8-KEarnings & ResultsMaterial AgreementsOther Events

ALTRIA GROUP, INC. 8-K Report, Material Agreement (Jan 30, 2008)

Filed January 30, 2008For Securities:MO

Summary

Altria Group, Inc. (MO) has filed an 8-K report detailing significant corporate actions, most notably the authorization and terms of the spin-off of its international tobacco business, Philip Morris International Inc. (PMI). This distribution, expected on March 28, 2008, will result in Altria shareholders receiving one share of PMI for every share of Altria common stock they own as of the record date. The filing includes the Distribution Agreement outlining the relationship between Altria and PMI post-spin-off, as well as a press release with the company's financial results for the fourth quarter and full year 2007. Additionally, the report provides details on the dividend policies and share repurchase programs for both entities, and announces the new date for Altria's Annual Meeting of Shareholders to May 28, 2008. Investors should note the formalization of the PMI separation and the implications for future capital allocation and shareholder returns for both newly independent entities.

Key Highlights

  • 1Altria Group has officially authorized the spin-off of 100% of its shares in Philip Morris International Inc. (PMI) to Altria shareholders.
  • 2The distribution date for the PMI spin-off is set for March 28, 2008, with a record date of March 19, 2008.
  • 3Shareholders will receive one share of PMI for every share of Altria common stock outstanding.
  • 4A Distribution Agreement has been entered into with PMI, defining terms and post-distribution relationship between the two companies.
  • 5The company released its financial results for the quarter and fiscal year ended December 31, 2007, via a press release.
  • 6New dividend policies, initial dividend rates, and share repurchase programs for both Altria and PMI have been announced.
  • 7Altria's Annual Meeting of Shareholders has been rescheduled to May 28, 2008, due to the PMI spin-off.

Frequently Asked Questions

The primary event is Altria Group's authorization and detailed planning for the spin-off of its international subsidiary, Philip Morris International Inc. (PMI), to Altria shareholders.

The distribution is scheduled to take place on March 28, 2008. Shareholders of record as of 5:00 p.m. New York City Time on March 19, 2008, will be eligible to receive shares.

For every share of Altria common stock held on the record date, shareholders will receive one share of Philip Morris International common stock.

The spin-off has caused Altria to move its Annual Meeting of Shareholders to May 28, 2008. The deadline for submitting proposals for this meeting has been set for March 28, 2008.