Capital Stock

At December 31, 2017, Altria Group, Inc. had 12 billion shares of authorized common stock; issued, repurchased and outstanding shares of common stock were as follows:



	Shares Issued	Shares Repurchased		Shares Outstanding
Balances, December 31, 2014	2,805,961,317	(834,486,794	)	1,971,474,523
Stock award activity	—	(732,623	)	(732,623	)
Repurchases of common stock	—	(10,682,419	)	(10,682,419	)
Balances, December 31, 2015	2,805,961,317	(845,901,836	)	1,960,059,481
Stock award activity	—	(566,256	)	(566,256	)
Repurchases of common stock	—	(16,221,001	)	(16,221,001	)
Balances, December 31, 2016	2,805,961,317	(862,689,093	)	1,943,272,224
Stock award activity	—	(408,891	)	(408,891	)
Repurchases of common stock	—	(41,604,141	)	(41,604,141	)
Balances, December 31, 2017	2,805,961,317	(904,702,125	)	1,901,259,192

At December 31, 2017, 41,688,666 shares of common stock were reserved for stock-based awards under Altria Group, Inc.’s stock plans, and 10 million shares of serial preferred stock, $1.00 par value, were authorized. No shares of serial preferred stock have been issued.

▪Dividends: During the third quarter of 2017, Altria Group, Inc.’s Board of Directors (the “Board of Directors”) approved an 8.2% increase in the quarterly dividend rate to $0.66 per share of Altria Group, Inc. common stock versus the previous rate of $0.61 per share. The current annualized dividend rate is $2.64 per share. Future dividend payments remain subject to the discretion of the Board of Directors.

▪Share Repurchases: In July 2014, the Board of Directors authorized a $1.0 billion share repurchase program (the “July 2014 share repurchase program”). During the third quarter of 2015, Altria Group, Inc. completed the July 2014 share repurchase program, under which Altria Group, Inc. repurchased a total of 20.4 million shares of its common stock at an average price of $48.90 per share.

In July 2015, the Board of Directors authorized a $1.0 billion share repurchase program that it expanded to $3.0 billion in October 2016 and to $4.0 billion in July 2017 (as expanded, the “July 2015 share repurchase program”). During 2017, 2016 and 2015, Altria Group, Inc. repurchased 41.6 million shares, 16.2 million shares, and 0.6 million shares, respectively, of its common stock (at an aggregate cost of approximately $2,917 million, $1,030 million and $35 million, respectively, and at an average price of $70.10 per share, $63.48 per share and $57.66 per share, respectively) under the July 2015 share repurchase program. At December 31, 2017, Altria Group, Inc. had approximately $18 million remaining in the July 2015 share repurchase program. In January 2018, Altria Group, Inc. completed the July 2015 share repurchase program, under which it purchased a total of 58.7 million shares of its common stock at an average price of $68.15 per share.

In January 2018, the Board of Directors authorized a new $1.0 billion share repurchase program. The timing of share repurchases under this program depends upon marketplace conditions and other factors, and the program remains subject to the discretion of the Board of Directors.

For the years ended December 31, 2017, 2016 and 2015, Altria Group, Inc.’s total share repurchase activity was as follows:



	2017		2016		2015
	(in millions, except per share data)
Total number of shares repurchased	41.6		16.2		10.7
Aggregate cost of shares repurchased	$	2,917	$	1,030	$	554
Average price per share of shares repurchased	$	70.10	$	63.48	$	51.83