The Tobacco Deal
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Five key companies dominate the U.S. tobacco industry. These corporations mainly specialize in the manufacture and sale of cigarettes. At the forefront, controlling almost half of the U.S. market for cigarettes and owning the Marlboro brand, lies Philip Morris Companies, Inc. Only half of their revenues come from the sale of tobacco products; Philip Morris also includes and owns food and beverage businesses, notably Kraft and Miller Brewing.
Next in line is RJR Nabisco Holdings Corp. This company's tobacco subsidiary consisted of R.J. Reynolds, who produced products such as Camel and Winston cigarettes. The food subsidiary of the company, Nabisco, accounted for approximately half of the company's revenue, however the majority of sales and profits came from their cigarettes.
The ladder 3 companies, consisting of BAT Industries, Loews Corporation, and the smallest being Brooke Group Ltd., are the other players in the field. …
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