CVS 2005 Annual Report Download - page 6

Download and view the complete annual report

Please find page 6 of the 2005 CVS annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 52

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52

AT CVS, ALL SIGNS POINT TO GROWTH
05
04
03
$30.6
$37.0
$26.6
Total Sales
In billions
05
04
03
$21.5
$26.3
$18.3
Pharmacy Sales
In billions
4
The combination of our stores and
our PharmaCare PBM business
offers payors a pharmacy solution
unmatched by any competitor.
On the pages that follow, you can read about our growth opportunities in more detail. Before signing off, though, I want to thank our
148,000 CVS colleagues and our board of directors for their invaluable contributions. We could not have accomplished all we did
without their tremendous dedication. They waged an impressive group effort around the integration of our 2004 acquisition while
never losing focus on our existing business. Above and beyond their official responsibilities, CVS colleagues also took their civic
responsibilities seriously. Their response to the devastation caused by Hurricane Katrina was quick, effective, and passionate, as
they tried to make life easier for the many victims. I couldn’t be more proud of the many contributions made by our team.
I also want to pay tribute to my friend and mentor Stanley Goldstein, who is stepping down from our board in May 2006. Stanley,
along with his late brother Sid and Ralph Hoagland, had the vision to open the first CVS store in Lowell, Massachusetts, back in
1963. During his tenure as President of CVS/pharmacy and then President of Melville Corporation, Stanley helped transform the
retail landscape. After stepping down as Chairman of CVS Corporation in 1999 and right up to the present, he has continued to
provide valuable perspective and sage counsel. It has been my pleasure and privilege to know Stanley and work alongside him for
nearly three decades. He has left a legacy that will help guide our company well into the future.
In closing, the bright opportunities before us mean that all signs point to growth for CVS. We expect to reap multi-year benefits from
the turnaround of our acquired properties. Our retail pharmacies will leverage our leadership in the industry as well as the broader
healthcare trends working in our favor. Furthermore, the combination of our stores and our PharmaCare PBM business offers payors
a pharmacy solution unmatched by any competitor. Finally, our strong cash flow means that more CVS/pharmacy stores in more
markets are on the way. Thank you for your confidence.
Thomas M. Ryan
Chairman of the Board, President, and Chief Executive Officer
March 14, 2006