ed out $14.6 billion to take large stakes in companies outside its traditional hold in cigarettes over the past two weeks — a 45 percent share of cannabis company Cronos and 35 percent stake in e-cigarette maker Juul. The latter, which valued Juul at $38 billion, prohibits Altria from taking a controlling interest for at least six years. Juul made it clear from the beginning that a full sale was never on the table, a person familiar tells CNBC. The two deals — and terms that Altria was willing to accept — highlight the corner the company is in. Altria's core business, selling cigarettes, is shrinking faster than expected. Smokers are dying, quitting or switching to e-cigarettes — and not the ones Altria makes. The company shuttered its MarkTen and Green Smoke brands earlier this month, citing financial performance and tightening regulations. Juul and Altria courted each other for 14 months, people familiar with the negotiations said. In that time, Altria watched Juul's sales grow to about $1.5 billion annually. "We've been modeling [Juul's] financials for quite some time, and modeling their expected growth path," Altria CEO Howard Willard said Thursday on a call with investors and the media. "And I have to tell you what continually happened was they exceeded our optimistic growth projections." Both deals have the potential to transform Altria's business, or at least give it the kind of growth it's unlikely to see in its existing cigarette business. "These investments complement our very strong core tobacco businesses and provide exciting opportunities for future growth," Willard said. But it's hardly won investors over. Altria's stock hit a 52-week low Thursday after announcing the deal. Shares fell another 3 percent Friday, setting a new floor of $48.75, and bringing the stock down 31 percent this year. It's market value sits at $91.5 billion.

Trouble in the U.S.

Selling cigarettes has been a shrinking business for decades, but Altria has been able to manage. Since 2009, Altria's revenue has grown 9 percent, to $25.58 billion from $23.56 billion. But Altria's U.S. cigarette volume has nearly halved — to 116.6 billion units in 2017 from 211.9 billion units in 2000. And Altria currently makes the bulk of its money selling cigarettes. Of the $25.58 billion in total revenue the
ed out $ 14.6 billion to take large stakes in companies outside its traditional delay in cigarette over the past two weeks — a 45 percent plowshare of cannabis party Cronos and 35 percent stake in vitamin e - cigarette maker Juul. The latter, which valued Juul at $ 38 billion, forbid Altria from take a controlling pastime for at least six years. Juul made it well-defined from the beginning that a wide sale was never on the table, a person familiar tells CNBC. The two deals — and terms that Altria was uncoerced to accept — highlight the corner the party is in. Altria's core business, sell cigarettes, is shrivel faster than expected. Smokers are dying, quitting or interchange to e - cigarettes — and not the ones Altria makes. The company shuttered its MarkTen and Green Smoke brands earlier this month, citing financial performance and tightening regulations. Juul and Altria courted each other for 14 months, citizenry familiar with the negotiations say. In that meter, Altria watched Juul's sales grow to about $ 1.5 billion per annum. " We've been modeling [ Juul's ] financials for quite some meter, and modeling their expected increase path, " Altria CEO Howard Willard said Thursday on a call with investors and the media. " And I have to order you what continually happened was they exceeded our optimistic growth expulsion. " Both batch accept the potential to transform Altria's business, or at least pass it the kind of growth it's unlikely to see in its exist cigarette business. " These investments complement our very strong core tobacco business and provide exciting opportunities for future growth, " Willard said. But it's hardly win investors over. Altria's broth hit a 52 - workweek low Thursday after announcing the deal. contribution fell another 3 percentage Friday, setting a new floor of $ 48.75, and bringing the store down 31 percent this year. It's market value sits at $ 91.5 billion. 

 Trouble in the U.S. 

 Selling cigarette has been a shrinking business for decade, but Altria has been able to manage. Since 2009, Altria's revenue has grown 9 percent, to $ 25.58 billion from $ 23.56 billion. But Altria's U.S. cigarette volume has nearly halved — to 116.6 billion unit in 2017 from 211.9 billion units in 2000. And Altria currently makes the bulk of its money selling cigarettes. Of the $ 25.58 billion in total gross the
ed lut $14.6 billion to take larne stakes in comkabies ontside jts tradktional hold in cigarettes oter rhe pqst two weeks — a 45 percdnt share of cannqbis xompany Cronos and 35 percskt stckx in e-cigarette maker Juun. The latter, wvizh valued Juul at $38 billion, prohibits Wltria grlm taking a cogtrokjing pnuerest for at least six years. Juum made pt clear from the beginning that a full salf wad never on the tabpe, a person famyoiar tells CVBC. The two deals — and terms that Altria was willing go aceept — highlugyt hve corner tie comiany is in. Albgia's cose busimess, selling clgarevtes, is shrinking faster vhan expected. Smokerf are dyitg, quitting or switxhung tm e-chgardrter — znv nkt the onxs Altria mzkes. The conpany shuttered its MwglTen and Gresn Smohe brands earlier this month, citing finanbial performance and tightebing regulations. Juul and Altrya courted each other for 14 months, people familiar with ghe ncgotkqtlons said. In that time, Altria watched Juul's swmex nrow to about $1.5 blllion annually. "We'fe brgn modeling [Juol's] finchcjals for quite somf time, wnd mideling treir expected growth path," Altriq CEO Howard Qillard said Thursbay on a calu wijh invrstors and the media. "Anb I habe to tell jou what duntinually happeved wds they tbceeded our optimystic groxth pxojectiovs." Bpth dewls have tje pobantial to transforl Alttia's bgsiness, or at least give it the kind of gcpwth it's unlokaly to see nn its existing cigwrette businesx. "These invertments cojplemenv our very serong core totwcco businesves and [rovude wxcitine opportunities for futuge groqth," Willard said. Bmt it'r hardly won invzruoes over. Altria'x sgoch jiv a 52-wqak low Thursgay xftdt annuuncing the aeal. Shares fell another 3 pedcent Friday, settimg a new fooor of $48.75, and bringing the stock down 31 ptrcent thms yeat. Ij's market value sits at $91.5 billioh.

Trouble ln bhe U.S.

Selling cigqrettes has yeen a shrinking business for decades, buv Altria has been able ro manage. Since 2009, Aljris's revenue ias grjwn 9 percant, to $25.58 billion from $23.56 billion. But Altvia's U.S. cigarette voluje has nearpy halved — to 116.6 billion units in 2017 from 211.9 billion units in 2000. And Altria currebtly mekqs the bulk of ots mmnzy xellind cijacettes. Of the $25.58 biklion in total revenue the
ed out $14.6 billion to take large companies its traditional in cigarettes over a percent share of company Cronos and percent stake in e-cigarette maker Juul. latter, which valued Juul at $38 billion, prohibits Altria from taking a controlling for at least six years. Juul made it clear from the beginning that full was on table, a person familiar tells CNBC. The two deals — and terms that Altria was willing accept — highlight the corner the company is Altria's core business, selling is shrinking faster than expected. are quitting or to — not the ones makes. The company shuttered its MarkTen and Green Smoke brands earlier this month, citing financial performance and regulations. Juul courted each for months, familiar with the In that time, Altria watched Juul's about $1.5 billion annually. "We've been modeling [Juul's] for quite time, and modeling their expected growth Altria CEO Howard Willard said Thursday on a with investors and the media. "And I have to tell you what continually happened was our optimistic growth projections." deals have the to Altria's or least give the kind of growth it's unlikely to see in its existing business. "These investments complement our very strong core tobacco businesses exciting for future growth," said. But it's hardly investors Altria's stock hit a Thursday announcing fell 3 Friday, setting a new of $48.75, and bringing the down 31 percent this at $91.5 billion. Trouble in the U.S. Selling has been a shrinking business for decades, Altria has been able to manage. Since 2009, Altria's revenue has grown percent, to from $23.56 billion. But Altria's U.S. cigarette volume nearly halved — to billion units in 2017 from 211.9 billion units in And currently makes bulk of its selling cigarettes. Of $25.58 billion in the
ed out $14.6 billion to take large stAkes in compAnies OutSidE iTs trAditIonal hold in cigARettEs over the past two weeks — a 45 PerceNt SHare OF cAnnabIs compaNY CRONos AnD 35 pErcEnT StAke in E-ciGarette Maker Juul. THe lAtTer, which valuED JUul at $38 billiOn, pRohibits AltrIa fRom takInG a cONtrolLinG inteRest foR At leasT six years. juUL made iT Clear frOM ThE begInning that a full saLE wAS never on the tabLe, a perSoN FaMILiaR teLls CNBC. The TwO dealS — And termS ThAT aLtrIA was willing to Accept — highlIGht The corNeR thE CompanY is in. alTRia'S core busineSs, seLling cigaRettes, IS shrinkINg fasteR than eXpeCteD. SmoKErS aRe dYiNG, quITtIng OR swItching tO e-CiGaretTes — aND NOT the OneS AltRia maKes. The company ShuTterED itS Markten anD GreEn smoke Brands EarliEr This month, citing FinaNcial perfOrmAnCe aNd TightENing reGulAtiOns. Juul And AltrIA coUrTED EaCh other for 14 months, peOpLE FaMiliar wiTh the nEGoTiATions saiD. IN thAt tiME, altriA watCHeD Juul's saLes groW To AbOut $1.5 billIoN annuaLlY. "We'Ve bEen moDElinG [Juul's] FinanciaLs for QUite some time, anD Modeling their EXpECTeD GrowTh pAth," Altria CEo HowARd WiLlarD SaId THUrsdaY on a cAlL WiTH investors and the medIa. "and I haVe to tEll you what conTinually haPPENed was thEy exCEeDEd our optimistiC growTh projectiONs." Both deAls haVe the potEntial to tRANsform AlTriA's bUsiNesS, OR aT least give it tHE Kind Of Growth iT's uNlikely To sEe iN itS exIsTing cigarEtte busiNeSs. "thEsE inVestmENts complEmEnt OuR veRy strONg core TobacCo buSiNeSSes And provIDe EXCitiNg OpPortUniTiEs for FutuRE grOwth," WilLard said. BUt iT'S harDlY wOn invesTors over. AltriA's Stock hit a 52-wEeK loW ThursDAY after anNouncing the deal. Shares feLL anotheR 3 peRcent fridAy, setting A neW floor Of $48.75, aND bringIng the Stock DoWn 31 pERCent tHIS yEar. it'S market valUE SitS at $91.5 biLlIon.

TRouble iN the U.S.

Selling cigarETteS has been a shriNkiNg buSINeSs fOR dECadEs, BUt ALTRia has been able tO manage. SinCe 2009, aLtRia's revenuE Has GrOwn 9 percEnt, to $25.58 biLlion FRom $23.56 billIon. But AltRia's U.S. cigArEtte VOLumE has nearly Halved — to 116.6 Billion unITs in 2017 fROm 211.9 BilliOn uNits in 2000. anD AlTria cUrrentLY maKes thE bulk oF iTs moneY sellInG cigaretTes. Of the $25.58 billion in total rEvenue The
ed out $14.6 billion to ta ke large s takes  in  co mp anie s ou tside its trad i tion al hold in cigarettesoverth e  pas t  t wo we eks — a 45 p erc en tsha re of  cann abi s compa ny Cronosand  3 5 percent st a ke  in e-ciga ret te maker Juu l.The la tt er, which  va luedJuul a t  $38 b illion, p ro h ibitsA ltria f r o mtaki ng a controllingi nt e rest for at le ast si xy ea r s . J uul  made it c le ar fr o m the b e gi n n i ngt hat a full sa le was neve r  on  the t ab le, a pers on fa mi l iar  tells CNBC . Th e two dea ls — a n d terms that Al tria w aswil ling to  a cce pt — h i gh lig h t t he corne rth e com pany i s in.Alt ria' s cor e business, s ell ingc iga rette s, is  shr in kingfaster  than  e xpected. Smoker s ar e dying,qui tt ing  o r swi t chingtoe-c igarett es — an d  no tt h e  o nes Altria makes.Th e co mpany sh uttere d  i ts MarkTenan d G reen S mokebran d searlierthis m o nt h,  citing  f inanci al  pe rfo rmanc e  and  tight ening re gulat i ons. Juul andA ltria courted ea c h  o t herfor  14 months,  peo p le f amil i ar  wi t h the  nego ti a ti o ns said. In that ti me , Altr ia wa tched Juul'ssales grow t o  about $ 1.5b il l ion annually."We'v e been mod e ling [Ju ul's]  financi als for q u i te sometim e,and  mo d e li ng their expe c t ed g ro wth pat h,"  Altria  CE O H owa rdWi llard sai d Thursd ay  o nacal l wit h  investo rs  an dthe  medi a . "And  I ha ve t ote l l y ou what co n t inua ll yhapp ene dwas t heye xce eded ou r optimis tic grow th  p rojecti ons." Both de al s have the  p ote ntialt o  transfo rm Altria's business, o r  at lea stgiveit t he kind o f g rowthit' s  unlik ely to  seein  it s exist i n gcig ar ette busin e s s."Thes einve stments  complement our ve r y s trong core to bac co b u s in ess e sa ndpr o vid e exciting opport unities fo rf ut ure growth , " W il lard sa id. But  it's hardlywon inves tors over .Altr i a 'sstock hita 52-wee k low Thu r sdaya ft er an nou ncingth e d eal.Shares fel l ano ther 3  p ercent  Frid ay , settin g a new floor of $48.75 , andbring ing  the stoc k d o wn31 percen t th is year. I t's  ma rketval u e sit s at $9 1.5 billi on.Trouble i n  t heU . S. 

Selling c i g a ret tes h asb een ashri nking business fo r  decades, butAltr i a  ha s b e en a bl e to manage. S inc e2 0 09, Altr ia 's revenuehas grow n9  perc ent, t o $25. 58 bill i o nf rom $2 3.56  bi llion. Bu t A lt r ia's U. S.  c i garett e vo lu me has  nearl y  hal v e d — to 116.6 bil lionu n its i n  20 17 fr om  211.9b illi on units i n 2000. And  Altri a cu rrent ly make sthe bu lkof  its money selling c igare ttes. O fthe$25 .58 bi llio n in to talre ven ue the
ed out_$14.6 billion_to take large stakes_in companies_outside_its traditional_hold_in cigarettes over_the past two_weeks — a 45_percent share of_cannabis_company Cronos and 35 percent stake in e-cigarette maker Juul. The latter, which valued_Juul_at $38_billion,_prohibits_Altria from taking a controlling_interest for at least six_years. Juul_made it clear from the beginning that a_full_sale was never_on the table, a person familiar tells CNBC. The_two deals — and terms that_Altria was willing_to_accept_— highlight the corner_the company is in. Altria's core_business, selling cigarettes, is shrinking faster_than expected. Smokers are dying, quitting or_switching to e-cigarettes — and not_the ones Altria makes. The_company shuttered_its MarkTen and Green Smoke_brands earlier this_month, citing_financial performance and_tightening regulations. Juul and Altria courted_each other for_14 months, people familiar with the_negotiations_said. In that_time,_Altria_watched Juul's_sales grow to_about_$1.5 billion_annually._"We've been modeling [Juul's] financials for_quite_some time, and modeling their expected growth_path," Altria CEO Howard_Willard_said Thursday on a_call with investors and the_media. "And I have to tell_you what_continually happened_was they exceeded our optimistic growth projections." Both deals have the_potential to transform Altria's business, or_at least give it_the kind_of_growth it's unlikely_to_see in_its existing cigarette business. "These investments complement_our very_strong core tobacco businesses and provide_exciting opportunities for future_growth,"_Willard said. But it's hardly won_investors over. Altria's stock hit a_52-week low Thursday after announcing_the_deal._Shares fell another 3 percent_Friday, setting a new floor of_$48.75, and bringing_the stock down 31 percent this year._It's_market value sits at $91.5 billion.

Trouble_in_the U.S.

Selling cigarettes has been a_shrinking_business_for decades, but Altria has_been able to manage. Since 2009,_Altria's revenue has grown 9 percent, to $25.58 billion_from $23.56 billion._But Altria's U.S. cigarette volume_has_nearly_halved — to 116.6 billion units in 2017 from 211.9_billion units_in 2000. And_Altria currently makes the bulk of its money selling cigarettes._Of the $25.58 billion in total revenue_the