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CONSUMER

Consumer sales were $14.6 billion, a decline of approximately 9 percent operationally. Sales were impacted by McNeil recalls, as well as the general economic slowdown and greater consumer sensitivity to spending, reflected in a broad move towards store brands and smaller sizes in certain markets. Despite the headwinds, we saw positive momentum in emerging markets, where sales grew by double digits.

Operational sales decreased in most of our consumer franchises. However, we saw growth in many product lines, including DABAO® skin care products, NICORETTE®, JOHNSON’S®, AVEENO® and LE PETIT MARSEILLAIS®, where our science-based innovations and expansion into emerging markets continued to drive strong results. We also introduced new product innovations and line extensions to iconic brands, such as JOHNSON’S® NATURAL®, LISTERINE® ZERO™, PRECISE™ from the makers of TYLENOL®, ZYRTEC® Liquid Gels and CYTOMIMIC™ technology in several new skin care products.

Our Consumer business continues to distinguish itself with science-based innovations, proprietary technologies and recommendations by health care professionals. More than a billion people around the world count on our consumer products for themselves and their families.

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Pharmaceutical Segment Sales