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BUSINESS SEGMENT INFORMATION
6 Months Ended
Jun. 30, 2011
Segment Reporting [Abstract]  
Business Segment Information [Text Block]

Note 3. BUSINESS SEGMENT INFORMATION

 

The Company operates in a single BioPharmaceuticals segment which is engaged in the discovery, development, licensing, manufacturing, marketing, distribution and sale of innovative medicines that help patients prevail over serious diseases. A global research and development organization and a global supply chain organization are utilized and responsible for the development and delivery of products to the market. Products are distributed and sold through regional organizations that serve the United States; Europe; Latin America, Middle East, and Africa; Japan, Asia Pacific and Canada; and Emerging Markets defined as Brazil, Russia, India, China and Turkey. The business is also supported by global corporate staff functions. The segment information presented below is consistent with the financial information regularly reviewed by the chief operating decision maker for purposes of evaluating performance, allocating resources, setting incentive compensation targets, and planning and forecasting future periods.

 

Net sales of key products were as follows:

  Three Months Ended June 30, Six Months Ended June 30,
Dollars in Millions2011 2010 2011 2010
PLAVIX*$ 1,865 $ 1,627 $ 3,627 $ 3,293
AVAPRO*/AVALIDE*  251   307   541   621
ABILIFY*  706   633   1,330   1,250
REYATAZ  396   357   762   730
SUSTIVA Franchise  371   331   714   666
BARACLUDE  292   223   567   439
ERBITUX*  173   172   338   338
SPRYCEL  193   132   365   263
YERVOY  95   -   95   -
ORENCIA  228   178   427   347
NULOJIX  2   -   2   -
ONGLYZA/KOMBIGLYZE  112   28   193   38
Mature Products and All Other  750   780   1,484   1,590
 Net Sales$ 5,434 $ 4,768 $ 10,445 $ 9,575

Segment income excludes the impact of significant items not indicative of current operating performance or ongoing results, and earnings attributed to Sanofi and other noncontrolling interest. The reconciliation to earnings before income taxes was as follows:

 Three Months Ended June 30, Six Months Ended June 30,
Dollars in Millions2011 2010 2011 2010
BioPharmaceuticals segment income$ 1,299 $ 1,180 $ 2,587 $ 2,413
            
Reconciling items:           
Restructuring and other charges  (68)   (77)   (139)   (332)
Litigation recovery  -   -   102   -
Upfront, milestone and other licensing payments  (50)   (17)   (138)   (72)
In-process research and development impairment  -   -   (15)   -
Product liability charges  -   -   (26)   -
Noncontrolling interest  609   506   1,186   1,035
Earnings before income taxes$ 1,790 $ 1,592 $ 3,557 $ 3,044