "Product 1"
or Product Interest is "Product 2"
or Product Interest is "Product 3"

For the states, I wasn't sure if it needed to be exact so I added both upper and lower case state abbreviations. Do I need to do this? Now, when I use the filter, I get all leads that do not have a state associated with it (some folks leave that blank on the web form submission) and states that are definitely not listed in the "State is...) statement (i.e ga, GA). What criteria can I add to my statement that will not return Leads that have no state information? I will manually assign these. Why is it returning Leads in states that are not in my state list?

Also, I use this same filter for my Accounts and it works perfectly.