Standard&Poor's Ratings Services derives its 'BBB+' rating on Altria Group Inc. from: Our anchor of 'bbb', based on our "satisfactory" business risk and "intermediate" financial risk profile assessments for the company. Our favorable (+1 notch) comparable rating analysis adjustment, reflecting the financial flexibility derived from its 27% equity ownership in SABMiller and the solid market positions of its key brands. Other modifiers, which had no impact on the final rating outcome. Strong market share and high brand equity across multiple tobacco segments. Solid operating margins and strong, predictable cash flow. Relatively low fixed costs, working capital, and capital expenditure requirements. High litigation risk, particularly with respect to Engle Progeny litigation and "lights" class actions. Evolving regulatory environment, which
