Altria Group Inc

Altria Group Inc. said a cigarette-smuggling settlement with the European Union could result in the company's 2004 earnings falling short of expectations. The New York-based parent of Philip Morris USA and Kraft Foods Inc. cut its 2004 earnings forecast by 7 cents to $4.50 to $4.60 a share. The forecast includes expected restructuring charges at Kraft. The European Commission has accused U.S.

Rep. Henry A. Waxman (D-Los Angeles) called for a probe into the destruction of Philip Morris documents related to a federal lawsuit. Philip Morris, a unit of Altria Group Inc., is one of several cigarette makers the Department of Justice accused of fraudulent and deceptive practices in a 1999 suit. U.S.

Altria Group Inc. said profit fell for a second consecutive quarter as U.S. sales tumbled and the company spent more on promotions to win back smokers from lower-priced brands. Net income dropped 7.6% to $2.19 billion, or $1.07 a share, in the first quarter, from $2.37 billion, or $1.09, in the year-earlier period. Revenue fell 5.7% to $19.4 billion, while volume sales of cigarettes by its Philip Morris USA unit slumped 16%. Shares of Altria fell 75 cents to $31.70 on the NYSE.

The Illinois Senate adjourned until Tuesday without reconsidering a bill to reduce a $12-billion bond that Philip Morris USA was ordered to post to appeal a state court ruling. The cigarette maker, a unit of Altria Group Inc., has said it can't afford to pay the bond, due April 21, and that it could be forced to file for bankruptcy protection and default on a $2.5-billion payment due in five days to states under a 1998 settlement. Illinois Judge Nicholas Byron, who ordered the bond in a $10.

Altria Group Inc., owner of the world's No. 1 cigarette maker, had its first quarterly profit decline in almost two years as sales in the U.S. fell and the company spent more on promotions to win back smokers from lower-priced brands. Net income in the fourth quarter dropped 18% to $1.77 billion, or 85 cents a share, from $2.16 billion, or 99 cents, a year earlier. Sales slipped 5.6% to $18.8 billion, Altria said. Altria, which changed its name from Philip Morris Cos.

Philip Morris USA, a unit of Altria Group Inc., won a California Supreme Court review of a $9-million punitive damage award to a sick smoker that has already been reduced twice. The California Supreme Court set aside the award and will review whether the amount is appropriate. Patricia Henley, who was diagnosed with lung cancer, had been awarded $50 million in punitive damages in 1999.

Altria Group Inc., parent of cigarette maker Philip Morris, said profit fell for a third consecutive quarter as sales declined and the company spent more to win back smokers from lower-priced brands. Second-quarter net income dropped 6.6% to $2.44 billion, or $1.20 a share, from $2.61 billion, or $1.21, a year earlier, the New York-based company said. Revenue declined 1.3% to $20.8 billion, hurt by a $383-million plunge in U.S. tobacco sales and disappointing profit at its Kraft Foods unit.

A California appeals court reaffirmed its decision that ordered Altria Group Inc.'s Philip Morris USA to pay $50 million to the family of a smoker who died of lung cancer. In September, the California Court of Appeal in Los Angeles reduced a trial award to $50 million from $100 million. Both sides asked the court for a rehearing. On Friday the court reiterated its decision, provided that Richard Boeken's family agreed to accept the $50-million award.

The nicotine in cigarettes is habit-forming but is not the sole cause of addiction, a tobacco company executive argued during testimony in the government's $280-billion suit against cigarette makers. "At this point, [company executives] are not prepared to say it is the only thing that makes it addictive," said Steven Parrish, senior vice president of corporate affairs of Altria Group Inc., parent of Philip Morris USA. U.S.

A California appeals court Friday upheld a $28-million punitive damage award against Altria Group Inc.'s Philip Morris USA Inc. in the case of a longtime smoker who died three years ago. The ruling comes in the case of Betty Bullock, who was awarded $28 billion by an L.A. jury in 2002; the award was reduced to $28 million by the trial judge.