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Philip Morris International Inc. – ‘10-Q’ for 6/30/16 – ‘EX-18’

On:  Tuesday, 7/26/16, at 6:12am ET   ·   For:  6/30/16   ·   Accession #:  1413329-16-96   ·   File #:  1-33708

Previous ‘10-Q’:  ‘10-Q’ on 4/26/16 for 3/31/16   ·   Next:  ‘10-Q’ on 10/25/16 for 9/30/16   ·   Latest:  ‘10-Q’ on 4/26/24 for 3/31/24

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  As Of               Filer                 Filing    For·On·As Docs:Size

 7/26/16  Philip Morris International Inc.  10-Q        6/30/16   93:10M

Quarterly Report   —   Form 10-Q   —   Sect. 13 / 15(d) – SEA’34
Filing Table of Contents

Document/Exhibit                   Description                      Pages   Size 

 1: 10-Q        Quarterly Report                                    HTML   1.17M 
 2: EX-4.1      Deed of Termination and Release of Euro Medium      HTML     57K 
                Term Note Programme                                              
 3: EX-12       Statement Regarding Computation of Ratios of        HTML     49K 
                Earnings to Fixed Charges                                        
 4: EX-18       Preferablility Letter                               HTML     33K 
 5: EX-31.1     Certification of CEO Pursuant to Rule               HTML     34K 
                13A-14(A)/15D-14(A)                                              
 6: EX-31.2     Certification of CFO Pursuant to Rule               HTML     34K 
                13A-14(A)/15D-14(A)                                              
 7: EX-32.1     Certification of CEO Pursuant to 18 U.S.C. 1350     HTML     28K 
 8: EX-32.2     Certification of CFO Pursuant to 18 U.S.C. 1350     HTML     28K 
15: R1          Document and Entity Information                     HTML     45K 
16: R2          Condensed Consolidated Balance Sheets (Unaudited)   HTML    156K 
17: R3          Condensed Consolidated Balance Sheets (Unaudited)   HTML     36K 
                (Parenthetical)                                                  
18: R4          Condensed Consolidated Statements of Earnings       HTML     78K 
                (Unaudited)                                                      
19: R5          Condensed Consolidated Statements of Comprehensive  HTML     68K 
                Earnings (Unaudited)                                             
20: R6          Condensed Consolidated Statements of Comprehensive  HTML     40K 
                Earnings (Unaudited) (Parenthetical)                             
21: R7          Condensed Consolidated Statements of Stockholders'  HTML     62K 
                (Deficit) Equity (Unaudited)                                     
22: R8          Condensed Consolidated Statements of Stockholders'  HTML     29K 
                (Deficit) Equity (Unaudited) (Parenthetical)                     
23: R9          Condensed Consolidated Statements of Cash Flows     HTML    112K 
                (Unaudited)                                                      
24: R10         Background and Basis of Presentation                HTML     32K 
25: R11         Asset Impairment and Exit Costs                     HTML     39K 
26: R12         Stock Plans                                         HTML     45K 
27: R13         Benefit Plans                                       HTML     88K 
28: R14         Goodwill and Other Intangible Assets, net           HTML    102K 
29: R15         Financial Instruments                               HTML    169K 
30: R16         Earnings Per Share                                  HTML     49K 
31: R17         Segment Reporting                                   HTML     94K 
32: R18         Contingencies                                       HTML    148K 
33: R19         Income Taxes                                        HTML     35K 
34: R20         Indebtedness                                        HTML     82K 
35: R21         Fair Value Measurements                             HTML     64K 
36: R22         Accumulated Other Comprehensive Losses              HTML     47K 
37: R23         Balance Sheet Offsetting                            HTML     63K 
38: R24         Investments in Unconsolidated Subsidiaries          HTML     55K 
39: R25         Acquisitions and Other Business Arrangements        HTML     40K 
40: R26         Sale of Accounts Receivable                         HTML     32K 
41: R27         New Accounting Standards                            HTML     40K 
42: R28         New Accounting Standards (Policies)                 HTML     36K 
43: R29         Asset Impairment and Exit Costs (Tables)            HTML     34K 
44: R30         Benefit Plans (Tables)                              HTML     84K 
45: R31         Goodwill and Other Intangible Assets, net (Tables)  HTML     98K 
46: R32         Financial Instruments (Tables)                      HTML    146K 
47: R33         Earnings Per Share (Tables)                         HTML     47K 
48: R34         Segment Reporting (Tables)                          HTML     88K 
49: R35         Contingencies (Tables)                              HTML     64K 
50: R36         Indebtedness (Tables)                               HTML     84K 
51: R37         Fair Value Measurements (Tables)                    HTML     57K 
52: R38         Accumulated Other Comprehensive Losses (Tables)     HTML     42K 
53: R39         Balance Sheet Offsetting (Tables)                   HTML     61K 
54: R40         Investments in Unconsolidated Subsidiaries          HTML     44K 
                (Tables)                                                         
55: R41         Asset Impairment and Exit Costs (Movement In The    HTML     39K 
                Exit Cost Liabilities) (Details)                                 
56: R42         Asset Impairment and Exit Costs (Narrative)         HTML     32K 
                (Details)                                                        
57: R43         Stock Plans (Details)                               HTML     95K 
58: R44         Benefit Plans (Components of Net Periodic Benefit   HTML     52K 
                Cost) (Details)                                                  
59: R45         Benefit Plans (Narrative) (Details)                 HTML     32K 
60: R46         Goodwill and Other Intangible Assets, net           HTML     42K 
                (Goodwill and Other Intangible Assets, by Segment)               
                (Details)                                                        
61: R47         Goodwill and Other Intangible Assets, net           HTML     45K 
                (Movement In Goodwill) (Details)                                 
62: R48         Goodwill and Other Intangible Assets, net (Other    HTML     35K 
                Intangible Assets) (Details)                                     
63: R49         Goodwill and Other Intangible Assets, net (Range    HTML     49K 
                of Useful Lives and Weighted-Average Remaining                   
                Useful Lives of Amortizable Intangible Assets)                   
                (Details)                                                        
64: R50         Goodwill and Other Intangible Assets, net           HTML     45K 
                (Narrative) (Details)                                            
65: R51         Financial Instruments (Narrative) (Details)         HTML     54K 
66: R52         Financial Instruments (Fair Value of Foreign        HTML     51K 
                Exchange Contracts) (Details)                                    
67: R53         Financial Instruments (Cash Flow and Net            HTML     49K 
                Investment Hedging Activities Effect on Condensed                
                Consolidated Statements of Earnings and Other                    
                Comprehensive Earnings) (Details)                                
68: R54         Financial Instruments (Qualifying Hedging Activity  HTML     43K 
                Reported in Accumulated Other Comprehensive                      
                Earnings (Losses) Net of Income Taxes) (Details)                 
69: R55         Earnings Per Share (Calculation of Basic and        HTML     41K 
                Diluted EPS) (Details)                                           
70: R56         Segment Reporting (Details)                         HTML     59K 
71: R57         Contingencies (Tobacco-Related Litigation)          HTML     36K 
                (Details)                                                        
72: R58         Contingencies (Number of Tobacco Related Cases      HTML     50K 
                Pending Against Us and/or Our Subsidiaries or                    
                Indemnitees) (Details)                                           
73: R59         Contingencies (Verdicts and Post-Trial              HTML    143K 
                Developments) (Details)                                          
74: R60         Contingencies (Smoking And Health Litigation)       HTML    251K 
                (Details)                                                        
75: R61         Contingencies (Health Care Cost Recovery            HTML     71K 
                Litigation) (Details)                                            
76: R62         Contingencies (Lights Cases) (Details)              HTML     36K 
77: R63         Contingencies (Public Civil Actions and Other       HTML     50K 
                Litigation) (Details)                                            
78: R64         Income Taxes (Details)                              HTML     38K 
79: R65         Indebtedness (Narrative) (Details)                  HTML     41K 
80: R66         Indebtedness (Long-Term Debt) (Details)             HTML     59K 
81: R67         Indebtedness (Debt Issuances During Current         HTML     55K 
                Period) (Details)                                                
82: R68         Indebtedness (Credit Facilities) (Details)          HTML     36K 
83: R69         Fair Value Measurements (Narrative) (Details)       HTML     31K 
84: R70         Fair Value Measurements (Aggregate Fair Value of    HTML     55K 
                Derivative Financial Instruments, Debt and                       
                Contingent Consideration) (Details)                              
85: R71         Accumulated Other Comprehensive Losses (Components  HTML     43K 
                of Accumulated Other Comprehensive Earnings                      
                (Losses), Net of Tax) (Details)                                  
86: R72         Balance Sheet Offsetting (Details)                  HTML     72K 
87: R73         Investments in Unconsolidated Subsidiaries          HTML     71K 
                (Narrative) (Details)                                            
88: R74         Investments in Unconsolidated Subsidiaries          HTML     44K 
                (Balance sheet and earnings activity) (Details)                  
89: R75         Acquisitions and Other Business Arrangements        HTML     91K 
                (Details)                                                        
90: R76         Sale of Accounts Receivable (Details)               HTML     30K 
92: XML         IDEA XML File -- Filing Summary                      XML    170K 
91: EXCEL       IDEA Workbook of Financial Reports                  XLSX     97K 
 9: EX-101.INS  XBRL Instance -- pm-20160630                         XML   2.67M 
11: EX-101.CAL  XBRL Calculations -- pm-20160630_cal                 XML    223K 
12: EX-101.DEF  XBRL Definitions -- pm-20160630_def                  XML    772K 
13: EX-101.LAB  XBRL Labels -- pm-20160630_lab                       XML   1.76M 
14: EX-101.PRE  XBRL Presentations -- pm-20160630_pre                XML   1.06M 
10: EX-101.SCH  XBRL Schema -- pm-20160630                           XSD    209K 
93: ZIP         XBRL Zipped Folder -- 0001413329-16-000096-xbrl      Zip    260K 


‘EX-18’   —   Preferablility Letter


This Exhibit is an HTML Document rendered as filed.  [ Alternative Formats ]



 <!   C:   C: 
  Exhibit  
Exhibit 18

 
PricewaterhouseCoopers SA
 
Avenue C.-F - Ramuz 45
 
Case Postale 1172
 
1001 Lausanne
 
Telephone: +41 58 792 81 00
 
Facsimile: +41 58 792 81 10
 


July 26, 2016


Board of Directors
Philip Morris International Inc.
120 Park Avenue
New York, NY 10017

Dear Directors:

We are providing this letter to you for inclusion as an exhibit to your Form 10-Q filing pursuant to Item 601 of Regulation S-K.

We have been provided a copy of the Company’s Quarterly Report on Form 10-Q for the period ended June 30, 2016. Note 5 therein describes a change in accounting principle from performing the Company’s annual goodwill impairment test from the first quarter to the second quarter. It should be understood that the preferability of one acceptable method of accounting over another for the timing of performing the annual goodwill impairment test has not been addressed in any authoritative accounting literature, and in expressing our concurrence below we have relied on management’s determination that this change in accounting principle is preferable. Based on our reading of management’s stated reasons and justification for this change in accounting principle in the Form 10-Q, and our discussions with management as to their judgment about the relevant business planning factors relating to the change, we concur with management that such change represents, in the Company’s circumstances, the adoption of a preferable accounting principle in conformity with Accounting Standards Codification 250, Accounting Changes and Error Corrections.

We have not audited any financial statements of the Company as of any date or for any period subsequent to December 31, 2015. Accordingly, our comments are subject to change upon completion of an audit of the financial statements covering the period of the accounting change.

Very truly yours,


PricewaterhouseCoopers SA



 
 




....................................................................................................................................................................................................................................................................
With offices in Aarau, Basel, Berne, Chur, Geneva, Lausanne, Lugano, Lucerne, Neuchâtel, Sitten, St. Gallen, Thun, Winterthur, Zug and Zurich, PricewaterhouseCoopers SA is a provider of auditing services and tax, legal and business consultancy services. PricewaterhouseCoopers SA is a member of a global network of companies that are legally independent of one another; the network is represented in some 150 countries throughout the world.

Dates Referenced Herein   and   Documents Incorporated by Reference

This ‘10-Q’ Filing    Date    Other Filings
Filed on:7/26/16
For Period end:6/30/164
12/31/1510-K,  11-K,  4
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Filing Submission 0001413329-16-000096   –   Alternative Formats (Word / Rich Text, HTML, Plain Text, et al.)

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