UST Inc. explained

UST Inc.
Successor:Altria
Foundation:1986
Defunct:2009
Location:Stamford, Connecticut, USA
Key People:Murray S. Kessler, Executive Chairman, CEO, President, & COO
Industry:Tobacco products
Products:Smokeless tobacco, wine
Revenue:$1.48 billion USD (2007)[1]
Num Employees:4,610 (2007)[2]

UST Inc.[3] was a holding company,[4] the biggest producer of snuff and chewing tobacco,[5] whose subsidiaries included U.S. Smokeless Tobacco Company and International Wine & Spirits Ltd., which in turn is a holding company of Chateau Ste. Michelle Wine Estates, a vintner of premium wines. On January 6, 2009, UST Inc. was purchased by Altria.

History

United States Tobacco Co. existed before the American Tobacco Co. acquisition. UST was founded as the United States Tobacco Co. in 1911, Richmond, Va.,[6] [7] after the US Supreme Court dissolved the American Tobacco Company trust as a monopoly[8] and in violation of the Sherman Anti-Trust Act of 1890. Weyman-Bruton Company incorporates in 1911, acquires the United States Tobacco Company in 1921 and becomes the United States Tobacco Company in 1922,[9] [10] relocates from New York City[11] [12] [13] [14] to Greenwich,[15] Connecticut in 1970, later[16] creating the holding company in 1986. The company is incorporated in Delaware, and in the fall of 2006 announced it would move its headquarters from Greenwich, Connecticut to Stamford, Connecticut.

It operated a video company Cabin Fever Entertainment, which was in existence for ten years from 1988 to 1998,[17] as well as a video branch Razzmatazz Entertainment, which was in operation from 1996 to 1998 mostly to release kids videos,[18] and feature film distributor Cabin Fever Films, which was mainly used to distribute feature films for the theatrical market.[19] In 1998, both video subsidiaries were folded into Hallmark Home Entertainment.[20]

In 2005, UST was among 53 entities that contributed the maximum of $250,000 to the second inauguration of President George W. Bush.[21] [22] [23]

UST reported having an average of 5,111 employees in 2005. That year, UST had a $534 million profit on sales of $1.85 billion.

On November 2, 2006, UST promoted president and chief operating officer Murray S. Kessler to chief executive officer effective January 1, 2007. Vincent Gierer Jr., who had been CEO since 1993, remained chairman of the board of directors.

UST manufactures smokeless tobacco in Nashville, Tennessee; Hopkinsville, Kentucky; and Franklin Park, Illinois. It also owns vineyards in Washington state and California.

UST held 62.4 percent of the smokeless tobacco market as of the third quarter of 2006, according to an Oct. 26, 2006 report by Morningstar. UST's primary competitors include the American Snuff Company subsidiary of Reynolds American, and Swedish Match.

Effective January 6, 2009, Altria acquired all outstanding shares of UST Inc. (UST), shareholders of UST are entitled to receive $69.50 in cash without interest and less any applicable withholding tax, for each share of common stock held at the effective time of the merger.[24]

Notes and References

  1. Web site: UST : Summary for ProShares Ultra 7-10 Year Treas - Yahoo Finance. yahoo.com. 13 October 2018.
  2. Web site: UST Profile - ProShares Ultra 7-10 Year Treas Stock - Yahoo Finance. finance.yahoo.com. 13 October 2018.
  3. Web site: Articles about United States Tobacco Co - latimes. https://web.archive.org/web/20151204095706/http://articles.latimes.com/keyword/united-states-tobacco-co. dead. December 4, 2015. Los Angeles Times. 13 October 2018.
  4. Web site: United States Smokeless Tobacco Company - SourceWatch. www.sourcewatch.org. 13 October 2018.
  5. Web site: TOBACCO COMPANIES ARE LOUSY CORPORATE CITIZENS. Joan. Beck. Chicago Tribune. 19 May 1996 . 13 October 2018.
  6. Web site: United States Tobacco Journal. 13 October 2018. BMT Publications. 13 October 2018. Google Books.
  7. Web site: Investment Grade Collectibles at Auction . 2024-01-19.
  8. Web site: Tobacco History. Gene. Borio. 13 October 2018. archive.tobacco.org. 13 October 2018.
  9. Web site: UST Inc. -- Company History. www.company-histories.com. 13 October 2018.
  10. Web site: 1956 Ad United States Tobacco Co King Sano Cigarettes - ORIGINAL ADVERTISING TM6. Period Paper. 13 October 2018.
  11. Web site: "United States Tobacco Co." Letterhead Invoices Copenhagen & More 4 Invoices - eBay. eBay. 13 October 2018.
  12. News: U.S. Tobacco's Chief Made Dipping Hip. Stephen. Miller. 19 October 2010. 13 October 2018. The Wall Street Journal.
  13. 10.1136/tobaccocontrol-2016-053212 . 27856998 . 5433525 . Tobacco industry use of flavourings to promote smokeless tobacco products . Tobacco Control . 25 . Suppl 2 . ii40–ii49 . 2016 . Kostygina . Ganna . Ling . Pamela M. .
  14. Web site: 1942 Ad Model Pipe Smoking United States Tobacco WWII Navy Sailor Wartime LF4. Period Paper. 13 October 2018.
  15. Web site: U.S. Tobacco boosts price on chewing tobacco. upi.com. 13 October 2018.
  16. Web site: 1.87.168 - Can, Tobacco (9345) - Artifacts from our Collection - Waseca County History Center. www.historical.waseca.mn.us. 13 October 2018.
  17. 1988-08-13. ...newsline.... 108. Billboard. 2022-01-08.
  18. Applefield Olsen. Catherine. 1996-08-17. Home Video. 66. Billboard. 2022-01-08.
  19. Web site: Sandler . Adam . 1993-11-05 . Feature fever hits vid's Cabin . 2023-08-04 . Variety . en-US.
  20. Goldstein. Seth. 1998-03-21. Handleman Loses Handle On Video; Hallmark Gets A Case Of Cabin Fever. 91. Billboard. 2022-01-08.
  21. News: Jim . Drinkard . Donors get good seats, great access this week . USA Today . 2005-01-17 . 2008-05-25 .
  22. News: Financing the inauguration . USA Today . 2005-01-16. 2008-05-25 .
  23. News: Some question inaugural's multi-million price tag . USA Today . 2005-01-14 . 2008-05-25 .
  24. Web site: Wayback Machine has not archived that URL. . 2023-04-12 .