NEW YORK--(BUSINESS WIRE)--Dec. 20, 2013--
      Regulatory News:
    
      Philip Morris International Inc. (“PMI”) (NYSE / Euronext Paris:PM)
      announces today its establishment of a strategic framework with Altria
      Group, Inc. (“Altria”) to commercialize reduced-risk products and
      e-cigarettes. Under the terms of a set of licensing, supply and
      cooperation agreements, Altria will make available its e-cigarette
      products exclusively to PMI for commercialization outside the United
      States and PMI will make available two of its candidate reduced-risk
      tobacco products exclusively to Altria for commercialization in the
      United States. In the United States it is envisaged that PMI’s products
      would be regulated as Modified Risk Tobacco Products and any
      commercialization would be subject to U.S. Food and Drug Administration
      (“FDA”) authorization.
    
      The agreements also provide for cooperation on the scientific assessment
      and regulatory engagement and authorization related to these products
      with the FDA, and for a similar framework for e-cigarettes with the
      relevant regulatory authorities in international markets. In addition,
      the agreements provide for the sharing of improvements to the existing
      generation of products.
    
      “PMI firmly believes that reduced-risk tobacco products, as well as
      e-cigarettes, represent an important step toward achieving the public
      health goal of harm reduction, a potential paradigm shift for the
      industry and a significant growth opportunity for the company. Further
      to our plans for international test market introduction of our candidate
      reduced-risk products as of the second-half of 2014, this agreement
      establishes a roadmap for commercialization in the U.S., subject to FDA
      authorization. At the same time, it provides us with a platform to
      accelerate our entry into international e-cigarette markets while we
      continue to develop future versions,” said André Calantzopoulos, PMI’s
      Chief Executive Officer.
    
      Philip Morris International Inc.
    
      Philip Morris International Inc. (PMI) is the leading international
      tobacco company, with seven of the world’s top 15 international brands,
      including Marlboro, the number one cigarette brand worldwide.
      PMI’s products are sold in more than 180 markets. In 2012, the company
      held an estimated 16.3% share of the total international cigarette
      market outside of the U.S., or 28.8% excluding the People’s Republic of
      China and the U.S. For more information, see www.pmi.com.
    
    

Source: Philip Morris International Inc.
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