NEW YORK -- The board of directors of Altria Group Inc. announced yesterday that it intends to finalize its decision, including the precise timing, on the distribution of all Kraft Foods Inc. shares owned by Altria to Altria's shareholders at its regularly scheduled meeting on Jan. 31, 2007.
Louis C. Camilleri, chairman and CEO of Altria, said, [Tuesday's] announcement brings us a step closer to a fully independent Kraft. It recognizes our conviction that, having first publicly discussed the restructuring of the company two years ago, this is the right [image-nocss] time to move forward.
As of Sept. 30, 2006, Altria owned approximately 88.6% of the outstanding common shares of Kraft Foods and 100% of the outstanding common shares of Philip Morris International Inc., Philip Morris USA Inc. and Philip Morris Capital Corp. In addition, Altria owned approximately 28.7% of SABMiller plc. The brand portfolio of Altria's consumer packaged goods companies includes such brands as Kraft, Jacobs, L&M, Marlboro, Maxwell House, Nabisco, Oreo, Oscar Mayer, Parliament, Philadelphia, Post and Virginia Slims.
Altria recorded 2005 net revenues of $97.9 billion, the company said. Its shares are up about 6% this year, compared with a 13% increase for the Dow Jones industrial average, said Reuters. Shares had rallied to an all-time high of $85 earlier this year. But the stock has retreated since a federal judge in New York ruled last month that U.S. smokers who bought light cigarettes could sue the tobacco industry as one large class on allegations cigarette makers fooled consumers into thinking light cigarettes were safer than regular smokes.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.