Reginaldo Dobrowolski
Group Controller at PM
Executive
About Reginaldo Dobrowolski
Reginaldo Dobrowolski is Vice President & Controller at Philip Morris International (PMI), appointed in August 2021; effective January 1, 2026 his title transitions to Group Controller under PMI’s new organizational model . He has been with PMI since 1996, holds an accounting degree from the Federal University of Paraná (Brazil), and is age 50 as of February 6, 2025 . Company performance during his executive tenure includes strong pay-for-performance outcomes: 2024 IC performance rating certified at 130 (on 100 target) and PSU metrics anchored to TSR, EPS CAGR (ex-currency), and Sustainability .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| PMI Brazil | Intern, Accounting → Manager, Financial Planning & CapEx | 1996–2004 | Built FP&A and capital planning capabilities early in career |
| PMI Operations Center | Controller, Eastern Europe, Middle East & Africa | 2011–2014 | Regional control leadership across complex geographies |
| PMI Corporate | Director, Corporate Financial Planning & Reporting | 2014–2019 | Led corporate FP&R; strengthened reporting processes |
| PMI Corporate | VP, Corporate Financial Planning, Data & Reporting | 2019–2021 | Elevated enterprise FP&A and data/reporting integration |
| PMI Corporate | VP & Controller (transitioning to Group Controller 1/1/2026) | 2021–present | Principal accounting leadership; executive officer designation |
External Roles
No public-company directorships or external board roles disclosed in company filings for Dobrowolski.
Fixed Compensation
- PMI discloses detailed compensation only for Named Executive Officers (NEOs); individual base salary and target bonus % for Dobrowolski are not specifically disclosed in the proxy. PMI’s executive program mixes fixed salary with at-risk cash (annual IC) and equity (PSUs/RSUs) with strong ownership requirements and anti-hedging/pledging .
Performance Compensation
Annual Incentive (IC) – Company-level metrics determine payouts
| Metric | Weight | 2024 Target | 2024 Actual | Performance Rating | Notes |
|---|---|---|---|---|---|
| Share of Top 30 OI Markets (growing/stable) | 15% | 15–17 markets | 18 | 105 | Market share stability/growth count |
| Smoke-Free Shipment Volume (converted per stick) | 15% | 153.4–158.0 bn | 156.5 bn | 100 | Includes HTU, nicotine pouches, snus, e-vapor pods/disposables |
| Adjusted Net Revenues (organic YoY) | 20% | 7.5–8.5% | 9.8% | 147 | Non-GAAP, organic growth basis |
| Adjusted Operating Income (organic YoY) | 15% | 8.4–9.7% | 14.9% | 150 | Non-GAAP, organic growth basis |
| Operating Cash Flow (USD bn) | 20% | 9.8–10.2 | 12.2 | 150 | Absolute OCF, currency not excluded |
| Strategic Initiatives (qualitative) | 15% | 100% | 110% | 110 | Harm reduction, SFPs, combustibles leadership, wellness, org capability |
| Overall IC Performance Rating | — | 100 | — | 130 | Committee certified and rounded up to 130 |
- Program design features: mix of annual and long-term, heavy at-risk/variable components, no stock options; equity split 60% PSUs and 40% RSUs in Feb grants .
- For executives globally, the certified IC performance rating applies across management (final rating rounded to 130) .
Long-term Incentives (Equity)
| Element | Weighting | Vesting | Performance Framework |
|---|---|---|---|
| PSUs (2024–2026 cycle) | 60% of equity; metrics weight: TSR 40%, Adjusted Diluted EPS CAGR (ex-currency) 30%, Sustainability Index 30% | Vest after 3-year cycle; payout 0–200% of target | TSR vs peer group with cap if absolute TSR < 0; EPS CAGR thresholds; Sustainability split: Product 20% and Operational 10% |
| RSUs | 40% of equity | 3-year cliff vest | Time-based; subject to change-in-control double-trigger rules |
- Most recent completed cycle (2022–2024) delivered TSR at 95th percentile for peer group (200% factor) and adjusted diluted EPS CAGR ex-currency at 12.2% (200% factor) .
Equity Ownership & Alignment
| Policy/Item | Detail |
|---|---|
| Stock ownership guidelines | Executives must hold multiples of salary (by grade: SG28=10x; SG26=5x; SG25=3x; SG24=3x). Unvested PSUs do not count; compliance reviewed annually; 12-month holding period applies to accelerated shares upon separation . |
| Anti-hedging/anti-pledging | Hedging and pledging of PMI shares by directors/executives prohibited; short sales prohibited . |
| Insider trading/Section 16 | One late Form 4 for Dobrowolski filed March 11, 2024 reporting sale of 2,000 shares held indirectly, attributed to broker delay; otherwise timely filings . |
| Beneficial ownership | Individual beneficial ownership not enumerated for Dobrowolski in the proxy’s director/NEO table; group totals provided for directors/executives . |
Related party transaction: PMI disclosed that Cristina Oka Dobrowolski, his spouse, is a longstanding PMI employee with 2024 total compensation of ~$700,000; ratified under the related person transaction policy by the CEO and Governance Committee .
Employment Terms
- Contracts and severance: PMI executive officers on Swiss payroll; severance for involuntary separation typically a multiple of monthly base salary (consistent with Swiss-based employees), with equity vesting governed by award agreements; no executive-level change-in-control provisions in employment contracts, except specific NEO cases (e.g., CFO) .
- Voluntary termination policy: Executive Officer Severance Policy for voluntary termination (resignation/retirement) prohibits cash severance and certain non-compete payments (adopted 2023) .
- Change-in-control: Double-trigger under 2017 and 2022 Performance Incentive Plans; if awards are replaced by equivalent time-based awards, full vesting occurs upon qualifying termination within 2 years post-CIC; otherwise outstanding RSUs fully vest and PSUs valued per cycle elapsed and determinability .
- Clawback: Board-approved Dodd-Frank-compliant clawback policy adopted September 13, 2023; in addition to existing recoupment provisions for fraud/misconduct/restatements/significant write-offs .
Company Performance Context
| Metric | FY 2022 | FY 2023 | FY 2024 |
|---|---|---|---|
| Revenues (USD) | $31,762,000,000 | $35,174,000,000 | $37,878,000,000 |
| EBITDA (USD) | $13,885,000,000* | $14,682,000,000* | $15,002,000,000* |
Values retrieved from S&P Global.*
Pay vs Performance highlights: value of initial $100 in PMI shares equals $186 in 2024; CEO compensation actually paid increased with share price appreciation; TSR and EPS CAGR drive PSU payouts; 2024 say-on-pay approval 92.88% (after 70.00% in 2022 and 73.95% in 2023) .
Investment Implications
- Alignment: Strong governance (ownership guidelines, anti-hedging/pledging, double-trigger CIC, clawback) supports executive-shareholder alignment and mitigates hedging/pledging risks .
- Performance linkage: Annual IC and PSUs are tied to tangible, auditable metrics (organic revenue/OI growth, OCF, TSR/EPS/Sustainability), with 2024 outperformance (IC rating 130) suggesting robust pay-for-performance calibration that would influence Dobrowolski’s variable pay as a member of management .
- Trading signals: Equity vesting events typically cluster in February (RSUs 3-year cliff; PSUs end-of-cycle), which can create small, time-bound selling pressure by executives—monitor 2027 vesting dates for awards granted in February 2024; note the double-trigger protection in CIC scenarios .
- Governance watchpoints: The disclosed related party transaction regarding his spouse was ratified, but remains a monitoring point; the isolated late Form 4 (2,000-share indirect sale) appears procedural rather than indicative of sustained selling pressure .
- Retention/transition: Elevation to Group Controller (effective 1/1/2026) underscores retention and centrality in PMI’s new structure; lack of special CIC/severance in employment contracts beyond plan terms generally suggests retention relies on ongoing incentive alignment rather than guaranteed payouts .