Thermo Fisher Scientific Inc. (the company) enables customers to make the world healthier, cleaner and safer by providing analytical instruments, equipment, reagents and consumables, software and services for research, manufacturing, analysis, discovery and diagnostics. Markets served include pharmaceutical and biotech companies, hospitals and clinical diagnostic labs, universities, research institutions and government agencies, as well as environmental and industrial process control settings.

The interim consolidated financial statements presented herein have been prepared by Thermo Fisher Scientific Inc. (the company or Thermo Fisher), are unaudited and, in the opinion of management, reflect all adjustments of a normal recurring nature necessary for a fair statement of the financial position at March 31, 2012, the results of operations for the three-month periods ended March 31, 2012, and April 2, 2011, and the cash flows for the three-month periods ended March 31, 2012, and April 2, 2011. Interim results are not necessarily indicative of results for a full year.

The consolidated balance sheet presented as of December 31, 2011, has been derived from the audited consolidated financial statements as of that date. The consolidated financial statements and notes are presented as permitted by Form 10-Q and do not contain all of the information that is included in the annual financial statements and notes of the company. The consolidated financial statements and notes included in this report should be read in conjunction with the financial statements and notes included in the company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011, filed with the Securities and Exchange Commission (SEC).

Note 1 to the consolidated financial statements in the Company's Form 10-K for 2011 describes the significant accounting estimates and policies used in preparation of the consolidated financial statements. There have been no material changes in the company's significant accounting policies during the three months ended March 31, 2012.

Product warranties are included in other accrued expenses in the accompanying balance sheet. The changes in the carrying amount of warranty obligations are as follows:

		Three Months Ended
		March 31,		April 2,
(In millions)		2012			2011

Beginning Balance		$	42.2		$	41.7
	Provision charged to income		13.2			11.0
	Usage		(14.3)			(12.7)
	Adjustments to previously provided warranties, net		—			(0.1)
	Other, net		0.4			1.5

Ending Balance		$	41.5		$	41.4

	March 31,		December 31,
(In millions)		2012	2011

Raw Materials	$	367.9	$	348.5
Work in Process		153.5		140.6
Finished Goods		900.9		866.3

	$	1,422.3	$	1,355.4

	March 31,		December 31,
(In millions)		2012	2011

Land	$	190.1	$	185.5
Buildings and Improvements		783.8		775.9
Machinery, Equipment and Leasehold Improvements		1,706.8		1,677.4

		2,680.7		2,638.8
Less: Accumulated Depreciation and Amortization		1,015.4		982.6

	$	1,665.3	$	1,656.2

	March 31, 2012							December 31, 2011
			Accumulated							Accumulated
(In millions)	Gross			Amortization		Net		Gross			Amortization		Net

Definite Lives	$	9,772.4		$	(3,381.4)	$	6,391.0	$	9,637.2		$	(3,169.3)	$	6,467.9
Indefinite Lives		1,348.1			—		1,348.1		1,348.0			—		1,348.0

	$	11,120.5		$	(3,381.4)	$	7,739.1	$	10,985.2		$	(3,169.3)	$	7,815.9

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. In addition, significant estimates were made in estimating future cash flows to assess potential impairment of assets, and in determining the ultimate loss from abandoning leases at facilities being exited (Note 13). Actual results could differ from those estimates.

In December 2011, the FASB issued new guidance which requires enhanced disclosures on offsetting amounts within the balance sheet, including disclosing gross and net information about instruments and transactions eligible for offset or subject to a master netting or similar agreement. The guidance is effective for the company beginning January 1, 2013 and is to be applied retrospectively. The adoption of this guidance, which is related to disclosure only, will not have an impact on the company's consolidated financial position, results of operations or cash flows.

In September 2011, the FASB modified existing rules to allow entities to use a qualitative approach to test goodwill for impairment. The revised guidance permits an entity to perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. If impairment is deemed more likely than not, management would perform the currently prescribed two-step goodwill impairment test. Otherwise, the two-step goodwill impairment test is not required. This guidance was effective for the company on January 1, 2012. Adoption of this standard did not have an impact on the company's consolidated financial position, results of operations or cash flows.

In June 2011, the FASB issued new guidance pertaining to the presentation of comprehensive income. The new rule eliminates the current option to report other comprehensive income and its components in the statement of changes in equity. The standard is intended to provide a more consistent method of presenting non-owner transactions that affect the company's equity. Under the new guidance, an entity can present items of net income and other comprehensive income in one continuous statement or in two separate, but consecutive, statements. The new guidance was effective for the company on January 1, 2012 and did not have an impact on the company's consolidated financial position, results of operations or cash flows.

In May 2011, the FASB amended existing rules covering fair value measurement and disclosure to clarify guidance and minimize differences between U.S. GAAP and International Financial Reporting Standards (IFRS). The new guidance requires entities to provide information about valuation techniques and unobservable inputs used in Level 3 fair value measurements and provide a narrative description of the sensitivity of Level 3 measurements to changes in unobservable inputs. The guidance was effective for the company on January 1, 2012 and did not have an impact on the company's consolidated financial position, results of operations or cash flows.