Amgen 2015 Annual Report Download - page 30

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Mr. David A. Piacquad, age 59, became Senior Vice President, Business Development in March 2014. Mr. Piacquad joined
the Company in June 2010. From June 2010 to January 2014, Mr. Piacquad served as Vice President, Strategy and Corporate
Development. From January 2014 to March 2014, Mr. Piacquad served as Vice President, Business Development. Prior to joining
the Company, from December 2009 to June 2010, Mr. Piacquad was Principal of David A. Piacquad Consulting LLC. From March
2006 to December 2009, Mr. Piacquad served as Senior Vice President, Business Development and Licensing for Schering-Plough
Corporation. Prior to Schering-Plough, Mr. Piacquad served in a series of leadership roles in finance and business development
at J&J, with his last position being Vice President, Ventures and Business Development.
Dr. Stuart A. Tross, age 49, became Senior Vice President, Human Resources in October 2013. Dr. Tross joined the Company
in April 2006 as Vice President, Human Resources. Prior to joining Amgen, from November 1998 to April 2006, Dr. Tross served
in a series of roles for BMS, with his last position being Vice President and Global Head of Human Resources of Mead Johnson
Nutrition. Prior to joining BMS, Dr. Tross was a management consultant for Towers Perrin.
Geographic Area Financial Information
For financial information concerning the geographic areas in which we operate, see Part IV—Note 19, Segment information
—Geographic information, to the Consolidated Financial Statements.
Investor Information
Financial and other information about us is available on our website at www.amgen.com. We make available on our website,
free of charge, copies of our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, current reports on Form 8-K and
amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Exchange Act as soon as reasonably
practicable after we electronically file such material with, or furnish it to, the U.S. Securities and Exchange Commission (SEC).
In addition, we have previously filed registration statements and other documents with the SEC. Any document we file may be
inspected, without charge, at the SEC’s public reference room at 100 F Street NE, Washington, DC 20549, or at the SEC’s internet
address at www.sec.gov. These website addresses are not intended to function as hyperlinks, and the information contained in our
website and in the SEC’s website is not intended to be a part of this filing. Information related to the operation of the SEC’s public
reference room may be obtained by calling the SEC at 800-SEC-0330.
Item 1A. RISK FACTORS
This report and other documents we file with the SEC contain forward-looking statements that are based on current
expectations, estimates, forecasts and projections about us, our future performance, our business, our beliefs and our management’s
assumptions. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions
that are difficult to predict. You should carefully consider the risks and uncertainties facing our business. The risks described below
are not the only ones facing us. Our business is also subject to the risks that affect many other companies, such as employment
relations, general economic conditions, geopolitical events and international operations. Further, additional risks not currently
known to us or that we currently believe are immaterial may in the future materially and adversely affect our business, operations,
liquidity and stock price.
Our sales depend on coverage and reimbursement from third-party payers, and pricing and reimbursement pressures may
affect our profitability.
Sales of our principal products are dependent on the availability and extent of coverage and reimbursement from third-party
payers, including government healthcare programs and private insurance plans. Governments and private payers continue to pursue
aggressive initiatives to contain costs and manage drug utilization and are increasingly focused on the effectiveness, benefits and
costs of similar treatments, which could result in lower reimbursement rates for our products or narrower populations for whom
our products will be reimbursed by payers. Public scrutiny of the price of drugs and other healthcare costs is increasing and more
control over pricing could hurt our ability to price our products based upon their value.
A substantial portion of our U.S. business relies on reimbursement from the U.S. federal government healthcare programs
and private insurance plans regulated by the U.S. federal government. (See Item 1. Business—Reimbursement.) Changes to U.S.
federal reimbursement policy may come through legislative actions such as the ACA or as a result of regulations implemented by
the Centers for Medicare & Medicaid Services (CMS), the federal agency responsible for administering Medicare, Medicaid and
the Health Insurance Marketplaces. CMS has substantial power to quickly implement policy changes that can significantly affect
how our products are covered and reimbursed. Legislative or regulatory changes that decrease the coverage or reimbursement
available for our products, require that we pay increased rebates, limit our ability to offer patient co-pay payment assistance or
limit the pricing of pharmaceutical products could have a material adverse effect on our business and results of operations. Private
payers, including healthcare insurers, PBMs and others, increasingly seek price discounts or rebates in connection with the
placement of our products on their formularies or those they manage. Consolidation in the health insurance industry has resulted