Altria : Reconcilations

Reconciliations of the non-GAAP financial measures presented in the remarks by Billy Gifford, Altria Group, Inc.'s (Altria) Chief Executive Officer, at Altria's 2021 Annual Meeting of Shareholders.

Altria and Consolidated Subsidiaries, Adjusted EPS Results

($ in millions, except per share data)
		Earnings		Provision				Net Earnings
		before			Net			Diluted
		Income	for Income			Attributable to
		Taxes		Taxes	Earnings		Altria		EPS
For the year ended December 31, 2020
2020 Reported	$	6,890	$	2,436	$	4,454	$	4,467	$	2.40
NPM Adjustment Items		4		1		3		3		-
Asset impairment, exit, implementation and		431		89		342		342		0.18
acquisition-related costs
Tobacco and health litigation items		83		21		62		62		0.03
JUUL changes in fair value		(100)		-		(100)		(100)		(0.05)
Impairment of JUUL equity securities		2,600		-		2,600		2,600		1.40
ABI-related special items		763		160		603		603		0.32
Cronos-related special items		51		(2)		53		53		0.03
COVID-19 special items		50		13		37		37		0.02
Tax items		-		(50)		50		50		0.03
2020 Adjusted for Special Items	$	10,772	$	2,668	$	8,104	$	8,117	$	4.36
For the year ended December 31, 2019
2019 Reported	$	766	$	2,064	$	(1,298)	$	(1,293)	$	(0.70)
Asset impairment, exit, implementation and		331		62		269		269		0.15
acquisition-related costs
Tobacco and health litigation items		77		19		58		58		0.03
Impairment of JUUL equity securities		8,600		-		8,600		8,600		4.60
ABI-related special items		(383)		(80)		(303)		(303)		(0.16)
Cronos-related special items		928		288		640		640		0.34
Tax items		-		99		(99)		(99)		(0.05)
2019 Adjusted for Special Items	$	10,319	$	2,452	$	7,867	$	7,872	$	4.21
2020 Net Earnings Adjusted for Special Items							$	8,117	$	4.36
2019 Net Earnings Adjusted for Special Items							$	7,872	$	4.21
% Change								3.1 %		3.6 %

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Altria and Consolidated Subsidiaries, Adjusted EPS Results

($ in millions, except per share data)
		Earnings		Provision				Net Earnings
		before			Net			Diluted
		Income	for Income		Attributable to
		Taxes		Taxes		Earnings		Altria		EPS
For the quarter ended March 31, 2021
2021 Reported	$	1,937	$	516	$	1,421	$	1,424	$	0.77
NPM Adjustment Items		(32)		(8)		(24)		(24)		(0.01)
Implementation and acquisition-related costs		48		11		37		37		0.02
Tobacco and health litigation items		35		9		26		26		0.01
JUUL changes in fair value		200		-		200		200		0.10
ABI-related special items		(128)		(28)		(100)		(100)		(0.05)
Cronos-related special items		(70)		-		(70)		(70)		(0.04)
Loss on early extinguishment of debt		649		153		496		496		0.27
Tax items		-		6		(6)		(6)		-
2021 Adjusted for Special Items	$	2,639	$	659	$	1,980	$	1,983	$	1.07
For the quarter ended March 31, 2020
2020 Reported	$	2,108	$	558	$	1,550	$	1,552	$	0.83
Implementation and acquisition-related costs		395		95		300		300		0.16
Tobacco and health litigation items		24		5		19		19		0.01
ABI-related special items		56		12		44		44		0.03
Cronos-related special items		89		(6)		95		95		0.05
Tax items		-		(24)		24		24		0.01
2020 Adjusted for Special Items	$	2,672	$	640	$	2,032	$	2,034		1.09
Adjusted diluted EPS Change Q1 2021 vs. Q1 2020								(1.8)%

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Altria and Consolidated Subsidiaries, Selected Financial Data for Smokeable Products

($ in millions)
	Full Year Ended December 31,
	2020		2019		Change
Net Revenues	$	23,089	$	21,996
Excise taxes		(5,162)		(5,166)
Revenues net of excise taxes	$	17,927	$	16,830
Reported OCI (1)	$	9,985	$	9,009
NPM Adjustment Items		4		-
Asset impairment, exit and implementation costs		2		92
Tobacco and health litigation items		79		72
COVID-19 special items		41	$	-
Adjusted OCI	$	10,111	$	9,173	10.2 %

1. Operating companies income (OCI) is defined as operating income before general corporate expenses and amortization of intangibles.

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