A lot of people around here grow their own ;-)
Posted on 09/26/2002 4:06:54 PM PDT by SheLion
New York (AP) -- Philip Morris Companies Inc. said its 2002 earnings will grow between 3 percent and 5 percent, which is significantly below analysts expectations, sending its shares swooning in after-hours trading.
Analysts surveyed by Thomson First Call predicted the consumer products giant would earn $4.82 a share, up 19.3 percent from the $4.04 a share Philip Morris earned in 2001.
The company said numerous factors were eating into growth including weakness in the U.S. cigarette market stemming from the floundering economy, and increased state taxes. The company also said its business was hurt by an increased flow of cheap imported cigarettes and higher promotional spending.
Earlier this month, R.J. Reynolds reduced its earnings guidance for the third quarter and full-year, saying it had to spend more on promotions to counter a high-priced campaign by Philip Morris.
In the current quarter, however, Philip Morris said profits were holding up. The company, which also owns Kraft Foods, said it would earn $1.26 a share in the third quarter, besting analysts estimates by one penny. It also said 2003 earnings should advance between 8 percent and 10 percent.
Still, investors focused on the negative news. In after-hours trading Thursday, Philip Morris shares were down more than 11 percent to $37.82. In regular trading on Thursday, Philip Morris shares closed up 3 percent, or $1.25, at $42.73 on the New York Stock Exchange.
A lot of people around here grow their own ;-)
We roll our own for over a year now. It's great, and I never looked back!!
What shoddy way they treat their customers?
Philip Morris Companies Inc. said its 2002 earnings will grow between 3 percent and 5 percent, which is significantly below analysts expectations, sending its shares swooning in after-hours trading.
Maybe now is a good time to buy some of their stock. :)
I can see both sides of the issue, being both a smoker and living in a city where PM is a very large employer.
PM has a track record of treating it's customers (smokers) and the retailers of its products abysmmally.
OTOH, they are a reasonably good employer and do make major contributions to the communities in which they conduct business. and contrary to all the anit-smoker hysteria in the media, the stock pundits all continue to say tobacco stocks are still a good place to invest.
So this is a situation where both the PM rooters and booers are correct, based upon where they are coming from.
Personally I refuse to purchase their tobacco products, which means less $$ for the state through the Master Settlement Agreement, but I do buy many of their food products, which means helping my local economy by keeping many of my friends employed or their pensions sound.
sounds like I'm being a good citizen all the way around :-)
We are not blaming anyone for anything, PM sells a legal product, but behave as if they were paid by the ANTI smoking group....... there is the rub.
For sure. WE will go broke before THEY do. 
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