8-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report: June 21, 2010

(Date of earliest event reported)

UNIVERSAL CORPORATION

(Exact Name of Registrant as Specified in its Charter)

Virginia	001-00652	54-0414210
(State or Other Jurisdiction	(Commission File Number)	(IRS Employer
of Incorporation)		Identification No.)

9201 Forest Hill Avenue	23235
Richmond, Virginia	(Zip Code)
(Address of Principal Executive Offices)

Registrant's telephone number, including area code:

(804) 359-9311

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01. Other Events.

On June 21, 2010, the Registrant issued a press release announcing that its Brazilian subsidiary, Universal Leaf Tabacos Limitada, entered into an agreement with Philip Morris Brasil Industria e Comercio, a subsidiary of Philip Morris International Inc., for the sale of certain contract rights.  The press release is furnished as Exhibit 99.1 to this Report and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d)           Exhibits.

No.	Description
99.1	Press release dated June 21, 2010, announcing the sale of certain contract rights.*

_________

*Filed Herewith

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	UNIVERSAL CORPORATION
	(Registrant)
Date: June 21, 2010	By:	/s/ David C. Moore
		David C. Moore
		Senior Vice President and Chief
		Financial Officer

Exhibit Index

Exhibit
Number	Document
99.1	Press release dated June 21, 2010, announcing the sale of certain contract rights.*

__________

*Filed Herewith

EX-99.1

P.O. Box 25099 Ÿ Richmond, VA 23260 Ÿ Phone: (804) 359-9311 Ÿ Fax: (804) 254-3584

PRESS RELEASE

CONTACT	RELEASE
Karen M. L. Whelan	8:30 am NYT
Phone:  (804) 359-9311
Email:    investor@universalleaf.com

Universal Leaf Tabacos Limitada Signs Agreement for Sale of Certain Contract Rights

Richmond, VA • June 21, 2010 / PRNEWSWIRE

Universal Corporation (NYSE:UVV) (“Universal”) announced that its Brazilian subsidiary, Universal Leaf Tabacos Limitada (ULTL), signed an agreement today to assign contracts for the production of tobacco representing approximately 20% of its current volume in Brazil to Philip Morris Brasil Industria e Comercio (“PMB”), a subsidiary of Philip Morris International Inc. (“PMI”). As part of the transaction, PMB has agreed to offer employment to certain ULTL employees. They will also acquire some related assets. Total consideration will depend upon the number and characteristics of the contracts assigned, but it is not expected to be material to Universal’s consolidated balance sheet. The transaction is subject to certain closing conditions and government approvals, and is expected to close near the end of the second fiscal quarter. ULTL expects to continue to supply processed leaf to PMI and to provide processing services to PMB.

Airton Hentschke, President of Universal Leaf Tabacos Ltda., noted, "As we and our customers respond to changing market conditions, we are opening a new chapter in our long-term relationship with PMI. This transaction represents a change in the structure of part of our business here, but we will continue to operate efficiently and provide the quality that all of our customers have come to expect from us.”

About the Companies

Headquartered in Richmond, Virginia, Universal Corporation (NYSE:UVV) is the world's leading leaf tobacco merchant and processor and conducts business in more than 30 countries. Its revenues for the fiscal year ended March 31, 2010, were $2.5 billion. For more information on Universal Corporation, visit its web site at www.universalcorp.com.

Universal Leaf Tabacos Ltda. (“ULTL”) is a subsidiary of the Universal Corporation. The company began its operation in Brazil in 1970. ULTL is the largest exporter of leaf tobacco from Brazil with operations in the main tobacco producing states of Brazil: Rio Grande do Sul, Santa Catarina, and Parana.  Headquartered in Santa Cruz do Sul, the company has 4,000 full-time and seasonal employees. Its products are sold on five continents, meeting its clients’ most exacting requirements. The rigorous standard of product and service quality, as well as environmental stewardship, are evidenced in ISO 9001 and 14001 certification.

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