As a PM shareholder I am concerned over the long-term debt the company has taken on.
With the stable cash flows this company produces, there is no reason debt levels need to be as high as they are. I get PM is in growth mode and I think investing in future growth is important, but I do believe the company shouldn't jeopardize it's current financial situation with pie in the sky prospects for the future (think Las Vegas Sands and MGM Mirage). This especially holds true in this economic environment.
PM has a storied history of richly rewarding its loyal shareholders. I hope this is a trend that continues...
oh really - so what exactly is it about the balance sheet you don't like? Their long term debt? You do know that this precisely how company's finance expansion, and hopefully you understand the free cash flow generated by PM is more than adequate to pay the interest on these these securities that corporate bond investors are currently tripping over each other to buy?
I hope you are indeed right. Long-term risks still abound including rising concerns of over the health risks of smoking as well as foreign gov't taxation. I would hope you nay sayers would learn your lesson on a debt-fueled expansion strategy.
Let's hope those bond traders keep triping over each other to buy PM's debt.
I would love nothing more than to be completely wrong here...but the balance sheet is a concern.