SASB content index 2022

SASB content index 2022
This summary cross-references our reporting to the material issues identified by the Sustainability Accountability Standards Board (SASB). It refers to four of the 77 Industry Standards
developed by SASB. It seeks to align with the standards developed for Food & Beverage for the industries of Tobacco and Agricultural Products. In addition, as a result of our business
transformation, it also cross-references our reporting to most aspects of the standards defined for Technology & Communications, more concretely the Hardware Standard, and it also
describes alignment with some aspects of the standards developed for the Health Care industry, specifically the Medical Equipment and Supplies Standard.1
This summary should be read in conjunction with the Philip Morris International Inc. (PMI) Form 10-K for the year ended December 31, 2022, PMI Integrated Report 2022, and additionalsustainability-related communications available on www.pmi.com/sustainability.2

Tobacco Standard (2018)
CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

PMI 2022 Form 10-K(pg. 26)

We currently present total revenues, including and excluding excise taxes. We alsopresent revenues (net of excise taxes) by product category as follows:•Combustible products3•Smoke-free products4
We currently do not present non-tobacco nicotine products and heated tobacco
products revenues on a disaggregated basis.

PMI 2022 Form 10-K
(pgs. 8-9, 44-51)
Integrated Report
2022 (pgs. 53-55)

PUBLIC HEALTHFB-TB-260a.1(1) Gross revenue and (2) revenue net of excise
taxes from (a) non-tobacco nicotine products and(b) heated tobacco products

Innovation inwellness andhealthcare;
Product healthimpactFB-TB-260a.2

Discussion on the process to assess risks andopportunities associated with “tobacco harmreduction” products

Product healthimpact1

The Tobacco Standard is intended for companies that “Manufacture tobacco products including cigarettes, cigars, and smokeless tobacco products.” The Agricultural Products Standard is intended for companies “engaged inprocessing, trading, and distributing vegetables and fruits, and producing and milling agricultural commodities such as grains, sugar, consumable oils, maize, soybeans, and animal feed.” The Hardware Standard is intended forcompanies that “design and sell technology hardware products, including computers, consumer electronics, communications equipment, storage devices, components, and peripherals.” The Medical Equipment and Supplies Standard
is intended for companies that “research, develop, and produce medical, surgical, dental, ophthalmic, and veterinary instruments and devices”
2
The content of PMI Integrated Report 2022 is shaped by a formal sustainability materiality assessment, refreshed in 2021. PMI Integrated Report 2022 provides information on context, relevance, management approach, targets,and performance for each priority ESG topic. Additional details and case studies are available on www.pmi.com/sustainability.
3Net revenues related to combustible tobacco products refer to the operating revenues generated from the sale of these products, including shipping and handling charges billed to customers, net of sales and promotion incentives,and excise taxes. These net revenue amounts consist of the sale of PMI's cigarettes and other tobacco products that are combusted. Other tobacco products primarily include roll-your-own and make-your-own cigarettes, pipe
tobacco, cigars and cigarillos and do not include smoke-free products.
4Net revenues related to smoke-free products refer to the operating revenues generated from the sale of these products, including shipping and handling charges billed to customers, net of sales and promotion incentives, and excisetaxes, if applicable. These net revenue amounts consist of the sale of all of PMI's products that are not combustible tobacco products, such as heat-not-burn, e-vapor, and oral nicotine, also including wellness and healthcare products,
as well as consumer accessories such as lighters and matches, Following the Swedish Match acquisition and a review of PMI and Swedish Match’s combined product portfolio, PMI reclassified certain of its own products previously
reported under its combustible tobacco product category to the newly created smoke-free product category to better reflect the characteristics of these products.

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SASB content index 2022

CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

We publicly disclose material legal proceedings in PMI’s periodic filings before theU.S. Securities and Exchange Commission, including forms 10-K and 10-Q, as
mandated by U.S. Securities Laws and related regulations. The contingencies notein these disclosures do not, however, disclose “monetary losses as a result of legal
proceedings” in direct alignment with this standard.
We report on the number of violations of the PMI Marketing Codes resulting insubstantiated cases of misconduct in PMI Integrated Report 2022 (pg. 64).

MARKETING PRACTICESFB-TB-270a.1

Total amount of monetary losses as a result of legal Sales, marketing,proceedings associated with marketing, labeling,and consumer
and/or advertising practicescommunications

PMI 2022 Form 10-K
(pgs. 117-130]

FB-TB-270a.2

Description of the company’s marketing policy and Sales, marketing,relevant positions on Articles 11 and 13 of theand consumer
World Health Organization Frameworkcommunications
Convention on Tobacco Control (WHO FCTC)PMI 2022 Form 10-K
(pgs. 40-51)
Integrated Report
2022 (pgs. 17, 53,63-68)

3Topics & Accounting Metrics

Reference in publishedmaterials

FB-TB-000.A

Combustible tobacco product sales volume: (1)cigarette, (2) cigar, and (3) other smoked tobaccoproducts

PMI 2022 Form 10-K
(pg. 34)

FB-TB-000.B

Non-combustible product sales volume: (1)traditional smokeless tobacco, (2) non-tobacco
PMI 2022 Form 10-K
nicotine products, (3) heated tobacco products, and (pg. 34)(4) nicotine replacement therapy products

Code

Additional comments

ACTIVITY METRICS
We currently present PMI shipment volumes on a total basis and also separated as follows:•Cigarettes•
Heated tobacco units5
We currently do not present product sales volume on a disaggregated basis with the level of detail set outin the standard

53"Heated tobacco units," or "HTUs," is the term PMI uses to refer to heated tobacco consumables, which include the company’s BLENDS, HEETS, HEETS Creations, HEETS Dimensions, HEETS Marlboro and HEETS FROMMARLBORO (defined collectively as HEETS), Marlboro Dimensions, Marlboro HeatSticks, Parliament HeatSticks, SENTIA and TEREA, as well as the KT&G-licensed brands, Fiit and Miix (outside of South Korea)

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SASB content index 2022

Agricultural Product Standard (2018)74
CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional commentsGREENHOUSE GAS EMISSIONS
Gross global Scope 1 emissions

FB-AG-110a.2

Discussion of long-term and short-term strategy orplan to manage Scope 1 emissions, emissions
Climatereduction targets, and an analysis of performanceagainst those targets

Integrated Report
2022 (pgs. 134-143)
PMI’s Low-Carbon
Transition Plan

FB-AG-110a.3

Fleet fuel consumed, percentage renewable

Integrated Report
2022 (pg. 197)

CodeTopics & Accounting Metrics

ClimateIntegrated Report
2022 (pg. 197)

FB-AG-110a.1

ClimateRelevant PMI
sustainability topics

Reference in publishedmaterials

We report on CO2e emissions in our fleet and on fuel consumption from renewable
and nonrenewable sources in PMI factories, offices, and fleet. We do not report
separately on fuel consumption in our fleet.

Additional comments

ENERGY MANAGEMENTFB-AG-130a.1(1) Operational energy consumed, (2) percentage
grid electricity, (3) percentage renewable

CodeTopics & Accounting Metrics

ClimateRelevant PMI
sustainability topics

Integrated Report
2022 (pg. 197)

Reference in publishedmaterials

We report on total energy consumption, proportion of total energy consumed thatis from renewable sources, fuel consumption from renewable and nonrenewablesources, and electricity consumed that is from renewable sources in PMI factories,offices, and fleet.
Additional comments

WATER MANAGEMENTFB-AG-140a.1(1) Total water withdrawn, (2) total water
consumed, percentage of each in regions with High Water
or Extremely High Baseline Water Stress

Integrated Report
2022 (pgs. 158, 198)

FB-AG-140a.2

Description of water management risks anddiscussion of strategies and practices to mitigate
those risks

Water

Integrated Report
2022 (pgs. 151,158-161)

FB-AG-140a.3

Number of incidents of non-compliance associatedwith water quantity and/or quality permits,standards, and regulations

Water

Integrated Report
2022 (pg. 199)
CDP Water Security
2022 (pg. 12)

We report on the annual number and amount of environmental fines that exceed
USD 10,000 (including water-related issues) in our Integrated Report and waterspecific violations in our annual CDP Water Security disclosures.

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The topic and accounting metrics related to “Food safety” in the Agricultural Products Standard was excluded from this summary due to the nature of our business. We describe our approach to sustaining product reliability on
pages 172-173 of PMI’s Integrated Report 2022.

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CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

WORKFORCE HEALTH & SAFETY
FB-AG-320a.1(1) Total recordable incident rate (TRIR), (2) fatality
rate, and (3) near miss frequency rate (NMFR) for Health and safety at Integrated Report 2022 We currently do not report on near miss frequency rate.
(a) direct employees and (b) seasonal and migrantwork(pg. 193)
employees

CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

ENVIRONMENTAL & SOCIAL IMPACTS OF INGREDIENT SUPPLY CHAIN

FB-AG-430a.1

Percentage of agricultural products sourced thatare certified to a third-party environmental and/or
social standard, and percentages by standard

Socioeconomic
well-being of
tobacco-farmingcommunities;
Sustainable supply
chain management

FB-AG-430a.2

Suppliers’ social and environmental responsibility
audit (1) non-conformance rate and (2) associatedcorrective action rate for (a) major and (b) minor
non-conformances

Socioeconomic
well-being of
tobacco-farmingcommunities;
Sustainable supply
chain management

FB-AG-430a.3

Discussion of strategy to manage environmental
and social risks arising from contract growing andcommodity sourcing

Socioeconomic
well-being of
tobacco-farming
communities;
Sustainable supply
chain management

CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

assesses conformity to its Good Agricultural Practices (GAP) and Agricultural
Integrated Report 2022 PMILabor Practices (ALP) Code through farm-by-farm monitoring, external(pg. 196)
assessments by Control Union, and external verifications by local experts.
Our approach to managing environmental and social impacts in our tobacco
supply chain is described on pgs. 119-130 and 182-183 of PMI Integrated Report
Integrated Report 2022 2022. Key metrics (such as coverage of monitoring, number and breakdown ofprompt actions recorded and resolved, or number of contracts terminated) are(pgs. 196, 201)
available on pg. 196 of PMI Integrated Report 2022.
Beyond tobacco, our work is grounded on PMI’s Responsible Sourcing Principles
and our supplier due diligence platforms (EcoVadis and Responsible Business
PMI 2022 Form 10-K
Alliance Validated Assessment Program). We describe our approach and report on(pgs. 4-5, 12)performance on pgs. 130-133 and 179-181 of PMI Integrated Report 2022.
Integrated Report 2022 This work is complemented by broader human rights impact assessments(pgs. 118-133,conducted in high-risk countries and related action plans, as described on pgs.
183-187)
177-178 of PMI Integrated Report 2022.
Reference in publishedmaterials

Additional comments

GMO MANAGEMENTFB-AG-430b.1

Discussion of strategies to manage the use ofgenetically modified organisms (GMOs)

CodeTopics & Accounting Metrics

Biodiversity
Relevant PMI
sustainability topics

Integrated Report 2022
(pg. 154)
Reference in publishedmaterials

Additional comments

INGREDIENT SOURCINGFB-AG-440a.1

Identification of principal crops and description ofrisks and opportunities presented by climatechangeClimate,Biodiversity

Integrated Report 2022 Our most recent climate change risk and opportunities assessment was(pgs. 134-135)
conducted in 2022 and will be reported on in our inaugural PMI TCFD Report
2022, expected to be published in April, 2023.
TCFD Report 2022

FB-AG-440a.2

Percentage of agricultural products sourced fromregions with High or Extremely High Baseline
Water StressWater

Integrated Report 2022(pg. 158)

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CodeTopics & Accounting Metrics

Reference in publishedmaterials

Additional comments

ACTIVITY METRICS
FB-AG-000.A

Production by principal crop

Integrated Report
2022 (pg. 183)

FB-AG-000.B

Number of processing facilities

PMI 2022 Form 10-K
(pg. 18)

FB-AG-000.C

Total land area under active production

Integrated Report
2022 (pg. 155)

FB-AG-000.D

Cost of agricultural products sourced externallyIntegrated Report
2022 (pg. 180)

We report on total number of PMI-owned manufacturing facilities.

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Hardware Standard (2018)
CodeTopics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

EMPLOYEE DIVERSITY & INCLUSION
TC-HW-330a.1

Percentage of gender and racial/ethnic grouprepresentation for (1) management, (2) technicalstaff, and (3) all other employees

CodeTopics & Accounting Metrics

Diversity andinclusion

Relevant PMI
sustainability topics

We report top nationalities represented in our workforce and theirIntegrated Report 2022 representation at different managerial levels on pg. 111 of PMI Integrated Report(pgs. 111, 193-195)2022. We report gender breakdown by various management levels, STEM
positions, and overall workforce on pgs. 193-195 of PMI Integrated Report 2022.
Reference in publishedmaterials

Additional comments

PRODUCT LIFECYCLE MANAGEMENTTC-HW-410a.4

Weight of end-of-life products and e-waste
recovered, percentage recycled

CodeTopics & Accounting Metrics

We adopted a centralized approach to the end-of-life of our smoke-free electronicdevices by establishing CIRCLE (Central Inspection and Recycling) hubs that
Materials andIntegrated Report 2022 inspect, process, and separate materials for recycling. We report on the recycling
product eco-design (pg. 192)
rate of IQOS devices returned to our centralized recycling hubs (weightedaverage percentage of each device that is recycled), as well as total volume ofmaterials recycled at the CIRCLE hubs.
Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

SUPPLY CHAIN MANAGEMENTTC-HW-430a.1

TC-HW-430a.2

Percentage of Tier 1 supplier facilities audited inthe RBA Validated Audit Process (VAP) orequivalent, by (a) all facilities and (b) high-risk
facilities

Sustainable supply
chain management

Tier 1 suppliers’ (1) non-conformance rate with theRBA Validated Audit Process (VAP) or equivalent, Sustainable supplyand (2) associated corrective action rate for (a)chain management
priority non-conformances and (b) other nonconformances

Electronic smoke-free devices are manufactured by third-party manufacturers.
Integrated Report 2022 We describe our approach to managing our electronics supply chain on pgs.
(pg. 201)
179-182 of PMI Integrated Report 2022. We joined the RBA as an Affiliate
Member in early 2021.

Topics & Accounting Metrics

Relevant PMI
sustainability topics

Reference in publishedmaterials

Additional comments

Description of the management of risks associatedwith the use of critical materials

Sustainable supply
chain management

PMI 2022 Form 10-K
(pg. 16)
Integrated Report 2022
(pg. 182)

We describe our approach to managing our electronics supply chain and discuss
conflict minerals and cobalt sourcing on pgs. 179-183 of PMI Integrated Report
2022. Our yearly conflict minerals submissions to the U.S. Securities andExchange Commission are available on PMI.com.

Code

MATERIALS SOURCING
TC-HW-440a.1

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SASB content index 2022

CodeTopics & Accounting Metrics

Reference in publishedmaterials

Additional comments

ACTIVITY METRICS
TC-HW-000.A
TC-HW-000.B
TC-HW-000.C

Number of units produced by product category
Area of manufacturing facilities
Percentage of production from owned facilities

Electronic smoke-free devices are manufactured by third-party manufacturers. We currently do notreport on these activity metrics.

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Medical Equipment & Supplies Standard (2018)
The topics and accounting metrics in the Medical Equipment & Supplies Standard do not directly apply to our company, due to the nature of our business. However, they cover areas that are
relevant to us, as we pursue our purpose of delivering a smoke-free future by focusing our resources on the research, development, and commercialization of less harmful alternatives tocigarettes, with the aim of completely replacing cigarettes as soon as possible. More specifically:•Affordability & Pricing: In order to successfully reduce harm at the individual and population level, adult smokers must be motivated to switch to less harmful alternatives thancontinued cigarette smoking. To succeed in making the world smoke-free, we need all adult smokers to have access to our smoke-free products. First, the products must need to belegally available for sale in their countries. Then we need to improve consumer awareness, as well as acceptability, availability, and affordability of these products. We describe ourapproach to providing access to PMI’s smoke free products, including affordability aspects, in PMI Integrated Report 2022 (pgs. 56-63).

•Product Safety: We are researching and developing smoke-free products, whose reduced-risk profile is scientifically substantiated, employing a step-by-step program derived frompractices followed by the pharmaceutical industry. We describe our approach to addressing product health impacts, including our scientific assessment program, the scientific evidence
gathered to date, and post-market monitoring in PMI Integrated Report 2022 (pgs. 53-55, 166-167). The U.S. Food and Drug Administration (FDA) has authorized the marketing ofversions of PMI’s IQOS Platform 1 devices and consumables as Modified Risk Tobacco Products (MRTPs), finding that exposure modification orders for these products are appropriate
to promote the public health.”•Ethical Marketing: Please see summary cross-referencing our reporting to the SASB Tobacco Standard (“Marketing Practices” topic).

•

Product Design & Lifecycle Management: Please see summary cross-referencing our reporting to the SASB Hardware Standard (“Product Lifecycle Management” topic).

•

Supply Chain Management: Please see summary cross-referencing our reporting to the SASB Agricultural Products and Hardware Standards (“Environmental & Social Impacts ofIngredients Supply Chain”, “Supply Chain Management,” and “Materials sourcing” topics).

•Business Ethics: We describe our approach to business integrity and report on related metrics (such as reports of misconducts and employee training) in PMI Integrated Report 2022
(pgs. 173-175).

For the activity metric “Number of units sold by product category”: Please see summary cross-referencing our reporting to the SASB Tobacco Standard.

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