Mr. Gregory, 56, worked in his family's fields as a youngster and put himself through college on tobacco profits.

For the full year, tobacco profits rose 7 percent, to $1.62 billion, the company said.

During the quarter, domestic tobacco profits declined 57 percent, to $161 million, from $375 million a year earlier, including onetime charges.

But domestic tobacco profit fell more than 23 percent in the fourth quarter, to $2.5 billion.

In the first quarter, tobacco profits increased 14.3 percent, to $1.6 billion, compared with $1.4 billion last year.

As prices rose, so too did tobacco profits.

Last year, tobacco profits rose 35 percent, to $2.7 billion.

He plans to use tobacco profits to diversify into greenhouse plants.

At best, moves might lead to a gradual decline in smoking, and a similar drop in tobacco profits.

Arts organizations have struggled for years with the question of accepting what are, in effect, tobacco profits to support the arts.