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Altria, Philip Morris end merger talks
WASHINGTON, Sept 25, 2019 (BSS/AFP) – Altria Group said Wednesday it has
ended merger talks with Philip Morris International, scuttling a potential
tie up between the world’s two largest tobacco makers.
“While we believed the creation of a new merged company had the potential
to create incremental revenue and cost synergies, we could not reach
agreement,” Altria chairman Howard Willard said in a statement.
A merger could have helped the two companies confront declining cigarette
sales and diversify in a consumer market shifting toward newer e-cigarettes
and other non-traditional products.
Altria is part owner of e-cigarette maker Juul, which is in crisis mode
after the death of at least nine people who used vaping products.
BSS/AFP/SSS/1829 hrs