EXHIBIT 99.2

GENENTECH, INC.

CONSOLIDATED STATEMENTS OF INCOME

(In millions, except per share amounts)

(Unaudited)

	Three Months						Nine Months
	Ended September 30,						Ended September 30,
	2007			2006			2007			2006
Revenues:
Product sales	$	2,321		$	1,941		$	7,094		$	5,395
Royalties		524			364			1,427			966
Contract revenue		63			79			234			208
Total operating revenues		2,908			2,384			8,755			6,569
Costs and expenses:
Cost of sales (includes employee stock-based compensation expense: three months–2007–$16; 2006–$0; nine months–2007–$49; 2006–$0)		406			297			1,227			843
Research and development (includes employee stock-based compensation expense: three months–2007–$37; 2006–$35; nine months–2007–$114; 2006–$101)		615			454			1,828			1,218
Marketing, general and administrative (includes employee stock-based compensation expense: three months–2007–$44; 2006–$41; nine months–2007–$137; 2006–$124)		541			501			1,564			1,414
Collaboration profit sharing		276			250			805			735
In-process research and development(1)		77			-			77			-
Gain on acquisition(1)		(121	)		-			(121	)		-
Recurring charges related to redemption and acquisition		38			26			90			79
Special items: litigation-related		14			13			41			40
Total costs and expenses		1,846			1,541			5,511			4,329
Operating income		1,062			843			3,244			2,240
Other income (expense):
Interest and other income, net(2)		84			74			233			249
Interest expense		(18	)		(19	)		(53	)		(56	)
Total other income, net		66			55			180			193
Income before taxes		1,128			898			3,424			2,433
Income tax provision		443			330			1,286			914
Net income	$	685		$	568		$	2,138		$	1,519
Earnings per share:
Basic	$	0.65		$	0.54		$	2.03		$	1.44
Diluted	$	0.64		$	0.53		$	2.00		$	1.41
Weighted average shares used to compute earnings per share:
Basic		1,053			1,053			1,053			1,053
Diluted		1,069			1,072			1,070			1,074

________________________

(1)	Represents one-time items related to our acquisition of Tanox, Inc. in the third quarter of 2007.
(2)	“Interest and other income, net" includes interest income, net realized gains from the sale of certain biotechnology equity securities and write-downs for other-than-temporary impairments in the fair value of certain biotechnology equity securities.  For further detail, refer to our web site at www.gene.com.

GENENTECH, INC.

SELECTED CONSOLIDATED FINANCIAL DATA

(In millions)

(Unaudited)

	September 30,		December 31,
	2007		2006
Selected consolidated balance sheet data:
Cash, cash equivalents and short-term investments	$	2,920	$	2,493
Accounts receivable – product sales, net		1,012		965
Accounts receivable – royalties, net		716		453
Accounts receivable – other, net		185		248
Inventories		1,425		1,178
Long-term marketable debt and equity securities		1,952		1,832
Property, plant and equipment, net		4,758		4,173
Goodwill		1,574		1,315
Other intangible assets		1,208		476
Other long-term assets		1,281		1,342
Total assets		17,444		14,842
Total current liabilities(1)		2,056		2,010
Long-term debt(2)		2,346		2,204
Total liabilities		5,812		5,364
Total stockholders’ equity		11,632		9,478

	Nine Months Ended September 30,
	2007		2006
Selected consolidated cash flow data:
Capital expenditures(2)	$	692	$	888
Total depreciation and amortization expense		345		298

_________________________

(1)

Certain reclassifications have been made at December 31, 2006 to conform to the September 30, 2007 presentation.

(2)

Capital expenditures exclude approximately $156 million at September 30, 2007 and $158 million at September 30, 2006 in capitalized costs related to our accounting for construction projects for which we are considered to be the owner during the construction period.  We have recognized related amounts as a construction financing obligation in long-term debt.  The balances in long-term debt related to the construction financing obligation are $350 million at September 30, 2007 and $216 million at December 31, 2006.