Weighing the Benefits - An independent Lorillard opens acquisition, cash-flow opportunities by Steve Holtz..

December 19, 2007 - Weighing the Benefits - An independent Lorillard opens acquisition, cash-flow opportunities by Steve Holtz.. Citigroup analyst Bonnie Herzog wrote: "In our opinion, the most appealing aspect of this spinoff will be Lorillard's ability to act as an independent company, without the 'confinement' of the Loews Corp. board." "Lorillard will be free to make acquisitions using its own stock as currency or conduct share buybacks as it sees fit." Added Herzog, "Post spin, Lorillard will no longer be under the 'control' of parent company Loews, and will be free to pursue its expansion plans and balance sheet restructuring (increased leverage for buybacks or acquisitions), Lorillard won't trade with a tracking stock discount, the new Lorillard stock may attract new investors previously turned off by the tracking stock nature of Carolina Group, and Lorillard will be debt free." As reported on Monday (12/17/2007), Lorillard will soon begin test marketing its own snus, under the brand Triumph - NO Newport SNUS yet. Meanwhile Newport smokers are complaining about the Lorillard price increase that recently went into effect - c-store news. (TobaccoWatch.org)