THIS IS PMI.

TABLE OF CONTENTS
ABOUT PMI 3

PMI’S STATEMENT OF PURPOSE 4

2022 STRATEGIC MILESTONES 5

OUR 2025 ASPIRATIONS 6

OUR PROGRESS 7

OUR SCIENCE 8

OUR GLOBAL FOOTPRINT 9

RESPONSIBLE COMMERCIALIZATION 10

INNOVATING FOR BETTER 11

VECTURA FERTIN PHARMA 12

SUSTAINABILITY 13

DIVERSITY & INCLUSION 15

2
DELIVERING A
SMOKE-FREE FUTURE
Philip Morris International (PMI) is a leading international tobacco company
working to deliver a smoke-free future and evolving its portfolio for the long
term to include products outside of the tobacco and nicotine sector. ​

To date, we are the only company within the traditional international tobacco
industry to have committed to phasing out cigarettes, encouraging adult
smokers who would otherwise continue to smoke to switch completely to
scientifically substantiated, better alternatives.

3
PMI’S STATEMENT
OF PURPOSE
"To deliver a smoke-free future by focusing its resources on developing,
scientifically substantiating and responsibly commercializing smoke-
free products that are better alternatives than smoking, with the aim of
completely replacing cigarettes as soon as possible."​

"PMI believes that with the right regulatory encouragement and support
from civil society, cigarette sales can end within 10 to 15 years in many
countries." ​

" […] the Company has expanded its social, human, intellectual, and
manufactured capital in ways that allow it to go a step further, moving from a
value proposition centered on doing less harm toward one where it can seek
to have a net positive impact on society."

Excerpts from PMI's Statement of Purpose

Source: PMI's Integrated Report 2021

4
2022 STRATEGIC
MILESTONES
In 2022, PMI achieved two critical strategic milestones that will accelerate our
smoke-free journey and further position us to lead the transformation of the
wider industry:

• In October, PMI announced an agreement with Altria to end our commercial

relationship that covers IQOS in the U.S., as of April 30, 2024. This develop-
ment will allow PMI full rights to commercialize IQOS in the U.S.,—the world’s
largest smoke-free market.

• In November, PMI acquired Swedish Match—a leader in oral nicotine delive-

ry—creating a global smoke-free champion led by the companies’ IQOS and
ZYN brands.

5
OUR 2025 ASPIRATIONS
PMI remains committed to accelerating the end of smoking and laying the
foundations of a strong business in areas of wellness and healthcare as we
strive to develop commercially successful products that have a net positive
impact on society.

Our 2025 Roadmap consists of ambitious forward-looking goals that relate to

all the areas where we believe we can have the most significant impact.

>50%
Adjusted net revenues
≥30%
Of shipment volumes consisting
from smoke-free products of smoke-free products

100
Markets where PMI smoke-free products
>40M
Estimated number of users who have
switched to PMI smoke-free products
are available for sale, of which at least half and stopped smoking
in low- and middle-income countries

≥1B
Net revenues from wellness
~40%
Reduction in combustible product
shipment volume v 2015
and healthcare products (in USD)

Source: PMI Integrated Report 2022

6
OUR PROGRESS
Progress requires clearly articulated targets and accountability for meeting them.

Our Roadmap offers straightforward direction to our stakeholders by clearly

outlining the social and environmental impacts we aim to achieve with these
strategies, in relation to both our products and our business operations.
2022 2025 Aspirations
Adjusted net revenues from
smoke-free products*
~35% >50%
78 100
Markets where PMI smoke-free
products are available for sale,
of which at least half in low- and
middle-income countries*

Of shipment volumes consisting of

smoke-free products
15.1% ≥30%
>18.5M >40M
Estimated number of users who
have switched to PMI smoke-free
products and stopped smoking*

Net revenues from wellness and

healthcare products (in USD)
300M ≥1B
Reduction in combustible product
shipment volume v 2015
26.8% ~40%
Source: PMI Integrated Report 2022—see source materials for definitions/glossary and explanatory notes.
* As of March 31, 2023

7
A COMPANY POWERED
BY SCIENCE
Since 2008, PMI has invested more than USD 10.5 billion to develop, scientifi-
cally substantiate and commercialize innovative smoke-free products for adults
who would otherwise continue to smoke, with the goal of completely ending the
sale of cigarettes. This includes the building of world-class scientific assessment
capabilities, notably in the areas of pre-clinical systems toxicology, clinical and
behavioral research, as well as post-market studies.

1,516
Scientists, engineers, technicians,
>10.5B
Invested since 2008 (in USD)
and support staff working on our

99%
smoke-free products

511
Scientific publications
Adjusted R&D expenditure
ratio (smoke-free/total)

by PMI since 2008

2,500
Patents granted in IP5 jurisdictions
relating to smoke-free products
(cumulative, since 2015)

Source: PMI Integrated Report 2022 & Full-Year 2022 Earnings

8
OUR GLOBAL FOOTPRINT
PMI is one of the world’s leading tobacco companies with a diverse workforce
hailing from virtually every part of the globe. Its current product portfolio
primarily consists of cigarettes and smoke-free products, including heat-not-
burn, vapor and oral nicotine products.

79,800
Employees* worldwide, representing
133 nationalities
~180
Markets where our products are sold

53
PMI-owned manufacturing facilities,
253,813
Contracted farmers supplying tobacco
to PMI, located in 21 countries
of which 24 are partially or fully dedicated

25.8M
to the production of smoke-free products

78
Markets where our smoke-free
products are available for sale**
Adults around the world use PMI’s leading
smoke-free brand, of which approximately
72% (18.5M) have already switched to the
product and stopped smoking**

Source: PMI Integrated Report 2022 & Q1 2023 Earnings—see source materials for definitions/glossary and
explanatory notes.
* At year-end 2022, including Swedish Match and Vectura Fertin Pharma
** As of March 31, 2023

9
PMI supports regulations and commercialization that
discourage people from starting to smoke, encourage quitting
if they do smoke, and offer access to better alternatives if they
otherwise would not quit.

RESPONSIBLE
COMMERCIALIZATION
Globally, the commercialization of tobacco products is subject to extensive
rules and regulations—and rightly so. We support commonsense regulation
that dissuades people from starting to smoke and encourages cessation. And we
are clear that our smoke-free products are intended exclusively for adults who
would otherwise continue to smoke; never for youth or nonsmokers.

The PMI Marketing Code sets out clear global standards for our marketing and
sales practices across our product lines, including combustibles. We also have
instituted Good Conversion Practices, which govern the marketing and sale of
our smoke-free products.

Everyone involved in PMI’s commercialization activities—both employees and

third parties acting on our behalf—must strictly follow both protocols without
exception. We take great care to monitor and minimize the risk of use of our
products by groups for whom they are not intended.

10
INNOVATING FOR BETTER
At the core of PMI’s harm reduction strategy is the elimination of combustion.
The vast majority of harmful compounds found in cigarette smoke and
associated with smoking-related diseases are generated by combustion.
Products that eliminate combustion, such as e-cigarettes and heated tobacco
products, whilst not risk-free and providing nicotine which is addictive, are a
much better alternative to continued smoking.

The scientific evaluation of our smoke-free alternatives is based on rigorous

pre-clinical and clinical assessments and sophisticated systems toxicology. The
results are publicly available, are peer-reviewed and have been submitted to
numerous regulatory authorities.

And we are going further than being smoke-free—expanding into adjacent

business areas in healthcare and wellness with products and services that
have nothing to do with tobacco or nicotine.

11
Our vision for the wellness and healthcare business is
to develop best-in-class consumer health and inhaled
prescription products that will improve people’s lives
and address some of today’s significant unmet needs.

VECTURA FERTIN PHARMA

PMI is now actively working to expand its purpose and extend its value
proposition and innovative capability to commercialize products that go beyond
tobacco and nicotine. ​

PMI announced in February 2021 its ambition to expand into wellness and
healthcare areas and, through its Vectura Fertin Pharma business, aims to
enhance life through the delivery of seamless health experiences.​

This is built on two key growth areas: (1) wellness products, where PMI is
developing and looking to commercialize scientifically substantiated consumer
health products and solutions with the aim to improve people’s lives, and
(2) healthcare products, where it has already committed resources to its
development pipeline of over-the-counter and prescription products.​

This is part of a larger transformation that puts science, technology, and

sustainability at the heart of PMI’s future by building on the company’s
expertise and investment in aerosol chemistry and physics, device technology,
clinical research, and best-in-class preclinical safety and inhalation models.

12
Our sustainability strategy
is our corporate strategy.

OUR SUSTAINABILITY.
CHAMPIONING BETTER
Environmental, social, and corporate governance (ESG) practices are at the
core of PMI’s transformation, and we strive to continuously improve our
performance in these areas as we accelerate our progress toward delivering a
smoke-free future.

To ensure continued improvement, we publicly share our progress toward our

ambitious ESG targets—as reported in our annual Integrated Report and on
our website—delivering value not only for our shareholders, employees, and
consumers but for society and the planet.

13
STRATEGIC FRAMEWORK
PMI sees sustainability as a fundamental opportunity for innovation, growth, and
purpose-led, impact-driven, long-term value creation. Accordingly, PMI works
hard to integrate sustainability into every aspect of its business and activities.

PMI's strategy crystallizes the notion of two distinct forms of social and
environmental impacts—those generated by its products (what it produces) and
those generated by its business operations (how it produces).

This approach allows PMI to appropriately highlight that, consistent with its
sustainability materiality analysis results, addressing the social impacts generated
by its products is the core of its strategy.

Source: Excerpt from PMI's Integrated Report 2022

14
CREATING AN INCLUSIVE
WORKPLACE
We consider diversity, equity, and inclusion essential to creating an environment
in which our employees across the globe can contribute their best and drive the
innovation and consumer-centricity needed to achieve our vision of a smoke-
free future.

We are committed to ensuring that our more than 79,800 employees

worldwide have the opportunity to achieve their full potential, regardless
of their gender or gender identity, age, race, nationality, ethnicity, sexual
orientation, religion, disability, or any other characteristic, visible or invisible,
that makes them themselves.

Achieving gender balance and leveraging the full talents of both women and
men at all levels of the company is a top priority. Currently, women make up
42 percent of our workforce, reaching in May 2022 our company-wide target
of ensuring 40% female representation in managerial roles. In recognition
of our commitment to support gender equality through policy development,
representation, and transparency, in 2023 we were listed in the Bloomberg
Gender-Equality Index (GEI) for the third year in a row.

A fair and inclusive workplace also means equal salary for equal work. We
have reinforced our commitment to closing our gender gap by undergoing an
independent equal pay certification developed by the independent EQUAL-
SALARY Foundation. We are proud to be the first multinational company
to have received global EQUAL-SALARY certification in 2019, which was
recertified in 2022.

15
THANK YOU.

pmi.com
pmiscience.com