Philip Morris Int’l CEO Cammileri’s compensation falls to $24.5 million in 2009

Philip Morris Int’l’s Camilleri made $24.5M in ‘09

RICHMOND, Va. — Philip Morris International Inc. CEO Louis C. Camilleri made $24.5 million last year, 34 percent less than the previous year as the cigarette maker dealt with shrinking sales and profits, according to a calculation by The Associated Press based on government filings.

Last year, the seller of Marlboro and other brands overseas saw its profit fall 8 percent as revenue fell by 3 percent. The company raised prices and has focused on emerging markets for growth as tax hikes, smoking bans, health concerns and social stigma have cut cigarette demand worldwide.

Camilleri’s salary fell about 4 percent to $1.5 million, and his performance-based bonus fell 25 percent to $7.6 million. The value of his stock options and stock awards fell about 41 percent to $14.9 million.

The 55-year-old was also given other compensation worth $443,387, which included personal flights on company-owned planes valued at about $181,568, a car allowance of $23,989 and $6,794 for personal security.

In 2008, Camilleri’s compensation was valued at $36.8 million.

Philip Morris International, which has offices in Lausanne, Switzerland, and New York, also announced that it will hold its annual shareholders meeting on May 12 in New York.

Second only to China’s state-owned company, Philip Morris International was spun off in 2008 from Richmond, Va.-based Altria Group Inc., owner of Philip Morris USA. Camilleri was CEO of Altria in 2002, when it first embarked on a restructuring that led to the spin-off of Kraft Foods Inc. then the separation of the two cigarette makers.

The Associated Press formula is designed to isolate the value the company’s board placed on the executive’s total compensation package during the last fiscal year.

It includes salary, bonus, performance-related bonuses, perks, above-market returns on deferred compensation and the estimated value of stock options and awards granted during the year. The calculations don’t include changes in the present value of pension benefits, making the AP total different in most cases than the total reported by companies to the Securities and Exchange Commission.