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EZ2

02/19/07 2:35 PM

#1104 RE: NovoMira #1100

KFT ~~~~ Press Release Source: Kraft Foods Inc.

Kraft Foods to Webcast Presentation at Consumer Analyst Group of New York Conference
Monday February 19, 11:06 am ET


NORTHFIELD, Ill.--(BUSINESS WIRE)--Kraft Foods Inc. (NYSE:KFT - News), a global leader in branded foods and beverages, will host a live audio webcast of the company's presentation at the annual Consumer Analyst Group of New York (CAGNY) Conference at www.kraft.com on Tuesday, February 20, 2007 at 12:45 pm ET. By logging on to www.kraft.com, listeners can both hear remarks by Irene Rosenfeld, Kraft CEO, as well as see the slides she shows at CAGNY.
During her presentation, Rosenfeld will present Kraft's comprehensive, three-year strategy to accelerate the company's growth and outline 2007 earnings guidance and the company's long-term financial outlook. Rosenfeld's presentation and question and answer session will be approximately one hour in length. Only CAGNY attendees will be able to ask questions, but listeners will be able to hear the question and answer session.

An archived rebroadcast and slides will be available on the company's website, www.kraft.com, for one year following the webcast.

Kraft Foods (NYSE:KFT - News) is one of the world's largest food and beverage companies. For more than 100 years, we've offered consumers delicious and wholesome foods that fit the way they live. Millions of times a day, in more than 150 countries, consumers reach for their favorite Kraft brands. Whether it's breakfast, lunch, dinner or a snack, consumers at home and on the go choose: Kraft cheeses, dinners and dressings; Oscar Mayer meats, DiGiorno pizzas, Oreo cookies, Ritz crackers and chips, Philadelphia cream cheese, Milka and Cote d'Or chocolates, Planters nuts, Honey Bunches of Oats cereals, Jacobs, Gevalia and Maxwell House coffees; Capri Sun, Crystal Light and Tang refreshment beverages; and a growing range of South Beach Diet and better-for-you Sensible Solution options.



Contact:
Kraft Foods Inc.
Media
Donna Sitkiewicz
847-646-4538
or
Investors
Chris Jakubik
847-646-5494

--------------------------------------------------------------------------------
Source: Kraft Foods Inc.
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EZ2

02/19/07 2:41 PM

#1105 RE: NovoMira #1100

Better "boardmark" this.....we'll soon own shares !!

I started it a long time ago.....little did I know
I'll be back !!!!!!!!!!!!!!

http://www.investorshub.com/boards/read_msg.asp?message_id=77987
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EZ2

02/20/07 9:33 AM

#1110 RE: NovoMira #1100

KFT ~~ Kraft Foods Outlines 3-Year Growth Plan
Tuesday February 20, 8:39 am ET
Kraft Foods Details 3-Year Growth Plan, Offers 2007 Earnings Guidance Below Street Estimates

NORTHFIELD, Ill. (AP) -- Food maker Kraft Foods Inc. on Tuesday said it plans to focus on growth in 2007 by changing its structure and product categories and cutting costs as part of a three-year plan.
The maker of namesake cheese and products such as Oscar Mayer meats said it expects revenue to grow 3 percent to 4 percent organically in 2007 and invest that growth, plus savings from restructuring -- about $300 million to $400 million -- in quality improvements, marketing, research and development and "capability-building."

The company said it expects earnings between $1.50 and $1.55 in 2007, or earnings between $1.75 and $1.80 excluding 25 cents of restructuring costs.

Analysts are looking for earnings per share of $1.92, according to a Thomson Financial poll.

In 2008, Kraft sees 3 percent to 4 percent revenue growth, with operating income exceeding revenue growth. The company said it will invest part of that growth back into the business including marketing spending, with a long-term target of 8 percent to 9 percent net revenue.

The company said in a statement it will "hit our stride," in 2009, with 4 percent organic net revenue growth and 7 percent to 9 percent earnings-per-share growth.



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EZ2

02/20/07 10:24 AM

#1112 RE: NovoMira #1100

MO ~~ Court Nixes Award Against Philip Morris
Tuesday February 20, 10:16 am ET
By Mark Sherman, Associated Press Writer
Supreme Court Throws Out $79.5 Million Award Against Philip Morris


WASHINGTON (AP) -- The Supreme Court threw out a $79.5 million punitive damages award to a smoker's widow Tuesday, a boon to businesses seeking stricter limits on big-dollar jury verdicts. The 5-4 ruling was a victory for Altria Group Inc.'s Philip Morris USA, which contested an Oregon Supreme Court decision upholding the verdict.



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EZ2

02/20/07 11:35 AM

#1114 RE: NovoMira #1100

Smokes Bring Big Bucks in Calif. Prisons
Tuesday February 20, 10:57 am ET
By Jeremiah Marquez, Associated Press Writer
Tobacco Ban in California Prisons Ignites Black Market for Smokes; Smugglers Include Guards

LANCASTER, Calif. (AP) -- California's ban on tobacco in prisons has ignited a burgeoning black market behind bars, where a pack of smokes can fetch up to $125.
Prison officials who already have their hands full keeping drugs and weapons away from inmates now are spending time tracking down tobacco smugglers, some of whom are guards and other prison employees. Fights over tobacco have erupted: at one Northern California prison, guards had to use pepper spray to break up a brawl among 30 inmates.

The ban was put in place in July 2005 to improve work conditions and cut rising health care costs among inmates, but it also has led to an explosive growth of tobacco trafficking. The combination of potentially big profits and relatively light penalties are driving the surge.

"I've never seen anything like it," said Lt. Kenny Calhoun of the Sierra Conservation Center, a northern California prison where officials report cigarette prices of $125 a pack.

Darren Cloyd is nearing the end of his 15-year sentence at California State Prison, Los Angeles County, for second-degree armed robbery. Before the ban he remembers paying about $10 for a can with enough rolling tobacco for dozens of cigarettes. Now one contraband cigarette can cost that much.

"The black market is up here," said Cloyd, 37. "Everyone and their momma smoke."

California has the nation's largest prison population -- 172,000 adult inmates. While many states limit tobacco use in prisons, California is among only a few that ban all tobacco products and require workers as well as inmates to abide by the prohibition.

Still, tobacco finds its way in.

Sometimes, family and friends are able to secretly pass it to inmates during visits. Other times, inmates assigned to work crews off prison grounds arrange for cohorts outside the prison to leave stashes of tobacco at prearranged drop sites, then smuggle it behind bars.

A less-risky method: culling small amounts of tobacco from cigarette butts found along roadsides and other work sites.

At California Correctional Center in Lassen County, officials reported more than 60 tobacco offenses among inmate crews at the institution's work camps in December, Associate Warden Matt Mullin said. The same month, cigarettes triggered a brawl between 30 Hispanic and white inmates in a high-security yard. Follow-up interviews with inmates revealed the dispute was over control of tobacco sales.

At the fortress-like Pelican Bay State Prison, a felon sneaked back on to prison grounds hours after being paroled. He was found with a pillowcase of almost 50 ounces of rolling tobacco -- worth thousands of dollars on the black market. The plan was to throw it over the facility's fence.

"It's almost becoming a better market than drugs," said Devan Hawkes, an anti-gang officer at Pelican Bay. "A lot of people are trying to make money."

That includes prison workers.

Last year, a guard was put on leave from California State Prison, Solano, for smuggling tobacco. The guard made several hundred dollars a week selling tobacco, officials say.

At Folsom State Prison, a cook quit last year after he was caught walking onto prison grounds with several plastic bags filled with rolling tobacco in his jacket. He told authorities he was earning more smuggling tobacco -- up to $1,000 a week -- than he did in his day job.

Another Folsom cook made about $300 for each tin of rolling tobacco she brought into the prison, receiving payment through money orders sent by an inmate's relatives. She resigned after being caught in October.

"There's quite a bit of money to be made," said Lt. Tim Wamble, a Solano prison spokesman. "In a department this size you're gonna have people who will succumb to the temptation."

Unlike illegal drugs, which bring harsh penalties when smuggled into prison, punishments for inmates caught with tobacco usually range from just a written warning to extra work duties, no matter the quantity involved.

Prison employees can lose their jobs but there's almost no chance of a criminal prosecution. Unlike states such as Texas -- where providing tobacco to prisoners is a felony -- the California statute considers it a misdemeanor and doesn't lay out specific punishment.

Chuck Alexander, executive vice president of the California Correctional Peace Officers Association, said lawmakers should either roll back the prohibition or add stronger penalties.

"It didn't do anything but make (tobacco) a lucrative business," he said.



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EZ2

02/20/07 12:29 PM

#1116 RE: NovoMira #1100

Sector Snap: Big Tobacco
Tuesday February 20, 12:19 pm ET
Tobacco Stocks Sag As Supreme Court Stops Short of Ruling Damages Were Excessive

NEW YORK (AP) -- Shares of tobacco companies slumped Tuesday after the Supreme Court tossed out a $79.5 million ruling against Altria Group Inc., but stopped short of limiting how much money juries can award plaintiffs.
Altria's Philip Morris business, which makes cigarette brands including Marlboro, Parliment and Benson & Hedges cigarettes, challenged $79.5 million awarded by an Oregon jury to the widow of a smoker who died of lung cancer.

The punitive damages, or the damages punishing the company, were 97 times the damages awarded to the widow for her suffering. At issue in the case was how closely punitive damages must resemble the actual harm suffered by the plaintiff.

In a 5-4 decision, the Supreme Court overturned the verdict. However, the court didn't rule that the award was excessive, which was what Big Tobacco hoped for. Instead, the court ruled the jury wasn't instructed properly and didn't realize it couldn't consider damage caused to smokers other than the plaintiff's husband.

"They answered one question, but not the big question," said Standard & Poor's analyst Raymond Mathis. "It's a big win for tobacco, but not as decisive a win as the industry might have hoped."

Shares of Altria fell 20 cents to $86.

Shares of Reynolds American Inc., Winston-Salem, N.C.-based maker of Camel, Kool and other brands, slipped 27 cents to $63.67.

New York-based Loews Corp.-Carolina Group, which makes Newport, Kent and other brands, gave up 59 cents to $72.34.

Vector Group Ltd., which makes Liggett Select and a variety of private label brands, fell 2 cents to $18.82 on the New York Stock Exchange. American depositary shares of London-based British American Tobacco PLC, which makes Lucky Strikes and Pall Mall fell 32 cents to $61.56 on the Big Board.



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EZ2

02/20/07 1:35 PM

#1120 RE: NovoMira #1100

P.S.'s mailbox has got to be jammed FULL !!!!

Indie Research
Kraft Issues Underwhelming Forecast and Extends Restructuring Plan
Tuesday February 20, 1:23 pm ET
By the BullMarket.com Staff

In recent weeks, analysts have speculated on strategies that Kraft Foods (NYSE: KFT - News) might pursue following its upcoming spin-off from parent Altria Group (NYSE: MO - News), but today the food maker provided investors with some hard numbers, issuing forecasts for future results as well as further details on its ongoing restructuring, including plans for another round of layoffs.
Extending its ongoing plan to cut costs, Kraft now says it may eliminate up to 8,000 additional jobs, or 9% of its workforce, and shutter as many as 20 production facilities. Since 2004, Kraft has cut 5,500 jobs and closed 19 facilities. The company will take a one-time pretax charge of -$2.5 billion, and it expects the cuts to shave $700 million off of its costs.

Kraft also released guidance for this year and beyond. The company expects organic revenue growth of 3-4% in 2007, and earnings, excluding restructuring costs, of $1.75-1.80 per share. Analysts had been expecting Kraft to earn $1.92 per share, and the lower-than-expected forecast sent the company's shares down about -2.5% in midday trading. As part of its effort to spur growth, Kraft will invest $300-$400 million in marketing, R&D, and other initiatives. Looking ahead, Kraft expects its 3-4% top-line organic growth to extend to 2008, and the company sees long-term organic growth of 4% and earnings growth of 7-9%.

As today's news indicates, Kraft is still very much mired in its ongoing restructuring plan, and the spin-off from Altria is only a small part of the Kraft story. Looking at Kraft's challenges also underscores how Altria is likely to be better off once the split is complete, as its core operations are far more solid than Kraft's. At the same time, once the spin-off is complete, Altria should soon be able to turn to new strategies for increasing shareholder value, potentially including acquisitions, buybacks, and the eventual spin-off of Philip Morris International (PMI).

Altria Group is a Bull Market Report Recommended List stock. It is up 110% since being added.

No member of the Bull Market Report editorial staff contributing to this article has any long or short positions in any company mentioned. Indie Research has a disclosure policy.

About BullMarket.com: The Bull Market Report is a daily email newsletter focused on long-term growth, value, and income-generating investments. One of the longest-running online investment newsletters available, it provides unbiased research and actionable daily market commentary. Launched in 1997, its Recommended List of stocks has outperformed the S&P 500 since inception. Click here to start your free 14-day trial or call 1-888-278-5515.