Lorillard Revenue And Profits Rise on Higher Sales

Source from:  The Business Journal of the Greater Triad Area - 11:14 AM EDT Monday, July  08/01/2007

Lorillard Inc.'s sales and profits rise in the second quarter as the tobacco company sold more cigarettes at higher prices and cut its promotional expenses. Greensboro-based Lorillard, a wholly owned subsidiary of Loews Corp., earned $227.1 million. or $1.30 per share, on net sales of $1.1 billion for the quarter ended June 30, up from the $187.2 million, or $1.09 per share, it earned on $977.3 million of sales for the same period a year earlier. Carolina Group (NYSE: CG) is a tracking stock that represents the economic performance of Lorillard. Owners of Carolina Group shares are entitled to any dividends issued for the stock, but the stock is actually a common stock of Lorillard parent Loews Corp. (NYSE: LTR). Owning Carolina Group shares doesn't give shareholders an equity stake in Lorillard. The bulk of Lorillard's sales and profits come from the Newport brand, the second-most popular cigarette brand in the country and the No. 1 menthol brand. Lorillard is the third-biggest cigarette maker in the country, after No. 2 Reynolds American, based in Winston-Salem, and No. 1 Philip Morris. Enditem