Tobacco.org

• Philip Morris Readies Aggressive Global Push 

Sitting in his office overlooking Lake Geneva, Philip Morris International Chief Executive André Calantzopoulos takes a long drag from an unusually short cigarette. Called Marlboro Intense, the product has been shrunk down by about a half inch, and offers smokers seven potent puffs apiece, versus the average of eight or so milder draws.

The idea behind Intense is to appeal to customers who, due to indoor smoking bans, want to dash outside for a quick nicotine hit but don't always finish a full-size cigarette. Pointing to his lit Intense, the CEO says there are "possibly 50 markets that are interested in deploying it."

Marlboro Intense is likely to be part of an aggressive blitz of new smoking products PMI will roll out around the globe once the company -- now a unit of New York-based Altria Group Inc. -- becomes a standalone entity. That change will be set into motion tomorrow, when the Altria board is expected to approve a long-awaited decision to split PMI from Philip Morris USA. The move would free the tobacco giant's international operations of legal and public-relations headaches in the U.S. that have hindered its growth.

The separate entity, for example, would be exempt from U.S. tobacco regulations and out of reach of American litigators. Importantly, its practices would no longer be constrained by American public opinion, paving the way for broad product experimentation. . . .

Some antitobacco types are sounding alarm bells that an independent PMI will be a corporation which, from a practical viewpoint, is stateless and answers to no one. . . .

PMI is also streamlining manufacturing. By this fall, it will halt imports of about 57 billion cigarettes annually from its U.S. sister company. Instead, it will begin to get its entire supply internationally, primarily from its own 42 manufacturing centers, the largest of which are in Holland, Russia, Germany, Turkey and Ukraine. . . .

After more than three years of negotiations with the Chinese government, PMI is expected this year to begin marketing three home-grown brands. The smokes -- selected from hundreds of varieties produced by state-run China National Tobacco Corp. -- will be sold in Central Europe, Eastern Europe and Latin America, according to PMI.

Jump to full article »

[P]ossibly 50 [international] markets . . . are interested in deploying it [Marlboro Intense].
Philip Morris International Chief Executive André Calantzopoulos on the new product meant to appeal to customers who, due to indoor smoking bans, want to dash outside for a quick nicotine hit but don't always finish a full-size cigarette.