Philip Morris to Give FTC More Data on Kraft Deal

Philip Morris Cos. said Wednesday that it would comply with a federal government request for additional corporate information on its proposed $13.1-billion takeover of Kraft Inc.

The Federal Trade Commission, which along with the Justice Department reviews mergers for possible antitrust problems, already had been reviewing the proposal to merge the two giant food and consumer products companies.

Philip Morris indicated that it had submitted corporate information to the FTC after announcing its $106-a-share tender offer for Kraft and was asked late Wednesday for further information.

In a statement, Murray Bring, Philip Morris senior vice president and general counsel, said the company did not consider the request out of the ordinary, especially considering the size of the deal.

He also reiterated the company’s position that it did not believe that the acquisition would violate antitrust laws aimed at upholding competition.

Kraft also issued a statement saying it would respond to the federal request “on an expedited basis.”

“Kraft does not believe the acquisition violates the antitrust laws,” Calvin J. Collier, Kraft senior vice president and general counsel, said in the statement.

The proposed buyout of Kraft, which is based in Glenview, Ill., would create the world’s largest consumer products company and second-largest food company. Philip Morris already is the parent of General Foods, the nation’s biggest food processor.

A combined company would have $40 billion a year in revenue and some of America’s best-known consumer products, including Miller beer, Marlboro cigarettes, Jell-O, Maxwell House coffee, Velveeta cheese, Parkay margarine, Philadelphia cream cheese, Miracle Whip salad dressing and Sealtest ice cream.