Cigarette maker Lorillard 2Q profit falls

By MICHAEL FELBERBAUM AP Tobacco Writer

RICHMOND, Va. (AP) - Cigarette maker Lorillard says lower volumes and higher promotional costs drove its net income down 8 percent in the second quarter.

The maker of Newport, Maverick and True cigarettes says its cigarette volume fell less than a percent to 9.78 billion cigarettes but it still increased market share.

Last week, rivals Reynolds American and Altria Group reported declines in cigarette sales.

Lorillard said Monday it earned $263 million, or $1.73 per share, for the April-June period. That's down from $286 million, or $1.71 per share, a year ago.

The nation's third-biggest tobacco company says revenue excluding excises taxes edged up slightly to $1.04 billion.

Analysts expected Lorillard to earn $1.60 per share on sales of $1.01 billion.

Lorillard is based in Greensboro, N.C.