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                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549


                                    FORM 8-K


                                 CURRENT REPORT


                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934


        Date of Report (Date of earliest event reported) January 28, 1998



                          PHILIP MORRIS COMPANIES INC.

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             (Exact name of registrant as specified in its charter)



     Virginia                    1-8940                   13-3260245

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  (State or other             (Commission                (IRS Employer
   jurisdiction                File Number)            Identification No.)
  of incorporation)



  120 Park Avenue, New York, New York                       10017-5592

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  (Address of principal
   executive offices)                                     (Zip Code)



Registrant's telephone number, including area code  (212) 880-5000
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        (Former name or former address, if changed since last report)
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Item 5. Other Events.

            Filed as part of this Current Report on Form 8-K are the
consolidated balance sheets of Philip Morris Companies Inc. and subsidiaries
(the "Company") as of December 31, 1997 and 1996, and the related consolidated
statements of earnings, stockholders' equity and cash flows for each of the
three years in the period ended December 31, 1997 (the "Financial Statements"),
the independent accountants' report thereon and the statement regarding
computation of ratios of earnings to fixed charges. The Financial Statements,
the independent accountants' report and the statement regarding computation of
ratios of earnings to fixed charges will be incorporated by reference in the
Company's Annual Report on Form 10-K for the year ended December 31, 1997.

Item 7. Financial Statements and Exhibits.

            The Financial Statements, together with the independent accountants'
report thereon, are included herein.

      (c)   Exhibits

            12.   Statement regarding computation of ratios of earnings to fixed
                  charges.

            23.   Consent of independent accountants.

            27.   Financial Data Schedule.

            99.   Financial Statements.


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                                    SIGNATURE

            Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

            PHILIP MORRIS COMPANIES INC.


BY          /s/ LOUIS C. CAMILLERI
            Senior Vice President and
            Chief Financial Officer

DATE        January 28, 1998


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                                  EXHIBIT INDEX

Exhibit No.
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12.   Statement regarding computation of ratios of earnings to fixed charges.

23.   Consent of independent accountants.

27.   Financial Data Schedule.

99.   Financial Statements.