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Altria Cleared To Purchase UST

Altria’s (MO) purchase of UST (UST) has passed regulatory review.

Altria today announced
that the Federal Trade Commission has granted early termination of the initial waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and therefore no further regulatory review by the federal antitrust authorities is required in connection with Altria’s acquisition of UST for $69.50 per share in cash.

Completion of the transaction remains subject to UST shareholder approval and certain other customary closing conditions. UST is in the process of scheduling a special shareholder meeting for on or about December 4, 2008, during which UST’s shareholders of record as of the close of business on October 23, 2008 will vote upon the proposed transaction. Details of the shareholder meeting will be contained in the proxy statement which UST expects to mail during the week of October 27th. If approved and all other conditions to closing are satisfied, the transaction is anticipated to close no later than January 7, 2009.

for those who have not noticed, buying Altria shares now will give you a 6.7% (and growing) yield on your invested money. Earnings, about as stable as they come will grow 10% plus through product sales and share repurchases.

No matter what the economy, folks are still lighting up and chewing.

Disclosure (“none” means no position):Long MO
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