Altria’s tobacco operating companies have leading positions in the most profitable tobacco categories in the United States: cigarettes, smokeless tobacco products and machine-made large cigars.
- Philip Morris USA is the largest tobacco company in the U.S. and has about half of the U.S. cigarette market’s retail share. PM USA’s strategy is to maximize income while maintaining modest share momentum on Marlboro over time.
- U.S. Smokeless Tobacco Company is the world’s leading producer and marketer of moist smokeless tobacco, the fastest growing tobacco segment in the U.S. USSTC’s strategy is to increase income through volume growth, while maintaining modest share momentum on Copenhagen and Skoal combined.
- John Middleton is a manufacturer of large machine-made cigars and pipe tobacco. Middleton’s strategy is to maximize income while maintaining modest share momentum on Black & Mild over time.
- Nu Mark, Altria’s newest operating company, is focused on responsibly developing and marketing innovative tobacco products for adult tobacco consumers. Nu Mark’s goal is to lead the U.S. e-vapor category.
Altria’s tobacco operating companies’ performance is driven by a focus on four premium brands: Marlboro
, Black & Mild
. Each of these brands has superior brand equity and strong adult demographics that support premium pricing and higher margins than most competitors and provide the foundation for future income growth.
Our growing alcohol assets provide diversification outside of U.S. tobacco and, historically, these assets have delivered strong income growth. Our 27 percent economic interest in SABMiller plc
allows us to participate in the global beer profit pool. The earnings from our SABMiller stake have grown from $467 million in 2008 to nearly $1 billion in 2013, a compounded annual growth rate of 16.2 percent. Ste. Michelle Wine Estates
is one of the fastest growing premium wine companies in the U.S. Its distinctive collection of wines continues to receive broad acclaim while delivering strong financial results.
Our strategy is to maximize income from our businesses, focusing on long-term results. We believe that our long-term focus leads to better results for shareholders over time.
For a complete review of Altria's financial condition and results of operations, please see our periodic reports
(Annual Report on Form 10-K and Quarterly Reports on Form 10-Q) filed with the U.S. Securities and Exchange Commission.