Condensed Consolidating Financial Information (Tables)

3 Months Ended

9 Months Ended

12 Months Ended

Sep. 30, 2011

Sep. 30, 2010

Sep. 30, 2011

Sep. 30, 2010

Dec. 31, 2010

Condensed Consolidating Financial Information

Condensed Consolidating Balance Sheets

 

Condensed Consolidating Balance Sheets

September 30, 2011

(in millions of dollars)

	Altria Group, Inc.		PM USA		Non- Guarantor Subsidiaries		Total Consolidating Adjustments			Consolidated
ASSETS
Consumer products
Cash and cash equivalents	$	3,015	$	—	$	28	$	—		$	3,043
Receivables		115		9		70					194
Inventories:
Leaf tobacco				441		336					777
Other raw materials				141		41					182
Work in process				8		235					243
Finished product				161		262					423
				751		874					1,625
Due from Altria Group, Inc. and subsidiaries		432		2,611		1,444		(4,487	)
Deferred income taxes		10		1,191				(14	)		1,187
Other current assets		6		454		66					526
Total current assets		3,578		5,016		2,482		(4,501	)		6,575
Property, plant and equipment, at cost		2		3,307		1,453					4,762
Less accumulated depreciation		2		1,990		486					2,478
				1,317		967					2,284
Goodwill						5,174					5,174
Other intangible assets, net				2		12,100					12,102
Investment in SABMiller		5,539									5,539
Investment in consolidated subsidiaries		7,483		337				(7,820	)
Due from Altria Group, Inc. and subsidiaries		6,500						(6,500	)
Other assets		1,384		572		124		(386	)		1,694
Total consumer products assets		24,484		7,244		20,847		(19,207	)		33,368
Financial services
Finance assets, net						3,814					3,814
Due from Altria Group, Inc. and subsidiaries						601		(601	)
Other assets						19					19
Total financial services assets						4,434		(601	)		3,833
TOTAL ASSETS	$	24,484	$	7,244	$	25,281	$	(19,808	)	$	37,201

Condensed Consolidating Balance Sheets (Continued)

September 30, 2011

(in millions of dollars)

	Altria Group, Inc.			PM USA			Non-Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
LIABILITIES
Consumer products
Current portion of long-term debt	$	—		$	—		$	600		$	—		$	600
Accounts payable		69			122			135						326
Accrued liabilities:
Marketing					384			16						400
Taxes, except income taxes					85			9						94
Employment costs		26			11			141						178
Settlement charges					3,136			5						3,141
Other		350			549			317			(14	)		1,202
Income taxes		3			163			26						192
Dividends payable		846												846
Due to Altria Group, Inc. and subsidiaries		3,658			261			1,169			(5,088	)
Total current liabilities		4,952			4,711			2,418			(5,102	)		6,979
Long-term debt		12,789						299						13,088
Deferred income taxes		1,861						3,364			(386	)		4,839
Accrued pension costs		202						767						969
Accrued postretirement health care costs					1,494			936						2,430
Due to Altria Group, Inc. and subsidiaries								6,500			(6,500	)
Other liabilities		261			289			177						727
Total consumer products liabilities		20,065			6,494			14,461			(11,988	)		29,032
Financial services
Deferred income taxes								3,241						3,241
Other liabilities								473						473
Total financial services liabilities								3,714						3,714
Total liabilities		20,065			6,494			18,175			(11,988	)		32,746
Contingencies
Redeemable noncontrolling interest								34						34
STOCKHOLDERS' EQUITY
Common stock		935						9			(9	)		935
Additional paid-in capital		5,650			408			8,238			(8,646	)		5,650
Earnings reinvested in the business		23,585			606			183			(789	)		23,585
Accumulated other comprehensive losses		(1,461	)		(264	)		(1,360	)		1,624			(1,461	)
Cost of repurchased stock		(24,290	)											(24,290	)
Total stockholders' equity attributable to Altria Group, Inc.		4,419			750			7,070			(7,820	)		4,419
Noncontrolling interests								2						2
Total stockholders' equity		4,419			750			7,072			(7,820	)		4,421
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	24,484		$	7,244		$	25,281		$	(19,808	)	$	37,201

Condensed Consolidating Balance Sheets

December 31, 2010

(in millions of dollars)

	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

Condensed Consolidating Balance Sheets (Continued)

December 31, 2010

(in millions of dollars)

	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	$	—		$	5,311	$	804		$	(7	)	$	6,108
Cost of sales					1,684		206			(7	)		1,883
Excise taxes on products					1,687		93						1,780
Gross profit					1,940		505						2,445
Marketing, administration and research costs		49			499		33						581
Changes to Kraft and PMI tax-related receivables		(19	)										(19	)
Amortization of intangibles							5						5
Operating (expense) income		(30	)		1,441		467						1,878
Interest and other debt expense, net		177			1		115						293
Earnings from equity investment in SABMiller		(208	)										(208	)
Earnings before income taxes and equity earnings of subsidiaries		1			1,440		352						1,793
(Benefit) provision for income taxes		(51	)		553		117						619
Equity earnings of subsidiaries		1,121			17					(1,138	)
Net earnings		1,173			904		235			(1,138	)		1,174
Net earnings attributable to noncontrolling interests							(1	)					(1	)
Net earnings attributable to Altria Group, Inc.	$	1,173		$	904	$	234		$	(1,138	)	$	1,173

	Altria Group, Inc.			PM USA			Non- Guarantor Subsidiaries		Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	5,716		$	693	$	(7	)	$	6,402
Cost of sales					1,813			179		(7	)		1,985
Excise taxes on products					1,853			88					1,941
Gross profit					2,050			426					2,476
Marketing, administration and research costs		30			589			72					691
Asset impairment and exit costs					3								3
Amortization of intangibles								6					6
Operating (expense) income		(30	)		1,458			348					1,776
Interest and other debt expense (income), net		134			(3	)		148					279
Earnings from equity investment in SABMiller		(186	)										(186	)
Earnings before income taxes and equity earnings of subsidiaries		22			1,461			200					1,683
(Benefit) provision for income taxes		(30	)		509			73					552
Equity earnings of subsidiaries		1,079			10					(1,089	)
Net earnings attributable to Altria Group, Inc.	$	1,131		$	962		$	127	$	(1,089	)	$	1,131

	Altria Group, Inc.			PM USA		Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	16,009	$	1,681		$	(19	)	$	17,671
Cost of sales					5,139		588			(19	)		5,708
Excise taxes on products					5,139		259						5,398
Gross profit					5,731		834						6,565
Marketing, administration and research costs		133			1,551		169						1,853
Changes to Kraft and PMI tax-related receivables		(19	)										(19	)
Asset impairment and exit costs					3								3
Amortization of intangibles							16						16
Operating (expense) income		(114	)		4,177		649						4,712
Interest and other debt expense, net		517			5		343						865
Earnings from equity investment in SABMiller		(552	)										(552	)
(Loss) earnings before income taxes and equity earnings of subsidiaries		(79	)		4,172		306						4,399
(Benefit) provision for income taxes		(122	)		1,569		396						1,843
Equity earnings of subsidiaries		2,511			45					(2,556	)
Net earnings (loss)		2,554			2,648		(90	)		(2,556	)		2,556
Net earnings attributable to noncontrolling interests							(2	)					(2	)
Net earnings (loss) attributable to Altria Group, Inc.	$	2,554		$	2,648	$	(92	)	$	(2,556	)	$	2,554

	Altria Group, Inc.			PM USA		Non- Guarantor Subsidiaries			Total Consolidating Adjustments			Consolidated
Net revenues	$	—		$	16,405	$	2,051		$	(20	)	$	18,436
Cost of sales					5,308		531			(20	)		5,819
Excise taxes on products					5,431		252						5,683
Gross profit					5,666		1,268						6,934
Marketing, administration and research costs		90			1,635		258						1,983
Changes to Kraft and PMI tax-related receivables		169											169
Asset impairment and exit costs					28		3						31
Amortization of intangibles							16						16
Operating (expense) income		(259	)		4,003		991						4,735
Interest and other debt expense, net		411			4		441						856
Earnings from equity investment in SABMiller		(437	)										(437	)
(Loss) earnings before income taxes and equity earnings of subsidiaries		(233	)		3,999		550						4,316
(Benefit) provision for income taxes		(285	)		1,411		203						1,329
Equity earnings of subsidiaries		2,934			31					(2,965	)
Net earnings		2,986			2,619		347			(2,965	)		2,987
Net earnings attributable to noncontrolling interests							(1	)					(1	)
Net earnings attributable to Altria Group, Inc.	$	2,986		$	2,619	$	346		$	(2,965	)	$	2,986

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	$	(106	)	$	2,553		$	117		$	—	$	2,564
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES
Consumer products
Capital expenditures					(16	)		(59	)				(75	)
Other					1								1
Financial services
Proceeds from finance assets								248					248
Net cash (used in) provided by investing activities					(15	)		189					174
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
Consumer products
Long-term debt issued		1,494											1,494
Repurchases of common stock		(1,000	)										(1,000	)
Dividends paid on common stock		(2,379	)										(2,379	)
Issuances of common stock		29											29
Changes in amounts due to/from Altria Group, Inc. and subsidiaries		(34	)		150			(116	)
Financing fees and debt issuance costs		(24	)										(24	)
Cash dividends received from/(paid by) subsidiaries		2,702			(2,592	)		(110	)
Other		35			(96	)		(68	)				(129	)
Net cash provided by (used in) financing activities		823			(2,538	)		(294	)				(2,009	)
Cash and cash equivalents:
Increase		717			—			12			—		729
Balance at beginning of period		2,298						16					2,314
Balance at end of period	$	3,015		$	—		$	28		$	—	$	3,043

	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	$	(606	)	$	1,933		$	395		$	—	$	1,722
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES
Consumer products
Capital expenditures					(30	)		(86	)				(116	)
Other					2			78					80
Financial services
Proceeds from finance assets								119					119
Net cash (used in) provided by investing activities					(28	)		111					83
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
Consumer products
Long-term debt issued		1,007											1,007
Long-term debt repaid		(775	)										(775	)
Dividends paid on common stock		(2,165	)										(2,165	)
Issuances of common stock		89											89
Changes in amounts due to/from Altria Group, Inc. and subsidiaries		(400	)		636			(236	)
Financing fees and debt issuance costs		(6	)										(6	)
Cash dividends received from/(paid by) subsidiaries		2,616			(2,470	)		(146	)
Other		55			(71	)		(110	)				(126	)
Net cash provided by (used in) financing activities		421			(1,905	)		(492	)				(1,976	)
Cash and cash equivalents:
(Decrease) increase		(185	)		—			14			—		(171	)
Balance at beginning of period		1,862						9					1,871
Balance at end of period	$	1,677		$	—		$	23		$	—	$	1,700