FTC probes Altria for role in Juul executive changes

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FTC probes Altria for role in Juul executive changes
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U.S. antitrust enforcers are probing Altria Group Inc for potentially exerting i...

FILE PHOTO: Federal Trade Commission seal is seen at a news conference at FTC headquarters in Washington, U.S., July 24, 2019. REUTERS/Yuri Gripas/File Photo

Marlboro maker Altria purchased a 35% stake in Juul in December 2018 for $12.8 billion, but the shares are non-voting and the companies have not yet received antitrust approval for the transaction. Juul said in September it was replacing Chief Executive Officer Kevin Burns with K.C. Crosthwaite, a Philip Morris USA veteran and most recently the chief strategy and growth officer of Altria. It later hired Joe Murillo, a former head of regulatory affairs at Altria, to take a similar role at Juul.

Investigators were “seeking information regarding, among other things, Altria’s role in the resignation of JUUL’s former chief executive officer and the hiring by JUUL of any current or former Altria director, executive or employee,” the filing said.

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