PHILIP MORRIS USA NNTER-QFFICE CQRRESPONDENCE 120 PAFK AVENUE; NEWYORK, NY 10017-5592 To: Ali FSF Personncl DATE: April 14, 1993 Zees Mike Szymarczyk FRoM: Cal SUBJECT: Basic Distibution Since October you have pursued nuinber of initialives On Basic ensure that Philip Morris has Icadership for   successfully prescnce in  the Lep   Discount segment The key lements Mecessa cstablishing and maintaining Basic strong National Brand are quitc frankly, basic: very broad-scale distribution continuous visibility and prominent display price competitiveness the attached chart indicates that In regard t0 distribution currently have 53% national distribution in February Nielsen indicates only 424 In some Sections distribution for Basic is far lower; SPACE February in Rcgions_ distribution, with reductions in distribution from January Sections ad In my original corrcspondence to you, asked you t0 attain minimum of 60%0 retail distibuton for May Basic. rerail distribution objective for Basic of 5 % by 1993. am now asxing you t0 set that means you will need distribution in both Retail Masters and non-Retail Masters accounts Obviously. where we currently have 67% and 399 distribution respectively. To help you achieve this disuibution objective authorized offer one hme basis t0 grans currently canrying Basic. yOu may offer ]0% gratis on up to 20 cartons retail accounts As before not Gratis cartons should be expensed at the in (i maximum of 2 rctail carons sok #ccount grans , PT wholesalc price of Basic using Promo Code 324J. In addition , please remcmber to fully leverage the other tools you have for merchandising and promoting listing of Section allocations and Orders placed for the B2G!E deals; Basic. Attached is Ityour Section your remaining allocation longer has inventory of old BaSic packaging; Ias B2G IF deals t0 wrap three new packs/cartons together. permanent merchandising position does nOL exist; placement of [n those acounts where separate display under , the Basic  Temporary Merchandising Program listing of uperauive. Atlached   iS merchandising fixtures. Section allocations and orders placed for thc temporary Tncse and carton pack Please order your full allocation to help you achieve and maintain units are no longcr on backordc. competitive display presence possible soon FST and direct mail program to help leverage Basic' drop To help in this effort also plan to position VCrSus other Dctails will be forthcoming dccp discount brands in June Finally, please note that our current allowance structure makes Basic' price  fTOm   mianulacturer wholesaler competitive with RJR' s major decp discount entries. It is your job W) ensure Ihal   this banslales competitive pricing at retail: 7 selling; Good luck and good Alfieri DMs cc: ; Simons DAMs VPRSs SAMs SOMs TMDs IMPs UMs TMMs RMMs SSDs RMs
PHILIP MORRIS USA NNTER-QFFICE CQRRESPONDENCE 120 PAFK AVENUE; NEWYORK, NY 10017-5592 DATE: April 14, 1993 Zees Cal To: Ali FSF Personncl Mike Szymarczyk FRoM: SUBJECT: Basic Distibution Since October you have pursued nuinber of initialives On Basic ensure that Philip Morris has Icadership prescnce in  the Lep   Discount segment The key lements Mecessa for   successfully cstablishing and maintaining Basic strong National Brand are quitc frankly, basic: very broad-scale distribution continuous visibility and prominent display price competitiveness In regard t0 distribution the attached chart indicates that currently have 53% national distribution in SPACE In some Sections distribution for Basic is far lower; February Nielsen indicates only 424 distribution, with reductions in distribution from January February in Sections ad Rcgions_ In my original corrcspondence to you, asked you t0 attain minimum of 60%0 retail distibuton for Basic. am now asxing you t0 set rerail distribution objective for Basic of 5 % by May 1993. Obviously. that means you will need distribution in both Retail Masters and non-Retail Masters accounts where we currently have 67% and 399 distribution respectively. To help you achieve this disuibution objective authorized offer grans one hme basis t0 retail accounts not currently canrying Basic. As before yOu may offer ]0% gratis on up to 20 cartons sok in (i maximum of 2 grans , carons PT rctail #ccount Gratis cartons should be expensed at the wholesalc price of Basic using Promo Code 324J. In addition , please remcmber to fully leverage the other tools you have for merchandising and promoting Basic. Attached is listing of Section allocations and Orders placed for the B2G!E deals; Ityour Section longer has inventory of old BaSic packaging; Ias your remaining allocation B2G IF deals t0 wrap three new packs/cartons together. [n those acounts where permanent merchandising position does nOL exist; placement of separate display under , the Basic  Temporary Merchandising Program uperauive. Atlached   iS listing of Section allocations and orders placed for thc temporary pack and carton merchandising fixtures. Tncse units are no longcr on backordc. Please order your full allocation to help you achieve and maintain competitive display presence soon possible To help in this effort also plan to drop FST and direct mail program to help leverage Basic'  position VCrSus other dccp discount brands in June Dctails will be forthcoming Finally, please note that our current allowance structure makes Basic' price  fTOm   mianulacturer wholesaler competitive with RJR' s major decp discount entries. It is your job W) ensure Ihal   this banslales competitive pricing at retail: Good luck and good selling; cc: ; Alfieri DMs Simons DAMs 7 VPRSs SAMs TMDs SOMs IMPs UMs TMMs RMMs SSDs RMs