Amgen 2010 Annual Report Download - page 97

Financing
In December 2009, the Board of Directors authorized us to repurchase up to an additional $5.0 billion of common
stock of which a total of $2.2 billion remains available as of December 31, 2010. The manner of purchases, the amount
we spend and the number of shares repurchased will vary based on a variety of factors, including stock price, blackout
periods in which we are restricted from repurchasing shares and the impact of repurchases on our credit rating, and
may include private block purchases as well as market transactions. A summary of our repurchase activity under our
stock repurchase program for the years ended December 31, 2010, 2009 and 2008 is as follows (in millions):
Shares Dollars Shares Dollars Shares Dollars
2010 2009 2008
First quarter ................................... 29.1 $1,684 37.5 $1,997 — $ —
Second quarter ................................. 10.3 616 — — 32.7 1,549
(1)
Third quarter................................... 6.6 364 — — — 19
(1)
Fourth quarter .................................. 20.5 1,136 21.7 1,211 12.6 700
Total ....................................... 66.5 $3,800 59.2 $3,208 45.3 $2,268
(1) The total cost of shares repurchased during the three months ended June 30, 2008 excludes approximately
$19 million paid in July 2008 in connection with the final settlement of an accelerated share repurchase
program entered into in May 2008.
As discussed above, we issued debt securities in various offerings that resulted in net proceeds of $2.5 billion,
$2.0 billion and $1.0 billion in 2010, 2009 and 2008, respectively. In addition, we repaid $1.0 billion and
$2.0 billion of notes in 2009 and 2008, respectively.
We receive cash from the exercise of employee stock options. Employee stock option exercises provided
$80 million, $171 million and $155 million of cash in 2010, 2009 and 2008, respectively. Proceeds from the exercise
of employee stock options will vary from period to period based upon, among other factors, fluctuations in the
market value of our stock relative to the exercise price of such options.
Off-Balance Sheet Arrangements
We do not have any off-balance sheet arrangements that are material or reasonably likely to become material to
our consolidated financial position or consolidated results of operations.
Contractual Obligations
Contractual obligations represent future cash commitments and liabilities under agreements with third parties,
and exclude contingent liabilities for which we cannot reasonably predict future payment. Additionally, the
expected timing of payment of the obligations presented below is estimated based on current information. Timing of
payments and actual amounts paid may be different depending on the timing of receipt of goods or services or
changes to agreed-upon terms or amounts for some obligations.
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