Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2022 | Feb. 15, 2023 | Jun. 30, 2022 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-08940 | ||
Entity Registrant Name | ALTRIA GROUP, INC. | ||
Entity Incorporation, State or Country Code | VA | ||
Entity Tax Identification Number | 13-3260245 | ||
Entity Address, Address Line One | 6601 West Broad Street, | ||
Entity Address, City or Town | Richmond, | ||
Entity Address, State or Province | VA | ||
Entity Address, Postal Zip Code | 23230 | ||
City Area Code | 804 | ||
Local Phone Number | 274-2200 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 75 | ||
Entity Common Stock, Shares Outstanding (in shares) | 1,785,563,827 | ||
Documents Incorporated by Reference | Portions of the registrant’s definitive proxy statement for use in connection with its annual meeting of shareholders to be held on May 18, 2023, to be filed with the U.S. Securities and Exchange Commission on or about April 6, 2023, are incorporated by reference into Part III hereof. | ||
Amendment Tag | false | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000764180 | ||
Common Stock, $0.33 1/3 par value | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Common Stock, $0.33 1/3 par value | ||
Trading Symbol | MO | ||
Security Exchange Name | NYSE | ||
1.700% Notes due 2025 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.700% Notes due 2025 | ||
Trading Symbol | MO25 | ||
Security Exchange Name | NYSE | ||
2.200% Notes due 2027 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 2.200% Notes due 2027 | ||
Trading Symbol | MO27 | ||
Security Exchange Name | NYSE | ||
3.125% Notes due 2031 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 3.125% Notes due 2031 | ||
Trading Symbol | MO31 | ||
Security Exchange Name | NYSE |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2022 | |
Audit Information [Abstract] | |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | Richmond, Virginia |
Auditor Firm ID | 238 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and cash equivalents | $ 4,030 | $ 4,544 |
Receivable from the sale of IQOS System commercialization rights | 1,721 | 0 |
Other | 48 | 47 |
Inventories: | ||
Leaf tobacco | 704 | 744 |
Other raw materials | 186 | 166 |
Work in process | 24 | 23 |
Finished product | 266 | 261 |
Inventory, net | 1,180 | 1,194 |
Other current assets | 241 | 298 |
Total current assets | 7,220 | 6,083 |
Property, plant and equipment, at cost: | ||
Land and land improvements | 123 | 123 |
Buildings and building equipment | 1,478 | 1,422 |
Machinery and equipment | 2,578 | 2,652 |
Construction in progress | 248 | 235 |
Property, plant and equipment, at cost | 4,427 | 4,432 |
Less accumulated depreciation | 2,819 | 2,879 |
Property, plant and equipment, net | 1,608 | 1,553 |
Goodwill | 5,177 | 5,177 |
Other intangible assets, net | 12,384 | 12,306 |
Investments in equity securities ($250 million and $1,720 million at December 31, 2022 and 2021, respectively, measured at fair value) | 9,600 | 13,481 |
Other assets | 965 | 923 |
Total Assets | 36,954 | 39,523 |
Liabilities | ||
Current portion of long-term debt | 1,556 | 1,105 |
Accounts payable | 552 | 449 |
Accrued liabilities: | ||
Marketing | 599 | 664 |
Settlement charges | 2,925 | 3,349 |
Other | 1,299 | 1,365 |
Dividends payable | 1,685 | 1,647 |
Total current liabilities | 8,616 | 8,579 |
Long-term debt | 25,124 | 26,939 |
Deferred income taxes | 2,897 | 3,692 |
Accrued pension costs | 133 | 200 |
Accrued postretirement health care costs | 1,083 | 1,436 |
Deferred gain from the sale of IQOS System commercialization rights | 2,700 | 0 |
Other liabilities | 324 | 283 |
Total liabilities | 40,877 | 41,129 |
Contingencies (Note 17) | ||
Stockholders’ Equity (Deficit) | ||
Common stock, par value $0.33 1/3 per share (2,805,961,317 shares issued) | 935 | 935 |
Additional paid-in capital | 5,887 | 5,857 |
Earnings reinvested in the business | 29,792 | 30,664 |
Accumulated other comprehensive losses | (2,771) | (3,056) |
Cost of repurchased stock (1,020,427,195 shares at December 31, 2022 and 982,785,699 shares at December 31, 2021) | (37,816) | (36,006) |
Total stockholders’ equity (deficit) attributable to Altria | (3,973) | (1,606) |
Noncontrolling interests | 50 | 0 |
Total stockholders’ equity (deficit) | (3,923) | (1,606) |
Total Liabilities and Stockholders’ Equity (Deficit) | $ 36,954 | $ 39,523 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Stockholders’ Equity (Deficit) | ||
Investments, fair value | $ 250 | $ 1,720 |
Common stock, par value (usd per share) | $ 0.3333 | $ 0.3333 |
Common stock, shares issued (in shares) | 2,805,961,317 | 2,805,961,317 |
Shares repurchased (in shares) | 1,020,427,195 | 982,785,699 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | |||
Net revenues | $ 25,096 | $ 26,013 | $ 26,153 |
Cost of sales | 6,442 | 7,119 | 7,818 |
Excise taxes on products | 4,408 | 4,902 | 5,312 |
Gross profit | 14,246 | 13,992 | 13,023 |
Marketing, administration and research costs | 2,327 | 2,432 | 2,150 |
Operating income | 11,919 | 11,560 | 10,873 |
Interest and other debt expense, net | 1,058 | 1,162 | 1,209 |
Loss on early extinguishment of debt | 0 | 649 | 0 |
Net periodic defined benefits expense (reversal of expense) | (184) | (202) | (77) |
(Income) losses from investments in equity securities | 3,641 | 5,979 | 111 |
Impairment of JUUL equity securities | 0 | 0 | 2,600 |
Loss on Cronos-related financial instruments | 15 | 148 | 140 |
Earnings before income taxes | 7,389 | 3,824 | 6,890 |
Provision for income taxes | 1,625 | 1,349 | 2,436 |
Net earnings | 5,764 | 2,475 | 4,454 |
Net losses attributable to noncontrolling interests | 0 | 0 | 13 |
Net earnings attributable to Altria | $ 5,764 | $ 2,475 | $ 4,467 |
Per share data: | |||
Basic earnings per share attributable to Altria (in usd per share) | $ 3.19 | $ 1.34 | $ 2.40 |
Diluted earnings per share attributable to Altria (in usd per share) | $ 3.19 | $ 1.34 | $ 2.40 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Earnings - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings (losses) | $ 5,764 | $ 2,475 | $ 4,454 |
Other comprehensive earnings (losses), net of deferred income taxes: | |||
Benefit plans | 176 | 808 | (228) |
ABI | 143 | 426 | (1,245) |
Currency translation adjustments and other | (34) | 51 | (4) |
Other comprehensive earnings (losses), net of deferred income taxes | 285 | 1,285 | (1,477) |
Comprehensive earnings | 6,049 | 3,760 | 2,977 |
Comprehensive losses attributable to noncontrolling interests | 0 | 0 | 13 |
Comprehensive earnings attributable to Altria | $ 6,049 | $ 3,760 | $ 2,990 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Cash Provided by (Used in) Operating Activities | ||||||
Net earnings (losses) | $ 5,764 | $ 2,475 | $ 4,454 | |||
Adjustments to reconcile net earnings to operating cash flows: | ||||||
Depreciation and amortization | 226 | 244 | 257 | |||
Deferred income tax provision (benefit) | (947) | (1,160) | (164) | $ (164) | ||
(Income) losses from investments in equity securities | 3,641 | 5,979 | 111 | |||
Dividends from ABI | 104 | 119 | 108 | |||
Loss on Cronos-related financial instruments | 15 | 148 | 140 | |||
Impairment of JUUL equity securities | 0 | 0 | 2,600 | |||
Loss on early extinguishment of debt | $ 649 | 0 | 649 | 0 | ||
Cash effects of changes: | ||||||
Receivables | [1] | (21) | (18) | 20 | ||
Inventories | [1] | 14 | 57 | 2 | ||
Accounts payable | [1] | 92 | 163 | 53 | ||
Income taxes | [1] | (118) | (149) | (29) | ||
Accrued liabilities and other current assets | [1] | (129) | 165 | (15) | ||
Accrued settlement charges | [1] | (424) | (215) | 218 | ||
Pension plan contributions | (20) | (26) | (33) | |||
Pension and postretirement, net | (156) | (175) | (49) | |||
Other, net | [2] | 215 | 149 | 712 | ||
Net cash provided by (used in) operating activities | 8,256 | 8,405 | 8,385 | |||
Cash Provided by (Used in) Investing Activities | ||||||
Capital expenditures | (205) | (169) | (231) | |||
Proceeds from the sale of IQOS System commercialization rights | 1,000 | 0 | 0 | |||
Proceeds from the Ste. Michelle Transaction, net of cash transferred | 0 | 1,176 | 0 | |||
Other, net | (13) | 205 | 88 | |||
Net cash (used in) provided by investing activities | 782 | 1,212 | (143) | |||
Cash Provided by (Used in) Financing Activities | ||||||
Proceeds from short-term borrowings | 0 | 0 | 3,000 | |||
Repayment of short-term borrowings | 0 | 0 | (3,000) | |||
Long-term debt issued | 0 | 5,472 | 1,993 | |||
Long-term debt repaid | (1,105) | (6,542) | (1,000) | |||
Repurchases of common stock | (1,825) | (1,675) | 0 | |||
Dividends paid on common stock | (6,599) | (6,446) | (6,290) | |||
Premiums and fees related to early extinguishment of debt | 0 | (623) | 0 | |||
Other, net | (12) | (215) | (99) | |||
Net cash provided by (used in) financing activities | (9,541) | (10,029) | (5,396) | |||
Cash, cash equivalents and restricted cash: | ||||||
Increase (decrease) | (503) | (412) | 2,846 | |||
Balance at beginning of year | $ 5,006 | 4,594 | 5,006 | 2,160 | ||
Balance at end of year | 4,091 | 4,594 | 5,006 | 2,160 | ||
Supplemental cash flow information: | ||||||
Cash paid: Interest | 1,119 | 1,189 | 1,246 | |||
Cash Paid: Income taxes | 2,657 | 2,673 | 2,616 | |||
Non-cash investing activities: | ||||||
Deferred proceeds from the sale of IQOS System commercialization rights | 1,700 | 0 | 0 | |||
Cash and cash equivalents | 4,030 | 4,544 | 4,945 | |||
Restricted cash included in other current assets | [3] | 15 | 0 | 1 | ||
Restricted cash included in other assets | [3] | 46 | 50 | 60 | ||
Cash, cash equivalents and restricted cash | $ 4,091 | $ 4,594 | $ 5,006 | $ 2,160 | ||
[1]2021 amounts reflect changes from operations for Ste. Michelle prior to the Ste. Michelle Transaction.[2]2020 primarily reflects inventory-related amounts associated with the wine business strategic reset. For further discussion, see Note 14. Segment Reporting . Restricted cash consisted primarily of cash deposits collateralizing appeal bonds posted by PM USA to obtain stays of judgments pending appeals. See Note 17. Contingencies . |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Earnings Reinvested in the Business [Member] | Accumulated Other Comprehensive Losses [Member] | Cost of Repurchased Stock [Member] | Non-Controlling Interests [Member] | |
Beginning balance at Dec. 31, 2019 | $ 6,319 | $ 935 | $ 5,970 | $ 36,539 | $ (2,864) | $ (34,358) | $ 97 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net earnings (losses) | 4,451 | 4,467 | (16) | |||||
Other comprehensive earnings (losses), net of deferred income taxes | (1,477) | (1,477) | ||||||
Stock award activity | 27 | 13 | 14 | |||||
Cash dividends declared | (6,327) | (6,327) | ||||||
Other | [1] | (68) | (73) | 5 | ||||
Ending balances at Dec. 31, 2020 | 2,925 | 935 | 5,910 | 34,679 | (4,341) | (34,344) | 86 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net earnings (losses) | 2,471 | 2,475 | (4) | |||||
Other comprehensive earnings (losses), net of deferred income taxes | 1,285 | 1,285 | ||||||
Stock award activity | 37 | 24 | 13 | |||||
Cash dividends declared | (6,490) | (6,490) | ||||||
Repurchases of common stock | (1,675) | (1,675) | ||||||
Other | [1] | (159) | (77) | (82) | ||||
Ending balances at Dec. 31, 2021 | (1,606) | 935 | 5,857 | 30,664 | (3,056) | (36,006) | 0 | |
Beginning balance at Dec. 31, 2020 | 2,925 | 935 | 5,910 | 34,679 | (4,341) | (34,344) | 86 | |
Ending balances at Dec. 31, 2022 | (3,923) | 935 | 5,887 | 29,792 | (2,771) | (37,816) | 50 | |
Beginning balance at Dec. 31, 2021 | (1,606) | 935 | 5,857 | 30,664 | (3,056) | (36,006) | 0 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net earnings (losses) | 5,764 | 5,764 | 0 | |||||
Other comprehensive earnings (losses), net of deferred income taxes | 285 | 285 | ||||||
Stock award activity | 45 | 30 | 15 | |||||
Cash dividends declared | (6,636) | (6,636) | ||||||
Repurchases of common stock | (1,825) | (1,825) | ||||||
Other | [1] | 50 | 0 | 50 | ||||
Ending balances at Dec. 31, 2022 | $ (3,923) | $ 935 | $ 5,887 | $ 29,792 | $ (2,771) | $ (37,816) | $ 50 | |
[1]Represents the non-cash contribution made by JTIUH to Horizon in 2022 and the purchase of the remaining noncontrolling interest in Helix ROW and Helix in 2020 and 2021, respectively. For additional information, see Note 1. Background and Basis of Presentation . |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Deficit) (Parenthetical) - $ / shares | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Stockholders' Equity [Abstract] | |||||
Cash dividends declared (USD per share) | $ 0.94 | $ 0.90 | $ 3.68 | $ 3.52 | $ 3.40 |
Background and Basis of Present
Background and Basis of Presentation | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation When used in these notes, the terms “Altria,” “we,” “us” and “our” refer to either (i) Altria Group, Inc. and its consolidated subsidiaries or (ii) Altria Group, Inc. only and not its consolidated subsidiaries, as appropriate in the context. ▪ Background: At December 31, 2022, our wholly owned subsidiaries included Philip Morris USA Inc. (“PM USA”), which is engaged in the manufacture and sale of cigarettes in the United States; John Middleton Co. (“Middleton”), which is engaged in the manufacture and sale of machine-made large cigars and pipe tobacco and is a wholly owned subsidiary of PM USA; UST LLC (“UST”), which through its wholly owned subsidiary U.S. Smokeless Tobacco Company LLC (“USSTC”), is engaged in the manufacture and sale of moist smokeless tobacco products (“MST”) and snus products; and Helix Innovations LLC (“Helix”), which operates in the United States and Canada, and Helix Innovations GmbH and its affiliates (“Helix ROW”), which operate internationally in the rest-of-world, are engaged in the manufacture and sale of oral nicotine pouches. Other wholly owned subsidiaries included Altria Group Distribution Company, which provides sales and distribution services to our domestic tobacco operating companies; Altria Client Services LLC (“ALCS”), which provides various support services to our companies in areas such as legal, regulatory, consumer engagement, finance, human resources and external affairs; and Philip Morris Capital Corporation (“PMCC”), which completed the wind-down of its portfolio of finance assets in 2022 and had no finance assets remaining at December 31, 2022. Our access to the operating cash flows of our wholly owned subsidiaries consists of cash received from the payment of dividends and distributions, and the payment of interest on intercompany loans by our subsidiaries. At December 31, 2022, our significant wholly owned subsidiaries were not limited by contractual obligations in their ability to pay cash dividends or make other distributions with respect to their equity interests. In October 2022, Altria, through PM USA, entered into a joint venture with JTI (US) Holding, Inc. (“JTIUH”), a subsidiary of Japan Tobacco Inc., for the U.S. marketing and commercialization of heated tobacco stick (“HTS”) products. The joint venture entity, Horizon Innovations LLC (“Horizon”), is structured to exist in perpetuity and is responsible for the U.S. commercialization of HTS products owned by either party. PM USA holds a 75% economic interest in Horizon, with JTIUH having a 25% economic interest. We included the 2022 financial results of Horizon, which were immaterial, in our consolidated financial statements, with the 25% economic interest held by JTIUH reported on our consolidated balance sheet as a noncontrolling interest. In October 2021, UST sold its subsidiary, International Wine & Spirits Ltd. (“IWS”), which included Ste. Michelle Wine Estates Ltd. (“Ste. Michelle”) in an all-cash transaction with a net purchase price of approximately $1.2 billion and the assumption of certain liabilities of IWS and its subsidiaries (the “Ste. Michelle Transaction”). In December 2020 and April 2021, we purchased the remaining 20% interest in (i) Helix ROW and (ii) Helix, respectively. The total purchase price of the December 2020 and April 2021 transactions was approximately $250 million. At December 31, 2022, we had investments in the following equity securities: Anheuser-Busch InBev SA/NV (“ABI”); Cronos Group Inc. (“Cronos”); and JUUL Labs, Inc. (“JUUL”). For further discussion of our investments in equity securities, see Note 5. Investments in Equity Securities . ▪ Basis of Presentation: The consolidated financial statements include Altria, as well as our wholly owned and majority-owned subsidiaries. We account for our investments in equity securities in which we have the ability to exercise significant influence over the operating and financial policies of the investee, including ABI and Cronos, under the equity method of accounting using a one-quarter lag. We account for our investment in the equity securities of JUUL at fair value. All intercompany transactions and balances have been eliminated. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the dates of the financial statements and the reported amounts of net revenues and expenses during the reporting periods. Significant estimates and assumptions include, among other things, pension and benefit plan assumptions, lives and valuation assumptions for goodwill, other intangible assets and investments in equity securities, marketing programs and income taxes. Actual results could differ from those estimates. Certain immaterial prior year amounts have been reclassified to conform with the current year’s presentation. On January 1, 2022, we adopted Accounting Standards Update (“ASU”) 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU No. 2020-06”). This guidance simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts in an entity’s own equity. Our adoption of ASU No. 2020-06 did not have a material impact on our consolidated financial statements. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies ▪ Cash and Cash Equivalents: Cash equivalents include demand deposits with banks and all highly liquid investments with original maturities of three months or less. We record cash equivalents at cost plus accrued interest, which approximates fair value. ▪ Depreciation, Amortization and Impairment Testing: We record property, plant and equipment at historical costs and depreciate by the straight-line method over the estimated useful lives of the assets. We depreciate machinery and equipment over periods up to 20 years, and buildings and building improvements over periods up to 50 years. We amortize definite-lived intangible assets over their estimated useful lives up to 25 years. We review long-lived assets, including definite-lived intangible assets, for impairment whenever events or changes in business circumstances indicate that the carrying value of the assets may not be fully recoverable. We perform undiscounted operating cash flow analyses to determine if an impairment exists. For purposes of recognition and measurement of an impairment for assets held for use, we group assets and liabilities at the lowest level for which cash flows are separately identifiable. If we determine that an impairment exists, any related impairment loss is calculated based on fair value. We base impairment losses on assets to be disposed of, if any, on the estimated proceeds to be received, less costs of disposal. We also review the estimated remaining useful lives of long-lived assets whenever events or changes in business circumstances indicate the lives may have changed. We conduct a required annual review of goodwill and indefinite-lived intangible assets for potential impairment, and more frequently if an event occurs or circumstances change that would require us to perform an interim review. We have the option of first performing a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit or indefinite-lived intangible asset is less than its carrying amount as a basis for determining whether it is necessary to perform a quantitative impairment test. If necessary, we will perform a single step quantitative impairment test. Additionally, we have the option to unconditionally bypass the qualitative assessment and perform a single step quantitative assessment. If the carrying value of a reporting unit that includes goodwill exceeds its fair value, which is determined using discounted cash flows, goodwill is considered impaired. We measure the amount of impairment loss as the difference between the carrying value and the fair value of a reporting unit; however, the amount of the impairment loss is limited to the total amount of goodwill allocated to a reporting unit. If the carrying value of an indefinite-lived intangible asset exceeds its fair value, which is determined using discounted cash flows, we consider the intangible asset impaired and reduce the carrying value to fair value in the period identified. ▪ Derivative Financial Instruments: From time to time, we enter into derivatives to mitigate the potential impact of certain market risks, including foreign currency exchange rate risk. We use various types of derivative financial instruments, including forward contracts, options and swaps. We record derivative financial instruments at fair value on the consolidated balance sheets as either assets or liabilities. We designate derivative financial instruments that qualify for hedge accounting as either fair value hedges, cash flow hedges or net investment hedges at the inception of the contracts. For fair value hedges, we record changes in the fair value of the derivative, as well as the offsetting changes in the fair value of the hedged item, in the consolidated statements of earnings each period. For cash flow hedges, we record changes in the fair value of the derivative each period in accumulated other comprehensive earnings (losses) and reclassify changes to the consolidated statements of earnings in the same periods in which operating results are affected by the respective hedged item. For net investment hedges, we record changes in the fair value of the derivative or foreign currency transaction gains or losses on a nonderivative hedging instrument in accumulated other comprehensive earnings (losses) to offset the change in the value of the net investment being hedged. Such amounts remain in accumulated other comprehensive earnings (losses) until the complete or substantially complete liquidation of the underlying foreign operations occurs for investments in foreign entities accounted for under the equity method of accounting. We classify cash flows from hedging instruments in the same manner as the respective hedged item in the consolidated statements of cash flows. To qualify for hedge accounting, the hedging relationship, both at inception of the hedge and on an ongoing basis, is expected to be highly effective at offsetting changes in the fair value of the hedged risk during the period that the hedge is designated. We formally designate and document, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective, the strategy for undertaking the hedge transaction and method for assessing hedge effectiveness. Additionally, for qualified hedges of forecasted transactions, if it becomes probable that a forecasted transaction will not occur, we would no longer consider the hedge effective and would record all of the derivative gains and losses in the consolidated statement of earnings in the current period. For financial instruments that are not designated as hedging instruments or do not qualify for hedge accounting, we record changes in fair value in the consolidated statement of earnings each period. We do not enter into or hold derivative financial instruments for trading or speculative purposes. ▪ Employee Benefit Plans: We provide a range of benefits to certain employees and retired employees, including pension, postretirement health care and postemployment benefits. We record annual amounts relating to these plans based on calculations specified by GAAP, which include various actuarial assumptions as to discount rates, assumed rates of return on plan assets, mortality, compensation increases, turnover rates and health care cost trend rates. We recognize the funded status of our defined benefit pension and other postretirement plans on the consolidated balance sheets and record as a component of other comprehensive earnings (losses), net of deferred income taxes, the gains or losses and prior service costs or credits that have not been recognized as components of net periodic benefit cost (income). We subsequently amortize the gains or losses and prior service costs or credits recorded as components of other comprehensive earnings (losses) into net periodic benefit cost (income) in future years. ▪ Environmental Costs: We are subject to laws and regulations relating to the protection of the environment. We provide for expenses associated with environmental remediation obligations on an undiscounted basis when such amounts are probable and can be reasonably estimated. We adjust such accruals as new information develops or circumstances change. Compliance with environmental laws and regulations, including the payment of any remediation and compliance costs or damages and the making of related expenditures, has not had, and is not expected to have, a material adverse effect on our consolidated results of operations, capital expenditures, financial position or cash flows. See Note 17. Contingencies - Environmental Regulation . ▪ Fair Value Measurements: We measure certain assets and liabilities at fair value. Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. We use a fair value hierarchy, which gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of inputs used to measure fair value are: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. ▪ Guarantees: We recognize a liability for the fair value of the obligation of qualifying guarantee activities. See Note 17 . Contingencies for a further discussion of guarantees. ▪ Income Taxes: Significant judgment is required in determining income tax provisions and in evaluating tax positions. We determine deferred tax assets and liabilities based on the difference between the financial statement and tax bases of assets and liabilities, using enacted tax rates in effect for the year in which the differences are expected to reverse. We record a valuation allowance when it is more likely than not that some portion or all of a deferred tax asset will not be realized. We determine the realizability of deferred tax assets based on the weight of all available positive and negative evidence. In reaching this determination, we consider the character of the assets and the possible sources of taxable income of the appropriate character within the available carryback and carryforward periods available under the tax law. We recognize the financial statement benefit for uncertain income tax positions when it is more likely than not, based on the technical merits, that the position will be sustained upon examination by taxing authorities. The amount recognized is measured as the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. We recognize accrued interest and penalties associated with uncertain tax positions as part of the provision for income taxes in our consolidated statements of earnings. ▪ Inventories: We use the last-in, first-out (“LIFO”) method to determine the cost of substantially all our tobacco inventories. We determine the cost of the remaining inventories using the first-in, first-out (“FIFO”) and average cost methods. We record inventories that are measured using the LIFO method at the lower of cost or market. We state inventories that are measured using the FIFO and average cost methods at the lower of cost and net realizable value. It is a generally recognized industry practice to classify leaf tobacco inventories as a current asset although part of such inventories, because of the duration of the curing and aging process, ordinarily would not be used within one year. We determined the cost of approximately 79% and 81% of our inventories at December 31, 2022 and 2021, respectively, using the LIFO method. The recorded LIFO amounts of our inventories were approximately $0.7 billion and $0.6 billion lower than the current cost of our inventories at December 31, 2022 and 2021, respectively. ▪ Investments in Equity Securities: Investments in equity securities in which we have the ability to exercise significant influence over the operating and financial policies of the investee are accounted for under the equity method of accounting or the fair value option. The election of the fair value option is irrevocable and is made on an investment by investment basis. We elected to account for our investments in ABI and Cronos under the equity method of accounting. Our share of equity (income) losses and other adjustments associated with these equity investments are included in (income) losses from investments in equity securities in our consolidated statements of earnings. We report the carrying value for each of our equity investments in ABI and Cronos in investments in equity securities on our consolidated balance sheets. We report equity method investments accounted for under the equity method of accounting at cost and adjust these investments each period for our share of (income) losses and dividends paid, if any. We report our share of ABI’s and Cronos’s results using a one-quarter lag because results are not available in time for us to record them in the concurrent period. At the end of each reporting period, we review our equity investments accounted for under the equity method of accounting for impairment by comparing the fair value of each of our investments to their carrying value. If the carrying value of an investment exceeds its fair value and the loss in value is other than temporary, we consider the investment impaired, reduce its carrying value to its fair value and record the impairment in our consolidated statements of earnings in the period identified. We use certain factors to make this determination including (i) the duration and magnitude of the fair value decline, (ii) the financial condition and near-term prospects of the investee and (iii) our intent and ability to hold our investment until recovery to its carrying value. Beginning September 30, 2022, we account for our investment in JUUL as an investment in an equity security and measure our investment in JUUL at fair value. Our consolidated statements of earnings include any cash dividends we receive from our investment in JUUL (none received to date) and any changes in the estimated fair value of our investment, which is calculated quarterly. See Note 5. Investments in Equity Securities for additional information on how we have historically accounted for our investment in JUUL. ▪ Litigation Contingencies and Costs: We record provisions in our consolidated financial statements for pending litigation when we determine that an unfavorable outcome is probable and the amount of the loss can be reasonably estimated. We expense litigation defense costs as incurred and include these costs in marketing, administration and research costs in our consolidated statements of earnings. See Note 17. Contingencies . ▪ Marketing Costs: Our businesses promote their products with consumer incentives, trade promotions and consumer engagement programs. These consumer incentive and trade promotion activities, which include discounts, coupons, rebates, in-store display incentives and volume-based incentives, do not create a distinct deliverable and are, therefore, recorded as a reduction of revenues. We make consumer engagement program payments to third parties. Our businesses expense these consumer engagement programs, which include event marketing, as incurred, and such expenses are included in marketing, administration and research costs in our consolidated statements of earnings. For interim reporting purposes, our businesses charge consumer engagement programs and certain consumer incentive expenses to operations as a percentage of sales, based on estimated sales and related expenses for the full year. ▪ Revenue Recognition: Our businesses generate substantially all of their revenue from sales contracts with customers. While our businesses enter into separate sales contracts with each customer for each product type, all sales contracts are similarly structured. These contracts create an obligation to transfer product to the customer. Our businesses satisfy all performance obligations within one year; therefore, we expense costs to obtain contracts as incurred and do not disclose unsatisfied performance obligations. There is no financing component because our businesses expect, at contract inception, that the period between when our businesses transfer product to the customer and when the customer pays for that product will be one year or less. Our businesses define net revenues as revenues, which include excise taxes and shipping and handling charges billed to customers, net of cash discounts for prompt payment, sales returns (also referred to as returned goods) and sales incentives. Our businesses exclude from the transaction price sales taxes and value-added taxes imposed at the time of sale. Our businesses recognize revenues from sales contracts with customers upon shipment of goods when control of such products is obtained by the customer. Our businesses determine that a customer obtains control of the product upon shipment when title of such product and risk of loss transfers to the customer. Our businesses account for shipping and handling costs as fulfillment costs and such amounts are classified as part of cost of sales in our consolidated statements of earnings. Our businesses record an allowance for returned goods, based principally on historical volume and return rates, which is included in other accrued liabilities on our consolidated balance sheets. Our businesses record sales incentives, which consist of consumer incentives and trade promotion activities, as a reduction to revenues (a portion of which is based on amounts estimated as being due to wholesalers, retailers and consumers at the end of a period) based principally on historical volume, utilization and redemption rates. We include expected payments for sales incentives in accrued marketing liabilities on our consolidated balance sheets. Payment terms vary depending on product type. Our businesses consider payments received in advance of product shipment as deferred revenue, which we include in other accrued liabilities on our consolidated balance sheets until revenue is recognized. PM USA receives payment in advance of a customer obtaining control of the product. USSTC and Helix receive substantially all payments within one business day of the customer obtaining control of the product. We include amounts due from customers in receivables on our consolidated balance sheets. ▪ New Accounting Guidance Not Yet Adopted: The following table provides a description of issued accounting guidance applicable to, but not yet adopted by, us: Standards Description Effective Date for Public Entity Effect on Financial Statements ASU 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers The guidance updates how an entity recognizes and measures contract assets and contract liabilities acquired in a business combination. Acquirers will now account for related revenue contracts in accordance with Topic 606 as if it had originated the contract. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2022. We do not expect our adoption of this guidance to have a material impact on our consolidated financial statements and related disclosures. ASU 2022-03 Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions The guidance clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The amendments also specify required disclosures for equity securities subject to contractual sale restrictions. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023. We do not expect our adoption of this guidance to have a material impact on our consolidated financial statements and related disclosures. |
Revenues from Contracts with Cu
Revenues from Contracts with Customers | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenues from Contracts with Customers | Revenues from Contracts with Customers We disaggregate net revenues based on product type. For further discussion, see Note 14. Segment Reporting . We calculate substantially all cash discounts, offered to customers for prompt payment, as a flat rate per unit based on agreed-upon payment terms. Prior to the first quarter of 2021 for USSTC and the third quarter of 2021 for PM USA, cash discounts were calculated as a percentage of the list price based on historical experience and agreed-upon payment terms. We record receivables net of the cash discounts on our consolidated balance sheets. We record payments received by our businesses in advance of product shipment as deferred revenue. These payments are included in other accrued liabilities on our consolidated balance sheets until control of such products is obtained by the customer. Deferred revenue from contracts with customers was $252 million and $287 million at December 31, 2022 and 2021, respectively. When cash is received in advance of product shipment, our companies satisfy their performance obligations within three days of receiving payment. At December 31, 2022 and 2021, there were no differences between amounts recorded as deferred revenue from contracts with customers and amounts subsequently recognized as revenue. Receivables (excluding receivable from the sale of IQOS System commercialization rights) were $48 million and $47 million at December 31, 2022 and 2021, respectively. At December 31, 2022 and 2021, there were no expected differences between amounts recorded and subsequently received, and we did not record an allowance for credit losses against these receivables. We record an allowance for returned goods, which is included in other accrued liabilities on our consolidated balance sheets. It is USSTC’s policy to accept authorized sales returns from its customers for products that have passed the freshness date printed on product packaging due to the limited shelf life of USSTC’s MST and snus products. We record estimated sales returns, which are based principally on historical volume and return rates, as a reduction to revenues. Actual sales returns will differ from estimated sales returns to the extent actual results differ from estimated assumptions. We reflect differences between actual and estimated sales returns in the period in which the actual amounts become known. These differences, if any, have not had a material impact on our consolidated financial statements. All returned goods are destroyed upon return and not included in inventory. Consequently, we do not record an asset for USSTC’s right to recover goods from customers upon return. Sales incentives include variable payments related to goods sold by our businesses. We include estimates of variable consideration as a reduction to revenues upon shipment of goods to customers. The sales incentives that require significant estimates and judgments are as follows: ▪ Price promotion payments- We make price promotion payments, substantially all of which are made to our retail partners to incent the promotion of certain product offerings in select geographic areas. ▪ Wholesale and retail participation payments- We make payments to our wholesale and retail partners to incent merchandising and sharing of sales data in accordance with our trade agreements. These estimates primarily include estimated wholesale to retail sales volume and historical acceptance rates. Actual payments will differ from estimated payments to the extent actual results differ from estimated assumptions. Differences between actual and estimated payments are reflected in the period such information becomes available. These differences, if any, have not had a material impact on our consolidated financial statements. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets, net | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets, net | Goodwill and Other Intangible Assets, net Goodwill and other intangible assets, net, were as follows at December 31: Goodwill Other Intangible Assets, net (in millions) 2022 2021 2022 2021 Smokeable products segment $ 99 $ 99 $ 2,989 $ 3,017 Oral tobacco products segment 5,078 5,078 9,097 9,129 Other — — 298 160 Total $ 5,177 $ 5,177 $ 12,384 $ 12,306 Other intangible assets consisted of the following at December 31: 2022 2021 (in millions) Gross Carrying Accumulated Gross Carrying Accumulated Indefinite-lived intangible assets $ 11,443 $ — $ 11,443 $ — Definite-lived intangible assets 1,411 470 1,260 397 Total other intangible assets $ 12,854 $ 470 $ 12,703 $ 397 At December 31, 2022, substantially all of our indefinite-lived intangible assets consisted of (i) MST and snus trademarks of $8.8 billion, which consists of Copenhagen , Skoal and other MST and snus trademarks of $4.0 billion, $3.9 billion and $0.9 billion, respectively, and (ii) cigar trademarks of $2.6 billion from our 2009 acquisition of UST and 2007 acquisition of Middleton, respectively. Definite-lived intangible assets, which consist primarily of intellectual property, certain cigarette trademarks and customer relationships, are amortized over a weighted-average period of 20 years. Pre-tax amortization expense for definite-lived intangible assets during the years ended December 31, 2022, 2021 and 2020, was $73 million, $72 million and $72 million, respectively. Annual amortization expense for each of the next five years is estimated to be approximately $75 million, assuming no additional transactions occur that require the amortization of intangible assets. In October 2022, ALCS and Altria (solely with respect to certain provisions thereunder) entered into an agreement with Triaga, Inc. (“Triaga”), a subsidiary of Philip Morris International Inc. (“PMI”), and PMI (solely with respect to certain provisions thereunder), to, among other things, transition and ultimately conclude our relationship with respect to the IQOS Tobacco Heating System (“ IQOS System”) in the United States. Under the terms of the agreement, Triaga paid ALCS $1.0 billion upon entry into the agreement and is obligated to make an additional payment of $1.7 billion (plus interest thereon from the effective date of October 19, 2022 at a per annum rate equal to 6%) to ALCS by July 15, 2023, for a total cash payment of approximately $2.7 billion (plus interest). For the consideration received, ALCS has agreed to assign to Triaga exclusive U.S. commercialization rights to the IQOS System effective April 30, 2024. PMI will not have access to the Marlboro brand name or other brand assets, as PM USA owns the Marlboro trademark in the United States. As a result of the agreement, we recorded (i) a pre-tax $2.7 billion deferred gain, which we expect to recognize in earnings when we relinquish our rights to the IQOS System, (ii) a $1.7 billion receivable and (iii) a $21 million interest receivable on our consolidated balance sheet at December 31, 2022. For the year ended December 31, 2022, we recorded $21 million of interest income in our consolidated statement of earnings. For the year ended December 31, 2022, we recorded $1.0 billion in cash received upon entry into the agreement. The changes in goodwill and net carrying amount of intangible assets were as follows: 2022 2021 (in millions) Goodwill Other Intangible Assets, net Goodwill Other Intangible Assets, net Balance at January 1 $ 5,177 $ 12,306 $ 5,177 $ 12,615 Changes due to: Acquisitions (1) — 151 — — Dispositions (2) — — — (237) Amortization — (73) — (72) Balance at December 31 $ 5,177 $ 12,384 $ 5,177 $ 12,306 (1) Acquisitions of certain intellectual property related to other tobacco products, which included a $50 million non-cash contribution made by JTIUH to Horizon. For additional information regarding Horizon, see Note 1. Background and Basis of Presentation . (2) Dispositions related to the Ste. Michelle Transaction. See Note 1. Background and Basis of Presentation . During 2022, 2021 and 2020, our annual impairment test of goodwill and indefinite-lived intangible assets resulted in no impairment charges. At December 31, 2022 and 2021, there were no accumulated impairment losses related to goodwill. |
Investments in Equity Securitie
Investments in Equity Securities | 12 Months Ended |
Dec. 31, 2022 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Equity Securities | Investments in Equity Securities The carrying amount of our investments consisted of the following at December 31: (in millions) 2022 2021 ABI $ 8,975 $ 11,144 JUUL 250 1,705 Cronos (1) 375 632 Total $ 9,600 $ 13,481 (1) Our investment in Cronos at December 31, 2021 consisted of our equity method investment in Cronos of $617 million and also included the Cronos warrant and the Fixed-price Preemptive Rights (collectively, “Investment in Cronos”), which were measured at fair value. We irrevocably abandoned the Cronos warrant on December 15, 2022, and the Fixed-price Preemptive Rights had no value at December 31, 2022. See below for further discussion. (Income) losses from investments in equity securities consisted of the following: For the Years Ended December 31, (in millions) 2022 2021 2020 ABI (1) $ 1,973 $ 5,564 $ 223 Cronos (1) 213 415 (12) (Income) losses from investments under equity method of accounting 2,186 5,979 211 JUUL (2) 1,455 — (100) (Income) losses from investments in equity securities $ 3,641 $ 5,979 $ 111 (1) Includes our share of amounts recorded by our investees and additional adjustments, if required, related to (i) the conversion from international financial reporting standards to GAAP and (ii) adjustments to our investment required under the equity method of accounting. (2) Investment in JUUL is accounted for as an investment in an equity security measured at fair value. See below for further discussion. Investees’ summarized financial data for our equity method investments was as follows: For Altria’s Year Ended December 31, 2022 (1) 2021 (1) 2020 (1) (in millions) ABI Other Investments ABI Other Investments ABI Other Investments Net revenues $ 57,267 $ 947 $ 52,864 $ 1,313 $ 48,294 $ 37 Gross profit $ 31,588 $ 525 $ 30,653 $ 757 $ 28,438 $ (31) Earnings (losses) from continuing operations $ 7,879 $ (521) $ 7,434 $ (800) $ 4,265 $ 99 Net earnings (losses) $ 7,879 $ (521) $ 7,434 $ (800) $ 4,266 $ 98 Net earnings (losses) attributable to equity investments $ 5,838 $ (520) $ 5,780 $ (798) $ 3,323 $ 100 At September 30, 2022 (1) 2021 (1) (in millions) ABI Other Investments ABI Other Investments Current assets $ 24,164 $ 963 $ 21,593 $ 1,882 Long-term assets $ 182,087 $ 274 $ 190,082 $ 1,049 Current liabilities $ 32,649 $ 38 $ 33,540 $ 451 Long-term liabilities $ 96,497 $ 8 $ 105,973 $ 2,277 Convertible Preferred Stock $ — $ — $ — $ 715 Noncontrolling interests $ 11,778 $ (3) $ 11,356 $ (3) (1) Reflects a one-quarter lag. Other Investments reflect summarized financial data of Cronos, as well as JUUL’s financial data for the periods during which we accounted for our investment in JUUL as an equity method investment under the fair value option. Investment in ABI At December 31, 2022, we had an approximate 10.0% ownership interest in ABI, consisting of 185 million restricted shares of ABI (the “Restricted Shares”) and 12 million ordinary shares of ABI. The Restricted Shares: ▪ are unlisted and not admitted to trading on any stock exchange; ▪ are convertible by us into ordinary shares of ABI on a one-for-one basis; ▪ rank equally with ordinary shares of ABI with regards to dividends and voting rights; and ▪ have director nomination rights with respect to ABI. As of this filing, we have not elected to convert our Restricted Shares into ordinary shares of ABI. We account for our investment in ABI under the equity method of accounting because we have the ability to exercise significant influence over the operating and financial policies of ABI, including having active representation on ABI’s board of directors and certain ABI board committees. Through this representation, we participate in ABI’s policy making processes. We report our share of ABI’s results using a one-quarter lag because ABI’s results are not available in time for us to record them in the concurrent period. The fair value of our equity investment in ABI is based on (i) unadjusted quoted prices in active markets for ABI’s ordinary shares and was classified in Level 1 of the fair value hierarchy and (ii) observable inputs other than Level 1 prices, such as quoted prices for similar assets for the Restricted Shares, and was classified in Level 2 of the fair value hierarchy. We can convert our Restricted Shares to ordinary shares at our discretion. Therefore, the fair value of each Restricted Share is based on the value of an ordinary share. At December 31, 2021, the fair value of our equity investment in ABI was $11.9 billion (carrying value of $11.1 billion), which exceeded its carrying value by $0.8 billion or approximately 7%. In the second quarter of 2022, the fair value declined below its carrying value and at June 30, 2022, the fair value was below its carrying value by $1.1 billion or approximately 9%. We concluded that the decline in fair value below its carrying value was temporary and, therefore, we did not record an impairment charge at that time. At September 30, 2022, the fair value of our equity investment in ABI of $9.0 billion was below its carrying value by $2.5 billion or approximately 22%. We concluded that the decline in fair value at September 30, 2022 was other than temporary as we anticipated that the full recovery to the carrying value would take longer than previously expected. In reaching this conclusion, we evaluated the factors related to the fair value decline, including the macroeconomic and geopolitical factors that have significantly impacted certain foreign exchange rates and global equity markets. As a result of our conclusion, we recorded a non-cash, pre-tax impairment charge of $2.5 billion during the third quarter of 2022, which was recorded to (income) losses from investments in equity securities in our consolidated statements of earnings. This impairment charge reflected the difference between the fair value of our equity investment in ABI using ABI’s share price and the Euro to U.S dollar exchange rate at September 30, 2022 and the carrying value of our equity investment in ABI at September 30, 2022. After recording the impairment charge, each of the fair value and carrying value at September 30, 2022 was $9.0 billion. At December 31, 2022, the fair value of our equity investment in ABI was $11.9 billion (carrying value of $9.0 billion), which exceeded its carrying value by approximately 33%. At September 30, 2021, the fair value of our equity investment in ABI of $11.2 billion declined below its carrying value by $6.2 billion or approximately 35%. We concluded that the decline in fair value at September 30, 2021 was other than temporary. As a result of our conclusion, we recorded a non-cash, pre-tax impairment charge of $6.2 billion during the third quarter of 2021, which was recorded to (income) losses from investments in equity securities in our consolidated statements of earnings. After recording the impairment charge, each of the fair value and carrying value at September 30, 2021 was $11.2 billion. At December 31, 2022, the carrying value of our equity investment in ABI exceeded its share of ABI’s net assets attributable to equity holders of ABI by approximately $2.5 billion. Substantially all of this difference is comprised of goodwill and other indefinite-lived intangible assets (consisting primarily of trademarks). Investment in JUUL In December 2018, we made an investment in JUUL for $12.8 billion and received a 35% economic interest in JUUL through non-voting shares, which we converted at our election into voting shares in November 2020 (“Share Conversion”), and a security convertible into additional non-voting or voting shares, as applicable, upon settlement or exercise of certain JUUL convertible securities (the “JUUL Transaction”). At December 31, 2022, we had a 35% economic ownership interest in JUUL, consisting of 42 million voting shares. We are subject to a standstill restriction under which we may not acquire additional JUUL shares above our 35% interest and may not sell or transfer any of our JUUL shares until December 20, 2024. Furthermore, at the time of the investment, we agreed to non-competition obligations generally requiring that we participate in the e-vapor business only through JUUL. In January 2020, we amended certain JUUL Transaction agreements and entered into a new cooperation agreement. One of the provisions in the amendments was the option to be released from our non-compete obligation under certain circumstances, including if the carrying value of our investment in JUUL was not more than 10% of its initial carrying value of $12.8 billion. At June 30, 2022, the carrying value of our investment in JUUL was $450 million, which was less than 10% of our initial carrying value of $12.8 billion. As a result, in September 2022, we exercised our option to be released from our JUUL non-competition obligations, resulting in (i) the permanent termination of our non-competition obligations to JUUL, (ii) the loss of our JUUL board designation rights (other than the right to designate one independent director so long as our ownership continues to be at least 10%), our preemptive rights, our consent rights and certain other rights with respect to our investment in JUUL and (iii) the conversion of our JUUL shares to single vote common stock, significantly reducing our voting power. We do not currently intend to exercise our remaining governance rights or to vote our JUUL shares other than as a passive investor. Additionally, as part of the amendment to certain JUUL Transaction agreements in January 2020, we agreed not to pursue any claims against JUUL for indemnification or reimbursement except for any non-contractual claims for contribution or indemnity where a judgment has been entered against us and JUUL with respect to certain litigation in which we and JUUL are both defendants against third-party plaintiffs. In April 2020, the U.S. Federal Trade Commission (“FTC”) issued an administrative complaint challenging our investment in JUUL. In February 2022, the administrative law judge dismissed the FTC’s complaint. FTC complaint counsel appealed that decision to the FTC, which appeal remains pending. For further discussion, see Note 17. Contingencies - Antitrust Litigation . In June 2022, the U.S. Food and Drug Administration (“FDA”) issued marketing denial orders (“MDOs”) to JUUL ordering all of JUUL’s products currently marketed in the United States off the market. In July 2022, the FDA administratively stayed the MDOs on a temporary basis, citing its determination that there are scientific issues unique to the JUUL PMTAs that warrant additional review. This administrative stay temporarily suspends the MDOs and JUUL’s products remain on the market. Following Share Conversion in the fourth quarter of 2020, we elected to account for our equity method investment in JUUL under the fair value option. In making this election, we believed measuring our investment at fair value provided quarterly transparency to investors as to the fair market value of our investment in JUUL, given the changes and volatility in the e-vapor category since our initial investment, as well as the lack of publicly available information regarding JUUL’s business or a market-derived valuation. As a result of our loss of certain rights due to our exercise of our option to be released from our JUUL non-competition obligations in the third quarter of 2022, we determined that we no longer have the ability to exercise significant influence over the operating and financial policies of JUUL. Therefore, we are no longer able to account for our investment in JUUL as an equity method investment. Beginning with the period ended September 30, 2022, we account for our investment in JUUL as an investment in an equity security. We will continue to measure our investment in JUUL at fair value, in accordance with GAAP. Our consolidated statements of earnings include any cash dividends received from our investment in JUUL (none received to date) and any changes in the estimated fair value of our investment, which is calculated quarterly. The following table provides a reconciliation of the beginning and ending balance of our investment in JUUL, which is classified in Level 3 of the fair value hierarchy: (in millions) Investment Balance Balance at December 31, 2020 $ 1,705 Unrealized gains (losses) included in (income) losses from investments in equity securities — Balance at December 31, 2021 1,705 Unrealized gains (losses) included in (income) losses from investments in equity securities (1,455) Balance at December 31, 2022 $ 250 Prior to Share Conversion, we accounted for our investment in JUUL as an investment in an equity security. Since the JUUL shares do not have a readily determinable fair value, we elected to measure our investment in JUUL at its cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. There were no upward or downward adjustments to the carrying value of our investment in JUUL resulting from observable price changes in orderly transactions since the JUUL Transaction through the date of Share Conversion. In addition, prior to Share Conversion, we reviewed our investment in JUUL for impairment by performing a qualitative assessment of impairment indicators on a quarterly basis in connection with the preparation of our financial statements. If this qualitative assessment indicated that our investment in JUUL may be impaired, a quantitative assessment was performed. If the quantitative assessment indicated the estimated fair value of the investment was less than its carrying value, the investment was written down to its estimated fair value. 2022 Financial Activity ▪ For the year ended December 31, 2022, we recorded non-cash, pre-tax unrealized losses of $1,455 million as a result of changes in the estimated fair value of our investment in JUUL. The decrease in the estimated fair value was primarily driven by (i) a decrease in the likelihood of a favorable outcome from the FDA for JUUL’s products that are currently marketed in the United States, which have received MDOs and are now under additional administrative review, (ii) a decrease in the likelihood of JUUL maintaining adequate liquidity to fund projected cash needs, which could result in JUUL seeking protection under bankruptcy or other insolvency laws, (iii) projections of higher operating expenses resulting in lower long-term operating margins, (iv) projections of lower JUUL revenues in the United States over time due to lower JUUL volume assumptions and (v) an increase in the discount rate due to changes in market factors, partially offset by the effect of passage of time on the projected cash flows. 2021 Financial Activity ▪ For the year ended December 31, 2021, we recorded no change in the estimated fair value of our investment in JUUL. During the year ended December 31, 2021, the estimated fair value was primarily impacted by our projections of lower JUUL revenues in the United States over time due to lower JUUL volume assumptions offset by (i) the effect of passage of time on the projected cash flows and (ii) a decrease in the discount rate due to changes in market factors. 2020 Financial Activity ▪ We recorded a non-cash pre-tax unrealized gain of $100 million for the fourth quarter and year ended December 31, 2020 as a result of an increase in the estimated fair value of our investment in JUUL. ▪ In September 2020, JUUL announced a strategic update, which included its plans for a significant global workforce reduction, its evaluation of its resource allocation and the possibility of exiting various international markets. As part of the preparation of our financial statements for the period ended September 30, 2020, we performed a qualitative assessment of impairment indicators for our investment in JUUL and determined that JUUL’s strategic update was an indicator of impairment at September 30, 2020, given the significant deterioration in JUUL’s business prospects. Given the existence of this impairment indicator, we performed a quantitative valuation of our investment in JUUL during the third quarter of 2020 and recorded a non-cash, pre-tax impairment charge of $2.6 billion for the year ended December 31, 2020, reported as impairment of JUUL equity securities in our consolidated statements of earnings. The impairment charge was driven by our projections of lower JUUL revenues over time due to lower pricing assumptions and delays in JUUL achieving previously forecasted operating margin performance. These drivers were the result of (i) JUUL’s revised international expansion plans and (ii) the evolving U.S. e-vapor category and associated competitive dynamics. We use an income approach to estimate the fair value of our investment in JUUL. The income approach reflects the discounting of future cash flows for the U.S. and international markets at a rate of return that incorporates the risk-free rate for the use of those funds, the expected rate of inflation and the risks associated with realizing future cash flows. Investment in Cronos At December 31, 2022, we had a 41.1% ownership interest in Cronos, consisting of 156.6 million shares, which we account for under the equity method of accounting. Our ownership percentage decreased from 41.8% at December 31, 2021 due to the issuance of additional shares by Cronos. We report our share of Cronos’s results using a one-quarter lag because Cronos’s results are not available in time for us to record them in the concurrent period. The fair value of our equity method investment in Cronos is based on unadjusted quoted prices in active markets for Cronos’s common shares and was classified in Level 1 of the fair value hierarchy. At December 31, 2021, each of the fair value and carrying value of our equity method investment in Cronos was $617 million. In the second quarter of 2022, the fair value of our equity method investment in Cronos declined below its carrying value and had not recovered as of June 30, 2022. At June 30, 2022, the fair value was less than its carrying value by approximately 20%. We concluded that the decline in fair value was other than temporary. As a result, we recorded a non-cash, pre-tax impairment charge of $107 million in the second quarter of 2022, which was recorded to (income) losses from investments in equity securities in our consolidated statements of earnings. The impairment charge reflects the difference between the fair value of our equity method investment in Cronos using Cronos’s share price and the Canadian dollar (“CAD”) to U.S. dollar exchange rate at June 30, 2022 and the carrying value of our equity method investment in Cronos at June 30, 2022. After recording the impairment charge, each of the fair value and carrying value at June 30, 2022 was $437 million. At December 31, 2022, the fair value of our equity method investment in Cronos exceeded its carrying value by $22 million or approximately 6%. At December 31, 2021, the fair value of our equity method investment in Cronos was less than its carrying value by approximately 25%. We concluded that the decline in fair value at December 31, 2021 was other than temporary. As a result, we recorded a non-cash, pre-tax impairment charge of $205 million for the year ended December 31, 2021, which was recorded to (income) losses from investments in equity securities in our consolidated statement of earnings. After recording the impairment charge, each of the fair value and carrying value at December 31, 2021 was $617 million. As part of our Investment in Cronos, at December 31, 2022, we also owned anti-dilution protections to purchase Cronos common shares, exercisable each quarter upon dilution, to maintain our ownership percentage. Certain of the anti-dilution protections provide us the ability to purchase additional Cronos common shares at a per share exercise price of CAD $16.25 upon the occurrence of specified events (“Fixed-price Preemptive Rights”). Based on our assumptions as of December 31, 2022, we estimate the Fixed-price Preemptive Rights allows us to purchase up to an additional approximately 7 million common shares of Cronos. Prior to December 15, 2022, we also owned a warrant providing us the ability to purchase an additional approximate 10% of common shares of Cronos at a per share exercise price of CAD $19.00, which would have expired on March 8, 2023. On December 15, 2022, we irrevocably abandoned the Cronos warrant, and we no longer owned the warrant as of December 31, 2022. The Fixed-price Preemptive Rights are derivative financial instruments, which are required to be recorded at fair value and are classified in Level 3 of the fair value hierarchy. Prior to irrevocably abandoning the Cronos warrant on December 15, 2022, the Cronos warrant was also a derivative financial instrument recorded at fair value. We record in our consolidated statements of earnings any changes in the fair values of the Fixed-price Preemptive Rights and Cronos warrant as gains or losses on Cronos-related financial instruments in the periods in which the changes occur. We recorded non-cash, pre-tax unrealized losses, representing these changes, as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Fixed-price Preemptive Rights $ 1 $ 23 $ 45 Cronos warrant 14 125 95 Total $ 15 $ 148 $ 140 |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | Financial Instruments We enter into derivative financial instruments to mitigate the potential impact of certain market risks, including foreign currency exchange rate risk. We use various types of derivative financial instruments, including forward contracts, options and swaps. We do not enter into or hold derivative financial instruments for trading or speculative purposes. Our investment in ABI, whose functional currency is the Euro, exposes us to foreign currency exchange risk on the carrying value of our investment. To manage this risk, we may designate certain foreign exchange contracts, including cross-currency swap contracts and forward contracts (collectively, “foreign currency contracts”), and Euro denominated unsecured long-term notes (“foreign currency denominated debt”) as net investment hedges of our investment in ABI. In May 2021, all outstanding foreign currency contracts matured and, at December 31, 2022 and 2021, we had no outstanding foreign currency contracts. When we have foreign currency contracts in effect, counterparties are domestic and international financial institutions. Under these contracts, we are exposed to potential losses in the event of non-performance by these counterparties. We manage our credit risk by entering into transactions with counterparties that have investment grade credit ratings, limiting the amount of exposure we have with each counterparty and monitoring the financial condition of each counterparty. The counterparty agreements contain provisions that require us to maintain an investment grade credit rating. In the event our credit rating falls below investment grade, counterparties to our foreign currency contracts can require us to post collateral. The aggregate carrying value and fair value of our total long-term debt were as follows at December 31: (in millions) 2022 2021 Carrying value $ 26,680 $ 28,044 Fair value 22,928 30,459 Foreign currency denominated debt included in long-term debt: Carrying value 4,540 4,817 Fair value 4,165 5,114 Our estimate of the fair value of our total long-term debt is based on observable market information derived from a third-party pricing source and is classified in Level 2 of the fair value hierarchy. The decrease in the fair value of our long-term debt was primarily driven by (i) rising interest rates in 2022, (ii) the August 2022 $1.1 billion repayment at maturity of senior unsecured notes and (iii) changes in Euro denominated debt resulting from the strengthening of the U.S. dollar versus the Euro during 2022. Net Investment Hedging The pre-tax effects of our net investment hedges on accumulated other comprehensive losses and our consolidated statements of earnings were as follows: (Gain) Loss Recognized in Accumulated Other Comprehensive Losses (Gain) Loss Recognized For the Years Ended December 31, (in millions) 2022 2021 2020 2022 2021 2020 Foreign currency contracts $ — $ (16) $ 79 $ — $ (7) $ (40) Foreign currency denominated debt (281) (359) 424 — — — Total $ (281) $ (375) $ 503 $ — $ (7) $ (40) We recognized changes in the fair value of the foreign currency contracts and in the carrying value of the foreign currency denominated debt due to changes in the Euro to U.S. dollar exchange rate in accumulated other comprehensive losses related to ABI. We recognized gains on the foreign currency contracts arising from components excluded from effectiveness testing in interest and other debt expense, net in our consolidated statements of earnings based on an amortization approach. |
Short-Term Borrowings and Borro
Short-Term Borrowings and Borrowing Arrangements | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Short-Term Borrowings and Borrowing Arrangements | Short-Term Borrowings and Borrowing Arrangements At December 31, 2022 and 2021, we had no short-term borrowings. In August 2022, we entered into an extension and amendment (the “Extension and Amendment”) to our $3.0 billion senior unsecured 5-year revolving credit agreement (as amended, the “Credit Agreement”). The Extension and Amendment (i) extended the maturity date of the Credit Agreement from August 1, 2024 to August 1, 2025 and (ii) amended the Credit Agreement to update the benchmark interest rate to a rate based on the Term Secured Overnight Financing Rate (“Term SOFR”) and make certain other market updates. All other terms and conditions of the Credit Agreement remain in full force and effect. The Credit Agreement is used for general corporate purposes. At December 31, 2022 and 2021, we had availability under the Credit Agreement for borrowings of up to an aggregate principal amount of $3.0 billion. Pricing for interest and fees under the Credit Agreement may be modified in the event of a change in the rating of our long-term senior unsecured debt. We expect interest rates on borrowings under the Credit Agreement to be based on the Term SOFR plus a percentage based on the higher of the ratings of our long-term senior unsecured debt from Moody’s Investors Service, Inc. (“Moody’s”) and Standard & Poor’s Financial Services LLC (“S&P”). The applicable percentage for borrowings under the Credit Agreement at December 31, 2022 was 1.0% based on our long-term senior unsecured debt ratings on that date. The Credit Agreement does not include any other rating triggers or any provisions that could require the posting of collateral. The Credit Agreement includes various covenants, one of which requires us to maintain a ratio of consolidated earnings before interest, taxes, depreciation and amortization (“EBITDA”) to Consolidated Interest Expense of not less than 4.0 to 1.0, calculated as of the end of the applicable quarter on a rolling four quarters basis. At December 31, 2022, the ratio of consolidated EBITDA to Consolidated Interest Expense, calculated in accordance with the Credit Agreement, was 11.0 to 1.0. At December 31, 2022, we were in compliance with our covenants in the Credit Agreement. The terms “Consolidated EBITDA” and “Consolidated Interest Expense,” each as defined in the Credit Agreement, include certain adjustments. In March 2020, due to the uncertainty at that time in the global capital markets, including the commercial paper markets, resulting from the COVID-19 pandemic, we elected to borrow the full $3.0 billion available under the Credit Agreement as a precautionary measure to increase our cash position and preserve financial flexibility. In June 2020, we repaid the full amount outstanding under the Credit Agreement using the net proceeds from the issuance of long-term senior unsecured notes issued in May 2020 and available cash. Any commercial paper issued by us and borrowings under the Credit Agreement are guaranteed by PM USA as further discussed in Note 8. Long-Term Debt. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Our long-term debt consisted of the following at December 31: (in millions) 2022 2021 USD notes, 2.350% to 10.20%, interest payable semi-annually, due through 2061 (1) $ 22,098 $ 23,185 USD debenture, 7.75%, interest payable semi-annually, due 2027 42 42 Euro notes, 1.000% to 3.125%, interest payable annually, due through 2031 (2) 4,540 4,817 26,680 28,044 Less current portion of long-term debt 1,556 1,105 $ 25,124 $ 26,939 (1) Weighted-average coupon interest rate of and 4.4% at December 31, 2022 and 2021. (2) Weighted-average coupon interest rate of 2.0% at December 31, 2022 and 2021. At December 31, 2022, our outstanding long-term debt consisted of the following: (in millions) Type Face Value Interest Rate Issuance Maturity Euro notes €1,250 1.000% February 2019 February 2023 USD notes $218 2.950% May 2013 May 2023 USD notes $776 4.000% October 2013 January 2024 USD notes $345 3.800% February 2019 February 2024 USD notes $750 2.350% May 2020 May 2025 Euro notes €750 1.700% February 2019 June 2025 USD notes $1,069 4.400% February 2019 February 2026 USD notes $500 2.625% September 2016 September 2026 USD debenture $42 7.750% January 1997 January 2027 Euro notes €1,000 2.200% February 2019 June 2027 USD notes $1,906 4.800% February 2019 February 2029 USD notes $750 3.400% May 2020 May 2030 Euro notes €1,250 3.125% February 2019 June 2031 USD notes $1,750 2.450% February 2021 February 2032 USD notes $177 9.950% November 2008 November 2038 USD notes $208 10.200% February 2009 February 2039 USD notes $2,000 5.800% February 2019 February 2039 USD notes $1,500 3.400% February 2021 February 2041 USD notes $900 4.250% August 2012 August 2042 USD notes $650 4.500% May 2013 May 2043 USD notes $1,800 5.375% October 2013 January 2044 USD notes $1,500 3.875% September 2016 September 2046 USD notes $2,500 5.950% February 2019 February 2049 USD notes $500 4.450% May 2020 May 2050 USD notes $1,250 3.700% February 2021 February 2051 USD notes $271 6.200% February 2019 February 2059 USD notes $1,000 4.000% February 2021 February 2061 At December 31, 2022, aggregate maturities of our long-term debt were as follows: (in millions) Aggregate Maturities 2023 $ 1,556 2024 1,121 2025 1,553 2026 1,569 2027 1,113 Thereafter 20,000 26,912 Less: debt issuance costs 148 debt discounts 84 $ 26,680 At December 31, 2022 and 2021, accrued interest on long-term debt of $411 million and $429 million, respectively, was included in other accrued liabilities on our consolidated balance sheets. In August 2022, we repaid in full our 2.850% senior unsecured notes in the aggregate principal amount of $1.1 billion at maturity. All of our notes are senior unsecured obligations and rank equally in right of payment with all of our existing and future senior unsecured indebtedness. Following the occurrence of both (i) a change of control of Altria and (ii) the notes ceasing to be rated investment grade by each of Moody’s, S&P and Fitch Ratings Inc., we will be required to make an offer to purchase the notes at a price equal to 101% of the aggregate principal amount of such notes, plus accrued and unpaid interest to the date of repurchase as and to the extent set forth in the terms of the notes. ▪ Debt Tender Offers and Redemption: During the first quarter of 2021, we completed debt tender offers to purchase for cash certain of our long-term senior unsecured notes in an aggregate principal amount of $4,042 million. Details of the debt tender offers were as follows: (in millions) Principal Amount of Notes Purchased 2.850% Notes due 2022 $ 795 2.950% Notes due 2023 132 4.000% Notes due 2024 624 3.800% Notes due 2024 655 4.400% Notes due 2026 430 4.800% Notes due 2029 1,094 9.950% Notes due 2038 65 10.200% Notes due 2039 18 6.200% Notes due 2059 229 $ 4,042 During the first quarter of 2021, we also redeemed all of our outstanding 3.490% senior unsecured notes due to mature in 2022 in the aggregate principal amount of $1.0 billion. As a result of the debt tender offers and redemption, during the first quarter of 2021, we recorded pre-tax losses on early extinguishment of debt of $649 million, which included premiums and fees of $623 million and the write-off of unamortized debt discounts and debt issuance costs of $26 million. PM USA (the “Guarantor”), which is a 100% owned subsidiary of Altria Group, Inc. (the “Parent”), has guaranteed the Parent’s obligations under its outstanding debt securities, borrowings under its Credit Agreement and amounts outstanding under its commercial paper program (the “Guarantees”). Pursuant to the Guarantees, the Guarantor fully and unconditionally guarantees, as primary obligor, the payment and performance of the Parent’s obligations under the guaranteed debt instruments (the “Obligations”), subject to release under certain customary circumstances as noted below. The Guarantees provide that the Guarantor guarantees the punctual payment when due, whether at stated maturity, by acceleration or otherwise, of the Obligations. The liability of the Guarantor under the Guarantees is absolute and unconditional irrespective of: any lack of validity, enforceability or genuineness of any provision of any agreement or instrument relating thereto; any change in the time, manner or place of payment of, or in any other term of, all or any of the Obligations, or any other amendment or waiver of or any consent to departure from any agreement or instrument relating thereto; any exchange, release or non-perfection of any collateral, or any release or amendment or waiver of or consent to departure from any other guarantee, for all or any of the Obligations; or any other circumstance that might otherwise constitute a defense available to, or a discharge of, the Parent or the Guarantor. The Parent is a holding company; therefore, its access to the operating cash flows of its wholly owned subsidiaries consists of cash received from the payment of dividends and distributions, and the payment of interest on intercompany loans by its subsidiaries. Neither the Guarantor nor other 100% owned subsidiaries of the Parent that are not guarantors of the Obligations are limited by contractual obligations on their ability to pay cash dividends or make other distributions with respect to their equity interests. For a discussion of the fair value of our long-term debt and the designation of our Euro denominated senior unsecured notes as a net investment hedge of our investment in ABI, see Note 6. Financial Instruments . |
Capital Stock
Capital Stock | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Capital Stock | Capital Stock At December 31, 2022, we had 12 billion shares of authorized common stock; issued, repurchased and outstanding shares of common stock consisted of the following: Shares Issued Shares Repurchased Shares Outstanding Balances, December 31, 2019 2,805,961,317 (947,979,763) 1,857,981,554 Stock award activity — 437,611 437,611 Balances, December 31, 2020 2,805,961,317 (947,542,152) 1,858,419,165 Stock award activity — 412,569 412,569 Repurchases of common stock — (35,656,116) (35,656,116) Balances, December 31, 2021 2,805,961,317 (982,785,699) 1,823,175,618 Stock award activity — 514,816 514,816 Repurchases of common stock — (38,156,312) (38,156,312) Balances, December 31, 2022 2,805,961,317 (1,020,427,195) 1,785,534,122 At December 31, 2022, we had 26,698,134 shares of common stock reserved for stock-based awards under our stock plans. At December 31, 2022, we had 10 million authorized shares of serial preferred stock, $1.00 par value; no shares of serial preferred stock have been issued. ▪ Dividends: In the third quarter of 2022, our Board of Directors (“Board of Directors” or “Board”) approved a 4.4% increase in the quarterly dividend rate to $0.94 per share of our common stock versus the previous rate of $0.90 per share. The current annualized dividend rate is $3.76 per share. Future dividend payments remain subject to the discretion of our Board. ▪ Share Repurchases: In January 2021, our Board of Directors authorized a $2.0 billion share repurchase program that it expanded to $3.5 billion in October 2021 (as expanded, the “January 2021 share repurchase program”). We completed the January 2021 share repurchase program in December 2022. In January 2023, our Board of Directors authorized a new $1.0 billion share repurchase program. The timing of share repurchases under this program depends upon marketplace conditions and other factors, and the program remains subject to the discretion of our Board. Our total share repurchase activity was as follows for the years ending December 31: January 2021 Share Repurchase Program (in millions, except per share data) 2022 2021 Total Total number of shares repurchased 38.1 35.7 73.8 Aggregate cost of shares repurchased $ 1,825 $ 1,675 $ 3,500 Average price per share of shares repurchased $ 47.83 $ 46.97 $ 47.42 We did not repurchase any shares in 2020. |
Stock Plans
Stock Plans | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Plans | Stock Plans In 2020, our Board of Directors adopted, and shareholders approved, the Altria Group, Inc. 2020 Performance Incentive Plan (the “2020 Plan”) under which we may grant stock options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”), performance stock units (“PSUs”) and other stock-based awards, as well as cash-based annual and long-term incentive awards to our employees. Any awards granted under the 2020 Plan may be in the form of performance-based awards, including PSUs subject to the achievement or satisfaction of performance goals and performance cycles. We may issue up to 25 million shares of common stock under the 2020 Plan. In addition, under the 2015 Stock Compensation Plan for Non-Employee Directors (the “Directors Plan”), we may grant up to one million shares of common stock to members of the Board of Directors who are not employees of Altria. At December 31, 2022, we had 21,972,920 and 650,121 shares available to be granted under the 2020 Plan and the Directors Plan, respectively. ▪ RSUs: During the vesting period, RSUs include nonforfeitable rights to dividend equivalents and may not be sold, assigned, pledged or otherwise encumbered. RSUs are subject to forfeiture if certain employment conditions are not met. We estimate the number of awards expected to be forfeited and adjust this estimate when subsequent information indicates that the actual number of forfeitures is likely to differ from previous estimates. RSUs generally vest three years after the grant date. We amortize to expense ratably over the restriction period, which is generally three years, the fair value of the RSUs at the date of grant, net of estimated forfeitures. We recorded pre-tax compensation expense related to RSUs for the years ended December 31, 2022, 2021 and 2020 of $41 million, $34 million and $31 million, respectively. We recorded a deferred tax benefit related to this compensation expense of $10 million, $9 million and $8 million for the years ended December 31, 2022, 2021 and 2020, respectively. The unamortized compensation expense related to RSUs was $73 million at December 31, 2022, which we expect to be recognized over a weighted-average period of approximately two years. RSU activity was as follows: Number of Shares Weighted-Average Grant Date Fair Value Per Share Balance at December 31, 2021 2,702,462 $ 46.84 Granted 1,206,601 $ 49.22 Vested (556,399) $ 51.96 Forfeited (94,869) $ 45.10 Balance at December 31, 2022 3,257,795 $ 46.90 The weighted-average grant date fair value of RSUs granted during the years ended December 31, 2022, 2021 and 2020 was $59 million, $48 million and $49 million, respectively, or $49.22, $45.22 and $42.59 per RSU, respectively. The total vesting date fair value of RSUs that vested during the years ended December 31, 2022, 2021 and 2020 was $29 million, $19 million and $25 million, respectively. ▪ PSUs: We granted an aggregate of 215,205, 229,494 and 275,288 of PSUs during 2022, 2021 and 2020, respectively. The payout of the PSUs is based on the extent to which we achieve certain performance measures over the three-year performance period. Performance measures consist of our adjusted diluted earnings per share compounded annual growth rate and a cash conversion measure. Additionally, the payout resulting from the performance measures is then adjusted up or down by a total shareholder return (“TSR”) performance multiplier, which depends on our relative TSR to a predetermined peer group. PSUs are subject to forfeiture if certain employment conditions are not met. At December 31, 2022, we had 628,693 PSUs outstanding, with a weighted-average grant date fair value of $47.62 per PSU. We amortize to expense over the performance period the fair value of PSUs at the date of grant, net of estimated forfeitures. We recorded pre-tax compensation expense related to PSUs for the years ended December 31, 2022, 2021 and 2020 of $9 million, $6 million and $4 million, respectively. The unamortized compensation expense related to PSUs was $13 million at December 31, 2022. |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Earnings per Share We calculated basic and diluted earnings per share (“EPS”) using the following: For the Years Ended December 31, (in millions) 2022 2021 2020 Net earnings attributable to Altria $ 5,764 $ 2,475 $ 4,467 Less: Distributed and undistributed earnings attributable to share-based awards (13) (11) (8) Earnings for basic and diluted EPS $ 5,751 $ 2,464 $ 4,459 Weighted-average shares for basic EPS 1,804 1,845 1,858 Plus: contingently issuable PSUs — — 1 Weighted-average shares for diluted EPS 1,804 1,845 1,859 |
Other Comprehensive Earnings_Lo
Other Comprehensive Earnings/Losses | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Other Comprehensive Earnings/Losses | Other Comprehensive Earnings/Losses Changes in each component of accumulated other comprehensive losses, net of deferred income taxes, attributable to Altria were as follows: (in millions) Benefit Plans ABI Currency Accumulated Balances, December 31, 2019 $ (2,192) $ (693) $ 21 $ (2,864) Other comprehensive earnings (losses) before reclassifications (454) (1,613) (4) (2,071) Deferred income taxes 115 352 — 467 Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes (339) (1,261) (4) (1,604) Amounts reclassified to net earnings 148 21 — 169 Deferred income taxes (37) (5) — (42) Amounts reclassified to net earnings, net of deferred income taxes 111 16 — 127 Other comprehensive earnings (losses), net of deferred income taxes (228) (1,245) (1) (4) (1,477) Balances, December 31, 2020 (2,420) (1,938) 17 (4,341) Other comprehensive earnings (losses) before reclassifications 961 627 25 1,613 Deferred income taxes (245) (141) — (386) Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes 716 486 25 1,227 Amounts reclassified to net earnings 122 (76) 35 81 Deferred income taxes (30) 16 (9) (23) Amounts reclassified to net earnings, net of deferred income taxes 92 (60) 26 58 Other comprehensive earnings (losses), net of deferred income taxes 808 426 (1) 51 1,285 Balances, December 31, 2021 (1,612) (1,512) 68 (3,056) Other comprehensive earnings (losses) before reclassifications 145 275 (33) 387 Deferred income taxes (35) (65) — (100) Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes 110 210 (33) 287 Amounts reclassified to net earnings 88 (85) (1) 2 Deferred income taxes (22) 18 — (4) Amounts reclassified to net earnings, net of deferred income taxes 66 (67) (1) (2) Other comprehensive earnings (losses), net of deferred income taxes 176 143 (1) (34) 285 Balances, December 31, 2022 $ (1,436) $ (1,369) $ 34 $ (2,771) (1) Primarily reflected our share of ABI’s currency translation adjustments and the impact of our designated net investment hedges related to our equity investment in ABI. For further discussion of designated net investment hedges, see Note 6. Financial Instruments . Pre-tax amounts by component, reclassified from accumulated other comprehensive losses to net earnings were as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Benefit Plans: (1) Net loss $ 127 $ 163 $ 173 Prior service cost/credit (39) (41) (25) 88 122 148 ABI (2) (85) (76) 21 Currency Translation Adjustments and Other (3) (1) 35 — Pre-tax amounts reclassified from accumulated other comprehensive losses to net earnings $ 2 $ 81 $ 169 (1) Amounts were included in net defined benefit plan costs. For further details, see Note 15. Benefit Plans. (2) Amounts were included in (income) losses from investments in equity securities. For further information, see Note 5. Investments in Equity Securities. (3) 2021 amounts were included in marketing, administration and research costs and are related to the Ste. Michelle Transaction. For further details, see Note 15. Benefit Plans. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes In August 2022, the U.S. Government enacted legislation commonly referred to as the Inflation Reduction Act. The main provisions of the Inflation Reduction Act that we anticipate may impact us are (i) a 15% corporate alternative minimum tax (“Corporate AMT”) and (ii) a 1% excise tax on share repurchases, which we expect to record in equity on our consolidated statements of stockholders’ equity (deficit), in each case effective for tax years beginning after December 31, 2022. We will be considered an “applicable corporation” for purposes of the new Corporate AMT. Our regular federal income tax liability will generally exceed our Corporate AMT liability. Certain unique circumstances, however, may result in a Corporate AMT liability, including when tax losses are reported in a different year than book losses. Earnings (losses) before income taxes and provision (benefit) for income taxes consisted of the following: For the Years Ended December 31, (in millions) 2022 2021 2020 Earnings (losses) before income taxes: United States $ 7,628 $ 4,239 $ 6,842 Outside United States (239) (415) 48 Total $ 7,389 $ 3,824 $ 6,890 Provision (benefit) for income taxes: Current: Federal $ 1,968 $ 1,965 $ 2,025 State and local 603 542 553 Outside United States 1 2 22 2,572 2,509 2,600 Deferred: Federal (893) (1,190) (130) State and local (54) 30 (34) (947) (1,160) (164) Total provision for income taxes $ 1,625 $ 1,349 $ 2,436 Our U.S. subsidiaries join in the filing of a U.S. federal consolidated income tax return. The U.S. federal income tax statute of limitations remains open for the year 2017 and forward, with years 2017 through 2020 currently under examination by the Internal Revenue Service (“IRS”) as part of an audit conducted in the ordinary course of business. State statutes of limitations generally remain open for the year 2017 and forward. Certain of our state tax returns are currently under examination by various states as part of routine audits conducted in the ordinary course of business. A reconciliation of the beginning and ending amount of unrecognized tax benefits was as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Balance at beginning of year $ 53 $ 74 $ 64 Additions based on tax positions related to the current year 1 — — Additions for tax positions of prior years 16 40 12 Reductions for tax positions due to lapse of statutes of limitations — (5) — Reductions for tax positions of prior years — (23) (2) Tax settlements (1) (33) — Balance at end of year $ 69 $ 53 $ 74 The amount of unrecognized tax benefits that, if recognized, would impact the effective tax rate at December 31, 2022 was $44 million, along with $25 million affecting deferred taxes. The amount of unrecognized tax benefits that, if recognized, would impact the effective tax rate at December 31, 2021 was $31 million, along with $22 million affecting deferred taxes. At December 31, 2022, 2021 and 2020, the amount of accrued interest and penalties on our consolidated balance sheets was $18 million, $11 million and $15 million, respectively. For the years ended December 31, 2022, 2021 and 2020, we recognized in our consolidated statements of earnings $8 million, $(4) million and $4 million, respectively, of gross interest (income) expense associated with uncertain tax positions. We recognize accrued interest and penalties associated with uncertain tax positions as part of the tax provision. We are subject to income taxation in many jurisdictions. Unrecognized tax benefits reflect the difference between tax positions taken or expected to be taken on income tax returns and the amounts recognized in the financial statements. Resolution of the related tax positions with the relevant tax authorities may take many years to complete, and such timing is not entirely within our control. It is reasonably possible that within the next 12 months certain examinations will be resolved, which could result in a decrease in unrecognized tax benefits of approximately $1 million. A reconciliation between actual income taxes and amounts computed by applying the federal statutory rate to earnings before income taxes was as follows: For the Years Ended December 31, 2022 2021 2020 (dollars in millions) $ % $ % $ % U.S. federal statutory rate $ 1,552 21.0 % $ 803 21.0 % $ 1,447 21.0 % Increase (decrease) resulting from: State and local income taxes, net of federal tax benefit 435 5.9 451 11.8 410 6.0 Tax basis in foreign investments 11 0.1 25 0.7 23 0.3 Uncertain tax positions — — (25) (0.7) 9 0.1 Investment in ABI (24) (0.3) (16) (0.4) 3 0.1 Investment in JUUL 306 4.1 7 0.2 537 7.8 Investment in Cronos 30 0.4 128 3.3 20 0.3 Valuation allowance releases (664) (9.0) (15) (0.4) (19) (0.3) Other (21) (0.2) (9) (0.2) 6 0.1 Effective tax rate $ 1,625 22.0 % $ 1,349 35.3 % $ 2,436 35.4 % The tax provision (benefit) in 2022 included tax benefits of $664 million due primarily to the release of valuation allowances related to the anticipated ability to utilize a portion of existing capital losses. These tax benefits were partially offset by tax expense of $306 million for a valuation allowance recorded against a deferred tax asset related to the decreases in the estimated fair value of our investment in JUUL and by the state tax treatment of the impairment charge on our equity investment in ABI. The tax provision (benefit) in 2021 was impacted by the state tax treatment of the impairment charge on our equity investment in ABI. The tax provision (benefit) in 2021 also included net tax expense of $128 million related to our Investment in Cronos, including an addition to a valuation allowance on a deferred tax asset. The tax provision (benefit) in 2020 included tax expense of $612 million for a valuation allowance on a deferred tax asset related to our impairment of our investment in JUUL in the third quarter of 2020, partially offset by a $24 million tax benefit reflecting the decrease of a portion of the valuation allowance related to a reduction of a deferred tax asset associated with an increase in the estimated fair value of JUUL in the fourth quarter of 2020. The tax effects of temporary differences that gave rise to deferred income tax assets and liabilities consisted of the following at December 31: (in millions) 2022 2021 Deferred income tax assets: Accrued postretirement and postemployment benefits $ 303 $ 387 Settlement charges 729 835 Investment in JUUL 3,001 2,652 Investment in Cronos 407 403 Net operating losses and tax credit carryforwards 31 46 Total deferred income tax assets 4,471 4,323 Deferred income tax liabilities: Property, plant and equipment (233) (216) Intangible assets (2,849) (2,802) Investment in ABI (1,226) (1,695) Finance assets, net — (29) Accrued pension costs (70) (55) Other (115) (94) Total deferred income tax liabilities (4,493) (4,891) Valuation allowances (2,800) (3,097) Net deferred income tax liabilities $ (2,822) $ (3,665) At December 31, 2022, we had estimated gross state tax net operating losses of $19 million that, if unused, will expire in 2035 through 2038. A reconciliation of the beginning and ending valuation allowances was as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Balance at beginning of year $ 3,097 $ 2,817 $ 2,324 Additions to valuation allowance charged to income tax expense 429 401 692 Reductions to valuation allowance credited to income tax benefit (730) (118) (200) Foreign currency translation 4 (3) 1 Balance at end of year $ 2,800 $ 3,097 $ 2,817 We determine deferred tax assets and liabilities based on the difference between the financial statement and tax bases of assets and liabilities, using enacted tax rates in effect for the year in which the differences are expected to reverse. We record a valuation allowance when it is more likely than not that some portion or all of a deferred tax asset will not be realized. We determine the realizability of deferred tax assets based on the weight of all available positive and negative evidence. In reaching this determination, we consider the character of the assets and the possible sources of taxable income of the appropriate character within the available carryback and carryforward periods available under the tax law. The additions to valuation allowances during 2022 were primarily due to deferred tax assets recorded in connection with decreases in the estimated fair value of our investment in JUUL. The reductions to valuation allowances during 2022 were primarily due to the anticipated ability to utilize a portion of existing losses related to our investment in JUUL and the abandonment of our Cronos warrant. The cumulative valuation allowance at December 31, 2022 was primarily attributable to deferred tax assets recorded in connection with our investment in JUUL ($2,394 million) and our Investment in Cronos ($379 million). The changes in valuation allowances during 2021 were primarily due to deferred tax assets recorded in connection with our Investment in Cronos. The cumulative valuation allowance at December 31, 2021 was primarily attributable to deferred tax assets recorded in connection with our investment in JUUL ($2,652 million) and our Investment in Cronos ($407 million). The 2020 valuation allowance was primarily attributable to deferred tax assets recorded in connection with the impairments of our investment in JUUL ($2,610 million), and our Investment in Cronos ($121 million). For a discussion regarding the change in estimated fair value of our investment in JUUL, the impairment of our investment in ABI and the impairment of our Investment in Cronos, see Note 5. Investments in Equity Securities . |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting Our operating companies’ products include (i) smokeable tobacco products, consisting of combustible cigarettes manufactured and sold by PM USA, and machine-made large cigars and pipe tobacco manufactured and sold by Middleton; and (ii) oral tobacco products, consisting of MST and snus products manufactured and sold by USSTC, and oral nicotine pouches manufactured and sold by Helix. These products constituted our reportable segments of smokeable products and oral tobacco products at December 31, 2022. The financial services business, the IQOS System heated tobacco business and Helix ROW were included in all other. Prior to the sale of our wine business on October 1, 2021, wine produced and/or sold by Ste. Michelle was a reportable segment. For further discussion, see Note 1. Background and Basis of Presentation . Our chief operating decision maker (“CODM”) reviews operating companies income (loss) (“OCI”) to evaluate the performance of, and allocate resources to, our segments. OCI for our segments is defined as operating income before general corporate expenses and amortization of intangibles. Interest and other debt expense, net, along with net periodic benefit cost (income), excluding service cost, and provision for income taxes are centrally managed at the corporate level and, accordingly, such items are not presented by segment since they are excluded from the measure of segment profitability reviewed by our CODM. We do not disclose information about total assets by segment because such information is not reported to or used by our CODM. Substantially all of our long-lived assets were located in the United States at December 31, 2022. Segment goodwill and other intangible assets, net, are disclosed in Note 4. Goodwill and Other Intangible Assets, net. The accounting policies of the segments were the same at December 31, 2022 as those described in Note 2. Summary of Significant Accounting Policies. Segment data were as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Net revenues: Smokeable products $ 22,476 $ 22,866 $ 23,089 Oral tobacco products 2,580 2,608 2,533 Wine — 494 614 All other 40 45 (83) Net revenues $ 25,096 $ 26,013 $ 26,153 Earnings before income taxes: OCI: Smokeable products $ 10,688 $ 10,394 $ 9,985 Oral tobacco products 1,632 1,659 1,718 Wine — 21 (360) All other (36) (97) (172) Amortization of intangibles (73) (72) (72) General corporate expenses (292) (345) (226) Operating income 11,919 11,560 10,873 Interest and other debt expense, net 1,058 1,162 1,209 Loss on early extinguishment of debt — 649 — Net periodic benefit income, excluding service cost (184) (202) (77) (Income) losses from investments in equity securities 3,641 5,979 111 Impairment of JUUL equity securities — — 2,600 Loss on Cronos-related financial instruments 15 148 140 Earnings before income taxes $ 7,389 $ 3,824 $ 6,890 The smokeable products segment included net revenues of $21,457 million, $21,877 million and $22,135 million for the years ended December 31, 2022, 2021 and 2020, respectively, related to cigarettes and net revenues of $1,019 million, $989 million and $954 million for the years ended December 31, 2022, 2021 and 2020, respectively, related to cigars. Substantially all of our net revenues for the years ended December 31, 2022, 2021 and 2020 were from sales generated in the United States. PM USA, USSTC, Helix and Middleton’s customer, Performance Food Group Company, which acquired Core-Mark Holding Company, Inc. in 2021, accounted for approximately 24% and 23% of our consolidated net revenues for the years ended December 31, 2022 and 2021, respectively. Core-Mark Holding Company, Inc. accounted for 17% of our consolidated net revenues for the year ended December 31, 2020. In addition, McLane Company, Inc., accounted for approximately 23%, 23% and 26% of our consolidated net revenues for the years ended December 31, 2022, 2021 and 2020, respectively. Substantially all of these net revenues were reported in the smokeable products and oral tobacco products segments. No other customer accounted for more than 10% of our consolidated net revenues for the years ended December 31, 2022, 2021 and 2020. Details of our depreciation expense and capital expenditures were as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Depreciation expense: Smokeable products $ 87 $ 80 $ 81 Oral tobacco products 33 34 32 Wine — 27 40 General corporate and other 33 31 32 Total depreciation expense $ 153 $ 172 $ 185 Capital expenditures: Smokeable products $ 68 $ 48 $ 49 Oral tobacco products 90 43 67 Wine — 12 31 General corporate and other 47 66 84 Total capital expenditures $ 205 $ 169 $ 231 The comparability of OCI for our reportable segments and the all other category was affected by the following: ▪ Non-Participating Manufacturer (“NPM”) Adjustment Items: We recorded pre-tax (income) expense for NPM adjustment items as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Smokeable products segment $ (63) $ (53) $ 4 Interest and other debt expense, net (5) (23) — Total $ (68) $ (76) $ 4 We recorded the amounts in the table shown above for the smokeable products segment as (reductions) increases to cost of sales in our consolidated statements of earnings, which (increased) decreased OCI in our smokeable products segment. NPM adjustment items result from the resolutions of certain disputes with states and territories related to the NPM adjustment provision under the Master Settlement Agreement (such dispute resolutions are referred to as “NPM Adjustment Items” and are more fully described in Health Care Cost Recovery Litigation in Note 17. Contingencies ). ▪ Tobacco and Health and Certain Other Litigation Items: We recorded pre-tax charges related to tobacco and health and certain other litigation items as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Smokeable products segment $ 101 $ 83 $ 79 General corporate expenses 27 90 — Interest and other debt expense, net 3 9 4 Total $ 131 $ 182 $ 83 We recorded the amounts shown in the table above for the smokeable products segment and general corporate expenses in marketing, administration and research costs in our consolidated statements of earnings. For further discussion, see Note 17. Contingencies . ▪ Ste. Michelle Transaction: We recorded pre-tax disposition-related costs of $51 million for the year ended December 31, 2021 in our former wine segment, which consisted of a pre-tax charge of $41 million to record the assets and liabilities associated with the Ste. Michelle Transaction at their fair value less costs to sell and $10 million of other disposition-related costs. We included these costs in marketing, administration and research costs in our consolidated statements of earnings. ▪ Acquisition-Related Costs: We recorded pre-tax acquisition-related costs of $37 million for the year ended December 31, 2021 in our oral tobacco products segment primarily for the settlement of an arbitration related to the 2019 on! transaction. We included these costs in marketing, administration and research costs in our consolidated statements of earnings. ▪ Wine Business Strategic Reset: We recorded pre-tax implementation costs of $411 million for the year ended December 31, 2020, in our former wine segment, associated with a strategic reset initiated in the first quarter of 2020 intended to maximize Ste. Michelle’s profitability and achieve improved long-term cash flow generation. Substantially all of the charges consisted of the following: (i) write-off of inventory ($292 million) as Ste. Michelle no longer believed that the benefit of the blending and production plans for its inventory outweighed inventory carrying cost given the reduced product volume demand; and (ii) estimated losses on future non-cancelable grape purchase commitments that Ste. Michelle believed no longer had a future economic benefit ($100 million). ▪ PMCC Residual Value Adjustments: For the year ended December 31, 2020, we recorded pre-tax charges of $125 million (as a reduction to net revenues in the all other category) related to the decrease in unguaranteed residual values of certain PMCC leased assets. There were no such adjustments in 2022 or 2021. ▪ COVID-19 Special Items: We recorded net pre-tax charges of $50 million ($41 million in the smokeable products segment and $9 million in the oral tobacco products segment) in our consolidated statement of earnings for the year ended December 31, 2020 related to the COVID-19 pandemic. These net pre-tax charges, which were directly related to disruptions caused by or efforts to mitigate the impact of the COVID-19 pandemic, were all recorded in cost of sales and included premium pay, personal protective equipment and health screenings, which were partially offset by certain employment tax credits. |
Benefit Plans
Benefit Plans | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
Benefit Plans | Benefit Plans Our subsidiaries sponsor noncontributory defined benefit pension plans covering certain employees of Altria and our subsidiaries. Employees hired on or after a date specific to their employee group, except for certain employees of UST’s subsidiaries and Middleton, are not eligible to participate in these noncontributory defined benefit pension plans but are instead eligible to participate in a defined contribution plan with enhanced benefits. We also provide postretirement health care and other benefits to certain retired employees. We measure the plan assets and benefit obligations of our pension plans and postretirement plans at December 31 of each year. We base the discount rates for our plans on a yield curve developed from a model portfolio of high-quality corporate bonds with durations that match the expected future cash flows of the pension and postretirement benefit obligations. ▪ Obligations and Funded Status: Benefit obligations, plan assets and funded status for our pension and postretirement plans were as follows at December 31: Pension Postretirement (in millions) 2022 2021 2022 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 8,544 $ 9,465 $ 1,688 $ 2,229 Service cost 64 68 23 20 Interest cost 206 184 41 38 Benefits paid (462) (465) (87) (104) Actuarial (gains) losses (2,060) (523) (392) (150) Plan amendments — 8 2 (345) Divestiture — (193) (1) — — Benefit obligation at end of year 6,292 8,544 1,275 1,688 Change in plan assets: Fair value of plan assets at beginning of year 8,793 8,911 185 201 Actual return on plan assets (1,748) 466 (35) 21 Employer contributions 20 26 — — Benefits paid (462) (465) (28) (37) Divestiture — (145) (1) — — Fair value of plan assets at end of year 6,603 8,793 122 185 Funded status at December 31 $ 311 $ 249 $ (1,153) $ (1,503) Amounts recognized on our consolidated balance sheets were as follows: Other assets $ 469 $ 476 $ — $ — Other accrued liabilities (25) (27) (70) (67) Accrued pension costs (133) (200) — — Accrued postretirement health care costs — — (1,083) (1,436) $ 311 $ 249 $ (1,153) $ (1,503) (1) Divestiture of benefit obligations and plan assets related to the Ste. Michelle Transaction. The table above presents the projected benefit obligation for our pension plans. The accumulated benefit obligation, which represents benefits earned to date, for our pension plans was $6.1 billion and $8.2 billion at December 31, 2022 and 2021, respectively. Actuarial (gains) losses for the years ended December 31, 2022 and 2021 for our pension and postretirement plans were due primarily to changes in the discount rate. Actuarial (gains) losses for our pension plans for the year ended 2021 were further impacted by changes to mortality rate assumptions. Plan amendments to our postretirement plans for the year ended December 31, 2021 included several plan changes announced in the second quarter of 2021 to our salaried retiree healthcare plans, primarily changing its post-age 65 coverage to a private medicare marketplace. These amendments triggered a plan remeasurement in the second quarter of 2021, resulting in a reduction of $432 million (including discount rate impact and other changes) to our postretirement obligation in the second quarter of 2021 and a corresponding reduction to accumulated other comprehensive losses. For pension plans with accumulated benefit obligations in excess of plan assets at December 31, 2022, our accumulated benefit obligation and fair value of plan assets were $134 million and $0 million, respectively. For pension plans with accumulated benefit obligations in excess of plan assets at December 31, 2021, our accumulated benefit obligation and fair value of plan assets were $176 million and $0 million, respectively. For pension plans with projected benefit obligations in excess of plan assets at December 31, 2022, our projected benefit obligation and fair value of plan assets were $158 million and $0 million, respectively. For pension plans with projected benefit obligations in excess of plan assets at December 31, 2021, our projected benefit obligation and fair value of plan assets were $227 million and $0 million, respectively. At December 31, 2022 and 2021, our accumulated postretirement benefit obligations were in excess of plan assets for all postretirement plans. We used the following assumptions to determine our pension and postretirement benefit obligations at December 31: Pension Postretirement 2022 2021 2022 2021 Discount rate 5.6 % 3.0 % 5.6 % 2.9 % Rate of compensation increase - long-term 4.0 4.0 — — Health care cost trend rate assumed for next year — — 6.5 6.5 Ultimate trend rate — — 5.0 5.0 Year that the rate reaches the ultimate trend rate — — 2028 2027 ▪ Components of Net Periodic Benefit Cost (Income): Net periodic benefit cost (income) consisted of the following for the years ended December 31: Pension Postretirement (in millions) 2022 2021 2020 2022 2021 2020 Service cost $ 64 $ 68 $ 74 $ 23 $ 20 $ 16 Interest cost 206 184 251 41 38 59 Expected return on plan assets (493) (522) (502) (13) (14) (14) Amortization: Net loss 96 131 134 18 22 10 Prior service cost (credit) 6 5 5 (45) (46) (30) Settlement — — 10 — — — Net periodic benefit cost (income) $ (121) $ (134) $ (28) $ 24 $ 20 $ 41 For the year ended December 31, 2020, we recorded the settlement amount as a change to net losses in other comprehensive earnings/losses. The following assumptions were used to determine our net periodic benefit cost for the years ended December 31: Pension Postretirement 2022 2021 2020 2022 2021 2020 Discount rates: Service cost 3.2 % 3.1 % 3.7 % 3.2 % 3.1 % 3.6 % Interest cost 2.5 2.0 3.0 2.5 2.0 3.0 Expected rate of return on plan assets 6.1 6.6 6.6 7.7 7.7 7.7 Rate of compensation increase - long-term 4.0 4.0 4.0 — — — Health care cost trend rate — — — 6.5 6.5 6.5 ▪ Defined Contribution Plans: We sponsor tax-qualified defined contribution plans covering certain salaried and hourly (non-union and union) employees. Contributions and costs are determined generally as a percentage of earnings, as defined by our plans. Amounts charged to expense for these defined contribution plans totaled $91 million, $90 million and $88 million in 2022, 2021 and 2020, respectively. ▪ Pension and Postretirement Plan Assets: In managing our pension assets, we implement a liability-driven investment framework that aligns plan assets with liabilities. The current equity/fixed income allocation of 20%/80% is designed to balance pension liability hedging and asset growth in order to maintain our plan’s funded status and cover incremental service accruals and interest cost. Liability hedging is achieved through investing in rate-sensitive fixed income securities, primarily corporate bonds and U.S. Treasuries, while growth assets are comprised of publicly traded equity securities. Our investment strategy for our postretirement plan assets is intended to maximize our total asset return based on the expectation that equity securities will outperform debt securities over the long term and reflects the maturity structure of our benefit obligation. The equity/fixed income target allocation for postretirement plan assets is 55%/45%. We believe that we implement these investment strategies in a prudent and risk-controlled manner, consistent with the fiduciary requirements of the Employee Retirement Income Security Act of 1974, by investing retirement plan assets in a well-diversified mix of equities, fixed income and other securities. The actual composition of our plan assets at December 31, 2022 was broadly characterized with the following allocation: Pension Postretirement Equity securities 20 % 56 % Corporate bonds 52 % 33 % U.S. Treasury and foreign government securities and all other investments (1) 28 % 11 % (1) Amount includes U.S Treasury and foreign government securities (19%) and asset based securities and all other investments (9%). Our pension and postretirement plan asset performance is monitored on an ongoing basis to adjust the mix as necessary to achieve our target allocations. Substantially all pension and all postretirement assets can be used to make monthly benefit payments. We implement our investment strategy for our pension and postretirement plan assets by investing in long-duration fixed income securities that primarily include U.S. corporate bonds of companies from diversified industries and U.S. Treasury securities that mirror our pension obligation benchmark, as well as U.S. and international equity index strategies that are intended to mirror broad market indices, including, the Standard & Poor’s 500 Index and Morgan Stanley Capital International (“MSCI”) Europe, Australasia, and the Far East (“EAFE”) Index. Our pension and postretirement plans also invest in actively managed international equity securities of mid and small cap companies located in developed and emerging markets. For pension plan assets, our allocation to below investment grade securities represented approximately 13% of the fixed income holdings or approximately 10% of our total plan assets at December 31, 2022. Our allocation to emerging markets represented less than 1% of total plan assets at December 31, 2022. For postretirement plan assets, our allocation to below investment grade securities represented approximately 12% of the fixed income holdings or approximately 5% of our total plan assets at December 31, 2022. There were no postretirement plan assets invested in emerging markets at December 31, 2022. Our risk management practices for our pension and postretirement plans include (i) ongoing monitoring of asset allocation, investment performance and investment managers’ compliance with their investment guidelines, (ii) periodic rebalancing between equity and debt asset classes and (iii) annual actuarial re-measurement of plan liabilities. Our expected rate of return on pension and postretirement plan assets is determined by our plan assets’ historical long-term investment performance, current asset allocation and estimates of future long-term returns by asset class. The forward-looking estimates are consistent with the long-term historical averages exhibited by returns on equity and fixed income securities. For determining our pension and postretirement net periodic benefit cost (income), our 2023 expected rate of return assumptions are 6.1% and 7.4%, respectively. The fair values of our pension plan assets by asset category were as follows at December 31: 2022 2021 (in millions) Level 1 Level 2 Total Level 1 Level 2 Total U.S. and foreign government securities or their agencies: U.S. government and agencies $ — $ 1,098 $ 1,098 $ — $ 1,147 $ 1,147 U.S. municipal bonds — 82 82 — 60 60 Foreign government and agencies — 32 32 — 88 88 Corporate debt instruments: Above investment grade — 2,747 2,747 — 3,442 3,442 Below investment grade and no rating — 756 756 — 1,032 1,032 Common stock: International equities 327 — 327 373 — 373 U.S. equities 591 — 591 856 — 856 Asset backed securities — 161 161 — 89 89 Other, net (1) 244 243 52 148 200 $ 917 $ 5,120 $ 6,037 $ 1,281 $ 6,006 $ 7,287 Investments measured at NAV as a practical expedient for fair value: Collective investment funds U.S. large cap $ 312 $ 873 U.S. small cap 75 462 International developed markets 49 125 Total investments measured at NAV $ 436 $ 1,460 Other 130 46 Fair value of plan assets, net $ 6,603 $ 8,793 Level 3 holdings and transactions were immaterial to total plan assets at December 31, 2022 and 2021. The fair values of our postretirement plan assets were as follows at December 31: 2022 2021 (in millions) Level 1 Level 2 Total Level 1 Level 2 Total U.S. and foreign government securities or their agencies: U.S. government and agencies $ — $ 5 $ 5 $ — $ 5 $ 5 Foreign government and agencies — 2 2 — 3 3 Corporate debt instruments: Above investment grade — 37 37 — 55 55 Below investment grade and no rating — 7 7 — 10 10 Other, net — 3 3 — — — $ — $ 54 $ 54 $ — $ 73 $ 73 Investments measured at NAV as a practical expedient for fair value: Collective investment funds: U.S. large cap $ 47 $ 84 International developed markets 18 25 Total investments measured at NAV $ 65 $ 109 Other 3 3 Fair value of plan assets, net $ 122 $ 185 There were no Level 3 postretirement plan holdings or transactions during 2022 and 2021. For a description of the fair value hierarchy and the three levels of inputs used to measure fair value, see Note 2. Summary of Significant Accounting Policies . Following is a description of the valuation methodologies used for investments measured at fair value. ▪ U.S. and Foreign Government Securities : U.S. and foreign government securities consist of investments in Treasury Nominal Bonds and Inflation Protected Securities and municipal securities. Government securities are valued at a price that is based on a compilation of primarily observable market information, such as broker quotes. Matrix pricing, yield curves and indices are used when broker quotes are not available. ▪ Corporate Debt Instruments : Corporate debt instruments are valued at a price that is based on a compilation of primarily observable market information, such as broker quotes. Matrix pricing, yield curves and indices are used when broker quotes are not available. ▪ Common Stock : Common stocks are valued based on the price of the security as listed on an open active exchange on last trade date. ▪ Asset Backed Securities : Asset backed securities are fixed income securities such as mortgage backed securities and auto loans that are collateralized by pools of underlying assets that are unable to be sold individually. They are valued at a price which is based on a compilation of primarily observable market information or a broker quote in a non-active over-the-counter market. ▪ Collective Investment Funds : Collective investment funds consist of funds that are intended to mirror indices such as Standard & Poor’s 500 Index and MSCI EAFE Index. They are valued on the basis of the relative interest of each participating investor in the fair value of the underlying assets of each of the respective collective investment funds. The underlying assets are valued based on the net asset value (“NAV”), which is provided by the investment account manager as a practical expedient to estimate fair value. These investments are not classified by level but are disclosed to permit reconciliation to the fair value of plan assets. Cash Flows: We make contributions to our pension plans to the extent that the contributions are tax deductible and pay benefits that relate to plans for salaried employees that cannot be funded under IRS regulations. Currently, we anticipate making employer contributions to our pension and postretirement plans of up to approximately $30 million for each i n 2023. However, the foregoing estimates of 2023 contributions to our pension and postretirement plans are subject to change as a result of changes in tax and other benefit laws, changes in interest rates, as well as asset performance significantly above or below the assumed long-term rate of return for each respective plan. Estimated future benefit payments at December 31, 2022 were as follows: (in millions) Pension Postretirement 2023 $ 494 $ 106 2024 471 100 2025 471 96 2026 472 95 2027 473 95 2028-2032 2,355 477 Comprehensive Earnings/Losses We recorded the following amounts in accumulated other comprehensive losses at December 31, 2022: (in millions) Pension Post- Post- Total Net loss $ (2,180) $ 1 $ (34) $ (2,213) Prior service (cost) credit (24) 293 (5) 264 Deferred income taxes 571 (68) 10 513 Amounts recorded in accumulated other comprehensive losses $ (1,633) $ 226 $ (29) $ (1,436) We recorded the following amounts in accumulated other comprehensive losses at December 31, 2021: (in millions) Pension Post- Post- Total Net loss $ (2,093) $ (362) $ (32) $ (2,487) Prior service (cost) credit (30) 340 (5) 305 Deferred income taxes 549 12 9 570 Amounts recorded in accumulated other comprehensive losses $ (1,574) $ (10) $ (28) $ (1,612) The movements in other comprehensive earnings/losses for the year ended December 31, 2022 were as follows: (in millions) Pension Post- Post- Total Amounts reclassified to net earnings as components of net periodic benefit cost: Amortization: Net loss $ 96 $ 18 $ 13 $ 127 Prior service cost/credit 6 (45) — (39) Other expense (income): Net loss — — — — Prior service cost/credit — — — — Deferred income taxes (26) 7 (3) (22) $ 76 $ (20) $ 10 $ 66 Other movements during the year: Net loss $ (183) $ 345 $ (15) $ 147 Prior service cost/credit — (2) — (2) Deferred income taxes 48 (87) 4 (35) $ (135) $ 256 $ (11) $ 110 Total movements in other comprehensive earnings/losses $ (59) $ 236 $ (1) $ 176 The movements in other comprehensive earnings/losses for the year ended December 31, 2021 were as follows: (in millions) Pension Post-retirement Post-employment Total Amounts reclassified to net earnings as components of net periodic benefit cost: Amortization: Net loss $ 131 $ 22 $ 10 $ 163 Prior service cost/credit 5 (46) — (41) Other expense (income): Net loss — — — — Prior service cost/credit — — — — Deferred income taxes (35) 7 (2) (30) $ 101 $ (17) $ 8 $ 92 Other movements during the year: Net loss $ 465 $ 157 $ 2 $ 624 Prior service cost/credit (8) 345 — 337 Deferred income taxes (118) (127) — (245) $ 339 $ 375 $ 2 $ 716 Total movements in other comprehensive earnings/losses $ 440 $ 358 $ 10 $ 808 The movements in other comprehensive earnings/losses for the year ended December 31, 2020 were as follows: (in millions) Pension Post- Post- Total Amounts reclassified to net earnings as components of net periodic benefit cost: Amortization: Net loss $ 134 $ 10 $ 19 $ 163 Prior service cost/credit 5 (30) — (25) Other expense (income): Net loss 10 — — 10 Prior service cost/credit — — — — Deferred income taxes (37) 5 (5) (37) $ 112 $ (15) $ 14 $ 111 Other movements during the year: Net loss $ (268) $ (162) $ (18) $ (448) Prior service cost/credit (5) (1) — (6) Deferred income taxes 69 41 5 115 $ (204) $ (122) $ (13) $ (339) Total movements in other comprehensive earnings/losses $ (92) $ (137) $ 1 $ (228) |
Additional Information
Additional Information | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Additional Information | Additional Information For the Years Ended December 31, (in millions) 2022 2021 2020 Research and development expense $ 162 $ 145 $ 131 Interest and other debt expense, net: Interest expense $ 1,128 $ 1,188 $ 1,223 Interest income (70) (26) (14) $ 1,058 $ 1,162 $ 1,209 The activity in the allowance for discounts and allowance for returned goods was as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Discounts Returned Goods Discounts Returned Goods Discounts Returned Goods Balance at beginning of year $ — $ 50 $ — $ 40 $ — $ 32 Charged to costs and expenses 607 97 647 124 633 98 Deductions (1) (607) (106) (647) (114) (633) (90) Balance at end of year $ — $ 41 $ — $ 50 $ — $ 40 (1) Represents the recording of discounts and returns for which allowances were created . |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | Contingencies Legal proceedings covering a wide range of matters are pending or threatened in various United States and foreign jurisdictions against Altria and certain of our subsidiaries, including PM USA and USSTC, as well as our indemnitees and investees. Various types of claims may be raised in these proceedings, including product liability, unfair trade practices, antitrust, income tax liability, contraband shipments, patent infringement, employment matters, claims alleging violation of the Racketeer Influenced and Corrupt Organizations Act (“RICO”), claims for contribution and claims of competitors, shareholders or distributors. Legislative action, such as changes to tort law, also may expand the types of claims and remedies available to plaintiffs. Litigation is subject to uncertainty and it is possible that there could be adverse developments in pending or future cases. An unfavorable outcome or settlement of pending tobacco-related or other litigation could encourage the commencement of additional litigation. Damages claimed in some tobacco-related and other litigation are or can be significant and, in certain cases, have ranged in the billions of dollars. The variability in pleadings in multiple jurisdictions, together with the actual experience of management in litigating claims, demonstrates that the monetary relief that may be specified in a lawsuit bears little relevance to the ultimate outcome. In certain cases, plaintiffs claim that defendants’ liability is joint and several. In such cases, we may face the risk that one or more co-defendants decline or otherwise fail to participate in the bonding required for an appeal or to pay their proportionate or jury-allocated share of a judgment. As a result, under certain circumstances, we may have to pay more than our proportionate share of any bonding- or judgment-related amounts. Furthermore, in those cases where plaintiffs are successful, we also may be required to pay interest and attorneys’ fees. Although PM USA has historically been able to obtain required bonds or relief from bonding requirements in order to prevent plaintiffs from seeking to collect judgments while adverse verdicts have been appealed, there remains a risk that such relief may not be obtainable in all cases. This risk has been substantially reduced given that 47 states and Puerto Rico limit the dollar amount of bonds or require no bond at all. As discussed below, however, tobacco litigation plaintiffs have challenged the constitutionality of Florida’s bond cap statute in several cases and plaintiffs may challenge state bond cap statutes in other jurisdictions as well. Such challenges may include the applicability of state bond caps in federal court. States, including Florida, also may seek to repeal or alter bond cap statutes through legislation. Although we cannot predict the outcome of such challenges, it is possible that our consolidated results of operations, cash flows or financial position could be materially affected in a particular fiscal quarter or fiscal year by an unfavorable outcome of one or more such challenges. We record provisions in our consolidated financial statements for pending litigation when we determine that an unfavorable outcome is probable and the amount of the loss can be reasonably estimated. At the present time, while it is reasonably possible that an unfavorable outcome in a case may occur, except to the extent discussed elsewhere in this Note 17. Contingencies : (i) management has concluded that it is not probable that a loss has been incurred in any of the pending cases; (ii) management is unable to estimate the possible loss or range of loss that could result from an unfavorable outcome in any of the pending cases; and (iii) accordingly, management has not provided any amounts in our consolidated financial statements for unfavorable outcomes, if any. Litigation defense costs are expensed as incurred. We have achieved substantial success in managing litigation. Nevertheless, litigation is subject to uncertainty and significant challenges remain. It is possible that our consolidated results of operations, cash flows or financial position could be materially affected in a particular fiscal quarter or fiscal year by an unfavorable outcome or settlement of certain pending litigation. We believe, and have been so advised by counsel handling the respective cases, that we have valid defenses to the litigation pending against us, as well as valid bases for appeal of adverse verdicts. We have defended, and will continue to defend, vigorously against litigation challenges. However, we may enter into settlement discussions in particular cases if we believe it is in our best interests to do so. Judgments Paid and Provisions for Tobacco and Health (Including Engle Progeny Litigation) and Certain Other Litigation Items: The changes in our accrued liability for tobacco and health and certain other litigation items, including related interest costs, for the periods specified below are as follows: (in millions) 2022 2021 2020 Accrued liability for tobacco and health and certain other litigation items at beginning of period $ 91 $ 9 $ 14 Pre-tax charges for: Tobacco and health and certain other litigation (1) 101 83 79 Shareholder class action and shareholder derivative lawsuits (2) 27 90 — Related interest costs 3 9 4 Payments (151) (100) (88) Accrued liability for tobacco and health and certain other litigation items at end of period $ 71 $ 91 $ 9 (1) Includes judgments, settlements and fee disputes associated with tobacco and health and certain other litigation. (2) See S hareholder Class Action and Shareholder Derivative Lawsuits below for discussions of the shareholder class action case and related settlement and the pending settlement of the federal and state shareholder derivative lawsuits. The accrued liability for tobacco and health and certain other litigation items, including related interest costs, was included in accrued liabilities on our consolidated balance sheets. Pre-tax charges for tobacco and health and certain other litigation were included in marketing, administration and research costs on our consolidated statements of earnings. Pre-tax charges for related interest costs were included in interest and other debt expense, net on our consolidated statements of earnings. After exhausting all appeals in those cases resulting in adverse verdicts associated with tobacco-related litigation, since October 2004, PM USA has paid judgments and settlements (including related costs and fees) totaling approximately $954 million and interest totaling approximately $230 million as of December 31, 2022. These amounts include payments for Engle progeny judgments (and related costs and fees) totaling approximately $432 million and related interest totaling approximately $59 million. Security for Judgments: To obtain stays of judgments pending appeal, PM USA has posted various forms of security. As of December 31, 2022, PM USA has posted appeal bonds totaling approximately $46 million, which have been collateralized with restricted cash and are included in assets on our consolidated balance sheets. Overview of Tobacco-Related Litigation Types and Number of U.S. Cases: Claims related to tobacco products generally fall within the following categories: (i) smoking and health cases alleging personal injury brought on behalf of individual plaintiffs; (ii) health care cost recovery cases brought by governmental (both domestic and foreign) plaintiffs seeking reimbursement for health care expenditures allegedly caused by cigarette smoking and/or disgorgement of profits; (iii) e-vapor cases alleging violation of RICO, fraud, failure to warn, design defect, negligence, antitrust and unfair trade practices; and (iv) other tobacco-related litigation described below. Plaintiffs’ theories of recovery and the defenses raised in tobacco-related litigation are discussed below. The table below lists the number of certain tobacco-related cases pending in the United States against us as of December 31: 2022 2021 2020 Individual Smoking and Health Cases (1) 162 176 148 Health Care Cost Recovery Actions (2) 1 1 1 E-vapor Cases (3) 5,283 3,296 1,563 Other Tobacco-Related Cases (4) 3 3 3 (1) Includes as of December 31, 2022, 17 cases filed in Illinois, 20 cases filed in New Mexico, 37 cases filed in Massachusetts and 51 non- Engle cases filed in Florida. Does not include individual smoking and health cases brought by or on behalf of plaintiffs in Florida state and federal courts following the decertification of the Engle case (these Engle progeny cases are discussed below in Smoking and Health Litigation - Engle Class Action ). Also does not include 1,395 cases brought by flight attendants seeking compensatory damages for personal injuries allegedly caused by exposure to environmental tobacco smoke (“ETS”). The flight attendants allege that they are members of an ETS smoking and health class action in Florida, which was settled in 1997 ( Broin ). The terms of the court-approved settlement in that case allowed class members to file individual lawsuits seeking compensatory damages but prohibited them from seeking punitive damages. Class members were prohibited from filing individual lawsuits after 2000 under the court-approved settlement. (2) See Health Care Cost Recovery Litigation - Federal Government’s Lawsuit below. (3) Includes as of December 31, 2022, 57 class action lawsuits, 3,830 individual lawsuits and 1,396 “third party” lawsuits relating to JUUL e-vapor products, which include school districts, state and local government, tribal and healthcare organization lawsuits. JUUL is an additional named defendant in each of these lawsuits. The 57 class action lawsuits include 32 cases in the Northern District of California (“Multidistrict Litigation” or “MDL”) involving plaintiffs whose claims were previously included in other class action complaints but were refiled as separate stand-alone class actions for procedural and other reasons. (4) Includes as of December 31, 2022, one inactive smoking and health case alleging personal injury and purporting to be brought on behalf of a class of individual plaintiffs and two inactive class action lawsuits alleging that use of the terms “Lights” and “Ultra Lights” constitute deceptive and unfair trade practices, common law or statutory fraud, unjust enrichment, breach of warranty or violations of RICO. International Tobacco-Related Cases: As of January 27, 2023, (i) Altria is named as a defendant in three e-vapor class action lawsuits in Canada; (ii) PM USA is a named defendant in 10 health care cost recovery actions in Canada, eight of which also name Altria as a defendant; and (iii) PM USA and Altria are named as defendants in seven smoking and health class actions filed in various Canadian provinces. See Guarantees and Other Similar Matters below for a discussion of the Distribution Agreement (defined below) between Altria and PMI that provides for indemnities for certain liabilities concerning tobacco products. Tobacco-Related Cases Set for Trial: As of January 27, 2023, two Engle progeny cases, two individual smoking and health case and one e-vapor case are set for trial through March 31, 2023. Trial dates are subject to change. Trial Results: Since January 1999, excluding the Engle progeny cases (separately discussed below), verdicts have been returned in 73 tobacco-related cases in which PM USA was a defendant. Verdicts in favor of PM USA and other defendants were returned in 46 of the 73 cases. These 46 cases were tried in Alaska (1), California (7), Connecticut (1), Florida (10), Louisiana (1), Massachusetts (6), Mississippi (1), Missouri (4), New Hampshire (1), New Jersey (1), New York (5), Ohio (2), Pennsylvania (1), Rhode Island (1), Tennessee (2) and West Virginia (2). One case in Massachusetts, Main , where the verdict was initially returned in favor of PM USA, was reversed on appeal and remanded for a new trial. Of the 27 non- Engle progeny cases in which verdicts were returned in favor of plaintiffs, 23 have reached final resolution. See Smoking and Health Liti gation - Engle Progeny Trial Results below for a discussion of verdicts in state and federal Engle progeny cases involving PM USA as of January 27, 2023. Smoking and Health Litigation Overview: Plaintiffs’ allegations of liability in smoking and health cases are based on various theories of recovery, including negligence, gross negligence, strict liability, fraud, misrepresentation, design defect, failure to warn, nuisance, breach of express and implied warranties, breach of special duty, conspiracy, concert of action, violations of unfair trade practice laws and consumer protection statutes and claims under the federal and state anti-racketeering statutes. Plaintiffs in the smoking and health cases seek various forms of relief, including compensatory and punitive damages, treble/multiple damages and other statutory damages and penalties, creation of medical monitoring and smoking cessation funds, disgorgement of profits, and injunctive and equitable relief. Defenses raised in these cases include lack of proximate cause, assumption of the risk, comparative fault and/or contributory negligence, statutes of limitations and preemption by the Federal Cigarette Labeling and Advertising Act. Non- Engle Progeny Litigation: Summarized below are the non- Engle progeny smoking and health cases pending during 2022 (or recently concluded) in which a verdict was returned in favor of plaintiff and against PM USA. Charts listing certain verdicts for plaintiffs in the Engle progeny cases can be found in Smoking and Health Litigation - Engle Progeny Trial Results below. Mendez : In September 2022, a jury in a Florida state court returned a verdict in favor of plaintiff and against PM USA and R.J. Reynolds Tobacco Company awarding approximately $4.5 million in compensatory damages and allocating 13% of the fault to PM USA. After applying comparative fault, PM USA’s portion of the compensatory damages is less than $1 million. There was no claim for punitive damages. The trial court denied PM USA’s post-trial motions. Both parties have appealed. Fontaine : In September 2022, a jury in a Massachusetts state court returned a verdict in favor of plaintiff and against PM USA, awarding approximately $8 million in compensatory damages and $1 billion in punitive damages. We intend to file post-trial motions challenging the award and, if necessary, an appeal. Principe : In February 2020, a jury in a Florida state court returned a verdict in favor of plaintiff and against PM USA, awarding approximately $11 million in compensatory damages. There was no claim for punitive damages. PM USA appealed the trial court verdict to the Third District Court of Appeal and, in September 2021, the appellate court reversed the trial court’s decision and found in favor of PM USA. Plaintiff moved for a rehearing before the Third District Court of Appeal, which the court denied in March 2022. In April 2022, plaintiff filed a notice to invoke the discretionary jurisdiction of the Florida Supreme Court. In July 2022, the Florida Supreme Court denied plaintiff’s motion for discretionary review. Greene : In September 2019, a jury in a Massachusetts state court returned a verdict in favor of plaintiffs and against PM USA, awarding approximately $10 million in compensatory damages. In May 2020, the court ruled on plaintiffs’ remaining claim and trebled the compensatory damages award to approximately $30 million. In February 2021, the trial court awarded plaintiffs attorneys’ fees and costs in the amount of approximately $2.3 million. In July 2021, following denial of PM USA’s post-trial motions, PM USA appealed the judgment to the Appeals Court of Massachusetts. In September 2022, the Massachusetts Supreme Judicial Court issued an order taking jurisdiction over the appeal, which remains pending. Federal Government’s Lawsuit : See Health Care Cost Recovery Litigation - Federal Government’s Lawsuit below for a discussion of the verdict and post-trial developments in the United States of America health care cost recovery case. Engle Class Action: In July 2000, in the second phase of the Engle smoking and health class action in Florida, a jury returned a verdict assessing punitive damages totaling approximately $145 billion against various defendants, including $74 billion against PM USA. Following entry of judgment, PM USA appealed. In May 2003, the Florida Third District Court of Appeal reversed the judgment entered by the trial court and instructed the trial court to order the decertification of the class. Plaintiffs petitioned the Florida Supreme Court for further review. In July 2006, the Florida Supreme Court ordered that the punitive damages award be vacated, that the class approved by the trial court be decertified and that members of the decertified class could file individual actions against defendants within one year of issuance of the mandate. The court further declared the following Phase I findings are entitled to res judicata effect in such individual actions brought within one year of the issuance of the mandate: (i) that smoking causes various diseases; (ii) that nicotine in cigarettes is addictive; (iii) that defendants’ cigarettes were defective and unreasonably dangerous; (iv) that defendants concealed or omitted material information not otherwise known or available knowing that the material was false or misleading or failed to disclose a material fact concerning the health effects or addictive nature of smoking; (v) that defendants agreed to misrepresent information regarding the health effects or addictive nature of cigarettes with the intention of causing the public to rely on this information to their detriment; (vi) that defendants agreed to conceal or omit information regarding the health effects of cigarettes or their addictive nature with the intention that smokers would rely on the information to their detriment; (vii) that all defendants sold or supplied cigarettes that were defective; and (viii) that defendants were negligent. In August 2006, PM USA and plaintiffs sought rehearing from the Florida Supreme Court on parts of its July 2006 opinion. In December 2006, the Florida Supreme Court refused to revise its July 2006 ruling, except that it revised the set of Phase I findings entitled to res judicata effect by excluding finding (v) listed above (relating to agreement to misrepresent information), and added the finding that defendants sold or supplied cigarettes that, at the time of sale or supply, did not conform to the representations of fact made by defendants. In February 2008, the trial court decertified the class. Pending Engl e Progeny Cases: The deadline for filing Engle progeny cases expired in January 2008, at which point a total of approximately 9,300 federal and state claims were pending. As of January 27, 2023, approximately 612 state court cases were pending against PM USA or Altria asserting individual claims by or on behalf of approximately 773 state court plaintiffs. Because of a number of factors, including docketing delays, duplicated filings and overlapping dismissal orders, these numbers are estimates. The 2015 federal Engle agreement resolved nearly all Engle progeny cases pending in federal court as of the date of the agreement, and each case excluded from that agreement subsequently has been resolved. Engle Progeny Trial Results: As of January 27, 2023, 143 federal and state Engle progeny cases involving PM USA have resulted in verdicts since the Florida Supreme Court Engle decision. Seventy-nine verdicts were returned in favor of plaintiffs, and seven verdicts ( Skolnick , Calloway , Oshinsky-Blacker, McCoy, Mahfuz, Neff and Gloger ) that were initially returned in favor of plaintiffs were reversed post-trial or on appeal and remain pending. In two cases, Kaplan ( McLaughlin ) and Sommers , the punitive damages awards were vacated on appeal and remanded for new trials. In Sommers , the trial court entered final judgment dismissing the plaintiff’s punitive damages claim with prejudice, and plaintiff has appealed. Fifty-six verdicts were returned in favor of PM USA, of which 46 were state cases. In addition, there have been a number of mistrials, only some of which have resulted in new trials as of January 27, 2023. The jury in one case, Garcia , awarded plaintiff compensatory damages and found plaintiff was entitled to punitive damages; however, the court declared a mistrial in the second phase of the trial regarding punitive damages because the jury was unable to determine the amount of the punitive damages. Following appeals by the plaintiff and PM USA, the appellate court in Garcia affirmed the compensatory damages judgment against PM USA and granted a new trial with respect to punitive damages. The plaintiff in Garcia subsequently filed a motion to voluntarily dismiss the punitive damages claim and to enter final judgment on the compensatory damages claim, which the court granted. Three verdicts ( Cohen , Collar and Chacon ) that were returned in favor of PM USA were subsequently reversed for new trials. Juries in two cases ( Reider and Banks ) returned zero damages verdicts in favor of PM USA. Juries in two other cases ( Weingart and Hancock ) returned verdicts against PM USA awarding no damages, but the trial court in each case decided to award plaintiffs damages. One case, Pollari , resulted in a verdict in favor of PM USA following a retrial of an initial verdict returned in favor of plaintiff. Plaintiff and defendants appealed the verdict and the appellate court affirmed the judgment in favor of the defendants. Three cases, Gloger , Rintoul ( Caprio ) and Duignan , resulted in verdicts in favor of plaintiffs following retrial of initial verdicts returned in favor of plaintiffs. A post-trial appeal is pending in Duignan . The verdicts in the retrials in Gloger and Rintoul ( Caprio ) were reversed upon appeal and remanded for new trials. Two cases, Freeman and Harris , resulted in an appellate reversal of a jury verdict in favor of plaintiff, and a judgment in favor of PM USA. One case, R. Douglas , was dismissed with prejudice following a verdict in favor of plaintiff. The charts below list the verdicts and post-trial developments in certain Engle progeny cases in which verdicts were returned in favor of plaintiffs. The first chart lists cases that are pending as of January 27, 2023 where PM USA has determined an unfavorable outcome is not probable and the amount of loss cannot be reasonably estimated, and the second chart lists cases that have concluded in the past 12 months. Unless otherwise noted for a particular case, the jury’s award for compensatory damages will not be reduced by any finding of plaintiff’s comparative fault. Further, the damages noted reflect adjustments based on post-trial or appellate rulings. References below to “R.J. Reynolds,” “Lorillard” and “Liggett Group” are to R.J. Reynolds Tobacco Company, Lorillard Tobacco Company and Liggett Group, LLC, respectively. Currently Pending Engle Cases with Verdicts Against PM USA (rounded to nearest $ million) Plaintiff Verdict Date Defendant(s) Court Compensatory Damages (1) Punitive Damages Post-Trial Status Hoffman January 2023 PM USA Miami-Dade $5 million ($3 million PM USA) $0 Awaiting entry of final judgment by the trial court. Levine September 2022 PM USA and R.J. Reynolds Miami-Dade $1 million $0 Appeals by defendants and plaintiff to Third District Court of Appeal pending. Schertzer April 2022 PM USA and R.J. Reynolds Miami-Dade $3 million $0 Appeal by defendants to the Third District Court of Appeal pending. Lipp September 2021 PM USA Miami-Dade $15 million $28 million Appeal by defendant to Third District Court of Appeal pending. Garcia May 2021 PM USA Miami-Dade $6 million ($3 million PM USA) $0 Appeal by defendant to the Third District Court of Appeal pending. Duignan February 2020 (2) PM USA and R.J. Reynolds Pinellas $3 million $12 million Florida Supreme Court quashed the Second District Court of Appeal’s affirmation of judgment against the defendants and remanded the case for reconsideration in light of Prentice (3) . McCall March 2019 PM USA Broward <$1 million (<$1 million PM USA) $0 New trial on punitive damages is set for April 2023. Chadwell September 2018 PM USA Miami-Dade $2 million $0 Third District Court of Appeal has ordered supplemental briefing in accordance with the decision in Prentice (3) . Kaplan ( McLaughlin ) July 2018 PM USA and R.J. Reynolds Broward $2 million $0 Florida Supreme Court vacated the punitive damages award in accordance with the decision in Sheffield (3) . The Fourth District Court of Appeals affirmed the compensatory damages award and granted a new trial on punitive damages. Cooper ( Blackwood ) September 2015 PM USA and R.J. Reynolds Broward $5 million (<$1 million PM USA) $0 Fourth District Court of Appeal affirmed the compensatory damages award and granted a new trial on punitive damages. (1) PM USA’s portion of the compensatory damages award is noted parenthetically where the court has ruled that comparative fault applies. (2) Plaintiff’s verdict following a retrial of an initial verdict in favor of plaintiff. (3) PM USA is not a defendant in Prentice or Sheffield , which are discussed below in Engle Progeny Appellate Issues . Engle Cases Concluded Within Past 12 Months (rounded to nearest $ million) Plaintiff Verdict Date Defendant(s) Court Accrual Date Payment Amount for Damages (if any) Payment Date Miller September 2022 PM USA and R.J. Reynolds Miami-Dade Third quarter of 2022 <$1 million December 2022 Tuttle August 2022 PM USA Duval Third quarter of 2022 <$1 million October 2022 Cuddihee January 2020 PM USA Duval Second quarter of 2022 $2 million June 2022 Holliman February 2019 PM USA Miami-Dade Fourth quarter of 2022 $3 million January 2023 D. Brown January 2015 PM USA Federal Court - Middle District of Florida Third quarter of 2022 $5 million August 2022 Engle Progeny Appellate Issues: Appellate decisions in the following Engle progeny cases may have wide application to other Engle progeny cases: In Mary Sheffield v. R.J. Reynolds Tobacco Company , an Engle progeny case against R.J. Reynolds only, the Florida Supreme Court resolved a conflict among Florida’s District Courts of Appeal finding that the 1999 amendments to Florida’s punitive damages statute (including its caps and bar on multiple punitive damages awards for the same course of conduct) apply in wrongful death cases where the decedent was injured prior to the October 1, 1999 effective date of the amendments but died from his or her injuries after such effective date. In Linda Prentice v. R.J. Reynolds Tobacco Company , an Engle progeny case against R.J. Reynolds only, the Florida Supreme Court resolved a conflict among Florida’s District Courts of Appeal finding that in order for an Engle plaintiff to prevail on fraudulent concealment and conspiracy claims, plaintiff must prove that the smoker relied to his or her detriment on a statement that concealed or omitted material information about the health risks or addictiveness of smoking. The Florida Supreme Court declined to revisit its prior decisions giving preclusive effect to the Engle Phase I findings, described above in Engle Class Action . Florida Bond Statute: In June 2009, Florida amended its existing bond cap statute by adding a $200 million bond cap that applies to all state Engle progeny lawsuits in the aggregate and establishes individual bond caps for individual Engle progeny cases in amounts that vary depending on the number of judgments in effect at a given time. Plaintiffs have been unsuccessful in various challenges to the bond cap statute in Florida state court. No federal court has yet addressed the constitutionality of the bond cap statute or the applicability of the bond cap to Engle progeny cases tried in federal court. From time to time, legislation has been presented to the Florida legislature that would repeal the bond cap statute; however to date, no legislation repealing the statute has passed. Other Smoking and Health Class Actions: Since the dismissal in May 1996 of a purported nationwide class action brought on behalf of allegedly addicted smokers, plaintiffs have filed numerous putative smoking and health class action suits in various state and federal courts. In general, these cases have purported to be brought on behalf of residents of a particular state or states (although a few cases have purported to be nationwide in scope) and have raised addiction claims and, in many cases, claims of physical injury as well. Class certification has been denied or reversed by courts in 61 smoking and health class actions involving PM USA in Arkansas (1), California (1), Delaware (1), the District of Columbia (2), Florida (2), Illinois (3), Iowa (1), Kansas (1), Louisiana (1), Maryland (1), Michigan (1), Minnesota (1), Nevada (29), New Jersey (6), New York (2), Ohio (1), Oklahoma (1), Oregon (1), Pennsylvania (1), Puerto Rico (1), South Carolina (1), Texas (1) and Wisconsin (1). See Certain Other Tobacco-Related Litigation below for a discussion of “Lights” and “Ultra Lights” class action cases and medical monitoring class action cases pending against PM USA. As of January 27, 2023, PM USA and Altria are named as defendants, along with other cigarette manufacturers, in seven class actions filed in the Canadian provinces of Alberta, Manitoba, Nova Scotia, Saskatchewan, British Columbia and Ontario. In Saskatchewan, British Columbia (two separate cases) and Ontario, plaintiffs seek class certification on behalf of individuals who suffer or have suffered from various diseases, including chronic obstructive pulmonary disease, emphysema, heart disease or cancer, after smoking defendants’ cigarettes. In the actions filed in Alberta, Manitoba and Nova Scotia, plaintiffs seek certification of classes of all individuals who smoked defendants’ cigarettes. In March 2019, all of these class actions were stayed as a result of three Canadian tobacco manufacturers (none of which is related to us) seeking protection under Canada’s Companies’ Creditors Arrangement Act (which is similar to Chapter 11 bankruptcy in the United States). The companies entered into these proceedings following a Canadian appellate court upholding two smoking and health class action verdicts against those companies totaling approximately CAD $13 billion. See Guarantees and Other Similar Matters below for a discussion of the Distribution Agreement between Altria and PMI, which provides for indemnities for certain liabilities concerning tobacco products. Health Care Cost Recovery Litigation Overview: In the health care cost recovery litigation, governmental entities seek reimbursement of health care cost expenditures allegedly caused by tobacco products and, in some cases, of future expenditures and damages. Relief sought by some but not all plaintiffs includes punitive damages, multiple damages and other statutory damages and penalties, injunctions prohibiting alleged marketing and sales to minors, disclosure of research, disgorgement of profits, funding of anti-smoking programs, additional disclosure of nicotine yields, and payment of attorney and expert witness fees. Although there have been some decisions to the contrary, most judicial decisions in the United States have dismissed all or most health care cost recovery claims against cigarette manufacturers. Nine federal circuit courts of appeals and eight state appellate courts, relying primarily on grounds that plaintiffs’ claims were too remote, have ordered or affirmed dismissals of health care cost recovery actions. The U.S. Supreme Court has refused to consider plaintiffs’ appeals from the cases decided by five federal circuit courts of appeal. In addition to the cases brought in the United States, health care cost recovery actions have also been brought against tobacco industry participants, including PM USA and Altria, in Canada (10 cases), and other entities have stated that they are considering filing such actions. Since the beginning of 2008, the Canadian Provinces of British Columbia, New Brunswick, Ontario, Newfoundland and Labrador, Quebec, Alberta, Manitoba, Saskatchewan, Prince Edward Island and Nova Scotia have brought health care reimbursement claims against cigarette manufacturers. PM USA is named as a defendant in the British Columbia and Quebec cases, while both Altria and PM USA are named as defendants in the New Brunswick, Ontario, Newfoundland and Labrador, Alberta, Manitoba, Saskatchewan, Prince |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policy) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The consolidated financial statements include Altria, as well as our wholly owned and majority-owned subsidiaries. We account for our investments in equity securities in which we have the ability to exercise significant influence over the operating and financial policies of the investee, including ABI and Cronos, under the equity method of accounting using a one-quarter lag. We account for our investment in the equity securities of JUUL at fair value. All intercompany transactions and balances have been eliminated.The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the dates of the financial statements and the reported amounts of net revenues and expenses during the reporting periods. Significant estimates and assumptions include, among other things, pension and benefit plan assumptions, lives and valuation assumptions for goodwill, other intangible assets and investments in equity securities, marketing programs and income taxes. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash equivalents include demand deposits with banks and all highly liquid investments with original maturities of three months or less. We record cash equivalents at cost plus accrued interest, which approximates fair value. |
Depreciation and Amortization | We record property, plant and equipment at historical costs and depreciate by the straight-line method over the estimated useful lives of the assets. We depreciate machinery and equipment over periods up to 20 years, and buildings and building improvements over periods up to 50 years. We amortize definite-lived intangible assets over their estimated useful lives up to 25 years. |
Impairment Testing and Asset Valuation | We review long-lived assets, including definite-lived intangible assets, for impairment whenever events or changes in business circumstances indicate that the carrying value of the assets may not be fully recoverable. We perform undiscounted operating cash flow analyses to determine if an impairment exists. For purposes of recognition and measurement of an impairment for assets held for use, we group assets and liabilities at the lowest level for which cash flows are separately identifiable. If we determine that an impairment exists, any related impairment loss is calculated based on fair value. We base impairment losses on assets to be disposed of, if any, on the estimated proceeds to be received, less costs of disposal. We also review the estimated remaining useful lives of long-lived assets whenever events or changes in business circumstances indicate the lives may have changed. We conduct a required annual review of goodwill and indefinite-lived intangible assets for potential impairment, and more frequently if an event occurs or circumstances change that would require us to perform an interim review. We have the option of first performing a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit or indefinite-lived intangible asset is less than its carrying amount as a basis for determining whether it is necessary to perform a quantitative impairment test. If necessary, we will perform a single step quantitative impairment test. Additionally, we have the option to unconditionally bypass the qualitative assessment and perform a single step quantitative assessment. If the carrying value of a reporting unit that includes goodwill exceeds its fair value, which is determined using discounted cash flows, goodwill is considered impaired. We measure the amount of impairment loss as the difference between the carrying value and the fair value of a reporting unit; however, the amount of the impairment loss is limited to the total amount of goodwill allocated to a reporting unit. If the carrying value of an indefinite-lived intangible asset exceeds its fair value, which is determined using discounted cash flows, we consider the intangible asset impaired and reduce the carrying value to fair value in the period identified. |
Derivative Financial Instruments | enter into derivatives to mitigate the potential impact of certain market risks, including foreign currency exchange rate risk. We use various types of derivative financial instruments, including forward contracts, options and swaps. We record derivative financial instruments at fair value on the consolidated balance sheets as either assets or liabilities. We designate derivative financial instruments that qualify for hedge accounting as either fair value hedges, cash flow hedges or net investment hedges at the inception of the contracts. For fair value hedges, we record changes in the fair value of the derivative, as well as the offsetting changes in the fair value of the hedged item, in the consolidated statements of earnings each period. For cash flow hedges, we record changes in the fair value of the derivative each period in accumulated other comprehensive earnings (losses) and reclassify changes to the consolidated statements of earnings in the same periods in which operating results are affected by the respective hedged item. For net investment hedges, we record changes in the fair value of the derivative or foreign currency transaction gains or losses on a nonderivative hedging instrument in accumulated other comprehensive earnings (losses) to offset the change in the value of the net investment being hedged. Such amounts remain in accumulated other comprehensive earnings (losses) until the complete or substantially complete liquidation of the underlying foreign operations occurs for investments in foreign entities accounted for under the equity method of accounting. We classify cash flows from hedging instruments in the same manner as the respective hedged item in the consolidated statements of cash flows. To qualify for hedge accounting, the hedging relationship, both at inception of the hedge and on an ongoing basis, is expected to be highly effective at offsetting changes in the fair value of the hedged risk during the period that the hedge is designated. We formally designate and document, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective, the strategy for undertaking the hedge transaction and method for assessing hedge effectiveness. Additionally, for qualified hedges of forecasted transactions, if it becomes probable that a forecasted transaction will not occur, we would no longer consider the hedge effective and would record all of the derivative gains and losses in the consolidated statement of earnings in the current period. For financial instruments that are not designated as hedging instruments or do not qualify for hedge accounting, we record changes in fair value in the consolidated statement of earnings each period. We do not enter into or hold derivative financial instruments for trading or speculative purposes. |
Employee Benefit Plans | We provide a range of benefits to certain employees and retired employees, including pension, postretirement health care and postemployment benefits. We record annual amounts relating to these plans based on calculations specified by GAAP, which include various actuarial assumptions as to discount rates, assumed rates of return on plan assets, mortality, compensation increases, turnover rates and health care cost trend rates.We recognize the funded status of our defined benefit pension and other postretirement plans on the consolidated balance sheets and record as a component of other comprehensive earnings (losses), net of deferred income taxes, the gains or losses and prior service costs or credits that have not been recognized as components of net periodic benefit cost (income). We subsequently amortize the gains or losses and prior service costs or credits recorded as components of other comprehensive earnings (losses) into net periodic benefit cost (income) in future years. |
Environmental Costs | We are subject to laws and regulations relating to the protection of the environment. We provide for expenses associated with environmental remediation obligations on an undiscounted basis when such amounts are probable and can be reasonably estimated. We adjust such accruals as new information develops or circumstances change.Compliance with environmental laws and regulations, including the payment of any remediation and compliance costs or damages and the making of related expenditures, has not had, and is not expected to have, a material adverse effect on our consolidated results of operations, capital expenditures, financial position or cash flows. |
Fair Value Measurements | We measure certain assets and liabilities at fair value. Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. We use a fair value hierarchy, which gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of inputs used to measure fair value are: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. |
Guarantees | We recognize a liability for the fair value of the obligation of qualifying guarantee activities. |
Income Taxes | Significant judgment is required in determining income tax provisions and in evaluating tax positions. We determine deferred tax assets and liabilities based on the difference between the financial statement and tax bases of assets and liabilities, using enacted tax rates in effect for the year in which the differences are expected to reverse. We record a valuation allowance when it is more likely than not that some portion or all of a deferred tax asset will not be realized. We determine the realizability of deferred tax assets based on the weight of all available positive and negative evidence. In reaching this determination, we consider the character of the assets and the possible sources of taxable income of the appropriate character within the available carryback and carryforward periods available under the tax law. We recognize the financial statement benefit for uncertain income tax positions when it is more likely than not, based on the technical merits, that the position will be sustained upon examination by taxing authorities. The amount recognized is measured as the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. We recognize accrued interest and penalties associated with uncertain tax positions as part of the provision for income taxes in our consolidated statements of earnings. |
Inventories | We use the last-in, first-out (“LIFO”) method to determine the cost of substantially all our tobacco inventories. We determine the cost of the remaining inventories using the first-in, first-out (“FIFO”) and average cost methods. We record inventories that are measured using the LIFO method at the lower of cost or market. We state inventories that are measured using the FIFO and average cost methods at the lower of cost and net realizable value. It is a generally recognized industry practice to classify leaf tobacco inventories as a current asset although part of such inventories, because of the duration of the curing and aging process, ordinarily would not be used within one year. |
Investments in Equity Securities | Investments in equity securities in which we have the ability to exercise significant influence over the operating and financial policies of the investee are accounted for under the equity method of accounting or the fair value option. The election of the fair value option is irrevocable and is made on an investment by investment basis.We elected to account for our investments in ABI and Cronos under the equity method of accounting. Our share of equity (income) losses and other adjustments associated with these equity investments are included in (income) losses from investments in equity securities in our consolidated statements of earnings. We report the carrying value for each of our equity investments in ABI and Cronos in investments in equity securities on our consolidated balance sheets. We report equity method investments accounted for under the equity method of accounting at cost and adjust these investments each period for our share of (income) losses and dividends paid, if any. We report our share of ABI’s and Cronos’s results using a one-quarter lag because results are not available in time for us to record them in the concurrent period. At the end of each reporting period, we review our equity investments accounted for under the equity method of accounting for impairment by comparing the fair value of each of our investments to their carrying value. If the carrying value of an investment exceeds its fair value and the loss in value is other than temporary, we consider the investment impaired, reduce its carrying value to its fair value and record the impairment in our consolidated statements of earnings in the period identified. We use certain factors to make this determination including (i) the duration and magnitude of the fair value decline, (ii) the financial condition and near-term prospects of the investee and (iii) our intent and ability to hold our investment until recovery to its carrying value. We account for our investment in ABI under the equity method of accounting because we have the ability to exercise significant influence over the operating and financial policies of ABI, including having active representation on ABI’s board of directors and certain ABI board committees. Through this representation, we participate in ABI’s policy making processes. We report our share of ABI’s results using a one-quarter lag because ABI’s results are not available in time for us to record them in the concurrent period. The fair value of our equity investment in ABI is based on (i) unadjusted quoted prices in active markets for ABI’s ordinary shares and was classified in Level 1 of the fair value hierarchy and (ii) observable inputs other than Level 1 prices, such as quoted prices for similar assets for the Restricted Shares, and was classified in Level 2 of the fair value hierarchy. We can convert our Restricted Shares to ordinary shares at our discretion. Therefore, the fair value of each Restricted Share is based on the value of an ordinary share. |
Equity Securities without Readily Determinable Fair Value | Note 5. Investments in Equity Securities for additional information on how we have historically accounted for our investment in JUUL. |
Litigation Contingencies and Costs | We record provisions in our consolidated financial statements for pending litigation when we determine that an unfavorable outcome is probable and the amount of the loss can be reasonably estimated. We expense litigation defense costs as incurred and include these costs in marketing, administration and research costs in our consolidated statements of earnings. |
Marketing Costs | Our businesses promote their products with consumer incentives, trade promotions and consumer engagement programs. These consumer incentive and trade promotion activities, which include discounts, coupons, rebates, in-store display incentives and volume-based incentives, do not create a distinct deliverable and are, therefore, recorded as a reduction of revenues. We make consumer engagement program payments to third parties. Our businesses expense these consumer engagement programs, which include event marketing, as incurred, and such expenses are included in marketing, administration and research costs in our consolidated statements of earnings. For interim reporting purposes, our businesses charge consumer engagement programs and certain consumer incentive expenses to operations as a percentage of sales, based on estimated sales and related expenses for the full year. |
Revenue Recognition | Our businesses generate substantially all of their revenue from sales contracts with customers. While our businesses enter into separate sales contracts with each customer for each product type, all sales contracts are similarly structured. These contracts create an obligation to transfer product to the customer. Our businesses satisfy all performance obligations within one year; therefore, we expense costs to obtain contracts as incurred and do not disclose unsatisfied performance obligations. There is no financing component because our businesses expect, at contract inception, that the period between when our businesses transfer product to the customer and when the customer pays for that product will be one year or less. Our businesses define net revenues as revenues, which include excise taxes and shipping and handling charges billed to customers, net of cash discounts for prompt payment, sales returns (also referred to as returned goods) and sales incentives. Our businesses exclude from the transaction price sales taxes and value-added taxes imposed at the time of sale. Our businesses recognize revenues from sales contracts with customers upon shipment of goods when control of such products is obtained by the customer. Our businesses determine that a customer obtains control of the product upon shipment when title of such product and risk of loss transfers to the customer. Our businesses account for shipping and handling costs as fulfillment costs and such amounts are classified as part of cost of sales in our consolidated statements of earnings. Our businesses record an allowance for returned goods, based principally on historical volume and return rates, which is included in other accrued liabilities on our consolidated balance sheets. Our businesses record sales incentives, which consist of consumer incentives and trade promotion activities, as a reduction to revenues (a portion of which is based on amounts estimated as being due to wholesalers, retailers and consumers at the end of a period) based principally on historical volume, utilization and redemption rates. We include expected payments for sales incentives in accrued marketing liabilities on our consolidated balance sheets. Payment terms vary depending on product type. Our businesses consider payments received in advance of product shipment as deferred revenue, which we include in other accrued liabilities on our consolidated balance sheets until revenue is recognized. PM USA receives payment in advance of a customer obtaining control of the product. USSTC and Helix receive substantially all payments within one business day of the customer obtaining control of the product. We include amounts due from customers in receivables on our consolidated balance sheets. |
New Accounting Pronouncements and New Accounting Guidance Not Yet Adopted | On January 1, 2022, we adopted Accounting Standards Update (“ASU”) 2020-06, Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity (“ASU No. 2020-06”). This guidance simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts in an entity’s own equity. Our adoption of ASU No. 2020-06 did not have a material impact on our consolidated financial statements. Standards Description Effective Date for Public Entity Effect on Financial Statements ASU 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers The guidance updates how an entity recognizes and measures contract assets and contract liabilities acquired in a business combination. Acquirers will now account for related revenue contracts in accordance with Topic 606 as if it had originated the contract. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2022. We do not expect our adoption of this guidance to have a material impact on our consolidated financial statements and related disclosures. ASU 2022-03 Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions The guidance clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The amendments also specify required disclosures for equity securities subject to contractual sale restrictions. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023. We do not expect our adoption of this guidance to have a material impact on our consolidated financial statements and related disclosures. |
Cash Discounts | We calculate substantially all cash discounts, offered to customers for prompt payment, as a flat rate per unit based on agreed-upon payment terms. Prior to the first quarter of 2021 for USSTC and the third quarter of 2021 for PM USA, cash discounts were calculated as a percentage of the list price based on historical experience and agreed-upon payment terms. We record receivables net of the cash discounts on our consolidated balance sheets. |
Deferred revenue | We record payments received by our businesses in advance of product shipment as deferred revenue. These payments are included in other accrued liabilities on our consolidated balance sheets until control of such products is obtained by the customer. |
Methodology of Determining Fair Value of Pension Assets | Following is a description of the valuation methodologies used for investments measured at fair value. ▪ U.S. and Foreign Government Securities : U.S. and foreign government securities consist of investments in Treasury Nominal Bonds and Inflation Protected Securities and municipal securities. Government securities are valued at a price that is based on a compilation of primarily observable market information, such as broker quotes. Matrix pricing, yield curves and indices are used when broker quotes are not available. ▪ Corporate Debt Instruments : Corporate debt instruments are valued at a price that is based on a compilation of primarily observable market information, such as broker quotes. Matrix pricing, yield curves and indices are used when broker quotes are not available. ▪ Common Stock : Common stocks are valued based on the price of the security as listed on an open active exchange on last trade date. ▪ Asset Backed Securities : Asset backed securities are fixed income securities such as mortgage backed securities and auto loans that are collateralized by pools of underlying assets that are unable to be sold individually. They are valued at a price which is based on a compilation of primarily observable market information or a broker quote in a non-active over-the-counter market. ▪ Collective Investment Funds : Collective investment funds consist of funds that are intended to mirror indices such as Standard & Poor’s 500 Index and MSCI EAFE Index. They are valued on the basis of the relative interest of each participating investor in the fair value of the underlying assets of each of the respective collective investment funds. The underlying assets are valued based on the net asset value (“NAV”), which is provided by the investment account manager as a practical expedient to estimate fair value. These investments are not classified by level but are disclosed to permit reconciliation to the fair value of plan assets. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | The following table provides a description of issued accounting guidance applicable to, but not yet adopted by, us: Standards Description Effective Date for Public Entity Effect on Financial Statements ASU 2021-08 Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers The guidance updates how an entity recognizes and measures contract assets and contract liabilities acquired in a business combination. Acquirers will now account for related revenue contracts in accordance with Topic 606 as if it had originated the contract. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2022. We do not expect our adoption of this guidance to have a material impact on our consolidated financial statements and related disclosures. ASU 2022-03 Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions The guidance clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The amendments also specify required disclosures for equity securities subject to contractual sale restrictions. The guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2023. We do not expect our adoption of this guidance to have a material impact on our consolidated financial statements and related disclosures. |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets and Goodwill | Goodwill and other intangible assets, net, were as follows at December 31: Goodwill Other Intangible Assets, net (in millions) 2022 2021 2022 2021 Smokeable products segment $ 99 $ 99 $ 2,989 $ 3,017 Oral tobacco products segment 5,078 5,078 9,097 9,129 Other — — 298 160 Total $ 5,177 $ 5,177 $ 12,384 $ 12,306 The changes in goodwill and net carrying amount of intangible assets were as follows: 2022 2021 (in millions) Goodwill Other Intangible Assets, net Goodwill Other Intangible Assets, net Balance at January 1 $ 5,177 $ 12,306 $ 5,177 $ 12,615 Changes due to: Acquisitions (1) — 151 — — Dispositions (2) — — — (237) Amortization — (73) — (72) Balance at December 31 $ 5,177 $ 12,384 $ 5,177 $ 12,306 (1) Acquisitions of certain intellectual property related to other tobacco products, which included a $50 million non-cash contribution made by JTIUH to Horizon. For additional information regarding Horizon, see Note 1. Background and Basis of Presentation . (2) Dispositions related to the Ste. Michelle Transaction. See Note 1. Background and Basis of Presentation . |
Schedule of Indefinite-Lived Intangible Assets | Other intangible assets consisted of the following at December 31: 2022 2021 (in millions) Gross Carrying Accumulated Gross Carrying Accumulated Indefinite-lived intangible assets $ 11,443 $ — $ 11,443 $ — Definite-lived intangible assets 1,411 470 1,260 397 Total other intangible assets $ 12,854 $ 470 $ 12,703 $ 397 |
Schedule of Definite-Lived Intangible Assets | Other intangible assets consisted of the following at December 31: 2022 2021 (in millions) Gross Carrying Accumulated Gross Carrying Accumulated Indefinite-lived intangible assets $ 11,443 $ — $ 11,443 $ — Definite-lived intangible assets 1,411 470 1,260 397 Total other intangible assets $ 12,854 $ 470 $ 12,703 $ 397 |
Investments in Equity Securit_2
Investments in Equity Securities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment | The carrying amount of our investments consisted of the following at December 31: (in millions) 2022 2021 ABI $ 8,975 $ 11,144 JUUL 250 1,705 Cronos (1) 375 632 Total $ 9,600 $ 13,481 (1) Our investment in Cronos at December 31, 2021 consisted of our equity method investment in Cronos of $617 million and also included the Cronos warrant and the Fixed-price Preemptive Rights (collectively, “Investment in Cronos”), which were measured at fair value. We irrevocably abandoned the Cronos warrant on December 15, 2022, and the Fixed-price Preemptive Rights had no value at December 31, 2022. See below for further discussion. (Income) losses from investments in equity securities consisted of the following: For the Years Ended December 31, (in millions) 2022 2021 2020 ABI (1) $ 1,973 $ 5,564 $ 223 Cronos (1) 213 415 (12) (Income) losses from investments under equity method of accounting 2,186 5,979 211 JUUL (2) 1,455 — (100) (Income) losses from investments in equity securities $ 3,641 $ 5,979 $ 111 (1) Includes our share of amounts recorded by our investees and additional adjustments, if required, related to (i) the conversion from international financial reporting standards to GAAP and (ii) adjustments to our investment required under the equity method of accounting. (2) Investment in JUUL is accounted for as an investment in an equity security measured at fair value. See below for further discussion. Investees’ summarized financial data for our equity method investments was as follows: For Altria’s Year Ended December 31, 2022 (1) 2021 (1) 2020 (1) (in millions) ABI Other Investments ABI Other Investments ABI Other Investments Net revenues $ 57,267 $ 947 $ 52,864 $ 1,313 $ 48,294 $ 37 Gross profit $ 31,588 $ 525 $ 30,653 $ 757 $ 28,438 $ (31) Earnings (losses) from continuing operations $ 7,879 $ (521) $ 7,434 $ (800) $ 4,265 $ 99 Net earnings (losses) $ 7,879 $ (521) $ 7,434 $ (800) $ 4,266 $ 98 Net earnings (losses) attributable to equity investments $ 5,838 $ (520) $ 5,780 $ (798) $ 3,323 $ 100 At September 30, 2022 (1) 2021 (1) (in millions) ABI Other Investments ABI Other Investments Current assets $ 24,164 $ 963 $ 21,593 $ 1,882 Long-term assets $ 182,087 $ 274 $ 190,082 $ 1,049 Current liabilities $ 32,649 $ 38 $ 33,540 $ 451 Long-term liabilities $ 96,497 $ 8 $ 105,973 $ 2,277 Convertible Preferred Stock $ — $ — $ — $ 715 Noncontrolling interests $ 11,778 $ (3) $ 11,356 $ (3) (1) Reflects a one-quarter lag. Other Investments reflect summarized financial data of Cronos, as well as JUUL’s financial data for the periods during which we accounted for our investment in JUUL as an equity method investment under the fair value option. |
Equity Method Investments | We recorded non-cash, pre-tax unrealized losses, representing these changes, as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Fixed-price Preemptive Rights $ 1 $ 23 $ 45 Cronos warrant 14 125 95 Total $ 15 $ 148 $ 140 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The following table provides a reconciliation of the beginning and ending balance of our investment in JUUL, which is classified in Level 3 of the fair value hierarchy: (in millions) Investment Balance Balance at December 31, 2020 $ 1,705 Unrealized gains (losses) included in (income) losses from investments in equity securities — Balance at December 31, 2021 1,705 Unrealized gains (losses) included in (income) losses from investments in equity securities (1,455) Balance at December 31, 2022 $ 250 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Aggregate Fair Value and Carrying Value | The aggregate carrying value and fair value of our total long-term debt were as follows at December 31: (in millions) 2022 2021 Carrying value $ 26,680 $ 28,044 Fair value 22,928 30,459 Foreign currency denominated debt included in long-term debt: Carrying value 4,540 4,817 Fair value 4,165 5,114 |
Derivative Instruments, Gain (Loss) | The pre-tax effects of our net investment hedges on accumulated other comprehensive losses and our consolidated statements of earnings were as follows: (Gain) Loss Recognized in Accumulated Other Comprehensive Losses (Gain) Loss Recognized For the Years Ended December 31, (in millions) 2022 2021 2020 2022 2021 2020 Foreign currency contracts $ — $ (16) $ 79 $ — $ (7) $ (40) Foreign currency denominated debt (281) (359) 424 — — — Total $ (281) $ (375) $ 503 $ — $ (7) $ (40) |
Long-term Debt (Tables)
Long-term Debt (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | Our long-term debt consisted of the following at December 31: (in millions) 2022 2021 USD notes, 2.350% to 10.20%, interest payable semi-annually, due through 2061 (1) $ 22,098 $ 23,185 USD debenture, 7.75%, interest payable semi-annually, due 2027 42 42 Euro notes, 1.000% to 3.125%, interest payable annually, due through 2031 (2) 4,540 4,817 26,680 28,044 Less current portion of long-term debt 1,556 1,105 $ 25,124 $ 26,939 (1) Weighted-average coupon interest rate of and 4.4% at December 31, 2022 and 2021. (2) Weighted-average coupon interest rate of 2.0% at December 31, 2022 and 2021. At December 31, 2022, our outstanding long-term debt consisted of the following: (in millions) Type Face Value Interest Rate Issuance Maturity Euro notes €1,250 1.000% February 2019 February 2023 USD notes $218 2.950% May 2013 May 2023 USD notes $776 4.000% October 2013 January 2024 USD notes $345 3.800% February 2019 February 2024 USD notes $750 2.350% May 2020 May 2025 Euro notes €750 1.700% February 2019 June 2025 USD notes $1,069 4.400% February 2019 February 2026 USD notes $500 2.625% September 2016 September 2026 USD debenture $42 7.750% January 1997 January 2027 Euro notes €1,000 2.200% February 2019 June 2027 USD notes $1,906 4.800% February 2019 February 2029 USD notes $750 3.400% May 2020 May 2030 Euro notes €1,250 3.125% February 2019 June 2031 USD notes $1,750 2.450% February 2021 February 2032 USD notes $177 9.950% November 2008 November 2038 USD notes $208 10.200% February 2009 February 2039 USD notes $2,000 5.800% February 2019 February 2039 USD notes $1,500 3.400% February 2021 February 2041 USD notes $900 4.250% August 2012 August 2042 USD notes $650 4.500% May 2013 May 2043 USD notes $1,800 5.375% October 2013 January 2044 USD notes $1,500 3.875% September 2016 September 2046 USD notes $2,500 5.950% February 2019 February 2049 USD notes $500 4.450% May 2020 May 2050 USD notes $1,250 3.700% February 2021 February 2051 USD notes $271 6.200% February 2019 February 2059 USD notes $1,000 4.000% February 2021 February 2061 (in millions) Principal Amount of Notes Purchased 2.850% Notes due 2022 $ 795 2.950% Notes due 2023 132 4.000% Notes due 2024 624 3.800% Notes due 2024 655 4.400% Notes due 2026 430 4.800% Notes due 2029 1,094 9.950% Notes due 2038 65 10.200% Notes due 2039 18 6.200% Notes due 2059 229 $ 4,042 |
Aggregate Maturities of Long-Term Debt | At December 31, 2022, aggregate maturities of our long-term debt were as follows: (in millions) Aggregate Maturities 2023 $ 1,556 2024 1,121 2025 1,553 2026 1,569 2027 1,113 Thereafter 20,000 26,912 Less: debt issuance costs 148 debt discounts 84 $ 26,680 |
Capital Stock (Tables)
Capital Stock (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Schedule Components of Issued, Repurchased and Outstanding Shares | At December 31, 2022, we had 12 billion shares of authorized common stock; issued, repurchased and outstanding shares of common stock consisted of the following: Shares Issued Shares Repurchased Shares Outstanding Balances, December 31, 2019 2,805,961,317 (947,979,763) 1,857,981,554 Stock award activity — 437,611 437,611 Balances, December 31, 2020 2,805,961,317 (947,542,152) 1,858,419,165 Stock award activity — 412,569 412,569 Repurchases of common stock — (35,656,116) (35,656,116) Balances, December 31, 2021 2,805,961,317 (982,785,699) 1,823,175,618 Stock award activity — 514,816 514,816 Repurchases of common stock — (38,156,312) (38,156,312) Balances, December 31, 2022 2,805,961,317 (1,020,427,195) 1,785,534,122 |
Share Repurchases | Our total share repurchase activity was as follows for the years ending December 31: January 2021 Share Repurchase Program (in millions, except per share data) 2022 2021 Total Total number of shares repurchased 38.1 35.7 73.8 Aggregate cost of shares repurchased $ 1,825 $ 1,675 $ 3,500 Average price per share of shares repurchased $ 47.83 $ 46.97 $ 47.42 |
Stock Plans (Tables)
Stock Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Restricted Stock Units Activity | RSU activity was as follows: Number of Shares Weighted-Average Grant Date Fair Value Per Share Balance at December 31, 2021 2,702,462 $ 46.84 Granted 1,206,601 $ 49.22 Vested (556,399) $ 51.96 Forfeited (94,869) $ 45.10 Balance at December 31, 2022 3,257,795 $ 46.90 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings (Losses) Per Share | We calculated basic and diluted earnings per share (“EPS”) using the following: For the Years Ended December 31, (in millions) 2022 2021 2020 Net earnings attributable to Altria $ 5,764 $ 2,475 $ 4,467 Less: Distributed and undistributed earnings attributable to share-based awards (13) (11) (8) Earnings for basic and diluted EPS $ 5,751 $ 2,464 $ 4,459 Weighted-average shares for basic EPS 1,804 1,845 1,858 Plus: contingently issuable PSUs — — 1 Weighted-average shares for diluted EPS 1,804 1,845 1,859 |
Other Comprehensive Earnings__2
Other Comprehensive Earnings/losses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Changes in each component of accumulated other comprehensive losses, net of deferred income taxes, attributable to Altria were as follows: (in millions) Benefit Plans ABI Currency Accumulated Balances, December 31, 2019 $ (2,192) $ (693) $ 21 $ (2,864) Other comprehensive earnings (losses) before reclassifications (454) (1,613) (4) (2,071) Deferred income taxes 115 352 — 467 Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes (339) (1,261) (4) (1,604) Amounts reclassified to net earnings 148 21 — 169 Deferred income taxes (37) (5) — (42) Amounts reclassified to net earnings, net of deferred income taxes 111 16 — 127 Other comprehensive earnings (losses), net of deferred income taxes (228) (1,245) (1) (4) (1,477) Balances, December 31, 2020 (2,420) (1,938) 17 (4,341) Other comprehensive earnings (losses) before reclassifications 961 627 25 1,613 Deferred income taxes (245) (141) — (386) Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes 716 486 25 1,227 Amounts reclassified to net earnings 122 (76) 35 81 Deferred income taxes (30) 16 (9) (23) Amounts reclassified to net earnings, net of deferred income taxes 92 (60) 26 58 Other comprehensive earnings (losses), net of deferred income taxes 808 426 (1) 51 1,285 Balances, December 31, 2021 (1,612) (1,512) 68 (3,056) Other comprehensive earnings (losses) before reclassifications 145 275 (33) 387 Deferred income taxes (35) (65) — (100) Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes 110 210 (33) 287 Amounts reclassified to net earnings 88 (85) (1) 2 Deferred income taxes (22) 18 — (4) Amounts reclassified to net earnings, net of deferred income taxes 66 (67) (1) (2) Other comprehensive earnings (losses), net of deferred income taxes 176 143 (1) (34) 285 Balances, December 31, 2022 $ (1,436) $ (1,369) $ 34 $ (2,771) (1) Primarily reflected our share of ABI’s currency translation adjustments and the impact of our designated net investment hedges related to our equity investment in ABI. For further discussion of designated net investment hedges, see Note 6. Financial Instruments . |
Reclassification out of Accumulated Other Comprehensive Income | Pre-tax amounts by component, reclassified from accumulated other comprehensive losses to net earnings were as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Benefit Plans: (1) Net loss $ 127 $ 163 $ 173 Prior service cost/credit (39) (41) (25) 88 122 148 ABI (2) (85) (76) 21 Currency Translation Adjustments and Other (3) (1) 35 — Pre-tax amounts reclassified from accumulated other comprehensive losses to net earnings $ 2 $ 81 $ 169 (1) Amounts were included in net defined benefit plan costs. For further details, see Note 15. Benefit Plans. (2) Amounts were included in (income) losses from investments in equity securities. For further information, see Note 5. Investments in Equity Securities. (3) 2021 amounts were included in marketing, administration and research costs and are related to the Ste. Michelle Transaction. For further details, see Note 15. Benefit Plans. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Earnings Before Income Taxes and Provision for Income Taxes | Earnings (losses) before income taxes and provision (benefit) for income taxes consisted of the following: For the Years Ended December 31, (in millions) 2022 2021 2020 Earnings (losses) before income taxes: United States $ 7,628 $ 4,239 $ 6,842 Outside United States (239) (415) 48 Total $ 7,389 $ 3,824 $ 6,890 Provision (benefit) for income taxes: Current: Federal $ 1,968 $ 1,965 $ 2,025 State and local 603 542 553 Outside United States 1 2 22 2,572 2,509 2,600 Deferred: Federal (893) (1,190) (130) State and local (54) 30 (34) (947) (1,160) (164) Total provision for income taxes $ 1,625 $ 1,349 $ 2,436 |
Reconciliation of Beginning and Ending Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits was as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Balance at beginning of year $ 53 $ 74 $ 64 Additions based on tax positions related to the current year 1 — — Additions for tax positions of prior years 16 40 12 Reductions for tax positions due to lapse of statutes of limitations — (5) — Reductions for tax positions of prior years — (23) (2) Tax settlements (1) (33) — Balance at end of year $ 69 $ 53 $ 74 |
Reconciliation of Effective Tax Rate and U.S. Federal Statutory Rate | A reconciliation between actual income taxes and amounts computed by applying the federal statutory rate to earnings before income taxes was as follows: For the Years Ended December 31, 2022 2021 2020 (dollars in millions) $ % $ % $ % U.S. federal statutory rate $ 1,552 21.0 % $ 803 21.0 % $ 1,447 21.0 % Increase (decrease) resulting from: State and local income taxes, net of federal tax benefit 435 5.9 451 11.8 410 6.0 Tax basis in foreign investments 11 0.1 25 0.7 23 0.3 Uncertain tax positions — — (25) (0.7) 9 0.1 Investment in ABI (24) (0.3) (16) (0.4) 3 0.1 Investment in JUUL 306 4.1 7 0.2 537 7.8 Investment in Cronos 30 0.4 128 3.3 20 0.3 Valuation allowance releases (664) (9.0) (15) (0.4) (19) (0.3) Other (21) (0.2) (9) (0.2) 6 0.1 Effective tax rate $ 1,625 22.0 % $ 1,349 35.3 % $ 2,436 35.4 % |
Schedule of Deferred Income Tax Assets and Liabilities | The tax effects of temporary differences that gave rise to deferred income tax assets and liabilities consisted of the following at December 31: (in millions) 2022 2021 Deferred income tax assets: Accrued postretirement and postemployment benefits $ 303 $ 387 Settlement charges 729 835 Investment in JUUL 3,001 2,652 Investment in Cronos 407 403 Net operating losses and tax credit carryforwards 31 46 Total deferred income tax assets 4,471 4,323 Deferred income tax liabilities: Property, plant and equipment (233) (216) Intangible assets (2,849) (2,802) Investment in ABI (1,226) (1,695) Finance assets, net — (29) Accrued pension costs (70) (55) Other (115) (94) Total deferred income tax liabilities (4,493) (4,891) Valuation allowances (2,800) (3,097) Net deferred income tax liabilities $ (2,822) $ (3,665) |
Summary of Valuation Allowance | A reconciliation of the beginning and ending valuation allowances was as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Balance at beginning of year $ 3,097 $ 2,817 $ 2,324 Additions to valuation allowance charged to income tax expense 429 401 692 Reductions to valuation allowance credited to income tax benefit (730) (118) (200) Foreign currency translation 4 (3) 1 Balance at end of year $ 2,800 $ 3,097 $ 2,817 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Segment Data Schedule | Segment data were as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Net revenues: Smokeable products $ 22,476 $ 22,866 $ 23,089 Oral tobacco products 2,580 2,608 2,533 Wine — 494 614 All other 40 45 (83) Net revenues $ 25,096 $ 26,013 $ 26,153 Earnings before income taxes: OCI: Smokeable products $ 10,688 $ 10,394 $ 9,985 Oral tobacco products 1,632 1,659 1,718 Wine — 21 (360) All other (36) (97) (172) Amortization of intangibles (73) (72) (72) General corporate expenses (292) (345) (226) Operating income 11,919 11,560 10,873 Interest and other debt expense, net 1,058 1,162 1,209 Loss on early extinguishment of debt — 649 — Net periodic benefit income, excluding service cost (184) (202) (77) (Income) losses from investments in equity securities 3,641 5,979 111 Impairment of JUUL equity securities — — 2,600 Loss on Cronos-related financial instruments 15 148 140 Earnings before income taxes $ 7,389 $ 3,824 $ 6,890 |
Schedule of Depreciation Expense and Capital Expenditures of Segments | Details of our depreciation expense and capital expenditures were as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Depreciation expense: Smokeable products $ 87 $ 80 $ 81 Oral tobacco products 33 34 32 Wine — 27 40 General corporate and other 33 31 32 Total depreciation expense $ 153 $ 172 $ 185 Capital expenditures: Smokeable products $ 68 $ 48 $ 49 Oral tobacco products 90 43 67 Wine — 12 31 General corporate and other 47 66 84 Total capital expenditures $ 205 $ 169 $ 231 |
Schedule Of Non-Participating Manufacturer Adjustment Items | We recorded pre-tax (income) expense for NPM adjustment items as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Smokeable products segment $ (63) $ (53) $ 4 Interest and other debt expense, net (5) (23) — Total $ (68) $ (76) $ 4 |
Schedule of Tobacco and Health and Certain Other Litigation Items | We recorded pre-tax charges related to tobacco and health and certain other litigation items as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Smokeable products segment $ 101 $ 83 $ 79 General corporate expenses 27 90 — Interest and other debt expense, net 3 9 4 Total $ 131 $ 182 $ 83 |
Benefit Plans (Tables)
Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
Projected Benefit Obligations, Plan Assets and Funded Status of Pension Plans | Benefit obligations, plan assets and funded status for our pension and postretirement plans were as follows at December 31: Pension Postretirement (in millions) 2022 2021 2022 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 8,544 $ 9,465 $ 1,688 $ 2,229 Service cost 64 68 23 20 Interest cost 206 184 41 38 Benefits paid (462) (465) (87) (104) Actuarial (gains) losses (2,060) (523) (392) (150) Plan amendments — 8 2 (345) Divestiture — (193) (1) — — Benefit obligation at end of year 6,292 8,544 1,275 1,688 Change in plan assets: Fair value of plan assets at beginning of year 8,793 8,911 185 201 Actual return on plan assets (1,748) 466 (35) 21 Employer contributions 20 26 — — Benefits paid (462) (465) (28) (37) Divestiture — (145) (1) — — Fair value of plan assets at end of year 6,603 8,793 122 185 Funded status at December 31 $ 311 $ 249 $ (1,153) $ (1,503) Amounts recognized on our consolidated balance sheets were as follows: Other assets $ 469 $ 476 $ — $ — Other accrued liabilities (25) (27) (70) (67) Accrued pension costs (133) (200) — — Accrued postretirement health care costs — — (1,083) (1,436) $ 311 $ 249 $ (1,153) $ (1,503) (1) Divestiture of benefit obligations and plan assets related to the Ste. Michelle Transaction. |
Net Pension Liability Recognized in Consolidated Balance Sheets | Benefit obligations, plan assets and funded status for our pension and postretirement plans were as follows at December 31: Pension Postretirement (in millions) 2022 2021 2022 2021 Change in benefit obligation: Benefit obligation at beginning of year $ 8,544 $ 9,465 $ 1,688 $ 2,229 Service cost 64 68 23 20 Interest cost 206 184 41 38 Benefits paid (462) (465) (87) (104) Actuarial (gains) losses (2,060) (523) (392) (150) Plan amendments — 8 2 (345) Divestiture — (193) (1) — — Benefit obligation at end of year 6,292 8,544 1,275 1,688 Change in plan assets: Fair value of plan assets at beginning of year 8,793 8,911 185 201 Actual return on plan assets (1,748) 466 (35) 21 Employer contributions 20 26 — — Benefits paid (462) (465) (28) (37) Divestiture — (145) (1) — — Fair value of plan assets at end of year 6,603 8,793 122 185 Funded status at December 31 $ 311 $ 249 $ (1,153) $ (1,503) Amounts recognized on our consolidated balance sheets were as follows: Other assets $ 469 $ 476 $ — $ — Other accrued liabilities (25) (27) (70) (67) Accrued pension costs (133) (200) — — Accrued postretirement health care costs — — (1,083) (1,436) $ 311 $ 249 $ (1,153) $ (1,503) (1) Divestiture of benefit obligations and plan assets related to the Ste. Michelle Transaction. |
Assumptions used to Determine Benefit Obligations | We used the following assumptions to determine our pension and postretirement benefit obligations at December 31: Pension Postretirement 2022 2021 2022 2021 Discount rate 5.6 % 3.0 % 5.6 % 2.9 % Rate of compensation increase - long-term 4.0 4.0 — — Health care cost trend rate assumed for next year — — 6.5 6.5 Ultimate trend rate — — 5.0 5.0 Year that the rate reaches the ultimate trend rate — — 2028 2027 |
Schedule of Net Benefit Costs | Net periodic benefit cost (income) consisted of the following for the years ended December 31: Pension Postretirement (in millions) 2022 2021 2020 2022 2021 2020 Service cost $ 64 $ 68 $ 74 $ 23 $ 20 $ 16 Interest cost 206 184 251 41 38 59 Expected return on plan assets (493) (522) (502) (13) (14) (14) Amortization: Net loss 96 131 134 18 22 10 Prior service cost (credit) 6 5 5 (45) (46) (30) Settlement — — 10 — — — Net periodic benefit cost (income) $ (121) $ (134) $ (28) $ 24 $ 20 $ 41 |
Schedule Of Assumptions To Determine Net Periodic Benefit Cost | The following assumptions were used to determine our net periodic benefit cost for the years ended December 31: Pension Postretirement 2022 2021 2020 2022 2021 2020 Discount rates: Service cost 3.2 % 3.1 % 3.7 % 3.2 % 3.1 % 3.6 % Interest cost 2.5 2.0 3.0 2.5 2.0 3.0 Expected rate of return on plan assets 6.1 6.6 6.6 7.7 7.7 7.7 Rate of compensation increase - long-term 4.0 4.0 4.0 — — — Health care cost trend rate — — — 6.5 6.5 6.5 |
Schedule of Fair Value of Plan Assets by Asset Category | The actual composition of our plan assets at December 31, 2022 was broadly characterized with the following allocation: Pension Postretirement Equity securities 20 % 56 % Corporate bonds 52 % 33 % U.S. Treasury and foreign government securities and all other investments (1) 28 % 11 % (1) Amount includes U.S Treasury and foreign government securities (19%) and asset based securities and all other investments (9%). The fair values of our pension plan assets by asset category were as follows at December 31: 2022 2021 (in millions) Level 1 Level 2 Total Level 1 Level 2 Total U.S. and foreign government securities or their agencies: U.S. government and agencies $ — $ 1,098 $ 1,098 $ — $ 1,147 $ 1,147 U.S. municipal bonds — 82 82 — 60 60 Foreign government and agencies — 32 32 — 88 88 Corporate debt instruments: Above investment grade — 2,747 2,747 — 3,442 3,442 Below investment grade and no rating — 756 756 — 1,032 1,032 Common stock: International equities 327 — 327 373 — 373 U.S. equities 591 — 591 856 — 856 Asset backed securities — 161 161 — 89 89 Other, net (1) 244 243 52 148 200 $ 917 $ 5,120 $ 6,037 $ 1,281 $ 6,006 $ 7,287 Investments measured at NAV as a practical expedient for fair value: Collective investment funds U.S. large cap $ 312 $ 873 U.S. small cap 75 462 International developed markets 49 125 Total investments measured at NAV $ 436 $ 1,460 Other 130 46 Fair value of plan assets, net $ 6,603 $ 8,793 Level 3 holdings and transactions were immaterial to total plan assets at December 31, 2022 and 2021. The fair values of our postretirement plan assets were as follows at December 31: 2022 2021 (in millions) Level 1 Level 2 Total Level 1 Level 2 Total U.S. and foreign government securities or their agencies: U.S. government and agencies $ — $ 5 $ 5 $ — $ 5 $ 5 Foreign government and agencies — 2 2 — 3 3 Corporate debt instruments: Above investment grade — 37 37 — 55 55 Below investment grade and no rating — 7 7 — 10 10 Other, net — 3 3 — — — $ — $ 54 $ 54 $ — $ 73 $ 73 Investments measured at NAV as a practical expedient for fair value: Collective investment funds: U.S. large cap $ 47 $ 84 International developed markets 18 25 Total investments measured at NAV $ 65 $ 109 Other 3 3 Fair value of plan assets, net $ 122 $ 185 |
Estimated Future Benefit Payments | Estimated future benefit payments at December 31, 2022 were as follows: (in millions) Pension Postretirement 2023 $ 494 $ 106 2024 471 100 2025 471 96 2026 472 95 2027 473 95 2028-2032 2,355 477 |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) | We recorded the following amounts in accumulated other comprehensive losses at December 31, 2022: (in millions) Pension Post- Post- Total Net loss $ (2,180) $ 1 $ (34) $ (2,213) Prior service (cost) credit (24) 293 (5) 264 Deferred income taxes 571 (68) 10 513 Amounts recorded in accumulated other comprehensive losses $ (1,633) $ 226 $ (29) $ (1,436) We recorded the following amounts in accumulated other comprehensive losses at December 31, 2021: (in millions) Pension Post- Post- Total Net loss $ (2,093) $ (362) $ (32) $ (2,487) Prior service (cost) credit (30) 340 (5) 305 Deferred income taxes 549 12 9 570 Amounts recorded in accumulated other comprehensive losses $ (1,574) $ (10) $ (28) $ (1,612) |
Movements in Other Comprehensive Earnings/Losses | The movements in other comprehensive earnings/losses for the year ended December 31, 2022 were as follows: (in millions) Pension Post- Post- Total Amounts reclassified to net earnings as components of net periodic benefit cost: Amortization: Net loss $ 96 $ 18 $ 13 $ 127 Prior service cost/credit 6 (45) — (39) Other expense (income): Net loss — — — — Prior service cost/credit — — — — Deferred income taxes (26) 7 (3) (22) $ 76 $ (20) $ 10 $ 66 Other movements during the year: Net loss $ (183) $ 345 $ (15) $ 147 Prior service cost/credit — (2) — (2) Deferred income taxes 48 (87) 4 (35) $ (135) $ 256 $ (11) $ 110 Total movements in other comprehensive earnings/losses $ (59) $ 236 $ (1) $ 176 The movements in other comprehensive earnings/losses for the year ended December 31, 2021 were as follows: (in millions) Pension Post-retirement Post-employment Total Amounts reclassified to net earnings as components of net periodic benefit cost: Amortization: Net loss $ 131 $ 22 $ 10 $ 163 Prior service cost/credit 5 (46) — (41) Other expense (income): Net loss — — — — Prior service cost/credit — — — — Deferred income taxes (35) 7 (2) (30) $ 101 $ (17) $ 8 $ 92 Other movements during the year: Net loss $ 465 $ 157 $ 2 $ 624 Prior service cost/credit (8) 345 — 337 Deferred income taxes (118) (127) — (245) $ 339 $ 375 $ 2 $ 716 Total movements in other comprehensive earnings/losses $ 440 $ 358 $ 10 $ 808 The movements in other comprehensive earnings/losses for the year ended December 31, 2020 were as follows: (in millions) Pension Post- Post- Total Amounts reclassified to net earnings as components of net periodic benefit cost: Amortization: Net loss $ 134 $ 10 $ 19 $ 163 Prior service cost/credit 5 (30) — (25) Other expense (income): Net loss 10 — — 10 Prior service cost/credit — — — — Deferred income taxes (37) 5 (5) (37) $ 112 $ (15) $ 14 $ 111 Other movements during the year: Net loss $ (268) $ (162) $ (18) $ (448) Prior service cost/credit (5) (1) — (6) Deferred income taxes 69 41 5 115 $ (204) $ (122) $ (13) $ (339) Total movements in other comprehensive earnings/losses $ (92) $ (137) $ 1 $ (228) |
Additional Information (Tables)
Additional Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Other Nonoperating Income (Expense) | For the Years Ended December 31, (in millions) 2022 2021 2020 Research and development expense $ 162 $ 145 $ 131 Interest and other debt expense, net: Interest expense $ 1,128 $ 1,188 $ 1,223 Interest income (70) (26) (14) $ 1,058 $ 1,162 $ 1,209 |
Schedule of Valuation and Qualifying Accounts | The activity in the allowance for discounts and allowance for returned goods was as follows: For the Years Ended December 31, (in millions) 2022 2021 2020 Discounts Returned Goods Discounts Returned Goods Discounts Returned Goods Balance at beginning of year $ — $ 50 $ — $ 40 $ — $ 32 Charged to costs and expenses 607 97 647 124 633 98 Deductions (1) (607) (106) (647) (114) (633) (90) Balance at end of year $ — $ 41 $ — $ 50 $ — $ 40 (1) Represents the recording of discounts and returns for which allowances were created . |
Contingencies (Tables)
Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Contingencies | (in millions) 2022 2021 2020 Accrued liability for tobacco and health and certain other litigation items at beginning of period $ 91 $ 9 $ 14 Pre-tax charges for: Tobacco and health and certain other litigation (1) 101 83 79 Shareholder class action and shareholder derivative lawsuits (2) 27 90 — Related interest costs 3 9 4 Payments (151) (100) (88) Accrued liability for tobacco and health and certain other litigation items at end of period $ 71 $ 91 $ 9 (1) Includes judgments, settlements and fee disputes associated with tobacco and health and certain other litigation. (2) See S hareholder Class Action and Shareholder Derivative Lawsuits below for discussions of the shareholder class action case and related settlement and the pending settlement of the federal and state shareholder derivative lawsuits. The table below lists the number of certain tobacco-related cases pending in the United States against us as of December 31: 2022 2021 2020 Individual Smoking and Health Cases (1) 162 176 148 Health Care Cost Recovery Actions (2) 1 1 1 E-vapor Cases (3) 5,283 3,296 1,563 Other Tobacco-Related Cases (4) 3 3 3 (1) Includes as of December 31, 2022, 17 cases filed in Illinois, 20 cases filed in New Mexico, 37 cases filed in Massachusetts and 51 non- Engle cases filed in Florida. Does not include individual smoking and health cases brought by or on behalf of plaintiffs in Florida state and federal courts following the decertification of the Engle case (these Engle progeny cases are discussed below in Smoking and Health Litigation - Engle Class Action ). Also does not include 1,395 cases brought by flight attendants seeking compensatory damages for personal injuries allegedly caused by exposure to environmental tobacco smoke (“ETS”). The flight attendants allege that they are members of an ETS smoking and health class action in Florida, which was settled in 1997 ( Broin ). The terms of the court-approved settlement in that case allowed class members to file individual lawsuits seeking compensatory damages but prohibited them from seeking punitive damages. Class members were prohibited from filing individual lawsuits after 2000 under the court-approved settlement. (2) See Health Care Cost Recovery Litigation - Federal Government’s Lawsuit below. (3) Includes as of December 31, 2022, 57 class action lawsuits, 3,830 individual lawsuits and 1,396 “third party” lawsuits relating to JUUL e-vapor products, which include school districts, state and local government, tribal and healthcare organization lawsuits. JUUL is an additional named defendant in each of these lawsuits. The 57 class action lawsuits include 32 cases in the Northern District of California (“Multidistrict Litigation” or “MDL”) involving plaintiffs whose claims were previously included in other class action complaints but were refiled as separate stand-alone class actions for procedural and other reasons. (4) Includes as of December 31, 2022, one inactive smoking and health case alleging personal injury and purporting to be brought on behalf of a class of individual plaintiffs and two inactive class action lawsuits alleging that use of the terms “Lights” and “Ultra Lights” constitute deceptive and unfair trade practices, common law or statutory fraud, unjust enrichment, breach of warranty or violations of RICO. Currently Pending Engle Cases with Verdicts Against PM USA (rounded to nearest $ million) Plaintiff Verdict Date Defendant(s) Court Compensatory Damages (1) Punitive Damages Post-Trial Status Hoffman January 2023 PM USA Miami-Dade $5 million ($3 million PM USA) $0 Awaiting entry of final judgment by the trial court. Levine September 2022 PM USA and R.J. Reynolds Miami-Dade $1 million $0 Appeals by defendants and plaintiff to Third District Court of Appeal pending. Schertzer April 2022 PM USA and R.J. Reynolds Miami-Dade $3 million $0 Appeal by defendants to the Third District Court of Appeal pending. Lipp September 2021 PM USA Miami-Dade $15 million $28 million Appeal by defendant to Third District Court of Appeal pending. Garcia May 2021 PM USA Miami-Dade $6 million ($3 million PM USA) $0 Appeal by defendant to the Third District Court of Appeal pending. Duignan February 2020 (2) PM USA and R.J. Reynolds Pinellas $3 million $12 million Florida Supreme Court quashed the Second District Court of Appeal’s affirmation of judgment against the defendants and remanded the case for reconsideration in light of Prentice (3) . McCall March 2019 PM USA Broward <$1 million (<$1 million PM USA) $0 New trial on punitive damages is set for April 2023. Chadwell September 2018 PM USA Miami-Dade $2 million $0 Third District Court of Appeal has ordered supplemental briefing in accordance with the decision in Prentice (3) . Kaplan ( McLaughlin ) July 2018 PM USA and R.J. Reynolds Broward $2 million $0 Florida Supreme Court vacated the punitive damages award in accordance with the decision in Sheffield (3) . The Fourth District Court of Appeals affirmed the compensatory damages award and granted a new trial on punitive damages. Cooper ( Blackwood ) September 2015 PM USA and R.J. Reynolds Broward $5 million (<$1 million PM USA) $0 Fourth District Court of Appeal affirmed the compensatory damages award and granted a new trial on punitive damages. (1) PM USA’s portion of the compensatory damages award is noted parenthetically where the court has ruled that comparative fault applies. (2) Plaintiff’s verdict following a retrial of an initial verdict in favor of plaintiff. (3) PM USA is not a defendant in Prentice or Sheffield , which are discussed below in Engle Progeny Appellate Issues . Engle Cases Concluded Within Past 12 Months (rounded to nearest $ million) Plaintiff Verdict Date Defendant(s) Court Accrual Date Payment Amount for Damages (if any) Payment Date Miller September 2022 PM USA and R.J. Reynolds Miami-Dade Third quarter of 2022 <$1 million December 2022 Tuttle August 2022 PM USA Duval Third quarter of 2022 <$1 million October 2022 Cuddihee January 2020 PM USA Duval Second quarter of 2022 $2 million June 2022 Holliman February 2019 PM USA Miami-Dade Fourth quarter of 2022 $3 million January 2023 D. Brown January 2015 PM USA Federal Court - Middle District of Florida Third quarter of 2022 $5 million August 2022 |
Background and Basis of Prese_2
Background and Basis of Presentation (Background Narrative) (Details) $ in Millions | 1 Months Ended | 5 Months Ended | 12 Months Ended | ||
Oct. 31, 2021 USD ($) | Apr. 30, 2021 USD ($) | Dec. 31, 2022 USD ($) lease | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||||
Number of leveraged leases remaining | lease | 0 | ||||
Proceeds from the Ste. Michelle Transaction, net of cash transferred | $ 1,200 | $ 0 | $ 1,176 | $ 0 | |
Payments to acquire additional interest in subsidiaries | $ 250 | ||||
Horizon {Member] | PM USA [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage in consolidated subsidiary | 75% | ||||
Horizon {Member] | JTIUH [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 25% | ||||
Helix Innovations LLC [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Noncontrolling interest, remaining interest purchased by parent | 20% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Billions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Inventories determined using LIFO method | 79% | 81% |
Current cost of inventories over LIFO amounts | $ 0.7 | $ 0.6 |
Revenue, contract duration | 1 year | |
Revenue, performance obligation, description of timing | three days | |
Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Definite-lived intangible assets useful life maximum, years | 25 years | |
Maximum [Member] | Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life of property, plant and equipment | 20 years | |
Maximum [Member] | Building and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Useful life of property, plant and equipment | 50 years | |
USSTC [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Revenue, performance obligation, description of timing | one business day |
Revenues from Contracts with _2
Revenues from Contracts with Customers (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Contract with customer, liability | $ 252 | $ 287 |
Revenue, performance obligation, description of timing | three days | |
Receivables | $ 48 | $ 47 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets, net (Schedule of Goodwill and Intangible Assets by Segment) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Goodwill [Line Items] | |||
Goodwill | $ 5,177 | $ 5,177 | $ 5,177 |
Other Intangible Assets, net | 12,384 | 12,306 | $ 12,615 |
Smokeable Products [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 99 | 99 | |
Other Intangible Assets, net | 2,989 | 3,017 | |
Oral Tobacco Products [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 5,078 | 5,078 | |
Other Intangible Assets, net | 9,097 | 9,129 | |
Other [Member] | |||
Goodwill [Line Items] | |||
Goodwill | 0 | 0 | |
Other Intangible Assets, net | $ 298 | $ 160 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets, net (Other Intangible Assets Disclosure) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Indefinite-lived intangible assets | $ 11,443 | $ 11,443 |
Definite-lived intangible assets | 1,411 | 1,260 |
Total other intangible assets | 12,854 | 12,703 |
Definite-lived intangible assets, accumulated amortization | $ 470 | $ 397 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets, net (Narrative) (Details) - USD ($) | 9 Months Ended | 12 Months Ended | |||
Jul. 15, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Oct. 19, 2022 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization of intangibles | $ 73,000,000 | $ 72,000,000 | $ 72,000,000 | ||
Estimated future amortization, year 1 | 75,000,000 | ||||
Estimated future amortization, year 2 | 75,000,000 | ||||
Estimated future amortization, year 3 | 75,000,000 | ||||
Estimated future amortization, year 4 | 75,000,000 | ||||
Estimated future amortization, year 5 | 75,000,000 | ||||
Goodwill impairment | 0 | 0 | $ 0 | ||
Accumulated goodwill impairment charges | 0 | $ 0 | |||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | IQOS Tobacco Heating System | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Disposal group, purchase agreement, consideration, initial payment | $ 1,000,000,000 | ||||
Disposal group, purchase agreement, effective interest rate | 6% | ||||
Disposal group, deferred gain on sale of rights under an agreement | 2,700,000,000 | ||||
Disposal group, receivable | 1,700,000,000 | ||||
Disposal group, interest receivable | 21,000,000 | ||||
Disposal group, including discontinued operation, interest income | 21,000,000 | ||||
Disposal group, including discontinued operation, cash | 1,000,000,000 | ||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | IQOS Tobacco Heating System | Forecast [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Disposal group, purchase agreement, consideration, additional payment | $ 1,700,000,000 | ||||
Proceeds from sale of rights under an agreement | $ 2,700,000,000 | ||||
Middleton [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Indefinite-lived trademarks | 2,600,000,000 | ||||
UST Inc. [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Indefinite-lived trademarks | 8,800,000,000 | ||||
UST Inc. [Member] | Copenhagen [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Indefinite-lived trademarks | 4,000,000,000 | ||||
UST Inc. [Member] | Skoal [ Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Indefinite-lived trademarks | 3,900,000,000 | ||||
UST Inc. [Member] | Trademarks, MST [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Indefinite-lived trademarks | $ 900,000,000 | ||||
Weighted Average [Member] | Definite-Lived Intangible Assets [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Definite-lived intangible assets amortization period, weighted average, in years | 20 years |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets, net (Schedule of Goodwill and Net Carrying Amount of Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill | |||
Balance at beginning of period | $ 5,177 | $ 5,177 | |
Acquisitions (1) | 0 | 0 | |
Dispositions | 0 | 0 | |
Balance of end of period | 5,177 | 5,177 | $ 5,177 |
Other Intangible Assets, net | |||
Balance beginning of period | 12,306 | 12,615 | |
Acquisitions (1) | 151 | 0 | |
Dispositions | 0 | (237) | |
Amortization | (73) | (72) | (72) |
Balance end of period | 12,384 | $ 12,306 | $ 12,615 |
JTIUH [Member] | |||
Other Intangible Assets, net | |||
Noncash or part noncash acquisition, intangible assets acquired | $ 50 |
Investments in Equity Securit_3
Investments in Equity Securities (Summary of Investments) (Details) - USD ($) | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 |
Investments [Line Items] | ||||
Total | $ 9,600,000,000 | $ 13,481,000,000 | ||
ABI [Member] | ||||
Investments [Line Items] | ||||
Equity method investments | 8,975,000,000 | 11,144,000,000 | $ 11,200,000,000 | |
JUUL [Member] | ||||
Investments [Line Items] | ||||
Equity securities, FV-NI | 250,000,000 | 1,705,000,000 | ||
Cronos [Member] | ||||
Investments [Line Items] | ||||
Equity method investments | $ 437,000,000 | 617,000,000 | ||
Equity method investments including warrants and fixed price preemptive rights | 375,000,000 | 632,000,000 | ||
Equity method investments, fixed preemptive rights | $ 0 | |||
Common Stock [Member] | Cronos [Member] | ||||
Investments [Line Items] | ||||
Equity method investments including warrants and fixed price preemptive rights | $ 617,000,000 |
Investments in Equity Securit_4
Investments in Equity Securities (Earnings from Equity Investments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Investments [Line Items] | |||
(Income) losses from investments in equity securities | $ 2,186 | $ 5,979 | $ 211 |
(Income) losses from investments in equity securities | 3,641 | 5,979 | 111 |
ABI [Member] | |||
Investments [Line Items] | |||
(Income) losses from investments in equity securities | 1,973 | 5,564 | 223 |
Cronos [Member] | |||
Investments [Line Items] | |||
(Income) losses from investments in equity securities | 213 | 415 | (12) |
JUUL [Member] | |||
Investments [Line Items] | |||
JUUL | $ 1,455 | $ 0 | $ (100) |
Investments in Equity Securit_5
Investments in Equity Securities (Summary of Financial Data) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2022 | Sep. 30, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||||
Net revenues | $ 25,096 | $ 26,013 | $ 26,153 | ||
Gross profit | 14,246 | 13,992 | 13,023 | ||
Earnings (losses) from continuing operations | 7,389 | 3,824 | 6,890 | ||
Net earnings (losses) | 5,764 | 2,475 | 4,454 | ||
Net earnings (losses) attributable to equity investments | 0 | 0 | (13) | ||
Current assets | 7,220 | 6,083 | |||
Current liabilities | 8,616 | 8,579 | |||
ABI [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net revenues | 57,267 | 52,864 | 48,294 | ||
Gross profit | 31,588 | 30,653 | 28,438 | ||
Earnings (losses) from continuing operations | 7,879 | 7,434 | 4,265 | ||
Net earnings (losses) | 7,879 | 7,434 | 4,266 | ||
Net earnings (losses) attributable to equity investments | 5,838 | 5,780 | 3,323 | ||
Current assets | $ 24,164 | $ 21,593 | |||
Long-term assets | 182,087 | 190,082 | |||
Current liabilities | 32,649 | 33,540 | |||
Long-term liabilities | 96,497 | 105,973 | |||
Convertible Preferred Stock | 0 | 0 | |||
Noncontrolling interests | 11,778 | 11,356 | |||
Other Investments [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Net revenues | 947 | 1,313 | 37 | ||
Gross profit | 525 | 757 | (31) | ||
Earnings (losses) from continuing operations | (521) | (800) | 99 | ||
Net earnings (losses) | (521) | (800) | 98 | ||
Net earnings (losses) attributable to equity investments | $ (520) | $ (798) | $ 100 | ||
Current assets | 963 | 1,882 | |||
Long-term assets | 274 | 1,049 | |||
Current liabilities | 38 | 451 | |||
Long-term liabilities | 8 | 2,277 | |||
Convertible Preferred Stock | 0 | 715 | |||
Noncontrolling interests | $ (3) | $ (3) |
Investments in Equity Securit_6
Investments in Equity Securities (Investment in ABI Narrative) (Details) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | ||||
Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Investments [Line Items] | |||||
Fair value of investment | $ 11,200 | ||||
ABI [Member] | |||||
Investments [Line Items] | |||||
Equity method investment, ownership percentage (approximately) | 10% | ||||
Equity method investment, number of shares owned, restricted (in shares) | 185 | ||||
Equity method investment, number of shares owned, common (in shares) | 12 | ||||
Equity method investments | $ 11,200 | $ 8,975 | $ 11,144 | ||
Equity method investment, difference between carrying amount and fair value, percentage | (22.00%) | (35.00%) | 33% | ||
Equity method investment, impairment | $ 2,500 | $ 6,200 | |||
Difference between carrying amount and underlying equity | $ 2,500 | ||||
Level 1 [Member] | ABI [Member] | |||||
Investments [Line Items] | |||||
Fair value of investment | 9,000 | 11,200 | $ 11,900 | 11,900 | |
Equity method investments | 11,100 | ||||
Equity method investment, difference between carrying amount and fair value | $ (2,500) | $ (6,200) | $ (1,100) | $ 800 | |
Equity method investment, difference between carrying amount and fair value, percentage | (9.00%) | 7% |
Investments in Equity Securit_7
Investments in Equity Securities (Investment in JUUL Narrative) (Details) - USD ($) shares in Millions | 1 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2018 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2022 | Jun. 30, 2022 | Apr. 30, 2020 | Jan. 31, 2020 | |
Investments [Line Items] | ||||||||
Equity securities without readily determinable fair value, upward price adjustment | $ 0 | |||||||
Equity securities without readily determinable fair value, downward price adjustment, cumulative amount | 0 | |||||||
Impairment of JUUL equity securities | $ 0 | $ 0 | 2,600,000,000 | |||||
JUUL [Member] | ||||||||
Investments [Line Items] | ||||||||
Payments to acquire equity securities without readily determinable fair value | $ 12,800,000,000 | |||||||
Equity securities without readily determinable fair value, ownership percentage | 35% | 35% | ||||||
Investment owned, balance, percentage | 35% | 35% | ||||||
Investment owned, balance, shares (in shares) | 42 | |||||||
Non-compete release trigger percentage of initial investment carrying value | 10% | 10% | ||||||
Equity securities without readily determinable fair value, quantitative assessment adjustment, annual amount | $ 12,800,000,000 | |||||||
Equity securities without readily determinable fair value, amount | $ 450,000,000 | |||||||
Equity securities, FV-NI, unrealized gain (loss) | $ (1,455,000,000) | 100,000,000 | ||||||
Estimated fair value of JUUL | $ 0 | |||||||
Impairment of JUUL equity securities | $ 2,600,000,000 |
Investments in Equity Securit_8
Investments in Equity Securities (JUUL Investment Classified as Level 3) (Details) - Equity Securities - JUUL [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance at beginning of period | $ 1,705 | $ 1,705 |
Unrealized gains (losses) included in (income) losses from investments in equity securities | (1,455) | 0 |
Balance at end of period | $ 250 | $ 1,705 |
Investments in Equity Securit_9
Investments in Equity Securities (Investment in Cronos Narrative) (Details) shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) shares | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 31, 2022 $ / shares | Sep. 30, 2022 USD ($) | |
Investments [Line Items] | ||||||
Fair value of investment | $ 11,200 | |||||
Impairment of JUUL equity securities | $ 0 | $ 0 | $ 2,600 | |||
Cronos [Member] | ||||||
Investments [Line Items] | ||||||
Equity method investment, ownership percentage (approximately) | 41.10% | 41.80% | ||||
Equity method investment, number of shares owned, common (in shares) | shares | 156.6 | |||||
Equity method investments | $ 437 | $ 617 | ||||
Fair value of investment | $ 437 | $ 617 | ||||
Equity method investment, difference between carrying amount and fair value, percentage | (20.00%) | 6% | (25.00%) | |||
Equity method investment, difference between carrying amount and fair value | $ 22 | |||||
Equity method investment, impairment | $ 107 | $ 205 | ||||
Equity Contract, Preemptive Rights [Member] | Cronos [Member] | ||||||
Investments [Line Items] | ||||||
Equity method investment, price per share if exercised | $ / shares | $ 16.25 | |||||
Equity method investment, number of shares eligible for purchase | shares | 7 | |||||
Equity Contract, Warrant [Member] | Cronos [Member] | ||||||
Investments [Line Items] | ||||||
Equity method investment, price per share if exercised | $ / shares | $ 19 | |||||
Equity method investment, percentage of shares eligible for purchase | 10% |
Investments in Equity Securi_10
Investments in Equity Securities (Investment in Cronos) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of Equity Method Investments [Line Items] | |||
Unrealized gain (loss) on derivatives | $ (15) | $ (148) | $ (140) |
Equity Contract, Preemptive Rights [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Unrealized gain (loss) on derivatives | (1) | (23) | (45) |
Warrant [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Unrealized gain (loss) on derivatives | $ (14) | $ (125) | $ (95) |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Aug. 31, 2022 USD ($) | Dec. 31, 2022 USD ($) contract | Dec. 31, 2021 USD ($) contract | Dec. 31, 2020 USD ($) | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
Number of foreign currency derivatives held | contract | 0 | 0 | ||
Repayments of long-term debt | $ | $ 1,100 | $ 1,105 | $ 6,542 | $ 1,000 |
Financial Instruments (Aggregat
Financial Instruments (Aggregate Fair Value and Carrying Value) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Derivative [Line Items] | ||
Carrying value | $ 26,680 | $ 28,044 |
Fair value | 22,928 | 30,459 |
Foreign Currency Denominated Debt [Abstract] | ||
Carrying value | 26,680 | 28,044 |
Foreign Currency Denominated Debt [Member] | ||
Derivative [Line Items] | ||
Carrying value | 4,540 | 4,817 |
Foreign Currency Denominated Debt [Abstract] | ||
Carrying value | 4,540 | 4,817 |
Fair value | $ 4,165 | $ 5,114 |
Financial Instruments (Effects
Financial Instruments (Effects of Net Investment Hedges on Accumulated Other Comprehensive Losses) (Details) - Net Investment Hedging [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
(Gain) Loss Recognized in Accumulated Other Comprehensive Losses | $ (281) | $ (375) | $ 503 |
(Gain) Loss Recognized in Net Earnings | 0 | (7) | (40) |
Foreign Currency Contract [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
(Gain) Loss Recognized in Accumulated Other Comprehensive Losses | 0 | (16) | 79 |
(Gain) Loss Recognized in Net Earnings | 0 | (7) | (40) |
Foreign Currency Denominated Debt [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
(Gain) Loss Recognized in Accumulated Other Comprehensive Losses | (281) | (359) | 424 |
(Gain) Loss Recognized in Net Earnings | $ 0 | $ 0 | $ 0 |
Short-Term Borrowings and Bor_2
Short-Term Borrowings and Borrowing Arrangements (Narrative) (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Aug. 31, 2022 | Mar. 31, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
Short-term Debt [Line Items] | ||||
Short-term borrowings | $ 0 | $ 0 | ||
Debt instrument, covenant, consolidated EBITDA to interest expense ratio, minimum | 4 | |||
Revolving Credit Facility [Member] | ||||
Short-term Debt [Line Items] | ||||
Debt instrument, consolidated EBITDA to interest expense ratio | 11 | |||
Line of Credit [Member] | Revolving Credit Facility Due August 2025 | Revolving Credit Facility [Member] | ||||
Short-term Debt [Line Items] | ||||
Face value | $ 3,000,000,000 | $ 3,000,000,000 | $ 3,000,000,000 | |
Term of debt | 5 years | |||
Proceeds from issuance of debt | $ 3,000,000,000 | |||
Line of Credit [Member] | Revolving Credit Facility Due August 2025 | Revolving Credit Facility [Member] | Term Secured Overnight Financing Rate ("Term SOFR") [Member] | ||||
Short-term Debt [Line Items] | ||||
Applicable portion of interest rate for borrowing | 1% |
Long-Term Debt (Summary of Long
Long-Term Debt (Summary of Long-Term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Long-term debt | $ 26,680 | $ 28,044 |
Less current portion of long-term debt | 1,556 | 1,105 |
Long-term debt excluding current portion | 25,124 | 26,939 |
Notes 2.350% To 10.20%, interest payable semi-annually, due through 2061 [Member] | Notes [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 22,098 | $ 23,185 |
Notes 2.350% To 10.20%, interest payable semi-annually, due through 2061 [Member] | Notes [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.35% | |
Notes 2.350% To 10.20%, interest payable semi-annually, due through 2061 [Member] | Notes [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 10.20% | |
Notes 2.350% To 10.20%, interest payable semi-annually, due through 2061 [Member] | Notes [Member] | Weighted Average [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate | 4.40% | 4.40% |
USD Debenture, 7.750%, Maturing January 2027 [Member] | Debenture [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 42 | $ 42 |
Interest Rate | 7.75% | |
Euro notes, 1.000% to 3.125%, interest payable annually, due through 2031 [Member] | Notes Payable, Other Payables [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 4,540 | $ 4,817 |
Euro notes, 1.000% to 3.125%, interest payable annually, due through 2031 [Member] | Notes Payable, Other Payables [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 1% | |
Euro notes, 1.000% to 3.125%, interest payable annually, due through 2031 [Member] | Notes Payable, Other Payables [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.125% | |
Euro notes, 1.000% to 3.125%, interest payable annually, due through 2031 [Member] | Notes Payable, Other Payables [Member] | Weighted Average [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate | 2% | 2% |
Long-Term Debt (Details of Long
Long-Term Debt (Details of Long-Term Debt) (Details) | Dec. 31, 2022 USD ($) | Dec. 31, 2022 EUR (€) | Mar. 31, 2021 |
Senior Notes [Member] | USD Notes, 2.950%, Maturing May 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 218,000,000 | ||
Interest Rate | 2.95% | 2.95% | 2.95% |
Senior Notes [Member] | USD Notes, 4.000%, Maturing January 2024 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 776,000,000 | ||
Interest Rate | 4% | 4% | 4% |
Senior Notes [Member] | USD Notes, 3.800%, Maturing February 2024 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 345,000,000 | ||
Interest Rate | 3.80% | 3.80% | 3.80% |
Senior Notes [Member] | USD Notes, 2.350%, Maturing May 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 750,000,000 | ||
Interest Rate | 2.35% | 2.35% | |
Senior Notes [Member] | USD Notes, 4.400%, Maturing February 2026 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,069,000,000 | ||
Interest Rate | 4.40% | 4.40% | 4.40% |
Senior Notes [Member] | USD Notes, 2.625%, Maturing September 2026 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 500,000,000 | ||
Interest Rate | 2.625% | 2.625% | |
Senior Notes [Member] | USD Notes, 4.800%, Maturing February 2029 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,906,000,000 | ||
Interest Rate | 4.80% | 4.80% | 4.80% |
Senior Notes [Member] | USD Notes, 3.400%, Maturing May 2030 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 750,000,000 | ||
Interest Rate | 3.40% | 3.40% | |
Senior Notes [Member] | USD Notes, 2.450%, Maturing February 2032 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,750,000,000 | ||
Interest Rate | 2.45% | 2.45% | |
Senior Notes [Member] | USD Notes, 9.950%, Maturing November 2038 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 177,000,000 | ||
Interest Rate | 9.95% | 9.95% | 9.95% |
Senior Notes [Member] | USD Notes, 10.200%, Maturing February 2039 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 208,000,000 | ||
Interest Rate | 10.20% | 10.20% | 10.20% |
Senior Notes [Member] | USD Notes, 5.800%, Maturing February 2039 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 2,000,000,000 | ||
Interest Rate | 5.80% | 5.80% | |
Senior Notes [Member] | USD Notes, 3.400%, Maturing February 2041 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,500,000,000 | ||
Interest Rate | 3.40% | 3.40% | |
Senior Notes [Member] | USD Notes, 4.250%, Maturing August 2042 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 900,000,000 | ||
Interest Rate | 4.25% | 4.25% | |
Senior Notes [Member] | USD Notes, 4.500%, Maturing May 2043 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 650,000,000 | ||
Interest Rate | 4.50% | 4.50% | |
Senior Notes [Member] | USD Notes, 5.375%, Maturing January 2044 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,800,000,000 | ||
Interest Rate | 5.375% | 5.375% | |
Senior Notes [Member] | USD Notes, 3.875%, Maturing September 2046 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,500,000,000 | ||
Interest Rate | 3.875% | 3.875% | |
Senior Notes [Member] | USD Notes, 5.950%, Maturing February 2049 [member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 2,500,000,000 | ||
Interest Rate | 5.95% | 5.95% | |
Senior Notes [Member] | USD Notes, 4.450%, Maturing May 2050 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 500,000,000 | ||
Interest Rate | 4.45% | 4.45% | |
Senior Notes [Member] | USD Notes, 3.700%, Maturing February 2051 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,250,000,000 | ||
Interest Rate | 3.70% | 3.70% | |
Senior Notes [Member] | USD Notes, 6.200%, Maturing February 2059 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 271,000,000 | ||
Interest Rate | 6.20% | 6.20% | 6.20% |
Senior Notes [Member] | USD Notes, 4.000%, Maturing February 2061 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 1,000,000,000 | ||
Interest Rate | 4% | 4% | |
Notes Payable, Other Payables [Member] | Euro Notes, 1.000%, Maturing February 2023 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | € | € 1,250,000,000 | ||
Interest Rate | 1% | 1% | |
Notes Payable, Other Payables [Member] | Euro Notes, 1.700%, Maturing June 2025 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | € | € 750,000,000 | ||
Interest Rate | 1.70% | 1.70% | |
Notes Payable, Other Payables [Member] | Euro Notes, 2.200%, Maturing June 2027 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | € | € 1,000,000,000 | ||
Interest Rate | 2.20% | 2.20% | |
Notes Payable, Other Payables [Member] | Euro Notes, 3.125%, Maturing June 2031 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | € | € 1,250,000,000 | ||
Interest Rate | 3.125% | 3.125% | |
Debenture [Member] | USD Debenture, 7.750%, Maturing January 2027 [Member] | |||
Debt Instrument [Line Items] | |||
Face Value | $ 42,000,000 | ||
Interest Rate | 7.75% | 7.75% |
Long-Term Debt (Aggregate Matur
Long-Term Debt (Aggregate Maturities of Long-Term Debt) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Disclosure [Abstract] | ||
2023 | $ 1,556 | |
2024 | 1,121 | |
2025 | 1,553 | |
2026 | 1,569 | |
2027 | 1,113 | |
Thereafter | 20,000 | |
Long-term debt before debt issuance costs and debt discount | 26,912 | |
Less: debt issuance costs | 148 | |
Less: debt discounts | 84 | |
Long-term debt | $ 26,680 | $ 28,044 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Aug. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Debt Instrument [Line Items] | |||||
Interest payable | $ 411 | $ 429 | |||
Repayments of long-term debt | $ 1,100 | 1,105 | 6,542 | $ 1,000 | |
Loss on early extinguishment of debt | $ 649 | $ 0 | $ 649 | $ 0 | |
Gain (loss) on extinguishment of debt, before write off of debt issuance cost | (623) | ||||
Write off of deferred debt issuance cost | $ 26 | ||||
Senior Notes [Member] | Debt Instrument, Redemption, Period One [Member] | |||||
Debt Instrument [Line Items] | |||||
Required purchase price as percentage of aggregate principal amount | 101% | ||||
USD Denominated Notes [Member] | Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 2.85% | ||||
Repayments of unsecured debt | $ 1,100 | ||||
USD Denominated Notes, 3.490 Percent, Due 2022 [Member] | Senior Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 3.49% | ||||
Repayments of long-term debt | $ 1,000 |
Long-Term Debt (Debt Tender Off
Long-Term Debt (Debt Tender Offers and Redemption (Details) - Senior Notes [Member] - USD ($) | Dec. 31, 2022 | Mar. 31, 2021 |
Debt Instrument [Line Items] | ||
Principal Amount of Notes Purchased | $ 4,042,000,000 | |
USD Notes, 2.850% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.85% | |
Principal Amount of Notes Purchased | $ 795,000,000 | |
USD Notes, 2.950% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 2.95% | 2.95% |
Principal Amount of Notes Purchased | $ 132,000,000 | |
USD Notes, 4.000% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4% | 4% |
Principal Amount of Notes Purchased | $ 624,000,000 | |
USD Notes, 3.800% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 3.80% | 3.80% |
Principal Amount of Notes Purchased | $ 655,000,000 | |
USD Notes, 4.400% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.40% | 4.40% |
Principal Amount of Notes Purchased | $ 430,000,000 | |
USD Notes, 4.800% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 4.80% | 4.80% |
Principal Amount of Notes Purchased | $ 1,094,000,000 | |
USD Notes, 9.950% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 9.95% | 9.95% |
Principal Amount of Notes Purchased | $ 65,000,000 | |
USD Notes, 10.200% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 10.20% | 10.20% |
Principal Amount of Notes Purchased | $ 18,000,000 | |
USD Notes, 6.200% [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate | 6.20% | 6.20% |
Principal Amount of Notes Purchased | $ 229,000,000 |
Capital Stock (Narrative) (Deta
Capital Stock (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | 24 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2022 | Jan. 31, 2023 | Oct. 31, 2021 | Jan. 31, 2021 | |
Class of Stock [Line Items] | |||||||||
Common stock, shares authorized (in shares) | 12,000,000,000 | 12,000,000,000 | |||||||
Common stock, dividend increase, percentage | 4.40% | ||||||||
Cash dividends declared (USD per share) | $ 0.94 | $ 0.90 | $ 3.68 | $ 3.52 | $ 3.40 | ||||
Common stock, dividend rate, annual, per share (USD per share) | $ 3.76 | $ 3.76 | |||||||
Repurchase of common stock (in shares) | 38,156,312 | 35,656,116 | |||||||
January 2021 Share Repurchase Program [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 3,500,000,000 | $ 2,000,000,000 | |||||||
Repurchase of common stock (in shares) | 38,100,000 | 35,700,000 | 73,800,000 | ||||||
July 2019 Share Repurchase Program [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Repurchase of common stock (in shares) | 0 | ||||||||
January 2023 Share Repurchase Program | Subsequent Event [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 1,000,000,000 | ||||||||
Serial Preferred Stock [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 | |||||||
Preferred stock, par value (USD per share) | $ 1 | $ 1 | |||||||
Preferred stock, shares issued (in shares) | 0 | 0 | |||||||
Share-based Payment Arrangement [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Shares of common stock reserved for stock-based awards (in shares) | 26,698,134 | 26,698,134 |
Capital Stock (Schedule of Issu
Capital Stock (Schedule of Issued Repurchased and Outstanding Shares) (Details) - shares | 12 Months Ended | 24 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2022 | |
Common Stock, Shares Outstanding [Roll Forward] | ||||
Beginning balance, Shares Issued (in shares) | 2,805,961,317 | 2,805,961,317 | 2,805,961,317 | 2,805,961,317 |
Beginning balance, Shares Repurchased (in shares) | (982,785,699) | (947,542,152) | (947,979,763) | (947,542,152) |
Beginning balance, Shares Outstanding (in shares) | 1,823,175,618 | 1,858,419,165 | 1,857,981,554 | 1,858,419,165 |
Stock award activity (in shares) | 514,816 | 412,569 | 437,611 | |
Repurchases of common stock (in shares) | (38,156,312) | (35,656,116) | ||
Ending balance, Shares Issued (in shares) | 2,805,961,317 | 2,805,961,317 | 2,805,961,317 | 2,805,961,317 |
Ending balance, Shares Repurchased (in shares) | (1,020,427,195) | (982,785,699) | (947,542,152) | (1,020,427,195) |
Ending balance, Shares Outstanding (in shares) | 1,785,534,122 | 1,823,175,618 | 1,858,419,165 | 1,785,534,122 |
Capital Stock (Schedule of Shar
Capital Stock (Schedule of Shares Repurchased) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | 24 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | |
Class of Stock [Line Items] | |||
Total number of shares repurchased (in shares) | 38,156,312 | 35,656,116 | |
Aggregate cost of shares repurchased | $ 1,825 | $ 1,675 | |
January 2021 Share Repurchase Program [Member] | |||
Class of Stock [Line Items] | |||
Total number of shares repurchased (in shares) | 38,100,000 | 35,700,000 | 73,800,000 |
Aggregate cost of shares repurchased | $ 1,825 | $ 1,675 | $ 3,500 |
Average price per share of shares repurchased (USD per share) | $ 47.83 | $ 46.97 | $ 47.42 |
Stock Plans (Narrative) (Detail
Stock Plans (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period, in years | 3 years | ||
Expense amortization period | 3 years | ||
Pre-tax compensation expense | $ 41 | $ 34 | $ 31 |
Deferred tax benefit | 10 | 9 | 8 |
Unamortized compensation expense | $ 73 | ||
Weighted-average period of recognition, in years | 2 years | ||
Weighted-average grant date fair value | $ 59 | $ 48 | $ 49 |
Weighted-average grant date fair value, per share (in USD per share) | $ 49.22 | $ 45.22 | $ 42.59 |
Total fair value vested | $ 29 | $ 19 | $ 25 |
Granted, number of shares (in shares) | 1,206,601 | ||
Number of shares remaining (in shares) | 3,257,795 | 2,702,462 | |
Grant date fair value (in USD per share) | $ 46.90 | $ 46.84 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period, in years | 3 years | ||
Pre-tax compensation expense | $ 9 | $ 6 | $ 4 |
Unamortized compensation expense | $ 13 | ||
Granted, number of shares (in shares) | 215,205 | 229,494 | 275,288 |
Number of shares remaining (in shares) | 628,693 | ||
Grant date fair value (in USD per share) | $ 47.62 | ||
Common Stock [Member] | 2020 Performance Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum number of shares issuable under the stock compensation plan (in shares) | 25,000,000 | ||
Shares available to be granted (in shares) | 21,972,920 | ||
Common Stock [Member] | 2015 Directors Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum number of shares issuable under the stock compensation plan (in shares) | 1,000,000 | ||
Shares available to be granted (in shares) | 650,121 |
Stock Plans (Schedule of Restri
Stock Plans (Schedule of Restricted and Restricted Stock Units Activity) (Details) - Restricted Stock Units (RSUs) [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Shares | |||
Balance at beginning of year (in shares) | 2,702,462 | ||
Granted (in shares) | 1,206,601 | ||
Vested (in shares) | (556,399) | ||
Forfeited (in shares) | (94,869) | ||
Balance at end of year, (in shares) | 3,257,795 | 2,702,462 | |
Weighted-Average Grant Date Fair Value Per Share | |||
Balance at beginning of year (USD per share) | $ 46.84 | ||
Granted (USD per share) | 49.22 | $ 45.22 | $ 42.59 |
Vested (USD per share) | 51.96 | ||
Forfeited (USD per share) | 45.10 | ||
Balance at end of year (USD per share) | $ 46.90 | $ 46.84 |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |||
Net earnings attributable to Altria | $ 5,764 | $ 2,475 | $ 4,467 |
Less: Distributed and undistributed earnings attributable to share-based awards | (13) | (11) | (8) |
Earnings (losses) for EPS, basic | 5,751 | 2,464 | 4,459 |
Earnings (losses) for EPS, diluted | $ 5,751 | $ 2,464 | $ 4,459 |
Weighted-average shares for basic EPS (in shares) | 1,804 | 1,845 | 1,858 |
Plus: contingently issuable PSUs (in shares) | 0 | 0 | 1 |
Weighted-average shares for diluted EPS (in shares) | 1,804 | 1,845 | 1,859 |
Other Comprehensive Earnings__3
Other Comprehensive Earnings/Losses (Changes in Each Component of Accumulated Other Comprehensive Losses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning balance | $ (1,606) | $ 2,925 | $ 6,319 |
Other comprehensive earnings (losses), net of deferred income taxes | 285 | 1,285 | (1,477) |
Ending balances | (3,923) | (1,606) | 2,925 |
AOCI Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning balance | (3,056) | (4,341) | (2,864) |
Other comprehensive earnings (losses) before reclassifications | 387 | 1,613 | (2,071) |
Deferred income taxes | (100) | (386) | 467 |
Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes | 287 | 1,227 | (1,604) |
Amounts reclassified to net earnings | 2 | 81 | 169 |
Deferred income taxes | (4) | (23) | (42) |
Amounts reclassified to net earnings, net of deferred income taxes | (2) | 58 | 127 |
Other comprehensive earnings (losses), net of deferred income taxes | 285 | 1,285 | (1,477) |
Ending balances | (2,771) | (3,056) | (4,341) |
Benefit Plans [Member] | |||
Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning balance | (1,612) | (2,420) | (2,192) |
Other comprehensive earnings (losses) before reclassifications | 145 | 961 | (454) |
Deferred income taxes | (35) | (245) | 115 |
Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes | 110 | 716 | (339) |
Amounts reclassified to net earnings | 88 | 122 | 148 |
Deferred income taxes | (22) | (30) | (37) |
Amounts reclassified to net earnings, net of deferred income taxes | 66 | 92 | 111 |
Other comprehensive earnings (losses), net of deferred income taxes | 176 | 808 | (228) |
Ending balances | (1,436) | (1,612) | (2,420) |
ABI [Member] | |||
Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning balance | (1,512) | (1,938) | (693) |
Other comprehensive earnings (losses) before reclassifications | 275 | 627 | (1,613) |
Deferred income taxes | (65) | (141) | 352 |
Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes | 210 | 486 | (1,261) |
Amounts reclassified to net earnings | (85) | (76) | 21 |
Deferred income taxes | 18 | 16 | (5) |
Amounts reclassified to net earnings, net of deferred income taxes | (67) | (60) | 16 |
Other comprehensive earnings (losses), net of deferred income taxes | 143 | 426 | (1,245) |
Ending balances | (1,369) | (1,512) | (1,938) |
Currency Translation Adjustments and Other [Member] | |||
Accumulated Other Comprehensive Income [Roll Forward] | |||
Beginning balance | 68 | 17 | 21 |
Other comprehensive earnings (losses) before reclassifications | (33) | 25 | (4) |
Deferred income taxes | 0 | 0 | 0 |
Other comprehensive earnings (losses) before reclassifications, net of deferred income taxes | (33) | 25 | (4) |
Amounts reclassified to net earnings | (1) | 35 | 0 |
Deferred income taxes | 0 | (9) | 0 |
Amounts reclassified to net earnings, net of deferred income taxes | (1) | 26 | 0 |
Other comprehensive earnings (losses), net of deferred income taxes | (34) | 51 | (4) |
Ending balances | $ 34 | $ 68 | $ 17 |
Other Comprehensive Earnings__4
Other Comprehensive Earnings/Losses (Reclassifications) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net periodic defined benefits expense (reversal of expense) | $ (184) | $ (202) | $ (77) |
(Income) losses from investments in equity securities | 2,186 | 5,979 | 211 |
Pre-tax amounts reclassified from accumulated other comprehensive losses to net earnings | (5,764) | (2,475) | (4,454) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Pre-tax amounts reclassified from accumulated other comprehensive losses to net earnings | 2 | 81 | 169 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Benefit Plans [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net periodic defined benefits expense (reversal of expense) | 88 | 122 | 148 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Net loss [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net periodic defined benefits expense (reversal of expense) | 127 | 163 | 173 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Prior service costs/credit [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Net periodic defined benefits expense (reversal of expense) | (39) | (41) | (25) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ABI [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
(Income) losses from investments in equity securities | (85) | (76) | 21 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Currency Translation Adjustments and Other [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Currency translation adjustments and other | $ (1) | $ 35 | $ 0 |
Income Taxes (Schedule of Earni
Income Taxes (Schedule of Earnings Before Income Taxes and Provision for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||||
United States | $ 7,628 | $ 4,239 | $ 6,842 | |
Outside United States | (239) | (415) | 48 | |
Earnings before income taxes | 7,389 | 3,824 | 6,890 | |
Current: | ||||
Federal | 1,968 | 1,965 | 2,025 | |
State and local | 603 | 542 | 553 | |
Outside United States | 1 | 2 | 22 | |
Total current provision for income taxes | 2,572 | 2,509 | 2,600 | |
Deferred: | ||||
Federal | (893) | (1,190) | (130) | |
State and local | (54) | 30 | (34) | |
Total deferred provision for income taxes | (947) | (1,160) | (164) | $ (164) |
Total provision for income taxes | $ 1,625 | $ 1,349 | $ 2,436 |
Income Taxes (Reconciliation of
Income Taxes (Reconciliation of Beginning and Ending Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits | |||
Balance at beginning of year | $ 53 | $ 74 | $ 64 |
Additions based on tax positions related to the current year | 1 | 0 | 0 |
Additions for tax positions of prior years | 16 | 40 | 12 |
Reductions for tax positions due to lapse of statutes of limitations | 0 | (5) | 0 |
Reductions for tax positions of prior years | 0 | (23) | (2) |
Tax settlements | (1) | (33) | 0 |
Balance at end of year | $ 69 | $ 53 | $ 74 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [Line Items] | ||||
Unrecognized tax benefits if recognized would impact effective tax rate | $ 44 | $ 31 | ||
Unrecognized tax benefits if recognized would affect deferred taxes | 25 | 22 | ||
Penalties and interest accrued | 18 | 11 | $ 15 | |
Interest (income) expense associated with uncertain tax position | 8 | (4) | 4 | |
Potential decrease in liability for uncertain tax positions | 1 | |||
Valuation allowance, deferred tax asset, capital losses, amount | 664 | |||
Provision for income taxes | 1,625 | 1,349 | 2,436 | |
Deferred tax assets, valuation allowance | 2,800 | 3,097 | 2,817 | $ 2,324 |
State and Local Jurisdiction [Member] | ||||
Income Taxes [Line Items] | ||||
Net operating losses carry forward | 19 | |||
JUUL [Member] | ||||
Income Taxes [Line Items] | ||||
Valuation allowance release | 306 | 24 | ||
Investment | 306 | 7 | 537 | |
Provision for income taxes | 612 | |||
Deferred tax assets, valuation allowance | 2,394 | 2,652 | ||
Effective income tax rate reconciliation, change in deferred tax assets valuation allowance, amount | 2,610 | |||
Cronos Group Inc. [Member] | ||||
Income Taxes [Line Items] | ||||
Investment | 30 | 128 | 20 | |
Deferred tax assets, valuation allowance | $ 379 | $ 407 | ||
Effective income tax rate reconciliation, change in deferred tax assets valuation allowance, amount | $ 121 |
Income Taxes (Reconciliation _2
Income Taxes (Reconciliation of Effective Tax Rate and U.S. Federal Statutory Rate) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
$ | |||
U.S. federal statutory rate | $ 1,552 | $ 803 | $ 1,447 |
State and local income taxes, net of federal tax benefit | 435 | 451 | 410 |
Tax basis in foreign investments | 11 | 25 | 23 |
Uncertain tax positions | 0 | (25) | 9 |
Valuation allowance releases | (664) | (15) | (19) |
Other | (21) | (9) | 6 |
Total provision for income taxes | $ 1,625 | $ 1,349 | $ 2,436 |
% | |||
U.S. federal statutory rate | 21% | 21% | 21% |
State and local income taxes, net of federal tax benefit | 5.90% | 11.80% | 6% |
Tax basis in foreign investments | 0.10% | 0.70% | 0.30% |
Uncertain tax positions | 0% | (0.70%) | 0.10% |
Valuation allowance releases | (9.00%) | (0.40%) | (0.30%) |
Other | (0.20%) | (0.20%) | 0.10% |
Effective tax rate | 22% | 35.30% | 35.40% |
ABI [Member] | |||
$ | |||
Investment | $ (24) | $ (16) | $ 3 |
% | |||
Investment | (0.30%) | (0.40%) | 0.10% |
JUUL [Member] | |||
$ | |||
Investment | $ 306 | $ 7 | $ 537 |
Total provision for income taxes | $ 612 | ||
% | |||
Investment | 4.10% | 0.20% | 7.80% |
Cronos [Member] | |||
$ | |||
Investment | $ 30 | $ 128 | $ 20 |
% | |||
Investment | 0.40% | 3.30% | 0.30% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Income Tax Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred income tax assets: | ||||
Accrued postretirement and postemployment benefits | $ 303 | $ 387 | ||
Settlement charges | 729 | 835 | ||
Net operating losses and tax credit carryforwards | 31 | 46 | ||
Total deferred income tax assets | 4,471 | 4,323 | ||
Deferred income tax liabilities: | ||||
Property, plant and equipment | (233) | (216) | ||
Intangible assets | (2,849) | (2,802) | ||
Investment in ABI | (1,226) | (1,695) | ||
Finance assets, net | 0 | (29) | ||
Accrued pension costs | (70) | (55) | ||
Other | (115) | (94) | ||
Total deferred income tax liabilities | (4,493) | (4,891) | ||
Valuation allowances | (2,800) | (3,097) | $ (2,817) | $ (2,324) |
Net deferred income tax liabilities | (2,822) | (3,665) | ||
JUUL [Member] | ||||
Deferred income tax assets: | ||||
Investment in JUUL | 3,001 | 2,652 | ||
Deferred income tax liabilities: | ||||
Valuation allowances | (2,394) | (2,652) | ||
Cronos Group Inc. [Member] | ||||
Deferred income tax assets: | ||||
Investment in Cronos | 407 | 403 | ||
Deferred income tax liabilities: | ||||
Valuation allowances | $ (379) | $ (407) |
Income Taxes (Summary of Valuat
Income Taxes (Summary of Valuation Allowance) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Deferred Tax Assets, Valuation Allowance [Roll Forward] | |||
Balance at beginning of year | $ 3,097 | $ 2,817 | $ 2,324 |
Additions to valuation allowance charged to income tax expense | 429 | 401 | 692 |
Reductions to valuation allowance credited to income tax benefit | (730) | (118) | (200) |
Foreign currency translation | 4 | (3) | 1 |
Balance at end of year | $ 2,800 | $ 3,097 | $ 2,817 |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Net revenues | $ 25,096,000,000 | $ 26,013,000,000 | $ 26,153,000,000 |
Cost of sales | 6,442,000,000 | 7,119,000,000 | 7,818,000,000 |
Wine Business Strategic Reset [Member] | |||
Segment Reporting Information [Line Items] | |||
Asset impairment, exit costs and implementation costs | 411,000,000 | ||
Wine Business Strategic Reset [Member] | Inventory Write-Off [Member] | |||
Segment Reporting Information [Line Items] | |||
Asset impairment, exit costs and implementation costs | 292,000,000 | ||
Wine Business Strategic Reset [Member] | Purchase Commitment [Member] | |||
Segment Reporting Information [Line Items] | |||
Asset impairment, exit costs and implementation costs | 100,000,000 | ||
Disposal Group, Held-for-sale, Not Discontinued Operations | Ste. Michelle Transaction | |||
Segment Reporting Information [Line Items] | |||
Disposal group, including discontinued operations, marketing, administration and research costs | 41,000,000 | ||
Disposal group, including discontinued operations, disposition related costs | 10,000,000 | ||
Philip Morris Capital Corporation [Member] | |||
Segment Reporting Information [Line Items] | |||
Pre-tax expense for decrease in unguaranteed residual value of assets | $ 0 | $ 0 | 125,000,000 |
COVID-19 [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of sales | $ 50,000,000 | ||
Revenue Benchmark [Member] | Credit Concentration Risk [Member] | McLane Company Inc [Member] | |||
Segment Reporting Information [Line Items] | |||
Contribution of net revenues by major customer percentage | 23% | 23% | 26% |
Revenue Benchmark [Member] | Credit Concentration Risk [Member] | Performance Food Group Company [Member] | |||
Segment Reporting Information [Line Items] | |||
Contribution of net revenues by major customer percentage | 24% | 23% | |
Revenue Benchmark [Member] | Credit Concentration Risk [Member] | Core-Mark Holding Company, Inc. [Member] | |||
Segment Reporting Information [Line Items] | |||
Contribution of net revenues by major customer percentage | 17% | ||
Smokeable Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | $ 22,476,000,000 | $ 22,866,000,000 | $ 23,089,000,000 |
Smokeable Products [Member] | COVID-19 [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of sales | 41,000,000 | ||
Smokeable Products [Member] | Cigarettes [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 21,457,000,000 | 21,877,000,000 | 22,135,000,000 |
Smokeable Products [Member] | Cigars [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 1,019,000,000 | 989,000,000 | 954,000,000 |
Wine [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 0 | 494,000,000 | 614,000,000 |
Wine [Member] | Marketing Administration And Research Costs [Member] | Disposal Group, Held-for-sale, Not Discontinued Operations | Ste. Michelle Transaction | |||
Segment Reporting Information [Line Items] | |||
Disposal group, including discontinued operations, marketing, administration and research costs | 51,000,000 | ||
Oral Tobacco Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net revenues | $ 2,580,000,000 | 2,608,000,000 | 2,533,000,000 |
Business combination, acquisition related costs | $ 37,000,000 | ||
Oral Tobacco Products [Member] | COVID-19 [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of sales | $ 9,000,000 |
Segment Reporting (Segment Data
Segment Reporting (Segment Data Schedule) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | ||||
Net revenues | $ 25,096 | $ 26,013 | $ 26,153 | |
Operating income | 11,919 | 11,560 | 10,873 | |
Amortization of intangibles | (73) | (72) | (72) | |
Interest and other debt expense, net | 1,058 | 1,162 | 1,209 | |
Loss on early extinguishment of debt | $ 649 | 0 | 649 | 0 |
Net periodic benefit income, excluding service cost | (184) | (202) | (77) | |
(Income) losses from investments in equity securities | 3,641 | 5,979 | 111 | |
Impairment of JUUL equity securities | 0 | 0 | 2,600 | |
Loss on Cronos-related financial instruments | 15 | 148 | 140 | |
Earnings before income taxes | 7,389 | 3,824 | 6,890 | |
Corporate, Non-Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
General corporate expenses | (292) | (345) | (226) | |
Smokeable Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 22,476 | 22,866 | 23,089 | |
Smokeable Products [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | 10,688 | 10,394 | 9,985 | |
Oral Tobacco Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 2,580 | 2,608 | 2,533 | |
Oral Tobacco Products [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | 1,632 | 1,659 | 1,718 | |
Wine [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 0 | 494 | 614 | |
Wine [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | 0 | 21 | (360) | |
All Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net revenues | 40 | 45 | (83) | |
All Other [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | $ (36) | $ (97) | $ (172) |
Segment Reporting (Schedule of
Segment Reporting (Schedule of Depreciation Expense and Capital Expenditures of Segments) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Depreciation expense | $ 153 | $ 172 | $ 185 |
Capital expenditures | 205 | 169 | 231 |
Operating Segments [Member] | Smokeable Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation expense | 87 | 80 | 81 |
Capital expenditures | 68 | 48 | 49 |
Operating Segments [Member] | Oral Tobacco Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation expense | 33 | 34 | 32 |
Capital expenditures | 90 | 43 | 67 |
Operating Segments [Member] | Wine [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation expense | 0 | 27 | 40 |
Capital expenditures | 0 | 12 | 31 |
General Corporate and Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation expense | 33 | 31 | 32 |
Capital expenditures | $ 47 | $ 66 | $ 84 |
Segment Reporting (Non-Particip
Segment Reporting (Non-Participating Manufacturer Adjustment Items) (Details) - Non-Participating Manufacturer Arbitration Panel Decision [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
NPM Adjustment to Cost Of Sales And Interest Expense [Member] | |||
Segment Reporting Information [Line Items] | |||
(Gain) loss related to litigation settlement | $ (68) | $ (76) | $ 4 |
Operating Segments [Member] | Smokeable Products [Member] | Operating Income (Loss) [Member] | NPM Adjustment to Cost Of Sales [Member] | PM USA [Member] | |||
Segment Reporting Information [Line Items] | |||
(Gain) loss related to litigation settlement | (63) | (53) | 4 |
Interest and other debt expense, net [Member] | Interest And Other Debt Expense, Net [Member] | NPM Adjustment To Interest Expense [Member] | |||
Segment Reporting Information [Line Items] | |||
(Gain) loss related to litigation settlement | $ (5) | $ (23) | $ 0 |
Segment Reporting (Schedule o_2
Segment Reporting (Schedule of Pre-tax Tobacco and Health Litigation Charges) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Schedule of Pre-tax Tobacco and Health Litigation Charges [Line Items] | |||
Provision related to litigation recorded | $ 90 | ||
Tobacco and Health Litigation Cases [Member] | |||
Schedule of Pre-tax Tobacco and Health Litigation Charges [Line Items] | |||
Provision related to litigation recorded | $ 131 | 182 | $ 83 |
Tobacco and Health Litigation Cases [Member] | General Corporate [Member] | |||
Schedule of Pre-tax Tobacco and Health Litigation Charges [Line Items] | |||
Provision related to litigation recorded | 27 | 90 | 0 |
Tobacco and Health Litigation Cases [Member] | Interest And Other Debt Expense, Net [Member] | Interest and other debt expense, net [Member] | |||
Schedule of Pre-tax Tobacco and Health Litigation Charges [Line Items] | |||
Provision related to litigation recorded | 3 | 9 | 4 |
PM USA [Member] | Tobacco and Health Litigation Cases [Member] | Operating Income (Loss) [Member] | Operating Segments [Member] | Smokeable Products [Member] | |||
Schedule of Pre-tax Tobacco and Health Litigation Charges [Line Items] | |||
Provision related to litigation recorded | $ 101 | $ 83 | $ 79 |
Benefit Plans (Narrative) (Deta
Benefit Plans (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |||||
Amounts charged to expense for defined contribution plans | $ 91,000,000 | $ 90,000,000 | $ 88,000,000 | ||
Pension [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Accumulated benefit obligation | 6,100,000,000 | 8,200,000,000 | |||
Accumulated benefit obligation | 134,000,000 | 176,000,000 | |||
Fair value of plan assets | 0 | 0 | |||
Projected benefit obligation | 158,000,000 | 227,000,000 | |||
Defined benefit plan, pension plan with projected benefit obligation in excess of plan assets, plan assets | 0 | 0 | |||
Defined benefit plan, plan assets, amount | $ 6,603,000,000 | $ 8,793,000,000 | $ 8,911,000,000 | ||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 6.10% | 6.60% | 6.60% | ||
Pension [Member] | Forecast [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 6.10% | ||||
Pension [Member] | Maximum [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Expected future employer contributions | $ 30,000,000 | ||||
Pension [Member] | Emerging Markets [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Composition of plan assets | 1% | ||||
Pension [Member] | Below Investment Grade [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Composition of plan assets | 10% | ||||
Pension [Member] | Equity Securities [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Plan assets, target allocation percentage | 20% | ||||
Pension [Member] | Fixed Income Securities [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Plan assets, target allocation percentage | 80% | ||||
Pension [Member] | Fixed Income Securities [Member] | Below Investment Grade [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Composition of plan assets | 13% | ||||
Postretirement Benefit Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Plan amendments | $ 432,000,000 | ||||
Defined benefit plan, plan assets, amount | $ 122,000,000 | $ 185,000,000 | $ 201,000,000 | ||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 7.70% | 7.70% | 7.70% | ||
Postretirement Benefit Plan [Member] | Forecast [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 7.40% | ||||
Postretirement Benefit Plan [Member] | Maximum [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Expected future employer contributions | $ 30,000,000 | ||||
Postretirement Benefit Plan [Member] | Emerging Markets [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined benefit plan, plan assets, amount | $ 0 | ||||
Postretirement Benefit Plan [Member] | Below Investment Grade [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Composition of plan assets | 5% | ||||
Postretirement Benefit Plan [Member] | Equity Securities [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Plan assets, target allocation percentage | 55% | ||||
Postretirement Benefit Plan [Member] | Fixed Income Securities [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Plan assets, target allocation percentage | 45% | ||||
Postretirement Benefit Plan [Member] | Fixed Income Securities [Member] | Below Investment Grade [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Composition of plan assets | 12% |
Benefit Plans (Projected Benefi
Benefit Plans (Projected Benefit Obligations, Plan Assets and Funded Status of Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Change in plan assets: | |||
Accrued pension costs | $ (133) | $ (200) | |
Accrued postretirement health care costs | (1,083) | (1,436) | |
Pension [Member] | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | 8,544 | 9,465 | |
Service cost | 64 | 68 | $ 74 |
Interest cost | 206 | 184 | 251 |
Benefits paid | (462) | (465) | |
Actuarial (gains) losses | (2,060) | (523) | |
Plan amendments | 0 | 8 | |
Divestiture | 0 | (193) | |
Benefit obligation at end of year | 6,292 | 8,544 | 9,465 |
Change in plan assets: | |||
Fair value of plan assets at beginning of year | 8,793 | 8,911 | |
Actual return on plan assets | (1,748) | 466 | |
Employer contributions | 20 | 26 | |
Benefits paid | (462) | (465) | |
Divestiture | 0 | (145) | |
Fair value of plan assets at end of year | 6,603 | 8,793 | 8,911 |
Funded status at December 31 | 311 | 249 | |
Other assets | 469 | 476 | |
Other accrued liabilities | (25) | (27) | |
Accrued pension costs | (133) | (200) | |
Accrued postretirement health care costs | 0 | 0 | |
Defined benefit plan, amounts for asset (liability) recognized in statement of financial position | 311 | 249 | |
Postretirement Benefit Plan [Member] | |||
Change in benefit obligation: | |||
Benefit obligation at beginning of year | 1,688 | 2,229 | |
Service cost | 23 | 20 | 16 |
Interest cost | 41 | 38 | 59 |
Benefits paid | (87) | (104) | |
Actuarial (gains) losses | (392) | (150) | |
Plan amendments | 2 | (345) | |
Divestiture | 0 | 0 | |
Benefit obligation at end of year | 1,275 | 1,688 | 2,229 |
Change in plan assets: | |||
Fair value of plan assets at beginning of year | 185 | 201 | |
Actual return on plan assets | (35) | 21 | |
Employer contributions | 0 | 0 | |
Benefits paid | (28) | (37) | |
Divestiture | 0 | 0 | |
Fair value of plan assets at end of year | 122 | 185 | $ 201 |
Funded status at December 31 | (1,153) | (1,503) | |
Other assets | 0 | 0 | |
Other accrued liabilities | (70) | (67) | |
Accrued pension costs | 0 | 0 | |
Accrued postretirement health care costs | (1,083) | (1,436) | |
Defined benefit plan, amounts for asset (liability) recognized in statement of financial position | $ (1,153) | $ (1,503) |
Benefit Plans (Assumptions to D
Benefit Plans (Assumptions to Determine Postretirement Benefit Obligations) (Details) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Pension [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 5.60% | 3% | ||
Rate of compensation increase - long-term | 4% | 4% | ||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 6.10% | 6.60% | 6.60% | |
Pension [Member] | Forecast [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 6.10% | |||
Postretirement Benefit Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Discount rate | 5.60% | 2.90% | ||
Rate of compensation increase - long-term | 0% | 0% | ||
Health care cost trend rate assumed for next year | 6.50% | 6.50% | ||
Ultimate trend rate | 5% | 5% | ||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 7.70% | 7.70% | 7.70% | |
Postretirement Benefit Plan [Member] | Forecast [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined benefit plan, assumptions used calculating net periodic benefit cost, expected long-term rate of return on plan assets | 7.40% |
Benefit Plans (Schedule of Comp
Benefit Plans (Schedule of Components of Net Periodic Pension Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Pension [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 64 | $ 68 | $ 74 |
Interest cost | 206 | 184 | 251 |
Expected return on plan assets | (493) | (522) | (502) |
Amortization: | |||
Net loss | 96 | 131 | 134 |
Prior service cost (credit) | 6 | 5 | 5 |
Settlement | 0 | 0 | 10 |
Net periodic benefit cost (income) | (121) | (134) | (28) |
Postretirement Benefit Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 23 | 20 | 16 |
Interest cost | 41 | 38 | 59 |
Expected return on plan assets | (13) | (14) | (14) |
Amortization: | |||
Net loss | 18 | 22 | 10 |
Prior service cost (credit) | (45) | (46) | (30) |
Settlement | 0 | 0 | 0 |
Net periodic benefit cost (income) | $ 24 | $ 20 | $ 41 |
Benefit Plans (Assumptions used
Benefit Plans (Assumptions used to Determine Net Periodic Benefit Cost) (Details) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Pension [Member] | ||||
Discount rates: | ||||
Service cost | 3.20% | 3.10% | 3.70% | |
Interest cost | 2.50% | 2% | 3% | |
Expected rate of return on plan assets | 6.10% | 6.60% | 6.60% | |
Rate of compensation increase - long-term | 4% | 4% | 4% | |
Pension [Member] | Forecast [Member] | ||||
Discount rates: | ||||
Expected rate of return on plan assets | 6.10% | |||
Postretirement Benefit Plan [Member] | ||||
Discount rates: | ||||
Service cost | 3.20% | 3.10% | 3.60% | |
Interest cost | 2.50% | 2% | 3% | |
Expected rate of return on plan assets | 7.70% | 7.70% | 7.70% | |
Health care cost trend rate | 6.50% | 6.50% | 6.50% | |
Postretirement Benefit Plan [Member] | Forecast [Member] | ||||
Discount rates: | ||||
Expected rate of return on plan assets | 7.40% |
Benefit Plans (Asset Allocation
Benefit Plans (Asset Allocations) (Details) | Dec. 31, 2022 |
Equity Securities [Member] | Pension [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 20% |
Equity Securities [Member] | Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 56% |
Corporate Bonds [Member] | Pension [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 52% |
Corporate Bonds [Member] | Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 33% |
US Treasury And Foreign Government Securities and all other investments [Member] | Pension [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 28% |
US Treasury And Foreign Government Securities and all other investments [Member] | Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 11% |
US Treasury and Foreign Government Securities [Member] | Pension [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 19% |
Asset Based Securities And Other Investments [Member] | Pension [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Composition of plan assets | 9% |
Benefit Plans (Fair Values of P
Benefit Plans (Fair Values of Pension and Postretirement Plan Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Pension [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 6,603 | $ 8,793 | $ 8,911 |
Pension [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 1,098 | 1,147 | |
Pension [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 82 | 60 | |
Pension [Member] | Debt Security, Government, Non-US [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 32 | 88 | |
Pension [Member] | Corporate Debt Security, Above Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 2,747 | 3,442 | |
Pension [Member] | Corporate Debt Security, Below Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 756 | 1,032 | |
Pension [Member] | Common stock: International equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 327 | 373 | |
Pension [Member] | Common stock: U.S. equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 591 | 856 | |
Pension [Member] | Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 161 | 89 | |
Pension [Member] | Other, Net [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 243 | 200 | |
Pension [Member] | U S Large Cap [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 312 | $ 873 | |
Defined Benefit Plan, Plan Assets, Fair Value by Hierarchy and NAV [Extensible List] | NAV [Member] | NAV [Member] | |
Pension [Member] | U S Small Cap [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 75 | $ 462 | |
Defined Benefit Plan, Plan Assets, Fair Value by Hierarchy and NAV [Extensible List] | NAV [Member] | NAV [Member] | |
Pension [Member] | International Developed Markets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 49 | $ 125 | |
Defined Benefit Plan, Plan Assets, Fair Value by Hierarchy and NAV [Extensible List] | NAV [Member] | NAV [Member] | |
Pension [Member] | Other Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 130 | $ 46 | |
Pension [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 6,037 | 7,287 | |
Pension [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 917 | 1,281 | |
Pension [Member] | Level 1 [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 1 [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 1 [Member] | Debt Security, Government, Non-US [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 1 [Member] | Corporate Debt Security, Above Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 1 [Member] | Corporate Debt Security, Below Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 1 [Member] | Common stock: International equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 327 | 373 | |
Pension [Member] | Level 1 [Member] | Common stock: U.S. equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 591 | 856 | |
Pension [Member] | Level 1 [Member] | Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 1 [Member] | Other, Net [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | (1) | 52 | |
Pension [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 5,120 | 6,006 | |
Pension [Member] | Level 2 [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 1,098 | 1,147 | |
Pension [Member] | Level 2 [Member] | Municipal Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 82 | 60 | |
Pension [Member] | Level 2 [Member] | Debt Security, Government, Non-US [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 32 | 88 | |
Pension [Member] | Level 2 [Member] | Corporate Debt Security, Above Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 2,747 | 3,442 | |
Pension [Member] | Level 2 [Member] | Corporate Debt Security, Below Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 756 | 1,032 | |
Pension [Member] | Level 2 [Member] | Common stock: International equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 2 [Member] | Common stock: U.S. equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Pension [Member] | Level 2 [Member] | Asset-Backed Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 161 | 89 | |
Pension [Member] | Level 2 [Member] | Other, Net [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 244 | 148 | |
Pension [Member] | NAV [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 436 | 1,460 | |
Postretirement Benefit Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 122 | 185 | $ 201 |
Postretirement Benefit Plan [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 5 | 5 | |
Postretirement Benefit Plan [Member] | Debt Security, Government, Non-US [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 2 | 3 | |
Postretirement Benefit Plan [Member] | Corporate Debt Security, Above Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 37 | 55 | |
Postretirement Benefit Plan [Member] | Corporate Debt Security, Below Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 7 | 10 | |
Postretirement Benefit Plan [Member] | Other, Net [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 3 | 0 | |
Postretirement Benefit Plan [Member] | U S Large Cap [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 47 | $ 84 | |
Defined Benefit Plan, Plan Assets, Fair Value by Hierarchy and NAV [Extensible List] | NAV [Member] | NAV [Member] | |
Postretirement Benefit Plan [Member] | International Developed Markets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 18 | $ 25 | |
Defined Benefit Plan, Plan Assets, Fair Value by Hierarchy and NAV [Extensible List] | NAV [Member] | NAV [Member] | |
Postretirement Benefit Plan [Member] | Other Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 3 | $ 3 | |
Postretirement Benefit Plan [Member] | Fair Value, Inputs, Level 1, 2 and 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 54 | 73 | |
Postretirement Benefit Plan [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Postretirement Benefit Plan [Member] | Level 1 [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Postretirement Benefit Plan [Member] | Level 1 [Member] | Debt Security, Government, Non-US [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Postretirement Benefit Plan [Member] | Level 1 [Member] | Corporate Debt Security, Above Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Postretirement Benefit Plan [Member] | Level 1 [Member] | Corporate Debt Security, Below Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Postretirement Benefit Plan [Member] | Level 1 [Member] | Other, Net [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 0 | 0 | |
Postretirement Benefit Plan [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 54 | 73 | |
Postretirement Benefit Plan [Member] | Level 2 [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 5 | 5 | |
Postretirement Benefit Plan [Member] | Level 2 [Member] | Debt Security, Government, Non-US [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 2 | 3 | |
Postretirement Benefit Plan [Member] | Level 2 [Member] | Corporate Debt Security, Above Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 37 | 55 | |
Postretirement Benefit Plan [Member] | Level 2 [Member] | Corporate Debt Security, Below Investment Grade [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 7 | 10 | |
Postretirement Benefit Plan [Member] | Level 2 [Member] | Other, Net [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | 3 | 0 | |
Postretirement Benefit Plan [Member] | NAV [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets, net | $ 65 | $ 109 |
Benefit Plans (Estimated Future
Benefit Plans (Estimated Future Benefit Payments) (Details) $ in Millions | Dec. 31, 2022 USD ($) |
Pension [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2023 | $ 494 |
2024 | 471 |
2025 | 471 |
2026 | 472 |
2027 | 473 |
2028-2032 | 2,355 |
Postretirement Benefit Plan [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
2023 | 106 |
2024 | 100 |
2025 | 96 |
2026 | 95 |
2027 | 95 |
2028-2032 | $ 477 |
Benefit Plans (Amounts Recorded
Benefit Plans (Amounts Recorded in Accumulated Other Comprehensive Losses) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Net loss | $ (2,213) | $ (2,487) |
Prior service (cost) credit | 264 | 305 |
Deferred income taxes | 513 | 570 |
Amounts recorded in accumulated other comprehensive losses | (1,436) | (1,612) |
Pension [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Net loss | (2,180) | (2,093) |
Prior service (cost) credit | (24) | (30) |
Deferred income taxes | 571 | 549 |
Amounts recorded in accumulated other comprehensive losses | (1,633) | (1,574) |
Postretirement Benefit Plan [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Net loss | 1 | (362) |
Prior service (cost) credit | 293 | 340 |
Deferred income taxes | (68) | 12 |
Amounts recorded in accumulated other comprehensive losses | 226 | (10) |
Postemployment Retirement Benefits [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Net loss | (34) | (32) |
Prior service (cost) credit | (5) | (5) |
Deferred income taxes | 10 | 9 |
Amounts recorded in accumulated other comprehensive losses | $ (29) | $ (28) |
Benefit Plans (Movements in Oth
Benefit Plans (Movements in Other Comprehensive Earnings/Losses) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Amortization: | |||
Net loss | $ 127 | $ 163 | $ 163 |
Prior service cost/credit | (39) | (41) | (25) |
Other expense (income): | |||
Net loss | 0 | 0 | 10 |
Prior service cost/credit | 0 | 0 | 0 |
Deferred income taxes | (22) | (30) | (37) |
Amounts reclassified to net earnings as components of net periodic benefit cost | 66 | 92 | 111 |
Other movements during the year: | |||
Net loss | 147 | 624 | (448) |
Prior service cost/credit | (2) | 337 | (6) |
Deferred income taxes | (35) | (245) | 115 |
Other movements | 110 | 716 | (339) |
Total movements in other comprehensive earnings/losses | 176 | 808 | (228) |
Pension [Member] | |||
Amortization: | |||
Net loss | 96 | 131 | 134 |
Prior service cost/credit | 6 | 5 | 5 |
Other expense (income): | |||
Net loss | 0 | 0 | 10 |
Prior service cost/credit | 0 | 0 | 0 |
Deferred income taxes | (26) | (35) | (37) |
Amounts reclassified to net earnings as components of net periodic benefit cost | 76 | 101 | 112 |
Other movements during the year: | |||
Net loss | (183) | 465 | (268) |
Prior service cost/credit | 0 | (8) | (5) |
Deferred income taxes | 48 | (118) | 69 |
Other movements | (135) | 339 | (204) |
Total movements in other comprehensive earnings/losses | (59) | 440 | (92) |
Postretirement Benefit Plan [Member] | |||
Amortization: | |||
Net loss | 18 | 22 | 10 |
Prior service cost/credit | (45) | (46) | (30) |
Other expense (income): | |||
Net loss | 0 | 0 | 0 |
Prior service cost/credit | 0 | 0 | 0 |
Deferred income taxes | 7 | 7 | 5 |
Amounts reclassified to net earnings as components of net periodic benefit cost | (20) | (17) | (15) |
Other movements during the year: | |||
Net loss | 345 | 157 | (162) |
Prior service cost/credit | (2) | 345 | (1) |
Deferred income taxes | (87) | (127) | 41 |
Other movements | 256 | 375 | (122) |
Total movements in other comprehensive earnings/losses | 236 | 358 | (137) |
Postemployment Retirement Benefits [Member] | |||
Amortization: | |||
Net loss | 13 | 10 | 19 |
Prior service cost/credit | 0 | 0 | 0 |
Other expense (income): | |||
Net loss | 0 | 0 | 0 |
Prior service cost/credit | 0 | 0 | 0 |
Deferred income taxes | (3) | (2) | (5) |
Amounts reclassified to net earnings as components of net periodic benefit cost | 10 | 8 | 14 |
Other movements during the year: | |||
Net loss | (15) | 2 | (18) |
Prior service cost/credit | 0 | 0 | 0 |
Deferred income taxes | 4 | 0 | 5 |
Other movements | (11) | 2 | (13) |
Total movements in other comprehensive earnings/losses | $ (1) | $ 10 | $ 1 |
Additional Information (Schedul
Additional Information (Schedule of Additional Information) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Research and development expense | $ 162 | $ 145 | $ 131 |
Interest expense | 1,128 | 1,188 | 1,223 |
Interest income | (70) | (26) | (14) |
Interest and other debt expense, net | $ 1,058 | $ 1,162 | $ 1,209 |
Additional Information (Sched_2
Additional Information (Schedule of Valuation and Qualifying Accounts) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Discounts [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of year | $ 0 | $ 0 | $ 0 |
Charged to costs and expenses | 607 | 647 | 633 |
Deductions | (607) | (647) | (633) |
Balance at end of year | 0 | 0 | 0 |
Returned Goods [Member] | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of year | 50 | 40 | 32 |
Charged to costs and expenses | 97 | 124 | 98 |
Deductions | (106) | (114) | (90) |
Balance at end of year | $ 41 | $ 50 | $ 40 |
Contingencies (General Informat
Contingencies (General Information) (Details) | Dec. 31, 2022 state |
Commitments and Contingencies Disclosure [Abstract] | |
Number of states that cap bond or require no bond | 47 |
Contingencies (Judgments Paid a
Contingencies (Judgments Paid and Provisions for Tobacco and Health Litigation) (Details) - USD ($) $ in Millions | 12 Months Ended | 219 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2022 | |
Loss Contingency Accrual [Roll Forward] | ||||
Accrued liability for tobacco and health litigation items at beginning of period | $ 91 | $ 9 | $ 14 | |
Provision related to litigation recorded | 90 | |||
Payments | (151) | (100) | (88) | |
Accrued liability for tobacco and health litigation items at end of period | 71 | 91 | 9 | $ 71 |
Agreement To Resolve Shareholder Class Action [Member] | ||||
Loss Contingency Accrual [Roll Forward] | ||||
Provision related to litigation recorded | 27 | 90 | 0 | |
Related Interest Costs [Member] | ||||
Loss Contingency Accrual [Roll Forward] | ||||
Provision related to litigation recorded | 3 | 9 | 4 | |
Tobacco and Health Judgment [Member] | ||||
Loss Contingency Accrual [Roll Forward] | ||||
Judgments paid (approximately) | 954 | |||
Litigation settlement interest (approximately) | 230 | |||
Tobacco and Health Judgment [Member] | Tobacco and Health Litigation [Member] | ||||
Loss Contingency Accrual [Roll Forward] | ||||
Provision related to litigation recorded | 101 | $ 83 | $ 79 | |
Engle Progeny Cases [Member] | ||||
Loss Contingency Accrual [Roll Forward] | ||||
Judgments paid (approximately) | 432 | |||
Litigation settlement interest (approximately) | 59 | |||
Assets [Member] | Pending Litigation [Member] | PM USA [Member] | ||||
Loss Contingency Accrual [Roll Forward] | ||||
Security posted for appeal of judgments | $ 46 | $ 46 |
Contingencies (Schedule of Pend
Contingencies (Schedule of Pending Cases) (Details) | 12 Months Ended | ||
Dec. 31, 2022 case claim lawsuit | Dec. 31, 2021 claim | Dec. 31, 2020 claim | |
Individual Smoking and Health Cases [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | claim | 162 | 176 | 148 |
Individual Smoking and Health Cases [Member] | Pending Litigation [Member] | Illinois [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | 17 | ||
Individual Smoking and Health Cases [Member] | Pending Litigation [Member] | New Mexico [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | 20 | ||
Individual Smoking and Health Cases [Member] | Pending Litigation [Member] | Massachusetts [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | 37 | ||
Individual Smoking and Health Cases [Member] | Pending Litigation [Member] | Florida [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | 51 | ||
ETS Smoking and Health Case, Flight Attendants [Member] | Pending Litigation [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases | 1,395 | ||
Health Care Cost Recovery Actions [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | claim | 1 | 1 | 1 |
E-vapor Cases [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | claim | 5,283 | 3,296 | 1,563 |
Number of class action lawsuits | lawsuit | 57 | ||
E-vapor Cases [Member] | Pending Individual Lawsuits [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | lawsuit | 3,830 | ||
E-vapor Cases [Member] | Pending Lawsuits Filed By State Or Local Governments [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | lawsuit | 1,396 | ||
E-vapor Cases [Member] | Class Action Lawsuit [Member] | |||
Loss Contingencies [Line Items] | |||
Loss contingency, pending claims, consolidated for pre-trial purposes, number | 32 | ||
Other Tabacco-Related Cases [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | claim | 3 | 3 | 3 |
Number of inactive cases | 1 | ||
Number of cases alleging unfair practices | 2 |
Contingencies (Overview of Toba
Contingencies (Overview of Tobacco-Related Litigation Narrative) (Details) | 289 Months Ended | ||||
Jan. 27, 2023 case claim | Jan. 27, 2023 case claim | Dec. 31, 2022 claim | Dec. 31, 2021 claim | Dec. 31, 2020 claim | |
Health Care Cost Recovery Actions [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | claim | 1 | 1 | 1 | ||
Individual Smoking and Health Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | claim | 162 | 176 | 148 | ||
E-vapor Litigation [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | claim | 5,283 | 3,296 | 1,563 | ||
Subsequent Event [Member] | E-vapor Litigation [Member] | Canada [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | claim | 3 | 3 | |||
Subsequent Event [Member] | PM USA [Member] | Health Care Cost Recovery Actions [Member] | Canada [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | 10 | 10 | |||
Subsequent Event [Member] | PM USA [Member] | Engle Progeny Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases set for trial | 2 | 2 | |||
Number of verdicts returned | 143 | ||||
Number of favorable verdicts | 56 | ||||
Number of unfavorable verdicts | 79 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of verdicts returned | 73 | ||||
Number of favorable verdicts | 46 | ||||
Number of unfavorable verdicts | 27 | ||||
Number of claims resolved | 23 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Alaska [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | California [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 7 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Connecticut [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Florida [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 10 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Louisiana [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Massachusetts [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 6 | ||||
Verdicts reversed, number | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Mississippi [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Missouri [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 4 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | New Hampshire [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | New Jersey [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | New York [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 5 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Ohio [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 2 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Pennsylvania [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Rhode Island [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | Tennessee [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 2 | ||||
Subsequent Event [Member] | PM USA [Member] | Non Engle Progeny Cases [Member] | West Virginia [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 2 | ||||
Subsequent Event [Member] | PM USA [Member] | Individual Smoking and Health Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases set for trial | 2 | 2 | |||
Subsequent Event [Member] | PM USA [Member] | E-vapor Litigation [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases set for trial | 1 | 1 | |||
Subsequent Event [Member] | Philip Morris USA and Altria Group [Member] | Health Care Cost Recovery Actions [Member] | Canada [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | 8 | 8 | |||
Subsequent Event [Member] | Philip Morris USA and Altria Group [Member] | Smoking and Health Class Actions and Aggregated Claims Litigation [Member] | Canada [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | 7 | 7 |
Contingencies (Non-Engle Progen
Contingencies (Non-Engle Progeny Litigation) (Details) - USD ($) | Sep. 30, 2022 | Feb. 28, 2021 | May 31, 2020 | Feb. 29, 2020 | Sep. 30, 2019 |
Non-Engle Progeny Smoking And Health Case, Mendez [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Compensatory damages awarded | $ 1,000,000 | ||||
Loss contingency, fault allocation percentage | 13% | ||||
Punitive damages awarded | $ 0 | ||||
Non-Engle Progeny Smoking And Health Case, Mendez [Member] | Philip Morris USA And R.J. Reynolds Tobacco Company | |||||
Loss Contingencies [Line Items] | |||||
Compensatory damages awarded | 4,500,000 | ||||
Non-Engle Progeny Smoking And Health Case, Fontaine [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Compensatory damages awarded | 8,000,000 | ||||
Punitive damages awarded | $ 1,000,000,000 | ||||
Non-Engle Progeny Smoking And Health Case, Principe [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Compensatory damages awarded | $ 11,000,000 | ||||
Punitive damages awarded | $ 0 | ||||
Non-Engle Progeny Smoking and Health Case, Greene [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Compensatory damages awarded | $ 2,300,000 | $ 30,000,000 | $ 10,000,000 |
Contingencies (Engle Class Acti
Contingencies (Engle Class Action And Engle Progeny Trial Results) (Details) | 1 Months Ended | ||||
Jan. 27, 2023 USD ($) plantiff case claim | Feb. 28, 2022 claim | Jul. 31, 2006 | Jan. 31, 2008 case | Jul. 31, 2000 USD ($) | |
Loss Contingencies [Line Items] | |||||
Number of plaintiffs | claim | 4 | ||||
Engle Progeny Cases [Member] | |||||
Loss Contingencies [Line Items] | |||||
Punitive damages awarded | $ | $ 145,000,000,000 | ||||
Engle Progeny Cases [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Punitive damages awarded | $ | $ 74,000,000,000 | ||||
Period for decertified class members could file individual actions | 1 year | ||||
Engle Progeny Cases, State [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | 9,300 | ||||
Subsequent Event [Member] | Engle Progeny Cases [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of verdicts returned | 143 | ||||
Number of unfavorable verdicts | 79 | ||||
Number of claims with unfavorable verdicts pending/reversed | 7 | ||||
Number of favorable verdicts | 56 | ||||
Subsequent Event [Member] | Engle Progeny Cases Kaplan And Sommers | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of claims with unfavorable verdicts pending/reversed | 2 | ||||
Subsequent Event [Member] | Engle Progeny Cases, State [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of cases pending | 612 | ||||
Number of plaintiffs | plantiff | 773 | ||||
Subsequent Event [Member] | Engle Progeny Cases, State [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 46 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Garcia [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Pearson, D Cohen, Collar, Chacon [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Verdicts reversed, number | 3 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Reider and Banks [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Zero damages verdicts | 2 | ||||
Damages awarded, value | $ | $ 0 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Weingart and Hancock [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Damages awarded, value | $ | $ 0 | ||||
Zero damages verdict modified | 2 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Pollari [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 1 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Gloger, Rintoul and Duignam [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 3 | ||||
Subsequent Event [Member] | Engle Progeny Cases, Freeman And Harris [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of favorable verdicts | 2 | ||||
Subsequent Event [Member] | Engle Progeny Cases, R. Douglas [Member] | PM USA [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of claims dismissed | claim | 1 |
Contingencies (Engle Progeny Ca
Contingencies (Engle Progeny Cases Trial Results - Pending and Concluded) (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |||||||||||||
Jan. 31, 2023 | Dec. 31, 2022 | Oct. 31, 2022 | Aug. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2022 | Apr. 30, 2022 | Sep. 30, 2021 | May 31, 2021 | Feb. 29, 2020 | Mar. 31, 2019 | Sep. 30, 2018 | Jul. 31, 2018 | Sep. 30, 2015 | |
Loss Contingencies [Line Items] | |||||||||||||||
Provision related to litigation recorded | $ 90 | ||||||||||||||
Engle Progeny Cases, Hoffman [Member] | Pending Litigation [Member] | Subsequent Event [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 5 | ||||||||||||||
Engle Progeny Cases, Hoffman [Member] | Pending Litigation [Member] | PM USA [Member] | Subsequent Event [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | 3 | ||||||||||||||
Punitive damages awarded | 0 | ||||||||||||||
Engle Progeny Cases, Levine [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 1 | ||||||||||||||
Engle Progeny Cases, Levine [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Schertzer [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 3 | ||||||||||||||
Engle Progeny Cases, Schertzer [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Lipp [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 15 | ||||||||||||||
Engle Progeny Cases, Lipp [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Punitive damages awarded | $ 28 | ||||||||||||||
Engle Progeny Cases, Garcia [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 6 | ||||||||||||||
Engle Progeny Cases, Garcia [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | 3 | ||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Duignan {Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 3 | ||||||||||||||
Engle Progeny Cases, Duignan {Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Punitive damages awarded | $ 12 | ||||||||||||||
Engle Progeny Cases, McCall [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 1 | ||||||||||||||
Engle Progeny Cases, McCall [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | 1 | ||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Chadwell [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 2 | ||||||||||||||
Engle Progeny Cases, Chadwell [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Kaplan [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 2 | ||||||||||||||
Engle Progeny Cases, Kaplan [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Cooper [Member] | Pending Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | $ 5 | ||||||||||||||
Engle Progeny Cases, Cooper [Member] | Pending Litigation [Member] | PM USA [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Compensatory damages awarded | 1 | ||||||||||||||
Punitive damages awarded | $ 0 | ||||||||||||||
Engle Progeny Cases, Holliman [Member] | Settled Litigation [Member] | Subsequent Event [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Damages awarded, value | $ 3 | ||||||||||||||
Engle Progeny Cases, Tuttle [Member] | Settled Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Damages awarded, value | $ 1 | ||||||||||||||
Engle Progeny Cases, Miller [Member] | Settled Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Damages awarded, value | $ 1 | ||||||||||||||
Engle Progeny Cases, D. Brown [Member] | Settled Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Damages awarded, value | $ 5 | ||||||||||||||
Engle Progeny Cases, Cuddihee [Member] | Settled Litigation [Member] | |||||||||||||||
Loss Contingencies [Line Items] | |||||||||||||||
Damages awarded, value | $ 2 |
Contingencies (Florida Bond Sta
Contingencies (Florida Bond Statute) (Details) $ in Millions | Jun. 30, 2009 USD ($) |
Florida [Member] | Engle Progeny Cases, State [Member] | |
Loss Contingencies [Line Items] | |
Maximum bond for all defendants | $ 200 |
Contingencies (Other Smoking an
Contingencies (Other Smoking and Health Class Actions) (Details) - Smoking and Health Class Actions and Aggregated Claims Litigation [Member] $ in Billions | 1 Months Ended | 320 Months Ended | |
Mar. 31, 2019 CAD ($) manufacture ruling | Dec. 31, 2022 case manufacture | Jan. 27, 2023 case | |
PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 61 | ||
Arkansas [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
California [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Delaware [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
District of Columbia [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 2 | ||
Florida [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 2 | ||
Illinois [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 3 | ||
Iowa [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Kansas [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Louisiana [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Maryland [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Michigan [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Minnesota [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Nevada [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 29 | ||
New Jersey [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 6 | ||
New York [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 2 | ||
Ohio [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Oklahoma [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Oregon [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Pennsylvania [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Puerto Rico [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
South Carolina [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Texas [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Wisconsin [Member] | PM USA [Member] | |||
Loss Contingencies [Line Items] | |||
Class not certified | 1 | ||
Canada [Member] | Canadian Tobacco Manufacturers [Member] | |||
Loss Contingencies [Line Items] | |||
Number of manufacturers | manufacture | 3 | 3 | |
Number of verdicts upheld | ruling | 2 | ||
Amount awarded to other party | $ | $ 13 | ||
Subsequent Event [Member] | Canada [Member] | Philip Morris USA and Altria Group [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | 7 | ||
Subsequent Event [Member] | British Columbia and Saskatchewan [Member] | Philip Morris USA and Altria Group [Member] | |||
Loss Contingencies [Line Items] | |||
Number of cases pending | 2 |
Contingencies (Health Care Cost
Contingencies (Health Care Cost Recovery Litigation) (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Nov. 30, 1998 USD ($) state | Dec. 31, 2021 USD ($) claim | Dec. 31, 2022 USD ($) claim manufacture case | Dec. 31, 2021 USD ($) claim | Dec. 31, 2020 USD ($) claim | Mar. 31, 2019 manufacture | |
Loss Contingencies [Line Items] | ||||||
Litigation settlement | $ 90 | |||||
Health Care Cost Recovery Actions [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of cases pending | claim | 1 | 1 | 1 | 1 | ||
Number of states with settled litigation | state | 46 | |||||
State settlement agreements annual payments | $ 9,400 | |||||
State settlement agreements attorney fees annual cap | $ 500 | |||||
Litigation settlement | $ 3,900 | $ 4,300 | $ 4,400 | |||
Canada [Member] | Smoking and Health Class Actions and Aggregated Claims Litigation [Member] | Canadian Tobacco Manufacturers [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of manufacturers | manufacture | 3 | 3 | ||||
Threatened Litigation [Member] | Canada [Member] | Health Care Cost Recovery Actions [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Number of cases pending | case | 10 |
Contingencies (NPM Adjustment D
Contingencies (NPM Adjustment Disputes) (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | 60 Months Ended | ||||||||
Jul. 31, 2022 USD ($) | Mar. 31, 2022 USD ($) state | Dec. 31, 2022 USD ($) | Mar. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Sep. 30, 2021 USD ($) | Dec. 31, 2022 USD ($) state | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) state | Dec. 31, 2018 state contract | Dec. 31, 2015 USD ($) | Dec. 31, 2022 USD ($) | |
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 90 | |||||||||||
Health Care Cost Recovery Actions [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 3,900 | $ 4,300 | $ 4,400 | |||||||||
PM USA [Member] | Health Care Cost Recovery Actions [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of states with settled litigation including Illinois, subsequent expansion | state | 37 | |||||||||||
Amount ordered to be paid from other party | $ 1,150 | |||||||||||
Litigation settlement, amount expected to be awarded from other party | 410 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions [Member] | Settled Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of states with settled litigation including Illinois, subsequent expansion | state | 36 | |||||||||||
Loss contingency, number of additional states extended with settled litigation | state | 35 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of additional states extended with settled litigation | contract | 1 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2004 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | $ 388 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2004 NPM Adjustment [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of states not settled | state | 9 | 10 | ||||||||||
Loss contingency number of states with concluded hearings | state | 9 | |||||||||||
Loss contingency, number of states not in compliance with escrow statues | state | 3 | |||||||||||
Loss contingency, number of states in compliance with escrow statues | state | 7 | |||||||||||
Loss contingency, damages sought, value | $ 5 | $ 23 | ||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2004 NPM Adjustment [Member] | Pending Litigation [Member] | Cost of Sales [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, reduction to cost of sales | $ 3 | $ 21 | ||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2005 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | $ 181 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2006 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 154 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2007 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 185 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2008 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 250 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2009 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 211 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2010 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 218 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2011 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 166 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2012 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 214 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2013 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 224 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2014 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 258 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2015 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 313 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2016 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 292 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2017 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 285 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2018 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 318 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2019 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 415 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2020 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | 573 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2021 NPM Adjustments [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Estimate of possible gain | $ 635 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2005-2007 NPM Adjustment [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of states not settled | state | 9 | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2005-2007 NPM Adjustment [Member] | Pending Litigation [Member] | Period One | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of states not settled | state | 8 | |||||||||||
Loss contingency, number of states not settled arbitration period | 3 years | |||||||||||
PM USA [Member] | Health Care Cost Recovery Actions, 2005-2007 NPM Adjustment [Member] | Pending Litigation [Member] | Period Two | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, number of states not settled | state | 1 | |||||||||||
Loss contingency, number of states not settled arbitration period | 1 year | |||||||||||
New York [Member] | PM USA [Member] | Health Care Cost Recovery Actions, Transition Years 2004-2020 [Member] | Settled Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 435 | |||||||||||
Illinois [Member] | PM USA [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 80 | |||||||||||
Illinois [Member] | PM USA [Member] | Health Care Cost Recovery Actions, Transition Years 2004-2021 | Settled Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 80 | |||||||||||
Illinois [Member] | PM USA [Member] | Health Care Cost Recovery Actions, Transition Years 2019-2021 | Settled Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 20 | |||||||||||
Iowa [Member] | PM USA [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, damages sought, value | $ 133 | |||||||||||
New Mexico [Member] | PM USA [Member] | Pending Litigation [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency, damages sought, value | $ 84 | |||||||||||
MONTANA | PM USA [Member] | Health Care Cost Recovery Actions, 2004 NPM Adjustment [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Litigation settlement | $ 4 |
Contingencies (Other Disputes U
Contingencies (Other Disputes Under the State Settlement Agreements) (Details) $ in Millions | 1 Months Ended |
Jan. 31, 2021 USD ($) | |
PM USA [Member] | Other Disputes Under the State Settlement Agreements [Member] | |
Loss Contingencies [Line Items] | |
Amount ordered to be paid from other party | $ 32 |
Contingencies (Federal Governme
Contingencies (Federal Government's Lawsuit) (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |
Aug. 31, 2006 | Dec. 31, 2022 | Dec. 31, 2021 | |
Loss Contingencies [Line Items] | |||
Provision related to litigation recorded | $ 90 | ||
Federal Governments Lawsuit [Member] | |||
Loss Contingencies [Line Items] | |||
Disclosure period | 10 years | ||
Implementation of Corrective Communications [Member] | |||
Loss Contingencies [Line Items] | |||
Provision related to litigation recorded | $ 28 |
Contingencies (E-vapor Litigati
Contingencies (E-vapor Litigation and IQOS Litigation) (Details) | 1 Months Ended | ||||||
Sep. 30, 2022 USD ($) | Apr. 30, 2020 USD ($) | Jan. 31, 2023 | Jan. 27, 2023 case claim | Dec. 31, 2022 case claim lawsuit | Dec. 31, 2021 claim | Dec. 31, 2020 claim | |
E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | 5,283 | 3,296 | 1,563 | ||||
Number of third party lawsuits | lawsuit | 4 | ||||||
IQOS [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Damages awarded, value | $ | $ 95,000,000 | ||||||
Loss contingency, damages recoverable, value | $ | $ 0 | ||||||
Subsequent Event [Member] | E-vapor Litigation [Member] | Canada [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | 3 | ||||||
Subsequent Event [Member] | IQOS [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, royalty fee percentage | 5.25% | ||||||
Pending Class Action Lawsuits [Member] | Subsequent Event [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | 57 | ||||||
Class Action Lawsuit [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, pending claims, consolidated for pre-trial purposes, number | case | 32 | ||||||
Class Action Lawsuit [Member] | Subsequent Event [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, pending claims, consolidated for pre-trial purposes, number | case | 32 | ||||||
Pending Class Action Lawsuit [Member] | Subsequent Event [Member] | E-vapor Litigation [Member] | Canada [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | 3 | ||||||
Pending Individual Lawsuits [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | lawsuit | 3,830 | ||||||
Pending Individual Lawsuits [Member] | Subsequent Event [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | 3,870 | ||||||
Pending Lawsuit Filed By School District [Member] | Subsequent Event [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of cases pending | 1,406 | ||||||
Pending Litigation [Member] | E-vapor Litigation [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Loss contingency, number of cases with set trial dates | case | 3 |
Contingencies (Antitrust Litiga
Contingencies (Antitrust Litigation) (Details) | 1 Months Ended | ||||||
Feb. 28, 2022 claim | Jan. 27, 2023 lawsuit | Sep. 30, 2022 | Nov. 30, 2020 complaint | Apr. 30, 2020 | Jan. 31, 2020 | Dec. 31, 2018 | |
Loss Contingencies [Line Items] | |||||||
Loss contingency, number of complaints | complaint | 3 | ||||||
Number of plaintiffs | claim | 4 | ||||||
Subsequent Event [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Number of class action lawsuits | lawsuit | 17 | ||||||
JUUL [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Equity securities without readily determinable fair value, ownership percentage | 35% | 35% | |||||
Non-compete release trigger percentage of initial investment carrying value | 10% | 10% |
Contingencies (Shareholder Clas
Contingencies (Shareholder Class Action and Shareholder Derivative Lawsuits) (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 7 Months Ended | 12 Months Ended | ||||||
Jan. 31, 2022 USD ($) | Apr. 30, 2021 claim | Aug. 31, 2020 shareholder | Sep. 30, 2022 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2019 lawsuit shareholder | Mar. 31, 2021 shareholder | Jan. 31, 2022 contract | Dec. 31, 2021 USD ($) | Aug. 31, 2021 shareholder | |
Loss Contingencies [Line Items] | |||||||||||
Loss contingency, number of shareholders filing class action lawsuits | shareholder | 2 | ||||||||||
Litigation settlement | $ 90 | ||||||||||
Provision related to litigation recorded | $ 90 | ||||||||||
Payments for legal settlements | $ 90 | ||||||||||
Loss contingency, number of shareholders filing derivative lawsuits | shareholder | 2 | 3 | 6 | ||||||||
Loss contingency, number of pending cases consolidated | 5 | 5 | |||||||||
Loss Contingency, Number Of Lawsuits Subsequently Consolidated Into A Single Proceeding | lawsuit | 2 | ||||||||||
Federal And State Shareholder Derivative Lawsuits [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Provision related to litigation recorded | $ 20 | $ 7 |
Contingencies (Lights_Ultra Lig
Contingencies (Lights/Ultra Lights Cases) (Details) - Subsequent Event [Member] | Jan. 27, 2023 case court claim |
Lights [Member] | |
Loss Contingencies [Line Items] | |
Claims not certified, number | case | 23 |
Number of cases pending | 2 |
Lights [Member] | PM USA [Member] | |
Loss Contingencies [Line Items] | |
Number of state courts | 21 |
Smoking And Health Class Actions [Member] | |
Loss Contingencies [Line Items] | |
Number of cases pending | claim | 1 |
Contingencies (UST Litigations
Contingencies (UST Litigations Narrative) (Details) | Jan. 27, 2023 contract |
Pending Individual Lawsuits [Member] | Subsequent Event [Member] | UST Litigation [Member] | |
Loss Contingencies [Line Items] | |
Claims filed, number | 0 |
Contingencies (Guarantees and O
Contingencies (Guarantees and Other Similar Matters Narrative) (Details) | Dec. 31, 2022 USD ($) |
Loss Contingencies [Line Items] | |
Contingent liability related to performance surety bonds | $ 19,000,000 |
Letter of Credit [Member] | |
Loss Contingencies [Line Items] | |
Credit line available under the agreement | 46,000,000 |
Revolving Credit Facility [Member] | Credit Agreement [Member] | |
Loss Contingencies [Line Items] | |
Credit line available under the agreement | $ 3,000,000,000 |