PMI Files 8-K on Material Definitive Agreement, Debt Notes

TL;DR

**PMI just filed an 8-K about new debt agreements, watch for impact on interest costs.**

AI Summary

Philip Morris International Inc. filed an 8-K on February 2, 2024, reporting an "Entry into a Material Definitive Agreement" and "Regulation FD Disclosure" related to various debt notes. The filing lists numerous notes with varying interest rates, such as 2.875% notes due in 2024 and 4.875% notes due in 2043, all dated February 1, 2024. This matters to investors because it indicates ongoing financial activities, potentially refinancing or issuing new debt, which can impact the company's interest expenses and overall financial health.

Why It Matters

This filing signals Philip Morris International's active management of its debt portfolio, which directly affects its cost of capital and future profitability. Investors should monitor these agreements as they can influence the company's financial flexibility and dividend sustainability.

Risk Assessment

Risk Level: low — This filing is primarily informational regarding existing or new debt instruments, not indicating an immediate or significant change in risk.

Analyst Insight

Investors should review Philip Morris International's upcoming earnings reports for details on how these debt agreements impact interest expenses and overall financial performance. This filing is a routine disclosure of debt management.

Key Numbers

• 2.875% — Interest rate (for notes due 2024, indicating borrowing costs)
• 0.625% — Interest rate (for notes due 2024, indicating borrowing costs)
• 4.875% — Interest rate (for notes due 2043, indicating long-term borrowing costs)
• 2024 — Maturity year (for several short-term notes, indicating upcoming debt obligations)
• 2044 — Maturity year (for long-term notes, indicating long-term debt obligations)

Key Players & Entities

• Philip Morris International Inc. (company) — the registrant filing the 8-K
• 2.875% (dollar_amount) — interest rate on notes due 2024
• 0.625% (dollar_amount) — interest rate on notes due 2024
• 4.875% (dollar_amount) — interest rate on notes due 2043
• February 1, 2024 (date) — date of earliest event reported
• February 2, 2024 (date) — filing date of the 8-K

Forward-Looking Statements

• Philip Morris International will continue to actively manage its debt portfolio, potentially refinancing or issuing new notes to optimize its capital structure. (Philip Morris International Inc.) — medium confidence, target: 2025

FAQ

Filing Documents

• pm-20240201.htm (8-K) — 81KB
• settlement_release.htm (EX-99.1) — 17KB
• image_0a.jpg (GRAPHIC) — 327KB
• 0001413329-24-000007.txt ( ) — 861KB
• pm-20240201.xsd (EX-101.SCH) — 8KB
• pm-20240201_def.xml (EX-101.DEF) — 26KB
• pm-20240201_lab.xml (EX-101.LAB) — 61KB
• pm-20240201_pre.xml (EX-101.PRE) — 28KB
• pm-20240201_htm.xml (XML) — 21KB

01

Item 1.01. Entry into a Material Definitive Agreement. On February 1, 2024, Philip Morris Products S.A., a company duly organized and existing under the laws of Switzerland ("PMPSA") and an indirect, wholly-owned subsidiary of Philip Morris International Inc., a corporation duly organized and existing in accordance with the laws of the Commonwealth of Virginia ("PMI"), entered into a settlement agreement (the "Settlement Agreement") with Nicoventures Trading Limited, a company registered in England and Wales ("NVT") and an indirect, wholly-owned subsidiary of British American Tobacco p.l.c., a company registered in England and Wales ("BAT Parent"). PMPSA and NVT, and their respective affiliates, as applicable, are also hereinafter together referred to as the "Parties" and, each, a "Party." Under the Settlement Agreement, effective as of February 1, 2024, for an eight-year term, the Parties have agreed, among other things, to: (i) dismiss with prejudice, subject to certain limited exceptions, and without admission of liability certain pending legal proceedings (the "Proceedings") between them and concerning certain of their respective products; (ii) request rescission of the Limited Exclusion Order and Cease and Desist Order issued by the International Trade Commission on September 29, 2021, prohibiting the importation of certain HNB Products (defined below) by PMI and its affiliates into the United States of America; and (iii) fully and finally discharge without admission of liability any injunctions granted to the Parties in the Proceedings. "Products" means, collectively, nicotine and non-nicotine heat-not-burn consumables and devices ("HNB Products"); nicotine e-vapor products and devices ("eVapor Products"); and certain variants of HNB Products or eVapor Products; but excludes, products and devices that are medicinal, medical devices, only available by prescription, or marketed, distributed and sold to diagnose, prevent or treat medical conditions, to imp

01

Item 7.01. Regulation FD Disclosure. On February 2, 2024, PMI issued a press release announcing the Settlement Agreement with BAT. The press release is attached as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference to this Item 7.01. In accordance with General Instruction B.2 of Form 8-K, the information in Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. The information in Item 7.01 of this Current Report on Form 8-K shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of 1933, as amended, except as may be expressly set forth by specific reference in such filing or document.

Financial Statements and Exhibits

Financial Statements and Exhibits. (d) Exhibits. 99.1 Philip Morris International Inc. Press Release, dated February 2, 2024 (furnished pursuant to Item 7.01) . 104 Cover Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document and contained in Exhibit 101).

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PHILIP MORRIS INTERNATIONAL INC. By: /s/ DARLENE QUASHIE HENRY Name: Darlene Quashie Henry Title: Vice President, Associate General Counsel & Corporate Secretary Date: February 2, 2024

View Full Filing

View this 8-K filing on SEC EDGAR