NEW YORK -- As anticipated, the board of directors of Altria Group Inc. announced on Wednesday its intention to pursue the spinoff of Philip Morris International Inc. (PMI) to Altria's shareholders.
The board said it anticipates that it will be in a position to finalize its decision and announce the precise timing of the spinoff at its regularly scheduled meeting on Jan. 30, 2008.
In addition to a final determination by the board, the spinoff of PMI will be subject to the receipt of a favorable ruling from the Internal Revenue [image-nocss] Service (IRS), the receipt of an opinion of tax counsel, the effectiveness of a registration statement with the Securities & Exchange Commission (SEC), as well as the execution of several intercompany agreements and the finalization of other matters.
Upon completion of the plan, Michael E. Szymanczyk is expected to be appointed chairman and CEO of Altria Group, and Louis C. Camilleri will assume that role at PMI.
As of June 30, 2007, Altria Group owned 100% of PMI, Philip Morris USA Inc. and Philip Morris Capital Corp., and approximately 28.6% of SABMiller plc. The brand portfolio of Altria Group's tobacco operating companies includes such names as Marlboro, L&M, Parliament and Virginia Slims.
New York City-based Altria Group recorded 2006 net revenues from continuing operations of $67.1 billion.
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