LAUSANNE, Switzerland--(BUSINESS WIRE)--May 15, 2018--
Philip Morris International Inc. (“PMI”) (NYSE: PM) today published its
third Sustainability Report (2017), outlining the concrete steps being
taken to fundamentally transform its business by putting smoke-free
products at the core of PMI’s sustainability efforts to address wider
societal challenges, drive operational excellence, manage its social
impact and reduce its environmental footprint. PMI’s commitment and
ambition is to replace cigarettes as soon as possible with better
alternatives to smoking for the millions of men and women who would
otherwise continue to smoke.
In its report, PMI provides a more comprehensive picture of its
sustainability activities. With the aim of achieving greater
transparency and facilitating the assessment of its progress, PMI has
included a fuller set of metrics and data trends. In addition, the
company has provided more contextual information on its business and how
sustainability is managed, taking into account feedback received on its
2016 report.
Last year, PMI introduced a set of Business Transformation Metrics to
track progress against its goal of a smoke-free future. Key 2017
milestones included:
-
PMI’s resource allocation continues to shift to smoke-free products,
which accounted for 74 percent of global R&D expenditure and 39
percent of global commercial spend.
-
Smoke-free products1 represented approximately 4.4 percent
of PMI’s shipment volume and around 13 percent of net revenues,
excluding excise taxes.
-
PMI estimates that, by the end of 2017, over 4.7 million adult smokers
had stopped smoking cigarettes and made the change to IQOS2
(PMI’s main smoke-free product), while approximately 10,000 more
consumers are switching every day.
The report also provides an overview of PMI’s wider sustainability
efforts to create long-term value, from how it is addressing social and
environmental impacts to managing the impact of transformation on PMI’s
value chain and excelling in how it operates. Key progress in 2017
included:
-
More than one-third, 34.4 percent, of the management positions at PMI
held by women, showing progress against the company’s goal of reaching
40 percent by 2022.
-
PMI’s rollout of Responsible
Sourcing Principles to help identify and manage labor issues in
its non-agricultural supply chain.
-
Environmental milestones include being recognized for the fourth
consecutive year on CDP’s
Climate A-List, and for the first time its water programs achieved the
CDP Water A-list ranking.3
As for operational excellence, PMI remains focused on securing the
integrity of its supply chain through its efforts to tackle illicit
trade in tobacco products, while also pushing transparency further by
publishing its approach to corporate tax and data privacy, as well as an
overview of its Marketing Principles and Principles for Engagement with
third parties.
The progress PMI has made is an indication of its sustainability
ambitions. PMI is on course with its business transformation, delivering
on its CO₂ reduction targets, improving in the area of inclusion and
diversity to meet key goals and strengthening the governance of its
sustainability management.
The report also highlights how, going forward, reducing the
environmental footprint of the smoke-free products’ manufacturing
process, promoting crop diversification among tobacco farmers and
equipping PMI employees to successfully transform the company are
essential.
The report in full is available here
on www.PMI.com.
Feedback on the report can be provided by emailing the company at sustainablity@pmi.com.
Philip Morris International: Who We Are
We are a leading international tobacco company engaged in the
manufacture and sale of cigarettes and other nicotine-containing
products in markets outside the United States of America. We’re building
our future on smoke-free products that are a much better consumer choice
than continuing to smoke cigarettes. Through multidisciplinary
capabilities in product development, state-of-the-art facilities and
scientific substantiation, we aim to ensure that our smoke-free products
meet adult consumer preferences and rigorous regulatory requirements.
Our vision is that these products ultimately replace cigarettes to the
benefit of adult smokers, society, our company and our shareholders. For
more information, see www.pmi.com and www.pmiscience.com.
1 Includes heated tobacco products and e-cigarettes.
2 Status at the end of December 2017, reflecting new PMI
methodology. For markets where IQOS is the only heated tobacco
product, daily individual consumption of PMI heated tobacco units
represents the totality of their daily tobacco consumption. For markets
where IQOS is one among other heated tobacco products, daily
individual consumption of heated tobacco units represents the totality
of their daily tobacco consumption, of which at least 70 percent are PMI
heated tobacco units.
3 CDP, formerly known as The Carbon Disclosure Project, is
the leading international nonprofit organization assessing the work of
companies worldwide in the area of climate change and water.

View source version on businesswire.com: https://www.businesswire.com/news/home/20180515005727/en/
Source: Philip Morris International
Philip Morris International
Media enquiries
Lisa McCooey
T:
+41 (0)58 242 4500
E: media@pmi.com