Johnson & Johnson Reports 2012 Fourth-Quarter and Full-Year Results:

Tue Jan 22, 2013 7:45am EST

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2012 Fourth-Quarter Sales of $17.6 Billion increased 8.0%; EPS was $0.91
NEW BRUNSWICK, N.J.,  Jan. 22, 2013  /PRNewswire/ -- Johnson & Johnson (NYSE:
JNJ) today announced sales of  $17.6 billion  for the fourth quarter of 2012, an
increase of 8.0% as compared to the fourth quarter of 2011. Operational results
increased 9.3% and the negative impact of currency was 1.3%. Domestic sales
increased 6.8%, while international sales increased 8.9%, reflecting operational
growth of 11.2% and a negative currency impact of 2.3%. Sales for the fourth
quarter of 2012 included the impact of the recently completed acquisition of
Synthes, Inc., which contributed 5.6% to worldwide operational sales growth, net
of the divestiture of the DePuy trauma business. Worldwide sales for the
full-year 2012 were  $67.2 billion, an increase of 3.4% versus 2011. Operational
sales increased 6.1% and the negative impact of currency was 2.7%.  Domestic
sales increased 3.2%, while international sales increased 3.5%, reflecting
operational growth of 8.4% and a negative currency impact of 4.9%. Sales for the
full-year 2012 included the impact of the recently completed acquisition of
Synthes, Inc., which contributed 3.1% to worldwide operational sales growth, net
of the divestiture of the DePuy trauma business.

Net earnings and diluted earnings per share for the fourth quarter of 2012 were 
$2.6 billion  and  $0.91, respectively.** Fourth-quarter 2012 net earnings
included after-tax special items of  $0.8 billion, primarily related to an
increase in the litigation accrual and program costs associated with the DePuy
ASR  Hip, in-process research and development, and integration and transaction
costs related to the acquisition of Synthes, Inc.   

Fourth-quarter 2011 net earnings reflect after-tax special items of  $2.9
billion  as detailed in the accompanying reconciliation of non-GAAP financial
measures. Excluding these special items for both periods, net earnings for the
current quarter were  $3.4 billion  and diluted earnings per share were  $1.19,
representing increases of 7.9% and 5.3%, respectively, as compared to the same
period in 2011.*                                        

Net earnings and diluted earnings per share for the full-year 2012 were  $10.9
billion  and  $3.86, respectively.** Full-year net earnings reflect after-tax
special items of  $3.5 billion  in 2012 and  $4.2 billion  in 2011 as detailed
in the accompanying reconciliation of non-GAAP financial measures. Excluding
these special items in both periods, net earnings for the full-year 2012 were 
$14.3 billion  and diluted earnings per share were  $5.10, representing
increases of 3.4% and 2.0%, respectively, as compared with the full year of
2011.*                                                     

"Johnson & Johnson delivered solid results in 2012 reflecting continued sales
momentum in many parts of our business driven by our focus on delivering
meaningful innovation in health care to patients and customers. Our results
included strong growth of key products, successful new product launches, and the
addition of Synthes to our family of companies," said  Alex Gorsky, Chairman and
Chief Executive Officer. "In addition, we continued to make important
investments building strategic partnerships and in advancing our pipeline,
positioning us well for delivering sustainable growth as we enter 2013. I would
also like to thank our talented colleagues at Johnson & Johnson for their
extraordinary achievements in helping advance health and well-being for patients
and customers around the world."

The Company announced earnings guidance for full-year 2013 of  $5.35 to $5.45 
per share, which excludes the impact of special items.  

Worldwide Consumer sales of  $14.4 billion  for the full-year 2012 represented a
decrease of 2.9% versus the prior year, consisting of an operational increase of
0.5% and a negative impact from currency of 3.4%. Domestic sales decreased 2.0%;
international sales decreased 3.4%, which reflected an operational increase of
1.9% and a negative currency impact of 5.3%.

Positive contributors to operational results were sales of upper respiratory
over-the-counter products; international sales of LISTERINE oral care products;
and U.S. sales of NEUTROGENA skin care products.    

Worldwide Pharmaceutical sales of  $25.4 billion  for the full-year 2012
represented an increase of 4.0% versus the prior year with an operational
increase of 6.8% and a negative impact from currency of 2.8%. Domestic sales
increased 0.3%; international sales increased 7.9%, which reflected an
operational increase of 13.6% and a negative currency impact of 5.7%.           
                                   

Primary contributors to operational sales growth were REMICADE (infliximab), a
biologic approved for the treatment of a number of immune-mediated, inflammatory
diseases; VELCADE (bortezomib), a treatment for multiple myeloma; PREZISTA
(darunavir), a treatment for HIV; and a number of recently launched products.

The strong sales results of recently launched products included ZYTIGA
(abiraterone acetate), an oral, once-daily medication for use in combination
with prednisone for the treatment of metastatic, castration-resistant prostate
cancer; INVEGA SUSTENNA/XEPLION (paliperidone palmitate), a once-monthly,
long-acting, injectable atypical antipsychotic for the acute and maintenance
treatment of schizophrenia in adults; international sales of  INCIVO
(telaprevir), a direct acting antiviral protease inhibitor, for the treatment of
genotype-1 chronic hepatitis C virus, in combination with peginterferon alfa and
ribavirin, in adults; STELARA (ustekinumab), a biologic approved for the
treatment of moderate to severe plaque psoriasis; XARELTO (rivaroxaban), an oral
anticoagulant; and SIMPONI (golimumab), a biologic approved to treat adults with
moderate to severe rheumatoid arthritis, psoriatic arthritis, and ankylosing
spondylitis.  

Sales results were negatively impacted by generic competition for LEVAQUIN
(levofloxacin), a treatment for bacterial infections and the manufacturing
suspension at a third party supplier for DOXIL (doxorubicin HCl liposome
injection)/CAELYX (pegylated liposomal doxorubicin hydrochloride), a medication
to treat ovarian and other cancers.

During the quarter, the U.S. Food and Drug Administration (FDA) granted
accelerated approval for SIRTURO (bedaquiline) tablets for the treatment of
pulmonary multi-drug resistant tuberculosis as part of combination therapy in
adults. The FDA and the European Commission also approved an expanded indication
for ZYTIGA (abiraterone acetate), in combination with prednisone, allowing for
the use before chemotherapy in the treatment of metastatic castration-resistant
disease.

In November, the FDA approved XARELTO (rivaroxaban), an oral anticoagulant, for
the treatment of deep vein thrombosis (DVT) and/or pulmonary embolism (PE), and
to reduce the risk of recurrence of DVT and PE following initial treatment. In
addition, the FDA approved a new 800mg tablet of PREZISTA (darunavir) for once
daily oral administration for the treatment of human immunodeficiency virus
(HIV-1) in treatment-naive and treatment-experienced adult patients with no
darunavir resistance-associated mutations.  

Also during the quarter, a New Drug Application was submitted to the FDA seeking
approval for a fixed-dose therapy combining canagliflozin and immediate release
metformin to treat patients with type 2 diabetes. Additional submissions
included a supplemental Biologics License Application to the FDA and a Type II
Variation to the European Medicines Agency requesting approval of STELARA
(ustekinumab) for the treatment of adult patients with active psoriatic
arthritis.

Worldwide Medical Devices and Diagnostics sales of  $27.4 billion  for the
full-year 2012 represented an increase of 6.4% versus the prior year with an
operational increase of 8.7% and a negative impact from currency of 2.3%.
Domestic sales increased 8.7%; international sales increased 4.5%, which
reflected an operational increase of 8.6% and a negative currency impact of
4.1%. Sales included the impact of the recently completed acquisition of
Synthes, Inc., which contributed 7.9% to worldwide operational sales growth, net
of the divestiture of the DePuy trauma business.   

Primary contributors to operational growth were sales from the recently
completed acquisition of Synthes, Inc. in the Orthopaedics business; a number of
products in the Specialty Surgery business; Biosense Webster's electrophysiology
products in the Cardiovascular Care business; and Vistakon's disposable contact
lenses.  

During the quarter, the FDA approved EVARREST Fibrin Sealant Patch, a novel
product that rapidly and reliably aids in stopping problematic bleeding during
surgery. The FDA also approved the S.M.A.R.T. CONTROL Vascular Stent Systems for
use in the superficial femoral artery and/or the proximal popliteal artery.     
                                          

About Johnson & Johnson
Caring for the world, one person at a time...inspires and unites the people of
Johnson & Johnson. We embrace research and science - bringing innovative ideas,
products and services to advance the health and well-being of people. Our
approximately 128,000 employees at more than 250 Johnson & Johnson operating
companies work with partners in health care to touch the lives of over a billion
people every day, throughout the world.

* Net earnings and diluted earnings per share attributable to Johnson & Johnson,
excluding special items, are non-GAAP financial measures and should not be
considered replacements for, and should be read together with, the most
comparable GAAP financial measures. A reconciliation of these non-GAAP financial
measures to the most directly comparable GAAP financial measures is included in
the financial schedules accompanying this press release and can be found in the
Investor Relations section of the Company's website at  www.investor.jnj.com.

 ** Net earnings and diluted earnings per share attributable to Johnson &
Johnson.

NOTE TO INVESTORS

Johnson & Johnson will conduct a meeting with members of the investment
community to discuss this news release today at  8:30 a.m., Eastern Time. A
simultaneous webcast of the meeting for investors and other interested parties
may be accessed by visiting the Johnson & Johnson website at 
www.investor.jnj.com. A replay and podcast will be available approximately two
hours after the live webcast by visiting  www.investor.jnj.com.  

Copies of the financial schedules accompanying this press release are available
at  www.investor.jnj.com/historical-sales.cfm.  These schedules include
supplementary sales data, condensed consolidated statements of earnings, and
sales of key products/franchises.  Additional information on Johnson & Johnson,
including a pharmaceutical pipeline of selected compounds in late stage
development and medical devices and diagnostics pipeline of selected products,
can be found on the Company's website at  www.jnj.com

(This press release contains "forward-looking statements" as defined in the
Private Securities Litigation Reform Act of 1995.  The reader is cautioned not
to rely on these forward-looking statements. These statements are based on
current expectations of future events.  If underlying assumptions prove
inaccurate or unknown risks or uncertainties materialize, actual results could
vary materially from the expectations and projections of Johnson & Johnson. 
Risks and uncertainties include, but are not limited to, general industry
conditions and competition; economic factors, such as interest rate and currency
exchange rate fluctuations; technological advances, new products and patents
attained by competitors; challenges inherent in new product development,
including obtaining regulatory approvals; challenges to patents; significant
adverse litigation or government action; impact of business combinations;
financial distress and bankruptcies experienced by significant customers and
suppliers; changes to governmental laws and regulations and domestic and foreign
health care reforms; trends toward health care cost containment; increased
scrutiny of the health care industry by government agencies; changes in behavior
and spending patterns of purchasers of health care products and services;
financial instability of international economies and sovereign risk; disruptions
due to natural disasters; manufacturing difficulties or delays; and product
efficacy or safety concerns resulting in product recalls or regulatory action. A
further list and description of these risks, uncertainties and other factors can
be found in Exhibit 99 of Johnson & Johnson's Annual Report on Form 10-K for the
fiscal year ended  January 1, 2012.  Copies of this Form 10-K, as well as
subsequent filings, are available online at  www.sec.gov,  www.investor.jnj.com 
or on request from Johnson & Johnson.  Johnson & Johnson does not undertake to
update any forward-looking statements as a result of new information or future
events or developments.)

 Johnson & Johnson and Subsidiaries                                                                                                                                                       
 Supplementary Sales Data                                                                                                                                                            
                                                                                                                                                                                     
 (Unaudited; Dollars in Millions)  FOURTH QUARTER                                                                         TWELVE MONTHS                                                              
                                                                        Percent Change                                                            Percent Change                             
                                   2012                 2011            Total        Operations       Currency    2012            2011        Total       Operations       Currency  
 Sales to customers by                                                                                                                                                               
 segment of business                                                                                                                                                                 
                                                                                                                                                                                     
 Consumer                                                                                                                                                                            
 U.S.                              $     1,203          1,248           (3.6)   %    (3.6)            -           $    5,046      5,151       (2.0)  %    (2.0)            -         
 International                     2,449                2,420           1.2          3.2              (2.0)       9,401           9,732       (3.4)       1.9              (5.3)     
                                   3,652                3,668           (0.4)        0.9              (1.3)       14,447          14,883      (2.9)       0.5              (3.4)     
                                                                                                                                                                                     
 Pharmaceutical                                                                                                                                                                      
 U.S.                              3,013                2,887           4.4          4.4              -           12,421          12,386      0.3         0.3              -         
 International                     3,512                3,207           9.5          12.1             (2.6)       12,930          11,982      7.9         13.6             (5.7)     
                                   6,525                6,094           7.1          8.5              (1.4)       25,351          24,368      4.0         6.8              (2.8)     
                                                                                                                                                                                     
 Med Devices & Diagnostics                                                                                                                                                           
 U.S.                              3,244                2,850           13.8         13.8             -           12,363          11,371      8.7         8.7              -         
 International                     4,137                3,643           13.6         15.8             (2.2)       15,063          14,408      4.5         8.6              (4.1)     
                                   7,381                6,493           13.7         14.9             (1.2)       27,426          25,779      6.4         8.7              (2.3)     
                                                                                                                                                                                     
 U.S.                              7,460                6,985           6.8          6.8              -           29,830          28,908      3.2         3.2              -         
 International                     10,098               9,270           8.9          11.2             (2.3)       37,394          36,122      3.5         8.4              (4.9)     
 Worldwide                         $   17,558           16,255          8.0     %    9.3              (1.3)       $ 67,224        65,030      3.4    %    6.1              (2.7)     


 Johnson & Johnson and Subsidiaries                                                                                                                                                    
 Supplementary Sales Data                                                                                                                                                          
                                                                                                                                                                                   
 (Unaudited; Dollars in Millions)   FOURTH QUARTER                                                                        TWELVE MONTHS                                                            
                                                                         Percent Change                                                         Percent Change                             
                                    2012               2011              Total       Operations       Currency    2012          2011        Total       Operations       Currency  
 Sales to customers by                                                                                                                                                             
 geographic area                                                                                                                                                                   
                                                                                                                                                                                   
 U.S.                               $ 7,460            6,985             6.8    %    6.8              -           $ 29,830      28,908      3.2    %    3.2              -         
                                                                                                                                                                                   
 Europe                             4,603              4,279             7.6         10.4             (2.8)       16,945        17,129      (1.1)       5.8              (6.9)     
 Western Hemisphere excluding U.S.  1,941              1,688             15.0        18.7             (3.7)       7,207         6,418       12.3        19.0             (6.7)     
 Asia-Pacific, Africa               3,554              3,303             7.6         8.5              (0.9)       13,242        12,575      5.3         6.7              (1.4)     
 International                      10,098             9,270             8.9         11.2             (2.3)       37,394        36,122      3.5         8.4              (4.9)     
                                                                                                                                                                                   
 Worldwide                          $ 17,558           16,255            8.0    %    9.3              (1.3)       $ 67,224      65,030      3.4    %    6.1              (2.7)     


 Johnson & Johnson and Subsidiaries                                                                                                                                                                             
 Condensed Consolidated Statement of Earnings                                                                                                                                                                    
                                                                                                                                                                                                             
 (Unaudited; in Millions Except Per Share Figures)                   FOURTH QUARTER                                                                                                                                  
                                                                                                                                                                                                             
                                                                     2012                                                                          2011                                              Percent     
                                                                                                               Percent                                                             Percent       Increase    
                                                                     Amount                                    to Sales                          Amount                            to Sales      (Decrease)  
 Sales to customers                                                  $   17,558                                100.0                             $    16,255                       100.0         8.0         
 Cost of products sold                                               6,003                                     34.2                              5,338                             32.8          12.5        
 Selling, marketing and administrative expenses                      5,661                                     32.2                              5,458                             33.6          3.7         
 Research and development expense                                    2,331                                     13.3                              2,155                             13.3          8.2         
 In-process research and development                                 55                                        0.3                               -                                 -                         
 Interest (income) expense, net                                      89                                        0.5                               148                               0.9                       
 Other (income) expense, net                                         319                                       1.8                               2,858                             17.6                      
 Restructuring (income) expense, net                                 -                                         -                                 (20)                              (0.1)                     
 Earnings before provision for taxes on income                       3,100                                     17.7                              318                               1.9           874.8       
 Provision for taxes on income                                       533                                       3.1                               100                               0.6           433.0       
 Net earnings                                                        2,567                                     14.6                              218                               1.3           1,077.5     
 Add: Net loss attributable to noncontrolling interest               -                                         -                                 -                                 -                         
 Net earnings attributable to Johnson & Johnson                      $     2,567                               14.6                              $         218                     1.3           1,077.5     
                                                                                                                                                                                                             
 Net earnings per share attributable to Johnson & Johnson (Diluted)  $       0.91                                                                $        0.08                                   1,037.5     
                                                                                                                                                                                                             
 Average shares outstanding (Diluted)                                2,833.4                                                                     2,768.9                                                     
                                                                                                                                                                                                             
 Effective tax rate                                                  17.2                 %                                                      31.4             %                                          
                                                                                                                                                                                                             
 Adjusted earnings before provision for taxes and net earnings attributable to Johnson & Johnson (1)                                                                                                               
 Earnings before provision for taxes on income                       $     4,115                               23.4                              $      3,657                      22.5          12.5        
 Net earnings attributable to Johnson & Johnson                      $     3,376                               19.2                              $      3,129                      19.2          7.9         
 Net earnings per share attributable to Johnson & Johnson (Diluted)  $       1.19                                                                $        1.13                                   5.3         
 Effective tax rate                                                  18.0                 %                                                      14.4             %                                          
                                                                                                                                                                                                             
 (1) See Reconciliation of Non-GAAP Financial Measures.                                                                                                                                                        


 Johnson & Johnson and Subsidiaries                                                                                                                                                                 
 Condensed Consolidated Statement of Earnings                                                                                                                                                        
                                                                                                                                                                                                  
 (Unaudited; in Millions Except Per Share Figures)                   TWELVE MONTHS                                                                                                                        
                                                                                                                                                                                                  
                                                                     2012                                                                          2011                                   Percent     
                                                                                                           Percent                                                      Percent       Increase    
                                                                     Amount                                to Sales                              Amount                 to Sales      (Decrease)  
 Sales to customers                                                  $    67,224                           100.0                                 $    65,030            100.0         3.4         
 Cost of products sold                                               21,658                                32.2                                  20,360                 31.3          6.4         
 Selling, marketing and administrative expenses                      20,869                                31.0                                  20,969                 32.3          (0.5)       
 Research and development expense                                    7,665                                 11.4                                  7,548                  11.6          1.6         
 In-process research and development                                 1,163                                 1.7                                   -                      -                         
 Interest (income) expense, net                                      468                                   0.7                                   480                    0.7                       
 Other (income) expense, net                                         1,626                                 2.5                                   2,743                  4.2                       
 Restructuring (income) expense, net                                 -                                     -                                     569                    0.9                       
 Earnings before provision for taxes on income                       13,775                                20.5                                  12,361                 19.0          11.4        
 Provision for taxes on income                                       3,261                                 4.9                                   2,689                  4.1           21.3        
 Net earnings                                                        10,514                                15.6                                  9,672                  14.9          8.7         
 Add: Net loss attributable to noncontrolling interest               339                                   0.5                                   -                      -                         
 Net earnings attributable to Johnson & Johnson                      $    10,853                           16.1                                  $      9,672           14.9          12.2        
                                                                                                                                                                                                  
 Net earnings per share attributable to Johnson & Johnson (Diluted)  $        3.86                                                               $        3.49                        10.6        
                                                                                                                                                                                                  
 Average shares outstanding (Diluted)                                2,812.6                                                                     2,775.3                                          
                                                                                                                                                                                                  
 Effective tax rate                                                  23.7               %                                                        21.8               %                             
                                                                                                                                                                                                  
 Adjusted earnings before provision for taxes and net earnings attributable to Johnson & Johnson (1)                                                                                                   
 Earnings before provision for taxes on income                       $    18,214                           27.1                                  $    17,353            26.7          5.0         
 Net earnings attributable to Johnson & Johnson                      $    14,345                           21.3                                  $    13,867            21.3          3.4         
 Net earnings per share attributable to Johnson & Johnson (Diluted)  $        5.10                                                               $        5.00                        2.0         
 Effective tax rate                                                  21.2               %                                                        20.1               %                             
                                                                                                                                                                                                  
 (1) See Reconciliation of Non-GAAP Financial Measures.                                                                                                                                           


 Johnson & Johnson and Subsidiaries                                                                                                                                                                                                                                                   
 Reconciliation of Non-GAAP Financial Measures                                                                                                                                                                                                                                         
                                                                                                                                                                                                                                                                                  
                                                                                               Fourth Quarter                                            % Incr. /                                 Twelve Months                                            % Incr. /                 
 (Dollars in Millions Except Per Share Data)                                                   2012                        2011                        (Decr.)                                   2012                        2011                       (Decr.)                   
                                                                                                                                                                                                                                                                                  
 Earnings before provision for taxes on income - as reported                                   $  3,100                    318                         874.8         %                           $   13,775                  12,361                     11.4         %            
                                                                                                                                                                                                                                                                                  
 Net litigation loss (gain)                                                                    471                         2,656                                                                 1,229                       3,310                                                
                                                                                                                                                                                                                                                                                  
 In-process research and development                                                           55                          14                                                                    1,163                       14                                                   
                                                                                                                                                                                                                                                                                  
 Synthes integration/transaction costs and currency related                                    406                         277                                                                   1,028                       491                                                  
                                                                                                                                                                                                                                                                                  
 Intangible asset write-downs and other adjustments                                            -                           -                                                                     909                         -                                                    
                                                                                                                                                                                                                                                                                  
 DePuy ASR Hip program                                                                         83                          412                                                                   110                         521                                                  
                                                                                                                                                                                                                                                                                  
 Restructuring                                                                                 -                           (20)                                                                  -                           656                                                  
                                                                                                                                                                                                                                                                                  
 Earnings before provision for taxes on income - as adjusted                                   $  4,115                    3,657                       12.5          %                           $ 18,214                    17,353                     5.0          %            
                                                                                                                                                                                                                                                                                  
 Net Earnings attributable to Johnson & Johnson - as reported                                  $  2,567                    218                         1,077.5       %                           $10,853                     9,672                      12.2         %            
                                                                                                                                                                                                                                                                                  
 Net litigation loss (gain)                                                                    371                         2,239                                                                 1,052                       2,745                                                
                                                                                                                                                                                                                                                                                  
 In-process research and development                                                           59                          11                                                                    743           (1)           11                                                   
                                                                                                                                                                                                                                                                                  
 Synthes integration/transaction costs and currency related                                    306                         338                                                                   899                         477                                                  
                                                                                                                                                                                                                                                                                  
 Intangible asset write-downs and other adjustments                                            -                           -                                                                     701                         -                                                    
                                                                                                                                                                                                                                                                                  
 DePuy ASR Hip program                                                                         73                          336                                                                   97                          426                                                  
                                                                                                                                                                                                                                                                                  
 Restructuring                                                                                 -                           (13)                                                                  -                           536                                                  
                                                                                                                                                                                                                                                                                  
 Net Earnings attributable to Johnson & Johnson - as adjusted                                  $  3,376                    3,129                       7.9           %                           $ 14,345                    13,867                     3.4          %            
                                                                                                                                                                                                                                                                                  
 Diluted Net Earnings per share attributable to Johnson & Johnson - as reported                $    0.91                   0.08                        1,037.5       %                           $      3.86                 3.49                       10.6         %                           
                                                                                                                                                                                                                                                                                  
 Net litigation loss (gain)                                                                    0.13                        0.81                                                                  0.37                        0.99                                                 
                                                                                                                                                                                                                                                                                  
 In-process research and development                                                           0.02                        -                                                                     0.27                        -                                                    
                                                                                                                                                                                                                                                                                  
 Synthes integration/transaction costs and currency related                                    0.11                        0.12                                                                  0.32                        0.17                                                 
                                                                                                                                                                                                                                                                                  
 Intangible asset write-downs and other adjustments                                            -                           -                                                                     0.25                        -                                                    
                                                                                                                                                                                                                                                                                  
 DePuy ASR Hip program                                                                         0.02                        0.12                                                                  0.03                        0.16                                                 
                                                                                                                                                                                                                                                                                  
 Restructuring                                                                                 -                           -                                                                     -                           0.19                                                 
                                                                                                                                                                                                                                                                                  
 Diluted Net Earnings per share attributable to Johnson & Johnson - as adjusted                $   1.19                    1.13                        5.3           %                           $    5.10                   5.00                       2.0          %                           
                                                                                                                                                                                                                                                                                  
                                                                                                                                                                                                                                                                                  
 (1) Amount includes third quarter in-process research and development charge of $679M related to bapineuzumab IV offset by $339M reported as net loss attributable to noncontrolling interest                                                                                                                   
                                                                                                                                                                                                                                                                                  
 The Company believes investors gain additional perspective of underlying business trends and results by providing a measure of earnings before provision for taxes                                                                                                                                             
 on income, net earnings and diluted net earnings per share that excludes special items in order to evaluate ongoing business operations.                                                                                                                                                                   


                                   REPORTED SALES vs. PRIOR PERIOD ($MM)                                                                                              
                                                                                                                                                                    
                                                     % Change                                                           % Change                                
                                   2012       2011   Reported  Operational  (1)  Currency        2012         2011    Reported  Operational  (1)  Currency  
 CONSUMER SEGMENT  (2)                                                                                                                                      
 BABY CARE                                                                                                                                                  
 US                                $     103  103    0.0%      0.0%              -               $       412  418     -1.4%     -1.4%             -         
 Intl                              469        465    0.9%      3.5%              -2.6%           1,842        1,922   -4.2%     1.1%              -5.3%     
 WW                                572        568    0.7%      2.8%              -2.1%           2,254        2,340   -3.7%     0.6%              -4.3%     
 ORAL CARE                                                                                                                                                  
 US                                165        173    -4.6%     -4.6%             -               641          656     -2.3%     -2.3%             -         
 Intl                              251        239    5.0%      6.6%              -1.6%           983          968     1.5%      6.9%              -5.4%     
 WW                                416        412    1.0%      2.0%              -1.0%           1,624        1,624   0.0%      3.2%              -3.2%     
 OTC/NUTRITIONALS                                                                                                                                           
 US                                356        370    -3.8%     -3.8%             -               1,424        1,429   -0.3%     -0.3%             -         
 Intl                              802        766    4.7%      5.7%              -1.0%           2,930        2,973   -1.4%     3.4%              -4.8%     
 WW                                1,158      1,136  1.9%      2.6%              -0.7%           4,354        4,402   -1.1%     2.1%              -3.2%     
 SKIN CARE                                                                                                                                                  
 US                                385        403    -4.5%     -4.5%             -               1,699        1,654   2.7%      2.7%              -         
 Intl                              509        541    -5.9%     -3.4%             -2.5%           1,919        2,061   -6.9%     -2.0%             -4.9%     
 WW                                894        944    -5.3%     -3.9%             -1.4%           3,618        3,715   -2.6%     0.1%              -2.7%     
 WOMEN'S HEALTH                                                                                                                                             
 US                                82         89     -7.9%     -7.9%             -               336          439     -23.5%    -23.5%            -         
 Intl                              325        309    5.2%      9.4%              -4.2%           1,289        1,353   -4.7%     2.3%              -7.0%     
 WW                                407        398    2.3%      5.5%              -3.2%           1,625        1,792   -9.3%     -4.0%             -5.3%     
 WOUND CARE/OTHER                                                                                                                                           
 US                                112        110    1.8%      1.8%              -               534          555     -3.8%     -3.8%             -         
 Intl                              93         100    -7.0%     -8.0%             1.0%            438          455     -3.7%     0.6%              -4.3%     
 WW                                205        210    -2.4%     -2.9%             0.5%            972          1,010   -3.8%     -1.8%             -2.0%     
                                                                                                                                                            
 TOTAL CONSUMER                                                                                                                                             
 US                                1,203      1,248  -3.6%     -3.6%             -               5,046        5,151   -2.0%     -2.0%             -         
 Intl                              2,449      2,420  1.2%      3.2%              -2.0%           9,401        9,732   -3.4%     1.9%              -5.3%     
 WW                                $  3,652   3,668  -0.4%     0.9%              -1.3%           $ 14,447     14,883  -2.9%     0.5%              -3.4%     
                                                                                                                                                            
                                                                                                                                                            
 See footnotes at end of schedule                                                                                                                           


                                   REPORTED SALES vs. PRIOR PERIOD ($MM)                                                                                          
                                                                                                                                                                
                                                    % Change                                                        % Change                                
                                   2012      2011   Reported  Operational  (1)  Currency        2012       2011   Reported  Operational  (1)  Currency  
 PHARMACEUTICAL SEGMENT   (2) (4)                                                                                                                       
 IMMUNOLOGY                                                                                                                                             
 US                                $  1,448  1,401  3.4%      3.4%              -               $   5,972  5,751  3.8%      3.8%              -         
 Intl                              528       395    33.7%     35.7%             -2.0%           1,902      1,047  81.7%     86.3%             -4.6%     
 WW                                1,976     1,796  10.0%     10.4%             -0.4%           7,874      6,798  15.8%     16.9%             -1.1%     
 REMICADE                                                                                                                                               
 US                                871       776    12.2%     12.2%             -               3,583      3,276  9.4%      9.4%              -         
 US Exports  (3)                   347       437    -20.6%    -20.6%            -               1,470      1,797  -18.2%    -18.2%            -         
 Intl                              286       215    33.0%     34.4%             -1.4%           1,086      419    *         *                 -4.5%     
 WW                                1,504     1,428  5.3%      5.5%              -0.2%           6,139      5,492  11.8%     12.6%             -0.8%     
 SIMPONI                                                                                                                                                
 US                                72        62     16.1%     16.1%             -               292        235    24.3%     24.3%             -         
 Intl                              109       57     91.2%     96.8%             -5.6%           315        175    80.0%     87.5%             -7.5%     
 WW                                181       119    52.1%     54.8%             -2.7%           607        410    48.0%     51.2%             -3.2%     
 STELARA                                                                                                                                                
 US                                158       126    25.4%     25.4%             -               627        443    41.5%     41.5%             -         
 Intl                              111       81     37.0%     40.1%             -3.1%           398        295    34.9%     42.4%             -7.5%     
 WW                                269       207    30.0%     31.2%             -1.2%           1,025      738    38.9%     41.9%             -3.0%     
 OTHER IMMUNOLOGY                                                                                                                                       
 US                                -         -      -         -                 -               -          -      -         -                 -         
 Intl                              22        42     -47.6%    -49.4%            1.8%            103        158    -34.8%    -33.0%            -1.8%     
 WW                                22        42     -47.6%    -49.4%            1.8%            103        158    -34.8%    -33.0%            -1.8%     
 INFECTIOUS DISEASES                                                                                                                                    
 US                                236       210    12.4%     12.4%             -               974        1,401  -30.5%    -30.5%            -         
 Intl                              620       506    22.5%     26.7%             -4.2%           2,220      1,788  24.2%     32.1%             -7.9%     
 WW                                856       716    19.6%     22.6%             -3.0%           3,194      3,189  0.2%      4.6%              -4.4%     
 INTELENCE                                                                                                                                              
 US                                46        45     2.2%      2.2%              -               176        163    8.0%      8.0%              -         
 Intl                              38        38     0.0%      1.7%              -1.7%           173        151    14.6%     22.2%             -7.6%     
 WW                                84        83     1.2%      2.0%              -0.8%           349        314    11.1%     14.8%             -3.7%     
 LEVAQUIN/FLOXIN                                                                                                                                        
 US                                -         (6)    *         *                 -               35         579    -94.0%    -94.0%            -         
 Intl                              10        11     -9.1%     -10.5%            1.4%            40         44     -9.1%     -5.8%             -3.3%     
 WW                                10        5      100.0%    97.2%             2.8%            75         623    -88.0%    -87.8%            -0.2%     
 PREZISTA                                                                                                                                               
 US                                165       143    15.4%     15.4%             -               672        529    27.0%     27.0%             -         
 Intl                              188       173    8.7%      12.2%             -3.5%           742        682    8.8%      16.3%             -7.5%     
 WW                                353       316    11.7%     13.6%             -1.9%           1,414      1,211  16.8%     21.0%             -4.2%     
 OTHER INFECTIOUS DISEASES                                                                                                                              
 US                                25        28     -10.7%    -10.7%            -               91         130    -30.0%    -30.0%            -         
 Intl                              384       284    35.2%     40.5%             -5.3%           1,265      911    38.9%     47.3%             -8.4%     
 WW                                409       312    31.1%     35.9%             -4.8%           1,356      1,041  30.3%     37.7%             -7.4%     
                                                                                                                                                        


                           REPORTED SALES vs. PRIOR PERIOD ($MM)                                                                                   
                                                                                                                                                 
                                         % Change                                                    % Change                                
                           2012   2011   Reported  Operational  (1)  Currency        2012   2011   Reported  Operational  (1)  Currency  
                                                                                                                                         
 NEUROSCIENCE                                                                                                                            
 US                        601    611    -1.6%     -1.6%             -               2,611  2,617  -0.2%     -0.2%             -         
 Intl                      1,088  1,128  -3.5%     -1.6%             -1.9%           4,107  4,331  -5.2%     -0.8%             -4.4%     
 WW                        1,689  1,739  -2.9%     -1.6%             -1.3%           6,718  6,948  -3.3%     -0.5%             -2.8%     
 CONCERTA/METHYLPHENIDATE                                                                                                                
 US                        116    155    -25.2%    -25.2%            -               609    822    -25.9%    -25.9%            -         
 Intl                      127    119    6.7%      8.1%              -1.4%           464    446    4.0%      8.8%              -4.8%     
 WW                        243    274    -11.3%    -10.7%            -0.6%           1,073  1,268  -15.4%    -13.7%            -1.7%     
 INVEGA                                                                                                                                  
 US                        76     66     15.2%     15.2%             -               299    285    4.9%      4.9%              -         
 Intl                      71     59     20.3%     23.0%             -2.7%           251    214    17.3%     22.0%             -4.7%     
 WW                        147    125    17.6%     18.9%             -1.3%           550    499    10.2%     12.2%             -2.0%     
 INVEGA SUSTENNA/ XEPLION                                                                                                                
 US                        132    99     33.3%     33.3%             -               482    319    51.1%     51.1%             -         
 Intl                      96     36     *         *                 -2.4%           314    59     *         *                 -5.7%     
 WW                        228    135    68.9%     69.9%             -1.0%           796    378    *         *                 -2.2%     
 RISPERDAL CONSTA                                                                                                                        
 US                        103    108    -4.6%     -4.6%             -               439    443    -0.9%     -0.9%             -         
 Intl                      255    277    -7.9%     -5.8%             -2.1%           986    1,140  -13.5%    -8.6%             -4.9%     
 WW                        358    385    -7.0%     -5.5%             -1.5%           1,425  1,583  -10.0%    -6.4%             -3.6%     
 OTHER NEUROSCIENCE                                                                                                                      
 US                        174    183    -4.9%     -4.9%             -               782    748    4.5%      4.5%              -         
 Intl                      539    637    -15.4%    -13.7%            -1.7%           2,092  2,472  -15.4%    -11.9%            -3.5%     
 WW                        713    820    -13.0%    -11.7%            -1.3%           2,874  3,220  -10.7%    -8.0%             -2.7%     
 ONCOLOGY                                                                                                                                
 US                        135    95     42.1%     42.1%             -               506    331    52.9%     52.9%             -         
 Intl                      684    468    46.2%     49.7%             -3.5%           2,123  1,717  23.6%     29.7%             -6.1%     
 WW                        819    563    45.5%     48.5%             -3.0%           2,629  2,048  28.4%     33.3%             -4.9%     
 DOXIL/CAELYX                                                                                                                            
 US                        21     10     *         *                 -               43     140    -69.3%    -69.3%            -         
 Intl                      9      29     -69.0%    -68.3%            -0.7%           40     262    -84.7%    -83.5%            -1.2%     
 WW                        30     39     -23.1%    -22.6%            -0.5%           83     402    -79.4%    -78.6%            -0.8%     
 VELCADE                                                                                                                                 
 US                        -      -      -         -                 -               -      -      -         -                 -         
 Intl                      502    352    42.6%     47.6%             -5.0%           1,500  1,274  17.7%     24.5%             -6.8%     
 WW                        502    352    42.6%     47.6%             -5.0%           1,500  1,274  17.7%     24.5%             -6.8%     
 ZYTIGA                                                                                                                                  
 US                        114    85     34.1%     34.1%             -               463    191    *         *                 -         
 Intl                      150    67     *         *                 -3.8%           498    110    *         *                 -7.0%     
 WW                        264    152    73.7%     75.8%             -2.1%           961    301    *         *                 -3.7%     
 OTHER ONCOLOGY                                                                                                                          
 US                        -      -      -         -                 -               -      -      -         -                 -         
 Intl                      23     20     15.0%     18.8%             -3.8%           85     71     19.7%     25.5%             -5.8%     
 WW                        23     20     15.0%     18.8%             -3.8%           85     71     19.7%     25.5%             -5.8%     
                                                                                                                                         


                       REPORTED SALES vs. PRIOR PERIOD ($MM)                                                                                                   
                                                                                                                                                             
                                                 % Change                                                        % Change                                
                       2012         2011         Reported  Operational  (1)  Currency        2012      2011    Reported  Operational  (1)  Currency  
 TOTAL OTHER                                                                                                                                         
 US                    593          570          4.0%      4.0%              -               2,358     2,286   3.1%      3.1%              -         
 Intl                  592          710          -16.6%    -15.5%            -1.1%           2,578     3,099   -16.8%    -12.4%            -4.4%     
 WW                    1,185        1,280        -7.4%     -6.8%             -0.6%           4,936     5,385   -8.3%     -5.8%             -2.5%     
 ACIPHEX/PARIET                                                                                                                                      
 US                    92           110          -16.4%    -16.4%            -               372       414     -10.1%    -10.1%            -         
 Intl                  94           144          -34.7%    -33.9%            -0.8%           463       561     -17.5%    -11.8%            -5.7%     
 WW                    186          254          -26.8%    -26.4%            -0.4%           835       975     -14.4%    -11.1%            -3.3%     
 PROCRIT/EPREX                                                                                                                                       
 US                    171          191          -10.5%    -10.5%            -               805       814     -1.1%     -1.1%             -         
 Intl                  155          177          -12.4%    -11.0%            -1.4%           657       809     -18.8%    -13.7%            -5.1%     
 WW                    326          368          -11.4%    -10.7%            -0.7%           1,462     1,623   -9.9%     -7.4%             -2.5%     
 OTHER                                                                                                                                               
 US                    330          269          22.7%     22.7%             -               1,181     1,058   11.6%     11.6%             -         
 Intl                  343          389          -11.8%    -10.8%            -1.0%           1,458     1,729   -15.7%    -12.1%            -3.6%     
 WW                    673          658          2.3%      2.9%              -0.6%           2,639     2,787   -5.3%     -3.1%             -2.2%     
                                                                                                                                                     
 TOTAL PHARMACEUTICAL                                                                                                                                
 US                    3,013        2,887        4.4%      4.4%              -               12,421    12,386  0.3%      0.3%              -         
 Intl                  3,512        3,207        9.5%      12.1%             -2.6%           12,930    11,982  7.9%      13.6%             -5.7%     
 WW                    $  6,525     6,094        7.1%      8.5%              -1.4%           $ 25,351  24,368  4.0%      6.8%              -2.8%     
                                                                                                                                                     
                                                                                                                                                     
 See footnotes at end of schedule                                                                                                                      


                                            REPORTED SALES vs. PRIOR PERIOD ($MM)                                                                                                                                    
                                                                                                                                                                                                                   
                                                                                      % Change                                                                         % Change                                
                                            2012                 2011                 Reported             Operational  (1)     Currency        2012         2011    Reported  Operational  (1)  Currency  
 MEDICAL DEVICES AND DIAGNOSTICS    (2)(4)                                                                                                                                                                 
 CARDIOVASCULAR CARE                                                                                                                                                                                       
 US                                         $     186            191                  -2.6%                -2.6%                -               $       752  841     -10.6%    -10.6%            -         
 Intl                                       320                  349                  -8.3%                -6.6%                -1.7%           1,233        1,447   -14.8%    -11.5%            -3.3%     
 WW                                         506                  540                  -6.3%                -5.2%                -1.1%           1,985        2,288   -13.2%    -11.1%            -2.1%     
 DIABETES CARE                                                                                                                                                                                             
 US                                         295                  330                  -10.6%               -10.6%               -               1,312        1,312   0.0%      0.0%              -         
 Intl                                       349                  340                  2.6%                 5.2%                 -2.6%           1,304        1,340   -2.7%     2.8%              -5.5%     
 WW                                         644                  670                  -3.9%                -2.6%                -1.3%           2,616        2,652   -1.4%     1.4%              -2.8%     
 DIAGNOSTICS                                                                                                                                                                                               
 US                                         258                  280                  -7.9%                -7.9%                -               1,025        1,091   -6.0%     -6.0%             -         
 Intl                                       272                  274                  -0.7%                1.3%                 -2.0%           1,044        1,073   -2.7%     1.0%              -3.7%     
 WW                                         530                  554                  -4.3%                -3.3%                -1.0%           2,069        2,164   -4.4%     -2.6%             -1.8%     
 INFECTION PREVENTION/OTHER                                                                                                                                                                                
 US                                         86                   94                   -8.5%                -8.5%                -               399          377     5.8%      5.8%              -         
 Intl                                       160                  144                  11.1%                13.6%                -2.5%           553          529     4.5%      8.2%              -3.7%     
 WW                                         246                  238                  3.4%                 4.9%                 -1.5%           952          906     5.1%      7.2%              -2.1%     
 ORTHOPAEDICS                                                                                                                                                                                              
 US                                         1,246                775                  60.8%                60.8%                -               4,144        3,093   34.0%     34.0%             -         
 Intl                                       1,142                678                  68.4%                70.1%                -1.7%           3,655        2,716   34.6%     38.7%             -4.1%     
 WW                                         2,388                1,453                64.3%                65.1%                -0.8%           7,799        5,809   34.3%     36.2%             -1.9%     
 SPECIALTY SURGERY                                                                                                                                                                                         
 US                                         326                  327                  -0.3%                -0.3%                -               1,297        1,226   5.8%      5.8%              -         
 Intl                                       329                  307                  7.2%                 9.5%                 -2.3%           1,229        1,181   4.1%      8.9%              -4.8%     
 WW                                         655                  634                  3.3%                 4.4%                 -1.1%           2,526        2,407   4.9%      7.2%              -2.3%     
 SURGICAL CARE                                                                                                                                                                                             
 US                                         618                  639                  -3.3%                -3.3%                -               2,415        2,465   -2.0%     -2.0%             -         
 Intl                                       1,049                1,055                -0.6%                1.9%                 -2.5%           4,068        4,172   -2.5%     2.1%              -4.6%     
 WW                                         1,667                1,694                -1.6%                0.0%                 -1.6%           6,483        6,637   -2.3%     0.6%              -2.9%     
 VISION CARE                                                                                                                                                                                               
 US                                         229                  214                  7.0%                 7.0%                 -               1,019        966     5.5%      5.5%              -         
 Intl                                       516                  496                  4.0%                 6.1%                 -2.1%           1,977        1,950   1.4%      3.7%              -2.3%     
 WW                                         745                  710                  4.9%                 6.4%                 -1.5%           2,996        2,916   2.7%      4.3%              -1.6%     
                                                                                                                                                                                                           
 TOTAL MEDICAL DEVICES AND DIAGNOSTICS                                                                                                                                                                     
 US                                         3,244                2,850                13.8%                13.8%                -               12,363       11,371  8.7%      8.7%              -         
 Intl                                       4,137                3,643                13.6%                15.8%                -2.2%           15,063       14,408  4.5%      8.6%              -4.1%     
 WW                                         $  7,381             6,493                13.7%                14.9%                -1.2%           $ 27,426     25,779  6.4%      8.7%              -2.3%     
                                                                                                                                                                                                           
 * Percentage greater than 100%                                                                                                                                                                            
 (1) Operational growth excludes the effect of currency                                                                                                                                                      
 (2) Select areas (unaudited)                                                                                                                                                                              
 (3) Reported as U.S. sales                                                                                                                                                                                
 (4) Prior year amounts have been reclassified to conform to current year product disclosure                                                                                                                   


SOURCE  Johnson & Johnson


Press Contacts: Carol Goodrich, +1-732-524-6678 or cell, +1-973-615-4057 or Al
Wasilewski, +1-732-524-1130 or cell, +1-732-447-5918; or Investor Contacts:
Louise Mehrotra, +1-732-524-6491 or Stan Panasewicz, +1-732-524-2524 or Lesley
Fishman, +1-732-524-3922 or Ellen Sipos, +1-732-524-3709

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