Condensed Consolidating Financial Information (Tables)

3 Months Ended

6 Months Ended

12 Months Ended

Jun. 30, 2011

Jun. 30, 2010

Jun. 30, 2011

Jun. 30, 2010

Dec. 31, 2010

Condensed Consolidating Financial Information

Condensed Consolidating Balance Sheets

	Altria Group, Inc.			PM USA			Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
ASSETS
Consumer products
Cash and cash equivalents	$	2,041		$	—		$	23		$	—		$	2,064
Receivables		86			15			65						166
Inventories:
Leaf tobacco					445			357						802
Other raw materials					144			44						188
Work in process					7			272						279
Finished product					168			236						404
					764			909						1,673
Due from Altria Group, Inc. and subsidiaries		551			1,843			1,367			(3,761	)
Deferred income taxes		18			1,189						(44	)		1,163
Other current assets		120			466			151			(146	)		591
Total current assets		2,816			4,277			2,515			(3,951	)		5,657
Property, plant and equipment, at cost		2			3,310			1,425						4,737
Less accumulated depreciation		2			1,965			465						2,432
					1,345			960						2,305
Goodwill								5,174						5,174
Other intangible assets, net					2			12,105						12,107
Investment in SABMiller		5,927												5,927
Investment in consolidated subsidiaries		7,228			331						(7,559	)
Due from Altria Group, Inc. and subsidiaries		6,500									(6,500	)
Other assets		1,473			634			110			(443	)		1,774
Total consumer products assets		23,944			6,589			20,864			(18,453	)		32,944
Financial services
Finance assets, net								3,869						3,869
Due from Altria Group, Inc. and subsidiaries								728			(728	)
Other assets								19						19
Total financial services assets								4,616			(728	)		3,888
TOTAL ASSETS	$	23,944		$	6,589		$	25,480		$	(19,181	)	$	36,832
LIABILITIES
Consumer products
Accounts payable	$	—		$	118		$	134		$	—		$	252
Accrued liabilities:
Marketing					397			21						418
Taxes, except income taxes					342			15						357
Employment costs		27			13			98						138
Settlement charges					2,132			5						2,137
Other		340			663			351			(44	)		1,310
Income taxes					188						(146	)		42
Dividends payable		792												792
Due to Altria Group, Inc. and subsidiaries		2,821			237			1,431			(4,489	)
Total current liabilities		3,980			4,090			2,055			(4,679	)		5,446
Long-term debt		12,789						899						13,688
Deferred income taxes		1,994						3,310			(443	)		4,861
Accrued pension costs		204						782						986
Accrued postretirement health care costs					1,497			923						2,420
Due to Altria Group, Inc. and subsidiaries								6,500			(6,500	)
Other liabilities		344			286			177						807
Total consumer products liabilities		19,311			5,873			14,646			(11,622	)		28,208
Financial services
Deferred income taxes								3,351						3,351
Other liabilities								605						605
Total financial services liabilities								3,956						3,956
Total liabilities		19,311			5,873			18,602			(11,622	)		32,164
Contingencies
Redeemable noncontrolling interest								33						33
STOCKHOLDERS' EQUITY
Common stock		935						9			(9	)		935
Additional paid-in capital		5,627			408			8,217			(8,625	)		5,627
Earnings reinvested in the business		23,256			577			4			(581	)		23,256
Accumulated other comprehensive losses		(1,279	)		(269	)		(1,387	)		1,656			(1,279	)
Cost of repurchased stock		(23,906	)											(23,906	)
Total stockholders' equity attributable to Altria Group, Inc.		4,633			716			6,843			(7,559	)		4,633
Noncontrolling interests								2						2
Total stockholders' equity		4,633			716			6,845			(7,559	)		4,635
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	23,944		$	6,589		$	25,480		$	(19,181	)	$	36,832

	Altria Group, Inc.		PM USA		Non- Guarantor Subsidiaries		Total Consolidating Adjustments			Consolidated
ASSETS
Consumer products
Cash and cash equivalents	$	2,298	$	—	$	16	$	—		$	2,314
Receivables		1		9		75					85
Inventories:
Leaf tobacco				594		366					960
Other raw materials				121		39					160
Work in process						299					299
Finished product				145		239					384
				860		943					1,803
Due from Altria Group, Inc. and subsidiaries		429		2,902		1,556		(4,887	)
Deferred income taxes		18		1,190				(43	)		1,165
Other current assets		64		420		130					614
Total current assets		2,810		5,381		2,720		(4,930	)		5,981
Property, plant and equipment, at cost		2		3,749		1,399					5,150
Less accumulated depreciation		2		2,343		425					2,770
				1,406		974					2,380
Goodwill						5,174					5,174
Other intangible assets, net				2		12,116					12,118
Investment in SABMiller		5,367									5,367
Investment in consolidated subsidiaries		7,561		325				(7,886	)
Due from Altria Group, Inc. and subsidiaries		6,500						(6,500	)
Other assets		1,511		680		98		(438	)		1,851
Total consumer products assets		23,749		7,794		21,082		(19,754	)		32,871
Financial services
Finance assets, net						4,502					4,502
Due from Altria Group, Inc. and subsidiaries						690		(690	)
Other assets						29					29
Total financial services assets						5,221		(690	)		4,531
TOTAL ASSETS	$	23,749	$	7,794	$	26,303	$	(20,444	)	$	37,402

	Altria Group, Inc.			PM USA			Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
LIABILITIES
Consumer products
Accounts payable	$	—		$	215		$	314		$	—		$	529
Accrued liabilities:
Marketing					347			100						447
Taxes, except income taxes					212			19						231
Employment costs		30			18			184						232
Settlement charges					3,531			4						3,535
Other		312			467			333			(43	)		1,069
Dividends payable		797												797
Due to Altria Group, Inc. and subsidiaries		3,674			454			1,449			(5,577	)
Total current liabilities		4,813			5,244			2,403			(5,620	)		6,840
Long-term debt		11,295						899						12,194
Deferred income taxes		1,800						3,256			(438	)		4,618
Accrued pension costs		204						987						1,191
Accrued postretirement health care costs					1,500			902						2,402
Due to Altria Group, Inc. and subsidiaries								6,500			(6,500	)
Other liabilities		445			335			169						949
Total consumer products liabilities		18,557			7,079			15,116			(12,558	)		28,194
Financial services
Deferred income taxes								3,880						3,880
Other liabilities								101						101
Total financial services liabilities								3,981						3,981
Total liabilities		18,557			7,079			19,097			(12,558	)		32,175
Contingencies
Redeemable noncontrolling interest								32						32
STOCKHOLDERS' EQUITY
Common stock		935						9			(9	)		935
Additional paid-in capital		5,751			408			8,217			(8,625	)		5,751
Earnings reinvested in the business		23,459			583			385			(968	)		23,459
Accumulated other comprehensive losses		(1,484	)		(276	)		(1,440	)		1,716			(1,484	)
Cost of repurchased stock		(23,469	)											(23,469	)
Total stockholders' equity attributable to Altria Group, Inc.		5,192			715			7,171			(7,886	)		5,192
Noncontrolling interests								3						3
Total stockholders' equity		5,192			715			7,174			(7,886	)		5,195
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	23,749		$	7,794		$	26,303		$	(20,444	)	$	37,402

Condensed Consolidating Statements of Earnings

	Altria Group, Inc.			PM USA		Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	5,687	$	239		$	(6	)	$	5,920
Cost of sales					1,838		198			(6	)		2,030
Excise taxes on products					1,833		85						1,918
Gross profit (loss)					2,016		(44	)					1,972
Marketing, administration and research costs		39			554		78						671
Asset impairment and exit costs					1								1
Amortization of intangibles							5						5
Operating (expense) income		(39	)		1,461		(127	)					1,295
Interest and other debt expense, net		175			6		113						294
Earnings from equity investment in SABMiller		(155	)										(155	)
(Loss) earnings before income taxes and equity earnings of subsidiaries		(59	)		1,455		(240	)					1,156
(Benefit) provision for income taxes		(41	)		543		210						712
Equity earnings of subsidiaries		462			15					(477	)
Net earnings (loss) attributable to Altria Group, Inc.	$	444		$	927	$	(450	)	$	(477	)	$	444

	Altria Group, Inc.			PM USA		Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	5,592	$	682		$	—		$	6,274
Cost of sales					1,791		176						1,967
Excise taxes on products					1,847		86						1,933
Gross profit					1,954		420						2,374
Marketing, administration and research costs		24			536		91						651
Reduction of Kraft and PMI tax-related receivables		169											169
Asset impairment and exit costs					20		1						21
Amortization of intangibles					2		2						4
Operating (expense) income		(193	)		1,396		326						1,529
Interest and other debt expense, net		138			6		146						290
Earnings from equity investment in SABMiller		(113	)										(113	)
(Loss) earnings before income taxes and equity earnings of subsidiaries		(218	)		1,390		180						1,352
(Benefit) provision for income taxes		(228	)		480		57						309
Equity earnings of subsidiaries		1,032								(1,032	)
Net earnings		1,042			910		123			(1,032	)		1,043
Net earnings attributable to noncontrolling interests							(1	)					(1	)
Net earnings attributable to Altria Group, Inc.	$	1,042		$	910	$	122		$	(1,032	)	$	1,042

	Altria Group, Inc.			PM USA		Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	10,698	$	877		$	(12	)	$	11,563
Cost of sales					3,455		382			(12	)		3,825
Excise taxes on products					3,452		166						3,618
Gross profit					3,791		329						4,120
Marketing, administration and research costs		84			1,052		136						1,272
Asset impairment and exit costs					3								3
Amortization of intangibles							11						11
Operating (expense) income		(84	)		2,736		182						2,834
Interest and other debt expense, net		340			4		228						572
Earnings from equity investment in SABMiller		(344	)										(344	)
(Loss) earnings before income taxes and equity earnings of subsidiaries		(80	)		2,732		(46	)					2,606
(Benefit) provision for income taxes		(71	)		1,016		279						1,224
Equity earnings of subsidiaries		1,390			28					(1,418	)
Net earnings (loss)		1,381			1,744		(325	)		(1,418	)		1,382
Net earnings attributable to noncontrolling interests							(1	)					(1	)
Net earnings (loss) attributable to Altria Group, Inc.	$	1,381		$	1,744	$	(326	)	$	(1,418	)	$	1,381

	Altria Group, Inc.			PM USA		Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	10,725	$	1,309		$	—		$	12,034
Cost of sales					3,494		340						3,834
Excise taxes on products					3,578		164						3,742
Gross profit					3,653		805						4,458
Marketing, administration and research costs		60			1,045		187						1,292
Reduction of Kraft and PMI tax-related receivables		169											169
Asset impairment and exit costs					25		3						28
Amortization of intangibles					5		5						10
Operating (expense) income		(229	)		2,578		610						2,959
Interest and other debt expense, net		277			7		293						577
Earnings from equity investment in SABMiller		(251	)										(251	)
(Loss) earnings before income taxes and equity earnings of subsidiaries		(255	)		2,571		317						2,633
(Benefit) provision for income taxes		(255	)		914		118						777
Equity earnings of subsidiaries		1,855								(1,855	)
Net earnings		1,855			1,657		199			(1,855	)		1,856
Net earnings attributable to noncontrolling interests							(1	)					(1	)
Net earnings attributable to Altria Group, Inc.	$	1,855		$	1,657	$	198		$	(1,855	)	$	1,855

Condensed Consolidating Statements Of Cash Flows

	Altria Group, Inc.			PM USA			Non- Guarantor Subsidiaries			Total Consolidating Adjustments		Consolidated
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
Net cash (used in) provided by operating activities	$	(427	)	$	967		$	(61	)	$	—	$	479
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES
Consumer products
Capital expenditures					(10	)		(30	)				(40	)
Other					1								1
Financial services
Proceeds from finance assets								129					129
Net cash (used in) provided by investing activities					(9	)		99					90
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
Consumer products
Long-term debt issued		1,494											1,494
Repurchases of common stock		(575	)										(575	)
Dividends paid on common stock		(1,589	)										(1,589	)
Issuances of common stock		29											29
Changes in amounts due to/from Altria Group, Inc. and subsidiaries		(975	)		880			95
Financing fees and debt issuance costs		(23	)										(23	)
Cash dividends received from/(paid by) subsidiaries		1,783			(1,728	)		(55	)
Other		26			(110	)		(71	)				(155	)
Net cash provided by (used in) financing activities		170			(958	)		(31	)				(819	)
Cash and cash equivalents:
(Decrease) Increase		(257	)		—			7			—		(250	)
Balance at beginning of period		2,298						16					2,314
Balance at end of period	$	2,041		$	—		$	23		$	—	$	2,064

	Altria Group, Inc.			PM USA			Non- Guarantor Subsidiaries			Total Consolidating Adjustments		Consolidated
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
Net cash (used in) provided by operating activities	$	(201	)	$	300		$	192		$	—	$	291
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES
Consumer products
Capital expenditures					(22	)		(47	)				(69	)
Other					2			16					18
Financial services
Proceeds from finance assets								72					72
Net cash (used in) provided by investing activities					(20	)		41					21
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
Consumer products
Issuances of short-term borrowings		200											200
Long-term debt issued		797											797
Long-term debt repaid		(775	)										(775	)
Dividends paid on common stock		(1,435	)										(1,435	)
Issuances of common stock		39											39
Changes in amounts due to/from Altria Group, Inc. and subsidiaries		(1,441	)		1,501			(60	)
Financing fees and debt issuance costs		(5	)										(5	)
Cash dividends received from/(paid by) subsidiaries		1,766			(1,700	)		(66	)
Other		27			(80	)		(97	)				(150	)
Net cash used in financing activities		(827	)		(279	)		(223	)				(1,329	)
Cash and cash equivalents:
(Decrease) Increase		(1,028	)		1			10			—		(1,017	)
Balance at beginning of period		1,862						9					1,871
Balance at end of period	$	834		$	1		$	19		$	—	$	854