Pfizer 2008 Annual Report Download

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Appendix A
2008 Financial Report

Table of contents

  • Page 1
    Appendix A 2008 Financial Report

  • Page 2
    [THIS PAGE INTENTIONALLY LEFT BLANK]

  • Page 3
    ..., and can form the basis for an overall improvement in healthcare systems and their related costs. Our revenues are derived from the sale of our products, as well as through alliance agreements, under which we co-promote products discovered by other companies. Our Pharmaceutical segment represented...

  • Page 4
    ... and Requests for Information. O Certain Product Litigation - Celebrex and Bextra In October 2008, we reached agreements in principle to resolve the pending U.S. consumer fraud purported class action cases and more than 90% of the known U.S. personal injury claims involving Celebrex and...

  • Page 5
    ... exchange rates in effect during 2008, by the end of 2011, compared with our 2008 adjusted total costs. We plan to reinvest approximately $1 billion of these savings in the business, resulting in an expected $2 billion net decrease. Reductions will span sales, manufacturing, research and development...

  • Page 6
    ...Key Opportunities and Challenges Despite the challenging financial markets, Pfizer maintains a strong financial position. We have a strong balance sheet and excellent liquidity that provides us with financial flexibility. Our long-term debt is rated high quality and investment grade by both Standard...

  • Page 7
    ... institutions and research sites for clinical research. We plan to publish our first annual update on our website in early 2010. Intellectual Property Rights Our business model is highly dependent on intellectual property rights, primarily in the form of government-granted patent rights, and on...

  • Page 8
    ... property rights among countries worldwide. Organizations such as the World Trade Organization (WTO), under the WTO Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS), have been instrumental in educating governments about the long-term benefits of strong patent laws...

  • Page 9
    ...help redefine medical practice. As of December 31, 2008, our R&D pipeline includes 106 projects in development: 84 new molecular entities and 22 product-line extensions. They span multiple therapeutic areas, and we are leveraging our status as the industry's partner of choice to expand our licensing...

  • Page 10
    ... Pfizer. Stepping up our focus and investments in emerging markets by developing strategies in areas, especially Eastern Europe and Asia, where changing demographics and economics will drive growing demand for high-quality healthcare and offer the best potential for our products. Worldwide emphasis...

  • Page 11
    ... employees, compared to 2003. As part of our global strategic supply network, we currently expect to increase outsourced manufacturing of our products from approximately 17% of our products, on a cost basis, to approximately 30% over the next two to three years. Worldwide Pharmaceutical Operations...

  • Page 12
    ... enhancing our ability to invest in innovative technology opportunities to further propel our growth. Finance- • Further Capitalizing on Shared Service Centers-To achieve cost savings, we have reduced operating costs and improved service levels by standardizing, regionalizing and/or outsourcing...

  • Page 13
    ... into a research collaboration and license agreement with Taisho Pharmaceutical Co., Ltd. (Taisho) to acquire worldwide rights outside of Japan for TS-032, a metabolic glutamate receptor agonist that may offer a new treatment option for central nervous system disorders, and is currently in pre...

  • Page 14
    ... service agreements that will no longer occur after the full transfer of activities to the new owner: for 2008, Revenues of $172 million; Cost of sales of $162 million; and Selling, informational and administrative expenses of $3 million and for 2007, Revenues of $219 million; Cost of sales...

  • Page 15
    ... savings in the business, resulting in an expected $2 billion net decrease compared to our 2008 adjusted total costs. (For an understanding of Adjusted income, see the "Adjusted Income" section of this Financial Review.) As referenced in this section: (i) "current exchange rates" is defined as rates...

  • Page 16
    ... to the customer. At the time of sale, we also record estimates for a variety of sales deductions, such as rebates, discounts and incentives, and product returns. When we cannot reasonably estimate the amount of future product returns, we record revenues when the risk of product return has been...

  • Page 17
    ...promotion partners ship the related product and title passes to their customer. Alliance revenues are primarily based upon a percentage of our co-promotion partners' net sales. Expenses for selling and marketing these products are included in Selling, informational and administrative expenses. Long...

  • Page 18
    ... which represents a 0.1 percentage-point decrease from our December 31, 2007, rate of 6.5%. The discount rate for our U.S. defined benefit plans is based on a bond model constructed from a portfolio of high quality corporate bonds rated AA or better for which the timing and 16 2008 Financial Report

  • Page 19
    ...pension plans' projected benefit obligations as of December 31, 2008, of approximately $97 million. Analysis of the Consolidated Statement of Income (MILLIONS OF DOLLARS) YEAR ENDED DECEMBER 31, 2008 2007 2006 % CHANGE 08/07 07/06 Revenues Cost of sales % of revenues SI&A expenses % of revenues...

  • Page 20
    ... with managed care customers, including health maintenance organizations and pharmacy benefit managers, who receive rebates based on the achievement of contracted performance terms for products. Rebates are productspecific and, therefore, for any given year are impacted by the mix of products sold...

  • Page 21
    Financial Review Pfizer Inc and Subsidiary Companies Revenues by Business Segment We operate in the following business segments: • Pharmaceutical -The Pharmaceutical segment includes products that prevent and treat cardiovascular and metabolic diseases, central nervous system disorders, ...

  • Page 22
    ... 2009, August 1, 2008, May 2, 2008, January 1, 2008, July 13, 2007 and January 1, 2007, we increased the published prices for certain U.S. pharmaceutical products. These price increases had no material effect on wholesaler inventory levels in comparison to the prior year. 20 2008 Financial Report

  • Page 23
    ...Subsidiary Companies Revenues-Major Pharmaceutical Products Revenue information for several of our major Pharmaceutical products follows: (MILLIONS OF DOLLARS) PRODUCT PRIMARY INDICATIONS YEAR ENDED DECEMBER 31, 2008 2007 2006 % CHANGE 08/07 07/06 Cardiovascular and metabolic diseases: Lipitor...

  • Page 24
    .... See Notes to Consolidated Financial Statements-Note 19. Legal Proceedings and Contingencies for a discussion of recent developments with respect to certain patent litigation relating to Norvasc. • Chantix/Champix, the first new prescription treatment to aid smoking cessation in nearly a decade...

  • Page 25
    ... therapy with new agents. Viagra remains the leading treatment for erectile dysfunction and one of the world's most recognized pharmaceutical brands after more than a decade. Viagra worldwide revenues grew 10% in 2008, compared to 2007. See Notes to Consolidated Financial Statements-Note 19...

  • Page 26
    ...co-promote or license these products for sale in certain countries. Under the co-promotion agreements, these products are marketed and promoted with our alliance partners. We provide funding through cash, staff and other resources to sell, market, promote and further develop these products. Product...

  • Page 27
    ... European Commission grant marketing authorization for Fablyn (lasofoxifene) as a treatment for osteoporosis in post-menopausal women at increased risk of fracture in Europe. Ongoing or planned clinical trials for additional uses and dosage forms for our in-line products include: PRODUCT Celebrex...

  • Page 28
    ...Strategic Initiatives-Strategy and Recent Transactions: Acquisitions, Licensing and Collaborations" section of this Financial Review. Animal Health Revenues of our Animal Health business follow: (MILLIONS OF DOLLARS) 2008 YEAR ENDED DECEMBER 31, 2007 2006 % CHANGE 08/07 07/06 Livestock products...

  • Page 29
    ... activities associated with the sale of our Consumer Healthcare business, completed in December 2006, partially offset by: • savings related to our cost-reduction initiatives. Selling, Informational and Administrative (SI&A) Expenses SI&A expenses decreased 7% in 2008, compared to 2007, which...

  • Page 30
    ... process standardization and the expansion of shared services worldwide. (See Notes to Consolidated Financial Statements-Note 5. Cost-Reduction Initiatives.) The strengthening of the euro and other currencies relative to the dollar, while favorable on Revenues, has had an adverse impact on our total...

  • Page 31
    Financial Review Pfizer Inc and Subsidiary Companies As part of this new cost-reduction initiative, we intend to reduce our total worldwide workforce by approximately 10%. Reductions will span sales, manufacturing, research and development, and administrative organizations. We expect to incur costs...

  • Page 32
    ... We report Adjusted income in order to portray the results of our major operations-the discovery, development, manufacture, marketing and sale of prescription medicines for humans and animals-prior to considering certain income statement elements. We have defined Adjusted income as Net income before...

  • Page 33
    ...using relative total shareholder return. Purchase Accounting Adjustments Adjusted income is calculated prior to considering certain significant purchase-accounting impacts, such as those related to business combinations and net asset acquisitions (see Notes to Consolidated Financial Statements-Note...

  • Page 34
    ...cost-reduction initiatives; charges related to certain sales or disposals of products or facilities that do not qualify as discontinued operations as defined by U.S. GAAP; amounts associated with transition service agreements in support of discontinued operations after sale; certain intangible asset...

  • Page 35
    ...5. Cost-Reduction Initiatives.) Discontinued operations-net of tax is primarily related to our Consumer Healthcare business. (See Notes to Consolidated Financial Statements- Note 3. Discontinued Operations.) Included in Cost of sales ($745 million), Selling, informational and administrative expenses...

  • Page 36
    ... to Consolidated Financial Statements-Note 7. Taxes on Income.) Financial Condition, Liquidity and Capital Resources Net Financial Assets Our net financial asset position as of December 31 follows: (MILLIONS OF DOLLARS) 2008 2007 Financial assets: Cash and cash equivalents Short-term investments...

  • Page 37
    ...develop, use, market, sell and/or offer for sale the product, compounds and intellectual property that we have acquired with respect to products, compounds and/or processes that have been completed. We possess a well-diversified portfolio of hundreds of developed technology rights across therapeutic...

  • Page 38
    ... our liquidity and capital resources as of December 31: (MILLIONS OF DOLLARS, EXCEPT RATIOS AND PER COMMON SHARE DATA) AS OF DECEMBER 31, 2008 2007 Cash and cash equivalents and short-term investments and loans Working capital(a) Ratio of current assets to current liabilities Shareholders' equity...

  • Page 39
    ... that we have entered into a definitive merger agreement under which we will acquire Wyeth in a cash-and-stock transaction. The merger agreement limits our stock purchases to a maximum of $500 million prior to the completion of the transaction without Wyeth's consent. 2008 Financial Report 37

  • Page 40
    ... operating and capital lease obligations. Includes agreements to purchase goods and services that are enforceable and legally binding and include amounts relating to advertising, information technology services, employee benefit administration services, and potential milestone payments deemed...

  • Page 41
    ... are funded from operating cash flows, our financial asset portfolio and short-term commercial paper borrowings and are not restricted by debt covenants. We believe that our profitability and access to financial markets provide sufficient capability for us to pay current and future dividends. New...

  • Page 42
    ... managed care and healthcare cost containment; U.S. legislation or regulatory action affecting, among other things, pharmaceutical product pricing, reimbursement or access, including under Medicaid, Medicare and other publicly funded or subsidized health programs; the importation of prescription...

  • Page 43
    Financial Review Pfizer Inc and Subsidiary Companies Growth in costs and expenses; Changes in our product, segment and geographic mix; Our ability and Wyeth's ability to satisfy the conditions to closing our merger agreement; and Impact of acquisitions, divestitures, restructurings, product ...

  • Page 44
    ...the payment of income taxes in another tax jurisdiction when we conclude that the potential recovery is more likely than not. (See Notes to Consolidated Financial Statements-Note 1B. Significant Accounting Policies: New Accounting Standards and Note 7E. Taxes on Income: Tax Contingencies.) We record...

  • Page 45
    ... preparation of financial statements for external purposes in accordance with generally accepted accounting principles in the United States of America. The Company's internal control over financial reporting includes those policies and procedures that: (i) pertain to the maintenance of records that...

  • Page 46
    ... accounting policies applied by the Company in its financial statements, as well as alternative treatments. Management represented to the Committee that the Company's consolidated financial statements were prepared in accordance with accounting principles generally accepted in the United States...

  • Page 47
    ... of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the...

  • Page 48
    ... accordance with the standards of the Public Company Accounting Oversight Board (United States), the consolidated balance sheets of Pfizer Inc. and Subsidiary Companies as of December 31, 2008 and 2007, and the related consolidated statements of income, shareholders' equity, and cash flows for each...

  • Page 49
    Consolidated Statements of Income Pfizer Inc and Subsidiary Companies (MILLIONS, EXCEPT PER COMMON SHARE DATA) YEAR ENDED DECEMBER 31, 2008 2007 2006 Revenues Costs and expenses: Cost of sales(a) Selling, informational and administrative expenses(a) Research and development expenses(a) ...

  • Page 50
    ...850 Additional paid-in capital Employee benefit trust Treasury stock, shares at cost; 2008-2,117; 2007-2,089 Retained earnings Accumulated other comprehensive income/(expense) Total shareholders' equity Total liabilities and shareholders' equity See Notes to Consolidated Financial Statements, which...

  • Page 51
    ... Balance, January 1, 2006 Comprehensive income: Net income Total other comprehensive income-net of tax Total comprehensive income Adoption of new accounting standard-net of tax Cash dividends declared- common stock preferred stock Stock option transactions Purchases of common stock Employee benefit...

  • Page 52
    ... of effect of businesses acquired and divested: Accounts receivable Inventories Other assets Accounts payable and accrued liabilities Taxes Other liabilities Net cash provided by operating activities Investing Activities Purchases of property, plant and equipment Purchases of short-term investments...

  • Page 53
    ... service costs and credits and net transition amounts within Accumulated other comprehensive income/(expense), net of tax. To understand the cumulative effect of this accounting change, see Note 13A. Pension and Postretirement Benefit Plans and Defined Contribution Plans: Adoption of New Accounting...

  • Page 54
    ...effect at the balance sheet date, with translation adjustments recorded in Other (income)/deductions-net, and nonmonetary items at historical rates. G. Revenues Revenue Recognition-We record revenues from product sales when the goods are shipped and title passes to the customer. At the time of sale...

  • Page 55
    ... to Consolidated Financial Statements Pfizer Inc and Subsidiary Companies we use an estimated allocation factor (based on historical payments) and total revenues by country against our actual invoiced sales to project the expected level of reimbursement. We obtain third-party information that helps...

  • Page 56
    ... with the employee or others (such as governmental programs). Plan assets are measured at fair value. Net periodic benefit costs are recognized, as required, into Cost of sales, Selling, informational and administrative and Research and development expenses, as appropriate. 54 2008 Financial Report

  • Page 57
    ... vesting terms into Cost of sales, Selling, informational and administrative expenses and Research and development expenses, as appropriate. 2. Acquisitions We are committed to capitalizing on new growth opportunities, a strategy that can include acquisitions of companies, products or technologies...

  • Page 58
    ...circumstances of the service, location and/or business need. The agreements can include the following: manufacturing and product supply, logistics, customer service, support of financial processes, procurement, human resources, facilities management, data collection and information services. Most of...

  • Page 59
    ... Financial Statements Pfizer Inc and Subsidiary Companies B. Certain Product Litigation-Celebrex and Bextra In October 2008, we reached agreements in principle to resolve the pending U.S. consumer fraud purported class action cases and more than 90% of the known U.S. personal injury claims...

  • Page 60
    Notes to Consolidated Financial Statements Pfizer Inc and Subsidiary Companies From the beginning of the cost-reduction and transformation initiatives in 2005 through December 31, 2008, the restructuring charges primarily relate to our supply network transformation efforts and the restructuring of ...

  • Page 61
    ... that reduced our tax expense by $426 million. This tax benefit is a result of the significant initial investment in Esperion in 2004, primarily reported as an income statement charge for in-process research and development at acquisition date. 2008 also reflects the impact of the third-quarter...

  • Page 62
    ...: (MILLIONS OF DOLLARS) 2008 DEFERRED TAX ASSETS (LIABILITIES) 2007 DEFERRED TAX ASSETS (LIABILITIES) Prepaid/deferred items Intangibles Property, plant and equipment Employee benefits Restructurings and other charges Net operating loss/credit carryforwards Unremitted earnings State and local tax...

  • Page 63
    ...IRS Compliance Assurance Process, a real-time audit process. All other tax years in the U.S. for Pfizer Inc. are closed under the statute of limitations. With respect to Pharmacia Corporation, the IRS is currently conducting an audit for the year 2003 through the date of merger with Pfizer (April 16...

  • Page 64
    ... a tax return because of the uncertainties described above. These unrecognized tax benefits relate primarily to issues common among multinational corporations. Substantially all of these unrecognized tax benefits, if recognized, would impact our effective income tax rate. Tax assets associated with...

  • Page 65
    ... from the sale of businesses. Includes pre-tax amounts for Actuarial losses of $4.3 billion and Prior service costs/(credits) and other of $27 million. See also Note 13A. Pension and Postretirement Benefit Plans and Defined Contribution Plans: Adoption of New Accounting Standard. Income taxes are...

  • Page 66
    ...in the following captions in the consolidated balance sheets as of December 31: (MILLIONS OF DOLLARS) 2008 2007 Cash and cash equivalents Short-term investments Long-term investments and loans Total investments $ 1,980 21,609 9,728 $33,317 $ 2,467 22,069 3,145 $27,681 64 2008 Financial Report

  • Page 67
    ...to Consolidated Financial Statements Pfizer Inc and Subsidiary Companies The contractual maturities of the available-for-sale and held-to-maturity debt securities as of December 31, 2008, follow: YEARS OVER 1 OVER 5 TO 5 TO 10 OVER 10 (MILLIONS OF DOLLARS) WITHIN 1 TOTAL Available-for-sale debt...

  • Page 68
    ... and net investments in foreign affiliates is exposed to changes in foreign exchange rates. We seek to manage our foreign exchange risk in part through operational means, including managing expected same currency revenues in relation to same currency costs and same currency assets in relation to...

  • Page 69
    ... to interest rate risk. We invest, loan and borrow primarily on a short-term or variable-rate basis. From time to time, depending on market conditions, we will fix interest rates either through entering into fixed-rate investments and borrowings or through the use of derivative financial instruments...

  • Page 70
    ...(assets and liabilities)-we use a matrix-pricing model using observable market quotes and credit ratings. Held-to-maturity debt securities-we use a matrix-pricing model using observable market quotes and credit ratings. Short-term and long-term loans-we use discounted future cash flows using current...

  • Page 71
    ...obligations are reported in Short-term borrowings, including current portion of long-term debt. 10. Inventories The components of inventories as of December 31 follow: (MILLIONS OF DOLLARS) 2008 2007 Finished goods Work-in-process Raw materials and supplies Total inventories(a) (a) $2,024 1,527...

  • Page 72
    ...develop, use, market, sell and/or offer for sale the product, compounds and intellectual property that we have acquired with respect to products, compounds and/or processes that have been completed. We possess a well-diversified portfolio of hundreds of developed technology rights across therapeutic...

  • Page 73
    .... During 2006, pursuant to the divestiture of our Consumer Healthcare business, certain defined benefit obligations and related plan assets, if applicable, were transferred to the purchaser of that business. A. Adoption of New Accounting Standard As of December 31, 2006, we adopted the provisions...

  • Page 74
    ... market conditions. The 2008 expected rates of return for these plans reflect our long-term outlook for a globally diversified portfolio, which is influenced by a combination of return expectations for individual asset classes, actual historical experience and our diversified investment strategy...

  • Page 75
    ...on total service and interest cost components Effect on postretirement benefit obligation $ 17 135 $ (14) (115) D. Obligations and Funded Status The following table presents an analysis of the changes in 2008 and 2007 in the benefit obligations, the plan assets and the accounting funded status of...

  • Page 76
    ...and other European plans, somewhat offset by the strengthening of the U.S. dollar against the British pound and euro. Outside the U.S., in general, we fund our defined benefit plans to the extent that tax or other incentives exist and we have accrued liabilities on our consolidated balance sheets to...

  • Page 77
    ...our common stock in 2008 and approximately $12 million in dividends on shares of our common stock in 2007. F. Cash Flows It is our practice to fund amounts for our qualified pension plans that are at least sufficient to meet the minimum requirements set forth in applicable employee benefit laws and...

  • Page 78
    ... Inc Employee Benefit Trust (EBT) was established in 1999 to fund our employee benefit plans through the use of its holdings of Pfizer Inc stock. Our consolidated balance sheets reflect the fair value of the shares owned by the EBT as a reduction of Shareholders' equity. 76 2008 Financial Report

  • Page 79
    ... value at the date of grant in the consolidated income statement. These fair values are generally amortized on an even basis over the vesting term into Cost of sales, Selling, informational and administrative expenses and Research and development expenses, as appropriate. 2008 Financial Report 77

  • Page 80
    ...-Merton option-pricing model, which incorporates a number of valuation assumptions noted in the following table, shown at their weightedaverage values: YEAR ENDED DECEMBER 31, 2008 2007 2006 Expected dividend yield(a) Risk-free interest rate(b) Expected stock price volatility(c) Expected term...

  • Page 81
    ... in 2008 and 2007, in virtually all instances, the units vest after three years of continuous service from the grant date and the fair values are amortized on an even basis over the vesting term into Cost of sales, Selling, informational and administrative expenses and Research and development...

  • Page 82
    ... Consolidated Financial Statements Pfizer Inc and Subsidiary Companies sales, Selling, informational and administrative expenses and Research and development expenses, as appropriate. The PCSA grants awarded prior to 2006 are accounted for using the intrinsic value method in the consolidated income...

  • Page 83
    ... longer a risk of forfeiture. SARs are accounted for at fair value at the date of grant in the consolidated income statement and generally amortized on an even basis over the vesting term into Cost of sales, Selling, informational and administrative expenses and Research and development expenses, as...

  • Page 84
    ...) on sales of discontinued operations-net of tax Discontinued operations-net of tax Net income available to common shareholders EPS Denominator-Diluted: Weighted-average number of common shares outstanding Common-share equivalents-stock options, stock issuable under employee compensation plans and...

  • Page 85
    ... of operations. Among the principal matters pending to which we are a party are the following: A. Patent Matters We are involved in a number of suits relating to our patents, most of which involve claims by generic drug manufacturers that patents covering our products, processes or dosage forms are...

  • Page 86
    ... to Consolidated Financial Statements Pfizer Inc and Subsidiary Companies Norvasc (amlodipine) Certain generic manufacturers are seeking to market their own generic amlodipine products in Canada and are challenging our Norvasc patent in that country, which expires in August 2010. In April 2008, the...

  • Page 87
    ... sold small amounts of products containing asbestos until the early 1970s. There also is a small number of lawsuits pending in various federal and state courts seeking damages for alleged exposure to asbestos in facilities owned or formerly owned by Pfizer or its subsidiaries. 2008 Financial Report...

  • Page 88
    ... Financial Statements Pfizer Inc and Subsidiary Companies Celebrex and Bextra • Product Liability and Consumer Actions Product liability suits, including purported class actions, were filed against Pfizer in various U.S. federal and state courts and in certain other countries alleging personal...

  • Page 89
    ... suits allege a variety of personal injuries, including breast cancer, stroke and heart disease. Certain co-defendants in some of these actions have asserted indemnification rights against Pfizer and its affiliated companies. The cases against Pfizer and its affiliated companies involve the products...

  • Page 90
    ... part of the labeled indications for the product. In addition, in an amended complaint, plaintiffs allege that, primarily as the result of the Company's purported failure to fully disclose the risks of alleged side-effects of Lipitor, the prices that plaintiffs paid for Lipitor were higher than they...

  • Page 91
    ...Pfizer did not report to the states their best price for certain products under the Medicaid program. In addition, Pharmacia, Pfizer and other pharmaceutical manufacturers are defendants in a number of purported class action suits in various federal and state courts brought by employee benefit plans...

  • Page 92
    ...Corporate/Other only. This methodology is utilized by management to evaluate our businesses. Each segment is managed separately and offers different products requiring different marketing and distribution strategies. We sell our products primarily to customers in the wholesale sector. In 2008, sales...

  • Page 93
    ... to Consolidated Financial Statements Pfizer Inc and Subsidiary Companies The following tables present segment, geographic and revenue information: Segment (MILLIONS OF DOLLARS) FOR/AS OF THE YEAR ENDED DECEMBER 31, 2008 2007 2006 Revenues Pharmaceutical Animal Health Corporate/Other(a) Total...

  • Page 94
    ... East. Long-lived assets include identifiable intangible assets (excluding goodwill) and property, plant and equipment. Revenues by Therapeutic Area (MILLIONS OF DOLLARS) YEAR ENDED DECEMBER 31, 2008 2007 2006 Pharmaceutical Cardiovascular and metabolic diseases Central nervous system disorders...

  • Page 95
    ... Product Returns.) Costs and expenses includes a charge of $2.3 billion recorded in the fourth quarter of 2008 resulting from an agreement in principle with the U.S. Department of Justice to resolve the previously reported investigation regarding allegations of past off-label promotional practices...

  • Page 96
    Quarterly Consolidated Financial Data (Unaudited) Pfizer Inc and Subsidiary Companies (MILLIONS OF DOLLARS, EXCEPT PER COMMON SHARE DATA) FIRST QUARTER SECOND THIRD FOURTH 2007 Revenues Costs and expenses Acquisition-related in-process research and development charges Restructuring charges and ...

  • Page 97
    ...-net of tax(d) Net income Effective tax rate-continuing operations Depreciation and amortization(e) Property, plant and equipment additions(e) Cash dividends paid Working capital(f) Property, plant and equipment, less accumulated depreciation Total assets(f) Long-term debt Long-term capital...

  • Page 98
    ... a non-cash pre-tax charge of $47 million ($30 million, net of tax). Includes discontinued operations, (see Notes to Consolidated Financial Statements-Note 20. Segment, Geographic and Revenue Information.) For 2005 through 2003, includes assets held for sale of our Consumer Healthcare business, and...

  • Page 99

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