PM USA Cuts Middleton Sales Team

New York City-based Altria Group Inc., parent company of Richmond, Virginia-based Philip Morris USA, is eliminating most of the current sales positions at John Middleton Inc. in the wake of its purchase and assimilation into the corporation.  “Middleton-designated wholesale and retail accounts that are currently called on by both the Middleton sales force and the PM USA sales force will be transitioned to the PM USA sales force,” said PM USA spokesperson Bill Phelps. “Beginning this month, John Middleton will make a variety of merchandising and promotional resources available to retailers through PM USA’s sales organization.”

Phelps added that the impacted employees will have the opportunity to interview with PM USA’s field sales force or to accept a severance package.

Altria Group Inc. completed the acquisition of John Middleton Inc., a manufacturer of machine-made large cigars, for $2.9 billion in cash last December.  When the deal was announced in November 2007, PM USA’s Chairman and CEO Michael E. Szymanczyk, said that the acquisition was both strategically compelling and financially attractive. “It fits squarely with our announced strategy to grow our U.S. tobacco business beyond cigarettes and complements our recent initiatives in the smokeless category,” he said.