CVS 2011 Annual Report Download - page 5

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3
2011 was a year of
great accomplishment
for our company. We
set challenging – yet
achievable – goals and
delivered on our promises.
We executed successfully
on a number of initiatives
across the enterprise,
reporting solid results in
a difficult environment.
Our retail business continued to experience solid
top- and bottom-line growth, and we achieved
steady share gains. Our pharmacy benefit manage-
ment, or PBM, business enjoyed strong revenue
growth, another very successful selling season for
2012, and significant progress on a number of
key initiatives. MinuteClinic® continued expansion
of its footprint and services and reached break-
even profitability at the end of the year, as we
expected. And our unique integrated offerings are
evolving and gaining significant traction in the mar-
ketplace. As we close the chapter on 2011 and
look forward to what lies ahead, we are optimistic
that we can deliver even better results in 2012.
The current health care landscape presents a
number of challenges that we see as opportunities.
Among them, overall health care costs will continue
to increase, a scenario that will be intensified by an
aging population. Exacerbating this problem is an
insufficient focus on lower-cost solutions such as
preventive care and prescription drug adherence.
Consumers also are taking on greater account-
ability for their health care, as direct-to-consumer
markets grow and employers shift more and more
costs onto their employees. Moreover, the current
shortage of primary care doctors, combined with
a growing demand, will result in a major physician
shortage. Our suite of assets is very well aligned to
address and bring solutions to these issues.
We’ve integrated our industry-leading PBM busi-
ness, retail pharmacies, and retail health clinics
with the following goals in mind:
• To provide greater access, convenience, and
choice to pharmacy care;
DEAR FELLOW SHAREHOLDERS:
LARRY J. MERLO
President and Chief Executive Officer