CVS 2008 Annual Report Download - page 10
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Please find page 10 of the 2008 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.Dear Shareholder:
Today, we are the nation’s largest
pharmacy health care company. With
U.S. health care costs expected to
reach more than $4 trillion annually
over the next decade, we are begin-
ning to deliver healthy outcomes for
patients and driving down costs in
ways that no other company in our
industry can.
Here are just a few of the year’s many
accomplishments:
• CVS Caremark generated record
revenue and earnings, achieved
industry-leading same-store sales
growth, and continued to gain share
across our businesses.
• We introduced our Proactive
Pharmacy Care offerings, which
are designed to make pharmacy
care more accessible and lower
overall health care costs for
patients and payors.
• Our PBM added more than
90 new clients during our latest
selling season, which will gener-
ate approximately $7 billion in
revenue for us in 2009.
• We completed the acquisition of
Longs Drug Stores and its PBM,
RxAmerica®, in October 2008 and
also opened 317 new or relocated
CVS/pharmacy stores.
Although we are not immune
to the recession, we continued
to enjoy strong growth in 2008.
Total revenues rose 14.6 percent
to $87.5 billion. Driven in part
by record operating margins, net
earnings increased 21.8 percent.
A number of factors fueled our
margin gains, with continued
growth in generic drugs leading
the way.
Along with our strong free cash fl ow
generation, I’m happy to report that
we faced virtually none of the liquidity
issues that sent shockwaves across
so much of the business landscape
CVS Caremark Corporation posted strong results over the past year, and we moved swiftly
to capitalize on the competitive advantage created through the landmark 2007 merger of
CVS and Caremark.
Tom Ryan | Chairman of the Board, President & CEO
6 CVS CAREMARK