Johnson and Johnson 2008 Annual Report Download - page 6

JOHNSON & JOHNSON 2008 ANNUAL REPORT4
OTC/Nutritionals business, led by®;
skin care brands, led by ®, 
® and ®; ®
antiseptic mouth rinse; and international
sales of baby care products. ™, the
leading moisturizer in China, also contrib-
uted to this growth.
Our Consumer business continues a
history of strong revenue and operating
profit growth. We maintain solid leadership
posi tions, with the No. 1 or No. 2 positions
in nine of the 15 major categories in which
we compete.
Our focus on superior science dieren-
tiates us from competitors and builds
long-term advantage. Science and deep
consumer insights are the catalysts behind
our growth strategies, which include organic
growth of iconic brands, a focus on new
ventures and a commitment to emerging-
market development.
Across all franchises, clinical trial design and analysis are
critical competencies, both for new products and innovative new
claims. Our strong network of professional relationships,
supported by science, has built many of our brands to the No. 1
place in professional recommendations in the United States
and international markets. ®, ® Baby,
®, ® and ® are just some
of our brands that are trusted—and highly recommended—by
medical professionals around the world.
Our Medical Devices
and Diagnostics (MD&D) franchises continue to comprise the
world’s largest medical technology business, with 2008 sales of
$23.1 billion, a total increase of 6.4 percent over the prior year.
Growth was driven by minimally invasive products, disposable
contact lenses, and orthopaedic and sports medicine products.
The medical technology market oers significant growth
opportunities in light of aging demographics, unmet medical
needs and technological innovation. In addition, we see low
penetration rates in many of our key categories, along with
geographic development opportunities. We are well-positioned
to capitalize on this market potential, with No. 1 or No. 2 positions
in the majority of markets in which we compete.
Our opportunities are particularly solid in markets such as
ophthalmology, cardiology and metabolic disease, where there is a
strong need for patient-centric solutions to address chronic disease.
Within this area, the Comprehensive Care Group is charged with
developing novel approaches to care across the entire continuum of
a disease while delivering cost-eective outcomes. Meanwhile, the
Surgical Care Group focuses on developing surgical businesses with
new technologies and solutions that support patients beyond the
time of surgical intervention.
Our MD&D businesses achieved several significant milestones
during 2008. In addition to Mentor Corporation and Omrix
Biopharmaceuticals, the strategic acquisitions of several other
companies strengthened our pipelines. Ethicon Endo-Surgery, Inc.
acquired SurgRx, Inc., bringing together that company’s®
products with its own ® line of ultrasonic medical
devices, which oer surgeons greater func-
tionality and exibility for diverse surgical
procedure requirements. Through the
acquisition of Åmic AB, a privately held
Swedish developer of in vitro diagnostics,
Ortho-Clinical Diagnostics, Inc. has access
to new delivery channels in point-of-care
and near-patient settings outside the
clinical laboratory.
Our businesses introduced several new
products and strengthened pipelines to
sustain future growth. DePuy Orthopaedics,
Inc. introduced ™, a bone-
preserving hip stem with proprietary
™ technology for stability,
maintaining its leading position in
hip replacement in the U.S. market. In
Europe, LifeScan, Inc. launched the new
® ™ Blood Glucose Meter,
particularly beneficial for people with type 2
diabetes who find their disease complex and
dicult to manage. With the convergence of accurate, reliable
and easy-to-use technology and patient insights about preferred
sizes, shapes and colors, the ®™ Blood
Glucose Meter has become the No. 1-selling blood glucose meter in
the United States.
Given the competitive strengths of our MD&D businesses and
opportunities for growth, we remain enthusiastic about the
potential for sustained long-term growth in this segment.
 Our Pharmaceuticals businesses ended the
year with sales of $24.6 billion, representing a total decrease of
1.2 percent versus the prior year. The breadth and depth of our
growing product portfolio enabled us to lessen the impact of
generic competition for ® (risperidone) and slower
sales of ® (Epoetin alfa).
Nine products had sales of more than $1 billion. Growth was
driven by the strength of currently marketed products, fueled
in some cases by new indications and in others by approvals in
additional markets.
Growth products included™ (bortezomib),
which received European Commission approval for previously
untreated multiple myeloma; ® (iniximab), a
biologic approved for the treatment of a number of immune-
mediated inammatory diseases; and ® (topiramate)
for treatment of epilepsy and migraines. In our HIV Franchise,
the European Commission approved once-daily dosing of
800 mg ® (darunavir) with low-dose ritonavir as part
of combination therapy in treatment-naïve adults (those who
have never taken HIV medication). This approval broadens the
previous indication of darunavir for treatment-experienced
HIV-1 patients. This means ® will be used for the
full spectrum of HIV/AIDS patients in the 27 EU member states.
Our antipsychotic franchise with ® (paliperidone), a
once-daily atypical antipsychotic, and ® ®
(risperidone) Long-Acting Injection continued to grow. We have
filed an additional indication for ® ® in
frequently relapsing bipolar disorder in the U.S. Other new indica-
tions for our existing products included ® (methyl-

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