Philip Morris Capital Corporation to Pursue New Strategic Focus

     
BW20030507002165  20030508T060018Z UTC


( BW)(ALTRIA-GROUP)(MOP) Philip Morris Capital Corporation to
Pursue New Strategic Focus

    Business Editors
    UK REGULATORY NEWS

   STAMFORD, Conn.--(BUSINESS WIRE)--May 7, 2003--

Philip Morris Capital Corporation (PMCC), the financial services
subsidiary of Altria Group, Inc. (NYSE: MO) announced today that it is
shifting its strategic focus from an emphasis on the growth of its
portfolio of finance leases through new lease investments to one of
maximizing investment gains and generating cash flows from its
diversified portfolio of leased assets.

"PMCC has a well-diversified portfolio of leased assets that are core
to its lessees and possess significant residual upside," said John J.
Mulligan, president and chief executive officer of PMCC. "This
decision will enable PMCC to realize gains and enhance cash flow
through an orderly and systematic disposition of assets over an
extended period of time."

Explaining the reason for the change, Mr. Mulligan said, "As a result
of a recent strategic review, Altria concluded that PMCC's leasing
investments do not represent a core business and that resources and
capital can be better deployed in support of growth in Altria's
consumer products businesses."

PMCC was formed in 1982. It is headquartered in Stamford, CT and
employs approximately 70 people. Its diversified portfolio of leased
assets totaled approximately $9.3 billion in net finance receivables
at December 31, 2002.

   Short Name: Altria Group Inc.
   Category Code: MSC
   Sequence Number: 00004613
   Time of Receipt (offset from UTC): 20030507T141011+0100

    --30--MEM/ny*  jgm

    CONTACT: Tim Kellogg, 917/663-2759

    KEYWORD: NEW YORK VIRGINIA UNITED KINGDOM INTERNATIONAL EUROPE
    INDUSTRY KEYWORD: MANUFACTURING FOODS/BEVERAGES
    SOURCE: Altria Group Inc

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