Company Overview and History
- Altria Group, Inc. is an American corporation in the tobacco industry.
- It is one of the largest producers and marketers of tobacco, cigarettes, and related products globally.
- Altria operates worldwide and is headquartered in Henrico County, Virginia.
- The company is publicly traded on the NYSE under the ticker symbol MO.
- It is a component of the S&P 500 index.
- Altria emerged from Philip Morris Companies in 2003.
- The rebranding was done to emphasize a diversified business portfolio beyond tobacco.
- The name 'Altria' was chosen to mask the negatives associated with the tobacco industry.
- Altria sold its stake in Kraft Foods in 2007 and completed the spin-off of Philip Morris International in 2008.
- The company acquired cigar manufacturer John Middleton Co. in 2008.
Legal Issues and Controversies
- In 2006, Altria and other tobacco companies were found guilty of misleading the public about the dangers of smoking.
- Defendants altered the chemical form of nicotine in cigarettes to increase addiction.
- Altria's stake in Kraft Foods was spun off in 2007, and its shares of Philip Morris International were sold in 2008.
- The company faced social, legal, and financial troubles during the rebranding process.
- The acquisition of UST Inc. in 2009 marked the end of competition between Marlboro smokeless tobacco products and UST's products.
- In August 2006, Altria was found guilty of civil fraud and racketeering.
- Lawsuit claimed Altria's marketing of light and low tar cigarettes constituted fraudulent misrepresentations.
- Altria admitted to making cigarettes more addictive in advertisements.
- Altria was involved in the United States v. Philip Morris lawsuit.
- Altria's use of ammonia in cigarette tobacco was studied for its effect on nicotine absorption.
Investments and Acquisitions
- Altria acquired a 45% stake in Cronos Group, a Canadian cannabis company, in 2018.
- It finalized the acquisition of a 35% stake in JUUL Labs, an e-cigarette company, in the same year.
- The company took a $4.5 billion writedown on its stake in JUUL in 2019.
- Altria invested in Swiss tobacco company Burger Söhne in 2019.
- A joint venture called Horizon Innovations LLC was announced with Japan Tobacco in 2022.
Finances
- In fiscal year 2020, Altria reported earnings of $4.45 billion and annual revenue of $26.15 billion.
- The company's shares traded at over $66 per share.
- Its market capitalization was valued at over $118.5 billion in October 2018.
- Altria ranked 154th on the Fortune 500 list of the largest US corporations by revenue in 2018.
- The company's financial performance has seen fluctuations over the years.
Corporate Governance, Headquarters, and Political Influence
- Elizabeth E. Bailey, professor emerita, the Wharton School, University of Pennsylvania
- Gerald L. Baliles (2008–2019), director, Miller Center of Public Affairs at University of Virginia; former Virginia governor
- Martin Barrington, chairman and CEO, Altria Group, Inc.
- John T. Casteen III (2010– ), president emeritus, University of Virginia
- Dinyar S. Devitre (2008– ), special advisor, General Atlantic Partners, New York, NY; former SVP and CFO of Altria
- Former Altria Headquarters in Manhattan, New York
- Philip Morris moved its headquarters to Virginia in 2003, saving over $60 million annually
- Altria's current head offices are in an unincorporated area of Henrico County, Virginia
- Altria has a 450,000-square-foot, $350 million Center for Research and Technology in downtown Richmond
- The center employs approximately 600 scientists, engineers, and support staff
- Altria spent around $101 million on lobbying the US government between 1998 and 2004
- Altria funded The Advancement of Sound Science Coalition, which lobbied against the scientific consensus on climate change
- Daniel Smith, representing Altria, sits on the Private Enterprise Board of the American Legislative Exchange Council
Altria Data Sources
Reference | URL |
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Glossary | https://www.alternix.com/blogs/glossary-of-terms/altria |
Wikipedia | http://en.wikipedia.org/wiki/Altria |
Wikidata | https://www.wikidata.org/wiki/Q445007 |
Knowledge Graph | https://www.google.com/search?kgmid=/m/0dv3x |