8-K

UNITED STATES

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 (Date of earliest event reported): February 18, 2010

ALTRIA GROUP, INC.

(Exact name of registrant as specified in its charter)

Virginia	1-8940	13-3260245
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

6601 West Broad Street, Richmond, Virginia	23230
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (804) 274-2200

(Former name or former address, if changed since last report.)

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:

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

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

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

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

Item 7.01. Regulation FD Disclosure.

On February 18, 2010, Altria Group, Inc. (“Altria” or the “Company”) announced that the Company’s Chairman and Chief Executive Officer, Michael E. Szymanczyk, will be giving a live presentation to the Consumer Analyst Group of New York (“CAGNY”) in Boca Raton, Florida, about the Company’s tobacco strategies and external tobacco environment. During the presentation, David Beran, the Company’s Chief Financial Officer, will provide information about Altria’s and its operating companies’ 2009 business results and 2010 strategies. In connection with the presentation, the Company is furnishing to the Securities and Exchange Commission the following documents attached as exhibits to this Current Report on Form 8-K and incorporated by reference herein: the text of Mr. Szymanczyk’s and Mr. Beran’s remarks attached as Exhibit 99.1 hereto, the selected presentation slides attached as Exhibit 99.2 hereto and the press release announcing the key highlights of the presentation attached as Exhibit 99.3 hereto.

Reconciliations of non-GAAP measures included in the presentation and presentation slides to the most comparable GAAP measures are set forth in Exhibit 99.2 hereto.

In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including the exhibits hereto, shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. The information in this Current Report shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing or document.

Item 9.01. Exhibits.

(c) Exhibits

99.1	Remarks by Michael E. Szymanczyk, Chairman and Chief Executive Officer, Altria Group, Inc. and David R. Beran, Chief Financial Officer, Altria Group, Inc., dated February 18, 2010 (furnished pursuant to Item 7.01).
99.2	Altria Group, Inc. Selected Presentation Slides, dated February 18, 2010 (furnished pursuant to Item 7.01).
99.3	Altria Group, Inc. Press Release, dated February 18, 2010 (furnished pursuant to Item 7.01).

SIGNATURES

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

ALTRIA GROUP, INC.
By:	/s/    W. Hildebrandt Surgner, Jr.
Name:	W. Hildebrandt Surgner, Jr.
Title:	Corporate Secretary and
	Senior Assistant General Counsel

DATE: February 18, 2010

INDEX TO EXHIBITS

99.1	Remarks by Michael E. Szymanczyk, Chairman and Chief Executive Officer, Altria Group, Inc. and David R. Beran, Chief Financial Officer, Altria Group, Inc., dated February 18, 2010 (furnished pursuant to Item 7.01).
99.2	Altria Group, Inc. Selected Presentation Slides, dated February 18, 2010 (furnished pursuant to Item 7.01).
99.3	Altria Group, Inc. Press Release, dated February 18, 2010 (furnished pursuant to Item 7.01).

EX-99.1

Exhibit 99.1

Remarks by Michael E. Szymanczyk, Altria’s Chairman and Chief Executive Officer, and

Dave Beran, Altria’s Executive Vice President and Chief Financial Officer

2010 Consumer Analyst Group of New York (CAGNY) Conference

Boca Raton, FL

February 18, 2010

Remarks by Mr. Fleet

Good morning and thank you for joining us for today’s presentation.

Our remarks today contain projections of future results. I direct your attention to the Forward-Looking and Cautionary Statement section at the end of today’s press release for a review of the various factors that could cause actual results to differ from projections. Altria Group, Inc. (Altria) reports its financial results in accordance with generally accepted accounting principles. Today’s presentation may contain various operating results on both a reported basis and on an adjusted basis, which excludes items that affect the comparability of reported results. Reconciliations are available on our website, www.altria.com and at the end of this presentation.

Now, it gives me great pleasure to introduce Mike Szymanczyk, Chairman and Chief Executive Officer of Altria Group, Inc.

Remarks by Mr. Szymanczyk

Thank you Cliff and good morning everyone. Joining me here today are Dave Beran, Altria’s Executive Vice President and Chief Financial Officer; Craig Johnson, Executive Vice President of Altria; Marty Barrington, Altria’s Executive Vice President, Chief Compliance & Administrative Officer; and Murray Garnick, Altria’s Senior Vice President of Litigation. We are pleased to be here today discussing Altria’s performance and its 2010 plan to deliver strong returns to our shareholders.

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It has been almost two years since the spin-off of Philip Morris International Inc. (PMI). These years have been ones of substantial change at Altria as the company has positioned itself to take advantage of evolving adult tobacco consumer preferences in the United States. Altria successfully integrated John Middleton Co. (Middleton) and UST LLC (UST), and Altria’s tobacco operating companies have leading positions in all of the major tobacco categories with four strong brands: Marlboro, Copenhagen, Skoal and Black & Mild.

Altria’s corporate mission continues to guide the company. Altria’s mission is to own and develop financially disciplined businesses that are leaders in responsibly providing adult tobacco and wine consumers with superior branded products. This mission is supported by our five core values of integrity, trust and respect; passion to succeed; executing with quality; driving creativity; and sharing with others.

This mission and values framework has guided the company very well in what can only be characterized as a difficult operating environment for business in general, and tobacco companies in particular.

Adult consumers remain under economic pressure, as unemployment is at an historically high level, and consumer confidence is very low. This challenging economic environment appears to be impacting the adult consumer mindset. Nearly 75% of adult consumers have a different set of priorities than several years ago, and this change has important implications for those of us who manufacture and market consumer packaged goods intended for adults.

Changing social norms, reduced access to credit and increasing government regulations are shifting adult consumer spending patterns. Nearly 60% of adult consumers say they do not plan to spend the way they have in the past, but they continue to seek lives that are enjoyable, aspirational and secure. Attracting adult tobacco consumers with this new mindset requires relevant and innovative brands that satisfy their evolving preferences and aspirations. We believe the four premium brands of Altria’s tobacco operating companies are well-positioned to do that.

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Federal and state government issues also continue to be important to the tobacco business. On April 1, 2009, significant federal tobacco excise tax increases went into effect. The federal excise tax (FET) on a pack of cigarettes increased by 158% to $1.01 per pack, and there were corresponding increases on smokeless tobacco products and machine-made large cigars, of 158% and 155%, respectively.

The year-end weighted average state excise tax on cigarettes increased by 12.5% in 2009 to $1.26 per pack, as many states faced large budget deficits and a corresponding need to raise revenue. Importantly, however, twenty states that had state excise tax proposals in 2009 did not enact a tax increase. Not surprisingly, so far this year thirteen states have introduced proposals to raise their cigarette excise taxes through the end of last week, and we are actively engaged in those states.

We are pleased that there were successes last year in converting several states from ad valorem tax structures on smokeless tobacco products to a weight-based methodology. In 2009, five states and the District of Columbia converted to weight-based, resulting in 27% of smokeless industry volume now being sold in states using this tax structure. Currently 31 states use an ad valorem methodology, which results in an unfair competitive advantage for discount smokeless tobacco manufacturers and potentially less revenue for the states in comparison to a weight-based methodology.

Last year the Food and Drug Administration (FDA) assumed regulatory oversight over tobacco products. While we did not agree with every element of this law, including those we believe cross constitutional limits, we supported its enactment. Thoughtfully implemented federal regulation of tobacco products should benefit tobacco consumers in the long-term, and contribute to resolving many of the complex issues that surround cigarettes and smokeless tobacco.

The implementation of this regulatory framework will take place over many years, but there are several events of particular significance scheduled to occur in 2010.

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• In March, the FDA is expected to issue regulations regarding the sale, promotion and advertising of cigarettes and smokeless tobacco products;

• In June, cigarette manufacturers are required to remove the descriptors of “light,” “mild” or “low” from cigarette packs and advertising, and smokeless tobacco manufacturers also must make warning notice label changes; and,

• In August, the Tobacco Products Scientific Advisory Committee is expected to issue a report on the impact of menthol on public health.

The FDA has begun implementing this regulatory framework, and we have begun actively participating in the process established by the FDA.

Altria and its operating companies managed through the challenging business environment in 2009 by successfully executing their growth strategies:

• First, maximizing income while maintaining share momentum on Marlboro in the cigarette category;

• Second, quickly integrating U.S. Smokeless Tobacco Co. (USSTC) into the Altria family of companies and returning Copenhagen and Skoal to growth in-line or slightly ahead of category growth rates;

• Third, profitably assuming share leadership in the machine-made large cigar category driven by the growth of Black & Mild; and finally

• Growing income from Ste. Michelle Wine Estates (Ste. Michelle).

In 2009, the cigarette segment’s adjusted operating companies income increased 5.5% to $5.3 billion. Last year, Philip Morris USA’s (PM USA) strategies focused on maximizing income while managing through the external pressures of a challenging economy, the federal excise tax

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increase and increased competitive spending. Despite these external pressures, Marlboro maintained a strong retail share position of 41.8% for the full-year.

From 2007 to 2009, PM USA has grown its adjusted operating companies income by about $400 million to $5.3 billion, which is more than the combined profit growth of its two main domestic cigarette competitors. Over this period, PM USA has outperformed its principal cigarette competitors on several important financial metrics:

• Per pack adjusted operating companies income margins increased by 4.0 percentage points; and as a result,

• Cigarette profits per pack grew substantially faster than major competitors.

Marlboro’s national net price gap versus the lowest priced cigarette brand was 38% in 2009. During the last economic downturn in 2002, Marlboro’s price gap was as high as 70%. PM USA monitors this situation closely and responds to competitive pressures as appropriate, but believes that Marlboro is well positioned in the current economic environment to maintain share momentum while maximizing income.

The smokeless products segment’s 2009 adjusted operating companies income was $632 million. The UST integration went smoothly and is substantially complete. Importantly, USSTC’s smokeless products premium retail share and volume have returned to growth.

USSTC’s intention after its purchase was to stabilize the combined retail share of Copenhagen and Skoal, and then return the brands to growth during 2009 with brand-building equity programs. We are pleased that we accomplished this objective. From 2001 to 2008, Copenhagen and Skoal’s combined share had declined by an average of 3.3 share points per year. Adult consumer product goods (CPG) brands that declined for many years typically do not return to growth immediately, as it takes time for adult consumers to respond to enhanced value equations and brand-building equity programs. By the fourth quarter of 2009, as the effects of USSTC’s actions continued to build, Copenhagen and Skoal’s combined retail share displayed

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strong sequential performance. In fact, their combined volume in the fourth quarter of 2009 grew ahead of the smokeless category’s estimated volume growth rate, positioning the brands well going into 2010.

The cigar segment also performed well in 2009 as its adjusted operating companies income increased by 1.6% to $185 million, despite significant one-time wholesale inventory adjustments. Black & Mild’s retail share of the machine-made large cigar category continued to grow, increasing by 1.3 share points to 29.9%.

The wine segment’s reported 2009 adjusted operating companies income was $73 million. Ste. Michelle continued to perform well in a very difficult environment, growing its retail wine volume, as measured by Nielsen Total Wine Database – U.S. Food & Drug, 10% compared to an overall industry growth rate of 2%. Ste. Michelle has a long and consistent history of financial success. Over the last four years, the company has grown its profitability by a compounded annual growth rate of 17.9%, among the highest growth rates among domestic wine and spirits companies.

Overall, Altria had a very strong financial performance last year. Adjusted earnings per share increased by 6.1% and total shareholder return in 2009 was 39.1%. 2009 was the tenth straight year that Altria’s total shareholder return exceeded the S&P 500’s.

We delivered this strong financial performance in a period which saw deviations from longer-term tobacco volume trends caused by the challenging external environment.

Prior to 2009, total tobacco volumes based on poundage had declined at an estimated 1% per year. In recent years, cigarette category volume declines of about 4% per year were largely offset by smokeless category growth of about 7% per year, and machine-made large cigar category growth of about 3% per year.

In 2009 the average price of a pack of cigarettes increased by 22%, and the cigarette industry’s volume declined by an estimated 8%, in-line with historical price elasticity. The smokeless

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category continued to grow about 7% in 2009, with spit-free tobacco products representing an increasingly large percentage of the growth rate. Machine-made large cigar volume growth slowed in 2009 after the federal excise tax increase, resulting in a category that slightly declined for the full year.

Although there were changes in tobacco category volume trends in 2009, the estimated total tobacco manufacturers’ profit pool continued to grow:

• First, the manufacturers’ estimated profit pool for cigarettes grew to $9.4 billion, and PM USA’s share of this profit pool was 56%;

• Second, the smokeless category’s estimated manufacturers’ profit pool was $1.0 billion, and USSTC and PM USA’s combined share of the profits was 64%; and

• The machine-made large cigar manufacturers’ estimated profit pool grew to about $600 million, and Middleton’s share was 33%.

The total tobacco manufacturers’ profit pool increased by approximately 2% to an estimated $11.6 billion, and Altria’s share of this profit pool increased from 47% to 55%, due primarily to strong cigarette segment income growth and the acquisition of USSTC in January 2009.

A significant number of adult tobacco consumers now switch between categories and use different kinds of tobacco products. As a result of these changing preferences, Altria’s tobacco operating companies believe there are now several different groups of tobacco consumers. Each of these groups is seeking different characteristics in their tobacco products.

• The first group is adult smokers of cigarettes and cigars. They want to enjoy tobacco products by smoking and are primarily looking for innovative smokable tobacco products.

• The second group is adult tobacco smokers looking for smokeless tobacco product alternatives who have rejected traditional moist smokeless tobacco (MST) products. The

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product opportunity for them is spit-less products, either a variant of the snus form available on the market today, or other future products.

• The third group uses both smokable products and traditional MST products. They prefer easier to manage MST products such as long cut and pouch products when they do not wish to smoke.

• The final group is traditional dippers. They prefer the experience of traditional MST products, which deliver long-lasting tobacco flavor and quality.

The number of adult tobacco consumers exploring alternatives to cigarettes and traditional MST products has grown. One new business opportunity for us is filling the increasing demand for smokeless products among adult smokers who do not find current MST products satisfactory, while continuing to appeal to traditional adult smokers and dippers.

Altria’s tobacco operating companies are positioning their brands to capitalize on these opportunities.

Marlboro is the cigarette that men smoke for flavor. It has built its strong brand equity on this foundation, and as adult cigarette smoking preferences have evolved, so too have the offerings of the brand. Innovative line extensions in underserved segments such as full-flavor menthol have contributed to the brand’s growth. The launch of Marlboro Blend No. 54 last year helped Marlboro Menthol grow 0.5 share points to 5.7% in 2009.

Marlboro’s growth is also enhanced by strengthening the core of its franchise in the non-menthol business. Earlier this year Marlboro launched two “Special Blend” products for this important segment, and they are off to a strong start.

Given Marlboro’s leadership position in the cigarette category, and its equity foundation built upon flavor, we believe that the brand is well positioned to appeal to adult smokers who have rejected traditional MST products, but are looking for discreet and flavorful tobacco alternatives.

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The brand plans to expand Marlboro Snus nationally as an alternative product for these consumers. Marlboro Snus is designed especially for adult smokers with product features and packaging that appeals to them.

Copenhagen is recognized as an iconic brand among traditional adult dippers. The brand delivers on core MST product attributes such as quality and flavor, and its superior brand equity is strong among all adult MST consumer groups, particularly among 30 to 49 year old males. The opportunity for Copenhagen among these traditional adult dippers is to offer products that meet their flavor and quality expectations, while evolving with adult consumer dipping preferences.

The launch of Copenhagen Long Cut Wintergreen in the fourth quarter of 2009 was a first step in this evolution. The long cut wintergreen segment represented 29% of MST volume in 2009, and Copenhagen Long Cut Wintergreen is the brand’s first wintergreen offering. It is off to a strong start.

Copenhagen plans to build on Copenhagen Long Cut Wintergreen’s success by launching additional products. For example, Copenhagen intends to launch Long Cut Straight into a segment which represents 11% of smokeless volume. Copenhagen Long Cut Wintergreen and Long Cut Straight expand the brand into the 40% of the smokeless business where it historically had minimal share. Copenhagen also plans to continue strengthening its leadership position in the core natural segment with the launch of Extra Long Cut Natural, which delivers authentic Copenhagen flavor in its longest natural cut ever.

Copenhagen’s strong brand equity will be supported with a new campaign that invites all adult dippers to connect with the brand. The campaign to “Choose Copenhagen” will reinforce product leadership while leveraging the core values that are shared by the Copenhagen brand and adult dippers. This campaign will connect Copenhagen adult dippers and competitive adult MST consumers in a community that shares, works and celebrates together. USSTC intends to support this new equity campaign with direct mail, retail signage, the “Choose Copenhagen” website, and other equity building one-to-one programs.

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Skoal has a comprehensive plan of brand building equity activities and innovative new product offerings to build its position as a contemporary smokeless tobacco brand. Skoal’s equity campaign aims to keep the brand established as the quality choice in the smokeless category, and better than competitive offerings. Skoal starts with building the broadest and best product portfolio of offerings delivered at a fair price. The campaign then invites adult smokeless tobacco consumers to “Skoal-up” to the quality and brand they really want.

Given its history of smokeless product innovation, we believe that Skoal is uniquely positioned to capitalize on the growth in the number of adults seeking smokeless tobacco alternatives.

The pouch segment, for example, has been growing quickly over the past few years as adult tobacco consumers seek discreet and manageable ways to consume tobacco products. Skoal has the largest share in the pouch segment and has a number of initiatives planned to build on this position. In the fourth quarter of 2009, USSTC launched a new “Slim Can,” which offers pouches in an easier to manage package at a compelling value proposition. Skoal also plans to introduce and reformulate other products and packaging designs to make them more appealing as adult tobacco consumer preferences evolve.

Black & Mild has continued to grow its retail share of the machine-made large cigar category with its strong brand equity and the introduction of new products. In 2009, the brand introduced a new equity campaign, “Enjoy Black & Mild” which it supported with improved retail merchandising, direct mail and the development of other one-to-one marketing tools. New products such as Black & Mild Wood Tip and Wood Tip Wine also contributed to the brand’s strong 2009 performance.

Adult machine-made large cigar consumers like to try different product formats and blends. Last year in the southeast Black & Mild entered the untipped cigarillo segment, which represents 44% of machine-made large cigar volume, with Black & Mild Cigarillo. This product is off to a good start and will continue to geographically expand in 2010.

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Our four core brands have significant strength and share in their respective categories, with strong underlying adult demographics that position them for future growth:

• Marlboro’s share among 21-29 and 30-39 year old smokers is significantly higher than its overall share, and much larger than the share of the next three largest brands combined. It is also by far the leading brand in every adult age cohort;

• Black & Mild’s share is the largest among 21 to 29 year old cigar consumers, and well above its overall share;

• Skoal’s share among 21-29 year old MST consumers exceeds that of every other MST brand, and is higher than its overall share; and finally,

• Copenhagen’s share among 30 to 49 year old dippers has been its strength, as adult dippers seek more tobacco flavor and quality than they derive from other brands they have been using.

Last night, I hope that you were able to join us for dinner and taste many of the fine wines offered by Ste. Michelle, which is one of the fastest growing top-ten premium wine producers in the U.S. We are honored that Ted Baseler, President and CEO of Ste. Michelle, was named 2009 wine Man of the Year by Wine Enthusiast Magazine. His leadership and vision have been critical in building a strong portfolio of well-regarded wines. In addition, Wine Spectator magazine named the Columbia Crest 2005 Reserve Cabernet Sauvignon as the editors’ pick and number one wine in the world for 2009.

Ste. Michelle plans to remain focused on its very successful “String of Pearls” strategy to continue building its position in the wine business. Ste. Michelle executes this strategy by developing or acquiring unique wine assets or distribution rights with legacies of leadership and growth in key wine segments. Over the past several years, the company has added Stag’s Leap Wine Cellars, Antinori, Champagne Nicolas Feuillatte and Villa Maria Estate to the

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portfolio of wines it either owns or represents. These additions, in conjunction with the strength of the other brands in its portfolio, have enabled the company to grow its earnings.

We believe that Altria and its operating companies have a strong foundation for future growth. The four strong brands of our tobacco operating companies – Marlboro, Copenhagen, Skoal and Black & Mild – are well-positioned with appropriately managed value equations, strong brand equities, and ample opportunities for growth. Our wine business has a terrific portfolio of products, excellent management, and substantial upside growth potential.

Before I introduce Dave Beran, let me make a few comments on the litigation environment.

In 2009, we continued to achieve substantial success in managing litigation. We have seen a continuation of a downward trend in individual cases, with the exception of the Florida Engle progeny cases. In 2009, only six new individual smoking and health cases were served on PM USA in the country, while seventeen such cases were dismissed. PM USA has not tried an individual smoking and health case other than Engle progeny trials and retrials in 48 months.

Relative to “Lights” class action litigation, only three statewide “Lights” class action cases have been certified. Of these, one case, Curtis in Minnesota, has already been dismissed on its merits and is on appeal. We have strong defenses to the remaining two cases as well, which are not expected to go to trial until 2011 at the earliest. In federal court, “Lights” cases were consolidated in a single federal district court in Maine for pretrial proceedings, including the determination of class certification. We have achieved substantial success on the class certification issue, prevailing in the last six class certification contests. Most recently, in the Schwab case, the Second Circuit reversed the certification of a “Lights” class based on the same federal rules that will apply to the consolidated proceeding.

Regarding the Engle progeny cases, PM USA has strong factual and legal defenses to these suits. Last month the Eleventh Circuit federal appeals court heard an appeal relating to whether plaintiffs’ theories in these suits violate Florida law and due process. In state court, although the overwhelming majority of cases are inactive, PM USA has tried a number of suits with varying

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results and will try additional suits this year. PM USA will appeal any loss and raise the same strong state-law and constitutional issues heard by the Eleventh Circuit. A bond cap applies to the state suits, limiting any bond PM USA would have to post pending appeal of any single case or the Engle progeny cases collectively.

In short, we have successfully managed the litigation, notwithstanding significant challenges. We have vigorously defended these claims for decades and intend to continue doing so.

I would now like to introduce Dave Beran, Altria’s Executive Vice President and Chief Financial Officer, who will discuss our financial strategies to continue delivering strong shareholder returns.

Remark by Mr. Beran

Thank you, Mike.

Altria has four strategies to deliver long-term value to our shareholders.

• Mike just outlined the first, which is growing income by investing in the four strong brands of our tobacco operating companies;

• Our second strategy focuses on returning a large amount of cash to shareholders through dividends;

• The third strategy is preserving a strong balance sheet; and

• The final strategy is reducing our overall interest expense.

Altria is committed to returning a large amount of cash to shareholders in the form of dividends, which have grown over time. Last year Altria paid out $2.7 billion in cash dividends to its shareholders, which represented 6.6% of its market capitalization as of December 31, 2009. This

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dividend cash return ratio is the highest among CPG companies with a market capitalization above $10 billion.

Last month, Altria announced that it has changed its dividend payout ratio target from approximately 75% to 80% of adjusted diluted earnings per share beginning with its next declared dividend. This new payout ratio target is the highest among comparable CPG companies, and reflects Altria’s underlying financial strength. In addition, based on its year-end 2009 stock price, Altria’s dividend yield of 6.9% is the highest among CPG companies, and the sixth highest among all companies in the S&P 500.

While the payout ratio and yield themselves make Altria a compelling investment proposition, we believe no other company that offers these important metrics also offers Altria’s prospects for earnings and dividend growth. Altria has a consistent history of growing its dividend, having increased it forty-two times in the last forty years.

Last year, the company increased its dividend by 6.3% to an annualized rate of $1.36 per share, and since the PMI spin-off the dividend has grown by 17.2%. This growth rate is among the highest of any CPG company, and better than any company that currently offers our yield and stated payout ratio target. While past dividend growth rates are not predictive of future ones, and all future dividend payments are subject to our Board’s discretion, Altria expects to continue increasing its dividends in-line with its adjusted earnings per share growth.

Earnings per share growth over the past several years has been aided by Altria and its operating companies’ excellent progress against its $1.5 billion five year cost reduction program off of the company’s 2006 base. Last year there were numerous important initiatives completed against these cost reduction efforts, which included ceasing cigarette production at PM USA’s Cabarrus, North Carolina facility, integrating UST, and reshaping Altria’s corporate structure to improve efficiencies. These efforts resulted in $398 million in cost savings in 2009, and headcount reductions of 27%. Our successful execution of the program, which has delivered over $1.0 billion in cost savings to date, gives us confidence that we will complete the program in 2011 and realize the additional savings of $462 million.

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The cost reduction program has added value for shareholders by increasing earnings, improving efficiencies and allowing resources to be deployed in brand building initiatives, all of which strengthens the financial profile of the company and enhances our ability to sustain and grow earnings over time. In addition, Altria’s service companies and PM USA have been appropriately sized for the post-FET increase operating environment.

Although the current cost management program is not yet complete, we have already begun laying the ground work for cost containment beyond 2011. We anticipate that these efforts will focus primarily on two areas:

• The first is to continue reducing cigarette related infrastructure ahead of volume declines; and,

• The second is to redesign business processes so that they can absorb future growth in the smokeless tobacco and machine-made large cigar businesses, rather than by only adding infrastructure.

Successful execution of these two ongoing cost management strategies should enhance Altria’s ability to continue growing profits.

Now that the integration of UST and Middleton are substantially complete, Altria’s operating companies offer adult consumers many types of products, competing in many different categories and segments. Altria’s tobacco operating companies have leading positions in all the major tobacco categories, and we consistently benchmark our financial performance against our principal tobacco competitors, where we compare quite favorably. Because none of these competitors has the scale and scope of Altria’s business model, we also compare ourselves against other large CPG companies with similar scale and scope.

After excluding our contractual, regulatory and excise tax payments to governmental entities, Altria’s financial profile is very favorable compared to other large CPG companies with

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revenues greater than $10 billion in the S&P Food, Beverage and Tobacco Index. Based on publicly available financial data:

• Altria’s net revenues per employee are the second highest;

• Altria’s cost of goods sold as a percentage of net revenues is the lowest;

• Altria’s selling, general & administrative (SG&A) expenses as a percentage of net revenues are in-line with the companies we benchmarked against, but as a percentage of earnings before interest, taxes, depreciation and amortization (EBITDA), Altria is the lowest; and finally,

• Altria’s EBITDA as a percentage of net revenues is the highest.

Altria’s financial profile is further enhanced by maintaining a strong balance sheet, which is important to continue delivering sustainable and predictable earnings growth over time in order to grow the dividend.

A conservative and strong balance sheet protects the company’s investment grade credit rating, preserves access to the capital markets for short and long-term debt, and secures the cash flow generated by our operating companies.

Altria’s access to commercial paper for liquidity needs is backstopped with revolving credit facilities. Last November, Altria replaced its prior $3.4 billion credit facility, which was due to expire on April 15 of this year, with two new facilities totaling $3.0 billion. One facility for $2.4 billion has a three-year term, and the second is a $600 million facility expiring in November 2010. As you are aware, three-year capacity is difficult to obtain in today’s constrained credit markets, and we were pleased to achieve such a significant portion of our liquidity backstop with a three-year term.

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Altria’s economic interest in SABMiller plc (SABMiller) remains an important component of the balance sheet. This economic interest significantly improves Altria’s financial profile by increasing the company’s earnings and cash flows, while providing a potential source of liquidity. Since 2003, SABMiller’s contribution to Altria’s income has grown from $296 million to $600 million at a compounded annual growth rate of 12.5%, and the market value of the interest has grown from $3.4 billion in July 2002 to $11.3 billion based on SABMiller’s closing stock price on February 12, 2010.

We regularly evaluate our interest in SABMiller with a view towards maximizing long-term shareholder value. At this point, we intend to maintain our position for the foreseeable future. Monetizing the SABMiller position would weaken Altria’s strong balance sheet and be dilutive to Altria’s earnings per share. Although the market value of Altria’s SABMiller position was $11.3 billion at the end of last week, our tax basis is well under $500 million. Sale proceeds would therefore be more than 35% less than the market value of the interest after factoring in the associated tax liability, as well as the potential overhang created in the SABMiller stock price due to the sale of our position. Furthermore, we would expect to preserve a significant portion of the after-tax sale proceeds as an asset on the balance sheet to maintain adequate strength and liquidity.

Given all of these considerations, we have concluded that retaining the SABMiller interest is the best course at this time as it significantly strengthens Altria’s financial profile and balance sheet. The strong balance sheet enables Altria to maximize cash returns to shareholders over time with the changed dividend payout ratio target, while still maintaining a conservative financial profile.

We expect to return the majority of the cash flow generated from operations to shareholders in the form of dividends. We expect that capital expenditures over the next several years across the Altria family of companies will remain modest, at under 2% of net revenues. Since Altria’s share repurchase program is suspended indefinitely, we expect to use excess cash above that needed for dividends and capital expenditures to reduce our interest expense.

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Altria’s debt to EBITDA ratio at the end of 2009 was 1.9 to 1, well within our banks’ limitation of not more than 3.0 to 1. While this debt to EDITDA ratio is in-line with our peers, and supports Altria’s investment grade credit rating, we are focused on reducing interest expense. We anticipate that doing so would further strengthen the balance sheet, improve cash flow, and increase earnings per share and dividends through time.

Over the next four years, Altria has $3.4 billion in debt coming due, with annual interest of approximately $260 million currently being paid on this outstanding debt. Our decision to refinance or retire this debt depends upon the condition of the capital markets, interest rates, and Altria’s business needs and conditions.

Over the last two years, Altria has delivered adjusted earnings per share growth of 10% in 2008 and 6.1% in 2009 which, when combined, is within the 8% to 10% long-term annual adjusted earnings per share objective outlined at the time of the PMI spin. This objective was developed in a very different operating environment than today’s. Since March 2008, unemployment has increased dramatically from 5% to 10% and consumer confidence has fallen. Given the dramatically changed environment, we believe a more appropriate mid-term adjusted earnings per share growth objective for Altria is 7% to 9%, unless we observe significant changes in economic conditions. This revised objective reflects the realities of today’s economy, while still offering an attractive earnings and dividend growth prospect for our shareholders.

The business environment is likely to remain challenging in 2010 as adult consumers remain under economic pressure and face high unemployment. In addition, we remain cautious about the state excise tax environment and the competitive environment for our tobacco companies’ brands. Our 2010 earnings per share guidance reflects these uncertainties in what likely will be another challenging year.

Partially due to PM USA’s profitable FET-related pricing strategies last year, income growth comparisons are more challenging in the first and second quarters of 2010 than the back half. We therefore expect adjusted earnings per share growth to build in the second half of this year.

Page 18

Altria forecasts that full-year 2010 adjusted diluted earnings per share will grow to a range of $1.85 to $1.89.

It has been almost two years since the PMI spin-off. Since then, Altria has continued to deliver superior returns to its shareholders by focusing on growing its substantial cash dividends for shareholders. We are pleased with the 2009 total return for our shareholders of 39.1%, which outpaced the S&P 500’s total return of 25.9%, and the S&P Food, Beverage and Tobacco Index’s total return of 21.6%. In addition, Altria’s total shareholder return last year exceeded the return of the ten largest domestic CPG companies as measured by market capitalization.

Delivering strong returns to shareholders over time remains a primary focus for Altria. 2009 marked the tenth consecutive year that the company’s total shareholder return exceeded the S&P 500’s. Over this time, Altria’s total return has exceeded the S&P 500’s total return by 177 percentage points, and the S&P 500 Index for Food, Beverage and Tobacco by 105 percentage points. We are very pleased to be one of only five companies out of the five hundred in the Index that have exceeded the S&P 500’s total return every year for the last ten years.

I will now turn it back over to Mike for closing remarks.

Remarks by Mr. Szymanczyk

We consider Altria to be a compelling investment when measured against other domestic CPG companies because it offers the unique combination of a high dividend yield with strong earnings growth prospects. We believe no other comparable peer offers the potential combination of an 80% dividend payout ratio target, a dividend yield above 6.5%, and the opportunity to grow earnings per share and the dividend by 7% to 9% per year over time.

The dividend and its growth prospects are supported by Altria’s solid business model. The tobacco space continues to grow profits, and Altria’s tobacco operating companies have leading positions in all the major tobacco categories, with ample opportunities for growth. The model is also relatively unaffected by the external pressures facing many other CPG companies such as

Page 19

currency issues, input costs, and private label brand competition from the trade. Relatively minimal exposure to these external pressures gives Altria’s earnings growth potentially more predictability than other CPG company investment alternatives.

The four premium brands of Altria’s tobacco operating companies, Marlboro, Copenhagen, Skoal and Black & Mild, continue to perform very well with strong brand equities that sustain premium pricing and margins. These brands are also continuing to innovate with new products and offerings as adult tobacco consumer preferences continue to evolve. These brands, as well as Ste. Michelle’s portfolio of wines, have performed very well in a difficult competitive and economic environment.

Despite the challenges of substantial tax increases and concurrent volume impacts, and the most difficult economic environment since the Great Depression, Altria still managed to grow its adjusted earnings per share by an average of 8% per year, and its dividend by 17.2%. And, we believe that we continue to remain well-positioned to deliver growth in earnings, dividends and solid returns to our shareholders in 2010 and beyond.

Thank you for the opportunity to speak with you.

# # #

Page 20

EX-99.2

2010 CAGNY Presentation

Boca Raton, Florida

February 18, 2010

Exhibit 99.2

Statements in this presentation that are not reported financial results or other

historical information are “forward-looking statements”

within the meaning of

the Private Securities Litigation Reform Act of 1995.  Such forward-looking

statements are based on current plans, estimates and expectations, and are

not guarantees of future performance.  They are based on management’s

expectations that involve a number of business risks and uncertainties, any

of which could cause actual results to differ materially from those expressed

in or implied by the forward-looking statements. The Company undertakes no

obligation to publicly update or revise any forward-looking statement other

than in the normal course of its public disclosure obligations. The risks and

uncertainties relating to the forward-looking statements in this presentation

include those described under the caption “Cautionary Factors that May

Affect Future Results”

in the Company’s Annual Report and its Quarterly

Reports on Form 10-Q.

Reconciliations of non-GAAP measures included in this presentation to the

most comparable GAAP measures are available on the Company’s website

at www.altria.com.

Safe Harbor Statement

Mike Szymanczyk

Chairman and Chief Executive Officer, Altria

Dave Beran         

EVP and Chief Financial Officer, Altria

Craig Johnson     

EVP, Altria

Marty Barrington    

EVP, Chief Compliance & Administrative        

Officer, Altria

Murray Garnick        SVP of Litigation, ALCS

Altria’s Executive Management

Altria’s Operating Companies Evolution

Our

Mission

is

to

own

and

develop

financially

disciplined

businesses

that

are

leaders

in

responsibly

providing

adult

tobacco

and

wine

consumers

with

superior

branded

products.

Integrity,

Trust and

Respect

Executing

with

Quality

Sharing

with

Others

Passion

to

Succeed

Driving

Creativity

into

Everything

We Do

Altria’s Mission and Values

Remain under economic pressure

Impacting their mindset

Nearly 75% have a different set of priorities

Important implications for CPG companies

Source: Yankelovich

Monitor Perspective, Dollars & Consumer Sense 2009

Economy Impacting Adult Consumers

Shifting spending patterns

Nearly 60% say they do not plan to spend the way they did in

the past

Companies need to create relevant and innovative brands

Source: Yankelovich

Monitor Perspective, Dollars & Consumer Sense 2009

Economy Impacting Adult Consumers

Significant federal excise tax (FET) increases on tobacco

products in April 2009

–

Cigarettes +158%

–

Smokeless tobacco products +158%

–

Machine-made large cigars +155%

Federal Excise Tax Environment in 2009

Source: ALCS Government Affairs

Cigarette State Excise Tax Environment

Source: ALCS Government Affairs, ALCS MICR; Note: Year-end average state excise tax is volume weighted by state

$1.12

$1.01

$0.88

$0.87

$0.78

$0.70

$0.66

$0.44

$0.43

$0.40

$1.26

$0.00

$1.50

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

MT

UT

AL

ME

OR

WY

TN

WA

KS

NV

NM

MO

MN

IL

LA

GA

WV

SC

MD

VA

2009 Cigarette SET Legislation –

Defeated

Source: ALCS Government Affairs

UT

NY

AL

MS

WA

KS

CA

NM

MO

MD

TN

IL

GA

2010 Cigarette SET Environment

Source: ALCS Government Affairs

2010 Cigarette Excise

Tax Proposals

Smokeless Tobacco SETs

Source: ALCS Government Affairs

MT

IA

ND

UT

AZ

NY

AL

ME

RI

NJ

DE

CT

KY

VT

OR

NE

WY

TX

DC

OR

NE

WY

TX

DC

ME

Converted to weight-

based in 2009

Smokeless Tobacco SETs

Source: ALCS Government Affairs

MT

IA

ND

UT

AZ

NY

AL

ME

RI

NJ

DE

CT

KY

VT

OR

NE

WY

TX

DC

OR

NE

WY

TX

DC

ME

Ad Valorem

MT

IA

ND

UT

AZ

NY

AL

ME

RI

NJ

DE

CT

KY

VT

OR

NE

WY

TX

DC

MS

TN

WA

KS

NV

CA

ID

NM

OK

AR

MO

MN

IL

MI

LA

IN

PA

NC

GA

WV

SC

FL

OH

NH

MA

MD

WI

CO

SD

AK

VA

Weight-based

FDA assumed regulatory oversight over tobacco products

Did not agree with every element of this law

Supported enactment

Thoughtfully implemented federal regulation should benefit

tobacco consumers in the long-term

FDA Regulatory Authority

In March, FDA is expected to issue regulations regarding sale,

promotion and advertising of cigarettes and smokeless

tobacco products

In June, cigarette manufacturers are required to remove

descriptors, and smokeless tobacco manufacturers also must

make warning notice label changes

In August, Tobacco Products Scientific Advisory Committee is

expected to issue a report on the impact of menthol on public

health

Significant FDA Regulatory Events in 2010

Source: FDA legislation (HR 1256)

Maximizing income while maintaining share momentum on

Marlboro

in cigarette category

Quickly integrating USSTC into the Altria family of companies

and

returning

Copenhagen

and

Skoal

to

growth

Profitably assuming share leadership in the machine-made

large

cigar

category

driven

by

the

growth

of

Black

&

Mild

Growing income from Ste. Michelle Wine Estates

Growth Strategies of Altria’s Operating Companies

+5.5%

Adjusted OCI*

($ in Billions)

Source: Altria company reports, IRI/Capstone Integrated Retail Panel

* For reconciliation of non-GAAP to GAAP numbers visit www.altria.com

2009 Cigarettes Segment’s Performance

-0.1pp

Marlboro’s

Retail

Share

41.8%

41.9%

40%

43%

2008

2009

$5.3

$5.0

$4

$6

2008

2009

Cigarette Manufacturers’

Income Performance

PM USA’s Adjusted OCI*

($ in Billions)

OCI* Profit Growth

($ in Millions)

2007 –

2009

*

For

reconciliation

of

non-GAAP

to

GAAP

numbers

visit

www.altria.com

Source:

Altria company reports; Lorillard, Inc. and Reynolds American Inc. company reports and ALCS estimates. Adjusted underlying OCI for RJRT is

reported, RJRT adjusted operating income plus reported RAI amortization expense. Adjusted underlying OCI for Lorillard is reported operating

income, plus $66 million in reported one time legal expenses in 2007.

$5.3

$4.9

$4

$6

2007

2009

$400

$267

RJRT

Lorillard

$0

$600

PM USA

RJRT &  LO

Cigarette Manufacturers’

Metrics -

2007 to 2009

Adjusted OCI* Per Pack

(Percent Change)

Adjusted OCI* Margins

(Percentage Point Change)

* For reconciliation of non-GAAP to GAAP numbers visit www.altria.com

4.0pp

3.0pp

1.0pp

0

8

PM USA

RJRT

Lorillard

27%

23%

16%

5%

35%

PM USA

RJRT

Lorillard

Source: Altria company reports, Lorillard, Inc. and Reynolds American Inc. company reports, and ALCS estimates. Adjusted underlying OCI for RJRT is 

reported, RJRT adjusted operating income plus reported RAI amortization expense. Adjusted underlying OCI for Lorillard is reported operating

income, plus $66 million in reported one time legal expenses in 2007. Adjusted OCI margins is adjusted underlying OCI divided by reported net 

revenue excluding FET. Adjusted OCI per pack is adjusted underlying OCI divided by reported domestic pack volume.

as high as

2009 yearly

average 38%

Marlboro’s Price Gap

Source: IRI/Capstone Inventory and Price Gap in C-Stores; Note: Marlboro excludes Marlboro 72mm

51%

70%

0%

80%

2001

2002

2003

2004

2005

2006

2007

2008

2009

Historic Retail Share

Performance

Retail Share

48.1%

46.8%

42%

50%

Q3 09

Q4 09

47%

50%

53%

56%

60%

64%

68%

70%

40%

75%

'01

'02

'03

'04

'05

'06

'07

'08

Copenhagen

and

Skoal’s

Retail

Share

Performance

Source: USSTC RAD/SVT ending December 2008; ALCS company reports, InfoScan Smokeless Tobacco Database

+7.8%

Volume

(Cans in Millions)

Source: ALCS company reports

144.6

134.1

125

155

Q4 08

Q4 09

Copenhagen

and

Skoal’s

Volume

Performance

2009 Cigars Segment’s Performance

Source: ALCS company reports, InfoScan Cigar Database for machine-made large cigars

* For reconciliation of non-GAAP to GAAP numbers visit www.altria.com

Black & Mild’s

Retail Share

+1.3pp

+1.6%

Adjusted OCI*

($ in Millions)

$185

$182

$170

$190

2008

2009

29.9%

28.6%

26%

32%

2008

2009

Adjusted OCI*

($ in Millions)

Source:

Altria

company

reports;

Nielsen

Total

Wine

Database

–

U.S.

Food

&

Drug

2009 Wine Segment’s Performance

Retail Volume Change

(2009 vs. 2008)

*

For

reconciliation

of

non-GAAP

to

GAAP

numbers

visit

www.altria.com

10%

2%

Ste. Michelle

Wine Industry

$73

$0

$100

2009

Source: Altria and UST company reports; pro forma calculation from UST reports with comparable data

Ste. Michelle Wine Estates’

Financial Performance

* For reconciliation of non-GAAP to GAAP numbers visit www.altria.com

Adjusted OCI*

($ in Millions)

+17.9%

CAGR

$73

$38

$10

$110

2005

2009

* For reconciliation of non-GAAP to GAAP numbers visit www.altria.com; **assumes reinvestment of dividend

Source: Altria company reports; Bloomberg Yearly Return ending December 2009

Altria’s 2009 Financial Performance

Adjusted

Earnings Per Share*

+6.1%

Total Shareholder Return**

25.9%

39.1%

0%

50%

Altria

S&P 500

$1.75

$1.65

$1

$2

2008

2009

Pounds in

Millions

Source: ALCS MICR Industry estimates for cigarettes; TTB all other tobacco segments; cigarettes, small cigars & RYO based on 0.0325 oz./stick [FY 2008]

5 year CAGR (~1%)

Historical Total Tobacco Volume

0

1,100

2004

2005

2006

2007

2008

Source: IRI/Capstone Integrated Retail Panel

Cigarette Retail Pack Price in Convenience Stores

+22%

$1.00

$6.00

2008

2009

Tobacco Categories’

2009 Volume Performance

Source: ALCS MICR estimates; Note: Smokeless is defined as moist smokeless tobacco and spit-less tobacco products

~7%

(~0.5%)

(~8%)

Cigarettes

Smokeless

Machine-made Large

Cigars

Altria’s Share of Profit Pool

+8.0pp

*

* Excludes USSTC

Total Profit Pool

($ in Billions)

+2.0%

Tobacco Manufacturers’

Profit Pool

Source: Company reports; ALCS BS&D estimates

$11.4

$11.6

$9.5

$12.5

2008

2009

47%

55%

30%

70%

2008

2009

Switch between tobacco categories and use different kinds of

tobacco products

Our tobacco companies believe that there are different groups

of adult tobacco consumers

Seeking different characteristics in their tobacco products

Source: ALCS MICR

Adult Tobacco Consumers

Adult Tobacco Consumers

Adult

Smokers

Adult

Smokers

Looking

for Smokeless

Tobacco

Alternatives

Adults

Who Use Both

Smokable

Products

and Traditional

MST Products

Traditional

Adult

Dippers

Increasing number of adult tobacco consumers are exploring

alternatives to cigarettes and traditional MST products

The business opportunity:

–

Filling the increasing demand for new smokeless products

–

Continuing to appeal to traditional adult smokers and

dippers

Altria’s tobacco operating companies are positioning their

brands to meet evolving adult consumer preferences

Source: ALCS MICR

Satisfying Adult Tobacco Consumers

+0.5pp

Source: IRI/Capstone Integrated Retail Panel

Marlboro

Menthol’s Retail Share Performance

5.2%

5.7%

3%

7%

2008

2009

Copenhagen’s Growth Opportunities

Source: InfoScan Smokeless Tobacco Database ending December 2009

0%

100%

Share of

Wintergreen

Segment

Share of

Straight

Segment

History of smokeless product innovation

Uniquely positioned to capitalize on growth in number of adult

tobacco consumers seeking smokeless tobacco alternatives

Skoal’s Heritage

Offers

pouches

in

an

easier

to

manage

package

at

a

compelling

value

proposition

Skoal

plans

to

introduce

many

other

new

products

Skoal’s New “Slim Can”

Source:

CASTS

Database

[Marlboro

2009

YTD

ending

11/09;

Black

&

Mild

YTD

ending

09/09]

Marlboro

Adult Tobacco Consumer Demographics

Black & Mild

25%

45%

Overall Share

21 -

29

30%

50%

Overall Share

21 -

29

30 -

39

Source:

CASTS

Database

[Skoal

and

Copenhagen

2009

YTD

ending

09/09]

Skoal

Copenhagen

Adult Tobacco Consumer Demographics

15%

35%

Overall Share

30 -

49

20%

40%

Overall Share

21 -

29

Substantial

success

in

managing

litigation

Downward

trend

in

individual

cases,

with

exception

of

the

Engle

progeny

cases

PM

USA

has

not

tried

an

individual

smoking

and

health

case

other

than

the

Engle

progeny

trials

and

retrials

in

48

months

Litigation Environment

Only three statewide “Lights”

class action cases have been

certified

–

One case, Curtis, has already been dismissed on merits

and is on appeal

In federal court, “Lights”

cases have been consolidated in a

single federal district court

Have achieved substantial success on class certification issue

“Lights”

Class Action Litigation

PM USA has strong factual and legal defenses

The Eleventh Circuit heard an appeal whether plaintiffs’

theories violate state law and due process

In state cases, overwhelming majority of cases are inactive,

although PM USA has tried some cases with varying results

PM USA intends to appeal any loss and raise state law and

constitutional challenges

Bond cap applies to state suits and limits any bond PM USA

would have to post pending appeal

Engle

Progeny Cases

Successfully managed litigation, notwithstanding significant

challenges

Vigorously defended these claims for decades and intend to

continue doing so

Litigation Environment

Growing income by investing in four strong brands, Marlboro,

Copenhagen, Skoal

and Black & Mild

Returning cash to shareholders in the form of dividends

Preserving a strong balance sheet

Reducing interest expense

Strategies to Achieve Long-term Growth

Percent of Market Capitalization

Source: Bloomberg and company filings: CPG companies with a market capitalization greater than $10 billion as of year-end 2009

Altria’s Dividend

6.6%

6.4%

4.9%

4.8%

4.3%

3.9%

3.7%

3.3%

3.1%

3.0%

MO

RAI

LO

PM

KFT

HNZ

KMB

CAG

CPB

PG

Payout Ratios

Yield

S&P 500

Source: Bloomberg and company filings: Payout ratio and yield  compares CPG companies with a market capitalization greater than $10 billion as of

year-end 2009.  Altria’s stated 80% payout ratio is a target. S&P 500 compares all companies in the Index and ranks the top-ten companies as

of year-end 2009

Altria’s Dividend

9.1%

8.1%

7.7%

7.6%

6.5%

6.4%

6.4%

6.8%

6.9%

FTR

WIN

DO

CTL

Q

MO

RAI

TEG

PBI

POM

12.8%

6.9%

6.8%

5.0%

4.8%

4.3%

3.9%

3.8%

3.5%

3.3%

3.0%

MO

RAI

LO

PM

KFT

HNZ

KMB

CAG

CPB

PEP

80%

78%

71%

69%

61%

58%

54%

53%

51%

49%

MO

RAI

PM

LO

HNZ

KFT

KO

KMB

AVP

PEP

Payout ratio and yield are compelling

Consistent history of dividend growth

–

Forty-two times in the last forty years

Altria’s Dividend

+6.3%

Source: Altria company reports and press releases  (Note: Annualized Dividend Rate)

2009

Since PMI Spin-off

+17.2%

Altria’s Dividend Growth

$1.16

$1.36

2008

2009

$1.28

$1.36

$1.00

$1.50

Aug-08

Aug-09

Past dividend increases are not predictive of future ones

All future dividend payments are subject to the discretion of

Altria’s Board of Directors

Expect to increase dividends in-line with adjusted earnings per

share growth

Altria’s Dividend

Continue to make excellent progress on $1.5 billion program

2009 initiatives:

–

Ceasing production at Cabarrus, NC cigarette

manufacturing facility

–

Integrating UST

–

Reshaping corporate structure

Cost Reduction Program

($ in Millions)

Source:

Altria

company

reports

Altria’s Cost Management Program

$462

$1,500

$1,038

$0

$1,500

2007-

2009 Savings

Add. Cost Savings

Expected by 2011

2007 -

2011

Increasing earnings

Improving efficiencies

Reinvesting in brand building initiatives

Altria’s service companies and PM USA are appropriately

sized for the post-FET environment

Benefits of Cost Reduction Program

Continue reducing cigarette related infrastructure ahead of

volume declines

Redesign business processes to enhance productivity in the

smokeless tobacco and machine-made large cigar businesses

Cost Management Strategy

Operating companies offer adults many types of products and

compete in different categories and segments

Tobacco operating companies have leadership positions in

major tobacco categories

Compare ourselves against other leading CPG companies with

similar scale and scope

Altria’s Transformation

Source: Company filings: Compares CPG companies with net revenues, excluding excise taxes, greater than $10 billion in the S&P Food, Beverage & Tobacco Index.  Based on most

recently available employee count per 10-K filings.  COGS for peers are adjusted to exclude certain one-time items.  For reconciliations of non-GAAP to GAAP numbers visit

www.altria.com.

* Reflects Altria’s 2009 Net Revenues of $11,806 million (Net revenues of $23,556 million less government payments and excise taxes of $11,750 million), COGS of $2,797 million

(Costs of goods sold of $7,990 million less government payments of $5,018 million, and implementation and UST acquisition-related costs of $175 million). Year-end employee

count was ~10,000 employees.  For the purposes of this presentation, Altria’s net revenue excludes excise taxes as well as contractual payments to government entities (e.g.

MSA, quota buy-out, & FDA) as reconciled.

Corresponding

adjustments

to

revenues

have

not

been

made

for

other

companies

listed

in

this

chart,

except

for

PM

which

excludes

excise

taxes.

** Nearest

comparable

period

to

LTM

12/09

is

used

where

12/09

data

not

available

as

of

February

15,

2010

(CAG,

GIS,

HNZ,

KFT).

Altria’s Financial Profile

Net Revenues Per Employee

(Twelve

Months

ending

12/09**

–

$

in

Millions)

COGS as a % of Net Revenues

(Twelve Months ending 12/09**)

$0.95

$0.94

$0.75

$0.72

$0.65

$0.65

$0.62

$0.61

$0.59

$0.56

$0.56

$0.47

$0.36

$0.36

$0.24

ADM

TSN

CAG**

DF

KFT**

HNZ**

CCE

SLE

GIS**

K

PBG

PEP

PM

KO

MO*

$2.21

$1.18

$0.49

$0.49

$0.43

$0.41

$0.39

$0.34

$0.33

$0.31

$0.31

$0.30

$0.23

$0.22

$0.20

ADM

MO*

GIS**

CAG**

DF

KFT**

K

KO

PM

HNZ**

SLE

CCE

TSN

PEP

PBG

Altria’s Financial Profile

Source: Company filings: Compares CPG companies with net revenues, excluding excise taxes, greater than $10 billion in the S&P Food, Beverage & Tobacco Index.  Adjusted EBITDA

peer comparisons exclude certain one-time items and restructuring costs. For reconciliations of non-GAAP to GAAP numbers visit www.altria.com.

* Reflects Altria’s 2009 Net Revenues ex. government payments and excise taxes of $11,806 million, adjusted SG&A of $2,725 million (Marketing, administration and research

costs of $2,931 million, less UST acquisition-related transaction costs of $60 million, Reduction of Kraft receivable of $88 million and integration costs of $58 million), and

adjusted EBITDA of $6,554 million as reconciled.

For the purposes of this presentation, Altria’s net revenues exclude excise taxes as well as contractual payments to government entities (e.g. MSA, quota buy-out, & FDA) as

reconciled.

Corresponding

adjustments

to

revenues

have

not

been

made

for

other

companies

listed

in

this

chart,

except

for

PM

which

excludes

excise

taxes.

** Nearest

comparable

period

to

LTM

12/09

is

used

where

12/09

data

not

available

as

of

February

15,

2010

(CAG,

GIS,

HNZ,

KFT).

SG&A as a % of Net Revenues

(Twelve Months ending 12/09**)

SG&A as a % of EBITDA

(Twelve Months ending 12/09**)

273%

262%

249%

210%

166%

135%

133%

116%

115%

101%

92%

61%

56%

53%

42%

PBG

DF

CCE

SLE

PEP

KFT**

K

KO

HNZ**

CAG**

GIS**

TSN

ADM

PM

MO*

37%

36%

35%

31%

29%

27%

23%

23%

22%

21%

21%

20%

14%

3%

2%

KO

PBG

PEP

CCE

SLE

K

MO*

PM

DF

KFT**

GIS**

HNZ**

CAG**

TSN

ADM

Source: Company filings: Compares CPG companies with net revenues, excluding excise taxes, greater than $10 billion in the S&P Food, Beverage & Tobacco Index.  Adjusted EBITDA

peer comparisons exclude certain one-time items and restructuring costs.  For reconciliations of non-GAAP to GAAP numbers visit www.altria.com.

* Reflects Altria’s 2009 Net Revenues ex. government payments and excise taxes of $11,806 million and adjusted EBITDA of $6,554 million as reconciled.

For

the

purposes

of

this

presentation,

Altria’s

net

revenues

exclude

excise

taxes

as

well

as

contractual

payments

to

government

entities

(e.g.

MSA,

quota

buy-out,

&

FDA)

as

reconciled.

Corresponding adjustments to revenues have not been made for other companies listed in this chart, except for PM which excludes excise taxes.        

** Nearest

comparable

period

to

LTM

12/09

is

used

where

12/09

data

not

available

as

of

February

15,

2010

(CAG,

GIS,

HNZ,

KFT).

Altria’s Financial Profile

EBITDA as a % of Net Revenues

(Twelve Months ending 12/09**)

56%

44%

32%

23%

21%

20%

18%

16%

14%

14%

13%

12%

8%

5%

4%

MO*

PM

KO

GIS**

PEP

K

HNZ**

KFT**

CAG**

SLE

PBG

CCE

DF

TSN

ADM

Altria’s Strong Balance Sheet

Important to continue delivering sustainable and predictable

earnings growth over time to grow the dividend

Protects the company’s investment grade credit rating

Preserves access to the capital markets

Secures cash flow generated by operating companies

Altria’s Investment Grade Credit Rating

Access to commercial paper backstopped with revolving credit

facilities

Replaced prior $3.4 billion credit facility with two new facilities

in November 2009

–

$2.4 billion 3-year facility

–

$0.6 billion 364-day facility

Altria’s Economic Interest in SABMiller

Equity Earnings

($ in Millions)

Source: Altria company reports; Bloomberg Closing Stock Price in GBP converted to USD as of February 12, 2010.

+12.5%

(CAGR)

Market Value

($ in Billions)

$3.4

$11.3

$0

$18

Jul-02

Feb-10

$296

$600

$0

$800

2003

2009

Currently intend to maintain position for the foreseeable future

Monetizing position would weaken Altria’s balance sheet and

be dilutive to Altria’s earnings per share

Sale would have significant tax implications and potential

overhang in SABMiller’s stock price

Retention of a portion of any sale proceeds as an asset on

balance sheet to maintain strength and liquidity

Altria’s Economic Interest in SABMiller

Altria’s Strong Balance Sheet

Enables Altria to maximize cash returned to shareholders in

the form of dividends

Maintain a conservative financial profile

Altria’s Cash Flow

Majority of cash flow generated from operations is expected to

be returned to shareholders as dividends

Capital expenditures for next several years are expected to be

under 2% of net revenues

Since the share repurchase program is suspended indefinitely,

we expect to use excess cash, above that needed for

dividends and capital expenditures to reduce interest expense

Debt to EBITDA ratio at the end of 2009 was 1.9 to 1

Ratio in-line with peers, and supports investment grade credit

rating

Reducing interest expense would further strengthen balance

sheet, improve cash flow and increase earnings per share and

dividends

Altria’s Debt

Altria’s Debt

$3.4 billion in debt coming due over next four years, which has

over $260 million in annual interest

Decision to refinance or retire debt depends upon:

–

Conditions of the capital markets

–

Interest rates

–

Business needs and conditions

Altria’s Adjusted EPS Growth Objective

Delivered average adjusted EPS growth of 8% over the past

two years

Within the long-term objective of 8% to 10% outlined at time of

PMI spin

Dramatic change in operating environment since March 2008

More appropriate mid-term adjusted EPS growth objective of    

7% to 9% in today’s environment

2010 Business Environment

Adult consumers remain under economic pressure and face

high unemployment

Remain cautious about state excise tax environment and

competitive environment

Altria’s 2010 Adjusted EPS Guidance

Source: Altria company filings

* For reconciliation of non-GAAP to GAAP numbers visit www.altria.com

Partially due to FET-related pricing strategies in 2009, income

growth comparisons are expected to be more challenging for

the first and second quarters of 2010

Expect adjusted EPS growth to build in the second half of 2010

Altria forecasts that 2010 adjusted* diluted EPS will grow to a

range of $1.85 to $1.89

+17.2%

Source:

Altria

company

filings;

Bloomberg

Yearly

Return

Dividend Growth

Delivering Superior Returns to Shareholders

2009

Total Shareholder Return*

*

Assumes

reinvestment

of

dividends

39.1%

25.9%

21.6%

Altria

S&P 500

S&P Food,

Beverage &

Tobacco

$1.16

$1.36

2008

2009

Source: Bloomberg

Total Shareholder Return

Note : Top ten defined as the 10 largest U.S. Consumer Packaged Goods by market capitalization as of Dec. 31, 2009; TSR as of Dec. 31, 2009

Market Cap.

2009

Company Name

Industry

($ in Millions)

TSR (%)

1

Altria Group, Inc.

Tobacco

$40,678

39.1

2

Coca-Cola Co

Beverages

132,079

29.5

3

Kimberly-Clark Corp

Household Products

26,464

25.4

4

Kellogg Co

Food Products

20,185

24.6

5

Colgate-Palmolive Co

Household Products

40,844

22.4

6

General Mills Inc

Food Products

23,335

19.5

7

Philip Morris International Inc

Tobacco

91,787

15.9

8

PepsiCo Inc

Beverages

94,875

14.3

9

Kraft Foods Inc

Food Products

40,172

5.6

10

Procter & Gamble Co

Household Products

177,145

0.9

Source: Bloomberg

Altria’s Total Shareholder Return –

1999 to 2009

174.4%

-2.9%

69.3%

Altria

S&P 500

S&P 500 Food,

Beverage & Tobacco

High dividend yield with strong EPS growth prospects

–

~80% dividend payout ratio target

–

+6.5% dividend yield

–

Opportunity to grow both EPS and dividends by 7% to 9%

per year

Compelling Investment

Note: Dividend yield is based on the closing stock price as of 2/12/2010

Altria’s Solid Business Model

Tobacco space profit pool is growing

Tobacco operating companies have leading positions in all

major tobacco categories

Relatively unaffected by currency issues, input costs and

private label brand competition from the trade

Potentially more earnings predictability than other CPG

company investment alternatives

Non-GAAP Financial Measures

Altria reports its consolidated financial results in accordance with generally accepted

accounting principles (GAAP).  Today’s remarks may contain various operating results on

both a reported basis and on an adjusted basis, which excludes items that affect the

comparability of reported results.

Altria’s management reviews OCI, which is defined as operating income before corporate

expenses and amortization of intangibles, to evaluate segment performance and allocate

resources.  Altria’s management also reviews OCI, operating margins and earnings per

share (EPS) on an adjusted basis, which excludes certain income and expense items that

management believes are not part of underlying operations because such items can

obscure underlying business trends.  Management believes it is appropriate to disclose

these measures to help investors analyze underlying business performance and trends. 

Such adjusted measures are regularly provided to management for use in the evaluation

of segment performance and allocation of resources. All references in the remarks are to

continuing operations, unless otherwise noted.

Reconciliations of any non-GAAP financial measures to the most directly comparable

GAAP measures can be found posted to our website at www.altria.com.

For full reconciliation, visit www.altria.com/investors

Regulation G Disclosure

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2007

(dollars in millions)

Reported OCI                           

$4,511

Asset impairment and exit costs

344

Implementation costs

27        

Provision for Scott Case                                       

26

Adjusted OCI

$4,908

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI) Margin

for Year Ended December 31, 2007

(dollars in millions)

Adjusted OCI                           

$4,908

Revenues                                                         

18,470

Less Excise taxes                                           

(3,449)

Net Revenues excluding excise taxes                            

$15,021

Adjusted OCI margin

32.7%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2008

(dollars in millions)

Reported OCI                           

$4,866

Exit costs

97

Implementation costs

69

Adjusted OCI

$5,032

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2009

(dollars in millions)

Reported OCI                                 

$5,055

Exit costs

115

Implementation costs

139

Adjusted OCI

$5,309

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31

(dollars in millions)

2008 adjusted OCI

$5,032

2009 adjusted OCI

$5,309

% change 2009 adjusted OCI versus prior-year period

5.5%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Adjusted OCI                           

$5,309

Revenues                                                         

20,919

Less Excise taxes                                          

(6,465)

Net Revenues excluding excise taxes                            

$14,454

Adjusted OCI margin

36.7%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI) Margin

for Year Ended December 31, 2009

(dollars in millions)

Cigarettes Segment’s

Adjusted Operating Companies Income (OCI) Margin

for Year Ended December 31

2007 adjusted OCI margin

32.7%

2009 adjusted OCI margin

36.7%

% point change 2009 adjusted OCI margin versus                 

2007 adjusted OCI margin

4.0pp

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Smokeless Products Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2009

(dollars in millions)

Reported OCI                     

$381   

Asset impairment and exit costs

193

Integration costs

43

UST acquisition-related costs*

15

Adjusted OCI

$632

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

* Excludes asset impairment, exit and integration costs

Cigars Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2008

(dollars in millions)

Reported OCI

$164

Integration costs

18

Adjusted OCI

$182

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Cigars Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2009

(dollars in millions)

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Reported OCI

$176

Integration costs

9

Adjusted OCI

$185

Cigars Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31

(dollars in millions)

2008 adjusted OCI

$182

2009 adjusted OCI

$185

% change 2009 adjusted OCI versus prior-year period

1.6%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Wine Segment’s

Adjusted Operating Companies Income (OCI)

for Year Ended December 31, 2009

(dollars in millions)

Reported OCI                             

$43

Exit costs

3

Integration costs

6

UST acquisition-related costs*                                                  

21

Adjusted OCI

$73

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

* Excludes exit and integration costs

Adjusted Diluted Earnings per Share (EPS) from Continuing

Operations Attributable to Altria for Year Ended    

December 31, 2007

Reported diluted EPS from continuing operations   

$1.48

Asset impairment, exit and implementation costs

0.15

Interest on tax reserve transfers to Kraft Foods Inc.

(Kraft)           

0.02

Recoveries from airline industry exposure

(0.06)

Tax items

(0.09)

Adjusted diluted EPS from continuing operations

$1.50

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Adjusted Diluted Earnings per Share (EPS) from Continuing

Operations Attributable to Altria for Year Ended    

December 31, 2008

Reported diluted EPS from continuing operations   

$1.48

Tax Items

(0.03)

Gain on sale of corporate headquarters building

(0.12)

Loss on early extinguishment of debt

0.12

SABMiller special items

0.03

UST acquisition-related costs*

0.02

Exit, integration and implementation costs                     

0.15

Adjusted diluted EPS from continuing operations

$1.65

* Excludes exit and integration costs

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Adjusted Diluted Earnings per Share (EPS)

Attributable to Altria for Year Ended    

December 31, 2009

Reported diluted EPS

$1.54

Tax Items

(0.04)

UST acquisition-related costs*

0.06

Asset impairment, exit, integration and

implementation costs

0.19

Adjusted diluted EPS

$1.75

* Excludes asset impairment, exit and integration costs

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

2007 adjusted diluted EPS

from continuing operations

$1.50

2008 adjusted diluted EPS

from continuing operations

$1.65

% change in 2008 adjusted diluted EPS

from continuing operations versus prior-year period

10.0%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Adjusted Diluted Earnings per Share (EPS) Attributable to

Altria for Year Ended

December 31

2008 adjusted diluted EPS

from continuing operations

$1.65

2009 adjusted diluted EPS

from continuing operations

$1.75

% change in 2009 adjusted diluted EPS

from continuing operations versus prior-year period

6.1%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Adjusted Diluted Earnings per Share (EPS) from Continuing

Operations Attributable to Altria for Year Ended

December 31

Projected Full-Year Adjusted Diluted Earnings per Share

(EPS) Attributable to Altria for Year Ending

December 31, 2010

Projected reported diluted EPS  

$1.78 to $1.82

Exit, integration and implementation costs

0.04

UST acquisition-related costs*

0.01

SABMiller special items

0.02

Projected adjusted diluted EPS   

$1.85 to $1.89

* Excludes exit and integration costs

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Projected Full-Year Adjusted Diluted Earnings per Share

(EPS) Attributable to Altria for Year Ending

December 31

2009 adjusted diluted EPS 

$1.75

2010 projected adjusted diluted EPS 

$1.85 to $1.89

% change in 2010 projected full-year adjusted

diluted EPS versus the prior-year period

6% -

8%

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures

Altria Earnings Before Interest Taxes, Depreciation &

Amortization (EBITDA) for the Debt Covenant

Year Ended December 31, 2009                        (dollars in millions)

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures.

Net earnings attributable to Altria Group, Inc.

$3,206

Equity earnings and minority interest, net

(599)

Dividends from less than 50% owned affiliates

254

Provision for income taxes

1,669

Depreciation & Amortization

291

Asset impairment and exit costs

421

Interest and other debt expense, net

1,185

Consolidated EBITDA attributable to                            

Altria Group, Inc.                                              

$6,427

Altria Total Debt for EBITDA calculation

Year Ended December 31, 2009

(dollars in millions)

Current portion of Long-term debt                          

$775

Long-term debt

11,185

Discount on debt

41

Third-party guarantees

12

Total debt

$12,013

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures.

Altria Revenues Net of Excise Taxes and

Government Payments for the

Year Ended December 31, 2009                          

(dollars in millions)

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures.

Revenues

$23,556

Less Excise taxes

(6,732)

Net revenues net of excise taxes

$16,824

Less MSA, quota & FDA

(5,018)        

Net revenues net of excise taxes and

$11,806

government payments

Altria Adjusted Earnings Before Interest, Taxes,

Depreciation & Amortization (EBITDA) for the

Year Ended December 31, 2009                         

(dollars in millions)

Source: ALCS Finance, reconciliation between GAAP and non-GAAP financial measures.

* Excludes exit and integration costs

Net earnings attributable to Altria

$3,206

Equity earnings and minority interest, net

(599)

Provision for income taxes

1,669

Depreciation & Amortization

291

Interest and other debt expense, net

1,185        

Consolidated EBITDA attributable to Altria

$5,752

Asset impairment and exit costs

421

Integration and implementation costs

197

UST transaction and acquisition-related costs*

96

Reduction to Kraft Receivable

88

Consolidated Adjusted EBITDA attributable to Altria

$6,554

EX-99.3

Exhibit 99.3

ALTRIA PRESENTS AT

THE CONSUMER ANALYST GROUP OF NEW YORK CONFERENCE

RICHMOND, Va. February 18, 2010 – Altria Group, Inc. (Altria) (NYSE: MO) is participating in the Consumer Analyst Group of New York (CAGNY) conference in Boca Raton, Florida today. The presentation will be webcast live at www.altria.com in a listen-only mode, beginning at approximately 9:15 a.m. Eastern Time.

During the presentation, Mr. Michael E. Szymanczyk, Altria’s Chairman and Chief Executive Officer, and Mr. David R. Beran, Altria’s Executive Vice President and Chief Financial Officer will discuss Altria’s 2009 performance and its 2010 plan to deliver strong returns to Altria’s shareholders. “Altria is a compelling investment when measured against other domestic consumer product goods companies,” Mr. Szymanczyk said. “Altria offers a unique combination of a high dividend yield with strong earnings growth prospects, which is supported by Altria’s solid business model. The tobacco space continues to grow profits, and Altria’s tobacco operating companies have leading positions in all the major tobacco categories, with ample opportunities for growth.”

Altria reaffirms that it expects 2010 guidance for adjusted diluted earnings per share (EPS) to increase to a range of $1.85 to $1.89, representing a growth rate of 6% to 8% from an adjusted base of $1.75 per share in 2009. On a reported basis, Altria reaffirms that it expects 2010 full year reported diluted EPS to increase to a range of $1.78 to $1.82. Partially due to Philip Morris USA’s (PM USA) federal excise tax related pricing strategies in 2009, Altria expects the first and second quarters of 2010 to be more challenging for income growth comparison purposes than the back half of 2010. Altria therefore expects adjusted EPS growth to build in the second half of the year. As a result of the challenging economic environment, Altria revises its mid-term adjusted EPS growth objective to 7% to 9%, which offers an attractive EPS and dividend growth prospect to shareholders.

The factors described in the Forward-Looking and Cautionary Statements section of this press release represent continuing risks to these projections. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures are detailed later in this press release.

6601 West Broad Street, Richmond, VA 23230

An archived copy of the webcast and prepared remarks will be available until 5:00 p.m. Eastern Time on Friday, March 19, 2010, at www.altria.com.

Non-GAAP Financial Measures

Altria reports its consolidated financial results in accordance with generally accepted accounting principles (GAAP). Today’s press release and remarks contain earnings per share guidance on both a reported basis and on an adjusted basis, which excludes special items that affect the comparability of reported results. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP measures are detailed below.

Altria’s Full-Year Earnings Per Share Forecast Excluding Special Items
	Full Year
	2010		2009			Change
Reported diluted EPS	$	1.78 to $1.82	$	1.54		16% to 18%
Asset impairment, exit, integration and implementation costs		0.04		0.19
UST-acquisition related costs*		0.01		0.06
Tax items		-		(0.04	)
SABMiller special items		0.02		-
Adjusted diluted EPS	$	1.85 to $1.89	$	1.75		6% to 8%

* Excludes asset impairment, exit and integration costs

Altria’s Profile

Altria directly or indirectly owns 100% of each of PM USA, U.S. Smokeless Tobacco Co. (USSTC), John Middleton Co. (Middleton), Ste. Michelle Wine Estates, and Philip Morris Capital Corporation. Altria holds a continuing economic and voting interest in SABMiller plc.

The brand portfolio of Altria’s tobacco operating companies includes such well-known names as Marlboro, Copenhagen, Skoal and Black & Mild. Ste. Michelle produces and markets premium wines sold under 20 different labels including Chateau Ste. Michelle and Columbia Crest, and it exclusively distributes and markets Antinori, Champagne Nicolas Feuillatte and Villa Maria Estate products in the United States. Trademarks and service marks related to Altria referenced in this release are the property of, or licensed by, Altria or its subsidiaries. More information about Altria is available at www.altria.com.

2

Forward-Looking and Cautionary Statements

These remarks contain projections of future results and other forward-looking statements that involve a number of risks and uncertainties and are made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995.

Important factors that may cause actual results and outcomes to differ materially from those contained in the projections and forward-looking statements included in this press release and today’s remarks are described in Altria’s publicly filed reports, including its Annual Report on Form 10-K for the year ended December 31, 2008 and its Quarterly Report on Form 10-Q for the period ended September 30, 2009.

These factors include the following: Altria’s tobacco businesses (PM USA, USSTC and Middleton) are subject to intense price competition; changes in consumer preferences and demand for their products; fluctuations in raw material availability, quality and cost; reliance on key facilities and suppliers; fluctuations in levels of customer inventories; the effects of global, national and local economic and market conditions; changes to income tax laws; legislation, including actual and potential federal and state excise tax increases; increasing marketing and regulatory restrictions; the effects of price increases related to excise tax increases and concluded tobacco litigation settlements on trade inventories, consumption rates and consumer preferences within price segments; health concerns relating to the use of tobacco products and exposure to environmental tobacco smoke; governmental regulation, including the Family Smoking Prevention and Tobacco Control Act that granted the Food and Drug Administration broad authority to regulate tobacco products; privately imposed smoking restrictions; and governmental and grand jury investigations.

Their results are dependent upon their continued ability to promote brand equity successfully; to anticipate and respond to new consumer trends; to develop new products and markets and to broaden brand portfolios in order to compete effectively; and to improve productivity.

Altria’s subsidiaries continue to be subject to litigation, including risks associated with adverse jury and judicial determinations, courts reaching conclusions at variance with the companies’ understanding of applicable law and bonding requirements in the limited number of jurisdictions that do not limit the dollar amount of appeal bonds. Altria cautions that the foregoing list of important factors is not complete and does not undertake to update any forward-

3

looking statements that it may make other than in the normal course of its public disclosure obligations. All subsequent written and oral forward-looking statements attributable to Altria or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements referenced above.

CONTACT:

Clifford B. Fleet

Vice President, Investor Relations

804-484-8222

Daniel R. Murphy

Director, Investor Relations

804-484-8222

SOURCE: Altria Group, Inc.

4