Category Archives: Around the web
Last week Altria Group, parent company of the leading cigarette maker in the USA, Philip Morris, revealed its financial report for the third quarter of the year. The company reported revenue added 2.2% on the year-over-year basis, equaling $6.2 billion and significantly surpassing consensus estimates. Adjusted earnings grew by 3.2% to post $0.58 per share, nearly in-line with anticipated results.
The company had to pay a heavy charge of $874 million to settle early debt extinguishment, and in addition it benefited from inexpensive interest rates, releasing $1.9 billion of 2.85% unsecured notes to be paid in 2022 and further $900 million in 4.25% unsecured notes to be paid in 2042. Analysts believe the given capital could be directed to buy back shares, since the company approved a supplemental $500 million for its share buyback plan.
Although experts think Altria shares are valued at a fair basis, anti-smoking measures hinder possibly accretive spending on promotion and marketing, while according to experts, dividends and share repurchase are the best way for Altria to provide shareholder value.
Malaysia is set to adopt a law, which will successfully ban all promotional prices and discounts on cigarettes, trying to discourage tobacco use, Richard James, director of corporate affairs at Philip Morris Malaysia revealed.
At present, tobacco companies operating in Malaysia, are allowed to provide 5% discounts during one month, not more than 3 times a year. Such offers are usually carried out during the launch of new products.
According to Mr. James, Philip Morris International Malaysia, which manufactures Marlboro, Parliament and L&M cigarettes, is not opposing the new initiative by Malaysian Ministry of Health, since tobacco companies were notified about the measure.
Michael Noonan, Ireland’s Minister of Finances, dismissed a move to introduce a 15-Euro price tag per pack of cigarettes on grounds that it would likely result in the growth of tobacco trafficking.
Minister of Health James Reilly was eager to implement a gradual price hike for cigarettes, which would raise the price of a pack of cigarettes by 65 percent in six years.
However, Finance Minister said it would be a “shock” tactic, since the legal businesses across the country have already been deeply affected by black market, due to the current average cost of 9.10 Euro, with state losing 250million Euro annually in missed revenue to the market of smuggled cigarettes.
The price hike is part of the set of anti-smoking measures introduced by the Health Ministry, which also intends to promulgate a bill to prohibit smoking in vehicles with children and in outdoor public venues, like parks and beaches.
If you are a fan of Marlboro, Camel, or any other famous cigarette brands, imported to India, you should better start stocking up, as Indian government is currently debating over possible restrictions on the importations of tobacco products and a total ban on foreign presence in wholesale sales of cigarettes and other tobacco products.
The measure is considered two years after India’s authorities prohibited direct investment of foreign companies into cigarette production industry.
Local Department of Finance has sent a letter to the Ministry of Commerce asking it to consider implementing restrictions on imports of cigarettes in the latest foreign trade legislation.
Australian Health Minister, Tanya Plibersek, strongly criticized a move by British American Tobacco Australia to introduce cheap cigarette brands to Australian tobacco market.
British American Tobacco – which manufactures such brands as Lucky Strike, Benson & Hedges, Vogue, Winfield, Dunhill and other brands – launched “Just Smokes” brand, available in stores across the nation for roughly 11.50 Australian dollars (nearly $11.40) per pack of 25 cigs.
A pack of 25 cigarettes retails for 16 Australian dollars on the average, mainly due to the high duties on tobacco products.
British American Tobacco Australia states it is obliged to sell low-cost cigarettes in order to be able to compete with counterfeit and contraband tobacco products massively available on black market, and according to the cigarette maker’s spokesman Scott McIntyre selling for not more than 10 Australian dollars.
Australian Minister of Health admitted she was most concerned over the impact on adolescents.
As it was expected, Ukraine has submitted a complained to the World Trade Organization (WTO) regarding the Australian government’s legislation banning logos and branding of cigarettes and other tobacco products on the grounds that the measure is an infringement of the international regulations on intellectual property.
Australia became the first country across the world to oblige cigarette makers pack their products in identical generic packs. From December 1st, 2012, cigarettes will be selling in olive-colored packs, lacking any logos or images, besides the graphic health warning labels. The world’s leading tobacco companies , among which are British American Tobacco, Imperial Tobacco and Japan Tobacco International, have pledged to contest the legislation, which Australian lawmakers plan to extend to comprise loose tobacco and cigars.
Ukraine states the peer-reviewed evidence on which the legislation is based is arguable and not sufficient, while plain-packaging regulations will not help to meet the country’s public health goals, but simply contribute to growth of the black market of fake cigarettes.
Going cold turkey is the most popular way of getting rid of smoking, according to a study carried out by the University of Sydney Department of Public Health researches. Since nearly 60 percent of smokers managed to quit smoking permanently through this method, the scientists wanted to find out why.
The study is performed by a team of researchers, led by Dr. Sally Dunlop, who is specializing in the determinants of behaviors related to health. The objectives of the study were identified as investigation of causes and ways why cigarette smokers opt for different methods for quitting smoking.
Officially named as ‘unassisted cessation‘ this method of quitting is considered the most effective and successful way to stop smoking. However, Dr. Dunlop believes this method has not been studied and used as together with other methods of smoking cessation applied across the nation.
Last week, British American Tobacco reported the company’s results for nine months to September 30th, posting 7 percent growth at constant exchange rates and on organic basis, due to high pricing, even despite volumes went down and economic conditions remained challenging. Nicandro Durante, BAT Chief Executive declared the tobacco giant eyes another year of profits growth.
According to Durante, whereas the challenging market conditions continued to affect smokers in many markets, other markets are demonstrating growth. Price increases driven by excise tax growth will continue to impact on tobacco industry volumes, yet, the company managed to achieve strong performance with Global Drive Brands and reached solid growth in profits.
BAT released an interim management statement for three quarters, saying that it managed to increase overall market share in the main 40 markets thanks to continued growth of market share of its key brands.
Over the last couple of months many well-known international tobacco companies have launched new brands, introduced new styles of existing top-selling products or changed the pack designs of their brands. We decided to make a review of the major new-comers in our stock.
1. Bond Super Slims – one of the key international brands of Philip Morris International, Bond brand was generally perceived as a product oriented for male-smokers, preferring stronger and bolder smoke; but in order to keep up with the latest market tendencies, the company decided to launch a lower-tar and longer cigarette, which will be a nice choice for women-smokers.
2. Pall Mall Nanokings – the new style of the legendary Pall Mall brand, owned by British American Tobacco (outside of U.S.) is referred to the segment of regular-sized (80 mm) slim cigarettes. This a new but already highly-popular segment in the international market, currently led by PMI and BAT with such brands as Marlboro Gold Edge, Kent Nanotek and L&M 83. All varieties of Pall Mall cigarette brand are marked by high-quality and moderate price, so Pall Mall Nanokings are worthy to be tried too.
1. Rich (Rich Apple and Rich Rum&Cherry) – this brand is launched by Imperial Tobacco subsidiary, Richmond Tobacco Co., famous among adult smokers for such premium-quality brand as Richmond.
Rich cigarette brand differs from other products by the inimitable flavor of Apple and Cherry, which can be felt after opening a pack of these cigarettes. We recommend Rich brand to those smokers that prefer stronger smoke, high-quality and unusual aroma.
2. Beratt (Beratt L, Beratt XL, Beratt XXL) – this brand is the latest creation of TUTUN-CTC, the famous Moldavian tobacconist and owner of such great brands as Doina, Temp and Cosmos. According to the manufacturer, Beratt cigarette is manufactured from high-quality imported Virginia and Burley tobacco and natural ingredients that contribute to a rich and balanced smoke of these cigarettes and their intense and pleasant taste. Beratt is selling in the mid-value segment, and can become a strong competitor in that category.
3. Dunhill – this premium quality fine cut tobacco product is expected to join our stock next week. But we decided to let our customers know about the arrival of this exceptional brand in advance. Dunhill brand needs no advertisement, as it is one of the flagship brands of British American Tobacco in the premium segment.
1. Pall Mall (Pall Mall Blue, Pall Mall Amber Slims, Pall Mall Blue Slims) – besides, launching a new style of Pall Malls, its manufacturer also changed the pack-designs of the current styles. As the terms “lights and ultra lights” will soon be banned, BAT introduced color-names to help adult smokers identify their favorite varieties.
2. Marlboro Gold – Philip Morris International introduced new pack design of its flagship Marlboro Gold brand several weeks ago. The new package is more laconic and stylish than the previous one, so Marlboro-lovers will definitely appreciate the new look of the world’s number one cigarette.
First look at prices of cigarettes you want to buy, look at Contact page. Every honest company should have its customer service phone line. See where the company is registered or located.
Learn about payment options. Online store website must use SSL or any other secure payment processing systems. Be very attentive with payment processing time. While credit card payments are accepted at most in one day, e-check payment processing may take up to 14 days. Usually online stores count delivery time from date of shipping, not date of placing an order. If you have any questions call customer service. After you have cleared up everything, and sure that the company worth to be trusted go ahead and place your order.