Wyeth Reports Earnings Results for the 2009 First Quarter

- 2009 First Quarter Reported Diluted Earnings per Share were $0.89,
Consistent with the Prior Year, and Diluted Earnings per Share,
Excluding Certain Significant Items, Increased 1% to $0.95

- Worldwide Net Revenue Decreased 6% for the 2009 First Quarter and
Increased 2%, Excluding the Impact of Foreign Exchange

- First Quarter Net Revenue Growth, Excluding the Impact of Foreign
Exchange, was Driven by Increases of 23% for Enbrel (outside the
U.S. and Canada), 19% for Prevnar and 12% for Nutritionals

- Reaffirms Guidance of $3.33 to $3.53 for Full Year Diluted Earnings
per Share, Excluding Certain Significant Items

MADISON, N.J., April 29 /PRNewswire-FirstCall/ -- Wyeth (NYSE: WYE) today
reported results for the 2009 first quarter ended March 31, 2009. Worldwide
net revenue decreased 6% to $5.4 billion for the 2009 first quarter. Excluding
the unfavorable impact of foreign exchange, worldwide net revenue increased 2%
for the 2009 first quarter.

"Wyeth delivered a solid first quarter led by double-digit revenue growth in
constant dollars from core product franchises Enbrel, outside the U.S. and
Canada, Prevnar and Nutritionals," said Bernard Poussot, Chairman, President
and Chief Executive Officer. "Enbrel and Prevnar are the top products in
their categories as more patients around the world benefit from Wyeth's
innovative medicines. We are committed to meeting our financial targets while
working with Pfizer to shape the world's premier biopharmaceutical company."

Product Highlights for the 2009 First Quarter

The following table presents worldwide net revenue from Wyeth's principal
products for the 2009 first quarter together with the percentage changes from
the comparable period in the prior year, both as reported and excluding the
impact of foreign exchange (FX):

(UNAUDITED)
-----------
Three Months Ended 3/31/2009
---------------------------------------
Increase/
Increase/ (Decrease)
Principal Products $ in Millions (Decrease) Excluding FX
------------------ ------------- ---------- ------------
Effexor $819 (20)% (17)%
Prevnar 755 7% 19%
Enbrel
Outside U.S. and Canada 627 3% 23%
Alliance Revenue -
U.S. and Canada 240 (26)% (26)%
Nutritionals 415 1% 12%
Zosyn/Tazocin 310 (9)% (4)%
Premarin family 246 (11)% (10)%
Protonix family(1) 215 35% 35%
Hemophilia family(2) 206 (14)% (3)%
Centrum 163 (13)% (5)%
Advil 159 (7)% (3)%

(1) Protonix family net revenue for the 2009 first quarter included
revenue from both Wyeth's own generic version, $123, and the
branded product, $92.

(2) Hemophilia family net revenue for the 2009 first quarter
included revenue from BeneFIX, $130, and ReFacto/Xyntha, $76.

2009 First Quarter Results

Net revenue decreased 6% for the 2009 first quarter and increased 2%,
excluding the impact of foreign exchange, as compared with the 2008 first
quarter. The 2% increase, excluding the impact of foreign exchange, was
primarily due to higher sales of Wyeth's key pharmaceutical franchises
ENBREL(R) (outside the U.S. and Canada), PREVNAR(R) and Nutritional products,
along with new products TYGACIL(R), PRISTIQ(R) and TORISEL(R), as well as
PROTONIX(R). These increases were partially offset by lower ENBREL alliance
revenue, due primarily to the 2008 first quarter having been positively
impacted by Amgen Inc.'s shift to wholesaler distribution, and to a lesser
extent, to lower U.S. demand in the 2009 first quarter, as well as by
decreased sales of EFFEXOR(R) and ZOSYN(R), due to increased generic
competition internationally, and PREMARIN(R). Excluding the impact of foreign
exchange, net revenue for the Pharmaceutical and Animal Health segments
increased 2% and 13%, respectively, while the Consumer Healthcare segment
decreased 1%.

Gross margin, as a percentage of net revenue, excluding certain significant
items, increased 1.8 percentage points to 75.6% for the 2009 first quarter
from 73.8% for the 2008 first quarter. The increase was primarily due to the
impact of foreign exchange rates and favorable manufacturing variances during
the 2009 first quarter.

Selling, general and administrative expenses, excluding certain significant
items, decreased 4% for the 2009 first quarter versus the 2008 first quarter
and increased 3%, excluding the impact of foreign exchange. This constant
dollar increase was primarily due to increased pension expense in the 2009
first quarter, which was partially offset by cost savings related to the
Company's productivity initiatives.

Research and development expenses, excluding certain significant items,
decreased 6% for the 2009 first quarter versus the 2008 first quarter and
decreased 4%, excluding the impact of foreign exchange. The decrease was
primarily due to reduced headcount and operating costs resulting from the
Company's productivity initiatives and lower clinical trial costs.

Interest expense, net was $65.3 million for the 2009 first quarter as compared
with interest income, net of $27.5 million for the 2008 first quarter. This
change was primarily due to the significant reduction in interest rates around
the world and the resulting decrease in interest income earned on our
investments.

Other income, net for the 2009 first quarter was composed primarily of income
associated with our foreign exchange hedging program and product divestiture
and royalty income.

The Company's tax rate for the 2009 first quarter, excluding certain
significant items, decreased to 28.4% from 31.1% in the 2008 first quarter.
The decrease in the 2009 first quarter tax rate is primarily due to the
renewal of the U.S. research and development tax credit, which was renewed by
Congress in the fourth quarter of 2008, and increased profit in tax favorable
jurisdictions.

Net income and diluted earnings per share for the 2009 first quarter were
$1,l98.2 million and $0.89, respectively, compared with $1,196.9 million and
$0.89, respectively, for the 2008 first quarter. The 2009 first quarter
results included charges of $71.8 million ($54.6 million after-tax or $0.04
per share-diluted) related to the Company's productivity initiatives and
merger-related expenses of $27.2 million ($0.02 per share-diluted), as
discussed in the Notes to Results of Operations below. The 2008 first quarter
results included net charges of $81.0 million ($69.6 million after-tax or
$0.05 per share-diluted) related to the Company's productivity initiatives.
Net income and diluted earnings per share, excluding these certain significant
items, for the 2009 first quarter were $1,280.0 million and $0.95,
respectively, compared with $1,266.6 million and $0.94, respectively, for the
2008 first quarter.

Based on the 2009 first quarter results and the outlook for the remainder of
2009, the Company is reaffirming its 2009 full year guidance for diluted
earnings per share, excluding certain significant items, of $3.33 to $3.53.

Results of Operations

The comparative results of operations are as follows:
(In thousands except per share amounts)

(UNAUDITED)
-----------
Three Months Ended
----------------------
3/31/2009 3/31/2008
--------- ---------
Net Revenue $5,376,973 $5,710,649

Cost of Goods Sold 1,380,891 1,562,013

Selling, General and
Administrative Expenses 1,591,809 1,722,213

Research and Development Expenses 773,120 839,377

Interest (Income) Expense, Net 65,312 (27,456)

Other Income, Net (122,611) (143,485)
---------- ----------

Income before Income Taxes 1,688,452 1,757,987

Provision for Income Taxes 490,292 561,040
------- -------

Net Income $1,198,160 $1,196,947
========== ==========

Basic Earnings per Share $0.90 $0.90
========== ==========
Average Number of Common Shares
Outstanding during Each Period
- Basic 1,331,643 1,335,207

Diluted Earnings per Share $0.89 $0.89
========== ==========
Average Number of Common Shares
Outstanding during Each Period
- Diluted 1,354,297 1,360,311

See Notes to Results of Operations.

Results of Operations - As Adjusted

Wyeth has prepared the following presentation of its results of operations for
the three months ended March 31, 2009 and 2008, adjusted to exclude charges
related to our productivity initiatives and merger-related expenses, which are
considered certain significant items for the 2009 and 2008 first quarter.

The comparative results of operations - as adjusted are as follows:
(In thousands except per share amounts)

(UNAUDITED) - AS ADJUSTED
------------------------
Three Months Ended
------------------
3/31/2009 3/31/2008
--------- ---------
Net Revenue $5,376,973 $5,710,649

Cost of Goods Sold 1,314,323 1,496,085

Selling, General and
Administrative Expenses 1,559,395 1,621,639

Research and Development Expenses 773,102 820,264

Interest (Income) Expense, Net 65,312 (27,456)

Other Income, Net (122,611) (38,830)
---------- ---------

Income before Income Taxes 1,787,452 1,838,947

Provision for Income Taxes 507,482 572,390
---------- ----------

Net Income $1,279,970 $1,266,557
========== ==========

Basic Earnings per Share $0.96 $0.95
========== ==========

Average Number of Common Shares
Outstanding during Each Period
- Basic 1,331,643 1,335,207

Diluted Earnings per Share $0.95 $0.94
========== ==========

Average Number of Common Shares
Outstanding during Each Period
- Diluted 1,354,297 1,360,311

See Notes to Results of Operations.

Notes to Results of Operations

(1) The average number of common shares outstanding for diluted
earnings per share is higher than for basic earnings per
share due to the assumed conversion of the Company's outstanding
convertible senior debentures, outstanding stock options, deferred
contingent common stock awards, performance share awards,
restricted stock awards and convertible preferred stock into
common stock equivalents using the treasury stock method.
For purposes of calculating diluted earnings per share,
interest expense, net of capitalized interest and taxes
related to the Company's outstanding convertible senior
debentures is added back to reported net income, and the
additional shares of common stock (assuming conversion) are
included in total shares outstanding. Interest expense, net
of capitalized interest and taxes related to these debentures,
was $2,955 for the 2009 first quarter compared with $7,071 for
the 2008 first quarter.

(2) Other (income) expense, net included pre-tax gains from product
divestitures of $25,155 for the 2009 first quarter compared with
$23,059 for the 2008 first quarter. Other (income) expense, net
also included royalty income for the 2009 first quarter of $33,622
compared with $55,758 for the 2008 first quarter. Further, Other
(income) expense, net included net hedging income for the 2009
first quarter of $74,286 compared with net hedging expense of
$26,649 for the 2008 first quarter.

(3) Certain significant items related to our productivity initiatives
and the proposed merger with Pfizer have been excluded from the
results of operations - as adjusted for the 2009 and 2008 first
quarter as follows:

Productivity Initiatives
(UNAUDITED)
-----------
Three Months Ended
--------------------
(In thousands except per share amounts) 3/31/2009 3/31/2008
-------------------------------------- --------- ---------
Cost of Goods Sold $66,568 $65,928
Selling, General and Administrative Expenses 5,164 100,574
Research and Development Expenses 18 19,113
------- ------
Total Productivity Initiatives Charges(a) 71,750 185,615
Other Income, Net(b) - (104,655)
------- --------

Net Productivity Initiatives Charges $71,750 $80,960
======= =======

Net Productivity Initiatives Charges, After-Tax $54,560 $69,610
======= =======

Decrease in Diluted Earnings per Share $0.04 $0.05
======= =======

(a) 2009 and 2008 first quarter charges were primarily severance and
other employee-related costs associated with a reduction in
workforce.

(b) Other income, net for the 2008 first quarter represents the net
gain on the sale of a manufacturing facility in Japan.

Merger-Related Expenses

The 2009 first quarter results included merger-related charges of $27,250
($0.02 per share-diluted), which are recorded in selling, general and
administrative expenses, and are associated with the proposed merger with
Pfizer.

Wyeth calculates net income, excluding certain significant items, by excluding
the after-tax effect of items considered by management to be unusual from the
net income reported under generally accepted accounting principles (GAAP).
Wyeth's management uses this measure to manage and evaluate the Company's
performance and believes it is appropriate to disclose this non-GAAP measure
to assist investors with analyzing business performance and trends. Wyeth's
management believes that excluding these items from the Company's results
provides a more appropriate view of the Company's operations for the
accounting periods presented. These measures should not be considered in
isolation or as a substitute for the results of operations and diluted
earnings per share prepared in accordance with GAAP.
(4) The following table presents worldwide net revenue by reportable
segment, together with the percentage changes from the comparable
period in the prior year, as reported and excluding the impact of
foreign exchange:

(UNAUDITED)
-----------
Three Months Ended 3/31/2009
----------------------------
Increase/
Net Revenue by (Decrease)
Reportable Segment $ in Millions Decrease Excluding FX
------------------ ------------- -------- ------------

Pharmaceuticals $4,488 (6)% 2%
Consumer Healthcare 613 (9)% (1)%
Animal Health 276 - 13%
------ ------ ------

Consolidated Total $5,377 (6)% 2%
====== ====== ======

Wyeth is one of the world's largest research-driven pharmaceutical and health
care products companies. It is a leader in the discovery, development,
manufacturing and marketing of pharmaceuticals, vaccines, biotechnology
products, nutritionals and non-prescription medicines that improve the quality
of life for people worldwide. The Company's major divisions include Wyeth
Pharmaceuticals, Wyeth Consumer Healthcare and Fort Dodge Animal Health.

The statements in this press release that are not historical facts, including
the reaffirmation of our 2009 financial guidance, are forward-looking
statements that are subject to risks and uncertainties that could cause actual
results to differ materially from those expressed or implied by such
statements. In particular, if the assumptions underlying the reaffirmation of
our 2009 financial guidance prove incorrect, our actual results could differ
materially from our guidance (for information regarding key assumptions made
for purposes of our 2009 financial guidance, see "Management's Discussion and
Analysis of Financial Condition and Results of Operations - Overview - 2009
Outlook" in our 2008 Financial Report as incorporated in our Annual Report on
Form 10-K for the year ended December 31, 2008). In addition, the statements
on the related conference call regarding development and regulatory timelines
for our pipeline products are subject to risks and uncertainties related to
both the timing and success of regulatory submissions and review and decisions
by regulatory authorities, including the possibility that regulatory
authorities will not agree with our assessments of clinical data or the
sufficiency of regulatory submissions, will require additional clinical trials
or other data, will take longer to review our submissions than we expect, or
will determine not to approve our applications. Other risks and uncertainties
that could cause actual results to differ materially from those expressed or
implied by forward-looking statements include, among others, risks related to
our proposed merger with Pfizer, including satisfaction of the conditions of
the proposed merger on the proposed timeframe or at all, contractual
restrictions on the conduct of our business included in the merger agreement,
and the potential for loss of key personnel, disruption in key business
activities or any impact on our relationships with third parties as a result
of the announcement of the proposed merger; the inherent uncertainty of the
timing and success of, and expense associated with, research, development,
regulatory approval and commercialization of our products and pipeline
products; government cost-containment initiatives; restrictions on third-party
payments for our products; substantial competition in our industry, including
from branded and generic products; emerging data on our products and pipeline
products; the importance of strong performance from our principal products and
our anticipated new product introductions; the highly regulated nature of our
business; product liability, intellectual property and other litigation risks
and environmental liabilities; the outcome of government investigations;
uncertainty regarding our intellectual property rights and those of others;
difficulties associated with, and regulatory compliance with respect to,
manufacturing of our products; risks associated with our strategic
relationships; global economic conditions; interest and currency exchange rate
fluctuations and volatility in the credit and financial markets; changes in
generally accepted accounting principles; trade buying patterns; the impact of
legislation and regulatory compliance; risks and uncertainties associated with
global operations and sales; and other risks and uncertainties, including
those detailed from time to time in our periodic reports filed with the
Securities and Exchange Commission, including our current reports on Form 8-K,
quarterly reports on Form 10-Q and annual report on Form 10-K, particularly
the discussion under the caption "Item 1A, RISK FACTORS" in our Annual Report
on Form 10-K for the year ended December 31, 2008, which was filed with the
Securities and Exchange Commission on February 27, 2009. The forward-looking
statements in this press release are qualified by these risk factors. We
assume no obligation to publicly update any forward-looking statements,
whether as a result of new information, future developments or otherwise.

The Company will hold a conference call with research analysts at 8:15 a.m.
Eastern Daylight Time today. The purpose of the call is to review the
financial results of the Company for the 2009 first quarter. Interested
investors and others may listen to the call live or on a delayed basis through
the Internet webcast, which may be accessed by visiting the Company's Internet
Web site at www.wyeth.com and clicking on the "Investor Relations" hyperlink.

Also, for recent announcements and additional information, including product
sales information, please refer to the Company's Internet Web site.

SOURCE Wyeth

Media: Douglas Petkus, +1-973-660-5218; Investors: Justin Victoria,
+1-973-660-5340, both of Wyeth