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Philip Morris USA has funded external scientific research to better understand the relationship between smoking and diseases and potential ways that we can modify our products to reduce the health risks of cigarette smoking. We also fund scientific research to support broader business initiatives.
Our recent external scientific research efforts with universities and other organizations have included non-directed and directed research.
An example of non-directed research is the External Research Program (ERP) established by PM USA in 2000 to support research that contributed to fundamental scientific knowledge around smoking and health. To ensure high-quality research, ERP proposals were independently reviewed in a peer review process under a Scientific Advisory Board broadly modeled after that of the National Institutes of Health.
In ERP contracts, PM USA strongly encouraged grant recipients to publish research results in peer-reviewed scientific publications and journals. Recipients were also required to acknowledge that they had received funding from PM USA.
New funding for the ERP ended in late 2007. The ERP resulted in more than 1,900 presentations and 1,200 peer reviewed publications in scientific journals such as Nature and Journal of Clinical Investigation and Science.
Another example of non-directed research is the grant provided to Duke University to establish the
Duke Center for Nicotine and Smoking Cessation Research.
PM USA engages in directed research when we need outside expertise to supplement our own internal research efforts. Directed research is common within many industries and typically involves contracts that outline the scope of work, responsibilities and division of intellectual property rights. Intellectual property resulting from directed research has the potential to not only make strong advancements in science, but also may lead to financial benefits to our shareholder.
We encourage recipients of directed research to publish their results and we require them to acknowledge our funding. We also require that PM USA be able to review any publications prior to submission to ensure adequate protection of all parties' intellectual property rights (as per U.S and international intellectual property law).
