CVS 2012 Annual Report Download - page 3

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CVS CAREMARK 2012 ANNUAL REPORT
1
“ We are well-positioned
to thrive in this changing
environment and to
achieve our purpose of
helping people on their
path to better health.”
Health care delivery in the United States is going through a period of rapid
change. This is being driven primarily by the ongoing implementation of the
Affordable Care Act, along with an aging population, a growing shortage of
primary care physicians, rising prevalence of chronic disease, and shifts in
consumer and patient behavior. Some 30 million Americans are expected to
gain health care coverage in the coming years as a result of the new legislation
and demographic shifts. Despite health reform legislation, health care costs
are projected to continue to rise at an unsustainable pace, putting the nation’s
long-term fiscal health at risk.
We are well-positioned to thrive in this changing environment and to achieve
our purpose of helping people on their path to better health. We are a pharmacy
innovation company, and with our unmatched breadth of assets we are bringing
innovative solutions to the marketplace. These solutions enhance access to
care, lower costs, and improve health outcomes – and they are sought after by
providers, payors, and patients alike.
Our PBM is a leader in clinical and specialty pharmacy programs and has strong
positions in the growing Medicare Part D and Managed Medicaid markets. Our
retail presence – 7,400 stores and counting – allows us to engage directly with
five million customers daily. In addition, MinuteClinic®, the nation’s largest retail
medical clinic system, continues to enter new markets, expand services, and
increase its growing number of affiliations with leading health care systems.
Our unmatched business model enables us to offer products and services
that are difficult for our standalone competitors to replicate. For example, we
have developed solutions such as Pharmacy Advisor® to address gaps in care
and medication non-adherence that no other pharmacy company presently
offers. Our capabilities in this area are critical because patients who do not
Dear Fellow Shareholders:
LARRY J. MERLO
President and Chief Executive Officer