NEW YORK (AFP) - Shares of Altria Group surged Thursday after the food and tobacco giant's chief executive suggested the company is looking at a breakup that could boost the value of the assets.
Altria, which owns the Philip Morris tobacco brands and Kraft Foods, jumped 3.89 points, or nearly eight percent, to 53.89 in afternoon trade.
Chief executive Louis Camilleri said the company's cigarette business is "significantly undervalued" against its tobacco peer group.
He told investors that Altria is "looking at a number of alternatives to maximize shareholder value, including the separation of the company into two, or potentially three, strong and independent entities."
Camilleri offered no specifics on any breakup or spinoff. He also said the company's profit outlook was "on the high end" of earlier guidance.
11/04/2004 - 19:23 GMT - AFP