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Cigarette maker Lorillard 2Q profit up 10 pct

Thursday - 7/25/2013, 9:21am  ET

AP Tobacco Writer

RICHMOND, Va. (AP) -- Cigarette maker Lorillard says its second-quarter profit rose 10 percent as higher prices, electronic cigarette sales and lower legal expenses offset a decline in traditional cigarette sales.

The nation's third-biggest tobacco company said Thursday it earned $313 million, or 83 cents per share, for the period ended June 30. That's up from $284 million, or 72 cents per share, a year ago.

Excluding one-time items, earnings were 81 cents per share, beating Wall Street expectations by a penny.

Revenue excluding excises taxes rose nearly 7 percent to $1.29 billion. Analysts expected $1.28 billion.

Lorillard Inc., based in Greensboro, N.C., says its cigarette shipments fell about 2 percent.

Volumes of Newport, Lorillard's biggest brand, fell more than one percent, but its share of the menthol market grew to 37 percent.

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