The Pharm Exec 50 - Pharmaceutical Executive

HOLDING
PATTERN
The industry experienced solid growth in 2006, but the real
action was among the midsize companies.That leaves us
wondering: How long can Big Pharma hold on to its turf?
BY PHARM EXEC STAFF
THE PHARM EXEC 50
1 Pfizer
2 GlaxoSmithKline
3 Sanofi-Aventis
4 Novartis
5 AstraZeneca
6 Johnson & Johnson
7 Merck
8 Roche
9 Lilly
10 Wyeth
11 Bristol-Myers Squibb
12 Amgen
13 Abbott
14 Boehringer-Ingelheim
15 Bayer
16 Takeda
17 Schering-Plough
18 Teva
19 Genentech
20 Schering AG
21 Astellas Pharma
22 Novo Nordisk
23 Merck KGaA
24 Eisai
25 Otsuka
26 Baxter
27 Solvay
28 Altana
29 UCB
30 Forest
31 Chugai
32 Allergan
33 Genzyme
34 Gilead Sciences
35 Serono
36 Akzo Nobel
37 Alcon
38 CSL
39 King Pharmaceuticals
40 Watson
41 Biogen Idec
42 Mitsubishi Pharma
43 Cephalon
44 Lundbeck
45 Dainippon Sumitomo
46 Shire
47 Nycomed Pharma
48 Shionogi Seiyaku
49 Actavis
50 Tanabe Seiyaku

The number that
may be keeping
new Pfizer CEO
Jeffrey Kindler up
at night is the
2 percent growth
in sales—a far cry
from GSK’s 15
percent, Sanofi’s
16 percent, and the
18 percent growth
scored by Novartis
SOME NOTES ON THE LIST
Figures in virtually all cases are based on numbers
found in companies’ annual reports or SEC filings.
Companies are ranked by their human prescription
drug sales.To the extent possible, we include
prescription generics and vaccines.We exclude
over-the-counter products, royalty income, animalhealth
products, sales of bulk pharmaceuticals and
active pharmaceutical ingredients, and revenue
from contract manufacturing.This is a less-thanperfect
process, since some companies break out
their sales figures in other ways and because some
major products are sold as Rx and OTC products in
different countries.There are handful of companies
that may belong on the list but for which we have
never been able to obtain reliable numbers. Most of
them are privately held, like Menarini. Procter &
Gamble probably also belongs on the list, but by
policy it declines to divulge revenue figures for its
pharmaceutical unit.When necessary, we have
converted foreign currencies to US dollars.The
percentage growth figure is calculated based on
US dollars. Because of changing currency exchange
rates, this calculation exaggerates the growth of
many European companies.
A Special
Report on the
World’s Top 50
Pharma
Companies
Pfizer, Pfizer, Pfizer. Depending on your
point of view, it’s ironic, inspiring, or
merely interesting that the company that
staggered out of 2006 with its every vulnerability
and vanity exposed in the media glare
nonetheless finishes in Pharm Exec’s winner’s
circle for the eighth year running.
A rat-a-tat of patent expirations on bigticket
products and big-time blowouts in its
late-stage pipeline have made Pfizer Exhibit A
in the growing case against the industry’s
blockbuster model, yet the drug juggernaut
still raked in $45.08 billion in sales. That puts
the feisty firm solidly ahead of its closest competitors:
GlaxoSmithKline, with $39.21 billion,
and Sanofi-Aventis, with $37.43 billion.
The number that may be keeping new Pfizer
CEO Jeffrey Kindler up at night, though, is the
company’s 2 percent growth in sales—a far cry
from GSK’s 15 percent, Sanofi’s 16 percent,
and the 18 percent scored by Novartis.
In fact, for all the doom-and-gloom ink
spilled about pharma’s fortunes, the industry
performed surprising well, with $643 billion in
global sales. And, thanks mainly to Medicare
Part D success, prescription revenues in the
United States rose by 8.3 percent.
As for company rankings, the keyword was
stability, with Pfizer, GSK, Sanofi-Aventis, Novartis,
AstraZeneca, J&J, and Merck all topping the
charts for the fourth year, while Wyeth, Roche,
Lilly, and Bristol-Myers Squibb juggled places
just below. Roche grew 31 percent to nearly $17
billion, jumping from 12th to eighth—without
PHARMACEUTICAL EXECUTIVE 99
counting revenue from its majority stake in
Genentech. Equally notable was BMS’s fall from
grace, down 9 percent in sales and out of the Top
10 for the first time since this ranking began—
thanks to the at-risk launch of generic Plavix and
patent expiry on Pravachol.
Still, there was evidence that the global market
remains in the grip of trends that Big
Pharma has yet to master. As IMS analyst Murray
Aitken says, “We continue to see a shift in
growth away from mature markets to emerging
ones, and from primary care classes to biotech
and specialist-driven therapies.” In 2006, specialty
drugs contributed 62 percent of total
growth—a giant jump from its 2000 delivery of
35 percent. The top news of our Top 50 may
well be the success of the specialty firms.
Cephalon, for example, makes its Top 50 debut,
and Gilead, led by sales of Truvada, recorded
43 percent growth. In 2006, Nycomed Pharma
also made the Top 50 list. Watch for additional
growth next year: In December 2006, the company
snatched up German pharma Altana, a
company almost twice its size.
At the same time, generics companies continued
to benefit from the worldwide focus on
cost cutting. Iceland-based Actavis recorded a
whopping 219 percent growth, while Teva—
buoyed by its six-month exclusivity on generic
Zocor and Zoloft—grew 65 percent.
With these dynamics, 2007 is shaping up as a
decisive year. As the competition between large
and midsize pharmas boils over, we can only
wonder how long this stability will last.

100 PHARMACEUTICAL EXECUTIVE
MAY 2007 www.pharmexec.com
Rank Company & Headquarters 2006 Global Pharma R&D 2006 Top-
[’05 Rank] [Web site] Sales [change from 2005] Spend Selling Drugs [2006 sales]
1[1]
2[2]
3[3]
4[4]
5[5]
6[6]
7[7]
8[12]
9[10]
10 [8]
Pfizer $45.08 B [2%] $7,599 M
New York, NY [pfizer.com]
GlaxoSmithKline $39.21 B [15%] $6,549 M
London, England [gsk.com]
Sanofi-Aventis $37.43 [16%] $5,844 M
Paris, France [sanofi-aventis.com]
Novartis $29.49 B [18%] $5,474 M
Basel, Switzerland [novartis.com]
AstraZeneca $26.48 B [11%] $3,902 M
London, England [astrazeneca.com]
Johnson & Johnson $23.27 B [4%] $5,000 M
New Brunswick, NJ [jnj.com]
Merck $22.64 B [3%] $4,783 M
Whitehouse Station, NJ [merck.com]
Roche $16.86 B [31%] $2,695 M
Basel, Switzerland [roche.com]
Lilly $15.69 B [7%] $3,129 M
Indianapolis, IN [lilly.com]
Wyeth $15.68 B [10%] $2,896 M
Madison, NJ [wyeth.com]
Key Insights on the Top 10
GlaxoSmithKline » Tests
HPV vaccine Cervarix head-tohead
against Merck’s Gardasil.
» Cuts marketing budget, consolidating
professional advertising
under one holding company.
» Submits oral breast cancer
drug Tykerb for FDA approval
after promising results. »
Launches first-line diabetes
treatment Avandamet.
Novartis » Completes
acquisition of biotech Chiron,
building strength in vaccines.
» Launches two new drugs for
hypertension, Exforge and
Tekturna. » Faces setback
when FDA requests more
safety data on DPP-4 inhibitor
Galvus. » Reaches agreement
to sell medical nutrition unit,
including Gerber, to Nestle. »
Gleevec gets broader label.
Merck » Slashes price of Zocor after
LDL-lowerer goes off-patent. » Self-commissioned
Martin Report absolves managers
of any wrongdoing related to Vioxx
marketing. » DTC ads for HPV vaccine
Gardasil garner praise, but mandatory
vaccination push draws criticism. »
Beats Novartis to market with first-inclass
diabetes drug Januvia, a DPP-4
inhibitor. » Admits to developing a CETPinhibitor
in the same class as failed
torcetrapib. » Acquires biotech Sirna
Therapeutics to develop RNAi therapies.
» Partners with Schering-Plough on
Zetia/atorvastatin combo pill.
Roche » Starts
shopping spree to
license or acquire
biotech products. »
Defends Tamiflu
after fears raised
about side effects,
drug shortages.
Lilly » NY Times
accuses company
of inappropriately
marketing Zyprexa.
» Acquires Cialis
partner Icos. » Inks
diabetic retinopathy
deal with Alcon.
J&J » Acquires
Pfizer’s consumer
brands. » Defends
against lawsuits
charging that birth
control patch Ortho
Evra raises clot risk.
Lipitor $12.89 B
Norvasc $4.87 B
Zoloft $2.11 B
Wyeth » HRT
sales rebound
despite cancer,
cardio concerns. »
365-day contraceptive
Lybrel gets FDA
approvable letter.
Pfizer » In July, Jeff Kindler steps up as
CEO, replacing Hank McKinnell. » Phase
III results show that HDL-booster torcetrapib
plus Lipitor causes more deaths
than Lipitor alone. » Restructures operations
into five business units and trims
10 percent of its workforce. » Cuts 20
percent of its sales force while pledging
to ramp up communication with payers
and patients. » Launches new consumer
campaigns for products such as Lipitor,
Celebrex, Chantix, and Caduet. » Sells
consumer business to J&J to become
pure-play pharma company. » Launches,
and then relaunches, inhaled insulin product
Exubera.
Seretide/Advair $6.47 B
Avandia/Avandament $3.22 B
Lamictal $1.95 B
Lovenox $3.21 B
Plavix $2.94 B
Stilnox/Ambien/Ambien CR $2.67 B
Diovan $4.22 B
Gleevec/Glivec $2.55 B
Lotrel $1.35 B
Nexium $5.18 B
Seroquel $3.42 B
Crestor $2.03 B
Risperdal $4.18 B
Eprex/Procrit $3.18 B
Remicade $3.01 B
Singulair $3.58 B
Cozaar/Hyzaar $3.16 B
Fosamax $3.13 B
MabThera/Rituxan $3.95 B
Herceptin $3.20 B
Avastin $2.42 B
Zyprexa $4.36 B
Gemzar $1.41 B
Cymbalta $1.32 B
Effexor $3.72 B
Prevnar $1.96 B
Protonix $1.80 B
AstraZeneca »
Partners with
Abbott on cholesterol
drug combining
a fibrate with
Crestor. » Hit by
late-phase setbacks
on products
like Galida, Exanta,
and a stroke
drug. » Purchases
Cambridge Antibody
Technology.
Sanofi-Aventis
» FDA further
delays decision on
Acomplia. » Heads
to court to defend
Plavix patent. »
Updates safety
data on both Ketek
and Ambien labels.

102 PHARMACEUTICAL EXECUTIVE
MAY 2007 www.pharmexec.com
Rank Company & Headquarters 2006 Global Pharma R&D 2006 Top-
[’05 Rank] [Web site] Sales [change from 2005] Spend Selling Drugs [2006 sales]
11 [9]
12 [13]
13 [11]
14 [14]
15 [18]
Bristol-Myers Squibb $13.86 B [-9%] $3,067 M Plavix $3.25 B
New York, NY [bms.com]
Amgen $13.86 B [15%] $3,366 M Aranesp $4.12 B
Thousand Oaks, CA [amgen.com]
TOP 10 US PRODUCTS OF 2006
Product [Maker] 2006 Sales in billions Growth in Sales
1. Lipitor [Pfizer] $8.6 3.6%
2. Nexium [AstraZeneca] $5.1 18.6%
3. Advair Diskus [GlaxoSmithKline] $3.9 11.4%
4. Aranesp [Amgen] $3.9 44.4%
5. Prevacid [TAP] $3.5 -7.9%
6. Epogen [Amgen] $3.2 10.3%
7. Zocor [Merck] $3.1 -29.5%
8. Enbrel [Amgen/Wyeth] $3.0 11.1%
9. Seroquel [AstraZeneca] $3.0 15.4%
10. Singulair [Merck] $3.0 20%
Aranesp Ara was
UP UP 44 44% 4% 4%
TOP 10 GLOBAL PRODUCTS OF 2006
Product [Maker] 2006 Sales in billions Growth in Sales
1. Lipitor [Pfizer] $13.6 4.2%
2. Nexium [AstraZeneca] $6.7 16.9%
3. Seretide/Advair [GlaxoSmithKline] $6.3 10.3%
4. Plavix [Sanofi-Aventis/BMS] $5.8 -3.4%
5. Norvasc [Pfizer] $5.0 -0.5%
6. Aranesp [Amgen] $5.0 35.6%
7. Zyprexa [Lilly] $4.7 -0.4%
8. Risperdal [Janssen-Ortho] $4.6 12.3%
9. Enbrel [Amgen/Wyeth] $4.5 18.4%
10. Effexor [Wyeth] $4.0 2.7%
A PharmExec Graphic
16 [15]
17[17]
18 [23]
19 [20]
20 [19]
Abbott $12.40 B [-9%] $2,255 M Humira $2.04 B
Abbott Park, IL [abbott.com]
Boehringer-Ingelheim $10.96 B [29%] $2,015 M Spiriva $1.82 B
Ingelheim, Germany [boehringer-ingelheim.com]
Bayer $9.87 B [105%] $1,881 M Kogenate $1.04 B
Leverkusen, Germany [bayer.com]
Glo Global Glo o growth owth owth
f Aranesp Aranesp Aranesp
in 2006
UP UP UP U 36 36 36 3 %%%%%
in in in 22006
20
Takeda $8.68 B [2%] $1,444 M Actos $.02 B
Osaka, Japan [takeda.com]
Schering-Plough $8.56 B [13%] $2,188 M Remicade $1.24 B
Kenilworth, NJ [sch-plough.com]
Teva $7.82 B [65%] $495 M Copaxone $1.41 B
Petach, Tikva, Israel [tevapharm.com]
Genentech $7.64 B [39%] $1,773 M Rituxan $2.07 B
South San Francisco, CA [gene.com]
Schering AG $7.48 B [19%] $3,520 M Betaferon $1.31 B
Berlin, Germany [schering.de]
SOURCE: IMS MIDAS, MAT Dec 2006 SOURCE: IMS Heatlh

106 PHARMACEUTICAL EXECUTIVE
MAY 2007 www.pharmexec.com
Rank Company & Headquarters 2006 Global Pharma R&D 2006 Top-
[’05 Rank] [Web site] Sales [change from 2005] Spend Selling Drugs [2006 sales]
21 [16]
22 [21]
23 [24]
24 [22]
25 [26]
TOP 10 COMPANIES BY US SALES
Company Total Sales US billions
1. Pfizer $26.7
2. GlaxoSmithKline $21.7
3. Merck $16.5
4. Johnson & Johnson $16.0
5. AstraZeneca $14.6
6. Amgen $14.5
7. Novartis $13.8
8. Sanofi-Aventis $10.9
9. Roche $10.2
10. Lilly $9.2
[31]
THE NUMBER
OF NEW
PRODUCTS
THAT WERE
LAUNCHED
IN 2006
26 [29]
27[33]
28 [31]
29 [34]
30 [27]
Astellas Pharma $7.09 B [-8%] $1,189 M Prograf $1.22 B
Tokyo, Japan [astellas.com]
Novo Nordisk $6.85 B [28%] $689 M Human Insulin $2.59 B
Bagsvaerd, Denmark [novonordisk.com]
Merck KGAA $4.91 B [6%] $797 M Concor family of products $0.46 B
Darmstadt, Germany [merck.de]
Eisai $4.85 B [2%] $1,328 M Aricept $1.64 B
Tokyo, Japan [eisai.co.jp]
Otsuka $4.14 B [25%] $883 M Abilify N/A
Tokyo, Japan [otsuka.co.jp]
With a growth rate
of 20 percent in 2006,
“biologics” is still the
fastest-growing segment
in the pharmaceutical
market. It generated
$40.3 billion in sales
in 2006.
[8.3%]
AMOUNT SALES GREW
IN THE US FOR 2006.
TOTAL US SALES WERE
$274.8 BILLION,
COMPARED WITH
$253.7 BILLION IN 2005
TOP 10 MOVERS
Company Total Sales US billions [Market Share]
1. Actavis 219%
2. Bayer 105%
3. Nycomed Pharma 70%
4. Teva 65%
5. Cephalon 48%
6. Dainippon Sumitomo 44%
7. Gilead 43%
8. Genentech 39%
9. Roche 31%
10. Boehringer-Ingelheim 29%
A PharmExec Graphic
Baxter $3.88 B [28%] $614 M Advate $0.85 B
Deerfield, IL [baxter.com]
Solvay $3.43 B [28%] $559 M TriCor/Lipanthyl $0.54 B
Brussels, Belgium [solvay.com]
Altana* $2.98 B [22%] $653 M Protonix $2.05 B
Bad Homburg, Germany [altana.com]
UCB $2.89 B [19%] $811 M Keppra $1.00 B
Brussels, Belgium [ucb-group.com]
Forest $2.79 B [-9%] $410 M Lexapro $1.87 B
New York, NY [frx.com]
*Altana and Nycomed merged in December 2006, but we reported the numbers as if they completed the year independently.
SOURCE: IMS Heatlh, MIDAS, December 2006
SOURCE: PHARM EXEC 50 (right); IMS (left)

108 PHARMACEUTICAL EXECUTIVE
MAY 2007 www.pharmexec.com
Rank Company & Headquarters 2006 Global Pharma R&D 2006 Top-
[’05 Rank] [Web site] Sales [change from 2005] Spend Selling Drugs [2006 sales]
31 [32]
32 [37]
33 [35]
34 [39]
35 [36]
Chugai $2.73 B [-2%] $457 M Epogin $0.53 B
Tokyo, Japan [chugai-pharm.co.jp]
Allergan $2.64 B [16%] $476 M Botox $0.98 B
Irvine, CA [allergan.com]
GLOBAL PHARMACEUTICAL SALES BY REGION, 2006
Percent of Global Sales Market 2006 Sales (US$B) % Growth from 2005
North America $289.9 8.0%
Europe $181.8 4.8%
Japan $56.7 -.07%
29.9% Asia*, Africa, and Australia $52.0 9.8%
47.7%
Latin America
*Excluding Japan
$27.5 12.9%
9.3%
8.6%
4.5%
The global pharmaceutical
market grew by
7 percent
to approximately
$643 billion,
at constant
exchange rates
36 [30]
37[40]
Genzyme $2.63 B [20%] $650 M Cerezyme $1.01 B
Cambridge, MA [genzyme.com]
Gilead Sciences $2.59 B [43%] $384 M Truvada $1.19 B
Foster City, CA [gilead.com]
Serono $2.50 B [7%] $560 M Rebif $1.45 B
Geneva [merckserono.net]
[62]
PERCENT OF THE
GROWTH IN THE
MARKETPLACE
FUELED BY
SPECIALIST-
DRIVEN
PRODUCTS
THE COMBINED R&D INVESTMENT
OF PhRMA MEMBERS IN 2006
SOURCE: IMS MIDAS, MAT December 2006
(left) IMS (right); 50 EXEC PHARM SOURCE:
TOP 10 R&D SPEND
Company Total R&D Spend US billions
1. Pfizer
2. GlaxoSmithKline
3. Sanofi-Aventis
4. Novartis
5. Johnson & Johnson
6. Merck
7. AstraZeneca
8. Schering AG
9. Amgen
10. Lilly
$7.599
$6.549
$5.844
$5.474
$5.0
$4.783
$3.902
$3.520
$3.366
$3.129
A PharmExec Graphic
[$43B]
Akzo Nobel $2.24 B [22%] $639 M Puregon/Follistim $0.51 B
Arnhem, Netherlands [akzonobel.com]
Alcon $2.01 B [14%] $292 M Glaucoma products $0.69 B
Hünenberg, Switzerland [alcon.com]
38 CSL $1.97 B [8%] $120 M Helixate $0.39 B
Victoria, Australia [csl.com.au]
39 [46]
40 [42]
King Pharmaceutical $1.89 B [13%] $254 M Altace $0.65 B
Bristol, TN [kingpharm.com]
Watson $1.86 B [14%] $131 M Ferrlecit $0.13 B
Corona, CA [watson.com]

110 PHARMACEUTICAL EXECUTIVE
MAY 2007 www.pharmexec.com
Rank Company & Headquarters 2006 Global Pharma R&D 2006 Top-
[’05 Rank] [Web site] Sales [change from 2005] Spend Selling Drugs [2006 sales]
41 [43]
Biogen Idec
Cambridge, MA [biogen.com]
$1.78 B [10%] $718 M Avonex $1.71 B
42 [38]
Mitsubishi Pharma
Osaka, Japan [www.m-pharma.co.jp]
$1.73 B [-9%] $408 M NA N/A
43 Cephalon Frazer, PA [cephalon.com]
$1.72 B [48%] $403 M Provigil $0.74 B
44 [41]
Lundbeck
Copenhagen, Denmark [lundbeck.com]
$1.66 B [.3%] $351 M Cipralex $0.63 B
45 Dainippon Sumitomo
Osaka, Japan [ds-pharma.co.jp]
$1.64 B [44%] $252 M Amiodin $0.48 B
TOP THERAPEUTIC CLASSES BY US SALES
Therapeutic Class 2006 Sales in Billions*
*Represents prescription pharmaceutical
Lipid regulators $21.6 purchases including insulin at wholesale
Proton pump inhibitors
Antidepressants
Antipsychotics
Erythropoietins
Seizure disorders
Monoclonal antibodies
$13.6
$13.5
$11.5
$10.0
$8.9
$5.8
prices by retail, food stores and chains,
mass merchandisers, independent
pharmacies, mail services, non-federal
and federal hospitals, clinics, closed-wall
HMOs, long-term care pharmacies, home
healthcare, and prisons/universities.
Excludes co-marketing agreements.
Angiotensin II antagonists $5.7
Joint-ventures assigned to product owner.
Insulin sensitizer $4.8
Data run by redesign to include completed
Calcium blockers $4.7 mergers and acquisitions.
A PharmExec Graphic
[22]
PERCENT
THAT GLOBAL
SALES OF
GENERICS GREW
IN 2006
46 [44]
THE NUMBER OF
PRODUCTS IN
CLINICAL DEVELOPMENT
GREW 7 PERCENT TO
[2,075]
[6.5]
PERCENT THAT
VOLUME OF
PRESCRIPTION
SALES ROSE
ONCOLOGICS WAS THE
FASTEST-GROWING
CATEGORY, UP 20.5
PERCENT. ERBITUX,
AVASTIN, RITUXAN, AND
HERCEPTIN EMERGED AS
WINNERS
Shire $1.54 B [16%] $387 M Adderall XR $0.86 B
Hampshire, England [shire.com]
47 Nycomed Pharma* $1.50 B [70%] $49 M Calcichew $0.12 B
Luxembourg [nycomed.com]
48 [45]
Shionogi Seiyaku $1.43 B [-9%] $0 M Flomox $0.29 B
Osaka, Japan [shionogi.co.jp]
49 Actavis $1.40 B [219%] $88 M Gabapentin $0.06 B
Hafnarfjordur, Iceland [actavis.com]
50 [47]
Tanabe Seiyaku $1.35 B [-9%] $2 M Herbesser $0.16 B
Osaka, Japan [tanabe.co.jp]
*Altana and Nycomed merged in December 2006, but we reported the numbers as if they completed the year independently.
SOURCE: IMS Health
SOURCE: IMS Health