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McKESSON CORPORATION
3
PART I
Item 1. Business
General
McKesson Corporation (“McKesson,” the “Company,” the “Registrant” or “we” and other similar pronouns), is
a Fortune 15 corporation providing supply, information and care management products and services designed to
reduce costs and improve quality across the healthcare industry.
The Company’s fiscal year begins on April 1 and ends on March 31. Unless otherwise noted, all references in
this document to a particular year shall mean the Company’s fiscal year.
Our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and
amendments to those reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of
1934, as amended (the “Exchange Act,”) are available free of charge on our Web site (www.mckesson.com under
the “Investors – SEC Filings” caption) as soon as reasonably practicable after we electronically file such material
with, or furnish it to, the Securities and Exchange Commission (“SEC” or the “Commission”). The content on any
Web site referred to in this Annual Report on Form 10-K is not incorporated by reference into this report, unless
expressly noted otherwise.
Business Segments
We operate in two segments. The McKesson Distribution Solutions segment distributes ethical and proprietary
drugs, medical-surgical supplies and equipment, and health and beauty care products throughout North America.
This segment also provides specialty pharmaceutical solutions for biotech and pharmaceutical manufacturers, sells
pharmacy software and provides consulting, outsourcing and other services. This segment includes a 49% interest
in Nadro, S.A. de C.V. (“Nadro”), one of the leading pharmaceutical distributors in Mexico and a 39% interest in
Parata Systems, LLC (“Parata”), which sells automated pharmacy and supply management systems and services to
retail and institutional outpatient pharmacies.
The McKesson Technology Solutions segment delivers enterprise-wide clinical, patient care, financial, supply
chain, and strategic management software solutions, pharmacy automation for hospitals, as well as connectivity,
outsourcing and other services. Our Payor group of businesses, which includes our InterQual®, clinical auditing
and compliance and medical management software businesses and our care management programs, are also included
in this segment. The segment’s customers include hospitals, physicians, homecare providers, retail pharmacies and
payors from North America, the United Kingdom, other European countries and Asia Pacific.
Net revenues for our segments for the last three years were as follows:
(Dollars in billions) 2009 2008 2007
Distribution Solutions $ 103.6 97% $ 98.7 97% $ 90.7 98%
Technology Solutions 3.0 3 3.0 3 2.3 2
Total $ 106.6 100% $ 101.7 100% $ 93.0 100%
Distribution Solutions
McKesson Distribution Solutions consists of the following businesses: U.S. Pharmaceutical Distribution,
McKesson Canada, Medical-Surgical Distribution, McKesson Pharmacy Systems and Automation and McKesson
Specialty Care Solutions. This segment also includes our 49% interest in Nadro and 39% interest in Parata.