Overall cigarette sales in the U.S. are down, but tobacco firm Philip Morris USA continues to post strong profits and sales, gaining a bigger market share, the Associated Press reported June 11.

The company has continued to prosper despite the health rap on cigarettes and declines in smoking by controlling prices, pushing the Marlboro brand, and keeping discount cigarette companies at bay. In fact, Philip Morris USA has the best profit picture in the Altria Group, which also includes Kraft Foods and Philip Morris International.

In the first quarter of 2006, Philip Morris' domestic income rose 8 percent, and sales rose 4 percent, to $4.32 billion. Some give the company credit for the way it has managed its tobacco business. "Who would have thought 20 years ago that this corporation would be out there promoting its new smoking-prevention programs?" said Kathryn Mulvey, executive director of Corporate Accountability International.

However, experts question how long the company can maintain such profits as U.S. cigarette consumption falls by 1-2 percent annually. The company has cut costs and raised prices, but still faces a number of smoking-related lawsuits.