Philip Morris International (PMI) has announced a new regional structure and related senior management changes.
By the end of January 2023, PMI will rearrange its operations in four regions, down from the current six, under the leadership of the following members of senior management:
- Paul Riley, currently President, East Asia & Australia Region, will be appointed President, East Asia, Australia, and PMI Duty Free Region;
- Frederic de Wilde, currently President, European Union Region, will be appointed President, South and Southeast Asia (SSEA), Commonwealth of Independent States (CIS), Middle East and Africa (MEA) Region;
- Massimo Andolina, currently Senior Vice President, Operations, will be appointed President, Europe Region; and
- Deepak Mishra, who will continue as President, Americas Region.
Drago Azinovic, currently President, Middle East and Africa and PMI Duty Free Region, will leave the organisation after a transition period.
“We are changing the company’s regional structure to further support the growth of our smoke-free business, reinforce consumer centricity, and increase the speed of innovation and deployment—all in alignment with our ambition of becoming a majority smoke-free business by net revenues by 2025,” said Jacek Olczak, PMI chief executive.
“The new structure will also create new opportunities to further grow our senior talent, deepening the bench of leaders who will spearhead PMI’s progress toward a smoke-free future for the years to come. I am confident of the exceptional caliber and determination of our people and wish them the best in their new roles.”
The company has also announced following appointments:
- Marco Mariotti, currently President, Eastern Europe Region, will be appointed President, CIS, Central Asia & Israel, reporting into Frederic de Wilde;
- Stacey Kennedy, currently President, South and Southeast Asia Region, will be appointed Chief Executive Officer of PMI’s US business, reporting to Deepak Mishra; and
- Scott Coutts, currently Vice President, Global Manufacturing, will be appointed Senior Vice President, Operations, succeeding Massimo Andolina and reporting into Jacek Olczak.
PMI said the new regional structure is designed to accelerate smoke-free product growth in markets where IQOS already holds double-digit market shares, while also driving the transition from cigarettes to smoke-free products in untapped markets, including the US.
Last month, PMI has reached an agreement with Altria Group to end the companies’ commercial relationship covering IQOS in the US. As per the agreement, PMI will have the full rights to commercialise IQOS in the US after April 30, 2024.
PMI added that the new structure will also enhance its efforts to broaden access to smoke-free products in low and middle income markets, which the company aspires to account for at least half of the markets where its smoke-free products will be available by 2025.
Earlier this week, PMI has announced the launch of its latest heat-not-burn tobacco heating system, Bonds by IQOS, targetted at low and middle income markets.
