Johnson & Johnson
JOHNSON & JOHNSON (Form: 8-K, Received: 07/14/2009 15:00:07)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 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):
 
July 14, 2009

 
 
 
(Exact name of registrant as specified in its charter)
 
 
New Jersey
I-3215
22-1024240
(State or Other Jurisdiction of Incorporation)
(Commission File Number)
(IRS Employer Identification No.)


One Johnson & Johnson Plaza, New Brunswick, New Jersey  08933
 
(Address of Principal Executive Offices)
 (Zip Code)
 
Registrant’s telephone number, including area code:
732-524-0400
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
 
 
o             Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
o             Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 
o             Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17
               CFR 240.14d-2(b))
 
o             Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17
               CFR 240.13e-4(c))

 

 


 
 
 

 

 
Item 2.02                      Results of Operations and Financial Condition
 
On July 14, 2009, Johnson & Johnson issued the attached press release announcing its sales and earnings for the second quarter ended June 28, 2009.
 
Item 9.01            Financial Statements and Exhibits
 
 Exhibit No.
 
 Description of Exhibit
 
 99.15
 
 Press Release dated July 14, 2009 for the period ended June 28, 2009.
 
 99.2O
 
 Unaudited Comparative Supplementary Sales Data and Condensed Consolidated Statement of Earnings for the second quarter.
 
 
 


 
 
 

 

SIGNATURES
 
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.
 
 
Johnson & Johnson
 
   
 (Registrant)
 
 
 
 
Date: July 14, 2009
By:
/s/ Stephen J. Cosgrove
 
   
Stephen J. Cosgrove
Controller
(Principal Accounting Officer)
 
       
       

 
Exhibit 99.15
FOR IMMEDIATE RELEASE

Johnson & Johnson Reports 2009 Second-Quarter Results:

Sales of $15.2 Billion Decreased 7.4% Versus 2008 Second Quarter
 EPS of $1.15 Decreased 2.5%* Versus 2008 Second Quarter, Excluding 2008 Special Items

New Brunswick, NJ (July 14, 2009) – Johnson & Johnson today announced sales of $15.2 billion for the second quarter of 2009, a decrease of 7.4% as compared to the second quarter of 2008. Operational results declined 1.4% and the negative impact of currency was 6.0%.  Domestic sales declined 6.7%, while international sales declined 8.0%, reflecting operational growth of 3.9% and a negative currency impact of 11.9%.
 
Net earnings and diluted earnings per share for the second quarter of 2009 were $3.2 billion and $1.15, respectively. The second quarter of 2008 included an after-tax in-process research and development charge of $40 million.  Excluding this charge, net earnings for the quarter and diluted earnings per share represent decreases of 4.7% and 2.5%, respectively, as compared to the same period in 2008.*  The Company confirmed its earnings guidance for full-year 2009 of $4.45 - $4.55 per share, which excludes the  impact of  special items.
 
 “I am proud of the accomplishments of our people in continuing to deliver very solid operational results in light of the significant impacts of patent expirations and the economic environment,” said William C. Weldon, Chairman and Chief Executive Officer.  “Our investments through internal research and development, strategic partnerships and acquisitions have allowed us to build what is considered by many to be one of the best pipelines in our industry.  We will continue to invest in our portfolio of innovative products to meet the needs of patients and consumers around the world.”

Worldwide Consumer sales of $3.9 billion for the second quarter represented a decrease of 4.5% versus the prior year with an increase of 3.1% operationally and a negative impact from currency of 7.6%. Domestic sales increased 0.8%, while international sales decreased 8.4%; which reflected an operational increase of 4.7% and a negative currency impact of 13.1%.
 
LISTERINE® antiseptic mouthrinse and the skin care lines of NEUTROGENA® and AVEENO® contributed to operational sales growth during the quarter. Other growth drivers were sales from the recently completed acquisition of the French company Vania Expansion SNC.
 
Worldwide Pharmaceutical sales of $5.5 billion for the second quarter represented a decrease versus the prior year of 13.3% with an operational decline of 8.5% and a  negative impact from currency of 4.8%. Domestic sales decreased 16.4%, while international sales decreased 8.7%; which reflected an operational increase of 3.3% and a negative currency impact of 12.0%.
 
REMICADE® (infliximab), a biologic approved for the treatment of a number of immune mediated inflammatory diseases; PREZISTA TM (darunavir), a treatment for HIV; VELCADE® (bortezomib), a treatment for multiple myeloma; and CONCERTA® (methylphenidate HCI), a treatment for attention deficit hyperactivity disorder,  had strong operational sales performance during the quarter. Sales results of TOPAMAX® (topiramate), an anti-epileptic, and RISPERDAL® (risperidone), an antipsychotic medication, were negatively impacted by generic competition.
 
During the quarter, the U.S. Food and Drug Administration (FDA) approved SIMPONI™ (golimumab) for the treatment of adults with moderately to severely active rheumatoid arthritis in combination with methotrexate, active psoriatic arthritis with or without methotrexate, and active ankylosing spondylitis.   The FDA also approved the Supplemental New Drug Applications (sNDAs) for the use of RISPERDAL® CONSTA® (risperidone) Long-Acting Treatment as both monotherapy and adjunctive therapy to lithium or valproate in the maintenance treatment of Bipolar I Disorder. The Drug Enforcement Administration (DEA) issued their final ruling and placed NUCYNTA™ (tapentadol) CII immediate release tablets for the relief of moderate to severe acute pain in patients 18 years of age or older into Schedule II of the Controlled Substances Act.  The product is now available to patients.
 
The Company also announced a definitive agreement to acquire Cougar Biotechnology, a development stage biopharmaceutical company with a specific focus on oncology, for approximately $1.0 billion in a cash tender offer.  On July 9, 2009, the acquisition of Cougar Biotechnology was completed.  On July 2, 2009, the Company announced a definitive agreement with Elan Corporation, plc. whereby Johnson & Johnson will acquire substantially all of the assets and rights of Elan related to its Alzheimer's Immunotherapy Program and will invest $1 billion in Elan newly issued American Depositary Receipts (ADRs).
 
Worldwide Medical Devices and Diagnostics sales of $5.9 billion for the second quarter represented a decrease of 3.1% versus the prior year with an operational increase of 2.9% and a negative currency impact of 6.0%. Domestic sales increased 1.9%, while international sales decreased 7.2%; which reflected an operational increase of 3.7% and a negative currency impact of 10.9%.
 
Primary contributors to the operational growth included Ethicon’s surgical care products; Ortho-Clinical Diagnostics’ professional products; Ethicon Endo-Surgery’s minimally invasive products; and DePuy’s orthopaedic joint reconstruction, spine, and sports medicine businesses. Also contributing to growth were sales of products acquired as part of the completed acquisition of Mentor Corporation, a leading supplier of medical products for the global aesthetic market. This growth was partially offset by lower sales in the Cordis franchise, reflecting new competitive entries in the drug-eluting stent market as well as the 2008 divestiture of the Professional Wound Care products in our Ethicon business.

About Johnson & Johnson
Caring for the world, one person at a time…inspires and unites the people of Johnson & Johnson. We embrace research and science - bringing innovative ideas, products and services to advance the health and well-being of people. Our approximately 117,000 employees at more than 250 Johnson & Johnson companies work with partners in health care to touch the lives of over a billion people every day, throughout the world.

* Net earnings and diluted earnings per share excluding special items, such as after-tax in-process research and development charges, are non-GAAP financial measures and should not be considered replacements for GAAP results. A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the Investor Relations section of the Company’s website at www.jnj.com.
               
NOTE TO INVESTORS

Johnson & Johnson will conduct a conference call with financial analysts to discuss this news release today at 8:30 a.m., Eastern Time. A simultaneous webcast of the meeting for investors and other interested parties may be accessed by visiting the Johnson & Johnson website at www.investor.jnj.com . A replay and podcast will be available approximately two hours after the live webcast by visiting www.investor.jnj.com .

Copies of the financial schedules accompanying this press release are available at www.investor.jnj.com/historical-sales.cfm . The schedules include supplementary sales data, a condensed consolidated statement of earnings, and sales of key products/franchises. Additional information on Johnson & Johnson can be found on the Company’s website at www.jnj.com .
 
(This press release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or unknown risks or uncertainties materialize, actual results could vary materially from Johnson & Johnson's expectations and projections. Risks and uncertainties include general industry conditions and competition; economic conditions, such as interest rate and currency exchange rate fluctuations; technological advances and patents attained by competitors; challenges inherent in new product development, including obtaining regulatory approvals; domestic and foreign health care reforms and governmental laws and regulations; and trends toward health care cost containment. A further list and description of these risks, uncertainties and other factors can be found in Exhibit 99 of the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2008. Copies of this Form 10-K, as well as subsequent filings, are available online at www.sec.gov , www.jnj.com   or on request from Johnson & Johnson. Johnson & Johnson does not undertake to update any forward-looking statements as a result of new information or future events or developments.)
 

Johnson & Johnson and Subsidiaries
                 
Condensed Consolidated Statement of Earnings
                 
                   
                   
(Unaudited; in Millions Except Per Share Figures)
SECOND QUARTER
                   
 
2009
 
2008
 
Percent
     
Percent
     
Percent
 
Increase
 
Amount
 
to Sales
 
Amount
 
to Sales
 
(Decrease)
Sales to customers
 $       15,239
 
100.0
 
 $       16,450
 
100.0
 
(7.4)
Cost of products sold
           4,450
 
29.2
 
           4,751
 
28.9
 
(6.3)
Selling, marketing and administrative expenses
4,797
 
31.5
 
5,507
 
33.5
 
(12.9)
Research & development expense
1,638
 
10.7
 
1,896
 
11.5
 
(13.6)
In-process research & development
                -
 
                -
 
40
 
               0.2
   
Interest (income) expense, net
85
 
0.6
 
16
 
0.1
   
Other (income) expense, net
6
 
                -
 
(135
)
(0.8
 
Earnings before provision for taxes on income
4,263
 
28.0
 
4,375
 
26.6
 
(2.6)
Provision for taxes on income
1,055
 
6.9
 
1,048
 
6.4
 
0.7  
Net earnings
 $        3,208
 
21.1
 
 $        3,327
 
20.2
 
(3.6)
                   
                   
Net earnings per share  (Diluted)
 $          1.15
     
 $          1.17
     
(1.7)
                   
Average shares outstanding  (Diluted)
2,782.0
     
2,844.8
       
                   
Effective tax rate
24.7
%
   
24.0
%
     
                   
Adjusted earnings before provision for taxes and net earnings(A)
               
     Earnings before provision for taxes on income
 $        4,263
 
28.0
 
 $        4,415
 (1)
26.8
 
(3.4)
     Net earnings
 $        3,208
 
21.1
 
 $        3,367
 (1)
20.5
 
(4.7)
     Net earnings per share  (Diluted)
 $          1.15
     
 $          1.18
 (1)
   
(2.5)
     Effective tax rate
24.7
%    
23.7
     
                   
(1) The difference between as reported and as adjusted earnings before provision for taxes on income and net earnings and net earnings per share
 (diluted) is IPR&D of $40 million with no tax benefit and $0.01 per share, respectively.
           
 
(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings before provision for taxes on income," "adjusted net earnings," "adjusted net earnings per share (diluted)," and "adjusted effective tax rate" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, they may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as business development activities (including IPR&D at acquisition or upon attainment of milestones and any extraordinary expenses), strategic developments (including restructuring and product line changes), significant litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets.  Unlike earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate prepared in accordance with GAAP, adjusted earnings before provision for taxes on income, adjusted net earnings, adjusted net earnings per share (diluted), and adjusted effective tax rate may not be comparable with the calculation of similar measures for other companies. These non-GAAP financial measures are presented solely to permit investors to more fully understand how management assesses the performance of the Company. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as the effects of an acquisition, merger-related or other restructuring charges, or amortization of purchased intangibles, and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.

 
 
 
 

Johnson & Johnson and Subsidiaries
                 
Condensed Consolidated Statement of Earnings
                 
                   
                   
(Unaudited; in Millions Except Per Share Figures)
SIX MONTHS
                   
 
2009
 
2008
 
Percent
     
Percent
     
Percent
 
Increase
 
Amount
 
to Sales
 
Amount
 
to Sales
 
(Decrease)
Sales to customers
 $       30,265
 
100.0
 
 $       32,644
 
100.0
 
(7.3)
Cost of products sold
           8,701
 
28.7
 
           9,365
 
28.7
 
(7.1)
Selling, marketing and administrative expenses
           9,405
 
31.1
 
         10,630
 
32.6
 
(11.5)
Research & development expense
           3,156
 
10.4
 
           3,608
 
11.1
 
(12.5)
In-process research & development
                -
 
                -
 
40
 
0.1
   
Interest (income) expense, net
              166
 
0.6
 
                32
 
0.1
   
Other (income) expense, net
               (69
(0.2
             (153
(0.5
 
Earnings before provision for taxes on income
8,906
 
29.4
 
9,122
 
27.9
 
(2.4)
Provision for taxes on income
           2,191
 
7.2
 
           2,197
 
6.7
 
(0.3)
Net earnings
 $        6,715
 
22.2
 
 $        6,925
 
21.2
 
(3.0)
                   
                   
Net earnings per share  (Diluted)
 $          2.41
     
 $          2.43
     
(0.8)
                   
Average shares outstanding  (Diluted)
2,785.5
     
2,856.1
       
                   
Effective tax rate
24.6
%
   
24.1
%
     
                   
Adjusted earnings before provision for taxes and net earnings(A)
               
     Earnings before provision for taxes on income
 $        8,906
 
29.4
 
 $        9,162
 (1)
28.1
 
(2.8)
     Net earnings
 $        6,715
 
22.2
 
 $        6,965
 (1)
21.3
 
(3.6)
     Net earnings per share  (Diluted)
 $          2.41
     
 $          2.44
 (1)
   
(1.2)
     Effective tax rate
24.6
   
24.0
     
                   
(1) The difference between as reported and as adjusted earnings before provision for taxes on income and  net earnings and net earnings per share
 (diluted) is IPR&D of $40 million with no tax benefit and $0.01 per share, respectively.
       
 

(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings before provision for taxes on income," "adjusted net earnings," "adjusted net earnings per share (diluted)," and "adjusted effective tax rate" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, they may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as business development activities (including IPR&D at acquisition or upon attainment of milestones and any extraordinary expenses), strategic developments (including restructuring and product line changes), significant litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets.  Unlike earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate prepared in accordance with GAAP, adjusted earnings before provision for taxes on income, adjusted net earnings, adjusted net earnings per share (diluted), and adjusted effective tax rate may not be comparable with the calculation of similar measures for other companies. These non-GAAP financial measures are presented solely to permit investors to more fully understand how management assesses the performance of the Company. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as the effects of an acquisition, merger-related or other restructuring charges, or amortization of purchased intangibles, and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.

 
 
 
 

Johnson & Johnson and Subsidiaries
                 
Supplementary Sales Data
                 
                   
(Unaudited; Dollars in Millions)
SECOND QUARTER
         
Percent Change
 
2009
 
2008
 
Total
 
Operations
 
Currency
Sales to customers by
                 
segment of business
                 
                   
Consumer
                 
    U.S.
 $  1,708
 
     1,694
 
         0.8  
%
         0.8  
 
            -  
    International
     2,146
 
     2,342
 
       (8.4)
 
         4.7  
 
     (13.1)
 
     3,854
 
     4,036
 
       (4.5)
 
         3.1  
 
       (7.6)
                   
Pharmaceutical
                 
    U.S.
     3,172
 
     3,793
 
     (16.4)
 
     (16.4)
 
            -  
    International
     2,326
 
     2,547
 
       (8.7)
 
         3.3  
 
     (12.0)
 
     5,498
 
     6,340
 
     (13.3)
 
       (8.5)
 
       (4.8)
                   
Med Devices & Diagnostics
                 
    U.S.
     2,776
 
     2,723
 
         1.9  
 
         1.9  
 
            -  
    International
     3,111
 
     3,351
 
       (7.2)
 
         3.7  
 
     (10.9)
 
     5,887
 
     6,074
 
       (3.1)
 
         2.9  
 
       (6.0)
                   
U.S.
     7,656
 
     8,210
 
       (6.7)
 
       (6.7)
 
            -  
 International
     7,583
 
     8,240
 
       (8.0)
 
         3.9  
 
     (11.9)
Worldwide
 $15,239
 
   16,450
 
       (7.4)
%
       (1.4)
 
       (6.0)
 

 
 
 
 

Johnson & Johnson and Subsidiaries
                 
Supplementary Sales Data
                 
                   
(Unaudited; Dollars in Millions)
SIX MONTHS
         
Percent Change
 
2009
 
2008
 
Total
 
Operations
 
Currency
Sales to customers by
                 
segment of business
                 
                   
Consumer
                 
    U.S.
 $  3,434
 
     3,513
 
       (2.2)
%
       (2.2)
 
            -  
    International
     4,131
 
     4,587
 
       (9.9)
 
         3.6  
 
     (13.5)
 
     7,565
 
     8,100
 
       (6.6)
 
         1.0  
 
       (7.6)
                   
Pharmaceutical
                 
    U.S.
     6,846
 
     7,863
 
     (12.9)
 
     (12.9)
 
             -  
    International
     4,432
 
     4,906
 
       (9.7)
 
         3.1  
 
     (12.8)
 
   11,278
 
   12,769
 
     (11.7)
 
       (6.8)
 
       (4.9)
                   
Med Devices & Diagnostics
                 
    U.S.
     5,428
 
     5,311
 
         2.2  
 
         2.2  
 
            -  
    International
     5,994
 
     6,464
 
       (7.3)
 
         3.6  
 
     (10.9)
 
   11,422
 
   11,775
 
       (3.0)
 
         3.0  
 
       (6.0)
                   
U.S.
   15,708
 
   16,687
 
       (5.9)
 
       (5.9)
 
            -  
International
   14,557
 
   15,957
 
       (8.8)
 
         3.5  
 
     (12.3)
Worldwide
 $30,265
 
   32,644
 
       (7.3)
%
       (1.3)
 
       (6.0)
 

 
 
 
 

Johnson & Johnson and Subsidiaries
                 
Supplementary Sales Data
                 
                   
(Unaudited; Dollars in Millions)
SECOND QUARTER
         
Percent Change
 
2009
 
2008
 
Total
 
Operations
 
Currency
Sales to customers by
                 
geographic area
                 
U.S.
 $  7,656
 
     8,210
 
       (6.7)
%
       (6.7)
 
          -  
                   
Europe
     3,972
 
     4,547
 
     (12.6)
 
         1.8  
 
     (14.4)
Western Hemisphere excluding U.S.
     1,215
 
     1,280
 
       (5.1)
 
       11.7  
 
     (16.8)
Asia-Pacific, Africa
     2,396
 
     2,413
 
       (0.7)
 
         3.7  
 
       (4.4)
International
     7,583
 
     8,240
 
       (8.0)
 
         3.9  
 
     (11.9)
                   
Worldwide
 $15,239
 
   16,450
 
       (7.4)
%
       (1.4)
 
       (6.0)
 

 
 
 
 

Johnson & Johnson and Subsidiaries
                 
Supplementary Sales Data
                 
                   
(Unaudited; Dollars in Millions)
SIX MONTHS
         
Percent Change
 
2009
 
2008
 
Total
 
Operations
 
Currency
Sales to customers by
                 
geographic area
                 
U.S.
 $15,708
 
   16,687
 
       (5.9)
%
       (5.9)
 
            -  
                   
Europe
     7,643
 
     8,855
 
     (13.7)
 
         0.8  
 
     (14.5)
Western Hemisphere excluding U.S.
     2,277
 
     2,525
 
       (9.8)
 
         8.2  
 
     (18.0)
Asia-Pacific, Africa
     4,637
 
     4,577
 
         1.3  
 
         5.9  
 
       (4.6)
International
   14,557
 
   15,957
 
       (8.8)
 
         3.5  
 
     (12.3)
                   
Worldwide
 $30,265
 
   32,644
 
       (7.3)
%
       (1.3)
 
       (6.0)


 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SECOND QUARTER
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
CONSUMER SEGMENT (2)
           
                   
SKIN CARE
               
US
       
411
379
8.4%
8.4%
             -
Intl
       
422
460
(8.3%)
3.8%
(12.1%)
WW
       
833
839
(0.7%)
5.9%
(6.6%)
                   
BABY CARE
               
US
       
104
111
(6.3%)
(6.3%)
             -
Intl
       
404
461
(12.4%)
(1.2%)
(11.2%)
WW
       
508
572
(11.2%)
(2.2%)
(9.0%)
                   
ORAL CARE
               
US
       
174
185
(5.9%)
(5.9%)
             -
Intl
       
212
223
(4.9%)
9.5%
(14.4%)
WW
       
386
408
(5.4%)
2.4%
(7.8%)
                   
OTC/NUTRITIONALS
             
US
       
679
679
             -
                       -
             -
Intl
       
631
726
(13.1%)
0.6%
(13.7%)
WW
       
1,310
1,405
(6.8%)
0.3%
(7.1%)
                   
WOMEN'S HEALTH
             
US
       
152
158
(3.8%)
(3.8%)
             -
Intl
       
329
346
(4.9%)
8.8%
(13.7%)
WW
       
481
504
(4.6%)
4.8%
(9.4%)
                   
WOUND CARE / OTHER
           
US
       
188
182
3.3%
3.3%
             -
Intl
       
148
126
17.5%
33.6%
(16.1%)
WW
       
336
308
9.1%
15.7%
(6.6%)
                   
TOTAL CONSUMER
             
US
       
1,708
1,694
0.8%
0.8%
             -
Intl
       
2,146
2,342
(8.4%)
4.7%
(13.1%)
WW
       
3,854
4,036
(4.5%)
3.1%
(7.6%)
 
(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)
 

 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SIX MONTHS
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
CONSUMER SEGMENT (2)
           
                   
SKIN CARE
               
US
       
834
761
9.6%
9.6%
             -
Intl
       
841
918
(8.4%)
4.6%
(13.0%)
WW
       
1,675
1,679
(0.2%)
6.9%
(7.1%)
                   
BABY CARE
               
US
       
206
226
(8.8%)
(8.8%)
             -
Intl
       
791
879
(10.0%)
1.5%
(11.5%)
WW
       
997
1,105
(9.8%)
(0.7%)
(9.1%)
                   
ORAL CARE
               
US
       
362
384
(5.7%)
(5.7%)
             -
Intl
       
389
410
(5.1%)
10.4%
(15.5%)
WW
       
751
794
(5.4%)
2.6%
(8.0%)
                   
OTC/NUTRITIONALS
             
US
       
1,405
1,521
(7.6%)
(7.6%)
             -
Intl
       
1,253
1,478
(15.2%)
(0.9%)
(14.3%)
WW
       
2,658
2,999
(11.4%)
(4.3%)
(7.1%)
                   
WOMEN'S HEALTH
             
US
       
301
306
(1.6%)
(1.6%)
             -
Intl
       
603
659
(8.5%)
4.9%
(13.4%)
WW
       
904
965
(6.3%)
2.8%
(9.1%)
                   
WOUND CARE / OTHER
           
US
       
326
315
3.5%
3.5%
             -
Intl
       
254
243
4.5%
19.4%
(14.9%)
WW
       
580
558
3.9%
10.4%
(6.5%)
                   
TOTAL CONSUMER
             
US
       
3,434
3,513
(2.2%)
(2.2%)
             -
Intl
       
4,131
4,587
(9.9%)
3.6%
(13.5%)
WW
       
7,565
8,100
(6.6%)
1.0%
(7.6%)
 
(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)

 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SECOND QUARTER
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
PHARMACEUTICAL SEGMENT   (2)
           
                   
ACIPHEX/PARIET
               
US
       
128
153
(16.3%)
(16.3%)
             -
Intl
       
132
172
(23.3%)
(10.6%)
(12.7%)
WW
       
260
325
(20.0%)
(13.3%)
(6.7%)
                   
CONCERTA
               
US
       
233
208
12.0%
12.0%
             -
Intl
       
84
71
18.3%
38.0%
(19.7%)
WW
       
317
279
13.6%
18.7%
(5.1%)
                   
DURAGESIC/FENTANYL TRANSDERMAL
           
US
       
50
70
(28.6%)
(28.6%)
             -
Intl
       
168
202
(16.8%)
(6.5%)
(10.3%)
WW
       
218
272
(19.9%)
(12.3%)
(7.6%)
                   
LEVAQUIN/FLOXIN
               
US
       
343
330
3.9%
3.9%
             -
Intl
       
19
21
(9.5%)
7.3%
(16.8%)
WW
       
362
351
3.1%
4.1%
(1.0%)
                   
PROCRIT/EXPREX
             
US
       
330
346
(4.6%)
(4.6%)
             -
Intl
       
247
306
(19.3%)
(7.6%)
(11.7%)
WW
       
577
652
(11.5%)
(6.0%)
(5.5%)
                   
RAZADYNE/REMINYL
             
US
       
16
42
(61.9%)
(61.9%)
             -
Intl
       
91
110
(17.3%)
(4.2%)
(13.1%)
WW
       
107
152
(29.6%)
(20.1%)
(9.5%)
                   
REMICADE
               
US
       
771
684
12.7%
12.7%
 -
US Exports (3)
     
327
200
63.5%
63.5%
 -
Intl
       
4
2
100.0%
96.2%
3.8%
WW
       
1,102
886
24.4%
24.4%
 -
                   
RISPERDAL/RISPERIDONE
           
US
       
70
492
(85.8%)
(85.8%)
             -
Intl
       
169
220
(23.2%)
(17.9%)
(5.3%)
WW
       
239
712
(66.4%)
(64.8%)
(1.6%)
                   
RISPERDAL CONSTA
             
US
       
131
120
9.2%
9.2%
             -
Intl
       
217
223
(2.7%)
13.7%
(16.4%)
WW
       
348
343
1.5%
12.1%
(10.6%)
                   

(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)
(3) Included in U.S. sales

 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SECOND QUARTER
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
PHARMACEUTICAL SEGMENT   (2) -  (Continued)
       
                   
TOPAMAX
               
US
       
75
548
(86.3%)
(86.3%)
             -
Intl
       
107
129
(17.1%)
(2.9%)
(14.2%)
WW
       
182
677
(73.1%)
(70.4%)
(2.7%)
                   
VELCADE
               
US
       
-
1
(100.0%)
(100.0%)
             -
Intl
       
229
204
12.3%
26.9%
(14.6%)
WW
       
229
205
11.7%
26.2%
(14.5%)
                   
OTHER
                 
US
       
698
599
16.5%
16.5%
             -
Intl
       
859
887
(3.2%)
11.3%
(14.5%)
WW
       
1,557
1,486
4.8%
13.5%
(8.7%)
                   
TOTAL PHARMACEUTICAL
           
US
       
3,172
3,793
(16.4%)
(16.4%)
             -
Intl
       
2,326
2,547
(8.7%)
3.3%
(12.0%)
WW
       
5,498
6,340
(13.3%)
(8.5%)
(4.8%)
                   
MAJOR NEW PHARMACEUTICAL PRODUCTS (3)
       
                   
PREZISTA
                 
US
       
65
43
51.2%
51.2%
             -
Intl
       
75
45
66.7%
90.0%
(23.3%)
WW
       
140
88
59.1%
71.0%
(11.9%)
                   
INVEGA
                 
US
       
67
62
8.1%
8.1%
0.0%
Intl
       
32
14
128.6%
163.7%
(35.1%)
WW
       
99
76
30.3%
36.6%
(6.3%)

(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)
(3) Included in Other


 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SIX MONTHS
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
PHARMACEUTICAL SEGMENT   (2)
                   
ACIPHEX/PARIET
           
US
       
266
269
(1.1%)
(1.1%)
             -
Intl
       
257
333
(22.8%)
(9.5%)
(13.3%)
WW
       
523
602
(13.1%)
(5.7%)
(7.4%)
                   
CONCERTA
             
US
       
502
432
16.2%
16.2%
             -
Intl
       
159
137
16.1%
37.6%
(21.5%)
WW
       
661
569
16.2%
21.4%
(5.2%)
                   
DURAGESIC/FENTANYL TRANSDERMAL
US
       
125
145
(13.8%)
(13.8%)
             -
Intl
       
324
360
(10.0%)
1.8%
(11.8%)
WW
       
449
505
(11.1%)
(2.7%)
(8.4%)
                   
LEVAQUIN/FLOXIN
           
US
       
751
804
(6.6%)
(6.6%)
             -
Intl
       
36
43
(16.3%)
2.0%
(18.3%)
WW
       
787
847
(7.1%)
(6.2%)
(0.9%)
                   
PROCRIT/EXPREX
           
US
       
651
680
(4.3%)
(4.3%)
             -
Intl
       
476
601
(20.8%)
(8.7%)
(12.1%)
WW
       
1,127
1,281
(12.0%)
(6.3%)
(5.7%)
                   
RAZADYNE/REMINYL
           
US
       
29
92
(68.5%)
(68.5%)
             -
Intl
       
179
209
(14.4%)
0.2%
(14.6%)
WW
       
208
301
(30.9%)
(20.8%)
(10.1%)
                   
REMICADE
             
US
       
1,508
1,360
10.9%
10.9%
 -
US Exports (3)
 
613
520
17.9%
17.9%
 -
Intl
       
9
4
125.0%
118.1%
6.9%
WW
       
2,130
1,884
13.1%
13.1%
 -
                   
RISPERDAL/RISPERIDONE
US
       
188
1,074
(82.5%)
(82.5%)
             -
Intl
       
326
447
(27.1%)
(21.3%)
(5.8%)
WW
       
514
1,521
(66.2%)
(64.5%)
(1.7%)
                   
RISPERDAL CONSTA
           
US
       
257
221
16.3%
16.3%
             -
Intl
       
416
431
(3.5%)
13.8%
(17.3%)
WW
       
673
652
3.2%
14.6%
(11.4%)

(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)
(3) Included in U.S. sales

 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SIX MONTHS
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
PHARMACEUTICAL SEGMENT   (2) - (Continued)
                   
TOPAMAX
             
US
       
570
1,068
(46.6%)
(46.6%)
             -
Intl
       
214
255
(16.1%)
(1.4%)
(14.7%)
WW
       
784
1,323
(40.7%)
(37.9%)
(2.8%)
                   
VELCADE
               
US
       
-
3
(100.0%)
(100.0%)
             -
Intl
       
421
386
9.1%
24.5%
(15.4%)
WW
       
421
389
8.2%
23.5%
(15.3%)
                   
OTHER
               
US
       
1,386
1,195
16.0%
16.0%
             -
Intl
       
1,615
1,700
(5.0%)
10.4%
(15.4%)
WW
       
3,001
2,895
3.7%
12.7%
(9.0%)
                   
TOTAL PHARMACEUTICAL
US
       
6,846
7,863
(12.9%)
(12.9%)
             -
Intl
       
4,432
4,906
(9.7%)
3.1%
(12.8%)
WW
       
11,278
12,769
(11.7%)
(6.8%)
(4.9%)
                   
MAJOR NEW PHARMACEUTICAL PRODUCTS (3)
                   
PREZISTA
             
US
       
137
75
82.7%
82.7%
             -
Intl
       
125
87
43.7%
66.5%
(22.8%)
WW
       
262
162
61.7%
73.9%
(12.2%)
                   
INVEGA
               
US
       
133
119
11.8%
11.8%
             -
Intl
       
57
23
147.8%
186.4%
(38.6%)
WW
       
190
142
33.8%
39.9%
(6.1%)

(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)
(3) Included in Other

 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SECOND QUARTER
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
MEDICAL DEVICES AND DIAGNOSTICS    (2) (3)
 
                   
CORDIS (4)
             
US
       
252
328
(23.2%)
(23.2%)
             -
Intl
       
422
485
(13.0%)
(5.5%)
(7.5%)
WW
       
674
813
(17.1%)
(12.6%)
(4.5%)
                   
DEPUY
               
US
       
762
722
5.5%
5.5%
             -
Intl
       
561
606
(7.4%)
6.5%
(13.9%)
WW
       
1,323
1,328
(0.4%)
6.0%
(6.4%)
                   
DIABETES CARE
           
US
       
306
338
(9.5%)
(9.5%)
             -
Intl
       
304
336
(9.5%)
2.2%
(11.7%)
WW
       
610
674
(9.5%)
(3.7%)
(5.8%)
                   
ETHICON
               
US
       
452
374
20.9%
20.9%
             -
Intl
       
589
646
(8.8%)
3.2%
(12.0%)
WW
       
1,041
1,020
2.1%
9.7%
(7.6%)
                   
ETHICON ENDO-SURGERY
       
US
       
489
484
1.0%
1.0%
             -
Intl
       
626
640
(2.2%)
10.7%
(12.9%)
WW
       
1,115
1,124
(0.8%)
6.3%
(7.1%)
                   
ORTHO-CLINICAL DIAGNOSTICS
     
US
       
284
250
13.6%
13.6%
             -
Intl
       
210
226
(7.1%)
4.2%
(11.3%)
WW
       
494
476
3.8%
9.2%
(5.4%)
                   
VISION CARE
           
US
       
231
227
1.8%
1.8%
             -
Intl
       
399
412
(3.2%)
2.0%
(5.2%)
WW
       
630
639
(1.4%)
1.9%
(3.3%)
                   
TOTAL MEDICAL DEVICES AND DIAGNOSTICS
 
US
       
2,776
2,723
1.9%
1.9%
             -
Intl
       
3,111
3,351
(7.2%)
3.7%
(10.9%)
WW
       
5,887
6,074
(3.1%)
2.9%
(6.0%)
                   
(1) Operational growth excludes the effect of currency
 
(2) Select areas (unaudited)
         
(3) Prior year amounts have been reclassified to conform with current presentation
(4)  Includes sales of Drug-Eluting Stents for Q2 2009 of $69, $165 and $234 million Domestic, International and Worldwide respectively
        Includes sales of Drug-Eluting Stents for Q2 2008 of $167, $227 and $394 million Domestic, International and Worldwide respectively

 
 
 
 

REPORTED SALES vs. PRIOR PERIOD
$MM
                   
         
SIX MONTHS
             
% Change
         
2009
2008
Reported
Operational (1)
Currency
                   
MEDICAL DEVICES AND DIAGNOSTICS    (2) (3)
                   
CORDIS (4)
             
US
       
498
670
(25.7%)
(25.7%)
             -
Intl
       
844
944
(10.6%)
(3.6%)
(7.0%)
WW
       
1,342
1,614
(16.9%)
(12.8%)
(4.1%)
                   
DEPUY
               
US
       
1,528
1,431
6.8%
6.8%
             -
Intl
       
1,087
1,184
(8.2%)
6.5%
(14.7%)
WW
       
2,615
2,615
             -
6.6%
(6.6%)
                   
DIABETES CARE
           
US
       
576
641
(10.1%)
(10.1%)
             -
Intl
       
575
648
(11.3%)
0.5%
(11.8%)
WW
       
1,151
1,289
(10.7%)
(4.8%)
(5.9%)
                   
ETHICON
               
US
       
857
715
19.9%
19.9%
             -
Intl
       
1,137
1,250
(9.0%)
3.5%
(12.5%)
WW
       
1,994
1,965
1.5%
9.4%
(7.9%)
                   
ETHICON ENDO-SURGERY
US
       
943
913
3.3%
3.3%
             -
Intl
       
1,187
1,214
(2.2%)
11.1%
(13.3%)
WW
       
2,130
2,127
0.1%
7.3%
(7.2%)
                   
ORTHO-CLINICAL DIAGNOSTICS
US
       
561
488
15.0%
15.0%
             -
Intl
       
400
431
(7.2%)
3.8%
(11.0%)
WW
       
961
919
4.6%
9.7%
(5.1%)
                   
VISION CARE
           
US
       
465
453
2.6%
2.6%
             -
Intl
       
764
793
(3.7%)
0.5%
(4.2%)
WW
       
1,229
1,246
(1.4%)
1.3%
(2.7%)
                   
TOTAL MEDICAL DEVICES AND DIAGNOSTICS
US
       
5,428
5,311
2.2%
2.2%
             -
Intl
       
5,994
6,464
(7.3%)
3.6%
(10.9%)
WW
       
11,422
11,775
(3.0%)
3.0%
(6.0%)
                   
(1) Operational growth excludes the effect of currency
(2) Select areas (unaudited)
       
(3) Prior year amounts have been reclassified to conform with current presentation
(4) Includes sales of Drug-Eluting Stents for June YTD 2009 of $136, $349 and $485 million Domestic, International and Worldwide respectively
      Includes sales of Drug-Eluting Stents for June YTD 2008 of $336, $458 and $794 million Domestic, International and Worldwide respectively