000141332912/312024Q2FALSEhttp://fasb.org/us-gaap/2024#InterestIncomeExpenseNonoperatingNethttp://fasb.org/us-gaap/2024#InterestIncomeExpenseNonoperatingNetxbrli:sharesiso4217:USDiso4217:USDxbrli:sharespm:segmentxbrli:purepm:yearpm:metricpm:manufactureriso4217:CADpm:plaintiffpm:cigarettepm:casepm:patientpm:defendantiso4217:THBiso4217:EURiso4217:IDRpm:arrangement00014133292024-01-012024-06-300001413329us-gaap:CommonStockMember2024-01-012024-06-300001413329pm:A0.625Notesdue2024Member2024-01-012024-06-300001413329pm:A3.250Notesdue2024Member2024-01-012024-06-300001413329pm:A2.750Notesdue2025Member2024-01-012024-06-300001413329pm:A3.375Notesdue2025Member2024-01-012024-06-300001413329pm:A2.750Notesdue2026Member2024-01-012024-06-300001413329pm:A2.875Notesdue2026Member2024-01-012024-06-300001413329pm:A0.125Notesdue2026Member2024-01-012024-06-300001413329pm:A3.125Notesdue2027Member2024-01-012024-06-300001413329pm:A3.125Notesdue2028Member2024-01-012024-06-300001413329pm:A2.875Notesdue2029Member2024-01-012024-06-300001413329pm:A3.375Notesdue2029Member2024-01-012024-06-300001413329pm:A3.750NotesDue2031Member2024-01-012024-06-300001413329pm:A0.800Notesdue2031Member2024-01-012024-06-300001413329pm:A3.125Notesdue2033Member2024-01-012024-06-300001413329pm:A2.000Notesdue2036Member2024-01-012024-06-300001413329pm:A1.875Notesdue2037Member2024-01-012024-06-300001413329pm:A6.375Notesdue2038Member2024-01-012024-06-300001413329pm:A1.450Notesdue2039Member2024-01-012024-06-300001413329pm:A4.375Notesdue2041Member2024-01-012024-06-300001413329pm:A4.500Notesdue2042Member2024-01-012024-06-300001413329pm:A3.875Notesdue2042Member2024-01-012024-06-300001413329pm:A4.125Notesdue2043Member2024-01-012024-06-300001413329pm:A4.875Notesdue2043Member2024-01-012024-06-300001413329pm:A4.250Notesdue2044Member2024-01-012024-06-3000014133292024-07-1900014133292023-01-012023-06-300001413329us-gaap:RelatedPartyMember2024-01-012024-06-300001413329us-gaap:RelatedPartyMember2023-01-012023-06-300001413329country:KRpm:EAAUPMIDFSegmentMember2023-01-012023-06-3000014133292024-04-012024-06-3000014133292023-04-012023-06-300001413329us-gaap:RelatedPartyMember2024-04-012024-06-300001413329us-gaap:RelatedPartyMember2023-04-012023-06-300001413329country:KRpm:EAAUPMIDFSegmentMember2023-04-012023-06-3000014133292024-06-3000014133292023-12-310001413329us-gaap:RelatedPartyMember2024-06-300001413329us-gaap:RelatedPartyMember2023-12-3100014133292022-12-3100014133292023-06-300001413329us-gaap:CommonStockMember2022-12-310001413329us-gaap:AdditionalPaidInCapitalMember2022-12-310001413329us-gaap:RetainedEarningsMember2022-12-310001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-12-310001413329us-gaap:TreasuryStockCommonMember2022-12-310001413329us-gaap:NoncontrollingInterestMember2022-12-310001413329us-gaap:RetainedEarningsMember2023-01-012023-06-300001413329us-gaap:NoncontrollingInterestMember2023-01-012023-06-300001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-06-300001413329us-gaap:AdditionalPaidInCapitalMember2023-01-012023-06-300001413329us-gaap:TreasuryStockCommonMember2023-01-012023-06-300001413329us-gaap:CommonStockMember2023-06-300001413329us-gaap:AdditionalPaidInCapitalMember2023-06-300001413329us-gaap:RetainedEarningsMember2023-06-300001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-06-300001413329us-gaap:TreasuryStockCommonMember2023-06-300001413329us-gaap:NoncontrollingInterestMember2023-06-300001413329us-gaap:CommonStockMember2023-12-310001413329us-gaap:AdditionalPaidInCapitalMember2023-12-310001413329us-gaap:RetainedEarningsMember2023-12-310001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-12-310001413329us-gaap:TreasuryStockCommonMember2023-12-310001413329us-gaap:NoncontrollingInterestMember2023-12-310001413329us-gaap:RetainedEarningsMember2024-01-012024-06-300001413329us-gaap:NoncontrollingInterestMember2024-01-012024-06-300001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-01-012024-06-300001413329us-gaap:AdditionalPaidInCapitalMember2024-01-012024-06-300001413329us-gaap:TreasuryStockCommonMember2024-01-012024-06-300001413329us-gaap:CommonStockMember2024-06-300001413329us-gaap:AdditionalPaidInCapitalMember2024-06-300001413329us-gaap:RetainedEarningsMember2024-06-300001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-06-300001413329us-gaap:TreasuryStockCommonMember2024-06-300001413329us-gaap:NoncontrollingInterestMember2024-06-300001413329us-gaap:CommonStockMember2023-03-310001413329us-gaap:AdditionalPaidInCapitalMember2023-03-310001413329us-gaap:RetainedEarningsMember2023-03-310001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-03-310001413329us-gaap:TreasuryStockCommonMember2023-03-310001413329us-gaap:NoncontrollingInterestMember2023-03-3100014133292023-03-310001413329us-gaap:RetainedEarningsMember2023-04-012023-06-300001413329us-gaap:NoncontrollingInterestMember2023-04-012023-06-300001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-04-012023-06-300001413329us-gaap:AdditionalPaidInCapitalMember2023-04-012023-06-300001413329us-gaap:TreasuryStockCommonMember2023-04-012023-06-300001413329us-gaap:CommonStockMember2024-03-310001413329us-gaap:AdditionalPaidInCapitalMember2024-03-310001413329us-gaap:RetainedEarningsMember2024-03-310001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-03-310001413329us-gaap:TreasuryStockCommonMember2024-03-310001413329us-gaap:NoncontrollingInterestMember2024-03-3100014133292024-03-310001413329us-gaap:RetainedEarningsMember2024-04-012024-06-300001413329us-gaap:NoncontrollingInterestMember2024-04-012024-06-300001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-04-012024-06-300001413329us-gaap:AdditionalPaidInCapitalMember2024-04-012024-06-300001413329us-gaap:TreasuryStockCommonMember2024-04-012024-06-300001413329pm:GeographicalSegmentMember2024-01-012024-06-300001413329pm:A2022PerformanceIncentivePlanMember2022-05-310001413329pm:A2022PerformanceIncentivePlanMember2024-06-300001413329pm:A2017NonEmployeeDirectorsPlanMember2017-05-310001413329pm:A2017NonEmployeeDirectorsPlanMember2024-06-300001413329us-gaap:RestrictedStockUnitsRSUMember2024-01-012024-06-300001413329us-gaap:RestrictedStockUnitsRSUMember2023-01-012023-06-300001413329us-gaap:RestrictedStockUnitsRSUMember2024-04-012024-06-300001413329us-gaap:RestrictedStockUnitsRSUMember2023-04-012023-06-300001413329us-gaap:RestrictedStockUnitsRSUMember2024-06-300001413329us-gaap:RestrictedStockUnitsRSUMemberpm:GrantDateFairValueMember2024-01-012024-06-300001413329us-gaap:RestrictedStockUnitsRSUMemberpm:FairValueMember2024-01-012024-06-300001413329us-gaap:PerformanceSharesMember2024-01-012024-06-300001413329us-gaap:PerformanceSharesMember2024-06-300001413329us-gaap:PerformanceSharesMembersrt:MinimumMember2024-01-012024-06-300001413329srt:MaximumMemberus-gaap:PerformanceSharesMember2024-01-012024-06-300001413329pm:PerformanceShareUnitsOtherPerformanceMetricsMember2024-01-012024-06-300001413329pm:PerformanceShareUnitsTSRPerformanceMetricMember2024-01-012024-06-300001413329us-gaap:PerformanceSharesMember2023-01-012023-06-300001413329pm:PerformanceShareUnitsOtherPerformanceMetricsMember2023-01-012023-06-300001413329pm:PerformanceShareUnitsTSRPerformanceMetricMember2023-01-012023-06-300001413329us-gaap:PerformanceSharesMember2024-04-012024-06-300001413329us-gaap:PerformanceSharesMember2023-04-012023-06-300001413329pm:GrantDateFairValueMemberus-gaap:PerformanceSharesMember2024-01-012024-06-300001413329pm:FairValueMemberus-gaap:PerformanceSharesMember2024-01-012024-06-300001413329us-gaap:PensionPlansDefinedBenefitMember2024-01-012024-06-300001413329us-gaap:PensionPlansDefinedBenefitMember2023-01-012023-06-300001413329us-gaap:PensionPlansDefinedBenefitMember2024-04-012024-06-300001413329us-gaap:PensionPlansDefinedBenefitMember2023-04-012023-06-300001413329pm:PostemploymentBenefitPlansMember2024-01-012024-06-300001413329pm:PostemploymentBenefitPlansMember2023-01-012023-06-300001413329pm:PostemploymentBenefitPlansMember2024-04-012024-06-300001413329pm:PostemploymentBenefitPlansMember2023-04-012023-06-300001413329us-gaap:PostretirementBenefitCostsMember2024-01-012024-06-300001413329us-gaap:PostretirementBenefitCostsMember2023-01-012023-06-300001413329us-gaap:PostretirementBenefitCostsMember2024-04-012024-06-300001413329us-gaap:PostretirementBenefitCostsMember2023-04-012023-06-300001413329pm:WellnessAndHealthcareSegmentMember2024-06-300001413329pm:WarInUkraineMembercountry:RU2024-06-300001413329pm:MegapolisMember2024-06-300001413329pm:EuropeSegmentMember2023-12-310001413329pm:SSEACISMEASegmentMember2023-12-310001413329pm:EAAUPMIDFSegmentMember2023-12-310001413329pm:AmericasSegmentMember2023-12-310001413329pm:WellnessAndHealthcareSegmentMember2023-12-310001413329pm:EuropeSegmentMember2024-01-012024-06-300001413329pm:SSEACISMEASegmentMember2024-01-012024-06-300001413329pm:EAAUPMIDFSegmentMember2024-01-012024-06-300001413329pm:AmericasSegmentMember2024-01-012024-06-300001413329pm:WellnessAndHealthcareSegmentMember2024-01-012024-06-300001413329pm:EuropeSegmentMember2024-06-300001413329pm:SSEACISMEASegmentMember2024-06-300001413329pm:EAAUPMIDFSegmentMember2024-06-300001413329pm:AmericasSegmentMember2024-06-300001413329pm:WellnessAndHealthcareSegmentMember2024-06-300001413329us-gaap:TrademarksMember2024-06-300001413329us-gaap:TrademarksMember2023-12-310001413329us-gaap:ContractualRightsMember2024-06-300001413329us-gaap:ContractualRightsMember2023-12-310001413329us-gaap:DevelopedTechnologyRightsMember2024-06-300001413329us-gaap:DevelopedTechnologyRightsMember2023-12-310001413329us-gaap:CustomerRelationshipsMember2024-06-300001413329us-gaap:CustomerRelationshipsMember2023-12-310001413329us-gaap:InProcessResearchAndDevelopmentMember2024-01-012024-03-310001413329us-gaap:InProcessResearchAndDevelopmentMember2024-01-012024-06-300001413329us-gaap:CostOfSalesMember2024-01-012024-06-300001413329pm:MarketingAdministrationAndResearchCostsMember2024-01-012024-06-300001413329pm:WellnessAndHealthcareSegmentMember2023-01-012023-06-300001413329pm:WellnessAndHealthcareSegmentMember2023-04-012023-06-300001413329us-gaap:InProcessResearchAndDevelopmentMember2023-04-012023-06-300001413329us-gaap:InProcessResearchAndDevelopmentMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:CommodityContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:CommodityContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-12-310001413329us-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentAssetsMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentAssetsMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:ForeignExchangeContractMemberpm:OtherAccruedLiabilitiesMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:ForeignExchangeContractMemberpm:OtherAccruedLiabilitiesMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:OtherAssetsMemberus-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:OtherAssetsMemberus-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:OtherLiabilitiesMemberus-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:OtherLiabilitiesMemberus-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:OtherCurrentAssetsMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:OtherCurrentAssetsMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329pm:OtherAccruedLiabilitiesMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329pm:OtherAccruedLiabilitiesMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:OtherAssetsMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:OtherAssetsMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:OtherLiabilitiesMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:OtherLiabilitiesMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:CommodityContractMemberus-gaap:OtherCurrentAssetsMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:CommodityContractMemberus-gaap:OtherCurrentAssetsMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:CommodityContractMemberpm:OtherAccruedLiabilitiesMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:CommodityContractMemberpm:OtherAccruedLiabilitiesMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:CommodityContractMemberus-gaap:OtherAssetsMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:CommodityContractMemberus-gaap:OtherAssetsMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:CommodityContractMemberus-gaap:OtherLiabilitiesMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-06-300001413329us-gaap:CommodityContractMemberus-gaap:OtherLiabilitiesMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-12-310001413329us-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentAssetsMemberus-gaap:NondesignatedMember2024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:OtherCurrentAssetsMemberus-gaap:NondesignatedMember2023-12-310001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMemberpm:OtherAccruedLiabilitiesMember2024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMemberpm:OtherAccruedLiabilitiesMember2023-12-310001413329us-gaap:OtherAssetsMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-06-300001413329us-gaap:OtherAssetsMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-12-310001413329us-gaap:OtherLiabilitiesMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-06-300001413329us-gaap:OtherLiabilitiesMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-12-310001413329us-gaap:ForeignExchangeContractMember2024-01-012024-06-300001413329us-gaap:ForeignExchangeContractMember2023-01-012023-06-300001413329us-gaap:SalesMemberus-gaap:ForeignExchangeContractMember2024-01-012024-06-300001413329us-gaap:SalesMemberus-gaap:ForeignExchangeContractMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:CostOfSalesMember2024-01-012024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:CostOfSalesMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMember2024-01-012024-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMember2023-01-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMember2024-01-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMember2023-01-012023-06-300001413329us-gaap:InterestRateContractMember2024-01-012024-06-300001413329us-gaap:InterestRateContractMember2023-01-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMember2024-01-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMember2023-01-012023-06-300001413329us-gaap:CommodityContractMember2024-01-012024-06-300001413329us-gaap:CommodityContractMember2023-01-012023-06-300001413329us-gaap:CommodityContractMemberus-gaap:CostOfSalesMember2024-01-012024-06-300001413329us-gaap:CommodityContractMemberus-gaap:CostOfSalesMember2023-01-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-01-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-01-012024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-01-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-01-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMemberus-gaap:NondesignatedMember2024-01-012024-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMemberus-gaap:NondesignatedMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-01-012024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-01-012023-06-300001413329us-gaap:ForeignExchangeContractMember2024-04-012024-06-300001413329us-gaap:ForeignExchangeContractMember2023-04-012023-06-300001413329us-gaap:SalesMemberus-gaap:ForeignExchangeContractMember2024-04-012024-06-300001413329us-gaap:SalesMemberus-gaap:ForeignExchangeContractMember2023-04-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:CostOfSalesMember2024-04-012024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:CostOfSalesMember2023-04-012023-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMember2024-04-012024-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMember2023-04-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMember2024-04-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMember2023-04-012023-06-300001413329us-gaap:InterestRateContractMember2024-04-012024-06-300001413329us-gaap:InterestRateContractMember2023-04-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMember2024-04-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMember2023-04-012023-06-300001413329us-gaap:CommodityContractMember2024-04-012024-06-300001413329us-gaap:CommodityContractMember2023-04-012023-06-300001413329us-gaap:CommodityContractMemberus-gaap:CostOfSalesMember2024-04-012024-06-300001413329us-gaap:CommodityContractMemberus-gaap:CostOfSalesMember2023-04-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-04-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:InterestRateContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-04-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2024-04-012024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:DesignatedAsHedgingInstrumentMember2023-04-012023-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-04-012024-06-300001413329us-gaap:InterestExpenseMemberus-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-04-012023-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMemberus-gaap:NondesignatedMember2024-04-012024-06-300001413329us-gaap:ForeignExchangeContractMemberpm:MarketingAdministrationAndResearchCostsMemberus-gaap:NondesignatedMember2023-04-012023-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2024-04-012024-06-300001413329us-gaap:ForeignExchangeContractMemberus-gaap:NondesignatedMember2023-04-012023-06-300001413329pm:LongTermDebtAndLeaseObligationCurrentMember2024-06-300001413329pm:LongTermDebtAndLeaseObligationMember2024-06-300001413329pm:ForeignDebtMemberus-gaap:NetInvestmentHedgingMember2024-01-012024-06-300001413329pm:ForeignDebtMemberus-gaap:NetInvestmentHedgingMember2023-01-012023-06-300001413329pm:ForeignDebtMemberus-gaap:NetInvestmentHedgingMember2024-04-012024-06-300001413329pm:ForeignDebtMemberus-gaap:NetInvestmentHedgingMember2023-04-012023-06-300001413329us-gaap:OtherComprehensiveIncomeMember2023-12-310001413329us-gaap:OtherComprehensiveIncomeMember2022-12-310001413329us-gaap:OtherComprehensiveIncomeMember2024-03-310001413329us-gaap:OtherComprehensiveIncomeMember2023-03-310001413329us-gaap:OtherComprehensiveIncomeMember2024-01-012024-06-300001413329us-gaap:OtherComprehensiveIncomeMember2023-01-012023-06-300001413329us-gaap:OtherComprehensiveIncomeMember2024-04-012024-06-300001413329us-gaap:OtherComprehensiveIncomeMember2023-04-012023-06-300001413329us-gaap:OtherComprehensiveIncomeMember2024-06-300001413329us-gaap:OtherComprehensiveIncomeMember2023-06-300001413329us-gaap:ForeignExchangeContractMember2024-06-300001413329us-gaap:FairValueInputsLevel1Member2024-06-300001413329pm:EuropeSegmentMember2023-01-012023-06-300001413329pm:EuropeSegmentMember2024-04-012024-06-300001413329pm:EuropeSegmentMember2023-04-012023-06-300001413329pm:SSEACISMEASegmentMember2023-01-012023-06-300001413329pm:SSEACISMEASegmentMember2024-04-012024-06-300001413329pm:SSEACISMEASegmentMember2023-04-012023-06-300001413329pm:EAAUPMIDFSegmentMember2023-01-012023-06-300001413329pm:EAAUPMIDFSegmentMember2024-04-012024-06-300001413329pm:EAAUPMIDFSegmentMember2023-04-012023-06-300001413329pm:AmericasSegmentMember2023-01-012023-06-300001413329pm:AmericasSegmentMember2024-04-012024-06-300001413329pm:AmericasSegmentMember2023-04-012023-06-300001413329pm:WellnessAndHealthcareSegmentMember2024-04-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EuropeSegmentMember2024-01-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EuropeSegmentMember2023-01-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EuropeSegmentMember2024-04-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EuropeSegmentMember2023-04-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:SSEACISMEASegmentMember2024-01-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:SSEACISMEASegmentMember2023-01-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:SSEACISMEASegmentMember2024-04-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:SSEACISMEASegmentMember2023-04-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EAAUPMIDFSegmentMember2024-01-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EAAUPMIDFSegmentMember2023-01-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EAAUPMIDFSegmentMember2024-04-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:EAAUPMIDFSegmentMember2023-04-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:AmericasSegmentMember2024-01-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:AmericasSegmentMember2023-01-012023-06-300001413329pm:CombustibleTobaccoProductsMemberpm:AmericasSegmentMember2024-04-012024-06-300001413329pm:CombustibleTobaccoProductsMemberpm:AmericasSegmentMember2023-04-012023-06-300001413329pm:CombustibleTobaccoProductsMember2024-01-012024-06-300001413329pm:CombustibleTobaccoProductsMember2023-01-012023-06-300001413329pm:CombustibleTobaccoProductsMember2024-04-012024-06-300001413329pm:CombustibleTobaccoProductsMember2023-04-012023-06-300001413329pm:SmokeFreeProductsMemberpm:EuropeSegmentMember2024-01-012024-06-300001413329pm:SmokeFreeProductsMemberpm:EuropeSegmentMember2023-01-012023-06-300001413329pm:SmokeFreeProductsMemberpm:EuropeSegmentMember2024-04-012024-06-300001413329pm:SmokeFreeProductsMemberpm:EuropeSegmentMember2023-04-012023-06-300001413329pm:SmokeFreeProductsMemberpm:SSEACISMEASegmentMember2024-01-012024-06-300001413329pm:SmokeFreeProductsMemberpm:SSEACISMEASegmentMember2023-01-012023-06-300001413329pm:SmokeFreeProductsMemberpm:SSEACISMEASegmentMember2024-04-012024-06-300001413329pm:SmokeFreeProductsMemberpm:SSEACISMEASegmentMember2023-04-012023-06-300001413329pm:SmokeFreeProductsMemberpm:EAAUPMIDFSegmentMember2024-01-012024-06-300001413329pm:SmokeFreeProductsMemberpm:EAAUPMIDFSegmentMember2023-01-012023-06-300001413329pm:SmokeFreeProductsMemberpm:EAAUPMIDFSegmentMember2024-04-012024-06-300001413329pm:SmokeFreeProductsMemberpm:EAAUPMIDFSegmentMember2023-04-012023-06-300001413329pm:AmericasSegmentMemberpm:SmokeFreeProductsMember2024-01-012024-06-300001413329pm:AmericasSegmentMemberpm:SmokeFreeProductsMember2023-01-012023-06-300001413329pm:AmericasSegmentMemberpm:SmokeFreeProductsMember2024-04-012024-06-300001413329pm:AmericasSegmentMemberpm:SmokeFreeProductsMember2023-04-012023-06-300001413329pm:SmokeFreeProductsMemberpm:SmokeFreeProductsExcludingWellnessAndHealthcareMember2024-01-012024-06-300001413329pm:SmokeFreeProductsMemberpm:SmokeFreeProductsExcludingWellnessAndHealthcareMember2023-01-012023-06-300001413329pm:SmokeFreeProductsMemberpm:SmokeFreeProductsExcludingWellnessAndHealthcareMember2024-04-012024-06-300001413329pm:SmokeFreeProductsMemberpm:SmokeFreeProductsExcludingWellnessAndHealthcareMember2023-04-012023-06-300001413329pm:SmokeFreeProductsMemberpm:WellnessAndHealthcareSegmentMember2024-01-012024-06-300001413329pm:SmokeFreeProductsMemberpm:WellnessAndHealthcareSegmentMember2023-01-012023-06-300001413329pm:SmokeFreeProductsMemberpm:WellnessAndHealthcareSegmentMember2024-04-012024-06-300001413329pm:SmokeFreeProductsMemberpm:WellnessAndHealthcareSegmentMember2023-04-012023-06-300001413329pm:SmokeFreeProductsMember2024-01-012024-06-300001413329pm:SmokeFreeProductsMember2023-01-012023-06-300001413329pm:SmokeFreeProductsMember2024-04-012024-06-300001413329pm:SmokeFreeProductsMember2023-04-012023-06-300001413329pm:SSEACISMEASegmentMemberpm:NetRevenuesMember2023-01-012023-03-310001413329pm:SwedishMatchABMember2023-01-012023-03-310001413329pm:ConseilQuebecoisSurLeTabacEtLaSanteandJeanYvesBlaisMemberpm:SmokingAndHealthClassActionsMembercountry:CA2015-05-272015-05-270001413329pm:ConseilQuebecoisSurLeTabacEtLaSanteandJeanYvesBlaisMemberus-gaap:JudicialRulingMemberpm:ImperialTobaccoLtd.RothmansBensonAndHedgesInc.AndJTIMacdonaldCorp.Memberpm:SmokingAndHealthClassActionsMembercountry:CA2015-05-272015-05-270001413329pm:ConseilQuebecoisSurLeTabacEtLaSanteandJeanYvesBlaisMemberpm:RothmansBensonAndHedgesInc.RBHMemberus-gaap:JudicialRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CA2015-05-272015-05-270001413329pm:RothmansBensonAndHedgesInc.RBHMemberpm:AppellateRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CApm:CeciliaLetourneauConseilQuebecoisSurLaTabacEtLaSanteandJeanYvesBlaisCasesMember2015-10-012015-10-300001413329pm:AppellateRulingMemberpm:ImperialTobaccoLtd.Memberpm:SmokingAndHealthClassActionsMembercountry:CApm:CeciliaLetourneauConseilQuebecoisSurLaTabacEtLaSanteandJeanYvesBlaisCasesMember2015-10-012015-10-300001413329pm:ConseilQuebecoisSurLeTabacEtLaSanteandJeanYvesBlaisMemberus-gaap:JudicialRulingMemberpm:ImperialTobaccoLtd.RothmansBensonAndHedgesInc.AndJTIMacdonaldCorp.Memberpm:SmokingAndHealthClassActionsMembercountry:CA2019-03-012019-03-010001413329pm:ConseilQuebecoisSurLeTabacEtLaSanteandJeanYvesBlaisMemberpm:RothmansBensonAndHedgesInc.RBHMemberus-gaap:JudicialRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CA2019-03-012019-03-010001413329us-gaap:JudicialRulingMemberpm:ImperialTobaccoLtd.RothmansBensonAndHedgesInc.AndJTIMacdonaldCorp.Memberpm:SmokingAndHealthClassActionsMembercountry:CApm:CeciliaLetourneauConseilQuebecoisSurLaTabacEtLaSanteandJeanYvesBlaisCasesMember2019-03-012019-03-010001413329pm:RothmansBensonAndHedgesInc.RBHMemberpm:AppellateRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CApm:CeciliaLetourneauConseilQuebecoisSurLaTabacEtLaSanteandJeanYvesBlaisCasesMember2019-03-012019-03-010001413329pm:RothmansBensonAndHedgesInc.RBHMemberpm:AppellateRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CApm:CeciliaLetourneauConseilQuebecoisSurLaTabacEtLaSanteandJeanYvesBlaisCasesMember2019-10-012019-12-310001413329pm:CeciliaLetourneauMemberpm:SmokingAndHealthClassActionsMembercountry:CA2015-05-272015-05-270001413329pm:CeciliaLetourneauMemberus-gaap:JudicialRulingMemberpm:ImperialTobaccoLtd.RothmansBensonAndHedgesInc.AndJTIMacdonaldCorp.Memberpm:SmokingAndHealthClassActionsMembercountry:CA2015-05-272015-05-270001413329pm:CeciliaLetourneauMemberpm:RothmansBensonAndHedgesInc.RBHMemberus-gaap:JudicialRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CA2015-05-272015-05-270001413329pm:CeciliaLetourneauMemberpm:RothmansBensonAndHedgesInc.RBHMemberus-gaap:JudicialRulingMemberpm:SmokingAndHealthClassActionsMembercountry:CA2019-03-012019-03-010001413329pm:AdamsMembercountry:CAus-gaap:PendingLitigationMember2009-07-102009-07-100001413329pm:SuzanneJacklinMembercountry:CAus-gaap:PendingLitigationMember2012-06-202012-06-200001413329pm:CombustibleProductsMemberpm:CombustibleTobaccoProductsMember1995-01-012024-06-300001413329pm:CombustibleProductsMemberpm:CombustibleTobaccoProductsMember2024-06-300001413329pm:CombustibleProductsMemberpm:IndividualSmokingAndHealthCasesMember2024-06-300001413329country:ARpm:CombustibleProductsMemberpm:IndividualSmokingAndHealthCasesMember2024-06-300001413329pm:CombustibleProductsMemberpm:IndividualSmokingAndHealthCasesMembercountry:CA2024-06-300001413329pm:CombustibleProductsMembercountry:CLpm:IndividualSmokingAndHealthCasesMember2024-06-300001413329pm:CombustibleProductsMemberpm:IndividualSmokingAndHealthCasesMembercountry:TR2024-06-300001413329pm:CombustibleProductsMemberpm:IndividualSmokingAndHealthCasesMember2023-06-300001413329pm:CombustibleProductsMemberpm:SmokingAndHealthClassActionsMember2024-06-300001413329pm:CombustibleProductsMemberpm:SmokingAndHealthClassActionsMember2023-06-300001413329pm:CombustibleProductsMemberpm:HealthCareCostRecoveryActionsMember2024-06-300001413329country:BRpm:CombustibleProductsMemberpm:HealthCareCostRecoveryActionsMember2024-06-300001413329pm:CombustibleProductsMembercountry:CApm:HealthCareCostRecoveryActionsMember2024-06-300001413329pm:CombustibleProductsMembercountry:KRpm:HealthCareCostRecoveryActionsMember2024-06-300001413329pm:CombustibleProductsMembercountry:NGpm:HealthCareCostRecoveryActionsMember2024-06-300001413329pm:CombustibleProductsMemberpm:HealthCareCostRecoveryActionsMember2023-06-300001413329pm:TheAttorneyGeneralOfLagosStateMembercountry:NGus-gaap:PendingLitigationMemberpm:HealthCareCostRecoveryActionsMember2008-03-132008-03-130001413329country:NGus-gaap:PendingLitigationMemberpm:TheAttorneyGeneralOfKanoStateMemberpm:HealthCareCostRecoveryActionsMember2007-05-092007-05-090001413329pm:TheAttorneyGeneralOfGombeStateMembercountry:NGus-gaap:PendingLitigationMemberpm:HealthCareCostRecoveryActionsMember2008-10-172008-10-170001413329country:NGus-gaap:PendingLitigationMemberpm:TheAttorneyGeneralOfOyoStateMemberpm:HealthCareCostRecoveryActionsMember2007-05-252007-05-250001413329pm:TheAttorneyGeneralOfOgunStateMembercountry:NGus-gaap:PendingLitigationMemberpm:HealthCareCostRecoveryActionsMember2008-02-262008-02-260001413329country:KRpm:HealthCareCostRecoveryActionsMember2014-04-142014-04-140001413329pm:CombustibleProductsMemberpm:IndividualLabelRelatedCasesMember2024-06-300001413329country:ITpm:CombustibleProductsMemberpm:IndividualLabelRelatedCasesMember2024-06-300001413329pm:CombustibleProductsMembercountry:CLpm:IndividualLabelRelatedCasesMember2024-06-300001413329pm:CombustibleProductsMemberpm:IndividualLabelRelatedCasesMember2023-06-300001413329pm:PublicCivilActionsMemberpm:CombustibleProductsMember2024-06-300001413329pm:PublicCivilActionsMembercountry:VEpm:CombustibleProductsMember2024-06-300001413329pm:PublicCivilActionsMemberpm:CombustibleProductsMember2023-06-300001413329pm:OtherLitigationMemberpm:TheDepartmentofSpecialInvestigationsoftheGovernmentofThailandMembercountry:THus-gaap:PendingLitigationMember2016-01-182016-01-180001413329pm:OtherLitigationMemberpm:TheDepartmentofSpecialInvestigationsoftheGovernmentofThailandMembercountry:TH2016-01-182016-01-180001413329pm:OtherLitigationMemberpm:TheDepartmentofSpecialInvestigationsoftheGovernmentofThailandMembercountry:TH2019-11-012019-11-300001413329pm:OtherLitigationMemberpm:TheDepartmentofSpecialInvestigationsoftheGovernmentofThailandMembercountry:TH2022-06-012022-06-010001413329pm:OtherLitigationMemberpm:TheDepartmentofSpecialInvestigationsoftheGovernmentofThailandMembercountry:TH2017-01-262017-01-260001413329pm:OtherLitigationMemberpm:TheDepartmentofSpecialInvestigationsoftheGovernmentofThailandMembercountry:TH2020-03-012020-03-310001413329pm:PublicProsecutorsOfficeOfRomeItalyVs.PhilipMorrisItaliaS.r.l.Member2020-07-012020-07-310001413329pm:BritishAmericanTobaccoP.l.cVs.PhilipMorrisItaliaS.r.l.Member2021-09-222021-09-220001413329pm:SwedishMatchABMember2024-01-012024-06-300001413329pm:VenezuelaPlanMember2024-01-012024-06-300001413329pm:SwedishMatchABMember2023-01-012023-06-300001413329srt:MinimumMember2024-01-012024-06-300001413329srt:MaximumMember2024-01-012024-06-300001413329us-gaap:CommercialPaperMember2024-06-300001413329us-gaap:CommercialPaperMember2023-12-310001413329us-gaap:BankLoanObligationsMember2024-06-300001413329us-gaap:BankLoanObligationsMember2023-12-310001413329pm:UsDollarNotesMembersrt:MinimumMember2024-06-300001413329srt:MaximumMemberpm:UsDollarNotesMember2024-06-300001413329pm:UsDollarNotesMember2024-01-012024-06-300001413329pm:UsDollarNotesMember2024-06-300001413329pm:UsDollarNotesMember2023-12-310001413329pm:ForeignCurrencyObligationsMembersrt:MinimumMemberpm:EuroNotesPayableMember2024-06-300001413329srt:MaximumMemberpm:ForeignCurrencyObligationsMemberpm:EuroNotesPayableMember2024-06-300001413329pm:ForeignCurrencyObligationsMemberpm:EuroNotesPayableMember2024-01-012024-06-300001413329pm:ForeignCurrencyObligationsMemberpm:EuroNotesPayableMember2024-06-300001413329pm:ForeignCurrencyObligationsMemberpm:EuroNotesPayableMember2023-12-310001413329pm:SwissFrancNotesMemberpm:ForeignCurrencyObligationsMember2024-01-012024-06-300001413329pm:SwissFrancNotesMemberpm:ForeignCurrencyObligationsMember2024-06-300001413329pm:SwissFrancNotesMemberpm:ForeignCurrencyObligationsMember2023-12-310001413329pm:ForeignCurrencyObligationsMemberpm:EuroBankLoanMember2024-01-012024-06-300001413329pm:ForeignCurrencyObligationsMemberpm:EuroBankLoanMember2024-06-300001413329pm:ForeignCurrencyObligationsMemberpm:EuroBankLoanMember2023-12-310001413329pm:SwedishKronaNotesMemberpm:ForeignCurrencyObligationsMembersrt:MinimumMember2024-06-300001413329pm:SwedishKronaNotesMembersrt:MaximumMemberpm:ForeignCurrencyObligationsMember2024-06-300001413329pm:SwedishKronaNotesMemberpm:ForeignCurrencyObligationsMember2024-01-012024-06-300001413329pm:SwedishKronaNotesMemberpm:ForeignCurrencyObligationsMember2024-06-300001413329pm:SwedishKronaNotesMemberpm:ForeignCurrencyObligationsMember2023-12-310001413329us-gaap:NotesPayableOtherPayablesMemberpm:ForeignCurrencyObligationsMember2024-01-012024-06-300001413329us-gaap:NotesPayableOtherPayablesMemberpm:ForeignCurrencyObligationsMember2024-06-300001413329us-gaap:NotesPayableOtherPayablesMemberpm:ForeignCurrencyObligationsMember2023-12-310001413329us-gaap:FairValueInputsLevel2Member2024-06-300001413329pm:SeniorUnsecuredBridgeFacilityMember2022-05-112022-05-110001413329pm:SeniorUnsecuredBridgeFacilityMember2022-05-110001413329pm:SeniorUnsecuredTermLoanMember2022-06-230001413329pm:SeniorUnsecuredTermLoanMemberus-gaap:DebtInstrumentRedemptionPeriodOneMember2022-06-230001413329pm:SeniorUnsecuredTermLoanMemberus-gaap:DebtInstrumentRedemptionPeriodOneMember2022-06-232022-06-230001413329us-gaap:DebtInstrumentRedemptionPeriodTwoMemberpm:SeniorUnsecuredTermLoanMember2022-06-230001413329pm:SeniorUnsecuredBridgeFacilityMember2022-06-230001413329pm:SwedishMatchABMember2022-11-110001413329pm:SwedishMatchABMember2022-12-310001413329pm:SwedishMatchABMember2023-02-170001413329pm:SeniorUnsecuredBridgeFacilityMemberpm:SwedishMatchABMember2022-11-072022-11-100001413329pm:SeniorUnsecuredBridgeFacilityMemberpm:SwedishMatchABMember2022-11-072022-11-070001413329pm:SeniorUnsecuredBridgeFacilityMemberpm:SwedishMatchABMember2022-11-102022-11-100001413329pm:SeniorUnsecuredBridgeFacilityMemberpm:SwedishMatchABMember2022-11-212022-11-210001413329pm:SeniorUnsecuredBridgeFacilityMemberpm:SwedishMatchABMember2023-02-172023-02-170001413329pm:SwedishMatchABMemberpm:SeniorUnsecuredTermLoanMember2023-12-310001413329pm:SwedishMatchABMemberpm:SeniorUnsecuredTermLoanMember2024-06-300001413329pm:USDollarNotes4.750DueFebruary2027Member2024-06-300001413329pm:USDollarNotes4.875DueFebruary2029Member2024-06-300001413329pm:USDollarNotes5.125DueFebruary2031Member2024-06-300001413329pm:USDollarNotes5.250DueFebruary2034Member2024-06-300001413329pm:EuroNotes3.750DueJanuary2031Member2024-06-300001413329pm:ThreeHundredSixtyFourDayRevolvingCreditExpiringJanuary282025Member2024-01-012024-06-300001413329pm:ThreeHundredSixtyFourDayRevolvingCreditExpiringJanuary282025Member2024-06-300001413329pm:MultiYearRevolvingCreditFacilityExpiringFebruary102026Member2024-06-300001413329pm:MultiYearRevolvingCreditFacilityExpiringSeptember292026Member2024-06-300001413329pm:MultiYearRevolvingCreditFacilityExpiringFebruary102027Member2022-01-280001413329pm:MultiYearRevolvingCreditFacilityExpiringSeptember292027Member2023-09-200001413329pm:ShortTermCreditArrangementMember2024-06-300001413329pm:ShortTermCreditArrangementMember2023-12-310001413329us-gaap:AccumulatedTranslationAdjustmentMember2024-06-300001413329us-gaap:AccumulatedTranslationAdjustmentMember2023-12-310001413329us-gaap:AccumulatedTranslationAdjustmentMember2023-06-300001413329us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2024-06-300001413329us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2023-12-310001413329us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember2023-06-300001413329us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2024-06-300001413329us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2023-12-310001413329us-gaap:AccumulatedGainLossNetCashFlowHedgeParentMember2023-06-300001413329pm:DefiniteLivedIntangiblesAndOtherAssetsMember2024-06-300001413329pm:DefiniteLivedIntangiblesAndOtherAssetsMember2023-12-3100014133292023-01-012023-12-310001413329pm:EITAMember2024-06-300001413329pm:STAEMMember2024-06-300001413329pm:STAEMMemberpm:EITAMember2024-06-300001413329pm:ManagementEtDeveloppementDesActifsEtDesRessourcesHoldingMADARHoldingMemberpm:STAEMMember2024-06-300001413329pm:UTCMember2023-04-300001413329pm:EasternMember2024-05-310001413329pm:RothmansBensonAndHedgesInc.RBHMember2019-03-220001413329pm:TTIMemberpm:PMMMember2024-06-300001413329pm:IPMIndiaMember2024-06-300001413329pm:MegapolisMemberus-gaap:RelatedPartyMember2024-01-012024-06-300001413329pm:MegapolisMemberus-gaap:RelatedPartyMember2023-01-012023-06-300001413329pm:MegapolisMemberus-gaap:RelatedPartyMember2024-04-012024-06-300001413329pm:MegapolisMemberus-gaap:RelatedPartyMember2023-04-012023-06-300001413329pm:OtherRelatedPartyMemberus-gaap:RelatedPartyMember2024-01-012024-06-300001413329pm:OtherRelatedPartyMemberus-gaap:RelatedPartyMember2023-01-012023-06-300001413329pm:OtherRelatedPartyMemberus-gaap:RelatedPartyMember2024-04-012024-06-300001413329pm:OtherRelatedPartyMemberus-gaap:RelatedPartyMember2023-04-012023-06-300001413329pm:OtherRelatedPartyMember2024-01-012024-06-300001413329pm:OtherRelatedPartyMember2023-01-012023-06-300001413329pm:OtherRelatedPartyMember2024-04-012024-06-300001413329pm:OtherRelatedPartyMember2023-04-012023-06-300001413329pm:MegapolisMemberus-gaap:RelatedPartyMember2024-06-300001413329pm:MegapolisMemberus-gaap:RelatedPartyMember2023-12-310001413329pm:OtherRelatedPartyMemberus-gaap:RelatedPartyMember2024-06-300001413329pm:OtherRelatedPartyMemberus-gaap:RelatedPartyMember2023-12-310001413329pm:USRestructuringMember2024-01-012024-03-310001413329pm:USRestructuringMemberus-gaap:ContractTerminationMember2024-01-012024-03-310001413329pm:USRestructuringMemberpm:PrePaidCommitmentsMember2024-01-012024-03-310001413329pm:USRestructuringMemberpm:AssetImpairmentMember2024-01-012024-03-310001413329pm:VenezuelaPlanMember2024-01-012024-03-310001413329pm:VenezuelaPlanMemberpm:AssetImpairmentMember2024-01-012024-03-310001413329pm:VenezuelaPlanMemberus-gaap:ContractTerminationMember2024-01-012024-03-310001413329pm:EVaporProductsManufacturingOptimizationMember2023-01-012023-03-310001413329us-gaap:ContractTerminationMemberpm:EVaporProductsManufacturingOptimizationMember2023-01-012023-03-310001413329pm:EVaporProductsManufacturingOptimizationMemberpm:FinanceLeaseTerminationMember2023-01-012023-03-310001413329pm:EVaporProductsManufacturingOptimizationMemberpm:AssetImpairmentMember2023-01-012023-03-310001413329pm:AmericasSegmentMemberus-gaap:OperatingSegmentsMember2024-01-012024-06-300001413329pm:AmericasSegmentMemberus-gaap:OperatingSegmentsMember2023-01-012023-06-300001413329pm:EuropeSegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2024-01-012024-06-300001413329pm:EuropeSegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2023-01-012023-06-300001413329pm:SSEACISMEASegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2024-01-012024-06-300001413329pm:SSEACISMEASegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2023-01-012023-06-300001413329pm:EAAUPMIDFSegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2024-01-012024-06-300001413329pm:EAAUPMIDFSegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2023-01-012023-06-300001413329pm:AmericasSegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2024-01-012024-06-300001413329pm:AmericasSegmentMemberus-gaap:OperatingSegmentsMemberus-gaap:ContractTerminationMember2023-01-012023-06-300001413329us-gaap:ContractTerminationMember2024-01-012024-06-300001413329us-gaap:ContractTerminationMember2023-01-012023-06-300001413329pm:EuropeSegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2024-01-012024-06-300001413329pm:EuropeSegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2023-01-012023-06-300001413329pm:SSEACISMEASegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2024-01-012024-06-300001413329pm:SSEACISMEASegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2023-01-012023-06-300001413329pm:EAAUPMIDFSegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2024-01-012024-06-300001413329pm:EAAUPMIDFSegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2023-01-012023-06-300001413329pm:AmericasSegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2024-01-012024-06-300001413329pm:AmericasSegmentMemberus-gaap:OperatingSegmentsMemberpm:AssetImpairmentMember2023-01-012023-06-300001413329pm:AssetImpairmentMember2024-01-012024-06-300001413329pm:AssetImpairmentMember2023-01-012023-06-300001413329srt:ScenarioForecastMember2024-07-012024-12-310001413329pm:SuppliersUsingSupplyChainFinancingProgramMember2024-06-300001413329pm:SuppliersUsingSupplyChainFinancingProgramMember2023-12-310001413329pm:NoncontrollingInterestPurchasePhilipMorrisTtnMamulleriSanayiVeTicaretAMember2022-03-310001413329pm:NoncontrollingInterestPurchasePhilipMorrisPazarlamaVeSatAMember2022-03-310001413329pm:NoncontrollingInterestPurchaseMember2022-01-012022-03-310001413329pm:NoncontrollingInterestPurchaseMember2022-03-310001413329us-gaap:AdditionalPaidInCapitalMember2022-01-012022-03-310001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-01-012022-03-3100014133292023-01-012023-01-310001413329us-gaap:AdditionalPaidInCapitalMember2023-01-012023-01-310001413329us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-01-310001413329pm:AltriaGroupMember2022-10-200001413329pm:AltriaGroupMember2023-07-140001413329pm:AltriaGroupMemberus-gaap:OtherIntangibleAssetsMember2024-01-012024-06-300001413329pm:EIHMember2023-04-300001413329pm:UTCMember2024-05-160001413329pm:UTCMember2024-05-162024-05-160001413329pm:ContingentConsiderationMemberpm:UTCMember2024-05-162024-05-160001413329us-gaap:BorrowingsMemberpm:UTCMember2024-05-162024-05-16
Table of Contents


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One) 
☑
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2024
OR 
☐
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                      to                     
Commission File Number 001-33708
Philip Morris International Inc.
(Exact name of registrant as specified in its charter)
Virginia13-3435103
(State or other jurisdiction of
    incorporation or organization)		(I.R.S. Employer
    Identification No.)
677 Washington Blvd, Suite 1100StamfordConnecticut06901
(Address of principal executive offices)(Zip Code)
Registrant’s telephone number, including area code(203)905-2410
Former name, former address and former fiscal year, if changed since last report

Securities registered pursuant to Section 12(b) of the Act:
Title of each class                    Trading Symbol(s)Name of each exchange on which registered
Common Stock, no par valuePMNew York Stock Exchange
0.625% Notes due 2024PM24BNew York Stock Exchange
3.250% Notes due 2024PM24ANew York Stock Exchange
2.750% Notes due 2025PM25New York Stock Exchange
3.375% Notes due 2025PM25ANew York Stock Exchange
2.750% Notes due 2026PM26ANew York Stock Exchange
2.875% Notes due 2026PM26New York Stock Exchange
0.125% Notes due 2026PM26BNew York Stock Exchange
3.125% Notes due 2027PM27New York Stock Exchange
3.125% Notes due 2028PM28New York Stock Exchange
2.875% Notes due 2029PM29New York Stock Exchange
3.375% Notes due 2029PM29ANew York Stock Exchange
3.750% Notes due 2031PM31BNew York Stock Exchange
0.800% Notes due 2031PM31New York Stock Exchange
3.125% Notes due 2033PM33New York Stock Exchange
2.000% Notes due 2036PM36New York Stock Exchange
Title of each class                    Trading Symbol(s)Name of each exchange on which registered
1.875% Notes due 2037PM37ANew York Stock Exchange
6.375% Notes due 2038PM38New York Stock Exchange
1.450% Notes due 2039PM39New York Stock Exchange
4.375% Notes due 2041PM41New York Stock Exchange
4.500% Notes due 2042PM42New York Stock Exchange
3.875% Notes due 2042PM42ANew York Stock Exchange
4.125% Notes due 2043PM43New York Stock Exchange
4.875% Notes due 2043PM43ANew York Stock Exchange
4.250% Notes due 2044PM44New York Stock Exchange
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  þ        No  ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  þ        No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer    þ                        Accelerated filer            ☐  
Non-accelerated filer    ☐                         Smaller reporting company    ☐
                                    Emerging growth company    ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  þ
At July 19, 2024, there were 1,554,801,534 shares outstanding of the registrant’s common stock, no par value per share.
1
Table of Contents

PHILIP MORRIS INTERNATIONAL INC.
TABLE OF CONTENTS
 
  Page No.
PART I -
Item 1.
Condensed Consolidated Statements of Earnings for the
Six Months Ended June 30, 2024 and 2023
Three Months Ended June 30, 2024 and 2023
Condensed Consolidated Statements of Comprehensive Earnings for the
Six Months Ended June 30, 2024 and 2023
Three Months Ended June 30, 2024 and 2023
Condensed Consolidated Balance Sheets at
June 30, 2024 and December 31, 2023
7 – 8
Condensed Consolidated Statements of Cash Flows for the
Six Months Ended June 30, 2024 and 2023
9 – 10
Condensed Consolidated Statements of Stockholders’ (Deficit) Equity for the
Six Months Ended June 30, 2024 and 2023
Three Months Ended June 30, 2024 and 2023
13 – 49
Item 2.
50 – 111
Item 4.
PART II -
Item 1.
Item 1A.
Item 2.
Item 5.
Item 6.

In this report, “PMI,” “we,” “us” and “our” refer to Philip Morris International Inc. and its subsidiaries.

Trademarks and service marks in this report are the registered property of, or licensed by, the subsidiaries of Philip Morris International Inc. and are italicized.
2
Table of Contents

PART I – FINANCIAL INFORMATION
Item 1. Financial Statements.
Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Earnings
(in millions of dollars, except per share data)
(Unaudited)
 For the Six Months Ended June 30,
 20242023
Net revenues 1 & 2 (Notes 7 & 12)
$18,261 $16,986 
Cost of sales 6,540 6,266 
Gross profit11,721 10,720 
Marketing, administration and research costs 3 (Notes 4, 7 & 15)
5,232 4,758 
Impairment of goodwill (Note 4)— 665 
Operating income6,489 5,297 
Interest expense, net628 527 
Pension and other employee benefit costs (Note 3)29 28 
Earnings before income taxes5,832 4,742 
Provision for income taxes1,410 988 
Equity investments and securities (income)/loss, net(352)(30)
Net earnings$4,774 $3,784 
Net earnings attributable to noncontrolling interests220 221 
Net earnings attributable to PMI$4,554 $3,563 
Per share data (Note 6):
Basic earnings per share$2.92 $2.29 
Diluted earnings per share$2.92 $2.29 
(1) Includes net revenues from related parties of $1,821 million and $1,774 million for the six months ended June 30, 2024 and 2023, respectively.
(2) Net of excise tax on products of $24,762 million and $24,048 million for the six months ended June 30, 2024 and 2023, respectively.
(3) Includes the South Korea indirect tax charge of $204 million for the six months ended June 30, 2023. For further details, see Note 7. Segment Reporting.








See notes to condensed consolidated financial statements.

3
Table of Contents




Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Earnings
(in millions of dollars, except per share data)
(Unaudited)
 For the Three Months Ended June 30,
 20242023
Net revenues 1 & 2 (Note 12)
$9,468 $8,967 
Cost of sales 3,345 3,228 
Gross profit6,123 5,739 
Marketing, administration and research costs 3 (Notes 4 & 7)
2,679 2,508 
Impairment of goodwill (Note 4)— 665 
Operating income3,444 2,566 
Interest expense, net329 297 
Pension and other employee benefit costs (Note 3)14 6 
Earnings before income taxes3,101 2,263 
Provision for income taxes734 560 
Equity investments and securities (income)/loss, net(161)21 
Net earnings2,528 1,682 
Net earnings attributable to noncontrolling interests122 114 
Net earnings attributable to PMI$2,406 $1,568 

Per share data (Note 6):
Basic earnings per share$1.54 $1.01 
Diluted earnings per share$1.54 $1.01 
(1) Includes net revenues from related parties of $961 million and $901 million for the three months ended June 30, 2024 and 2023, respectively.
(2) Net of excise taxes of $12,923 million and $12,749 million for the three months ended June 30, 2024 and 2023, respectively.
(3) Includes the South Korea indirect tax charge of $204 million for the three months ended June 30, 2023. For further details, see Note 7. Segment Reporting.




See notes to condensed consolidated financial statements.
4
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Comprehensive Earnings
(in millions of dollars)
(Unaudited)

For the Six Months Ended June 30,
20242023
Net earnings$4,774 $3,784 
Other comprehensive earnings (losses), net of income taxes:
Change in currency translation adjustments:
Unrealized gains (losses), net of income taxes of $(130) in 2024 and $83 in 2023
365 (827)
(Gains)/losses transferred to earnings, net of income taxes of $0 in 2024 and 2023 (Notes 11, 15 & 18)
155 2 

Change in net loss and prior service cost:
Net gains (losses) and prior service costs, net of income taxes of $0 in 2024 and $0 in 2023
— — 
Amortization of net losses, prior service costs and net transition costs, net of income taxes of $(18) in 2024 and $(14) in 2023
67 41 

Change in fair value of derivatives accounted for as hedges:
Gains (losses) recognized, net of income taxes of $(55) in 2024 and $(48) in 2023
286 246 
(Gains) losses transferred to earnings, net of income taxes of $23 in 2024 and $22 in 2023
(94)(104)
Total other comprehensive earnings (losses)779 (642)
Total comprehensive earnings5,553 3,142 
Less comprehensive earnings (losses) attributable to:
Noncontrolling interests114 65 
Comprehensive earnings attributable to PMI$5,439 $3,077 


















See notes to condensed consolidated financial statements.
5
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Comprehensive Earnings
(in millions of dollars)
(Unaudited)
For the Three Months Ended June 30,
20242023
Net earnings$2,528 $1,682 
Other comprehensive earnings (losses), net of income taxes:
Change in currency translation adjustments:
Unrealized gains (losses), net of income taxes of $(28) in 2024 and $31 in 2023
(123)(572)
(Gains)/losses transferred to earnings, net of income taxes of $0 in 2024 and 2023 (Note 18)
113 2 

Change in net loss and prior service cost:
Net gains (losses) and prior service costs, net of income taxes of $0 in 2024 and $1 in 2023
— (2)
Amortization of net losses, prior service costs and net transition costs, net of income taxes of $(9) in 2024 and $(7) in 2023
33 16 

Change in fair value of derivatives accounted for as hedges:
Gains (losses) recognized, net of income taxes of $(16) in 2024 and $(32) in 2023
108 187 
(Gains) losses transferred to earnings, net of income taxes of $7 in 2024 and $16 in 2023
(48)(75)
Total other comprehensive earnings (losses)83 (444)
Total comprehensive earnings
2,611 1,238 
Less comprehensive earnings (losses) attributable to:
Noncontrolling interests70 101 
Comprehensive earnings attributable to PMI$2,541 $1,137 
















See notes to condensed consolidated financial statements.
6
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(in millions of dollars)
(Unaudited)
 
June 30,
2024		December 31,
2023
ASSETS
Cash and cash equivalents$4,807 $3,060 
Trade receivables (less allowances of $54 in 2024 and $79 in 2023) (1)
4,240 3,461 
Other receivables (less allowances of $21 in 2024 and $35 in 2023)
877 930 

Inventories:
Leaf tobacco1,920 1,942 
Other raw materials2,359 2,293 
Finished product5,103 6,539 
9,382 10,774 
Other current assets1,722 1,530 

Total current assets		21,028 19,755 

Property, plant and equipment, at cost		16,736 17,080 
Less: accumulated depreciation9,472 9,564 
7,264 7,516 
Goodwill (Note 4)16,819 16,779 
Other intangible assets, net (Note 4)12,171 9,864 
Equity investments (Note 12)4,961 4,929 
Deferred income taxes918 814 
Other assets (less allowances of $24 in 2024 and $25 in 2023) (Note 18)
2,621 5,647 
TOTAL ASSETS$65,782 $65,304 

(1) Includes trade receivables from related parties of $834 million and $710 million as of June 30, 2024, and December 31, 2023, respectively. For further details, see Note 12. Related Parties - Equity Investments and Other.






See notes to condensed consolidated financial statements.
Continued
7
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Balance Sheets (Continued)
(in millions of dollars, except share data)
(Unaudited)
 
June 30,
2024		December 31,
2023
LIABILITIES
Short-term borrowings (Note 10)$139 $1,968 
Current portion of long-term debt (Note 10)4,353 4,698 
Accounts payable3,591 4,143 
Accrued liabilities:
Marketing and selling961 862 
Taxes, except income taxes6,826 7,514 
Employment costs1,052 1,262 
Dividends payable2,040 2,041 
Other2,453 2,737 
Income taxes1,001 1,158 
Total current liabilities22,416 26,383 

Long-term debt (Note 10)		44,647 41,243 
Deferred income taxes2,651 2,335 
Employment costs2,823 3,046 
Income taxes and other liabilities1,187 1,743 
Total liabilities73,724 74,750 

Contingencies (Note 8)

STOCKHOLDERS’ (DEFICIT) EQUITY

Common stock, no par value
   (2,109,316,331 shares issued in 2024 and 2023)
— — 
Additional paid-in capital2,249 2,285 
Earnings reinvested in the business34,582 34,090 
Accumulated other comprehensive losses (Note 11)(10,930)(11,815)
25,901 24,560 
Less: cost of repurchased stock
   (554,559,782 and 556,891,800 shares in 2024 and 2023, respectively)
35,645 35,785 
Total PMI stockholders’ deficit(9,744)(11,225)
Noncontrolling interests1,802 1,779 
Total stockholders’ deficit(7,942)(9,446)
TOTAL LIABILITIES AND STOCKHOLDERS’ (DEFICIT) EQUITY$65,782 $65,304 





See notes to condensed consolidated financial statements.
8
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(in millions of dollars)
(Unaudited)
 
 For the Six Months Ended June 30,
 20242023
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES
Net earnings$4,774 $3,784 
Adjustments to reconcile net earnings to operating cash flows:
Depreciation and amortization expense812 600 
Impairment of goodwill and other intangibles (Note 4)27 680 
Deferred income tax (benefit) provision59 (211)
Asset impairment and exit costs, net of cash paid (Note 15)136 85 
Cash effects of changes, net of the effects from acquired companies:
Receivables, net (1)
(978)(292)
Inventories1,047 (74)
Accounts payable(145)(414)
Accrued liabilities and other current assets(341)(1,603)
Income taxes(329)(509)
Pension plan contributions (Note 3)(55)(72)
Other(134)513 
Net cash provided by (used in) operating activities4,873 2,487 
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES
Capital expenditures(787)(639)
Acquisitions, net of acquired cash (Note 18)44 — 
Equity investments(113)(91)
Collateral posted/settlements for derivatives, (paid)/returned (Note 5)439 (342)
Other(113)(2)
Net cash provided by (used in) investing activities(530)(1,074)
 
(1) Includes amounts from related parties of $(142) million and $(134) million for June 30, 2024 and 2023, respectively













See notes to condensed consolidated financial statements.

Continued
9
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows (Continued)
(in millions of dollars)
(Unaudited)
 
 For the Six Months Ended June 30,
 20242023
CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES
Short-term borrowing activity by original maturity:
    Net issuances (repayments) - maturities of 90 days or less$(1,463)$2,356 
    Issuances - maturities longer than 90 days100 712 
    Repayments - maturities longer than 90 days(433)(180)
Repayments under credit facilities related to Swedish Match AB acquisition— (4,430)
Long-term debt proceeds5,194 7,652 
Long-term debt repaid(1,812)(2,034)
Dividends paid(4,064)(3,964)
Collateral received/settlements for derivatives, received/(returned)350 (5)
Payments to acquire Swedish Match AB noncontrolling interests — (883)
Noncontrolling interests activity and Other (Note 18)
(269)(144)
Net cash provided by (used in) financing activities(2,397)(920)
Effect of exchange rate changes on cash, cash equivalents and restricted cash(216)(198)
Cash, cash equivalents and restricted cash (1):
Increase (Decrease)1,730 295 
Balance at beginning of period3,146 3,217 
Balance at end of period$4,876 $3,512 

(1) The amounts for cash, cash equivalents and restricted cash shown above include restricted cash of $69 million and $20 million as of June 30, 2024 and 2023, respectively, and $86 million and $10 million as of December 31, 2023 and 2022, respectively, which were included in other current assets in the condensed consolidated balance sheets.







See notes to condensed consolidated financial statements.
10
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Stockholders’ (Deficit) Equity
For the Six Months Ended June 30, 2024 and 2023
(in millions of dollars, except per share amounts)
(Unaudited)
 PMI Stockholders’ (Deficit) Equity  
 Common
Stock		Additional
Paid-in
Capital		Earnings
Reinvested in
the
Business		Accumulated
Other
Comprehensive Losses		Cost of
Repurchased
Stock		Noncontrolling
Interests		Total
Balances, January 1, 2023$— $2,230 $34,289 $(9,559)$(35,917)$2,646 $(6,311)
Net earnings3,563 221 3,784 
Other comprehensive earnings (losses), net of income taxes(665)23 (642)
Issuance of stock awards (11)126 115 
Dividends declared ($2.54 per share)
(3,959)(3,959)
Dividends paid to noncontrolling interests(318)(318)
Sale (purchase) of subsidiary shares to/(from) noncontrolling interests (Note 18)21 179 (829)(629)
Balances, June 30, 2023$— $2,240 $33,893 $(10,045)$(35,791)$1,743 $(7,960)
Balances, January 1, 2024$— $2,285 $34,090 $(11,815)$(35,785)$1,779 $(9,446)
Net earnings4,554 220 4,774 
Other comprehensive earnings (losses), net of income taxes885 (106)779 
Issuance of stock awards (36)140 104 
Dividends declared ($2.60 per share)
(4,062)(4,062)
Dividends paid to noncontrolling interests(262)(262)
Acquisitions (Note 18)
159 159 
Sale (purchase) of subsidiary shares to/(from) noncontrolling interests 12 12 
Balances, June 30, 2024$— $2,249 $34,582 $(10,930)$(35,645)$1,802 $(7,942)




See notes to condensed consolidated financial statements.
11
Table of Contents

Philip Morris International Inc. and Subsidiaries
Condensed Consolidated Statements of Stockholders’ (Deficit) Equity
For the Three Months Ended June 30, 2024 and 2023
(in millions of dollars, except per share amounts)
(Unaudited)
 PMI Stockholders’ (Deficit) Equity  
 Common
Stock		Additional
Paid-in
Capital		Earnings
Reinvested in
the
Business		Accumulated
Other
Comprehensive Losses		Cost of
Repurchased
Stock		Noncontrolling
Interests		Total
Balances, April 1, 2023$— $2,188 $34,303 $(9,614)$(35,801)$1,871 $(7,053)
Net earnings  1,568   114 1,682 
Other comprehensive earnings (losses), net of income taxes   (431) (13)(444)
Issuance of stock awards 52   10  62 
Dividends declared ($1.27 per share)
  (1,978)   (1,978)
Dividends paid to noncontrolling interests     (225)(225)
Sale (purchase) of subsidiary shares to/(from) noncontrolling interests     (4)(4)
Balances, June 30, 2023$— $2,240 $33,893 $(10,045)$(35,791)$1,743 $(7,960)
Balances, April 1, 2024$— $2,205 $34,208 $(11,065)$(35,657)$1,746 $(8,563)
Net earnings  2,406   122 2,528 
Other comprehensive earnings (losses), net of income taxes   135  (52)83 
Issuance of stock awards 44   12  56 
Dividends declared ($1.30 per share)
  (2,032)   (2,032)
Dividends paid to noncontrolling interests     (186)(186)
Acquisitions (Note 18)     159 159 
Sale (purchase) of subsidiary shares to/(from) noncontrolling interests   13 13 
Balances, June 30, 2024$— $2,249 $34,582 $(10,930)$(35,645)$1,802 $(7,942)


See notes to condensed consolidated financial statements.
12
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
 
Note 1. Background and Basis of Presentation:

Background

Philip Morris International Inc. is a holding company incorporated in Virginia, U.S.A. (also referred to herein as the U.S., the United States or the United States of America), whose subsidiaries and affiliates and their licensees are primarily engaged in the manufacture and sale of cigarettes and smoke-free products. Throughout these financial statements, the term "PMI" refers to Philip Morris International Inc. and its subsidiaries.

Smoke-Free Business ("SFB”) is the term PMI uses to refer to all of its smoke-free products. SFB also includes wellness and healthcare products, as well as consumer accessories, such as lighters and matches.

Smoke-free products (also referred to herein as "SFPs") is the term PMI uses to refer to all of its products that provide nicotine without combusting tobacco, such as heat-not-burn, e-vapor, and oral smokeless, and that therefore generate far lower levels of harmful chemicals. As such, these products have the potential to present less risk of harm versus continued smoking.

"Platform 1" is the term PMI uses to refer to PMI’s smoke-free products that use a precisely controlled heating device into which a specially designed and proprietary tobacco unit is inserted and heated to generate an aerosol.

Basis of Presentation

The interim condensed consolidated financial statements of PMI are unaudited. These interim condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP") and such principles are applied on a consistent basis. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with U.S.GAAP have been omitted. It is the opinion of PMI’s management that all adjustments necessary for a fair statement of the interim results presented have been reflected therein. All such adjustments were of a normal recurring nature. Net revenues and net earnings attributable to PMI for any interim period are not necessarily indicative of results that may be expected for the entire year.

Following the combination and the progress in 2023 toward the integration of the Swedish Match business into PMI's existing regional structure, PMI updated in January 2024 its segment reporting by including the former Swedish Match segment results into the four existing geographical segments. The four existing geographical segments are as follows: Europe Region; South and Southeast Asia, Commonwealth of Independent States, Middle East and Africa Region ("SSEA, CIS & MEA"); East Asia, Australia, and PMI Duty Free Region ("EA, AU & PMI DF"); and Americas Region. The Wellness and Healthcare ("W&H") segment remained unchanged.

Certain prior years' amounts have been reclassified to conform with the current year's presentation as a result of the new segment structure discussed above. See Note 4. Goodwill and Other Intangible Assets, net, Note 7. Segment Reporting and Note 15. Asset Impairment and Exit Costs for further details. These reclassifications did not impact PMI’s consolidated financial position, results of operations or cash flows in any of the periods presented.

These statements should be read in conjunction with the audited consolidated financial statements and related notes, which appear in PMI’s Annual Report on Form 10-K for the year ended December 31, 2023.

Note 2. Stock Plans:
In May 2022, PMI’s shareholders approved the Philip Morris International Inc. 2022 Performance Incentive Plan (the “2022 Plan”). Under the 2022 Plan, PMI may grant to eligible employees restricted shares and restricted share units, performance-based cash incentive awards and performance-based equity awards. Up to 25 million shares of PMI’s common stock may be issued under the 2022 Plan. At June 30, 2024, shares available for grant under the 2022 Plan were 19,161,366.

In May 2017, PMI’s shareholders approved the Philip Morris International Inc. 2017 Stock Compensation Plan for Non-Employee Directors (the “2017 Non-Employee Directors Plan”). A non-employee director is defined as a member of the PMI Board of Directors who is not a full-time employee of PMI or of any corporation in which PMI owns, directly or indirectly, stock possessing at least 50% of the total combined voting power of all classes of stock entitled to vote in the election of
13
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
directors in such corporation. Up to 1 million shares of PMI common stock may be awarded under the 2017 Non-Employee Directors Plan. At June 30, 2024, shares available for grant under the plan were 855,920.

Restricted share unit (RSU) awards

During the six months ended June 30, 2024 and 2023, shares granted to eligible employees and the weighted-average grant date fair value per share related to RSU awards were as follows:
Number of
Shares
Granted		Weighted-Average Grant Date Fair Value Per RSU Award Granted
20241,976,920 $ 89.05 
20231,752,050 $  101.98 

Compensation expense related to RSU awards was as follows:
Compensation Expense Related to RSU Awards
(in millions)For the Six Months Ended June 30,For the Three Months Ended June 30,
2024$ 84 $ 37 
2023$ 86 $ 36 
As of June 30, 2024, PMI had $228 million of total unrecognized compensation cost related to non-vested RSU awards. The cost is recognized over the original restriction period of the awards, which is typically three years after the date of the award, or upon death, disability or reaching the age of 58.

During the six months ended June 30, 2024, 1,741,966 RSU awards vested. The grant date fair value of all the vested awards was approximately $148 million. The total fair value of RSU awards that vested during the six months ended June 30, 2024 was approximately $159 million.

Performance share unit (PSU) awards

During the six months ended June 30, 2024 and 2023, PMI granted PSU awards to certain executives. The PSU awards require the achievement of certain performance metrics, which are predetermined at the time of grant, typically over a three-year performance cycle.

The performance metrics for such PSU's granted during the six months ended June 30, 2023 consisted of PMI's Total Shareholder Return ("TSR") relative to a predetermined peer group and on an absolute basis (40% weight), PMI’s currency-neutral compound annual adjusted diluted earnings per share growth rate (30% weight), and a Sustainability Index, which consists of two drivers:

•Product Sustainability (20% weight) measuring progress primarily on PMI's efforts to maximize the benefits of smoke-free products, purposefully phase out cigarettes, and reduce post-consumer waste; and

•Operational Sustainability (10% weight) measuring progress on PMI's efforts to tackle climate change, preserve nature, improve the quality of life of people in its supply chain, and foster an empowered, and inclusive workplace.

The performance metrics, targets and relative weights for the PSU’s granted during the six months ended June 30, 2024 were the same as the PSU’s granted during the six months ended June 30, 2023, with the exception of adjustments made to certain components of the Sustainability Index intended to address PMI's developing sustainability strategy and reporting.

The PSU performance metrics may be adjusted if appropriate to reflect the impact of unusual or infrequently occurring events, including, to the extent significant, corporate transactions, accounting or tax law changes, asset write-downs, litigation or claim adjustments, foreign exchange gains and losses, unbudgeted capital expenditures and other such events.
14
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)

The aggregate of the weighted performance factors for the three metrics in each such PSU award determines the percentage of PSUs that will vest at the end of the three-year performance cycle. The minimum percentage of such PSUs that can vest is zero, with a target percentage of 100 and a maximum percentage of 200. Each such vested PSU entitles the participant to one share of common stock. An aggregate weighted PSU performance factor of 100 will result in the targeted number of PSUs being vested. At the end of the performance cycle, participants are entitled to an amount equivalent to the accumulated dividends paid on common stock during the performance cycle for the number of shares earned.

During the six months ended June 30, 2024 and 2023, shares granted to eligible employees and the grant date fair value per share related to PSU awards were as follows:
Number of Shares GrantedWeighted-
Average PSU Grant Date 
Fair Value Subject to Other Performance Factors 		Weighted-
Average PSU Grant Date 
Fair Value Subject to TSR Performance Factors
(Per Share)(Per Share)
2024543,560 $ 89.01 $ 85.72 
2023482,360 $  102.02 $ 133.54 

The grant date fair value of the PSU awards subject to the other performance factors was determined by using the market price of PMI’s stock on the date of the grant. The grant date fair value of the PSU market-based awards subject to the TSR performance factor was determined by using the Monte Carlo simulation model. The following assumptions were used to determine the grant date fair value of the PSU awards subject to the TSR performance factor:
20242023
Average risk-free interest rate (a)
4.2 %4.1 %
Average expected volatility (b)
19.9 %24.3 %
(a) Based on the U.S. Treasury yield curve.
(b) Determined using the observed historical volatility.
Compensation Expense Related to PSU Awards
(in millions)For the Six Months Ended June 30,For the Three Months Ended June 30,
2024$ 49 $ 18 
2023$  45 $  18 

As of June 30, 2024, PMI had $55 million of total unrecognized compensation cost related to non-vested PSU awards. The cost is recognized over the performance cycle of the awards, or upon death, disability or reaching the age of 58.

During the six months ended June 30, 2024, 916,452 PSU awards vested. The grant date fair value of all the vested awards was approximately $86 million. The total fair value of PSU awards that vested during the six months ended June 30, 2024 was approximately $83 million.

Note 3. Benefit Plans:

Pension coverage for employees of PMI’s subsidiaries is provided, to the extent deemed appropriate, through separate plans, many of which are governed by local statutory requirements. In addition, PMI provides health care and other benefits to certain U.S. retired employees and certain non-U.S. retired employees. In general, health care benefits for non-U.S. retired employees are covered through local government plans.

15
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
Pension and other employee benefit costs per the condensed consolidated statements of earnings consisted of the following:
 For the Six Months Ended June 30,For the Three Months Ended June 30,
(in millions)2024202320242023
Net pension costs (income)$(39)$(37)$(20)$(25)
Net postemployment costs62 59 31 29 
Net postretirement costs6 6 3 2 
Total pension and other employee benefit costs$29 $28 $14 $6 

Pension Plans

Components of Net Periodic Benefit Cost

Net periodic pension cost consisted of the following:
 
Pension (1)
 For the Six Months Ended June 30,For the Three Months Ended June 30,
(in millions)2024202320242023
Service cost$109 $85 $54 $42 
Interest cost116 129 57 63 
Expected return on plan assets(200)(181)(99)(91)
Amortization:
Net loss46 16 23 4 
Prior service cost (credit)(1)(1)(1)(1)
Net periodic pension cost$70 $48 $34 $17 
(1) Primarily non-U.S. based defined benefit retirement plans.

Employer Contributions

PMI makes, and plans to make, contributions, to the extent that they are tax deductible and meet specific funding requirements of its funded pension plans. Employer contributions of $55 million were made to the pension plans during the six months ended June 30, 2024. Currently, PMI anticipates making additional contributions during the remainder of 2024 of approximately $66 million to its pension plans, based on current tax and benefit laws. However, this estimate is subject to change as a result of changes in tax and other benefit laws, as well as asset performance significantly above or below the assumed long-term rate of return on pension assets, or changes in interest and currency rates.

16
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)

Note 4. Goodwill and Other Intangible Assets, net:

2024 Annual impairment review of goodwill and non-amortizable intangible assets

During the second quarter of 2024, PMI completed its annual review of goodwill and non-amortizable intangible assets for potential impairment using a quantitative assessment for all of its reporting units and non-amortizable intangible assets. As a result of this review, no impairment charges were required. Each of PMI's reporting units had fair values substantially in excess of their carrying values with the exception of the Wellness & Healthcare reporting unit, which had less than 20% excess of fair value over its carrying value. PMI will continue to monitor this reporting unit as any changes in assumptions and estimates, unfavorable clinical trial results, failure to obtain regulatory approvals or other market factors could result in additional future goodwill and other intangible asset impairments. In addition, there are still risks related to PMI’s Russian reporting unit’s assets as the fair value of these assets is difficult to predict due to the current economic, political, regulatory and social conditions as well as the volatility in foreign currency and commodity markets. As of June 30, 2024, our Russian operations had approximately $2.8 billion in total assets, excluding intercompany balances, of which approximately $0.7 billion consisted of cash and cash equivalents held mostly in local currency (Russian rubles). Additionally, we hold a 23% equity interest in Megapolis Distribution B.V., the holding company of JSC TK Megapolis, PMI's distributor in Russia. For further details, see Note 8. Contingencies and Note 12. Related Parties – Equity Investments and Other.

Goodwill

The movements in goodwill were as follows:
(in millions)Europe
SSEA, CIS & MEA
EA, AU & PMI DF
AmericasWellness & HealthcareTotal
Balances at December 31, 2023$4,173 $2,877 $492 $8,847 $390 $16,779 
Changes due to:
Acquisitions— 510 — — — 510 
Currency(228)(159)(27)(49)(7)(470)
Balances, June 30, 2024$3,945 $3,228 $465 $8,798 $383 $16,819 

As discussed in Note 1. Background and Basis of Presentation, PMI updated in January 2024 its segment reporting by including the former Swedish Match segment results into its geographical segments. As a result, the December 31, 2023 goodwill balance in the table above included the reclassification of the former Swedish Match segment to the Europe and Americas segments.

The increase in goodwill was due to the preliminary purchase price allocation of PMI's acquisition in Egypt of United Tobacco Company in the second quarter of 2024, partially offset by currency movements. For further details on the acquisition in Egypt, see Note 18. Acquisitions.

At June 30, 2024, goodwill primarily reflects PMI’s acquisitions of Swedish Match AB, Fertin Pharma A/S and Vectura Group plc., as well as acquisitions in Egypt, Greece, Indonesia, Mexico, the Philippines and Serbia.
17
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)

Other Intangible Assets

Details of other intangible assets were as follows:
June 30, 2024December 31, 2023
(in millions)Weighted-Average Remaining Useful LifeGross Carrying AmountAccumulated AmortizationNetGross Carrying AmountAccumulated AmortizationNet
Non-amortizable intangible assets$4,541 $4,541 $4,543 $4,543 
Amortizable intangible assets:
Trademarks16 years2,179 $812 1,367 2,267 $784 1,483 
Reacquired commercialization rights for IQOS in the U.S.
5 years2,777 93 2,684 — — — 
Developed technology, including patents6 years750 349 401 774 329 445 
Customer relationships and other11 years3,757 579 3,178 3,843 450 3,393 
Total other intangible assets$14,004 $1,833 $12,171 $11,427 $1,563 $9,864 

Non-amortizable intangible assets substantially consist of the ZYN trademarks and other trademarks related to acquisitions in Indonesia and Mexico, as well as the tobacco manufacturing license associated with the preliminary purchase price allocation of PMI's acquisition in Egypt in the second quarter of 2024 (see Note 18. Acquisitions for further details). The decrease since December 31, 2023 was mainly due to currency movements of $181 million and a pre-tax impairment charge in the first quarter of 2024 of $27 million primarily for an in-process research and development project in the Wellness and Healthcare segment, partially offset by the recognition of the Egyptian tobacco manufacturing license. The pre-tax impairment charge of $27 million was recorded in marketing, administration and research costs on PMI's condensed consolidated statements of earnings during the six months ended June 30, 2024.

The increase in the gross carrying amount of amortizable intangible assets from December 31, 2023, was primarily due to the classification of the IQOS commercialization rights in the U.S. on the acquisition date (May 1, 2024) as Other intangible assets, net (see Note 18. Acquisitions), partially offset by currency movements of $203 million.

The change in the accumulated amortization from December 31, 2023, was mainly due to the 2024 amortization of $332 million, partially offset by currency movements of $62 million. The amortization of intangibles for the six months ended June 30, 2024 was recorded in cost of sales ($32 million) and in marketing, administration and research costs ($300 million) on PMI's condensed consolidated statements of earnings.
Amortization expense for each of the next five years is estimated to be approximately $1,031 million or less, assuming no additional transactions occur that require the amortization of intangible assets. This amount includes amortization of IQOS commercialization rights in the U.S. (see Note 18, Acquisitions).

18
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
2023 Annual impairment review of goodwill and non-amortizable intangible assets

During the second quarter of 2023, as a result of the completion of PMI's annual review of goodwill and non-amortizable intangible assets for potential impairment, it was determined that the estimated fair value of the Wellness and Healthcare reporting unit was lower than its carrying value. Consequently, PMI recorded a goodwill impairment charge of $665 million in the consolidated statements of earnings for the six months and three months ended June 30, 2023, reflecting the impact of reduced estimated future cash flows, which were primarily attributable to unfavorable clinical trial results that became available in June 2023 for an inhalable aspirin product being developed by the Wellness and Healthcare business. Additionally, as a result of the impairment test of non-amortizable intangible assets, PMI recorded a pre-tax impairment charge of $15 million for an in-process research and development project related to one of PMI's 2021 acquisitions. This pre-tax impairment charge of $15 million was recorded within marketing, administration and research costs in the consolidated statements of earnings for the six months and three months ended June 30, 2023.


Note 5. Financial Instruments:

Overview

PMI operates globally with manufacturing and sales facilities in various locations around the world and is exposed to risks such as changes in foreign currency exchange rates and interest rates. As a result, PMI uses deliverable and non-deliverable forward foreign exchange contracts, foreign currency swaps and foreign currency options, (collectively referred to as "foreign exchange contracts"), and interest rate contracts to mitigate its exposure to changes in foreign currency exchange and interest rates related to net investments in foreign operations, third-party and intercompany actual and forecasted transactions. The primary currencies to which PMI is exposed include the Euro, Egyptian pound, Indonesian rupiah, Japanese yen, Mexican peso, Philippine peso, Russian ruble and Swiss franc.

Additionally, certain materials that PMI uses in the manufacturing of its products are exposed to market price risks. PMI uses commodity derivative contracts (“commodity contracts") to manage its exposure to the market price volatility of certain commodity components of these materials.

These foreign exchange contracts, interest rate contracts and commodity contracts are collectively referred to as "derivative contracts". PMI is not a party to leveraged derivatives and, by policy, does not use derivative financial instruments for speculative purposes. Substantially all of PMI's derivative financial instruments are subject to master netting arrangements, whereby the right to offset occurs in the event of default by a participating party. While these contracts contain the enforceable right to offset through close-out netting rights, PMI elects to present them on a gross basis in the condensed consolidated balance sheets. Collateral associated with these arrangements is in the form of cash and is unrestricted. Changes in collateral posted are included in cash flows from investing activities and changes in collateral received are included in cash flows from financing activities. Financial instruments qualifying for hedge accounting must maintain a specified level of effectiveness between the hedging instrument and the item being hedged, both at inception and throughout the hedged period. PMI formally documents the nature and relationships between the hedging instruments and hedged items, as well as its risk-management objectives, strategies for undertaking the various hedge transactions and method of assessing hedge effectiveness. Additionally, for hedges of forecasted transactions, the significant characteristics and expected terms of the forecasted transaction must be specifically identified, and it must be probable that each forecasted transaction will occur. If it were deemed probable that the forecasted transaction would not occur, the gain or loss would be recognized in earnings.

19
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
The gross notional amounts for outstanding derivatives at the end of each period were as follows:
(in millions)At June 30, 2024At December 31, 2023
Derivative contracts designated as hedging instruments:
Foreign exchange contracts$22,826 $21,987 
Interest rate contracts1,000 3,600 
Commodity contracts13 20 
Derivative contracts not designated as hedging instruments:
Foreign exchange contracts17,540 17,658 
Total$41,379 $43,265 

20
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
The fair value of PMI’s derivative contracts included in the condensed consolidated balance sheets as of June 30, 2024 and December 31, 2023, were as follows:
 Derivative AssetsDerivative Liabilities
 Fair ValueFair Value
AtAtAtAt
(in millions)Balance Sheet ClassificationJune 30, 2024December 31, 2023Balance Sheet ClassificationJune 30, 2024December 31, 2023
Derivative contracts designated as hedging instruments:
Foreign exchange contractsOther current assets$590 $345 Other accrued liabilities$50 $249 
Other assets292 153 Income taxes and other liabilities167 449 
Interest rate contractsOther current assets— 1 Other accrued liabilities41 78 
Other assets— — Income taxes and other liabilities16 18 
Commodity contractsOther current assets— — Other accrued liabilities3 5 
Other assets— — Income taxes and other liabilities— 1 
Derivative contracts not designated as hedging instruments:
Foreign exchange contracts
Other current assets 
144 85 Other accrued liabilities61 425 
Other assets2 — Income taxes and other liabilities99 143 
Total gross amount derivatives contracts presented in the condensed consolidated balance sheets $1,028 $584  $437 $1,368 
Gross amounts not offset in the condensed consolidated balance sheets
Financial instruments(352)(374)(352)(374)
Cash collateral received/pledged(483)(109)(48)(551)
Net amount$193 $101 $37 $443 

PMI assesses the fair value of its derivative contracts using standard valuation models that use, as their basis, readily observable market inputs. The fair value of PMI’s foreign exchange forward contracts, foreign currency swaps and interest rate contracts is determined by using the prevailing foreign exchange spot rates and interest rate differentials, and the respective maturity dates of the instruments. The fair value of PMI’s currency options is determined by using a Black-Scholes methodology based on foreign exchange spot rates and interest rate differentials, currency volatilities and maturity dates. The fair value of PMI’s commodity contracts is determined by using the prevailing market spot and futures prices and the respective maturity dates of the instruments. PMI’s derivative contracts have been classified within Level 2 at June 30, 2024 and December 31, 2023.

21
Table of Contents
Philip Morris International Inc. and Subsidiaries
Notes to Condensed Consolidated Financial Statements
(Unaudited)
For the six months ended June 30, 2024 and 2023, PMI's derivative contracts impacted the condensed consolidated statements of earnings and comprehensive earnings as follows:
(pre-tax, in millions)For the Six Months Ended June 30,
Amount of Gain/(Loss) Recognized in Other Comprehensive Earnings/(Losses) on DerivativesStatement of Earnings
Classification of Gain/(Loss)
on Derivatives		Amount of Gain/(Loss) Reclassified from Other Comprehensive Earnings/(Losses) into EarningsAmount of Gain/(Loss) Recognized in Earnings
202420232024202320242023
Derivative contracts designated as hedging instruments:
Cash flow hedges:
Foreign exchange contracts$288 $223 Net revenues$90 $39 
Cost of sales— — 
Marketing, administration and research costs7 71 
Interest expense, net(5)(6)
Interest rate contracts