• April 27, 2007

Spending by the operating unit of Altria Group on cigarette promos and ads was reported to the FTC at its request. Philip Morris USA's spend on cigarette brand advertising, such as print, events and sponsorships, has decreased 43% from 1998 to 2005, the company says.

The majority of the 2004 and 2005 expenditures Philip Morris USA reported to the FTC represented promotional allowances for adult smokers. "We believe offering price and product promotions along with offering coupons is an effective way to deliver value and to communicate directly with adult smokers," says Brendan McCormick, senior director, Corporate Communications, Philip Morris USA.

--Nina M. Lentini