CVS 2012 Annual Report Download - page 25

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CVS CAREMARK 2012 ANNUAL REPORT
23
Our Pharmacy Services Segment generates net revenues primarily by contracting with clients to provide prescription
drugs to plan members. Prescription drugs are dispensed by our mail order pharmacies, specialty pharmacies and national
network of retail pharmacies. Net revenues are also generated by providing additional services to clients, including admin-
istrative services such as claims processing and formulary management, as well as health care-related services such as
disease management.
The Pharmacy Services Segment operates under the CVS Caremark® Pharmacy Services, Caremark®, CVS Caremark®,
CarePlus CVS/pharmacy®, RxAmerica® and Accordant® names. As of December 31, 2012, the Pharmacy Services Segment
operated 31 retail specialty pharmacy stores, 12 specialty mail order pharmacies and five mail service pharmacies located in
22 states, Puerto Rico and the District of Columbia.
Overview of Our Retail Pharmacy Segment
Our Retail Pharmacy Segment sells prescription drugs and a wide assortment of general merchandise, including over-the-
counter drugs, beauty products and cosmetics, photo finishing, seasonal merchandise, greeting cards and convenience
foods through our CVS/pharmacy® and Longs Drugs® retail stores and online through CVS.com®. Our Retail Pharmacy
Segment derives the majority of its revenues through the sale of prescription drugs, which are dispensed by our more than
26,000 retail pharmacists. The role of our retail pharmacists is shifting from primarily dispensing prescriptions to also
providing services, including flu vaccinations as well as face-to-face patient counseling with respect to adherence to drug
therapies, closing gaps in care, and more cost-effective drug therapies. Our integrated pharmacy services model enables
us to enhance access to care while helping to lower overall health care costs and improve health outcomes.
Our Retail Pharmacy Segment also provides health care services through our MinuteClinic® health care clinics. MinuteClinics
are staffed by nurse practitioners and physician assistants who utilize nationally recognized protocols to diagnose and treat
minor health conditions, perform health screenings, monitor chronic conditions, and deliver vaccinations. We believe our
clinics provide quality services that are quick, affordable and convenient.
Our proprietary loyalty card program, ExtraCare®, has approximately 70 million active cardholders, making it one of the
largest and most successful retail loyalty card programs in the country.
As of December 31, 2012, our Retail Pharmacy Segment included 7,458 retail drugstores (of which 7,402 operated a
pharmacy) located in 42 states, the District of Columbia, and Puerto Rico operating primarily under the CVS/pharmacy®
or Longs Drugs® names, 19 onsite pharmacies and 640 retail health care clinics operating under the MinuteClinic® name
(of which 633 were located in CVS/pharmacy stores), and our online retail website, CVS.com®.