Amgen 2000 Annual Report Download - page 7

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front in next year’s annual report. Another area in which we
need to make greater progress is diversity. We have made
some progress—for example, we now have eight women vice
presidents, up from three a year ago. But we are redoubling
our efforts and taking a more broad-based and energetic
approach to fully tap the potential of the widest range of
possible contributors to Amgen’s work. We are committed to
making advances in this area.
Our fifth goal was to be successful in the Aventis/TKT
erythropoietin patent litigation. We won in the U.S. District
Court thanks to a magnificent effort by our legal team, led by
General Counsel Steve Odre and Vice President of Intellectual
Property Stuart Watt. This successful defense of our
intellectual property was important, not only for Amgen but for
our entire industry.
Goal six was to deliver on our short-term financial prom-
ises and, at the same time, invest wisely for the future. Amgen
has an outstanding record in providing value to shareholders,
and we are working hard to continue to deliver. We achieved
our profit targets in 2000 even though U.S. NEUPOGEN®sales
were somewhat short of expectations. NEUPOGEN®is used in
support of patients undergoing chemotherapy, and some
changes in chemotherapy usage patterns have resulted in less
NEUPOGEN®usage in those settings. However, overall, more
patients than ever are receiving NEUPOGEN®, and we expect
NEUPOGEN®sales to grow this year.
As I write this letter today, Amgen’s stock price has grown
by 12 percent in the last twelve months while stocks in
general have performed worse, with the S&P 500 declining by
13 percent. As we now prepare to launch ARANESP™, I recall
the historic day in December 1998 when arbitrators affirmed
Amgen’s exclusive rights to ARANESP™. Since that day,
Amgen’s stock price has increased by 195 percent versus the
performance of the S&P 500, which increased by 1 percent.
Looking forward, sales and earnings are expected to accel-
erate beginning in 2001, fueled by new product launches. By
2005, five or more new products may be launched that could
drive product sales to the $8 to 9 billion range.
Don Rice and Paul Reason recently joined our board,
bringing a wealth of industry and government experience. At
the same time, Gordon Binder, our CEO from October 1988 to
May 2000, has retired and left our board. Gordon’s dedication
to the company and our purpose was unmatched, and all the
people at Amgen deeply appreciate his tireless efforts and the
extraordinary results Amgen achieved under his leadership.
Kevin W. Sharer
Chairman,
Chief Executive Officer,
and President
March 13, 2001
Accomplishments
•Received favorable judgement in patent litigation relating to erythropoietin
•Completed a phase 3 clinical trial in Europe of ARANESP™(darbepoetin alfa) in patients with solid tumors and anemia
•Completed phase 3 clinical trials for abarelix-depot in patients with prostate cancer, and the license application was submitted to the FDA
•Successfully completed phase 3 clinical trials of SD/01 in patients with cancer
•Submitted the license application in Europe for IL-1ra in patients with rheumatoid arthritis
•In-licensed epratuzumab, a monoclonal antibody that may be a potential treatment for patients with non-Hodgkin’s lymphoma
•Enhanced our small molecule capabilities through the acquisition of Kinetix
•Sales and Marketing teams prepared for the launch of ARANESP™and other late-stage product candidates
•Received FDA licensing of our Longmont, Colorado, manufacturing facility