Tobacco.org

2004: 14.5 billion cigarettes sold in Morocco 

Smoking is a major cause of death in Morocco, with a high rate of tobacco-associated cardiovascular and respiratory diseases, said Noureddine Chaouki, head of the department of non-transmissible diseases at the health ministry.

Dr. Chaouki told MAP that 34% of Moroccan men and 1% of Moroccan women aged over 20 are smokers.

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Smoking, major cause of death in Morocco, health ministry 

Smoking is a major cause of death in Morocco, with a high rate of tobacco-associated cardiovascular and respiratory diseases, said Noureddine Chaouki, head of the department of non-transmissible diseases at the health ministry.

Dr. Chaouki, who took part in the World Health Organization in the negotiations that led to the Framework Convention on Tobacco Control which will enter into force on February 27, told MAP 34% of Moroccan men and 1% of Moroccan women aged over 20 are smokers.

In Morocco, which signed the WHO convention but has not yet ratified it, tobacco consumption is a direct cause of serious diseases of the respiratory tract, particularly ear-nose-throat cancer, lungs cancer, cardiovascular diseases and others.

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Tobacco Industry Altadis 2004 net income increases 41% 

Altadis, the parent company of Moroccan tobacco manufacturer RMT, announced on Wednesday Feb. 23 that its net income for 2004 topped 413.3 million euros, up 41% from last year, as reported by AFP. The result has been achieved thanks to the absence of a 251-million-euro extraordinary restructuring charge that weighed on 2003 net income.

Despite a 21% decrease in the French tobacco market following the 2003 price rises, the maker of Gauloises and Fortuna cigarettes accrued total revenues of 3.52 billion euros, up 3.9% from last year. Earnings before interest, tax, depreciation and amortization (EBITDA) topped 1.113 billion euros (+3.3%). The Franco-Spanish group's operational margin was 31.6%, unchanged from last year, and the group proposed a dividend of 0.9 euro per share (+12.5%). . . .

The company said that it will mark a pause in acquisitions and concentrate on the integration of its new subsidiaries with which it is expected to generate major synergies and increase the efficiency of its production chain. Altadis acquired in 2004 the Russian Balkan Star in Nov. and Etinera of Italy in Dec.

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• Rabat hospital gets second chemotherapy facility 

Rabat's Mohammed Ben Abdellah oncology hospital has purchased a new chemotherapy facility, with financial assistance from the tobacco company Regie des Tabacs.

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Altadis: ETI Bid To Use Cheaper Criteria Than Morocco Buy 

Altadis SA won't base its bid for Italian tobacco company Ente Tabacchi Italiano SpA on the expensive criteria that won it Morocco's tobacco monopoly for EUR1.3 billion, the Franco-Spanish tobacco company's co-Chairman, Jean Dominique Comolli, said Tuesday.

"Morocco's Regie des Tabacs Marocains will remain a monopoly at least until 2008. Moreover, the Italian (tobacco) market is much more mature," Comolli said during a presentation of Altadis' bid for ETI. He declined to provide any financial details.

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Morocco: Smoker's Delight at Tobacco Company Sell Off  

The Moroccan economy received an important boost at the start of June, with the announcement of the privatisation of 80% of state monopoly Régie des Tabacs (RTM) to the French-Spanish multinational Altadis. The sum to be paid out - MAD14.08bn (EUR1.29bn, USD1.52bn) - brought out smiles in the Moroccan finance ministry and the business community. However, it also caused more than a few eyes to bulge in the financial community abroad. . . .

Although tobacco liberalisation has now been set in law, the market is not due to be fully liberalised until 2008. Until then, RTM (Altadis) will continue to retain a distribution monopoly in Africa's fifth largest smoking nation (14.4bn units puffed away in 2002); indeed imports, transformation, and exports will not be opened up until 2005. Altadis can therefore enjoy a good period of monopoly transition, during which time it can increase its own brand presence, as well as help RTM consolidate its domestic presence (pursuant to future increased competition) and increase its export potential.

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Cashing in on Africa's smokers 

Altadis, the Franco-Spanish tobacco company, has managed to steal a march on both British American Tobacco (BAT) and Philip Morris to acquire 80%of Moroccos Regie des Tabacs, the countrys tobacco monopoly. With an annual turnover of $800m, four processing units and 20,000 sales outlets Regie des Tabacs provides $600m a year in taxes to the Moroccan treasury.

Altadis, which is one of Europes largest tobacco companies, won the Regie battle with a bid of Dh14.08bn ($1.5bn) or more than twice the minimum bid price of Dh6.4bn set by the state. BAT and Philip Morris offered Dh10.2bn and Dh9bn respectively.

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Moody s downgrades Altadis Moroccan tobacco acquisition 

Moody's Investors Service has downgraded from A3 to Baa1 the long-term senior unsecured issuer rating of Altadis SA (Altadis). At the same time, Moodys has affirmed the Prime-2 short-term rating of Altadis SA and its guaranteed subsidiary Altadis Financial Services SNC. The rating outlook is stable.

The rating action is in response to the announcement made by the company that it had successfully acquired 80 percent of the shares in Regie des Tabacs (RdT) to the Moroccan government

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Altadis acquires majority stake in Moroccan tobacco monopoly 

Altadis confirmed it has successfully acquired 80 percent of the shares in Rgie des Tabacs du Maroc of Morocco (RTM) from the Moroccan government, for a total cash amount of Euro 1.292 billion ($1.52 million).

The Moroccan State undertook to keep its 20 percent stake in RTM for two years and will then have two years to possibly proceed to an IPO (initial public offering). Finally, a call and put for this 20 percent stake will be granted at the very same price for the fifth year after acquisition (in case of non-completion of the IPO).

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Altadis shares fall on $1.5bn Morocco bid 

Shares in Altadis dropped 7 per cent on Tuesday morning following news that the Franco-Spanish tobacco group had been awarded 80 per cent of Régie des Tabacs Marocains, the Moroccan tobacco monopoly, for EU1.29bn ($1.5bn) in a privatisation tender.

The move, announced on Mnday, comes as Altadis, which has one of the strongest balance sheets among global tobacco groups, seeks to expand through similar privatisations in Italy, Turkey and Serbia after losing out elsewhere in Europe.

Investors, however, balked at the move and shares were down 7 per cent

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UPDATE - Altadis clinches Moroccan tobacco for 1.3 bln euros 

Altadis (Madrid:ALT.MC) on Monday bought 80 percent of Morocco's tobacco monopoly for 1.3 billion euros ($1.5 billion) and said it was looking for growth opportunities.

Altadis offered more than twice the minimum asking price set by the Finance and Privatisation Ministry and some analysts said it had paid over the odds for the stake.

The Paris and Madrid-listed shares were punished after the deal, closing down more than five percent in heavy volumes.

"I am a little surprised at the price -- at first sight it looks a bit expensive to me," said one sector analyst.

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NEWS SNAP: Altadis Buys Morocco's Regie des Tabacs 

French-Spanish tobacco company Altadis SA Monday bought an 80% stake in Morocco's state-run tobacco monopoly, Regie des Tabacs Marocains, for EUR1.29 billion in cash.

Altadis said its success in the privatization contest gave it a major platform for growth in Morocco and in North Africa.

Altadis is looking for new markets to grow in, as its market share in France and Spain feels the pressure from rivals such as Philip Morris

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TEXT-S&P revises Altadis' outlook, affirms CCR's 

Standard & Poor's Rating Services said today that it had revised to negative from stable its outlook on the Spanish/French tobacco group Altadis S.A., following Altadis' announcement of a debt-financed acquisition of 80% of Moroccan tobacco monopoly Regie Nationale des Tabacs Marocains (RNTM; not rated).

At the same time, the 'A-' long-term and 'A-2' short-term corporate credit ratings on Altadis were affirmed.

The transaction will cost Altadis about EUR1.3 billion upon closing, and the group will also assume RNTM's existing net debt, which is estimated at EUR82 million.

"RNTM's strong brands and 85% share of the small but growing Moroccan cigarette market, which generate strong profitability, will enhance Altadis' business profile," said Standard & Poor's credit analyst Patrice Cochelin. "In addition, integration risks appear limited."

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• Altadis Buys Morocco Tobacco Company for $1.51 Bln (Update7) 

Altadis SA, Europe's third-largest cigarette maker, agreed to buy Regie des Tabacs Marocains, Morocco's state-owned tobacco company, for $1.51 billion, more than analysts expected, to gain the only tobacco maker in a country where consumption is rising.

Altadis, based in Madrid, bought 80 percent of Regie des Tabacs for cash, the Spanish company said in a faxed statement. Altadis will finance the purchase through a loan and by selling bonds. The price values all of Regie des Tabacs at $1.89 billion.

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• UPDATE 2-Altadis wins $1.5 bln Moroccan tobacco sale 

Franco-Spanish tobacco firm Altadis ALT.MC said on Monday it had won a tender for an 80 percent stake in Morocco's tobacco monopoly after offering around 14.08 billion dirhams ($1.5 billion).

The bid was more than twice the minimum asking price of 6.4 billion dirhams set by the Finance and Privatisation Ministry.

"Altadis has been targeting both the Moroccan and Italian tobacco markets, seen as crucial for its external development. They had to come up with an unbeatable offer," said one Casablanca-based analyst of Altadis' offer.

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