If Altria Group held its first annual meeting in New Jersey to deflect any controversy, it didn't work.

Yesterday's meeting attracted well over 100 protesters, including Darya Semyomova, 16, who said she traveled from Ukraine to demonstrate against the parent of tobacco giant Philip Morris in East Hanover. The shareholders meeting was held at the company's Kraft food division offices.

"I came here to show it's not only U.S. teenagers who care what tobacco companies do," she said. "Tobacco companies are finding new markets in countries like mine."

During the meeting, Altria Chairman Louis Camilleri told stockholders Ukraine ranks among the top 10 markets for Philip Morris International, which commands a 14.5 percent share of the global cigarette market.

But amid a barrage of questions and criticisms from dozens of anti-smoking activities, Camilleri insisted the company does not target tobacco to teens and markets its products in a responsible fashion to adults.

"Making, selling and marketing cigarettes and being a responsible company are compatible goals," he said. "I agree with the evidence that smoking is addictive but that doesn't mean people can't quit. Millions have quit, and we continue to guide people to smoking cessation programs while also trying to come up with products that have less risk."

Tobacco litigation trends are moving in Altria's favor, Camilleri told shareholders, and the number of new lawsuits filed is declining. "I believe that recent litigation trends are likely to have continued positive effects" throughout 2004 and into the future, he said.

Altria's tobacco business generates stellar financial returns: domestic operating income rose 30.7 percent in the first quarter to $970 million while international tobacco income climbed 8.6 percent to $1.84 billion. But first quarter income for the North American food business plunged 33.5 percent in the quarter to $846 million, while international food sales were off 26.8 percent to $191 million.

Camilleri said a restructuring under way at Kraft Foods will lower costs by $1.2 billion through 2006, and the company will spend $500 million to $600 million on marketing efforts this year.

Based in Northfield, Ill., Kraft has 2,000 employees in New Jersey at offices in East Hanover and Parsippany that were once the headquarters of Nabisco; the company also has a cookie and cracker bakery in Fair Lawn. Three Kraft divisions -- salted snacks, biscuits and confections -- are based in New Jersey.

"Plant closings and work force reductions are needed to build a stronger, more competitive Kraft," Camilleri said. "Wherever possible, Kraft is using natural turnover to achieve reductions."

Altria provided shareholders with a separate smoking room where they could light up while watching the annual meeting on television. "Altria is my largest stock holding and I love the dividend," said Richard Lawrence of Monroe Township, who smoked a Marlboro, the company's leading cigarette brand.

His wife Rita said she and her three children are nonsmokers. "Everyone has a right to do what they want in this country, but hopefully some day no one will smoke."

Anti-smoking activists placed five anti-smoking resolutions on the agenda yesterday, and all were defeated. The police department did not have an estimate for the crowd.