Amgen 2009 Annual Report Download - page 74

Item 6. SELECTED FINANCIAL DATA
Consolidated Statement of Income Data:
Years ended December 31,
2009 2008 2007 2006 2005
(In millions, except per share data)
Revenues:
Product sales .................................. $14,351 $14,687 $14,311 $13,858 $12,022
Other revenues ................................ 291 316 460 410 408
Total revenues ............................ 14,642 15,003 14,771 14,268 12,430
Operating expenses(1)(2):
Cost of sales (excludes amortization of certain acquired
intangible assets presented below)(3) ............. 2,091 2,296 2,548 2,095 2,082
Research and development(4) ..................... 2,864 3,030 3,266 3,366 2,314
Selling, general and administrative ................ 3,820 3,789 3,361 3,366 2,790
Amortization of certain acquired intangible assets(5) . . . 294 294 298 370 347
Write-off of acquired in-process research and
development(6) .............................. — — 590 1,231 —
Other charges(7) ................................ 67 380 728 — 49
Net income(13) ..................................... 4,605 4,052 3,078 2,809 3,633
Diluted earnings per share(13) ......................... 4.51 3.77 2.74 2.36 2.90
Cash dividends declared per share .....................—————
At December 31,
Consolidated Balance Sheet Data: 2009 2008 2007 2006 2005
(In millions)
Total assets(2)(13) ................................... $39,629 $36,427 $34,618 $33,711 $29,252
Total debt(8)(9)(10)(11)(13) ............................... 10,601 9,352 10,114 7,725 3,951
Stockholders’ equity(10)(11)(12)(13) ....................... 22,667 20,885 18,512 19,841 20,427
In addition to the following notes, see “Item 7. Management’s Discussion and Analysis of Financial Con-
dition and Results of Operations” and the consolidated financial statements and accompanying notes and
previously filed Form 10-K’s for further information regarding our consolidated results of operations and finan-
cial position for periods reported therein and for known factors that will impact comparability of future results.
(1) In 2009, 2008 and 2007, we incurred restructuring charges of $70 million ($44 million, net of tax),
$148 million ($111 million, net of tax) and $739 million ($576 million, net of tax), respectively, primarily
related to staff separation costs, asset impairment charges, accelerated depreciation (primarily in 2007) and
loss accruals for leases for certain facilities that will not be used in our business.
(2) In 2008, we completed the acquisition of Dompé Biotec, S.p.A (“Dompé”). The purchase price paid was ap-
proximately $168 million, which included the carrying value of our existing 49% ownership in Dompé. In July
2007, we acquired all of the outstanding shares of Ilypsa, Inc. (“Ilypsa”) for a net purchase price of approx-
imately $400 million. Also in July 2007, we acquired all of the outstanding shares of Alantos Pharmaceuticals
Holding, Inc. (“Alantos”) for a net purchase price of approximately $300 million. In October 2006, we ac-
quired all of the outstanding stock of Avidia, Inc. (“Avidia”) for a net purchase price of approximately $275
million. In April 2006, we acquired all of the outstanding common stock of Abgenix for a purchase price of
approximately $2.2 billion. In August 2004, we acquired all of the outstanding common stock of Tularik Inc.
(“Tularik”). Included in operating expenses are acquisition-related charges of $1 million, $58 million, $41 mil-
lion and $12 million, in 2008, 2007, 2006 and 2005, respectively. Acquisition charges, net of tax, for the four
years ended December 31, 2008 were $1 million, $35 million, $26 million and $7 million, respectively.
Acquisition charges consist of, where applicable, the incremental compensation provided to certain employees
under short-term retention plans, including non-cash compensation expense associated with stock options as-
sumed in connection with the acquisition, non-cash expense related to valuing the inventory acquired at fair
value, which is in excess of our manufacturing cost, and external, incremental consulting and systems in-
tegration costs directly associated with integrating the acquired company.
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