BOCA RATON, Fla. -- The potential of nicotine-delivery alternatives eclipsing cigarettes lies at the core of one of America’s largest tobacco manufacturers' road to future profitability, executives said during a recent analyst gathering.
Speaking at the Consumer Analyst Group of New York (CAGNY) meeting in Boca Raton, Fla., on Feb. 21, Marty Barrington, chairman, CEO and president of Altria Group Inc., Richmond, Va., and other executives named several broad strategies to ensure the company’s viability, at a time when the sale of combustible cigarettes continues a slow, steady decline in volume in the United States.
“We aspire to be the U.S. leader in authorized noncombustible, reduced-risk products,” Barrington said. “The range of tobacco products available in the U.S. is diverse when compared to many international markets, and different product platforms appeal to different U.S. adult tobacco consumers. That’s why we’re taking a portfolio approach, focusing on the three most promising platforms for U.S. adult tobacco consumers: smokeless tobacco and oral nicotine-containing products, e-vapor and heated tobacco.”
Two other Altria Group executives, COO Howard Willard and CFO Billy Gifford, further detailed the company’s strategies. Barrington reminded attendees of his announced retirement and said that as of May 17, Willard will step in as Altria’s next chairman and CEO, while Gifford will become vice chairman and CFO.
Here are a few highlights of the strategy outlined by the Altria executives ...